Mark Hulbert: New CEO is Ford’s Hail Mary pass

Ford Motor Co. investors cheered the company’s announcement on Monday of a new CEO, sending the auto maker’s stock up 2.1% on a day when the Dow Industrials gained just 0.4%.

Investor optimism about this move represents a triumph of hope over experience, however. According to Gautam Mukunda, a professor of organizational behavior at Harvard Business School, “most of the CEOs who try to radically transform a company will fail.”

Professor Mukunda added that his skepticism doesn’t derive from any special insight into Ford’s F, -0.45% corporate governance or research he has conducted into that company in particular, but instead from his study of CEOs and corporate leadership in general.

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