Board influence on a firm's long-term success: Australian evidence

Title: Board influence on a firm's long-term success: Australian evidence
Creator: He, Liyu; He, Rong; Evans, Elaine
Relation: Journal of Behavioral and Experimental Finance Vol. 27, Issue September 2020, no. 100327
Publisher Link: http://dx.doi.org/10.1016/j.jbef.2020.100327
Publisher: Elsevier
Resource Type: journal article
Date: 2020
Description: Despite the association between the board of directors and firm performance having been examined extensively in the literature, empirical evidence on whether and how boards contribute to firms’ long-term success is scarce. Using 14-year panel data of all Australian listed firms, this study examines the effects of board potential and board dynamics, the key factors of board effectiveness, on firms’ investment efficiency. We find strong evidence that both board potential and board dynamics are positively associated with firm investment efficiency. The findings support the view that both firms’ resources and internal processes that enable boards to mobilize those resources to resolve complex tasks are critical for a firm’s long-term success.
Subject: board effectiveness; board potential; board dynamics; firm investment efficiency
Identifier: http://hdl.handle.net/1959.13/1461012
Identifier: uon:46086
Identifier: ISSN:2214-6350
Language: eng
Reviewed

		Thumbnail	File	Description	Size	Format