October 2019
Intermediate to advanced
130 pages
2h 37m
English
Content preview from A Primer on Corporate Governance
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Corporate networks are the foreseeable links between companies and their leaders. They are formed by ties among directors sitting in more than one board—interlocks. These links are proxies of a country’s economic structure and its corporate governance system. Because economic action is embedded in social structures (Granovetter 1985), individuals are actors operating within a network. Individuals then can not only influence these networks but they are also constrained by them.
Networks emerge because boards are made of insiders and outsiders. Outsiders are usually recruited from other firms or from financial, public, or government institutions. This recruitment is many times based on shared backgrounds, ...
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