TOP EXECUTIVES, TURNOVER, AND FIRM PERFORMANCE IN GERMANY

This article examines executive turnover-for both management and super visory boards-and its relation to firm performance in the largest comp anies in Germany in the 1980s. Turnover of the management board increa ses significantly with poor stock performance and particularly poor (i .e., negative) earnings, but is unrelated to sales growth and earnings growth. These turnover-performance relations do not vary with measure s of stock ownership and bank voting power. Supervisory board appointm ents and turnover also increase with poor stock performance, but are u nrelated to other measures of performance.