If internal mechanisms are efficient, it is expected that the firm utilizes its information technology resources efficiently and realized a RITI greater than one.
H3: There exists a positive relationship between managers' compensation and the company's RITI index.
Since older managers are expected to be more conservative and less willing to pursue new strategies, it is expected that they will resist any strategy of overinvesting in information technology; hence, their companies' RITI is expected to be greater than one.
H4: There exists a negative relationship between the RITI index and the age of the CEO.
H6: There exists a negative relationship between the RITI index and the extent of the CEO's managerial experience with the firm.
H7: There exists a positive relationship between CEO duality in the corporation and performance of information technology resources as measured by RITI.
In this research, the dependent variable utilized in the statistical analysis is the RITI developed above.
RITI = 1 for firms with a relative information advantage index [greater than] 1
These results indicate that hypotheses H1, H2, and H4 are supported, with management ownership structure, board composition, and age of the CEO affecting performance of information technology as measured by RITI.