THE DETERMINANTS OF BOARD COMPOSITION: EVIDENCE FROM INDONESIA. CORPORATE OWNERSHIP AND CONTROL JOURNAL (FORTHCOMING).

Prabowo, Muhammad Agung (2010) THE DETERMINANTS OF BOARD COMPOSITION: EVIDENCE FROM INDONESIA. CORPORATE OWNERSHIP AND CONTROL JOURNAL (FORTHCOMING). PhD thesis, Curtin University of Technology.

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    Abstract

    The study investigates the impact of agency problem and the distribution of corporate control on board composition using a dataset consisting of 190 listed firms in Indonesia. The conceptual framework is derived from agency theory assuming that board composition is endogenously determined by firm’s specific environment. The study reveals that corporate control, instead of agency problem, drives the composition of the board. The different types of large shareholders are found to pursue different strategies in relation to the board composition. While domestic institutional shareholders rely on the representation of independent directors, foreign investors and controlling family prefer to structure a particular board leadership. The finding suggests that the battle for corporate control between foreign investor and the controlling family begins with the structure of board leadership, rather than the representation of independent director.

    Item Type: Thesis (PhD)
    Subjects: H Social Sciences > HB Economic Theory
    Divisions: Fakultas Ekonomi
    Depositing User: AB Kusuma
    Date Deposited: 08 Jul 2013 23:45
    Last Modified: 08 Jul 2013 23:45
    URI: https://eprints.uns.ac.id/id/eprint/1057

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