Abstract
This research goes within the framework of previous studies examining the specificity of the ownership structure and financial performance of unlisted companies in a dividend distribution environment. The assumptions are based on the agency theory in which shareholders justify the implementation of dividend distribution and explain the financial performance of companies. Our sample consists of 67shareholding companies (Limited Companies and Limited Liability Companies) which best explain dividend distribution in the Cameroonian context. Data were processed using SPSS (Statistical Package for the Social Sciences). We note that the concentration of ownership has no effect on financial performance. However, the nature of the major shareholder plays a decisive role on financial performance.
Highlights
In the context of a growing financial market, this research aims to study empirically, the relationship between the ownership structure and the financial performance of companies
Putting forward dividend distribution to study the relationship between ownership structure and financial performance seems very interesting in the Cameroonian context
The second objective of our work is to check if there is a significant relationship between the financial performance of Cameroonian companies and two variables related to the ownership structure, i.e. the concentration and nature of ownership
Summary
In the context of a growing financial market, this research aims to study empirically, the relationship between the ownership structure and the financial performance of companies. In countries where most companies are listed, the theoretical and empirical analyses of this relationship, so far, has led to different conclusions. This is certainly due to the diversity of ownership characteristics and contexts studied. Putting forward dividend distribution to study the relationship between ownership structure and financial performance seems very interesting in the Cameroonian context. The approach of the relationship between financial performance and shareholding structure of companies distributing or not distributing the dividend enables a positioning within the theoretical framework of the agency. From the innovating articles of Burkart et t al. (2003), performance studies compare between several forms of family businesses based on possible combinations of control and management, depending on whether they are family or not
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
