Corporate Governance and Performance in Hong Kong Founded Family Firms: Evidence From the Hang Seng Composite Industry Index

2017 ◽  
Vol 51 (1) ◽  
pp. 401-410 ◽  
Author(s):  
Dr Kim Lee ◽  
Dr Lisa Barnes
Keyword(s):  
Corporate Governance ◽  
Hong Kong ◽  
Family Firms ◽  
And Performance

scholarly journals Agency costs, corporate governance mechanisms and performance of public listed family firms in Malaysia

2011 ◽  
Vol 42 (3) ◽  
pp. 17-26 ◽  
Author(s):  
H. Ibrahim ◽  
F. A. Samad
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Firm Value ◽  
Agency Costs ◽  
Family Firms ◽  
Family Ownership ◽  
Governance Mechanisms ◽  
Corporate Governance Mechanisms ◽  
Utilization Ratio ◽  
And Performance

We compare corporate governance and performance between family and non-family ownership of public listed companies in Malaysia from 1999 through 2005 measured by Tobin’s Q and ROA. We also examine the governance mechanisms as a tool in monitoring agency costs based on asset utilization ratio and expense ratio as proxy for agency costs. We find that on average firm value is lower in family firms than non-family firms, while board size, independent director and duality have a significant impact on firm performance in family firms as compared to non-family firms. We also find that these governance mechanisms have significant impact on agency costs for both family and non-family firms.

scholarly journals Internationalization and Performance of Chinese Family Firms: The Moderating Role of Corporate Governance

2015 ◽  
Vol 11 (4) ◽  
pp. 645-678 ◽  
Author(s):  
Jane Wenzhen Lu ◽  
Xueji Liang ◽  
Mengmeng Shan ◽  
Xiaoya Liang
Keyword(s):  
Corporate Governance ◽  
Family Firms ◽  
Negative Impact ◽  
Positive Impact ◽  
Empirical Support ◽  
Organization Structure ◽  
Two Dimensions ◽  
Chinese Family ◽  
Successful Implementation ◽  
And Performance

ABSTRACTThis study investigates the differential effects of internationalization on two dimensions of family firms’ performance: growth and profitability. Drawing on the contingency theory, we argue that the successful implementation of internationalization strategy requires an appropriate organization structure, which is usually absent in Chinese family firms. To the extent that such a structure is established, these firms can realize greater benefits from internationalization. From a sample of 225 family firms in China, our predictions receive empirical support. We find that internationalization has a positive impact on growth but a negative impact on profitability. The negative internationalization–firm profitability relationship highlights the challenges internationalizing Chinese family firms face. The positive moderating effect of corporate governance, a critical component of organization structure, underscores the need for appropriate corporate governance to support the implementation of strategy. The findings have important practical implications for the internationalization of Chinese family firms.

Compensation of top brass, corporate governance and performance of the Indian family firms – an empirical study

2017 ◽  
Vol 13 (3) ◽  
pp. 529-551 ◽  
Author(s):  
Palanisamy Saravanan ◽  
Maram Srikanth ◽  
Suhas M. Avabruth
Keyword(s):  
Corporate Governance ◽  
Panel Data ◽  
Executive Compensation ◽  
Family Firms ◽  
Emerging Market ◽  
Content Type ◽  
Indian Family ◽  
The Family ◽  
And Performance ◽  
Practical Implications

Purpose The objective of this study is to understand the linkages among executive compensation, corporate governance and performance of the Indian family and non-family firms. Further, the study also analyzes the level of shareholding pattern of the Indian family firms on their performance and the executive compensation. Design/methodology/approach The authors have collected panel data of the companies listed on the National Stock Exchange of India Limited. The data set consists of 284 companies (both family and non-family) for the period 2005–2014. The authors have made use of a dynamic panel data model with generalized method of moments (GMM) estimation to formulate the hypotheses and used fixed-effects regression model to check the robustness of our findings. Findings The authors find support for the agency theory, stewardship theory and resource dependence theory in the paper. Specifically, variables related to executive compensation, corporate governance (board size, proportion of independent directors on board, chief executive officers duality and other directorships held by the executive directors outside the company), firm performance (Tobin’s Q), leverage and shareholding pattern of the family are significant in this study. Practical implications The study has practical implications for all stakeholders of the family and non-family firms, especially in the emerging market economies. It can be used as a reference guide by various other stakeholders of the family firms, viz., customers, educators, tax authorities, government and society. Originality/value The authors confirm that their research is original and provides valuable insights on the Indian family firms. The authors study cross-holding of directorships, inter alia, in the Indian family business groups. As most of the previous studies in the Indian context ignored this important aspect, this study is unique in nature.

scholarly journals The corporate governance drivers: What relations with performance and risk? Empirical evidence from Italian contex

2013 ◽  
Vol 10 (4) ◽  
pp. 510-523 ◽  
Author(s):  
Francesca Bernini ◽  
Giovanna Mariani ◽  
Delio Panaro
Keyword(s):  
Corporate Governance ◽  
Empirical Evidence ◽  
Default Risk ◽  
Family Firms ◽  
Good Governance ◽  
Z Score ◽  
Governance Quality ◽  
Good Relation ◽  
And Performance ◽  
Corporate Governance Quality

Considering a sample of Italian firms and defining a good Governance index (gGI), we investigated if there is a relation between the gGI, the performance and the default risk and which governance determinants are most responsible of these effects. To deepen the analysis, the aforementioned relations are also observed by comparing family and non-family firms and the companies more or less active in M&A. We found that the Corporate Governance quality presents some correlations with performance and risk. The non-family companies are better structured, showing a positive correlation between some Corporate Governance drivers and performance and Z-score. Furthermore, the “well-advised” firms in external strategies are able to obtain a better correlation with performance and also a good relation with Z-score.

Structural aspects of corporate governance and family firm performance: a systematic review

2018 ◽  
Vol 8 (3) ◽  
pp. 306-330 ◽  
Author(s):  
Edem M. Azila-Gbettor ◽  
Ben Q. Honyenuga ◽  
Marta M. Berent-Braun ◽  
Ad Kil
Keyword(s):  
Corporate Governance ◽  
Family Firms ◽  
Empirical Studies ◽  
Family Firm ◽  
Future Research ◽  
Content Type ◽  
Family Governance ◽  
Search Terms ◽  
And Performance ◽  
Future Work

PurposeThe purpose of this paper is to systematically review and examine extant knowledge on corporate governance structures (CGS) and performance relation within family firm and set the agenda for future research.Design/methodology/approachThe study analyses the content of 159 empirical articles retrieved mainly from Google Scholar and published between 2000 and 2016 in 61 highly ranked journals across different disciplines.FindingsThe review reveals fixation on quantitative approach and its associated techniques in examining CGS and performance nexus. The results from the review demonstrate heterogeneous relation between measures of CGS and performance. Suggestions for further studies include: measurement of non-economic performance of the family firm and incorporation of moderators and mediators from the organizations’ environment through the adoption of multilevel research.Research limitations/implicationsThe limitations of this review include: first, issues relating to key/search terms and journals used for the study; this may not be exhaustive and hence likely to lead to omission of key publications. Second, scholarly attention in terms of empirical studies on family governance, including family council, family assembly and family constitution, has been scarce (Suess, 2014; Klein, 2008; Witt, 2008); hence family governance is outside the scope of this review. In sum, future work may explore other keywords and publications not used in this review and consider review of family governance.Originality/valueThe authors offer a multidisciplinary conceptual framework that synthesizes and integrates the existing literature on CGS across different disciplines within family firms. This provides researchers across different disciplines a common platform for interdisciplinary discourse.

Corporate Governance and Performance of Organizations

2018 ◽  
Vol 9 (5) ◽  
pp. 439-446
Author(s):  
Hamid Ait lemqeddem ◽  
◽  
Mounya Tomas ◽  
Keyword(s):  
Corporate Governance ◽  
Agency Theory ◽  
Theoretical Foundation ◽  
Quantitative Approach ◽  
Governance Practices ◽  
Deductive Method ◽  
Private And Public ◽  
Is Theory ◽  
And Performance ◽  
Do So

There is renewed interest in the need to focus on corporate governance in an environment where it is a performance imperative for all small and large organizations, private and public, beginner or established.The purpose of this study is to demonstrate the place of corporate governance practices in organizations to ensure that the board, officers, and directors take action to protect shareholder interests and all stakeholders. It is important to focus on the effect of these practices on improving performance and competitiveness. To do so, we opted for the hypothetico-deductive method with a quantitative approach. Our theoretical foundation is theory is agency theory.

Sign in / Sign up

Export Citation Format

Share Document