When firms are in relatively ________ competitive environments, the advice and monitoring of board members is enhanced when outside board members are drawn from other firms that are strategically related to the firm.
A) stable
B) dynamic
C) unstable
D) complex

Question

Quizplus · Accepted Answer

When firms are in relatively stable competitive environments, the advice and monitoring of board members is enhanced when outside board members are drawn from other firms that are strategically related to the firm. This is because outside board members from strategically related firms have a better understanding of the firm's industry and competitive landscape, and can provide more relevant advice and monitoring.

When Firms Are in Relatively ________ Competitive Environments, the Advice