scholarly journals Foreign Ownership and Performance of Listed Firms: Evidence from an Emerging Economy

2013 ◽  
Author(s):  
Phan Huu Viet
Keyword(s):  
Foreign Ownership ◽  
Emerging Economy ◽  
Listed Firms ◽  
And Performance

scholarly journals Should Firms Keep a Balance between State and Foreign Ownership? A Perspective on Financial Constraints and Investments in Vietnam

2019 ◽  
Vol 9 (4) ◽  
pp. 517-530
Author(s):  
Christopher Gan ◽  
Dao Le Trang Anh
Keyword(s):  
Financial Management ◽  
Financial Constraints ◽  
Foreign Ownership ◽  
Essential Elements ◽  
State Ownership ◽  
Financial Outcomes ◽  
Listed Firms ◽  
Financial Firms ◽  
Cash Flow Sensitivity ◽  
And Performance

State and foreign ownership are increasing their role in financial management and performance of Vietnamese enterprises in the context of global and regional economic integration. Meanwhile, financial constraints and investments are two essential elements affecting corporate financial success. This study investigates the influences of governmental and foreign ownership on financial constraints and investment decisions of enterprises in Vietnam. Using regression models for panel data of 657 non-financial firms listed in Vietnam stock market, the study reveals that Vietnam listed firms with higher rates of state-owned shares exhibit higher levels of financial constraints. State ownership also restricts firms’ investments. On the other hand, foreign ownership helps to reduce the investment – cash flow sensitivity and enhances the firms’ investment levels. As a result, the study recommends that Vietnamese firms should try to eliminate the role and percentage of state ownership as well as attract more foreign investors to enhance the financial barrier and increase more promising investment opportunities to boost the firms’ financial outcomes.

How do resources and diversification strategy explain the performance consequences of internationalization?

2014 ◽  
Vol 52 (5) ◽  
pp. 897-915 ◽  
Author(s):  
Yan Chen ◽  
Yiwei Jiang ◽  
Chengqi Wang ◽  
Wen Chung Hsu
Keyword(s):  
Emerging Market ◽  
Product Diversification ◽  
Firm Resources ◽  
Diversification Strategy ◽  
Data Set ◽  
Content Type ◽  
Listed Firms ◽  
Performance Consequences ◽  
Performance Effects ◽  
And Performance

Purpose – The purpose of this paper is to examine how firm resources and diversification strategy explain the performance consequences of internationalization of emerging market enterprises. Design/methodology/approach – The paper conducts a regression analysis by using a novel panel data set comprising of 685 listed Chinese firms over the period of 2008-2011. Findings – The results show that the relationship between internationalization and performance is inverse U-shaped. Further, marketing resources play a greater role in enhancing the performance effects of internationalization than technological resources do. Related product diversification enhances the performance effects, while unrelated product diversification does the contrary. Research limitations/implications – The study focusses on listed firms in one country, and as a result, the findings cannot be generalized to non-listed firms and firms in other countries. Practical implications – This paper offers guidelines for international managers to improve performance of internationalization by developing a particular type of resources and diversification strategy. Originality/value – This paper extends the literature on the functional form of the internationalization-performance relationship, and further suggests that the analysis of the performance consequences of internationalization should go beyond the nexus between internationalization and performance, and focusses on firm-specific resources and strategies that may facilitate or constrain the performance effects of internationalization.

Impact of sourcing from the informal economy on the export likelihood and performance of emerging economy firms

2021 ◽  
Author(s):  
Octavio Escobar ◽  
Olivier Lamotte ◽  
Ana Colovic ◽  
Pierre-Xavier Meschi
Keyword(s):  
Empirical Study ◽  
Competitive Advantage ◽  
Informal Economy ◽  
Institutional Economics ◽  
Export Performance ◽  
Emerging Economy ◽  
Institutional Voids ◽  
Manufacturing Plants ◽  
And Performance ◽  
Unique Dataset

Abstract Building on the institutional economics perspective, we study how local firms in an emerging economy exploit institutional voids by sourcing inputs from industries with a large informal economy. We argue that this allows them to build a cost-related competitive advantage and leverage it both to export and to enhance export performance. The empirical study uses a unique dataset compiled by the Mexican authorities covering manufacturing plants between 2005 and 2012. Our results indicate that firms operating in industries that procure from industries with an extensive informal economy are more likely to export and to have better export performance.

scholarly journals Determinants of Capital Structure within the Context of Corporate Governance in Egypt

2018 ◽  
Vol 13 (8) ◽  
pp. 26 ◽  
Author(s):  
Hanaa A. El-Habashy
Keyword(s):  
Corporate Governance ◽  
Capital Structure ◽  
Emerging Economy ◽  
Managerial Ownership ◽  
Listed Firms ◽  
Western Countries ◽  
Specific Factors ◽  
The Impact ◽  
The Capital Structure

This study aims to investigate the characteristics of corporate governance that impact the capital structure decisions in listed firms in Egypt, to test the efficiency of the research results conducted in the developed Western countries in an emerging economy. A sample of 240 observations from the most active non-financial companies collected in the period 2009-2014 was used for hypothesis testing. Multiple regression models (OLS) were used for data analysis. Seven variables are used in measuring the attributes of corporate governance; they are the managerial ownership, institutional shareholding, shares owned by a large block, board size, board composition, separation of CEO/Chair positions and audit type. Four ratios were calculated for measuring the capital structure, they are long-term and short-term debt to assets, total debt to assets and debt to equity. The results suggest that corporate governance attributes have a significant impact on the capital structure decisions of listed Egyptian companies. In addition, firm-specific factors such as profitability, tangibility, growth opportunities, corporate tax, firm size and non-debt tax shields influence the choice of capital structure in Egypt. The results showed the same relationship with what was obtained in developed Western countries. The paper offers some contribution in the literature and helps to understand the impact of corporate governance on Egypt's capital structure as an emerging economy.

Determinants of voluntary formation of risk management committees

2014 ◽  
Vol 29 (7) ◽  
pp. 649-671 ◽  
Author(s):  
Nkoko Blessy Sekome ◽  
Tesfaye Taddesse Lemma
Keyword(s):  
South Africa ◽  
Risk Management ◽  
Corporate Governance ◽  
Management Practices ◽  
Emerging Economy ◽  
Board Structure ◽  
Content Type ◽  
Listed Firms ◽  
Practical Implications

Purpose – The aim of this paper is to examine the nexus between firm-specific attributes and a company’s decision to setup a separate risk management committee (RMC) as a sub-committee of the board within the context of an emerging economy, South Africa. Design/methodology/approach – The authors analyse data extracted from audited annual financial reports of 181 non-financial firms listed on the Johannesburg Securities Exchange (JSE) by using logistic regression technique. Findings – The results show a strong positive relationship between the existence of a separate RMC and board independence, board size, firm size and industry type. However, the authors fail to find support for the hypotheses that independent board chairman, auditor reputation, reporting risk and financial leverage have an influence on a firm’s decision to establish RMC as a separately standing committee in the board structure. The findings signify the role of costs associated with information asymmetry, agency, upkeep of a standalone RMC, damage to the reputation of directors and industry-specific idiosyncrasies on a firm’s decision to form a separate RMC. Research limitations/implications – As in most empirical studies, this study focuses on listed firms. Nonetheless, future studies that focus on non-listed firms could add additional insights to the literature. Investigating the role of firm-specific governance attributes other than those considered in the present study (e.g. gender of directors, ownership structure, etc.) could further enhance the understanding of antecedents of risk-management practices. Practical implications – The findings have practical implications for the investment community in assessing the quality of risk management practices of companies listed on the JSE. Furthermore, the results provide insights that are potentially useful to the King Committee and other corporate governance regulators in South Africa in their effort to improve corporate governance practices. Originality/value – The present study focuses on firms drawn from an emerging economy which has profound economic, institutional, political and cultural differences compared to advanced economies, which have received a disproportionately higher share of attention in prior studies. Thus, the study contributes additional insights to the literature on corporate risk management from the perspective of an emerging economy.

Analysis of the Nexus between CEO Pay and Performance of Non-Financial Listed Firms in Nigeria

2017 ◽  
Vol 29 (3) ◽  
pp. 429-445 ◽  
Author(s):  
Clement Olalekan Olaniyi ◽  
Olufemi Bodunde Obembe ◽  
Emmanuel Oluwole Oni
Keyword(s):  
Listed Firms ◽  
Ceo Pay ◽  
And Performance
Sign in / Sign up

Export Citation Format

Share Document