The Impact of Managerial Ability on the Stock Price Crash Risk Considering the Role of CEO Tenure and Product Market Competition

The main purpose of this study is to investigate the effect of managers' ability on the risk of stock price falls by considering the role of the CEO's tenure and product market competition. The statistical population of this research is the companies listed on the Tehran Stock Exchange and its statistical sample includes data of 105 companies for the 8-year period of 2011-2018. Sampling method is systematic elimination method. The method used to estimate the model is the multivariate regression method using the combined data method. The results showed that the ability of managers has a significant effect on the risk of falling stock prices. The results also showed that considering the moderating role of the CEO's tenure, the ability of managers has a significant effect on the risk of falling stock prices. Other results showed that considering the moderating role of product market competition, the ability of managers has a significant effect on the risk of falling stock prices.