scholarly journals Blockholder Ownership as Governance Mechanism on Firm Performance: Evidence From Malaysia

2020 ◽  
Vol 11 (1) ◽  
pp. 27
Author(s):  
Ahmad Ibn Ibrahimy ◽  
Rubi Ahmad
Keyword(s):  
Firm Performance ◽  
Positive Relationship ◽  
Corporate Control ◽  
Governance Mechanism ◽  
Minority Shareholders ◽  
Concentrated Ownership ◽  
Managerial Decisions ◽  
Relationship Of ◽  
The Relationship ◽  
Positive Effect

We examined the relationship between blockholder ownership and firm performance in the context of high concentrated ownership in Malaysia coupled with weak regulatory framework. Blockholder ownership is used as monitoring device to verify the significant role in managerial decisions accordance with maximizing shareholders’ wealth. Consequently, blockholders may have personal incentive to the expropriation of minority shareholders’ wealth by exercising their corporate control. We found a positive significant relationship with small effect of beta coefficients by both market and accounting based measurements. The positive relationship of blockholders as institutions is the conformity of monitoring hypothesis. The results indicate a very week monitoring impact of blockholders on executives’ decisions that improve the firm performance by reducing the agency costs. Additionally, the significant low positive effect of profit volatility is representing the efficacy of blockholders until a certain level.

scholarly journals INDUSTRIAL DIVERSIFICATION AND FIRM PERFORMANCE OF MANUFACTURING: DOES EFFICIENCY MATTER?

TRIKONOMIKA ◽  
2018 ◽  
Vol 17 (2) ◽  
pp. 72
Author(s):  
Rahmat Setiawan ◽  
Riska Agustin
Keyword(s):  
Firm Performance ◽  
Market Share ◽  
Sampling Method ◽  
Positive Relationship ◽  
Significant Positive Effect ◽  
Manufacturing Companies ◽  
Industrial Diversification ◽  
Relationship Of ◽  
The Relationship ◽  
Positive Effect

Industrial diversification is one of the important strategies in developing the firm’s market share which is expected to improve firm’s performance. When a firm wants to diversify the industry, it requires knowledge and efficiency of managers in managing the strategy so that it can increase the benefits of the existence of industrial diversification relationship with firm’s performance. This study aims to examine the effect of efficiency on the relationship between industrial diversification and firm’s performance in manufacturing companies in Indonesia. By using the purposive sampling method and the 2012-2016 study periods, we obtained data from 70 manufacturing companies with a total of 253 observations. We found that industrial diversification had a significant positive effect on firm’s performance. Efficiency as a moderating variable shows that efficiency strengthens the positive relationship of industrial diversification on firm performance.

scholarly journals Equity ownership structure and corporate performance using industry-adjusted measures

2010 ◽  
Vol 7 (4) ◽  
pp. 49-61
Author(s):  
Bingsheng Yi ◽  
Jang Shee Barry Lin ◽  
Jane Mooney
Keyword(s):  
Firm Performance ◽  
Ownership Structure ◽  
Firm Value ◽  
Shape Effect ◽  
Minority Shareholders ◽  
Insider Ownership ◽  
Negative Effect ◽  
Equity Ownership Structure ◽  
The Relationship ◽  
Positive Effect

This paper applies a more robust methodology in industry-adjustment on measuring firm performance as related to ownership structure. We consider insider ownership, institutional ownership, and blockholder ownership. Even after controlling for the endogeneity of insider ownership, we still find positive effect of insider ownership on firm performance, which is conflicting with results found by other recent studies. We find a non-linearity in the relationship between insider ownership and firm performance, but our results do not support a relationship as neat as the inverse U-shape effect found by earlier studies. Our results indicate that the effects of the insider and square of insider on performance are positive, yet the effect of the cubic of insider ownership on firm performance is negative. As no other study based on U.S. data used the cubic of insider ownership and document its effect, our finding is new. We find strong negative effect of blockholder ownership on firm performance, and our results indicate that institutional investors are efficient monitors whose existence helps improving firm value and protecting outside minority shareholders.

scholarly journals Does ownership structure influence firm performance? Empirical insights from an emerging market

2012 ◽  
Vol 1 (4) ◽  
pp. 165-175 ◽  
Author(s):  
Everton Dockery ◽  
Ioraver Tsegba ◽  
Wilson Herbert
Keyword(s):  
Firm Performance ◽  
Ownership Structure ◽  
Emerging Market ◽  
Corporate Control ◽  
Effective Mechanism ◽  
Institutional Climate ◽  
Concentrated Ownership ◽  
Alternative Hypotheses ◽  
Research Questions ◽  
The Relationship

This paper examines empirically the question of whether ownership structure leads to improvements in firm performance in an emerging market like Nigeria. The institutional climate in Nigeria differs from that of many industrialized economies in several ways, including a weak corporate control market, a strong concentrated ownership and weak investor protection. We utilize data on 73 firms, allowing us to discriminate between alternative hypotheses and to answer causal research questions on the relationship between ownership structure and firm performance. The results for concentrated ownership structure suggest that concentrated ownership has negative and insignificant impact on firm performance, which lend some credence to the entrenchment effects. Overall, the evidence supports the view that foreign ownership can be an effective mechanism to impact and thus ameliorate performance and, moreover, highlights the importance of assessing firm performance across alternative governance structures.

Relationship of Corporate Governance with Firms Performance and Dividend Payout: A Literature Review

Think India ◽  
2018 ◽  
Vol 21 (2) ◽  
pp. 26-35
Author(s):  
Sushila Soriya ◽  
Narender Kumar
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Research Work ◽  
Future Research ◽  
Governance Mechanism ◽  
Research Papers ◽  
Dividend Payout ◽  
Corporate Governance Mechanism ◽  
Relationship Of ◽  
The Relationship

The present study aims to find the research gap between corporate governance, firm performance, and dividend payout through available literature and develop future scope of the study. The study reviewed 100 research papers covering time from 1995 to 2016. The papers were classified and analyzed based on various approaches. The review of literature indicates that research work on area of corporate governance has increased after 2007-08 crises. The study reveals that the relationship of different variables of corporate governance with dividend payout and firm performance are mixed in nature. It also indicates that different countries have different socio-economic, cultural, political, and legal dimensions that in turn affect the governance regulations of any country. Present study classifies, summarizes, and analyzes the past literature and provides a comprehensive review on corporate governance mechanism, which may be helpful for future research in same area.

A critical review of relationship between corporate governance and firm performance: GCC banking sector perspective

2015 ◽  
Vol 15 (1) ◽  
pp. 18-30 ◽  
Author(s):  
Tamanna Abdul Rahman Dalwai ◽  
Rohaida Basiruddin ◽  
Siti Zaleha Abdul Rasid
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Banking Sector ◽  
Future Research ◽  
Governance Mechanism ◽  
Content Type ◽  
Conventional Banks ◽  
Relationship Of ◽  
The Impact ◽  
The Relationship

Purpose – The purpose of this paper is to evaluate existing studies on the relationship of corporate governance with firm performance in different regions and address the need for similar analysis for the Gulf Coperation Council (GCC) sector. The banking sector comprises the conventional and Islamic banks in the GCC sector and is important due to their ability to bring stability to this region. Existing studies that measure the relationship of GCC sector conventional banks and firm performance are limited. This study proposes a need for future research on corporate governance in the GCC region. Design/methodology/approach – This paper will review and analyze the different empirical and theoretical contributions in establishing the relationship between corporate governance and firm performance. Findings – This paper will create a focus for future research of measuring the impact of corporate governance mechanism on firm performance. The regulators will be encouraged to focus on more research studies for the GCC sector development in the field of corporate governance of the banking sector. Research limitations/implications – The existing studies are valid and practicable for the region under study, and the results need not be applicable for other business environments. In addition, the evolving business and economic environment have always brought about inconsistent conclusions; thus, the period of study can always give varied results. Practical implications – The analysis undertaken in this paper will address the literature gaps for the GCC banking sector and play an instrumental role for future studies by theoreticians and regulators. Originality/value – This paper identifies the literature gaps for the GCC region and analyses the most applicable existing studies that can be useful for the banking sector corporate governance improvement. This paper will create opportunities for the future researchers.

scholarly journals Ownership structure, organization stability and biotechnology company performance

2016 ◽  
Vol 13 (2) ◽  
pp. 109-116
Author(s):  
Ting-Yi Cheng ◽  
Hung-Cheng Lai
Keyword(s):  
Firm Performance ◽  
Quantile Regression ◽  
Ownership Structure ◽  
Corporate Performance ◽  
Company Performance ◽  
Biotechnology Company ◽  
Biotechnology Companies ◽  
Relationship Of ◽  
The Relationship ◽  
Positive Effect

In this paper, the authors use the method of quantile regression to analyze the effect of different ownership structure and organization stability on the performance of biotechnology company. Data from the 2004 and 2015 Taiwan listed biotechnology companies are the research samples to find out the relationship of ownership structure, organization stability and corporate performance. The results show that the ownership structure and the organization stability have a positive effect on firm performance

Relationship of Love, Affect and Wellbeing

2014 ◽  
Vol 2 (1) ◽  
Author(s):  
Dr. Thiyam Kiran Singh ◽  
Aastha Dhingra
Keyword(s):  
Positive Affect ◽  
Positive Emotions ◽  
Positive Relationship ◽  
Interpersonal Relationship ◽  
Significant Positive Relationship ◽  
Young Females ◽  
Close Friendship ◽  
Major Facilitator ◽  
Relationship Of ◽  
The Relationship

Love is more than a close friendship. It acts as a major facilitator of interpersonal relationship. Love is positive in nature and leaves a positive affect on every individual. An individual in love not only feels positive but spreads positivity around. They smile, be kind to other people, behave compassionately with everyone. If the person is happy then he is likely to be psychologically and emotionally healthy. The current study aimed at understanding the relationship between love, affect and wellbeing among young females aged between 20-25 years. The study reported a significant positive relationship between love and positive affect with the significant correlation of 0.29 at 0.05 levels (p<0.05). It was also found a significant positive relationship between love and wellbeing with the significant correlation of 0.58 at 0.01 level (p<0.01). This means that people in love experience positive emotions and healthy wellbeing. The correlation between love and negative affect came out to be insignificant. The correlation turned out to be -0.13. This means that people in love do not experience negative emotions.

Attitudes of Parents and Guardians towards Education, School and Teachers, and Children's Academic Achievement

1996 ◽  
Vol 79 (3_suppl) ◽  
pp. 1387-1390 ◽  
Author(s):  
Varghese I. Cherian ◽  
Lily Cherian
Keyword(s):  
Academic Achievement ◽  
Analysis Of Variance ◽  
Positive Relationship ◽  
Education School ◽  
Relationship Of ◽  
The Relationship

To study the relationship of parents' attitudes towards teachers, school, and education with the academic achievement of their children, a questionnaire was given to the parents of 1021 Standard 7 pupils (369 boys and 652 girls) randomly chosen from the Standard 7/Year 9 population of 14,765 boys and 26,109 girls. Analysis of variance indicated a positive relationship between parents' attitudes and the academic achievement of their children regardless of whether the children's parents were deceased or alive.

How does renqing influence purchase intentions in the Chinese business-to-business context?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Xun Zhang ◽  
Biao Xu ◽  
Jun Wu
Keyword(s):  
Positive Relationship ◽  
Purchase Intentions ◽  
Moderating Effect ◽  
Content Type ◽  
Mediating Role ◽  
Chinese Business ◽  
The Relationship ◽  
Business To Business ◽  
Positive Effect

Purpose This study aims to examine the relationship between renqing and purchase intentions and the mechanism of its impact in the Chinese business-to-business (B2B) context. Design/methodology/approach Renqing in China has played an important role in business relationships and has been receiving increased attention in both practice and theory. However, little is known about whether it can influence purchase intentions in a rational B2B condition. This research aims to examine the relationship between renqing and purchase intentions and the mechanism of its impact in the Chinese B2B context. Based on a survey of 1,010 industry buyers from 468 Chinese downstream buyer companies, the empirical findings indicate a positive relationship between renqing and purchase intentions and the mediating role of long-term orientation (LTO) for increasing purchase intentions. In addition, this study also finds that product involvement (PI) has a negative moderating effect on the relationship between renqing and purchase intentions, which means that renqing has a big positive effect on purchase intentions in low PI conditions. The results highlight several implications for B2B companies that sell products to Chinese enterprises. Findings The empirical findings indicate a positive relationship between renqing and purchase intentions and the mediating role of LTO for increasing purchase intentions. In addition, this study also finds that PI has a negative moderating effect on the relationship between renqing and purchase intentions, which means that renqing has a big positive effect on purchase intentions in low PI conditions. Originality/value First of all, by answering the research question, this study shows that renqing has a positive effect on purchase intentions in Chinese B2B context. Second, this study elucidates the influence mechanism of renqing on purchase intention and identifies the mediating effect of LTO and the moderating effect of PI.

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