Research: CEOs with Diverse Networks Create Higher Firm Value
Harvard Business Review
APRIL 10, 2018
We measured their firm’s value by Tobin’s Q, a ratio between market value of assets to book value of assets. To translate the economic magnitude of this: A 0.017 increase of firm value is equivalent to an $81 million increase in market capitalization for a median-size firm in our S&P 1500 sample.
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