Will Penang Based Companies Perform Better than the Market?
Hooi Hooi Lean () and
Irene Ting ()
Additional contact information
Irene Ting: Universiti Tenaga Nasional
Economics Bulletin, 2016, vol. 36, issue 1, 528-536
Abstract:
This paper examines the antecedents of company's performance and compares the performance between Penang based companies and Non-Penang based companies from firm characteristics point of view for the period of 2004 to 2013. A static panel data structure is employed to examine firm characteristics' effect to firm performance. We find that the Penang based companies outperform Non-Penang based companies. Second, the previous year's performance has a positive impact to the current year's performance for Penang based companies but has a negative impact to the Non-Penang companies. Third, larger firm performs better for Malaysian public listed companies. Fourth, the Penang based companies with their larger investment in intangible assets perform better. Fifth, Malaysian public listed companies should maintain lower gearing in order to increase firm performance. Sixth, the Penang based companies with a higher growth rate and operating cash flow ratio would help in ensuring the firms perform better. Our findings could serve as an indicator in assessing firm characteristics on firm performance for Penang based public listed companies.
Keywords: Firm characteristics; Performance; Static panel; Penang based companies (search for similar items in EconPapers)
JEL-codes: G3 O5 (search for similar items in EconPapers)
Date: 2016-03-22
References: View references in EconPapers View complete reference list from CitEc
Citations:
Downloads: (external link)
http://www.accessecon.com/Pubs/EB/2016/Volume36/EB-16-V36-I1-P52.pdf (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ebl:ecbull:eb-15-00689
Access Statistics for this article
More articles in Economics Bulletin from AccessEcon
Bibliographic data for series maintained by John P. Conley ().