Agency And Monitoring Clarity On Venture Boards Of Directors
The Academy of Management Review
Published online on March 22, 2013
Abstract
In this Dialogue, we respond to Garg's (2013) recently published paper on venture board monitoring. We argue that application of agency theory to entrepreneurial ventures requires greater clarity in developing the monitoring construct because the separation of ownership and control is not nearly as prevalent as in publicly traded firms. We offer a discussion of board leadership structure as an example of how greater clarity alters the theoretical insights from Garg's model.