Please use this identifier to cite or link to this item: https://hdl.handle.net/1959.11/6672
Title: A Mono-directional Perspective of Board Ownership and Performance Relation in Bangladesh
Contributor(s): Farooque, Omar  (author)orcid ; van Zijl, Tony (author); Dunstan, Keitha (author); Karim, AKM Waresul (author)
Publication Date: 2006
Handle Link: https://hdl.handle.net/1959.11/6672
Abstract: This paper provides evidence on the managerial ownership and performance relations from a developing and emerging economy, Bangladesh, whose governance system is a hybrid of, respectively, market-centric and bank-centric systems of the UK/US and the Japan/Germany. Based on agency theory and exogeneity assumption, it looks at 'one-way' causality of relation implying that governance variables, in particular ownership determine performance of the firm. Like many of the existing studies of developed economies, we find evidence of non-monotonic/non-linear relation between ownership and performance. Using an unbalanced 7 years pooled sample, cubic-form regression results show that both Tobin's Q and ROA as performance measures decrease at a certain level of board ownership, then increase as the level of ownership increases and finally decrease for further increase in board ownership. Other governance variables also support the view emerging from developed country studies. These results suggest similarity of firm's internal governance mechanisms and agency costs in between developed and emerging economies, despite their institutional differences.
Publication Type: Conference Publication
Conference Details: APC 2006: Eighteenth Asian Pacific Conference on International Accounting Issues - Corporate Governance and Accountability, Hawaii, United States of America, 15th - 18th October, 2006
Source of Publication: Proceedings of the 18th APC: Eighteenth Asian Pacific Conference on International Accounting Issues, p. 1-41
Publisher: Asian Pacific Conference (APC)
Place of Publication: United States of America
Fields of Research (FoR) 2008: 150303 Corporate Governance and Stakeholder Engagement
Socio-Economic Objective (SEO) 2008: 910402 Management
Peer Reviewed: Yes
HERDC Category Description: E1 Refereed Scholarly Conference Publication
Publisher/associated links: http://www.apconference.org/main.asp?goto=openPage.asp&pid=12
Appears in Collections:Conference Publication

Files in This Item:
2 files
File Description SizeFormat 
Show full item record

Page view(s)

930
checked on Mar 9, 2023

Download(s)

2
checked on Mar 9, 2023
Google Media

Google ScholarTM

Check


Items in Research UNE are protected by copyright, with all rights reserved, unless otherwise indicated.