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Cited by 465

The DOI matches its Crossref record; 69 of the 69 references it cites were found in a registry or an index.

Pay Disparities Within Top Management Groups: Evidence of Harmful Effects on Performance of High-Technology Firms

Siegel, Phyllis A., Hambrick, Donald C.·2005·Organization Science

Abstract

This study examines the interactive effect of technological intensiveness and top management group (TMG) pay disparity on firm performance. Drawing on two literatures—task interdependence and group rewards—we argue that: (a) technological intensiveness imposes a considerable requirement for multiway information processing and collaboration among senior executives of a firm, and (b) collaboration is diminished when large pay disparities exist. Hence, TMG pay disparity should be more detrimental to subsequent performance of high-technology firms than low-technology firms. We construct seven different measures of executive pay disparity based on three major types of pay disparity (vertical, horizontal, and overall) and use a proprietary data set to test our hypotheses. The results provide consistent support for our hypotheses, thereby suggesting important implications for scholars and designers of executive compensation.

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Metadata

Authors
Siegel, P. A., & Hambrick, D. C.
Venue
Organization Science
Published
2005-06
Volume
16
Issue
3
Pages
259-274
ISSN
  • 1047-7039 (ISSN-L)
  • 1526-5455
OpenAlex
W2155099412
Cited by
465
References
69
FWCI
37.40
Type
journal article
Language
en
Open access
closed

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CoChat. (2026). Citation check: Pay Disparities Within Top Management Groups: Evidence of Harmful Effects on Performance of High-Technology Firms. https://app.cochat.ai/papers/10.1287/orsc.1050.0128
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Siegel, P. A., & Hambrick, D. C. (2005). Pay Disparities Within Top Management Groups: Evidence of Harmful Effects on Performance of High-Technology Firms. Organization Science. https://doi.org/10.1287/orsc.1050.0128

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