The Impact of Corporate Board Meetings on Corporate Performance in South Africa
African Review of Economics and Finance
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Title |
The Impact of Corporate Board Meetings on Corporate Performance in South Africa
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Creator |
Ntim, CG
Osei, KA |
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Description |
We investigate the impact of corporate board meetings on corporate performance for a sample of 169 listed corporations from 2002 to 2007 in South Africa (SA). Our findings suggest a statistically significant and positive association between the frequency of corporate board meetings and corporate performance, implying that SA boards that meet more frequently tend to generate higher financial performance. A further investigation indicates a significant non-monotonic link between the frequency of corporate board meetings and corporate performance, suggesting that either a relatively small or large number of corporate board meetings impacts positively on corporate performance. Our findings are consistent across a raft of econometric models that control for different types of endogeneities and corporate performance proxies. Our results provide empirical support for agency theory, which suggests that corporate boards that meet more frequently have increased capacity to effectively advise, monitor and discipline management, and thereby improving corporate financial performance.
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Publisher |
Rhodes University
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Date |
2013-03-28
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Type |
info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion Peer-reviewed Article |
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Format |
application/pdf
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Identifier |
https://www.ajol.info/index.php/aref/article/view/86950
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Source |
African Review of Economics and Finance; Vol. 2 No. 2 (2011); 83-103
2042-1478 |
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Language |
eng
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Relation |
https://www.ajol.info/index.php/aref/article/view/86950/76728
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