How Technological Similarities Between Firms Affect the Market for Managers

Last June, Benedetto Vigna became the new CEO of Ferrari NV, joining the company from semiconductor manufacturer STMicroelectronics NV. The chairman of Ferrari noted Vigna’s “deep understanding of the technologies driving much of the change in our industry,” and the subsequent press release stressed Vigna’s experience “at the heart of the semiconductor industry that is rapidly transforming the automotive sector.” The emphasis on the new CEO’s technological background was emblematic of an important yet underexplored development: the growing impact of technological expertise on the executive labor market. In a new paper, we study that development, examining whether the degree to … Read more