Economics at your fingertips  

Corporate governance practices, ownership structure, and corporate performance in the GCC countries

Abed Al-Nasser Abdallah and Ahmad Ismail ()
Authors registered in the RePEc Author Service: Khaliq Ahmad

Journal of International Financial Markets, Institutions and Money, 2017, vol. 46, issue C, 98-115

Abstract: This study is motivated by highly concentrated ownership, the relatively large government stake in listed firms in the GCC (Gulf Cooperative Council) region, and the rapid stock market development and developing investor protection environment. The results point to heterogeneity in governance quality across exchanges. For the first time, we find that the positive relationship between governance quality and firm performance is maintained and is stronger at low levels of concentrated ownership. More interestingly, we find that the relationship between governance and firm performance is an increasing function of dispersed ownership and that the value addition of good governance is not necessarily maintained at high levels of ownership concentration. Furthermore, such a relationship reaches its highest level when the government or local corporations are the firm’s major shareholders.

Keywords: Corporate governance; Performance; Ownership structure; Transparency; Financial disclosure (search for similar items in EconPapers)
JEL-codes: G30 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (23) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

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:

DOI: 10.1016/j.intfin.2016.08.004

Access Statistics for this article

Journal of International Financial Markets, Institutions and Money is currently edited by I. Mathur and C. J. Neely

More articles in Journal of International Financial Markets, Institutions and Money from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

Page updated 2021-09-23
Handle: RePEc:eee:intfin:v:46:y:2017:i:c:p:98-115