Business strategy typologies: do the board of commissioners and audit committee concern about prospector-type strategies?

Purpose The study aims to provide new evidence on the relationship between board of commissioners (BOCs) and audit committee (AC) as a primary corporate governance structure toward business strategy typologies. Design/methodology/approach authors use logistic regression analyses with sample industrial companies listed Indonesia Stock Exchange from 2012–2018. Data BOC AC are hand-collected annual reports analyzed using content analysis. Findings finds that effectiveness is more likely have positive association prospector strategies. also find AC's associate negatively As monitoring system, findings appear disclose ACs following strategies focus achieving entity's than financial reporting internal control functions compared defender Practical implications results significant practical help explain despite mechanisms exist, prospectors still weaker less remediate material weaknesses (MWs) defenders due their specific related attributes. Originality/value extends studies mechanism roles in setting strategic management literature Miles Snow's (1978; 2003) framework.