Showing papers on "Corporate group published in 2023"
TL;DR: This article showed that state, family, and foreign owners of affiliated firms show distinct propensities to adopt an environmental management system, owing to differences in legitimacy needs, ownership competencies, and group-level preferences to engage in systematic environmental practices.
3 citations
TL;DR: In this article , the authors examined the impact of three business strategies separately and in combination on the tendency for firms to engage in corruption and concluded that the three strategies are mutually reinforcing and that firm-level and country-level efforts complement each other in mitigating corruption.
Abstract: We examine the impact of three business strategies separately and in combination on the tendency for firms to engage in corruption. Using a sample of 56,827 firm-year observations for small- and medium-sized enterprises (SMEs) over the 2006–2018 period, we find that firms with business group affiliations are more likely to engage in corrupt practices in countries with low business freedom. However, those in countries with high business freedom are less likely to do so. We also find that firms that engage the services of external auditors and adopt international standards are less likely to be corrupt, especially in countries with weak financial reporting standards. Our results also show that corruption intensity reduces even more for firms that employ the three strategies, whether we consider institutional factors or not. This result holds when we use a three-way interaction term. We conclude that the three strategies are mutually reinforcing and that firm-level and country-level efforts complement each other in mitigating corruption.
2 citations
TL;DR: In this article , the authors studied the relationship between business group ownership and constituent firms' adoption of Anglo-American shareholder value governance in African firms at the undertaking of an initial public offering (IPO).
Abstract: Research Question/Issue This is a study of the relationship between business group ownership and constituent firms' adoption of Anglo-American shareholder value governance in African firms at the undertaking of an initial public offering (IPO). Research Findings/Insights We find business group ownership to be associated with lower Anglo-American corporate governance adoption by constituent firms. However, this association is reversed in the institutional context of higher tribalism, while correspondingly being exacerbated in the context of lower tribalism. Theoretical/Academic Implications We theorize that the influence of business group ownership on firms' adoption of Anglo-American corporate governance is better understood when considering the institutional context. We highlight how informal cultural institutions are heterogeneous and thus shape the indigenous political economy and impact business groups. Specifically, we argue institutional contexts with higher tribalism are associated with more in-group favoritism and nepotism. This association makes it critical for business group constituent firms to escape the constraints of the political economy of tribalism when attracting outside funding, leading to a higher inclination to adopt Anglo-American governance. Contrastingly, in lower tribalism contexts, there is more universal trust across societies and an increased availability of domestic funding. Practitioner/Policy Implications Given the proliferation of business group ownership within economies worldwide, the study provides a useful framework with which to gauge the influence of business group ownership on a constituent firm's adoption of Anglo-American governance best practice. In particular, the study emphasizes that the interdependence of formal institutional architecture and tribalism—both fundamentally associated with the demographic shape and with the incentive structures embedded within the underlying national political economy—calls for careful considerations when making national corporate governance recommendations.
TL;DR: In this article , the authors analyzed the short stories of substantive civil law on the definition of new categories of corporate disputes, their occurrence, legal entities, and the contradictions of departmental subordination.
Abstract: Issues of corporate relations and corporate governance are topical in the development of the country's economy. As President of the Republic of Kazakhstan K. Tokayev noted in his messages, dozens of national holdings, thousands of state-owned enterprises, and quasi-state organizations operate in the country. However, there is a question about the results and quality of their work, and only in one or two cases is the corporate governance system up to par. This suggests that in other organizations it is necessary to develop a corporate governance system. Its place in the economy is important, because due to the lack of an international corporate governance system of the appropriate level, enterprises and organizations cannot raise funds through the stock exchange. In the article, the author gives the scientific concept of "corporation", "corporate disputes", analyzes the short stories of substantive civil law on the definition of new categories of corporate disputes, their occurrence, legal entities. Suggests ways to identify actual problems related to the definition of departmental subordination of corporate disputes, namely the contradictions of departmental subordination and understanding the reasons that caused them, and their resolution. Emphasizes the features of substantive and procedural law in relation to corporate disputes. In addition, during the transitional period of the economy of Kazakhstan, changes and additions are made to some sections of the law «On a joint-stock company», which provides an effective form of management and business of a joint-stock company. Key words: corporation, corporate dispute, joint-stock company, legal entity, shares, corporate relations, dividends, earnings per share, share market price, court, lawsuit.
TL;DR: This paper reviewed domestic and foreign papers related to keiretsu and chaebol from 2001 to 2020 and found that research related to Asian business groups is so closely related to corporate performance that it cannot be considered separately.
Abstract: Purpose – Business groups in Korea and Japan have different national environments. It will be possible to examine how their corporate governance affects performance and finance, and how it affects economic development and innovation through literature research related to the field of international management. Design/Methodology/Approach – This study reviewed domestic and foreign papers related to keiretsu and chaebol from 2001 to 2020. As a result, we selected and analyzed 39 foreign journals and 6 domestic journals, a total of 45 papers. Findings – It was found that interest in the impact of each factor on corporate performance, such as internationalization, resources and capabilities, business group attributes, and corporate governance, was high. It was found that research related to Asian business groups, especially chaebol and keiretsu, is so closely related to corporate performance that it cannot be considered separately. However, domestic journals only focused on chaebol research, and there was no research on keiretsu. Research Implications – It is expected that the roles and discussions of business groups will be expanded by reviewing existing literature on Korea’s chaebol and Japan's keiretsu among business groups, and reviewing comparative literature under different corporate governance structures. In addition, it will serve as an opportunity to identify the direction of academic research through a literature review of business groups in the two countries.
TL;DR: In this article , the authors focus on the unique roles of business group affiliation in enhancing corporate sustainability performance (CSP) in emerging economies and argue that business group affiliates tend to have higher CSP than their non-affiliated counterparts because their unique roles and history of BG development exert stronger institutional pressures on them.
Abstract: Does business group (BG) affiliation enhance corporate sustainability performance (CSP) in emerging economies? This paper focuses on the unique roles of BG affiliation in enhancing CSP amid increasing institutional pressures for more contributions to the society and stakeholders. The empirical evidence on the relationship between BG affiliation and CSP is inconclusive. Although BGs effectively insulate their affiliate firms from external shocks and pressures by internalizing various resources, they are vulnerable to institutional pressures for enhanced CSP. We argue that BG affiliates tend to have higher CSP than their non-affiliated counterparts because their unique roles and history of BG development in emerging economies exert stronger institutional pressures on them. However, affiliate centrality and foreign ownership reduce the positive effect of BG affiliation on CSP in emerging economies because BG firms can exercise agency in response to institutional pressures.
TL;DR: This paper examined the economic consequences of financial analysts with business group concentration (analysts covering several member firms within a business group) and found that analysts covering one member firm within a group produce less accurate earnings forecasts.
Abstract: This study examines the economic consequences of financial analysts with business group concentration (analysts covering several member firms within a business group). Based on Chinese sample, we find that analysts covering one member firm within a group produce less accurate earnings forecasts. However, analysts covering several firms within a group predict earnings more accurately. Moreover, group concentration analysts provide superior earnings forecasts for those member firms when they share stronger information links. Furthermore, they are more likely to move to a bigger brokerage house after obtaining better forecasts. Finally, they help alleviate investors’ inattention to information links among group-affiliated firms.
TL;DR: In this article , the authors examined whether business group affiliates engage in social capital and knowledge sharing relations with firms within their groups more than they do with peers outside the group, and compared group affiliated and independent firms in terms of performance and innovation.
Abstract: The present study examines whether business group affiliates engage in social capital and knowledge sharing relations with firms within their groups more than they do with peers outside the group. In addition, this study compares group affiliated and independent firms in terms of performance and innovation. Using survey data from 128 Turkish business group affiliated and independent manufacturing firms, findings indicate that while group firms’ relations within and outside the group show significant differences in terms of tacit, explicit knowledge sharing and social capital in the form of trust, affiliated and independent firms do not differ in terms of performance, innovation and other characteristics, such as institutional support, organizational capital and absorptive capacity. This study contributes to the business group research by examining whether affiliation creates value for firms in an emerging economy.
01 Jan 2023
01 Jan 2023
TL;DR: Wang et al. as mentioned in this paper analyzed the high-profile acquisition between these two companies, aiming to analyze the motivation of this acquisition and its impact on the acquirer, Alibaba group, and the acquiree, Kaola.com.
Abstract: Alibaba Group, as one of the leaders in the adoption of e-commerce business model in China and even in the world, many of its transaction behaviours have been analyzed to obtain more business enlightenment. Kaola.com also has considerable influence as an e-commerce platform that implemented membership system earlier in China. This research would analyze the high-profile acquisition between these two companies, aiming to analyze the motivation of this acquisition and its impact on the acquirer, Alibaba group, and the acquiree, Kaola.com. Through this case analysis, it is obvious that this acquisition could be regarded as a friendly acquisition, and the companies involved in this acquisition had achieved healthy and sustainable development.
05 Jan 2023
TL;DR: In this article , the authors take up the challenge to imagine how corporate law might look if not only women and other marginalized groups, but also a feminist perspective emphasizing the importance of power dynamics, equity, community, and diversity in corporate law.
Abstract: Corporate law has traditionally assumed that men organize business, men profit from it, and men bring cases in front of male judges when disputes arise. It overlooks or forgets that women are dealmakers, shareholders, stakeholders, and businesspeople too. This lack of inclusivity in corporate law has profound effects on all of society, not only on women's lives and livelihoods. This volume takes up the challenge to imagine how corporate law might look if we valued not only women and other marginalized groups, but also a feminist perspective emphasizing the importance of power dynamics, equity, community, and diversity in corporate law. Prominent lawyers and legal scholars rewrite foundational corporate law cases, and also provide accompanying commentary that situates each opinion in context, explains the feminist theories applied, and explores the impact the rewritten opinion might have had on the development of corporate law, business, and society.
14 Jun 2023
TL;DR: In this paper , the authors provide a systematic review of the chaebol and the role that business groups have played in the economy of Korea, and three distinct bibliometric networks are analyzed, namely the scientific collaboration network, bibliographic coupling network, and keyword co-occurrence network.
Abstract: South Korea has become one of the most important economies in Asia. The largest Korean multinational firms are affiliated with influential family-owned business groups known as the chaebol. Despite the surging academic popularity of the chaebol, there is a considerable knowledge gap in the bibliometric analysis of business groups in Korea. In an attempt to fill this gap, the article aims to provide a systematic review of the chaebol and the role that business groups have played in the economy of Korea. Three distinct bibliometric networks are analyzed, namely the scientific collaboration network, bibliographic coupling network, and keyword co-occurrence network.
TL;DR: In this article , the authors explore the differential gains from internationalization for different forms of corporate governance, and show that business group firms are better able to exploit firm-specific assets, leveraging these into higher returns to internationalization.
Abstract: Abstract The purpose of this study is to explore the differential gains from internationalization for different forms of corporate governance. In particular, we seek to move from the question concerning whether firms are able to generate differential gains from internationalization, to the question of why. Our focus is on ownership structure, and the differential rates at which business group affiliated firms and standalone firms gain from internationalization. Using a unique data set of some 356 standalone and business group affiliated firms, we show that while the marginal gains from internationalization may be greater for standalone firms, business group firms are better able to exploit firm-specific assets, leveraging these into higher returns to internationalization.
TL;DR: In this article , the authors analyze the problems of group companies in the Indonesian legal system and analyze forms of monopolistic practices and unfair business competition through the business strategy of groups using the normative legal research method using statutory approaches, case approaches, and conceptual approaches.
Abstract: The development of group companies today is an implication of the globalization era which makes business competition more open and free and at the same time can plunge business actors into monopoly practices. The aim of this research is to analyze the problems of group companies in the Indonesian legal system and to analyze forms of monopolistic practices and unfair business competition through the business strategy of group companies (groups). While the method used is the normative legal research method using statutory approaches, case approaches, and conceptual approaches. The results of this study indicate that the problems of group companies in Indonesia occur due to the regulation based on the 2007 UUPT using a single company approach, which legally recognizes that the parent company and subsidiaries in group companies are independent. The forms of monopolistic practices that are likely to be carried out by group companies are cross-share ownership, discriminatory practices and price fixing through multiple positions. This is an implication of the parent company's controlling power and full dominance in determining the policies and business activities of its subsidiaries.
TL;DR: In this paper , the authors highlight the issues of capitalization of enterprises in the context of the covid-19 pandemic by using the example of nine enterprises conditionally divided into three groups.
Abstract: The article is devoted to highlight the issues of capitalization of enterprises in the context of the covid-19 pandemic by using the example of nine enterprises conditionally divided into three groups. The first group includes business entities that had been significantly affected by quarantine measures. Businesses had been forced to significantly limit their activities at certain points in time and operate with some restrictions throughout the pandemic. Such enterprises include Silpo-Food LLC, Omega LLC and ATB-market LLC. The second group is business entities that didn’t have to make significant changes in their own functioning. This group includes PJSC «Zaporizhstal», PJSC «Arcelormittal Kryvy Rih» and PJS «Kamet-Steel» – TOP-3 metallurgical enterprises of 2022. The third group represents those enterprises which had been noted the positive impact of the Covid-19 pandemic, increased their profits and volumes of activity. This group is represented by Apteka-Magnolia LLC, PF Gamma-55 and Sirius-95 LLC – three largest pharmacy chains of Ukraine in 2022. Using the methods of statistical, trend and financial analysis, methods of analogies and generalization, the overall impact of the pandemic on the financial condition of companies was assessed, namely: a decrease in own savings and liquidity; partial or complete stoppage of investment projects; complicating the logistical aspect of enterprise activity. The provision level of business entities with their own expenses, i.e. the types of financial resource attraction inherent in each, was investigated, the interrelationships between financing methods and the level of losses from the pandemic were determined. Based on these data, three models of capital formation are identified, according to the grouped researched enterprises. The inherent features of the skin model are determined and devoid of advantages and disadvantages. It should be noted separately that the impact of the pandemic in the medium term was to some extent positive, since those enterprises that survived the corona crisis had some experience in countering sudden threats and a methodology for reducing losses in the event of their occurrence and were also better prepared for war.