politically conservative group of CEOs and MGMT or major US corps formed to promote pro-business public policy and best business practices. FOCUSES ON LONG TERM SHAREHOLDER VALUE
Part of legal floor for corporate governance- Protection for investors- makes it so that top officers have to sign off on financial statements- increases regulation over financial reporting and disclosures to the public-only outside directors
Impact of Sarbanes Oxley
costs a lot of money to have this but business roundtable believes its a good thing- costs on smaller companies very burdensome- they dont have inside people to understand how to comply with this
outside drirector will tend to make the board more proactive- insiders are more resistant to change because they know it will directly affect them- outsiders can see from a fresh perspective. more csr decisions with outsiders
What is impact of combining or separating CEO and chair positions?
when ceo is chair- board is pressured to follow his or her decisions- CEO could have a bias- business roundtable doesnt want it to be separate because they are the CEOs and they dont want to lose power