scholarly journals Institutions, Board Structure, and Corporate Performance: Evidence from Chinese Firms

2011 ◽  
Author(s):  
Tao Chen
Keyword(s):  
Corporate Performance ◽  
Board Structure ◽  
Chinese Firms

Board structure, board committees and corporate performance in Russia

2017 ◽  
Vol 43 (10) ◽  
pp. 1073-1092 ◽  
Author(s):  
Irina Berezinets ◽  
Yulia Ilina ◽  
Anna Cherkasskaya
Keyword(s):  
Corporate Performance ◽  
Emerging Market ◽  
Panel Data Analysis ◽  
Gender Diversity ◽  
Board Independence ◽  
Board Structure ◽  
Company Performance ◽  
Public Companies ◽  
Content Type ◽  
Board Committees

Purpose The purpose of this paper is to investigate the link between board structure and performance of public companies in Russia – an emerging market with unique institutional background and a variability of corporate governance (CG) practices across its companies. Design/methodology/approach Panel data analysis was applied on a sample of 207 Russian companies that frequently traded in the Russian Trading System during the period 2007-2011, in order to test hypotheses on the relationships between board size, board independence, gender diversity, presence of board committees and financial performance, as measured by Tobin’s Q. Findings The results show a positive relationship between Tobin’s Q and the board’s gender diversity. The analysis demonstrates that smaller and bigger boards are associated with a greater Tobin’s Q value. Originality/value The findings provide additional evidence of how board structure is related to its effectiveness and corporate performance in countries with concentrated ownership, highly variable CG practices and a lack of proper implementation of corporate law and governance codes. The paper contributes to the existing empirical evidence on the advantages of small and large-sized boards and on gender diversity, and is the first investigating the relationship between Russian companies’ board committees and market-based performance. The results regarding board independence and committees suggest that these mechanisms are still not widely recognized for their role in CG and company performance in Russia.

Board interlocks and corporate performance among firms listed abroad

2015 ◽  
Vol 21 (2) ◽  
pp. 257-282 ◽  
Author(s):  
Mike W. Peng ◽  
Canan C. Mutlu ◽  
Steve Sauerwald ◽  
Kevin Y. Au ◽  
Denis Y.L. Wang
Keyword(s):  
Hong Kong ◽  
Global Economy ◽  
Corporate Performance ◽  
Historical Period ◽  
Outside Directors ◽  
Chinese Firms ◽  
Content Type ◽  
Mainland Chinese ◽  
Strategic Networks ◽  
Board Interlocks

Purpose – This paper aims to explore the interlock-performance relationship among mainland Chinese firms listed in Hong Kong by taking advantage of a relationship-intensive context whereby such a link is likely to be especially important. Although strategic networks such as interlocking directorates have been found to affect a number of strategic behaviors, the link connecting board interlocks and corporate performance has remained ambiguous. Considerable light has been shed on the strategic networks of firms whose shares are listed abroad, which have been under-studied despite their rising importance in the global economy. Design/methodology/approach – Data come from a particularly interesting historical period – the early 1990s prior to Hong Kong’s 1997 handover to China. Both quantitative and qualitative research have been used. Findings – Empirically, it was found that good performance in an earlier period helps draw outside directors in a later period, and that network centrality and certain types of interlocks help improve performance, albeit with varying degrees. Overall, our results answer the question whether strategic networks such as interlocks matter for corporate performance with a qualified “yes”. Originality/value – Taking advantage of a relationship-intensive context, this article explores the interlock-performance relationship among mainland Chinese firms listed in Hong Kong. Focus is specifically on the two years, 1993 and 1995, due to their specific historical importance because these two years represent the beginning of Chinese firms’ listing in Hong Kong.

scholarly journals Trends on the relationship between board size and financial and reputational corporate performance

2018 ◽  
Vol 27 (2) ◽  
pp. 183-197 ◽  
Author(s):  
Luis Antonio Orozco ◽  
Jose Vargas ◽  
Raquel Galindo-Dorado
Keyword(s):  
Empirical Evidence ◽  
Corporate Reputation ◽  
High Performance ◽  
Resource Dependence ◽  
Corporate Performance ◽  
Resource Dependence Theory ◽  
Board Structure ◽  
Board Size ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this paper is to investigate the relationship between board size (B-SIZE) and financial and reputational corporate performance in top companies ranked by the Business Monitor of Corporate Reputation – MERCO in Colombia. Design/methodology/approach This paper conducts correlations and cluster analysis in order to classify firms based on performance and control variables, using a sectional sample of 84 large companies in Colombia over the period 2008-2012. Findings This research founds that large boards are associated with high performance on corporate reputation, as stated by the resource dependence theory, and a low-financial performance, as predicted by the agency theory. However, the results indicate that there is no relation between financial and reputational performance. Research limitations/implications This research considered only large companies listed by MERCO. Therefore, the results can only be generalized for top firms in Colombia according to this list. However, results add empirical evidence to theoretical debate between B-SIZE and firm performance considering financial and reputational indicators. Practical implications According to the OECD manual of good corporate governance practices, the optimal B-SIZE has between five to nine core members. The board structure has a direct impact over the firm’s financial and reputational performance and must be carefully analyzed by shareholders to balance the size according to expected results and firm’s features like family ownership, exportation activities and norms of stock markets. Originality/value This paper contributes to the existing literature on the relationship between B-SIZE and corporate performance with the evaluation of financial and reputational results for the case of an emerging economy. In Latin America, this analysis must go beyond OECD recommendations, and shall consider the context of an emerging country based on empirical evidence.

scholarly journals Board Structure and Firm Performance:Evidence from Emerging Market

2020 ◽  
Vol 8 (5) ◽  
pp. 2305-2311
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Financial Performance ◽  
Corporate Performance ◽  
Emerging Market ◽  
Small Sample ◽  
Independent Director ◽  
Board Structure ◽  
Board Size ◽  
Firm Financial Performance

This paper fulfils the purpose by studying the effect of corporate board structure i.e., board size and independent director on firm financial performance for selected focused and diversified Indian companies. This study analyses the corporate governance structure of 76 Indian companies (60 focused and 16 diversified companies) listed on the BSE-Sensex for ten years from the year 2007-2016 using panel data analysis. The empirical findings showed a positive relationship of board size with firm performance and significant negative association of independent director with the corporate performance of focused Indian firms, while in the diversified Indian firm, board size found to be positively related to financial performance and independent director found to be negatively related to corporate performance. The result has shown that board structure has seemed to be significant in listed focused firm with firm performance while board structure of diversified firm seems to be insignificant with firm performance, it might be because of small sample size and dynamics of an emerging economy in India which is different from the developed economies of the world. This study implied that in emerging or developing economy like India, lower independent director usually boost company value, and adequate board size will significantly impact on firm performance both in case of focused and diversified firms. This research paper contribute and fill existing gap in literature on corporate governance by examining and establishing relation between firm performance and board structure with focused and diversified Indian firms.

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