Board of Directors, Strategic Decision Process Involvement and Firm Performance: An Empirical Examination on Listed Companies In China

摘要

This paper examines the influential mechanism of board on a firm's performance through strategic decision process involvement. From an empirical examination on 101 listed companies in China, We find that the number of independent directors is not correlated to the level of board strategic decision involvement. The separation of CEO and Chairman positions can increase the level of board involvement. Board size is negatively correlated to it. Furthermore, we find that board involvement is positively correlated to financial performance.