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The Relevance of Western Corporate Governance in Mitigating Management Misconduct in Thailand

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  • Puritud Inya
  • Jim Psaros
  • Michael Seamer

Abstract

This article provides empirical evidence on the relevance of structures central to Western models of corporate governance in mitigating management misconduct in Thailand. We find no evidence supporting the effectiveness of Western-based corporate governance structures such as board independence, audit committee effectiveness, and separating the roles of CEO and Board Chair in limiting management misconduct. However, we do find evidence supportive of independent directors with more experience and longer tenure, the presence of institutional ownership, and concentrated controlling ownership in limiting management misconduct. This provides some support for the validity of resource dependency theory in an emerging economy setting.

Suggested Citation

  • Puritud Inya & Jim Psaros & Michael Seamer, 2018. "The Relevance of Western Corporate Governance in Mitigating Management Misconduct in Thailand," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 54(6), pages 1425-1441, May.
  • Handle: RePEc:mes:emfitr:v:54:y:2018:i:6:p:1425-1441
    DOI: 10.1080/1540496X.2017.1307102
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    Cited by:

    1. Patrick Velte, 2023. "The link between corporate governance and corporate financial misconduct. A review of archival studies and implications for future research," Management Review Quarterly, Springer, vol. 73(1), pages 353-411, February.

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