The researchers believe that narcissistic CEOs are able to influence board members by using their charisma and self-confidence to convince them that risky decisions are the best course of action. Additionally, narcissistic CEOs are often skilled at manipulating information and presenting it in a way that makes it appear less risky.
The study's findings have implications for investors and regulators. Investors should be aware that companies with narcissistic CEOs may be more likely to take on excessive risk, which could lead to financial losses. Regulators should also be aware of the potential for narcissistic CEOs to influence boards of directors and take steps to ensure that these CEOs are held accountable for their decisions.
Here are some of the key findings of the study:
* CEOs with high levels of narcissism were more likely to engage in risky decision-making.
* This risk-taking was often supported by the board of directors.
* Narcissistic CEOs were able to influence board members by using their charisma and self-confidence to convince them that risky decisions were the best course of action.
* Narcissistic CEOs were also skilled at manipulating information and presenting it in a way that made it appear less risky.
The study's findings have implications for investors and regulators. Investors should be aware that companies with narcissistic CEOs may be more likely to take on excessive risk, which could lead to financial losses. Regulators should also be aware of the potential for narcissistic CEOs to influence boards of directors and take steps to ensure that these CEOs are held accountable for their decisions.
