Journal ArticleDOI
Size really matters: Further evidence on the negative relationship between board size and firm value
Y.T. Mak,Yuanto Kusnadi +1 more
TLDR
In this article, the authors examined the impact of corporate governance mechanisms on the firm value of Singapore and Malaysia firms (as measured by Tobin's Q) and found that there is an inverse relationship between board size and firm value in both countries.Abstract:
This study examines the impact of corporate governance mechanisms on the firm value of Singapore and Malaysia firms (as measured by Tobin's Q ) We find little evidence of relationships between most corporate governance mechanisms and Tobin's Q However, consistent with Yermack [Higher market valuation of firms with a small board of directors J Financ Econ 40 (1996), 185–211] and Eisenberg et al [Larger board size and decreasing firm value in small firms J Financ Econ 48 (1998), 35–54], we find that there is an inverse relationship between board size and firm value in both countries This suggests that the negative relationship between board size and firm value transcends different corporate governance systemsread more
Citations
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Corporate Governance and Bank Performance: Evidence from Macedonia
TL;DR: In this article, the relevance of board size, board composition and CEO qualities in the banks and their performance was investigated, and the development of hypotheses to test whether good corporate governance system can contribute towards higher banks performance.
Journal ArticleDOI
Does corporate governance influence firm performance? Evidence from India
TL;DR: In this paper, the authors examined the impact of some prominent corporate governance attributes such as board size, board independence, role duality, board's gender diversity, ownership concentration and audit committee independence on both market as well as accounting based measures of firm performance.
Journal ArticleDOI
Assessing the Self-governance and Value Creation in Non-profit Organisations
TL;DR: In this paper, the authors examined the relationship between self-governance through board members and firm performance and found significant relationships only between some board characteristics and some measures of financial performance, indicating that board members are not promoting good governance in their organizations.
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Board of director attributes: effects on financial performance in SMEs
TL;DR: In this paper, the relationship between board of director attributes and financial performance in small and medium-sized enterprises (SMEs) was analyzed using an OLS regression model with time-period and industry-fixed effects.
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Effect of Block Ownership on Performance of Malaysian Property Companies
TL;DR: In this paper, the authors examined the relationship between firm performance and the presence of block holders and found that firms with high block ownership have a negative impact on firm performance. But they did not find that Tobin's Q does not reward firms with block owners as the market fears large shareholders would impose their wills in order to improve their own positions at the expense of other shareholders, thus favoring a dispersed ownership structure.
References
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Journal ArticleDOI
Management Ownership and Market Valuation: An Empirical Analysis
TL;DR: This article investigated the relationship between management ownership and market valuation of the firm, as measured by Tobin's Q. In a 1980 cross-section of 371 Fortune 500 firms, they found evidence of a significant nonmonotonic relationship.
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The Modern Industrial Revolution, Exit, and the Failure of Internal Control Systems
TL;DR: The last two decades indicate corporate internal control systems have failed to deal effectively with these changes, especially slow growth and the requirement for exit as mentioned in this paper, which is a major challenge for Western firms and political systems as these forces continue to work their way through the worldwide economy.
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Higher market valuation of companies with a small board of directors
TL;DR: In this paper, the authors present evidence consistent with theories that small boards of directors are more effective, using Tobin's Q as an approximation of market valuation, and find an inverse association between board size and firm value in a sample of 452 large U.S. industrial corporations.
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Additional evidence on equity ownership and corporate value
John J. McConnell,Henri Servaes +1 more
TL;DR: The authors investigated the relation between Tobin's Q and the structure of equity ownership for a sample of 1,173 firms for 1976 and 1,093 firms for 1986 and found a significant curvilinear relation between Q and common stock owned by corporate insiders.
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The separation of ownership and control in east asian corporations
TL;DR: The authors examined the separation of ownership and control for 2,980 corporations in nine East Asian countries and found that voting rights frequently exceed cash-ow rights via pyramid structures and cross-holdings.