scholarly journals International Experts’ Influence on Company Internationalization

2021 ◽  
Vol 29 (4) ◽  
Author(s):  
Grygorii Kravchenko
Keyword(s):  
Stock Exchange ◽  
Random Effect ◽  
Supervisory Board ◽  
Generalized Least Squares ◽  
Foreign Ownership ◽  
Company Performance ◽  
Least Squares Regression ◽  
Foreign Markets ◽  
Supervisory Boards ◽  
International Experts

Purpose: The article evaluates the associative relationship between international supervisory board experts and foreign ownership, along with the experts’ influence on the financial and operating performance of firms. The study was based on data collected for 257 companies listed on the Warsaw Stock Exchange in 2010–2015. Methodology: The dataset was built as a panel, and then generalized least squares regression models with a fixed or random effect were employed to test hypotheses. Findings: The findings of the study clearly show that the presence of investigated firms in foreign markets positively affects company performance. Moreover, models with dependent variables ROA and ROS show that supervisory board members with foreign experience positively affect profitability indicators of firms that do not operate on foreign markets. The data analyses reveal that international experts are more effective advisors for companies that conduct no business activities on foreign markets. Furthermore, the results show a positive moderate association between the share of international experts in supervisory boards and the share of foreign ownership in the company. Originality: The article contributes to the understanding of determinants and consequences of the presence of international experts in supervisory boards and company internationalization.

scholarly journals The effect of international experts on company financial performance

2021 ◽  
Vol 45 (3) ◽  
pp. 203-232
Author(s):  
Grygorii Kravchenko
Keyword(s):  
Financial Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Random Effect ◽  
Supervisory Board ◽  
Generalized Least Squares ◽  
Research Approach ◽  
Firm Financial Performance ◽  
International Experts ◽  
The Impact

Objective: The article aims to evaluate the influence of international supervisory board experts on firm financial performance, based on the impact of international experts’ characteristics, such as their knowledge, experience, independence, and connections. Methodology/research approach: The empirical study is based on a unique handcollected dataset covering a final sample of 256 companies listed on the Warsaw Stock Exchange (WSE) and which operated on the market during the observation period 2010- 2015. The Generalized Least Squares (GLS) regression model with a random effect is employed to test the hypotheses. Findings: The findings strongly suggest that the presence of supervisory board members with an outside perspective and international experience may exert a positive impact on companies’ operational outcomes. Research limitations/implications: The research has practical implications for Polish governmental agencies, as it verifies the usefulness of the recommendations for supervisory board composition presented in the Best Practices for WSE Listed Companies. Originality/value: The study contributes to the existing literature on the factors that affect company performance. Consequently, great value is added to the research on supervisory board characteristics that are crucial for effective monitoring and advisory roles, enhancing the quality of corporate governance.

scholarly journals Pengaruh Board Diversity terhadap Manajemen Laba

2019 ◽  
Vol 4 (2) ◽  
pp. 223-233
Author(s):  
Dewi Fatimah
Keyword(s):  
Earnings Management ◽  
Stock Exchange ◽  
Random Effect ◽  
Gender Diversity ◽  
Random Effect Model ◽  
Fixed Effect Model ◽  
Ordinary Least Squares ◽  
Least Squares Regression ◽  
Board Diversity ◽  
Effect Model

This study examines the effect on board diversity against earning management. The used samples are non-financial companies listed on the Indonesia Stock Exchange from 2010 to 2013. The data collection method using a purposive sampling method and data used are panel data. The regression used is ordinary least squares regression (OLS) with a fixed-effect model approach and the random effect model. The results showed that board diversity proxied by gender, age, education, and tenure no significant effect on earnings management, whereas the diversity proxy board with tenure significant effect on earnings management. Earnings management using discretionary accruals proxy and use a proxy for board gender diversity, age, minority education, and tenure.

scholarly journals Active family control and company performance: the role of foreign investment moderation and bank debt

2018 ◽  
Vol 22 (1) ◽  
Author(s):  
Perminas Pengeran
Keyword(s):  
Family Firms ◽  
Stock Exchange ◽  
Foreign Ownership ◽  
Company Performance ◽  
Bank Debt ◽  
Family Control ◽  
The Family ◽  
The Relationship ◽  
Moderating Role

This study was to examine the moderating role of foreign ownership and Bank debt on the influence of active family control toward the family firm performance. Based on purposive sampling techniques, this study used 18 family firms listed in Indonesia Stock Exchange (IDX), during the period of 2006-2011. The results of this study showed several important findings. Firstly, foreign ownership positively moderated the effect of active family control on profitability. Secondly, likewise, bank debt negatively moderated the effect of active family control on profitability. Thirdly, foreign ownership negatively moderated the effect of active family control on dividends payment. Finally, bank debt positively moderated the influence of active family control on dividends payment. These results revealed that the foreign ownership and bank debt serves as moderator on the relationship between active family control and financial performance.

scholarly journals Do Gender and Education Matter for Company Financial Performance? Evidence from Indonesian Companies

2021 ◽  
Vol 9 (1) ◽  
pp. 14
Author(s):  
Adam Zakaria ◽  
Suherman Suherman ◽  
Agung Dharmawan Buchdadi ◽  
Sukma Andika Rahmayanti ◽  
Muhammad Edo Suryawan Siregar
Keyword(s):  
Financial Performance ◽  
Stock Exchange ◽  
Random Effect ◽  
Gender Diversity ◽  
Random Effect Model ◽  
Further Education ◽  
Company Performance ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Return On Equity

This research is aimed to investigate the influence of gender diversity and educational level in board of commissioner on the performance of non-financial company listed in Indonesia Stock Exchange for 2013-2017 period. Gender diversity as the first research variable was measured by female existence as the head of commissioner, female existence on board of commissioner and its proportion. Meanwhile, education level of female in board of commissioner as the second variable was measured with dummy 1 for master and doctoral graduate and 0 for other levels. Next, the company performance variable is proxied with a return on assets (ROA), return on equity (ROE), and Tobin’s Q. The model employed in this research was an unbalanced data panel using fixed and random effect model approach. The results show that gender diversity has a significant impact on ROA, but an insignificant impact on ROE and Tobin’s Q. Further, education does not have a significant impact on financial performance. In general, board characteristics do not have an important role in determining financial performance.

scholarly journals Accelerating Company Performance through Dividend Payout Policy: A Trend Analysis of Automobile Sector Listed in Pakistan Stock Exchange

2021 ◽  
Vol 7 (1) ◽  
pp. 117-141
Author(s):  
Nisar Ahmad ◽  
Mohsin Nazir ◽  
Naseer Abbas
Keyword(s):  
Business Performance ◽  
Stock Exchange ◽  
Random Effect ◽  
Payout Policy ◽  
Company Performance ◽  
Dividend Payout ◽  
Size Growth ◽  
Equity Ratio ◽  
Relationship Of ◽  
The Relationship

The study explains the relationship of dividend payout policy on the business performance of companies that exist in automobile sector of Pakistan. 100 companies are selected from automobile sector. Relationship of dividend payout policy and business performance was controlled with four variables based on relevant theories. These variables include size of company, growth of company leverage debt to equity ratio and corporate governance index. Panel data is collected from 2012-2017 six years and then analyzed with unit root, descriptive statistics, correlation analysis, OLS regression, Lagrange multiplier, Huasman test, fixed effect and Random effect models. Following key findings for each research objective were obtained by applying the adopted research method on the data through the adopted method of analyses: The results showed that the automobile companies showed positive relationship between their dividend payout policy and profitability and it was concluded that both dependent and independent variables are positively related in this sector and size, growth and leverage are the controlling predictors of the relationship.

scholarly journals Voluntary Disclosure on Ownership Structure and Company Characteristics Perspective

2020 ◽  
Vol 1 (1) ◽  
pp. 001-017
Author(s):  
Inna Nurjannah ◽  
Indriyana Puspitosari
Keyword(s):  
Voluntary Disclosure ◽  
Stock Exchange ◽  
Random Effect ◽  
Institutional Ownership ◽  
Foreign Ownership ◽  
Negative Influence ◽  
Positive Influence ◽  
Managerial Ownership ◽  
Company Size ◽  
Random Effect Models

According to agency theory, voluntary disclosure can be used as a way to reduce agency costs arising from agency problems. This voluntary disclosure is considered as a way to control agents. Voluntary disclosure is a form of providing information from the company to its stakeholders in addition to mandatory disclosure. Voluntary disclosure has benefits for both managers and shareholders and stakeholders. This study aims to investigate the effect of managerial ownership, foreign ownership, institutional ownership, company size and company age on the extent of voluntary disclosure made by the company. By using 324 observations of companies listed on the Indonesia Stock Exchange in 2017-2018 the results of the Random effect models state that there is a positive influence between company size and company age. then managerial ownership and voluntary disclosure have a negative influence. Institutional ownership and foreign ownership have no influence on voluntary disclosure.

scholarly journals THE EFFECT OF BOARD OF COMMISSIONERS ETHNIC, FAMILY OWNERSHIP AND THE AGE OF THE COMPANY TOWARDS THE PERFORMANCE OF THE COMPANY LQ45 COMPANY LISTED IN INDONESIA STOCK EXCHANGE

2019 ◽  
Vol 1 (2) ◽  
pp. 1-8
Author(s):  
Ramdani Bayu Putra ◽  
Fitri Yeni ◽  
Hasmaynelis Fitri ◽  
Diki Jasrizal Melta
Keyword(s):  
Stock Exchange ◽  
Random Effect ◽  
Random Effect Model ◽  
Sampling Technique ◽  
Negative Influence ◽  
Family Ownership ◽  
Company Performance ◽  
Independent Variables ◽  
Effect Model ◽  
Positive Effect

This study aims to examine how the ethnic influence of the board of commissioners (Chinese) on company performance, family ownership of company performance and company age on company performance. And the effect of all independent variables on dependent. The  population of this study is the LQ45 company listed on the Indonesia Stock Exchange from 2013-2017. The sampling technique in this study is Purposive Sampling. Based on observations from 2013-2017 the samples in this study were 23 companies from the LQ45 company. This study uses panel data and the method used is the Hausman Test using Random Effect Model.   The results of this study indicate that the Ethnic Board of Commissioners and family ownership do not affect the Company Performance while the Company Age has a positive effect on Company Performance. Taken together,it turns out that Ethnic Board of Commissioners, Family and Company Ownership have a negative influence on the Company's Performance in LQ45 Companies that are listed on the Indonesia Stock Exchange in 2013-2017. Finally,  the authors suggest that the performance of the company increases the company must increase the Age of the Company by continuing to carry out or run company activities so that they have more experience and the authors also suggest that further research add variable size companies to get better research results.

scholarly journals The Effect of Environmental, Social, and Governance (ESG) Disclosure and Competitive Advantage on Companies Performance as An Implementation of Sustainable Economic Growth in Indonesia for Period of 2015-2019

2021 ◽  
Vol 940 (1) ◽  
pp. 012059
Author(s):  
M F F Lubis ◽  
R Rokhim
Keyword(s):  
Competitive Advantage ◽  
Negative Impact ◽  
Positive Impact ◽  
Stock Exchange ◽  
Random Effect ◽  
Random Effect Model ◽  
Company Performance ◽  
Effect Model ◽  
The Government ◽  
Sustainable Economic Growth

Abstract Environmental issues have gained quite attention in recent years. Many scientists believe that sustainability is one of many options that can reduce the environmental problems. Drawn by the importance of sustainability aspects while doing business, this study aims to investigate the effect of environmental, social and governance (ESG) disclosure on company performance, moderated by competitive advantage. This study used a sample of 52 publicly listed companies on the Indonesia Stock Exchange that consistently disclose their ESG scores between 2015-2019. This research used panel data which is processed using random effect model data. The results of this study indicate that ESG disclosure has a negative impact on company performance. When the moderating variable, competitive advantage, are introduced in the model, ESG disclosure has a positive impact on company performance, but it is insignificant. Our results showed the implementation of ESG in Indonesia is still very low and shed light the lack of governance by the government and the financial authorities.

scholarly journals The Relationship Between Good Corporate Governance and Performance of Most Liquid Stocks in Indonesia

2020 ◽  
Vol 11 (1) ◽  
pp. 137
Author(s):  
Abdul Karim ◽  
Agus Purwanto
Keyword(s):  
Corporate Governance ◽  
Audit Quality ◽  
Stock Exchange ◽  
Foreign Ownership ◽  
Company Performance ◽  
Positive Effects ◽  
Good Corporate Governance ◽  
Analysis Technique ◽  
New Perspective ◽  
And Performance

The purpose of this study is to analyze the influence of independent commissioners, managerial ownership, foreign ownership, debt, and audit quality on the performance of company shares included in LQ 45 on the Indonesia Stock Exchange. The research sample is LQ 45 companies that issued financial statements as much as 120 companies with analysis technique used is multiple regression with one dependent variable and five independent variables. The results showed that foreign ownership, debt and audit quality have significant and positive effects on company performance. Moreover, the insider share ownership and the composition of independent commissioners were proven to not significantly affect company performance. This finding is practically useful to expand the possibility of foreign ownership, facilitate regulation of debt and quality audit obligations to improve stock performance. This study offers a new perspective on the implementation of good corporate governance in the context of the performance of liquid stocks on the stock exchange.

scholarly journals Impact of Ownership Structure on Earnings Management: Evidence from Pakistan

2018 ◽  
Vol 1 (1) ◽  
pp. 51-58
Author(s):  
Amir Rafique ◽  
Mouhammad Hanif Akhtar ◽  
Muhammad Umer Quddoos ◽  
Sher Dil Khan Jadoon
Keyword(s):  
Earnings Management ◽  
Ownership Structure ◽  
Stock Exchange ◽  
Random Effect ◽  
Random Effect Model ◽  
Institutional Ownership ◽  
Foreign Ownership ◽  
Financial Firms ◽  
Effect Model ◽  
The Impact

The aim of the current study is to examine the impact of ownership structure on earnings management by using three aspects of ownership i.e. managerial, institutional and foreign. The sample consists of non-financial firms included in KSE-100 index of Pakistan Stock Exchange (PSX). The modified Jones model is used to calculate earnings management and random effect model regression is applied to test the impact of ownership structure on earnings management. The findings reveal that firms with high managerial and foreign ownership, engage more in earnings management. However, analysis reveal insignificant relationship between institutional ownership and earnings management.

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