Which of the Following Statements Is False

question 25

Multiple Choice

Which of the following statements is false?

• A) When the CEO is also chairman of the board, the nominating letter offering a seat to a new director comes from her. This process merely serves to reinforce the sense that the outside directors owe their positions to the CEO and work for the CEO rather than for the shareholders.
• B) Over time, most of the independent directors will have been nominated by the CEO. Even though they have no business ties to the firm, they are still likely to be friends or at least acquaintances of the CEO.
• C) Researchers have found the surprisingly robust result that larger boards are associated with greater firm value and performance.
• D) The CEO can be expected to stack the board with directors who are less likely to challenge her.

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Definitions:

Intrasender Role Conflict

A situation where an individual receives contradictory messages or expectations from the same source, leading to tension and confusion.

Role Overload

A situation where an individual has more responsibilities or roles than they can comfortably handle or manage.

Person-Role Conflict

A conflict that arises when one's personal values or needs are in conflict with the expectations of their organizational role.

Role Ambiguity

A situation where the responsibilities, expectations, or objectives of a job are unclear to the employee.