Industry-based considerations regarding corporate governance include all of the following EXCEPT:
A) Having more outside directors on the board is often regarded as having a negative impact on performance because of their lack of understanding as compared to insiders.
B) In industries characterized by rapid innovation requiring significant R&D investments (such as information technology) , outside directors may have a negative impact on firm performance.
C) Research finds that for firms in low-growth, stable industries, no relationship exists between inside management ownership and firm performance.
D) In industries experiencing great turbulence, the presence of a single leader may allow a faster and more unified response to changing events.
Correct Answer:
Verified
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