Literature Review on the Impact of Internal and External Compensation Gap of Senior Executives on Enterprises

Abstract

With the exposure of the sky-high salary of senior executives and the promulgation of the government's salary limit policy, the academic community has set off a wave of research on the salary gap. At present, scholars have mainly studied the executive compensation gap from both internal and external aspects, and discussed the impact of the compensation gap on corporate performance, corporate innovation, risk bearing, audit costs, earnings management, corporate financialization, and executive voluntary resignation. This paper summarizes the existing literature, summarizes the existing research results, with a view to providing theoretical reference for the improvement of enterprise compensation incentive mechanism and future research on corporate governance theory.