Graduate Studies
First Advisor
Robert J. Campbell
Second Advisor
Varkey Titus, Jr.
Degree Name
Doctor of Philosophy (Ph.D.)
Committee Members
Bryan Wang, Jake Messersmith
Department
Business (Management)
Date of this Version
5-2025
Document Type
Dissertation
Citation
A dissertation presented to the faculty of the Graduate College at the University of Nebraska in partial fulfillment of requirements for the degree of Doctor of Philosophy
Major: Business (Management)
Under the supervision of Professors Robert J. Campbell and Varkey Titus, Jr.
Lincoln, Nebraska, 2025
Abstract
Researchers have investigated the short-term performance implications of CEO dismissals as assessed through investor reactions to CEO dismissal announcements. While the corporate governance mechanism of dismissal that boards orchestrate when CEOs underperform could be positively perceived by investors, empirical evidence suggests that a positive association between CEO dismissals and investor reactions is equivocal. Thus, in my dissertation, I examine investor reactions to S&P 500 dismissal announcements and further understanding about this intriguing relationship through the development of theory that incorporates the important theoretical mechanism of information uncertainty. Since it is increasingly hard for boards to reduce the information uncertainty surrounding a CEO dismissal before it is announced, I deploy the network theory of stakeholder influences to suggest that the news media—through its’ published content—influences investor reactions to CEO dismissal announcements. I specifically focus on rumors published by the news media about the potential exit of CEOs before their exits are officially announced to make the case that this news content will positively influence investor reactions to CEO dismissal events. I further probe the mechanism of information uncertainty I use in my theorizing by examining additional uncertainty at the industry, firm, and security analyst levels. My theory and results provide theoretical and practical contributions and pave the way for new research.
Advisors: Robert J. Campbell and Varkey Titus, Jr.
Recommended Citation
Villalpando, Diego, "Planting the Seed: Rumors and CEO Dismissal" (2025). Dissertations and Doctoral Documents from University of Nebraska-Lincoln, 2023–. 306.
https://digitalcommons.unl.edu/dissunl/306
Included in
Behavioral Economics Commons, Business and Corporate Communications Commons, Business Law, Public Responsibility, and Ethics Commons, Corporate Finance Commons, Leadership Commons, Leadership Studies Commons, Organizational Behavior and Theory Commons, Work, Economy and Organizations Commons
Comments
Copyright 2025, Diego Villalpando. Used by permission