According to research, larger boards are more likely to act independent and therefore are more effectively at enhancing a firm's value than smaller boards.

Question

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Research suggests that while larger boards may offer a wider range of expertise and resources, they can also suffer from coordination and communication problems, making decision-making slower and potentially less effective. Smaller boards are often seen as more cohesive and agile, which can enhance a firm's value by enabling quicker and more unified decision-making.

According to Research, Larger Boards Are More Likely to Act