Mad Hatter

AAA

DEFINITION of 'Mad Hatter'

A CEO or managerial team whose ability to lead a company is highly suspect. A mad hatter CEO will often make puzzling decisions which many, inside and outside the firm, may question. These types of CEOs are also known for making spontaneous decisions with little thought for the consequences. Sometimes these decisions are driven by personal incentives rather than the motivation to improve the overall performance of the company.

INVESTOPEDIA EXPLAINS 'Mad Hatter'

Mad Hatter refers to one of the many strange characters in Lewis Carroll's "Alice's Adventures in Wonderland." At the tea table, Alice meets the Mad Hatter, who is eternally caught in tea time and constantly quizzing Alice with nonsensical and unanswerable questions. Typically, mad hatter CEOs don't last long in their positions.

RELATED TERMS
  1. Jekyll and Hyde

    1. A slang term referring to the strengths and weaknesses of ...
  2. Leprechaun Leader

    A corporate manager or an executive who, like the fabled Irish ...
  3. Bre-X Minerals Ltd.

    One of the biggest mining scams and frauds perpetrated by any ...
  4. Chief Executive Officer - CEO

    The highest ranking executive in a company whose main responsibilities ...
  5. Insider

    A director or senior officer of a company, as well as any person ...
  6. Assembly Line

    A production process that breaks the manufacture of a good into ...
Related Articles
  1. The Basics Of Corporate Structure
    Investing Basics

    The Basics Of Corporate Structure

  2. Elves And Gnomes: Fairy Tale Investment ...
    Investing Basics

    Elves And Gnomes: Fairy Tale Investment ...

  3. Conference Call Basics
    Professionals

    Conference Call Basics

  4. Evaluating A Company's Management
    Active Trading Fundamentals

    Evaluating A Company's Management

comments powered by Disqus
Hot Definitions
  1. Ghosting

    An illegal practice whereby two or more market makers collectively attempt to influence and change the price of a stock. ...
  2. Elasticity

    A measure of a variable's sensitivity to a change in another variable. In economics, elasticity refers the degree to which ...
  3. Tangible Common Equity - TCE

    A measure of a company's capital, which is used to evaluate a financial institution's ability to deal with potential losses. ...
  4. Yield To Maturity (YTM)

    The rate of return anticipated on a bond if held until the maturity date. YTM is considered a long-term bond yield expressed ...
  5. Net Present Value Of Growth Opportunities - NPVGO

    A calculation of the net present value of all future cash flows involved with an additional acquisition, or potential acquisition. ...
  6. Gresham's Law

    A monetary principle stating that "bad money drives out good." In currency valuation, Gresham's Law states that if a new ...
Trading Center