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SSRN Electronic Journal
Article . 2020 . Peer-reviewed
Data sources: Crossref
SSRN Electronic Journal
Article . 2020 . Peer-reviewed
Data sources: Crossref
mEDRA
Book . 2020
Data sources: mEDRA
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Trainspotting: Board Appointments in Private Firms

Authors: Baltrunaite, Audinga; Karmaziene, Egle;

Trainspotting: Board Appointments in Private Firms

Abstract

We examine how expanding the local pool of potential directors affects board appointments in Italian private firms. To establish the causality of the relationship, we rely on the gradual introduction of a high-speed train to obtain exogenous variation in firm access to potential directors’ supply. Using administrative data on board members of the universe of limited liability companies, we find that a positive shock in director supply triggers more board renewals. Under the assumption that director and firm quality are complements in the production process, there is evidence that the director-firm match quality improves. Moreover, firms exposed to such director supply shock become more productive and the effect primarily arises from the most productive firms. Interestingly, family firms remain rather immune to a more open talent pool – their board appointments change little, and so does their productivity.

Country
Netherlands
Keywords

SDG 17 - Partnerships for the Goals, board appointment, director supply, board of directors

  • BIP!
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    This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
    3
    popularity
    This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
    Top 10%
    influence
    This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
    Average
    impulse
    This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
    Average
Powered by OpenAIRE graph
Found an issue? Give us feedback
selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
3
Top 10%
Average
Average
bronze