Economics at your fingertips  

Board Structure and Firm Performance: Evidence from French Firms Listed in SBF 120

Aymen Ammari (), Mohamed Kadria () and Abderrazak Ellouze
Additional contact information
Abderrazak Ellouze: Higher School of Digital Economy, University of Manouba, Tunisia.

International Journal of Economics and Financial Issues, 2014, vol. 4, issue 3

Abstract: Using a sample of 40 French companies listed on the SBF 120 for the period 2002-2009, we examine if board structure (board size, independence of its members andthe cumulativefunctions of decision and control) relate to their performance. To test the validity of our hypothesis,which states the existence of a certain deterministic between the board structure and financialperformance measured by four different ratios, namely ROA, ROE, Tobin's Q and Market to Book, we have developed four dynamic panel system GMM approach to control for relevant sources of endogeneity (simultaneity, reverse causality and unobserved heterogeneity). Our results support the idea, commonly accepted, that board structure is a determinant factor for French firm performance.

Keywords: Board of Directors; board size; independence of the board; accumulation of functions; financial performance; system GMM. (search for similar items in EconPapers)
JEL-codes: G30 G34 J44 L25 (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9) Track citations by RSS feed

Downloads: (external link) (application/pdf) (text/html)

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:

Access Statistics for this article

International Journal of Economics and Financial Issues is currently edited by Ilhan Ozturk

More articles in International Journal of Economics and Financial Issues from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().

Page updated 2022-12-08
Handle: RePEc:eco:journ1:2014-03-13