Document Type
Report
Key Takeaways
Although board interlock ties between close competitors are illegal, many firms appoint “friends” of competitor’s CEOs to create “boardfriendship” ties. • Firms that appoint a friend of a rival firm’s CEO reduce competition and increase financial performance.
Publication Date
2019
Source
Westphal, J. D., & Zhu, D. H. (2019). Under the radar: How firms manage competitive uncertainty by appointing friends of other chief executive officers to their boards. Strategic Management Journal, 40; 79-107.
Disciplines
Business
Copyright
© 2019, University of South Carolina
Publication Info
Westphal, J. D., & Zhu, D. H. (2019). Under the radar: How firms manage competitive uncertainty by appointing friends of other chief executive officers to their boards. Strategic Management Journal, 40; 79-107., 2019.