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Author:Ruigrok, W.
Peck, S.I.
Keller, H.
Title:Board characteristics and involvement in strategic decision making: evidence from Swiss companies
Journal:Journal of Management Studies
2006 : JUL, VOL. 43:5, p. 1201-1226
Index terms:board of directors
decision making
strategy
Switzerland
Language:eng
Abstract:This article uses agencyand network perspectives in developing and testing the relationship between board characteristics and involvement in strategic decision making. The results indicate that the level of board involvement in strategic decision making is related to a number of governance variables. It is suggested that involvement is in general lower where boards are highly intedrlocked. The authors also show that particular types of board interlocks - namely horizontal (same industry) and those involving direct links with the banking sector – are particularly associated with this negative effect. No evidence is found that factors such as board size, or the percentage of outside directors are related to board involvement in strategic decision making.
SCIMA record nr: 262109
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