Title: CEO emotional intelligence and firm dividend policy: decision tree analysis

Authors: Mohamed Ali Azouzi; Anis Jarboui

Addresses: Finance and Accounting Methods, Higher Institute of Business Administration (ISAAS), University of Sfax, ISAAS, BP 1013 – 3018, Sfax, Tunisia ' HDR Financial and Accounting, Higher Institute of Business Administration (ISAAS), University of Sfax, ISAAS, BP 1013 – 3018 Sfax, Tunisia

Abstract: This paper assumes that managers, investors or both behave irrationally. More specifically, it examines the links between managerial emotional characteristics' and firm dividend policy. This stream of research argues whether to distribute dividends or not depends on CEO emotional intelligence level. We introduce an approach based on decision tree analysis technique with a series of semi-directive interviews. The originality of this research paper is guaranteed since it treats the behavioural corporate policy choice in emergent markets. To the best of our knowledge, this is the first study in the Tunisian context that explores such area of research. Our results show that CEO emotional intelligence level encouraged using this leverage to report the decision performance of the business, the application of a dividend distribution policy.

Keywords: emotional intelligence; corporate finance; dividend policy; decision tree; CEOs; emerging markets; Tunisia; dividend distribution.

DOI: 10.1504/IJMEF.2017.081285

International Journal of Monetary Economics and Finance, 2017 Vol.10 No.1, pp.24 - 46

Received: 11 Feb 2015
Accepted: 26 Oct 2015
Published online: 02 Jan 2017 *

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