Corporate governance and innovation

Corporate governance of entrepreneurial firms comprises mechanisms through which directors, shareholders, entrepreneurs, and top management teams are involved with start-ups. On the basis of a literature review, we identify three interrelated themes frequently discussed by previous empirical studies: (1) the role of key stakeholders (e.g. directors, venture capitalists, and entrepreneurs), (2) governance process (e.g. social networking and strategic decision making), and (3) outcomes of corporate governance (innovation, growth, and internationalization). We augment previous studies’ investigations of various stakeholders’ roles in corporate governance, by examining the relationships and interactions among various stakeholders or groups of stakeholders, especially between boards and top management teams. We conclude by proposing how future research can explore the effect of interactions between board of directors and top management teams on organizational outcomes.