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 in emerging markets: A survey
TL;DR: A review of recent research on corporate governance with a special focus on emerging markets is presented in this paper, where the authors find that better corporate governance benefit firms through greater access to financing, lower cost of capital, better performance, and more favorable treatment of all stakeholders.
Journal ArticleDOI
The Too-Much-of-a-Good-Thing Effect in Management
Jason R. Pierce,Herman Aguinis +1 more
TL;DR: The too-much-of-a-good-thing effect (TMGT) as discussed by the authors is a meta-theoretical principle that suggests that antecedent variables widely accepted as leading to desirable consequences actually lead to negative outcomes.
Journal ArticleDOI
The impact of board size on firm performance: evidence from the UK
TL;DR: The authors examined the impact of board size on firm performance for a large sample of 2746 UK listed firms over 1981-2002 and found that board size has a strong negative impact on profitability, Tobin's Q and share returns.
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Dominant Shareholders, Corporate Boards and Corporate Value: A Cross-Country Analysis
TL;DR: In this article, the authors investigate the relation between corporate value and the proportion of the board made up of independent directors in 799 firms with a dominant shareholder across 22 countries and find a positive relation, especially in countries with weak legal protection for shareholders.
Journal ArticleDOI
Dominant shareholders, corporate boards, and corporate value: A cross-country analysis
TL;DR: In this paper, the authors investigate the relation between corporate value and the proportion of the board made up of independent directors in 799 firms with a dominant shareholder across 22 countries and find a positive relation, especially in countries with weak legal protection for shareholders.
References
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Determinants of corporate ownership and board structure: evidence from Singapore
TL;DR: In this article, the authors examined the determinants and interrelationships among corporate ownership and board structure characteristics using a sample of Singapore listed firms, and found that the proportion of outside directors is negatively related to managerial ownership, board size and government ownership.
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Controlling shareholders and corporate value: Evidence from Thailand
TL;DR: In this paper, the authors investigated the effect of controlling shareholders on corporate performance and found that the presence of controlling owners is associated with higher performance, when measured by accounting measures such as the ROA and the sales-asset ratio.
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Banks, Ownership Structure, and Firm Value in Japan
TL;DR: This paper investigated the relation between firms' ownership structures and q ratios in Japan and found that at low levels of ownership by main banks, firms' q ratios fall as bank equity ownership rises.
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The Impact of Stock‐Option Compensation for Outside Directors on Firm Value*
Eliezer M. Fich,Anil Shivdasani +1 more
TL;DR: The authors study firms adopting stock-option plans for outside directors in a sample of Fortune 1000 firms from 1997 to 1999, and conclude that such stockoption plans help align the incentives of outside directors and shareholders, thereby improving firm value.
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The impact of public opinion on board structure changes, director career progression, and CEO turnover: evidence from CalPERS' corporate governance program
TL;DR: In this article, the California Public Employees' Retirement System (CalPERS) influences public opinion by publicly naming the companies having poor corporate governance, which damages the reputations of management and directors at these companies and these companies respond by improving their corporate governance.