Abstract

http://ssrn.com/abstract=2024655
 
 

References (35)



 


 



A Multinational Study of Foreign Directors on Non-U.S. Corporate Boards


Mihail K. Miletkov


University of New Hampshire - Paul College of Business and Economics

Annette B. Poulsen


University of Georgia - Department of Banking and Finance

M. Babajide Wintoki


University of Kansas - School of Business

December 27, 2013


Abstract:     
With the globalization of the world economy, firms can potentially benefit from the operating and governance expertise of foreign directors, but there may be significant direct and indirect costs associated with employing such directors. Further, these benefits and costs are likely to vary significantly across firms and countries. In this paper, we examine the distribution of foreign directors across firms in 80 countries outside the U.S. and the impact such directors have on firm performance. We find that foreign directors are more likely to be appointed by larger firms with foreign operations and in countries with fewer qualified domestic directors. We also find that the effect of foreign directors on firm operating performance is more positive in countries with lower levels of investor protection, in firms that engage in cross-border acquisitions, and when the director comes from a country with a higher level of investor protection than the firm's host country.

Number of Pages in PDF File: 51

Keywords: boards of directors, international governance, corporate governance

JEL Classification: G34, G30

working papers series


Download This Paper

Date posted: March 20, 2012 ; Last revised: January 9, 2014

Suggested Citation

Miletkov, Mihail K. and Poulsen, Annette B. and Wintoki, M. Babajide, A Multinational Study of Foreign Directors on Non-U.S. Corporate Boards (December 27, 2013). Available at SSRN: http://ssrn.com/abstract=2024655 or http://dx.doi.org/10.2139/ssrn.2024655

Contact Information

Mihail K. Miletkov
University of New Hampshire - Paul College of Business and Economics ( email )
10 Garrison Ave
Durham, NH 03824
United States
Annette B. Poulsen (Contact Author)
University of Georgia - Department of Banking and Finance ( email )
Terry College of Business
Athens, GA 30602-6253
United States
706-542-3645 (Phone)
Modupe Babajide Wintoki
University of Kansas - School of Business ( email )
1300 Sunnyside Avenue
Lawrence, KS 66045
United States
Feedback to SSRN


Paper statistics
Abstract Views: 907
Downloads: 168
Download Rank: 103,904
References:  35

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo5 in 0.422 seconds