The effect of financial factors on Managers Myopia in companies listed on Tehran Stock Exchange

Myopia activities have desirable temporary results and their negative consequences appear in the long run because capital markets are not able to properly understand the short-term consequences at the time. Managers with a Myopia attitude, when faced with lower-than-expected profits, may temporarily eliminate this shortfall in research and development and marketing spending, but will not be effective in the long run. Theoretical models show that managers Myopia can take many forms and can be adapted to different situations and situations. This can be manifested in less investment than in long-term assets, more investment in short-term assets, or selection of specific research to fit the market situation. Therefore, the purpose of this study was to investigate the effect of financial factors on managers Myopia in listed companies in Tehran Stock Exchange from 2012 to 2019 with sample of 120 companies. The logistic regression model was used to test the research hypotheses and the combined data were used for analysis. Findings show that there is a significant inverse relationship between financial factors and managers Myopia. That is, the more positive and significant the financial factors are, the fewer Myopia managers have, which can also be beneficial for future planning of the company.