This paper theorizes that relatively poor firm performane can prompt chief executive officers (CEOs) to seek more advice from executives of other firms who are their friends or similar to them and less advice from acquaintances or dissimilar others and suggests how and why this pattern of advice...

This study examines how a social psychological bias referred to as pluralistic ignorance may occur in corporate boards and how this bias could contribute to strategic persistence in response to relatively low firm performance. Our theory suggests that under conditions of low performance, there...