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Governance Mechanisms and Performance of Publicly Traded Companies
| Content Provider | Scilit |
|---|---|
| Author | Felício, J. Augusto Galindo-Villardón, Purificación |
| Copyright Year | 2014 |
| Description | Rooted in agency theory, this study analyzes the relationship between governance mechanisms and theperformance of listed firms in countries with different levels of economic development and shareholdingconcentration. The study uses graphic representations of the HJ-Biplot method to perform holistic analysis. Thismethod is effective for qualitative evaluation of relationships. Based on observations from 146 listed companies,this study compares two different contexts and governance backgrounds. Results show that governancemechanisms affect firm performance differently depending on whether firms are operating in a contextcharacterized by concentration or dispersion of voting rights. Sector and company size also influence corporategovernance mechanisms and firm performance. This holistic approach yields important contributions to theliterature because, despite the number of studies that exist, there is still insufficient understanding of howspecific governance mechanisms affect company valuation and performance. This study demonstrates theimportance and influences that sector of activity, company size, and context have in developing proper corporategovernance mechanisms. |
| e-ISSN | 27905187 |
| DOI | 10.5539/ijbm.v9n12p1 |
| Journal | International Journal of Business and Management |
| Issue Number | 12 |
| Volume Number | 9 |
| Language | English |
| Publisher | Canadian Center of Science and Education |
| Publisher Date | 2014-11-24 |
| Access Restriction | Open |
| Subject Keyword | Applied Ethics Firm Performance Company Size Corporategovernance Mechanisms |
| Content Type | Text |
| Resource Type | Article |