Value-based Management, Corporate Governance, and Corporate Entrepreneurship: a Contingency Framework

Performance management system, corporate governance practices, and entrepreneurial activities are important determinants of organizational performance. This study seeks to theoretically examine the determinant factors of the effectiveness of these practices in creating value and achieving a high performance. More specifically, the study provides a contingency framework for the inter-relationships between Value-based management as a performance management system, compliance to corporate governance codes, corporate entrepreneurship, and performance. The study contributes to the literature.
Based on this theoretical framework, balance between environmental factors and the implementation of Value -Based Management is caused to improve corporate governance practices, increase corporate entrepreneurship and access high organizational performance. Also the study provides a framework that some mechanisms of corporate governance can have negatively effect on corporate entrepreneurship and corporate governance practices and Value-Based Management (VBM) can decrease this negative relationship.