Search results for "Control Mechanisms"
showing 2 items of 2 documents
On the role of internationalization of firm-level corporate governance: The case of audit committees
2022
Research Question/IssueMotivated by the agency theory and the findings of linguistic studies, we analyze the association between the internationalization of a firm's audit committee and its corporate governance.Research Findings/InsightsBased on data from 2159 publicly traded European firms from 15 countries for the period 2000–2018, we find that firms with foreign directors on their audit committees are associated with lower financial reporting quality. The association is mitigated by stronger country-level investor protection and a higher similarity among intra-committee languages. We further find that foreign directors on the audit committee are related to stock prices being less informa…
Headquarters’ Control Capacity and the Choice of R&D Organizational Forms Abroad
2013
International audience; Recently, regarding globalization, the decentralization of R&D activities abroad by multinational companies (MNCs) has become important in developed countries. However, academic research has not given this topic sufficient attention. This paper explains how the efficiency of control and incentive mechanisms may affect the choice of organizational forms by MNCs that decentralize their R&D activities abroad. We identify five main organizational forms: wholly owned green-field subsidiary, wholly owned acquired subsidiary, joint venture, cross-licensing agreements, and unilateral licensing agreements. A questionnaire addressed to the R&D managers of American and European…