학술대회/행사
학술대회 및 야외답사
학술대회/행사
[2020년 제 5차] In the CEO We Trust: Negative Effects of Trust between the Board and the CEO
작성자 : 관리자
조회수 : 207
게시일 :
2020-12-11
Does trust between the board of directors and CEO improve corporate board governance? Contrary to the
conventional wisdom that trust improves the performance of all institutions in a society, we find that firms
with higher levels of board–CEO trust are less effective. High trust is associated with low CEO payperformance
sensitivity, low CEO turnover-performance sensitivity, and low board meeting attendance.
Less board monitoring in turn leads to poor acquisition performance. Our results suggest that in the
institutional setting of a board of directors, trust can be too much of a good thing.