A recent study shows companies that hire an outside CEO rather than promoting from within can drastically harm the business if R&D is a cornerstone of company growth and innovation.
Investigation of R&D investment suggest funding and focus have decreased up to 65% over the past 40 years.
Outside CEOs often reduce R&D spending because they see the cost as an expense, and see the short term financial savings. Versus CEOs promoted from within consider R&D an investment.