scholarly journals Investment agreements and the fragmentation of firms across countries

2020 ◽  
Author(s):  
Timm Betz ◽  
Amy Pond ◽  
Weiwen Yin
Keyword(s):  
Ownership Structure ◽  
Location Choices ◽  
Ownership Structures ◽  
Firm Ownership ◽  
Distributional Consequences ◽  
Aggregate Investment ◽  
In Transit ◽  
The Impact ◽  
Investment Agreements ◽  
Over Time

AbstractWe examine the global ownership structure of firms in the context of the investment regime. Investment agreements extend valuable privileges to firms invested abroad. But, these privileges only apply to firms whose assets are owned in a country that has signed an agreement with their host market; firms lack protections under investment agreements for many of their target markets. We argue that, by strategically locating subsidiaries in ‘transit’ countries, firms systematically expand their access to investment agreements. This firm-specific access to investment agreements through transit countries also has implications for investment flows: Transit countries receive more inflows and outflows of investment. Moreover, the impact of agreements declines over time and treaty partners, as seemingly newly protected firms have previously gained coverage through subsidiaries. Drawing on subsidiary location choices of the world’s largest firms, as well as data on firm ownership structures and aggregate investment flows, we present systematic evidence consistent with this argument. The paper highlights the importance of the global ownership structure of firms in an environment of heterogeneous international rules and discusses new distributional consequences of the investment regime.

scholarly journals Ownership structure and voluntary disclosure in corporate annual reports of Malaysian listed firms

2011 ◽  
Vol 8 (2) ◽  
pp. 296-312 ◽  
Author(s):  
Poh-Ling Ho ◽  
Gregory Tower
Keyword(s):  
Ownership Structure ◽  
Voluntary Disclosure ◽  
Positive Association ◽  
Institutional Ownership ◽  
Ownership Concentration ◽  
Annual Reports ◽  
Policy Makers ◽  
Listed Firms ◽  
Ownership Structures ◽  
The Impact

This paper examines the impact of ownership structure on the voluntary disclosure in the annual reports of Malaysian listed firms. The result shows that there is an increase in the extent of voluntary disclosure in Malaysian listed firms over the eleven-year period from 1996 to 2006. Ownership concentration consistently shows positive association with voluntary disclosure. Firms with higher foreign and institutional ownership have a significantly positive association with voluntary disclosure levels while firms with family ownership exhibit lower voluntary disclosure. Consistent with agency theory, different ownership structures have varied monitoring effects on agency costs and clearly influence firm’s disclosure practices. The findings provide insights to policy makers and regulators in their desire to increase transparency and accountability amidst the continual enhancement of corporate governance. The findings provide evidence that optimized ownership structure in any jurisdiction should be considered in any regulatory process that seeks to improve transparency.

The impact of corporate governance and ownership structure reforms on earnings quality in China

2015 ◽  
Vol 23 (2) ◽  
pp. 169-198 ◽  
Author(s):  
Xu_Dong Ji ◽  
Kamran Ahmed ◽  
Wei Lu
Keyword(s):  
Corporate Governance ◽  
Ownership Structure ◽  
Earnings Quality ◽  
Future Research ◽  
Governance Mechanisms ◽  
Content Type ◽  
Listed Firms ◽  
Ownership Structures ◽  
Corporate Governance Mechanisms ◽  
The Impact

Purpose – The purpose of this paper is to investigate the effect of corporate governance and ownership structures on earnings quality in China both prior and subsequent to two important corporate reforms: the code of corporate governance (CCG) in 2002 and the split share structure reform (SSR) in 2005. Design/methodology/approach – This study utilises informativeness of earnings (earnings response coefficient), conditional accounting conservatism and managerial discretionary accruals to assess earnings quality using 12,267 firm-year observations over 11 years from 2000 to 2010. Further, two dummy variables for measuring the changes of CCG and SSR are employed to estimate the effects of CCG and SSR reforms on earnings quality via OLS regression. Findings – This study finds that the promulgation of the CCG in 2002 has had a positive impact, but the SSR reform in 2005 has had little effect on listed firms’ earnings quality in China. These results hold good after controlling for a number of ownership, governance and other variables and estimating models with multiple measures of earnings’ quality. Research limitations/implications – Future research could focus on how western style corporate governance mechanisms have been constrained by the old management systems and governmental dominated ownership structures in Chinese listed firms. The conclusion is that simply coping Western corporate governance model is not suitable for every country. Practical implications – The results will assist Chinese regulators in improving reporting quality, ownership structure and governance mechanisms in China. The results will help international investors better understand quality of financial information in China. Originality/value – This is the first to our knowledge that addresses the effects of major governance and ownership reforms together on accounting earnings quality and, thus, makes a significant contribution on understanding the effect of regulatory reforms on improving earnings quality. In doing so, it also indirectly assesses the effectiveness of western-style corporate governance mechanisms introduced in China.

China’s Inward Investment

2019 ◽  
pp. 23-40
Author(s):  
Michael J Enrigh
Keyword(s):  
Foreign Direct Investment ◽  
Objective Function ◽  
Direct Investment ◽  
Economic Benefits ◽  
Historical Background ◽  
Novel Method ◽  
The Impact ◽  
Investment Agreements ◽  
Over Time ◽  
China’S Economy

One of the most important components in China’s economic reform programme has been the economy’s gradual opening to inward foreign direct investment (IFDI) and foreign invested enterprises (FIEs). While China has become more and more open to IFDI over time, it remains far more closed than most large economies. In recent years, we have seen the apparent contradictory trends toward developing what appears to be a more liberal legal environment for IFDI combined with highly publicized examples of pushback against FIEs in China. In order to understand China’s approach towards IFDI and FIEs, it is necessary to understand the historical background of IFDI and FIEs in China, the objective function that China applies to IFDI and FIEs, and the fact that the impact of IFDI and FIEs on China’s economy is often underestimated. These features will influence any investment treaties that might be reached with China and how they will be implemented. This chapter also provides a broad-brush perspective on China’s approach toward IFDI and FIEs. It then describes the results of novel method of estimating the economic benefits that IFDI and FIEs have brought to China. Finally, the chapter provides perspectives for those interested in the potential for the negotiation and implementation of investment agreements with China.

scholarly journals Impact of Ownership Structure on Firm Performance in the MENA Region: An Empirical Study

2017 ◽  
Vol 6 (3) ◽  
pp. 105 ◽  
Author(s):  
Neveen Ahmed ◽  
Ola Abdel Hadi
Keyword(s):  
Firm Performance ◽  
Ownership Structure ◽  
Positive Impact ◽  
Mena Region ◽  
Positive Role ◽  
Insider Ownership ◽  
Mena Countries ◽  
Ownership Structures ◽  
Firm Financial Performance ◽  
The Impact

This paper investigates the impact of ownership structures on firm financial performance in the MENA region.  The sample covers nine MENA countries (Egypt, Bahrain, Qatar, Kuwait, Tunisia, UAE, Morocco, Oman and Jordan) for the year 2014. We examine the impact of ownership structures on firm performance. Performance is proxied by Tobin-Q, ROE and ROA, while ownership structure is proxied using insider ownership, governmental, and blockholders. We control for risk, size, country effect and industry type. Our results suggest that blockholders, insider ownership and governmental ownership play a crucial role in firm performance measured by Tobin-Q, ROE and ROA respectively. Our results suggest that insider ownership negatively effects firm’s return on equity, while blockholder ownership has a positive impact on a firm’s Tobin-Q. Finally we find that governmental ownership plays a positive role on a firm’s return on assets in the MENA region. 

scholarly journals OWNERSHIP STRUCTURES, INVESTORS CONFIDENCE AND FINANCIAL DECISIONS IN FAMILY FIRMS: EVIDENCE FROM GCC MARKETS

2018 ◽  
Vol 14 (1) ◽  
pp. 52-68
Author(s):  
Muhammad Sadiq Shahid ◽  
Keyword(s):  
Ownership Structure ◽  
Family Firms ◽  
Stock Exchange ◽  
Annual Reports ◽  
Stock Exchanges ◽  
Investment Funds ◽  
Financial Decisions ◽  
Ownership Structures ◽  
The Family ◽  
The Impact

The objective of this study is to examine the impact of financial decisions on the ownership structure. This study adopted two themes of ownership structure (e.g., 25% & 50%) that categorized the family-owned firms (FOF) and non-family firms (NFOF). The data was collected from 286 firms listed at GCC stock exchanges annual reports, stock exchange database, and Data Stream that range from 2010-2016 periods. The findings of this study showed that the FOFs have lesser investment-internal fund sensitivity than NFOFs. Though, there is an insignificant effect of the block holder on investment funds sensitivity. However, the little implication of dividend payout in FOFs as compare to NFOFs was disclosed in the results. Moreover, it wrapped up that there are less agency problems and information asymmetry in FOFs comparatively.

scholarly journals International ownership and firm performance in Arab economies

2020 ◽  
Vol 17 (4, Special Issue) ◽  
pp. 308-318
Author(s):  
Stefan Lutz ◽  
Karim Hegazy ◽  
Ehab K. A. Mohamed ◽  
Mohamed A. K. Basuony
Keyword(s):  
Firm Performance ◽  
Ownership Structure ◽  
Business Environment ◽  
State Ownership ◽  
Mena Region ◽  
Cross Sectional ◽  
Ownership Structures ◽  
And Performance ◽  
The Impact ◽  
Better Than

This paper aims at filling existing research by examining the impact of corporate governance and ownership structure on firm performance using cross-sectional data from companies in the MENA region for the years 2009-2013. The results indicate that higher ownership concentration is associated with higher returns. Furthermore, firms with higher international ownership share tend to perform better than those with only local private and/or state ownership. The results suggest some prevalent features with respect to ownership and performance of firms in the MENA region. Due to the volatile social and business environment, these firms operate in, they may be particularly dependent on effective ownership structures and support which may be provided by international, institutional, and large shareholders.

scholarly journals The Effect of Ownership Structure on Firm Profitability in India: A Panel Data Approach

2016 ◽  
Vol 8 (6) ◽  
pp. 237
Author(s):  
Nahila Nazir ◽  
Amarjeet Kaur Malhotra
Keyword(s):  
Panel Data ◽  
Ownership Structure ◽  
Ownership Structures ◽  
Concentrated Ownership ◽  
Panel Data Regression ◽  
Data Regression ◽  
Firm Profitability ◽  
Individual Measure ◽  
Using Data ◽  
The Impact

<p>This paper attempts to analyze whether there is solid evidence to support the idea that variations across firms in observed ownership structures lead to systematic variations in observed firm performance. The current study examines this hypothesis by evaluating the impact of the ownership structure on corporate performance, measured by profitability, using data of BSE 100 Index companies. This study design ownership structure, first, as an exogenous variable and, second; we take into account four different measures of ownership structure showing different groups of shareholders with conflicting interests. Using panel data regression model in between all ownership structure measures and profitability measures, the empirical findings suggest that the non-promoters holding and non-promoters non institutional holding have a significant impact on EPS of the firm. In case of promoters holding and non-promoters institutional holding no effect is found on EPS of the firm. And in case of ROI promoters holding, non-promoters institutional holding and non-promoters non institutional holding have a significant impact on ROI of the firm. In case when non-promoters holding is taken as individual measure no effect is found on ROI of the firm. Further in case of PAT, it is found that the non-promoters holding and non-promoters non-institutional holding have a significant impact on PAT of the firm. In case of promoters holding and non-promoter institutional holding no effect is found on PAT of the firm. Presence of concentrated ownership is found in Indian firms.</p>

The Therapist’s Reaction to a Patient’s Suicide

Crisis ◽  
2011 ◽  
Vol 32 (2) ◽  
pp. 99-105 ◽  
Author(s):  
Friedrich Martin Wurst ◽  
Isabella Kunz ◽  
Gregory Skipper ◽  
Manfred Wolfersdorf ◽  
Karl H. Beine ◽  
...  
Keyword(s):  
Emotional Responses ◽  
Well Being ◽  
Emotional Reaction ◽  
Emotional Reactions ◽  
Analog Scale ◽  
General Hospitals ◽  
Item Questionnaire ◽  
Retrospective Nature ◽  
The Impact ◽  
Over Time

Background: A substantial proportion of therapists experience the loss of a patient to suicide at some point during their professional life. Aims: To assess (1) the impact of a patient’s suicide on therapists distress and well-being over time, (2) which factors contribute to the reaction, and (3) which subgroup might need special interventions in the aftermath of suicide. Methods: A 63-item questionnaire was sent to all 185 Psychiatric Clinics at General Hospitals in Germany. The emotional reaction of therapists to patient’s suicide was measured immediately, after 2 weeks, and after 6 months. Results: Three out of ten therapists suffer from severe distress after a patients’ suicide. The item “overall distress” immediately after the suicide predicts emotional reactions and changes in behavior. The emotional responses immediately after the suicide explained 43.5% of the variance of total distress in a regression analysis. Limitations: The retrospective nature of the study is its primary limitation. Conclusions: Our data suggest that identifying the severely distressed subgroup could be done using a visual analog scale for overall distress. As a consequence, more specific and intensified help could be provided to these professionals.

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