An Interlocking Directorate Is a Formal Linkage That Occurs When

question 6

True/False

An interlocking directorate is a formal linkage that occurs when a member of the board of directors of one company sits on the board of directors of another company.

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Definitions:

Legitimate Power

The authority a person or position holds within an organization, recognized as rightful by its members, which allows them to influence others.

Managerial Authority

The power vested in managers to make decisions and direct subordinates within an organization.

Charismatic Personality

A set of personal attributes that enable an individual to exert significant influence or charm over others, often leading to strong leadership or followership.

High-Ranking Title

A designation or position of high status within an organization that signifies authority, responsibility, or professional achievement.