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The influence of board interlocking network centrality on foundation performance: evidence from China

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  • Yan Wu
  • Yuting Zhang
  • Yutao Chen

Abstract

Using the data of Chinese foundations, this research analyses the relationship between board interlocking network centrality and the performance of Chinese foundations. The result shows that the closeness centrality has a positive impact on their income and public welfare expenditure. In addition, the effect of closeness centrality is strengthened in non-public fund-raising foundations. However, degree and betweenness centrality have no effect on their performance. These findings demonstrate that board interlocking networks play an undoubtedly important role, and that foundations should actively establish and expand board interlocking networks to access all kinds of resources, achieve complementary advantages, and thus enhance their organizational capacity and performance.

Suggested Citation

  • Yan Wu & Yuting Zhang & Yutao Chen, 2021. "The influence of board interlocking network centrality on foundation performance: evidence from China," Journal of Chinese Governance, Taylor & Francis Journals, vol. 6(1), pages 43-57, January.
    • Handle: RePEc:taf:rgovxx:v:6:y:2021:i:1:p:43-57
    DOI: 10.1080/23812346.2020.1841483
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