scholarly journals Corporate Governance Structure, Financial Capability, and the R&D Intensity in Chinese Sports Sector: Evidence from Listed Sports Companies

2019 ◽  
Vol 11 (23) ◽  
pp. 6810 ◽  
Author(s):  
Gang Chen ◽  
James J. Zhang ◽  
N. David Pifer
Keyword(s):  
Corporate Governance ◽  
Good Governance ◽  
Governance Structure ◽  
Negative Effects ◽  
Financial Capability ◽  
Corporate Governance Structure ◽  
Return On Equity ◽  
Accounts Receivable ◽  
Positive Effects ◽  
Negative Relationships

Innovations are the foundation of an enterprise’s sustainable development, which is particularly important for sports firms in an evolving Chinese sport industrial environment. Analyzing publicly-listed sports firms on The New Third Board (NTB) in China, this study examined the influence of corporate financial capability and corporate governance structure on firms’ R&D intensity through a series of multiple regression models. Findings revealed that corporate financial capability is an important determinant of R&D intensity, and corporate governance structure has a small but meaningful effect on R&D intensity. Specifically, for Chinese sports firms, several financial capability indicators, such as return on equity, accounts receivable turnover, assets turnover, and profit growth rate, have positive relationships with R&D intensity; however, other financial capability indicators, such as leverage and cash flow, have negative relationships with R&D intensity. Limited evidence was found to support the notion that corporate governance significantly influences R&D intensity, although sports firms with good governance mechanisms are more likely to increase the positive effects of financial capabilities on R&D intensity while decreasing the negative effects. Discussions were centered on planning and executing R&D activities in sports companies.

scholarly journals Corporate Governance Structure and Firm Performance

2017 ◽  
Vol 1 (4) ◽  
pp. 55-64
Author(s):  
Wan Nordin Wan Hussin ◽  
Norfaiezah Sawandi ◽  
Hasnah Shaari
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Governance Structure ◽  
Public University ◽  
Profit Margin ◽  
Corporate Governance Structure ◽  
Holding Companies ◽  
Return On Equity ◽  
Net Profit ◽  
Green Book

This study analyses the corporate governance structure and performance of Malaysian public university holdings companies from 2010 to 2014. The sample comprises eight public university holding companies. Data was gathered by using three methods; survey, semi- structured interview, and documentation review. The board structure and board sub-committees’ practices of these case organizations were evaluated against the best practice recommendation of (i) the Malaysian Code on Corporate Governance (MCCG) 2012 (ii) the Green Book 2006, and (iii) other relevant acts. The firm performance is measured using four indicators which are sales, profit before tax, net profit margin and return on equity. Overall, this study finds that the practice and structure of corporate governance of the holding companies are excellent. However, there are companies that did not comply with certain parts of the recommendations of Malaysian Code on Corporate Governance 2012 (MCCG) and the Green Book. The study also observed that the practice of governance between the university companies is not uniform. The analysis of firm performance, two companies, show the highest net profit margin and return on equity. One company reported negative earnings and return on equity. The other five companies reported the net profit margin below 10%. The findings provide an insight into the ministry of education as the shareholder to improve the monitoring of the public university holding companies.

scholarly journals The corporate governance structures of GLCs and NGLCs and firm performance in Malaysia

2011 ◽  
Vol 8 (2) ◽  
pp. 1
Author(s):  
Azmi Abd. Hamid
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Univariate Analysis ◽  
Governance Structure ◽  
Governance Structures ◽  
Return On Assets ◽  
Corporate Governance Structure ◽  
Return On Equity ◽  
Significant Relationships ◽  
And Performance

This study examines the relationship between corporate governance structures and the performance of matched-pairs of Government Linked Companies (GLCs ) and Non-Government Linked Companies INGLCs). The empirical results indicate that there are eight statisticallv significant differences between the corporate governance structures of GLCs and NGLCs, thus providing a rationale for examining the association between corporate governance structure and firm performance of these two distinct groups. Accordingly, univariate and multivariate analyses were performed on two sample sets: GLCs and NGLCs. In the univariate analysis, only Board size (BSZ) exhibited a significant relationship with respect to firm performance, in contrast the multivariate analysis found no empirical evidence of a consistent relationship between corporate governance structure and performance, which was measured in relation to return On Assets (ROA) and Return On Equity (ROE) in GLCs and NGLCs over the same period. Statistically significant relationships were found across groupings and for different performance measures, but were not sustained across all the years considered. The results indicate that despite the identification of eight differences in the governance structures of GLCs and NGLCs, the observed differences in firm performance cannot be explained by governance structure. This finding supports the view that governance structures purely provide appropriate means to monitor company management rather than improve performance.

scholarly journals FIRM PERFORMANCE AND CONDENSED CORPORATE GOVERNANCE MECHANISM: EVIDENCE OF NIGERIAN FINANCIAL INSTITUTIONS

2019 ◽  
Vol 20 (0) ◽  
pp. 403-416
Author(s):  
Alex Adegboye ◽  
Stephen Ojeka ◽  
Kofo Adegboye ◽  
Emmanuel Ebuzor ◽  
Dayo Samson
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Financial Performance ◽  
Financial Institutions ◽  
Good Governance ◽  
Random Effect ◽  
Governance Structure ◽  
Corporate Governance Structure ◽  
Listed Firms ◽  
The Impact

This paper extends the prior studies on corporate performance by empirically exploring the impact of overall corporate governance structure on firm performance. To unveil the objective of this study, firstly corporate governance index is built using Principal Component Analysis with 6 (six) identified corporate governance mechanisms from prior studies and then examines its effect on firms’ performance. This study draws a sample of twenty-four (24) financial companies from the listed financial institutions in Nigeria for the period of 2013–2017. The formulated hypotheses are tested by employing static panel data estimators that are Fixed effect and Random Effect Regression. The results reveal that while controlling for firms’ characteristics, constructed corporate governance indicator has a significant and negative influence on the firm performance measured by Return on Asset and Return on Equity. This finding supports that larger board, larger board committees and significant executive involvement have a detrimental influence on the performance of firms. The result implies a weak corporate governance structure is detrimental to higher financial performance amidst the weak institutions characterized in Nigeria context. That is, weaker corporate governance exhibits lower financial performance. This study then recommends that the corporate governance structure in Nigeria listed firms should be review with the intention to enhance the firm performance. Furthermore, it encourages the regulatory agencies like Central Bank of Nigeria, National Insurance Commission and Securities and Exchange Commission, to monitor the compliance of the listed firms to good governance endeavour.

CORPORATE GOVERNANCE IN THE 19TH CENTURY: EVIDENCE FROM THE CHESAPEAKE AND OHIO CANAL COMPANY

2009 ◽  
Vol 36 (2) ◽  
pp. 113-137 ◽  
Author(s):  
Robert W. Russ ◽  
Gary John Previts ◽  
Edward N. Coffman
Keyword(s):  
Corporate Governance ◽  
19Th Century ◽  
Annual Report ◽  
Governance Structure ◽  
Review Committee ◽  
Corporate Governance Structure ◽  
Theoretical Structure ◽  
The 19Th Century ◽  
The U.S

Presenting evidence from a 19th century corporation, the Chesapeake and Ohio Canal Company (C&O), the paper shows that issues of corporate governance have existed since the first corporations were established in the U.S. The C&O used a stockholder review committee to review the annual report of the president and directors. The paper shows how the C&O stockholders used this committee to supplement the corporate governance structure. The corporate governance structure of the C&O is also viewed from a theoretical structure as espoused by Hart [1995].

THE STOCKHOLDER REVIEW COMMITTEE OF THE CHESAPEAKE AND OHIO CANAL COMPANY, 1828–1857: EVIDENCE OF CHANGES IN FINANCIAL REPORTING AND CORPORATE GOVERNANCE

2006 ◽  
Vol 33 (1) ◽  
pp. 125-143 ◽  
Author(s):  
Robert W. Russ ◽  
Gary J. Previts ◽  
Edward N. Coffman
Keyword(s):  
Corporate Governance ◽  
19Th Century ◽  
Financial Reporting ◽  
Financial Management ◽  
Governance Structure ◽  
The Political ◽  
Review Committee ◽  
Corporate Governance Structure ◽  
Corporate Form ◽  
The 19Th Century

Canal companies were among the first enterprises to be organized in the corporate form and to require large amounts of capital. This paper examines the stockholder review committee of a 19th century corporation, the Chesapeake and Ohio Canal Company (C&O), and discusses how the C&O used this corporate governance structure to monitor and improve financial management and operations. A major strength was the concern and dedication of the stockholders to the company, while a major weakness was the political control exerted by the State of Maryland. The paper provides an historical perspective on corporate governance in the 19th century. This research contributes to the literature by providing detailed workings and practices of a stockholder review committee. The paper documents corporate governance efforts in archival sources that provide an early example of accountability required in a corporate charter and the manner in which the stockholders carried out this responsibility.

Is internal and external mechanism of governance enriching the performance of the banking sector of Pakistan?

2017 ◽  
Vol 17 (4) ◽  
pp. 629-642 ◽  
Author(s):  
Sundas Sohail ◽  
Farhat Rasul ◽  
Ummara Fatima
Keyword(s):  
Corporate Governance ◽  
Banking Sector ◽  
Good Governance ◽  
Random Effect ◽  
Random Effect Model ◽  
General Meeting ◽  
Governance Structure ◽  
Board Structure ◽  
Content Type ◽  
The Impact

Purpose The purpose of this study is to explore how governance mechanisms (internal and external) enhance the performance of the return on asset (ROA), return on equity (ROE), earning per share (EPS) and dividend payout ratios (DP) of the banks of Pakistan. The study incorporates not only the internal factors of governance (board size, out-ratio, annual general meeting, managerial ownership, institutional ownership, block holder stock ownership and financial transparency) but also the external factors (legal infrastructure and protection of minority shareholders, and the market for corporate control). Design/methodology/approach The sample size of the study consists of 30 banks (public, private and specialized) listed at the Pakistan Stock Exchange (PSE) for the period 2008-2014. The panel data techniques (fixed or random effect model) have been used for the empirical analysis after verification by Hausman (1978) test. Findings The results revealed that not only do the internal mechanisms of governance enhance the performance of the banking sector of Pakistan but external governance also plays a substantial role in enriching the performance. The findings conclude that for a good governance structure, both internal and external mechanisms are equally important, to accelerate the performance of the banking sector. Research limitations/implications Internal and external mechanisms of corporate governance can also be checked by adding some more variables (ownership i.e. foreign, female and family as internal and auditor as external), but they are not added in this work due to data unavailability. Practical implications The study contributes to the literature and could be useful for the policy makers who need to force banks to mandate codes of governance through which they can create an efficient board structure and augment the performance. The investments from different forms of ownership can be accelerated if they follow the codes properly. Social implications The study facilitates the bankers in incorporating sound codes of corporate governance to enhance the performance of the banks. Originality/value This work is unique as no one has explored the impact of external mechanism of governance on the performance of the banking sector of Pakistan.

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