Describe the role of inside directors as part of a company's board of directors.
What will be an ideal response?
Inside directors are generally part of the company's senior management team, such as the chief financial officer (CFO) and the chief operating officer (COO). They are appointed by shareholders to provide the board with necessary information pertaining to the company's internal workings and performance. Without this valuable inside information, the board would not be able to effectively monitor the firm. As senior executives, however, inside board members' interests tend to align with management and the CEO rather than the shareholders.
You might also like to view...
The Herfindahl-Hirschman Index (HHI) is used to
A. calculate whether or not a bank has met its reserve requirements. B. determine if a merger reduces competition in a banking market. C. measure the capital adequacy of a bank. D. find which bank has the lowest spread.
Exchange rate forecasting is an advanced science; with the correct data, we can predict with accuracy exchange rate movements.
Answer the following statement true (T) or false (F)
From a business point of view, diversity and nondiscrimination policy as applied to international business contracts are _______________
a. Mutually exclusive b. Crucial c. Nonexistent d. Legally binding
A basic feasible solution to a system of n equations is found by setting n variables equal to 0 and solving for the other variables
Indicate whether the statement is true or false