Do board characteristics provide more enhancement for firm financial performance? A corporate governance perspective

Abstract

The aim of this study is to explore the link of board characteristics as a feature of corporate governance perspective and firm financial performance. The outputs of the analyses supported that firms responding with good corporate governance mechanisms, being as a very ancient system (Alabdullah, Yahya, & Ramayah,, 2014a), might achieve higher firm financial performance (Sitorus & Murwaningsari, 2019; Lamoreaux, Litov, & Mauler, 2019; Alabdullah, 2016, 2017; Alabdullah, Yahya, & Ramayah, 2014b). This means that good corporate governance mechanisms alleviate the effect of agency costs