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Corporate Directors and Entrepreneurial Innovation

This paper presents the findings of a study of the association between corporate governance and entrepreneurial innovation in a major Asian metropolitan city. We identified three primary attributes of entrepreneurial innovation: preference for risk–taking, acceptance of changes, and development of new initiatives. While we intended to establish the relationship between corporate governance and entrepreneurial innovation, our research yielded mixed results. CEO/Chairman duality was found to be positively related to preference for risk–taking and development of new initiatives of firms, but not to the acceptance of changes in firms. Results also showed that whether directors were executive or non–executive had no significant impact on the level of entrepreneurial innovation of their firms. However, share–ownership of directors was found to be related to risk–taking preference, but not to acceptance of changes and development of new initiatives of firms.