Category:Public companies run by founders

From Wikipedia, the free encyclopedia

Public companies run by founders are those publicly traded companies where a founder is the head of the company.

[edit] Significance

According to Ohio State professor Rudiger Fahlenbrach, the returns on companies where the CEO is also the founder exceeded that of their rivals by eight percentage points annually. His research was further reinforced in a paper by Wharton professor Raphael Amit and Harvard Business School professor Belen Villalonga, who found that companies perform better when they are run by a founder, either directly as a President/CEO or indirectly as Chairman of the Board. This is likely the result of the founder's keen knowledge of the company's products and market, a treasure of personal experience and investment that is lost when a company's management falls to the next generation or to outside management.

[edit] External links


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