ESCP Europe

Langue

English

Publication year

01/06/2010

Using upper echelons theory and the concept of "faultlines," we argue that heterogeneity on a board of directors influences discussion of entrepreneurial issues in board meetings. We also propose that meeting context can influence such discussions. Results suggest that tenure variance, firm/industry background heterogeneity, and the proportion of directors with output-oriented backgrounds are positively associated with a board's discussion of entrepreneurial issues. Weak faultlines increase and strong faultlines decrease such discussion. Meeting informality moderates these relationships: functional background heterogeneity decreases discussion of entrepreneurial issues, but the proportion of directors with output-oriented backgrounds and strong faultlines increase it.