Sedatole, Karen; Vrettos, Dimitris; Widener, Sally K. - 2012
aimed at mitigating moral hazard explain outsourcing decisions over and above transaction cost economics (TCE) determinants …) significantly explain the extent of outsourcing of aircraft maintenance. We extend TCE insights to show that incentive delta (i … efficiencies and outsourcing while incentive vega (i.e., the sensitivity of CEO holdings to stock return volatility) weakens the …