CEO Power and Corporate Governance Dynamics
Summary
Chief executive officer (CEO) power shapes strategic direction, risk-taking and accountability within firms. Power derives from formal authority—such as dual roles combining CEO and chair—and informal sources, including expertise, prestige and ownership stakes. These dimensions interact with board oversight, ownership structure and external monitoring to determine governance outcomes. Strong CEO power can drive swift decision-making and long-term investments, especially in areas like environmental innovation, yet may also weaken checks and balances, leading to agency conflicts or reduced transparency. Contemporary research examines how CEO power influences disclosures, corporate social responsibility (CSR) and environmental, social and governance (ESG) performance, highlighting both “bright-side” effects, where empowered leaders champion sustainability, and “dark-side” risks, where excessive authority undermines stakeholder interests. The global significance of this field is evident in regulatory debates over climate reporting, board diversity and executive remuneration. Advances in measurement techniques—such as network analysis of board capital and natural language processing of disclosures—have deepened understanding of power dynamics. Insights inform policy on board composition, ownership limits and monitoring mechanisms to balance executive initiative with robust governance and sustainable value creation.
Research from Nature Portfolio
No recent Nature Portfolio content available.
CEO Power and Corporate Governance Dynamics publication trend
The graph below shows the total number of articles in ceo power and corporate governance dynamics across all publications each year (not limited to Nature Index journals).
Technical terms
CEO power: The capacity of a chief executive to influence corporate strategy and decision-making through formal roles and informal authority.
Board capital: Collective skills, experience and networks of board members that inform oversight and strategic guidance.
Environmental innovation: Development and adoption of processes, technologies or products that reduce environmental impact.
Corporate governance: Framework of rules, relationships and processes by which companies are directed and controlled to meet stakeholder objectives.
Agency theory: Conceptual model examining conflicts of interest between shareholders (principals) and executives (agents).
References
- CEO power and corporate strategies: a review of the literature. Review of Quantitative Finance and Accounting (2023).
- Shaping ESG commitment through organizational psychological capital: The role of CEO power. Business Strategy and the Environment (2024).
- From the executive suite to the environment: How does CEO power affect climate change disclosures?. Journal of International Financial Markets Institutions and Money (2025).
- Sustainable corporate governance for environmental innovation: A configurational analysis on board capital, CEO power and ownership structure. Journal of Business Research (2022).
Turn complex research questions into confident strategic decisions
When you're under pressure to set direction, justify investment, or understand your competitive position, you need more than raw data — you need trusted insights you can act on.
Benchmark your performance against global peers using robust, methodologically sound analysis.
Combine quantitative metrics with qualitative expert insight to uncover strengths, gaps and emerging opportunities.
Gain tailored, decision-ready recommendations aligned to your strategic priorities.
Talk to us to learn more about our data dashboards and bespoke strategy reports.
Grow research skills, confidence and careers with training built for every stage of the research lifecycle.
Developed with Nature Portfolio journal Editors and internationally renowned experts. Discover three ways to learn:
Self-paced, online courses in convenient bite-sized units, covering key skills across scientific writing, publishing, grant writing, data analysis, and more.
Expert trainer-led workshops with hands-on exercises and real-time feedback across core research skills, delivered via interactive group sessions.
Editor-led workshops combining core principles in writing and publishing, personalised 1:1 feedback from Nature Portfolio Editors and hands-on exercises.
Explore course catalogues and workshop agendas, enquire about the options or request institutional pricing.