scholarly journals Ownership structure and market valuation of family groups in Chile

2006 ◽  
Vol 3 (2) ◽  
pp. 90-105 ◽  
Author(s):  
Fernando Lefort
Keyword(s):  
Ownership Structure ◽  
Market Valuation ◽  
Family Management ◽  
Family Ownership ◽  
Control Mechanisms ◽  
Corporate Structure ◽  
Listed Firms ◽  
And Control ◽  
The Relationship ◽  
A Company

In this paper I provide a summary description of corporate structure in Chilean firms and explain the evolution of conglomerates and capital markets in the Chilean economy. Specifically, I look at the control mechanisms and the identity of controllers of listed non-financial companies in Chile. Using a database developed by Lefort and Walker (2000, 2003b), I look at the relationship between family ownership and control and market valuation of listed firms in Chile. The evidence provided in this paper indicates that in the case of the highly concentrated Chilean companies, family management of a company is associated to a market discount. This evidence is consistent with the hypothesis of imperfect correlation of talent across generations. However, as I explained earlier in the paper, most Chilean groups have less than 30 years of existence and therefore, the succession problem is not likely to be very important in Chile

Ownership structure and analysts’ forecast properties: a study of Chinese listed firms

2016 ◽  
Vol 16 (1) ◽  
pp. 54-78 ◽  
Author(s):  
Sun Liu
Keyword(s):  
Ownership Structure ◽  
Emerging Market ◽  
Forecast Accuracy ◽  
State Ownership ◽  
Managerial Ownership ◽  
Content Type ◽  
Listed Firms ◽  
Pyramidal Ownership ◽  
And Control ◽  
The Relationship

Purpose The purpose of this paper is to investigate the association between ownership structure and the properties of analysts’ forecasts in China’s unique corporate setting. Design/methodology/approach Multiple regression models were used to examine the influence of ownership structure mechanisms on analysts’ forecast properties for listed Chinese firms during the period 2008-2012. Findings The paper finds that analysts’ forecast accuracy is higher for listed firms with high levels of foreign ownership and managerial ownership. However, the complex pyramidal ownership structure could make corporate information less transparent and then increase the complexity of forecasting; hence, it results in less precise analysts’ forecasts. Interestingly, the relationship between state ownership and analysts’ forecast properties appears to be non-linear (an inverted U-shape), and the inflection point at which the relationship becomes negative occurs at state ownership over 45 per cent. Originality/value To the best of the author’s knowledge, this paper is the first to investigate the influence of ownership structure mechanisms on the properties of analysts’ forecasts in an emerging market, and the findings provide some insight on how the properties of analysts’ forecast might be shaped by certain ownership and control features in the context of concentrated state ownership and complex pyramidal ownership structure.

scholarly journals Pyramid ownership structure and tax avoidance among Canadian firms

2019 ◽  
Vol 33 (1) ◽  
pp. 16-33 ◽  
Author(s):  
Justin Mindzak ◽  
Tao Zeng
Keyword(s):  
Ownership Structure ◽  
Empirical Work ◽  
Tax Avoidance ◽  
Content Type ◽  
Listed Firms ◽  
Corporate Ownership Structure ◽  
Cash Flow Rights ◽  
And Control ◽  
The Impact ◽  
The Relationship

Purpose This paper aims to examine the relationship between pyramid ownership structure and tax avoidance. Design/methodology/approach This paper is an empirical work using a sample of Canadian listed firms. Findings Relying on several proxies for tax avoidance, the authors find that firms affiliated with pyramidal structures generally engage in more tax avoidance activities than non-affiliated firms; firms affiliated with more complex pyramids engage in more tax avoidance practices and firms located at the lower tiers of the pyramids avoid more taxes; and some pyramid-affiliated firms with larger deviation between controlling shareholders’ cash flow rights and control rights engage in more tax avoidance practices. Social implications A broader understanding of the relationship between pyramidal structure and tax avoidance can be pursued by including firms in other countries, where the pyramid groups (pyramid structure) are prevalent, but institutional environments differ from that of Canada. Originality/value This study highlights the importance of pyramid ownership in shaping tax avoidance activities among Canadian-listed firms. Canada provides an ideal setting for studying the impact of ownership structure, as it contains a diverse corporate ownership structure ranging from widely held freestanding firms to pyramidal business groups.

scholarly journals Family Ownership and Dividend Policy: Empirical Evidence from Malaysia

2018 ◽  
Vol 13 (5) ◽  
pp. 112 ◽  
Author(s):  
Vasanthan Subramaniam
Keyword(s):  
Family Firms ◽  
Least Square ◽  
Family Ownership ◽  
Corporate Structure ◽  
Listed Firms ◽  
Ordinary Least Square ◽  
Regression Methods ◽  
Agency Conflict ◽  
The Family ◽  
The Relationship

The objective of this study is to investigate the relationship between family ownership and dividend in Malaysian publicly listed firms. Malaysia served as a distinctive country to conduct this research as the corporate structure is largely characterised as family owned and the corporate firms are highly involved in high and stable dividends. The study uses data from 712 firms over the period of five (5) years from the year 2010 to 2014. Adjusted ordinary least square (OLS) regression methods are employed to analyse the data used in the study. Based on the results, family ownership is seen to have a significant positive relationship with dividends in Malaysia, especially in family firms. The finding has supported the reputational view of dividend, mitigation of agency conflict and dividends as the source of income for the family shareholders. However, the expropriation motive of the controlling family shareholders can still be relevant as high dividends were certainly paid to themselves as they are the majority shareholders in the firm. The contribution of the study lies in the behaviour of the controlling family shareholders in both family and non-family firms in Malaysia. The actual motives of them in relation to the enhancement of the shareholders’ wealth can be revealed through the findings of this study.

PENGARUH FAMILY OWNERSHIP, PERUBAHAN TARIF PAJAK DAN KEBIJAKAN HUTANG TERHADAP NILAI PERUSAHAAN

2017 ◽  
Vol 9 (2) ◽  
Author(s):  
Elfina Astrella Sambuaga
Keyword(s):  
Ownership Structure ◽  
Tax Reform ◽  
Stock Exchange ◽  
Family Ownership ◽  
Corporate Debt ◽  
Tax Rates ◽  
Manufacturing Companies ◽  
The Impact ◽  
The Relationship ◽  
Debt Policy

<p>This study aims to provide empirical evidence related to the influence of family ownership, tax reform on corporate debt policy, and further prove the impact on the firm value.This study examined the effect of changes in tax rates in 2009 and 2010 on the relationship between family ownership structure and corporate debt policy. The population of this research is manufacturing companies listed in Indonesia Stock Exchange for 8 consecutive years (2006-2013), with the period of observation for 7 years (2007-2013). A period of 8 years was taken to see a company that is consistently listed on the Stock Exchange prior to the end of the observation period. The result of this study shows that tax reform from progressive tax rates to a flat rate does not affect the relationship between family ownership structure and corporate debt policy. In contrast to the year 2009, changing rate from 28% to 25% in late 2010 was a significant effect on the debt policy with the company of family ownership. Based on the results, it was found that family ownership and debt policy significantly affect the company's enterprise value. It can be concluded, the higher the family ownership, the company's value would be diminished. Instead, the company's value will increase when the company adds to its debt policy.</p><p>Keywords : debt policy, family ownership, firm value, tax reform.</p>

scholarly journals Telework of a Company Employee: Issues of Organizing and Monitoring the Performance of Labor Duties

Webology ◽  
2021 ◽  
Vol 18 (Special Issue 04) ◽  
pp. 1160-1169
Author(s):  
Darya Mikhailovna Kapustina ◽  
Sergey Anatolyevich Makushkin ◽  
Elena Vladimirovna Danilova ◽  
Tamara Ivanovna Alexandrova ◽  
Yuriy Mikhailovich Lagusev ◽  
...  
Keyword(s):  
Organization Of Work ◽  
Legal Nature ◽  
Restrictive Measures ◽  
And Control ◽  
The Relationship ◽  
A Company

Coronavirus pandemic and restrictive measures adopted by the authorities of many states have necessitated the massive transfer of employees of various organizations to remote forms of performing work duties. Such a transfer required a change in approaches to the organization of work and control over the performance of labor duties, which raised many questions and problematic points, both for employees and employers. The purpose of this study is to identify issues of an organizational and legal nature in the relationship between an employee and employer in connection with the forced massive transition to telework and the formation of proposals for resolving problematic aspects.

scholarly journals The Influence of the Antecedents of SCQRM Implementation on Organizational Performance with the Moderating Role of Organizational Culture in the Indonesian Navy

2021 ◽  
Vol 21 (1) ◽  
pp. 81
Author(s):  
Yohannes Enggar Riyadi ◽  
Lucy Warsindah ◽  
Agus Adriyanto ◽  
Dangan Waluyo
Keyword(s):  
Risk Management ◽  
Organizational Culture ◽  
Organizational Performance ◽  
Strategic Leadership ◽  
Control Mechanisms ◽  
Information Control ◽  
And Control ◽  
The Relationship ◽  
Moderating Role

<p><em>This study aims to determine the effect of the antecedents of Supply chain quality risk management (SCQRM) implementation on organizational performance with the moderating role of organizational culture in the Indonesian Navy. Based on data from questionnaire survey data totaling 260 Indonesian Navy officers, the SCQRM theory model is proposed and the structural equation model is used to test the proposed hypothesis. The results show that strategic leadership, information, and control mechanisms are significant antecedents of SCQRM implementation. Furthermore, strategic leadership and information significantly contribute to organizational performance. An interesting finding is that control mechanisms do not have a direct impact on organizational performance, but they do contribute indirectly to organizational performance mediated by SCQRM implementation. Also, SCQRM implementation significantly contributes to organizational performance and the moderating effect of organizational culture strengthens the relationship between SCQRM implementation and organizational performance. This study focuses on the concept and implementation of SCQRM in Indonesian Navy logistics with the role of strategic leadership, information, control mechanisms, and organizational culture to improve organizational performance using single respondents and expert perceptions, namely Indonesian Navy Officers. The managerial implications suggest that complementary benefits arise from the adoption of a more holistic approach to the management of supply chain quality risk at the organizational level with</em><em> </em><em>supported the role of strategic leadership, information, control mechanisms, and organizational culture will improve organizational performance. Three contributions to science in the development of SCQRM theory. <strong>First</strong>, this study develops an SCQRM theoretical model with three unique dimensions (supplier development, risk management integration, and proactive product recall). <strong>Second</strong>, this study provides a new perfection of how the complementarity system of SCQRM is operated to improve organizational performance. Moreover, the findings imply that a successful SCQRM implementation is built on a complementarity power in risk management resources and routines. The multiple manifestations of the three SCQRM dimensions are all driven by a cohesive, yet unobserved synergy, which also forms one of the competencies of the organization. <strong>Third</strong>, this study also provides a new perfection on the role of strategic leadership, information and control mechanisms as antecedents of SCQRM implementation, and the moderating role of organizational culture that strengthens the relationship between SCQRM implementation and organizational performance</em><em>.   </em><strong></strong></p>

scholarly journals Exploring the Impact of Ownership Structure on Earnings Predictability: Insights from Japan

2016 ◽  
Vol 9 (2) ◽  
pp. 97-121
Author(s):  
Mohammed Mehadi Masud Mazumder
Keyword(s):  
Ownership Structure ◽  
Earnings Quality ◽  
Insider Ownership ◽  
Listed Firms ◽  
Reporting Practices ◽  
Corporate Reporting ◽  
Earnings Predictability ◽  
Institutional Shareholders ◽  
The Impact ◽  
The Relationship

Using a very recent data over the period from 2007 to 2012 (sample period 2001–2012), this study estimates the relationship between ownership structure and earnings predictability in Japanese listed companies. In particular, this study investigates how three important categories of ownership (i.e., domestic institutional, foreign and insider ownership) are associated with earnings predictability in Japanese listed firms. The results show that higher domestic institutional (financial) ownership is associated with greater earnings predictability. The findings support the argument that institutional shareholders especially financial institutions ensure effective monitoring over corporate reporting practices which lead to better earnings quality. In sharp contrast, this study finds that incremental foreign institutional ownership in Japanese listed firms is associated with lower earnings predictability. Such finding is contrary to the oversimplifying assumption that increasing cross-border shareholdings is always associated with better earnings quality. This study demonstrates interesting insights regarding the impact of ownership structure on earnings predictability which surely carry significance for Japanese corporate policymakers and future researchers.

scholarly journals Family ownership, premiums paid and performance: Evidence from corporate take-overs in Malaysia

2007 ◽  
Vol 4 (2) ◽  
pp. 89-99 ◽  
Author(s):  
Saw-Imm Song ◽  
Ruhani Ali ◽  
Subramaniam Pillay
Keyword(s):  
Interaction Effect ◽  
Agency Problem ◽  
Developed Countries ◽  
Curvilinear Relationship ◽  
Family Ownership ◽  
Listed Firms ◽  
And Performance ◽  
The Relationship

This study examines the relationship between ownership identity of the largest shareholders, premiums paid and take-over performance, with reference to 63 large acquisitions by Malaysian public listed firms from 1990 to 1999. It is found that the premiums paid are much higher than those in developed countries. It has a curvilinear relationship with take-over performance. At lower to moderate levels of premiums, it improves post-take-over performance while excessive premium drags down the performance of the bidding firms. The finding shows that there is an interaction effect between family ownership and premiums paid which has contributed positively to the post-take-over performance. The evidence suggests that family ownership mitigates agency problem in corporate take-overs

scholarly journals How is firm performance related to family ownership in Malaysia and does board independence moderate the relationship?

2015 ◽  
Vol 11 (2) ◽  
pp. 21-35 ◽  
Author(s):  
Sin-Huei Ng ◽  
Tze San Ong ◽  
Boon Heng Teh ◽  
Wei Ni Soh
Keyword(s):  
Firm Performance ◽  
Agency Theory ◽  
Family Ownership ◽  
Board Independence ◽  
Moderating Effects ◽  
Dominant Party ◽  
The Family ◽  
And Control ◽  
Relationship Of ◽  
The Relationship

This paper explores whether the performance of publicly-listed family-controlled firms in Malaysia is related to the extent of the families’ ownership. It also explores whether there are any moderating effects from the various attributes of board independence on the ownership-performance relationship of these firms. The findings indicate that increasing families’ ownership is related to better firm performance under the condition that the families do not have absolute ownership and control over their firms. However, giving more control via majority ownership that causes the families to become the only dominant party might enhance their ability to expropriate and cause firm performance to deteriorate. Therefore, proposal to increase ownership as a mean to reduce the classical agency-theory problems should be caveated under the principal-principal perspective. It is also found that the various board independence attributes do not exhibit any moderating influence on the family ownership-firm performance relationship. This finding may indicate the powerlessness of the boards of director in Malaysia when encountered with the influential controlling families whom the directorship tenures and opportunities of the non-family directors depend on. Decisions made by the controlling families which have bearing on firm performance may not have been effectively counter checked by the boards due to the lack of truly independent nature of the boards

scholarly journals Exploring the moderating effect of family CEO on the association between family ownership and firm value: An empirical analysis of top Indian family firms

2015 ◽  
Vol 12 (2) ◽  
pp. 349-361
Author(s):  
Lakshmi Kalyanaraman
Keyword(s):  
Family Member ◽  
Empirical Analysis ◽  
Interaction Effect ◽  
Firm Value ◽  
Family Firms ◽  
Stock Exchange ◽  
Moderating Effect ◽  
Market Valuation ◽  
Family Ownership ◽  
The Relationship

We study 288 family firms included in the NSE CNX 500 index of the National Stock Exchange of India. We find an entrenchment-alignment-entrenchment relationship between family ownership and firm value. We show that family CEO has a negative moderating effect on the relationship between family ownership and firm value. When the interaction effect of Family CEO on family ownership is controlled, only family shareholding in the alignment range is found to be statistically significant. The study shows that family firms with family CEO suffer from a decrease in market valuation. This finding is extremely valuable given the fact that India is dominated by family firms and majority of family firms appoint a family member as CEO

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