دانلود رایگان مقاله انگلیسی ارتباط بین اداره شرکت ها و عملکرد شرکت: کشورهای عضو شورای همکاری خلیج فارس - الزویر 2017

Abstract

Governance is increasingly recognized by the business community, regulators and capital market authorities as a fundamental driver of corporate performance. The accelerated interests by the investing fraternity in the Gulf Cooperation Council (henceforth GCC) equity markets due to the myriad benefits accruing in the form of laudable trade policies, progressive growth strategies, tax holidays, guaranteed return on investments and political stability signals a radical shift in ensuring better surveillance and robust corporate governance. This study examines the impact of internal mechanisms of corporate governance (CG) on firm performance (FP) in the GCC countries. The study uses firm level panel data set of 349 financial and non-financial companies listed in the stock exchanges of the GCC countries for the period 2005-2012. The paper develops an empirical model based on thirteen testable research hypotheses. The Generalized Least Squares (GLS) method is used to estimate the model parameters. The results show that governance variables such as government shareholdings, audit type, board size, corporate social responsibility and leverage significantly affect the FP in majority of the countries in the GCC. These results give rise to certain regulatory and managerial implications, all of which, calls for more concerted efforts in strategically implementing prudent governance solutions in order to future proof GCC business.

7. Conclusion, implications and limitations

The prime motive of the paper is to examine the main internal mechanisms of CG that affect FP in the GCC countries. The study uses firm level panel data set of 349 companies listed in the stock exchanges of the GCC countries for the period 2005-2012. The paper develops thirteen testable research hypotheses while the results are estimated by employing GLS regression. Results reveal that the CG variable BOD emerged as a vital determinant of FP with both the performance measures in all the GCC. This implies that a large board size is detrimental to the FP of companies and the firms ought to limit their board size ranging 8-11 (see Kiel & Nicholson, 2003, Leblanc & Gilles,2003 and Lipton & Lorsch,1992). The other variables emerging negative and statistically significant with both the performance measures in majority of the GCC countries studies are the CG variables AUDIT, CSR, LEV, and the control variable AGE. The proficiency exhibited by local auditors and the immaturity of the CSR concept along augmented with negative returns are the vital concerns emanating from AUDIT and CSR factors.