Family CEOs in Indian firms paid more, tunneling resources from shareholders.
The study looked at how family-owned businesses in India pay their CEOs compared to professional CEOs. They found that family CEOs get paid more than professional CEOs, especially in successful firms named after the controlling family. Family CEOs in successful firms also get higher pay when the company does well, while professional CEOs don't. This suggests that some family-run Indian companies use CEO pay to take more money from the company, especially when it's doing well.