Diverse directors may have diverse preferences over firms’ policies or even objectives. As shown by Arrow (1951), diverse individual preferences may fail to univocally aggregate in collective preferences and may consequently lead to arbitrary and volatile decisions. Using the board of directors as a laboratory, we test whether diversity leads to higher performance volatility. We show that firms...

This paper examines the empirical relationship between board structure, CEO compensation and firm performance in the context of an emerging economy, India. Using panel data on 462 manufacturing firms from the Indian corporate sector for the period 1997 to 2002 I would like to explore two specific issues. First, I have examined how the structure of the corporate board in terms of size and propor...

This study examines the relation between board characteristics and firm performance among life insurance companies in Thailand. Prior research suggests that boards of directors play a critical role in monitoring non-financial companies in Thailand. However, it is possible that board characteristics are not important in the life insurance industry due to the nature of business and the effect of ...

Abstract This study analyses whether board diversity in terms of gender and culture, as well members’ experience tenure, has a positive influence on the undertaking environmental practices. The analysis was performed broad sample international companies from 29 countries, basis an index made up 55 activities. We designed Tobit model which practices is function several features board. findings c...

This paper develops a model in which the e®ectiveness of the board's monitoring of the CEO depends on the board's structure or composition. The independence of new directors is determined through a bargaining process between the existing directors and the CEO. The CEO's bargaining position, and thus his in°uence over the board-selection process, depends on an updated estimate of the CEO's abili...