CEOs shake hands and strike deals. But who do the deals benefit – the company or the chief executive? Researchers have recently uncovered evidence of CEOs’ ability to influence the board of directors and to obtain favorable contractual conditions such as golden parachutes and accelerated cash outs, which are not necessarily in line with shareholders’ interests. In the paper “CEOs Social Capital and Corporate Governance Provisions,” doctoral candidate Erica Salvaj and Professor Fabrizio Ferraro study CEO-board relations and corporate governance processes by investigating the social position of CEOs and board members in the corporate elite.
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