eCite Digital Repository

Perceptions of independent directors about their roles of and challenges on corporate boards: evidence from a survey in Vietnam


Nguyen, TTM and Evans, E and Lu, M, Perceptions of independent directors about their roles of and challenges on corporate boards: evidence from a survey in Vietnam, Asian Review of Accounting, 27, (1) pp. 69-96. ISSN 1321-7348 (2019) [Refereed Article]


Copyright Statement

© Emerald Publishing Limited

DOI: doi:10.1108/ARA-02-2017-0028


Purpose – The purpose of this paper is to examine the perceptions of independent directors in Vietnam about their roles and challenges when sitting on the boards of listed companies.

Design/methodology/approach – The study uses mailed questionnaires to collect data. The authors sent surveys to 810 independent directors from 354 listed companies and received feedback from 170 respondents.

Findings – The authors examine several aspects of independent directors’ work on the board (such as the roles of and challenges for independent directors) as well as board environment (such as information provision or board interaction). Findings suggest that independent directors in Vietnam place more emphasis on their advisory role than their monitoring role. In addition, they also point out their challenges including information asymmetries and the influence of controlling shareholders. These challenges are significant and they prevent independent directors to properly execute their independent role on the board. These findings reflect the unique features of corporate governance in transition economies.

Originality/value – The authors contribute to the literature through providing an insightful view about the nature of the work performed by this type of director in a transition economy. The study is also one of the first studies to use a qualitative instrument to provide an explanation of how controlling shareholders influence independent directors on boards of directors.

Item Details

Item Type:Refereed Article
Keywords:ownership concentration, independent directors, corporate governance, information asymmetries
Research Division:Commerce, Management, Tourism and Services
Research Group:Accounting, auditing and accountability
Research Field:Accounting, auditing and accountability not elsewhere classified
Objective Division:Economic Framework
Objective Group:Management and productivity
Objective Field:Management
UTAS Author:Nguyen, TTM (Dr Mai Nguyen)
ID Code:131546
Year Published:2019
Deposited By:TSBE
Deposited On:2019-03-21
Last Modified:2020-07-29
Downloads:15 View Download Statistics

Repository Staff Only: item control page