Corporate innovation is an increasingly important topic that has attracted great attention from academic researchers in … Financial Economics, and the Review of Financial Studies) together published a total of only five papers on corporate innovation … the drivers and financing sources of corporate innovation …

We investigate how CEO's risk incentive (vega) affects firm innovation. To establish causality, we exploit compensation … identification tests indicate a positive and causal effect of CEOs' vega on innovation activities. Furthermore, dampened managerial … risk-taking incentive after the implementation of FAS 123R leads to a significant reduction in innovation related to firm …

finding suggests innovation is one such channel through which equity alignment incentives positively impact firm value. On the …

This paper investigates whether aligning manager and owner incentives can improve the innovation performance of firms … more sensitive to the firm's stock price the innovation performance of a firm improves. Entrenched managers, however, are …-term incentives have little impact on innovation. Higher managerial tenure increases the probability of R&D spending and innovation …

-performance “innovation” effect for option-based compensation is higher than that for stock-based compensation. Within the options (stocks … achieve less innovation compared to those of high-growth firms. Throughout, we reveal that the effect of CEOs performance …-pay on innovation is mainly relevant among overconfident managers than non-overconfident ones …

addition, this positive effect of competitive threats on innovation is more pronounced for firms with smaller market shares or … firms in more competitive industries. We also document that investing more in innovation helps competition-threatened firms …

The extensive literature on financing innovation pinpoints numerous variables that influence patent activity. Yet, the … techniques to assess the incremental explanatory power of previously identified innovation covariates, seeking to identify the … nullify the need to incorporate these key innovation covariates. Furthermore, due to the difficulties of identifying the …

in American history, I find a positive relation between CEO cultural individualism and corporate innovation. Firms with …-in-differences estimation around CEO turnovers. Individualistic CEOs improve innovation by promoting a better work-life balance of employees …

about post-innovation outcomes leads investors to demand more information. However, such innovations also likely entail … greater proprietary cost concerns, which deter disclosure. This paper uses patent grants to examine the effect of innovation … concerns having a moderating impact. Overall, our findings suggest that innovation creates demand for more voluntary disclosure …

of innovation: inputs and outputs. These positive effects remain valid after controlling for potential endogeneity …