Social Networks and Reputation Incentives: Does Directorship Prestige Influence Effort?
(2024) In European Financial Management- Abstract
- Using social network theory, we measure the reputation of boards and directors based on the centrality of their respective networks. Directors commit greater effort, as measured by actual director attendance rates, to directorships they consider more prestigious. Results are robust to controlling for standard proxies of reputation as well as using alternative measures of centrality to identify prestigious directorships. We find similar results when examining exogenous shocks to relative directorship rankings; effort improves for directorships that increase in ranking following the shock. Our findings outline the importance directors place on the perceived reputational value of their directorships.
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/5da2b61b-6fd8-495c-87a3-04bc6ea5244a
- author
- Intintoli, Vincent J and Moursli, Reda LU
- organization
- publishing date
- 2024-08-15
- type
- Contribution to journal
- publication status
- epub
- subject
- keywords
- Centrality measures, Director connectedness, Firm reputation, Independent directors, Social networks, Director incentives
- in
- European Financial Management
- publisher
- Wiley-Blackwell
- external identifiers
-
- scopus:85201280690
- ISSN
- 1354-7798
- DOI
- 10.1111/eufm.12512
- language
- English
- LU publication?
- yes
- id
- 5da2b61b-6fd8-495c-87a3-04bc6ea5244a
- date added to LUP
- 2024-08-16 16:07:01
- date last changed
- 2024-10-14 04:02:42
@article{5da2b61b-6fd8-495c-87a3-04bc6ea5244a, abstract = {{Using social network theory, we measure the reputation of boards and directors based on the centrality of their respective networks. Directors commit greater effort, as measured by actual director attendance rates, to directorships they consider more prestigious. Results are robust to controlling for standard proxies of reputation as well as using alternative measures of centrality to identify prestigious directorships. We find similar results when examining exogenous shocks to relative directorship rankings; effort improves for directorships that increase in ranking following the shock. Our findings outline the importance directors place on the perceived reputational value of their directorships.}}, author = {{Intintoli, Vincent J and Moursli, Reda}}, issn = {{1354-7798}}, keywords = {{Centrality measures; Director connectedness; Firm reputation; Independent directors; Social networks; Director incentives}}, language = {{eng}}, month = {{08}}, publisher = {{Wiley-Blackwell}}, series = {{European Financial Management}}, title = {{Social Networks and Reputation Incentives: Does Directorship Prestige Influence Effort?}}, url = {{http://dx.doi.org/10.1111/eufm.12512}}, doi = {{10.1111/eufm.12512}}, year = {{2024}}, }