Investors should seek out companies led by CEOs who are "active copers" because they adapt creatively and effectively to challenges and change, said Leslie Pratch, author of 'Looks Good on Paper?.' Pratch said her research indicates that the return on invested capital is positively correlated with the active coping of the CEO leading that company. She said former Ford chief Alan Mulally is an example of a CEO who has excellent active coping skills, and potential investors should be able to discern those coping traits in conference calls and media appearances. On the other hand, Pratch suggests avoiding companies led by so-called 'hyper narcissists.'
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