Ownership Structure Of Companies Research Articles

The Impact of Sanctions on the Level of ESG Transparency in russian Companies after the Start of the Special Military Operation

Under the conditions of sanctions restrictions, there has been a change in the ESG involvement and ESG transparency of Russian companies. At the same time, the nature of such changes, as well as the impact of sanctions, ownership structure and industry affiliation, remains insufficiently studied. The article examines the level of ESG transparency of Russian business before and after the start of a special military operation in 2022, considering the ownership structure and industry affiliation of companies. The study sample includes ESG transparency estimates for 75 Russian public companies for the period from 2021 to 2023. According to the results of the study, it was revealed that after the start of the special military operation, there was a decrease in the level of information transparency in all three ESG aspects, especially in terms of social information and corporate governance information. In addition, it was found that the change in the level of ESG transparency varies depending on the ownership structure and industry affiliation. The results obtained can be used by investors, creditors and other stakeholder groups when making decisions about cooperation with certain companies, taking into account the specifics related to the capital structure and business profile.

Sustainable investing and ownership structure in international shipping companies

ABSTRACT Sustainable investing has been gaining momentum in recent years. This paper investigates the relationship between ownership structure, sustainability performance, and financial performance using a structural equation modelling (SEM) approach in the shipping sector by utilizing 56 listed shipping companies’ financial and Environmental, Social and Governance (ESG) ratings information. The results provide evidence that institutional ownership is positively associated with ESG scores, particularly from firms listed in the U.S. suggesting these investors’ consciousness in ESG investments in shipping stocks. Conversely, family ownership is negatively related to ESG ratings, while public ownership is more financially performance-driven, but not ESG-conscious. Additionally, firms with larger market capitalization tend to achieve higher ESG scores. However, this study finds no statistically significant relation between sustainability and financial performance. This research enhances the understanding of the investment behavior in the international shipping sector and has implications for investment strategy, investor relationship and policy development.

The Role of Ownership Structure on Corporate Tax Avoidance: Evidence from Manufacturing Company in Indonesia

ABSTRACT This research aims to examine the influence of company ownership structure on tax avoidance. The ownership structure in this research uses three types of ownership, namely managerial ownership, institutional ownership and foreign ownership. The sample used is manufacturing companies registered on the IDX during 2021-2022. By using purposive sampling, the final data used for analysis was 176 data. The analytical tool used is SPSS with multiple linear regression analysis. The research results support all hypotheses, showing that managerial ownership, institutional ownership and foreign ownership have a negative effect on tax avoidance. The results of this research conclude that the existence of an ownership structure tends to be reluctant to be involved in tax avoidance, because it is more interested in improving the company's reputation and business continuity in the long term.

THE MODERATING ROLES OF ENVIRONMENTAL, SOCIAL, AND GOVERNANCE DISCLOSURES ON COMPANY OWNERSHIP STRUCTURE AND TAX AVOIDANCE

Purpose: The aim of this study is to investigate the moderating roles of environmental, social, and governance disclosures in the relationship between company ownership structure and tax avoidance was investigated. The company ownership structure consist of family ownership, foreign ownership, and institutional ownership. Methodology/approach: Quantitative is the type of this research with using secondary data. Data collected from company reports that is annual reports, sustainability reports, and OSIRIS database. The data was analysed using hypothesis tests. Findings: The results of this study demonstrated that family ownership has a positive influence and foreign ownership has a negative influence, while institutional ownership has no influence on tax avoidance. Furthermore, this study revealed that environmental, social, and governance disclosures can weaken the influence of family ownership relationships, strengthen the influence of foreign ownership relationships, and prevent tax avoidance. In addition, environmental, social, and governance disclosures cannot moderating roles the influence of the relationship between institutional ownership and tax avoidance. Practical implications: The tax authority can improve the regulations about procedures for implementing transfer price agreements in special company relationships by considering environmental, social, and governance disclosures, so as to prevent an increase in tax avoidance. Originality/value: This study adds environmental, social, and governance disclosures to classify the inconsistency previous research which are thought to have a combined influence on the relationship between company ownership structure and tax avoidance.

Corporate governance in relationship to value relevance and accounting conservatism: SBF 120 firms

This study examines the relationship between disclosure quality as measured by value relevance and accounting conservatism and the corporate governance mechanisms such as the characteristics of the financial market, board of directors and ownership structure of French companies listed on the SBF 120. The result shows that the companies can have a high value relevance of accounting information or practice the accounting conservatism when they are featuring by the existence of a high number of financial analysts who follow the company, listed on a US stock exchange or have a dispersed structure capital. The findings show also that the significant institutional shareholders, foreign ownership, board with small size, separation of functions as well as the creation of a supervisory board, as well as high performance and a low level of leverage contribute to improving the quality of accounting value.

Pengaruh Struktur Kepemilikan dan Ukuran Perusahaan Terhadap Kinerja Intellectual Capital

The focus of the research is how a company's ownership structure and size impact intellectual capital. This research uses multiple linear regression and purposive sampling to examine 37 companies listed on the Indonesia Stock Exchange (BEI) in 2022. Intellectual capital is not affected by company size, institutional ownership, or foreign ownership; however, management ownership influences 5%. Those who wish to conduct further research can use this research as a reference regarding ownership structure and company size on intellectual capital performance.

Ownership structure and performance of European companies: mediator role of integrated reporting

Ownership structure and performance of European companies: mediator role of integrated reporting

Does the Chief Executive Officer Green Experience Contribute to the Low-Carbon Transition of the Organisation?

Abstract From the perspective of chief executive officer (CEO) green experience, this paper delves into the catalysts propelling corporate transitions toward lower carbon footprints, empirically evaluating these factors using listed company data from 2011 to 2020. The study reveals that CEO green experience contributes to diminishing corporate carbon intensity, thereby fostering the shift towards lower carbon operations. Notably, this finding persists even after subjecting the analysis to robustness tests. However, the impact of CEO green experience, while promoting corporate low-carbon transitions, is comparatively lesser than other influential factors. This discrepancy exhibits distinct variations within the ownership structure and pollution attributes of companies. Specifically, the significance of CEO green experience is more pronounced in non-state-owned enterprises and heavily polluting firms.

Institutional investors and dividend payments: evidence in the oil industry

Abstract The debate over the impacts of shareholder value orientation on corporate management has been more intense with the increasing participation of institutional investors in companies’ ownership structures. In this context, the purpose of this study is to evaluate the influence of institutional investors’ shareholding on the payment of dividends in the oil industry. A regression model was used, estimated with the Generalized Method of Moments. The results indicated that the distribution of dividends is related to the profitability and the leverage of the companies, in addition to the history of distribution to shareholders. In general, the presence of institutional investors did not influence the dividend distribution. However, we observed a large participation of these investors in the ownership structure of companies in the oil and gas sector—the average control of these agents was around 25% in the companies of the sample. This study contributes to the literature regarding the influence of institutional investors on the corporate decisions of nonfinancial companies, being original in the context of the oil industry.

Can Foreign Ownership and Leverage Affect Tax Avoidance

A company in carrying out tax avoidance actions is influenced by management decisions and company ownership structure. Companies with a higher level of foreign ownership, then the determination of company policies from foreign parties tends to lead to minimizing the tax burden. Similarly, the leverage owned by the company if it owes too much to foreign companies, it does not rule out the possibility that it will affect the decision of the management to take tax avoidance actions. The purpose of this study is to examine the effect of foreign ownership and leverage on tax avoidance. Quantitative research method, with secondary data obtained from IDX in 2018-2022. The sample used was 35 data. Data analysis using multiple linear regression is assisted by SPSS data processing tools. The results showed the influence of foreign ownership on tax avoidance. While leverage has no effect on tax avoidance. However, simultaneously foreign ownership and leverage affect tax avoidance. The conclusion of this study is that if Telecommunication Companies have the potential to do tax avoidance, it is very detrimental to the country. In the digital era, almost all activities really need the internet. So that Telecommunication Companies have the potential to have large profits, if the company's profits are greater, the hope is that the taxes paid will also be greater so that tax revenues increase, and the state is able to finance nation building.

The Influence of Company Ownership Structure and Earnings Management on Going Concerns Opinion with The Audit Committee as A Moderation Variable in Manufacturing Companies Listed from 2017 to 2022 on the Indonesian Stock Exchange

This research aims to examine the effect of ownership structure and earnings management on going concerns opinion with the audit committee as a moderating variable. The population in this study are manufacturing companies listed on Bursa Efek Indonesia from 2017-2022. This research uses quantitative research methods with documentation and library techniques. The sampling technique in this research used a purposive sampling approach. The number of samples in this research were 864 observations on 144 companies within 6 years. The analytical method used in this research uses logistic regression analysis with descriptive analysis of data including descriptive statistical test, classic assumption test including goodness of fit test multicollinearity test, overall model fit test and determination test (McFadden R-squared), Moderation Regression Analysis (MRA) and hypothesis testing, namely the partial t test (statistical Z test) with the EViews application tool version 12. The result of this research indicate that partially institutional ownership has a negative effect on going concerns opinion, managerial ownership has no effect on going concerns opinion, earnings management has a negative effect on going concerns opinion, audit committees cannot moderate in weakening or strengthening the influence of institutional ownership structure on going concerns opinion, the audit committee as a moderating variable can strengthen the effect of managerial ownership structure on going concerns opinion, and the audit committee as a moderating variable can weaken the effect of earnings management on going concerns opinion. Keywords: Institutional Ownership, Managerial Ownership, Earning Management, Going Concerns Opinion, Audit Committee

Empirical Evidence of Inbound Open Innovation Practice by Ghanaian SMEs

Inbound open innovation (IOI) is credited with high productivity in businesses. However, this is marred by resource and structural constraints in Ghanaian SMEs. Therefore, this study explores the odds of Ghanaian SMEs engaging in inbound open innovation given SMEs characteristics and IOI collaboration modes. Further, we examine the mediating effect of SMEs’ CEO characteristics in increasing or decreasing these odds. Using a sample of 657 registered SMEs’ of the Association of Ghanaian Industries, the survey data is estimated with a stepwise logistic regression model to show the multiplicative effects of the variables. The results show that the odds of engaging in inbound open innovation is higher for; SMEs located in urban areas, SMEs with partnership or company ownership structure, SMEs with research and development departments, SMEs not collaborating with universities, manufacturing SMEs, and SMEs that are relatively bigger in size. Further, these odds increase when the characteristics of CEOs of the sampled SMEs are accounted for in the model. Thus, the characteristics and traits of CEOs are only useful given the right resources and environment. Relying on the major (main) outcomes of the study further feasible suggestions are recommended.

The role of multiple directorships in minimizing idiosyncratic risk due to the presence of large shareholders: Evidence from Indonesian companies

This study aims to evaluate the role of multiple directorships in the relationship between large shareholders and idiosyncratic risk in Indonesian companies for 2017-2021. The study model included dynamic panel data for estimation and a two-step GMM system to address endogeneity issues. Multiple directorships and long-term shareholders have low-frequency data whereas idiosyncratic risk is associated with high-frequency data. The robustness test employed the Fama-Frenchhee factor model while the single factor model was used to evaluate idiosyncratic risk. Indonesia adheres to a two-tier system that separates the roles and functions of the board of directors and the board of commissioners. Furthermore, the concentrated ownership structure of Indonesian companies can cause agency problems between large and small shareholders. The study results show that large shareholders can strengthen the relationships of busy directors to reduce idiosyncratic risk. As a result, this research recommends increasing the role of multiple directorships in monitoring and predicting business conditions internally and externally to minimize interference from large shareholders which can cause expropriation due to agency problems.

Relationship between Corporate Governance, Leverage and Firm Value: Empirical Evidence from Indonesia

This research investigates the relationship between corporate governance using measurements of company ownership structure in upholding the values of transparency, accountability, equality, and leverage its influence on firm value, and placing growth as a control variable. The research method uses a quantitative approach, analyzing causal relationships through the formulation of hypotheses. The research sample is 175 manufacturing companies in Indonesia which were observed during 2017-2021 with N of 875 observations. The analysis technique uses ordinary least squares with panel regression. The results of the robustness test analysis of the model, growth as a control variable, robustly show that managerial ownership and institutional ownership represent the upholding of corporate governance values with a significantly positive response by investors. Apart from that, the leverage variable positively influences company value. The novelty of the results of this research, firstly, is the enforcement of manufacturing company governance values in Indonesia, represented by managerial ownership and institutional ownership. Second, the company funding structure policy supports the optimal capital structure theory (Modigliani F. and Miller M., 1963)

Pengaruh Audit Tenure, Ukuran KAP, dan Struktur Kepemilikan Perusahaan terhadap Kualitas Audit dengan Spesialisasi Auditor sebagai Variabel Moderating

The Effect of Audit Tenure, KAP Size, and Company Ownership Structure on Audit Quality with Auditor Specialization as a Moderating Variable. Thesis, Jakarta: Faculty of Economics, State University of Jakarta, 2023. This study aims to This study aims to determine the effect of audit tenure, hood size, and company ownership structure on audit quality with auditor specialization as a moderating variable. In this study, the population used was companies in the transportation & logistics sector listed on the IDX during the 2018-2020 period. The results of this study indicate that the significant value of the audit tenure variable is 0.165 and with these results showing a value greater than the significance value used in this study, namely 0.05, so that based on the results of these findings it can be concluded that audit tenure has no effect on audit quality.

Company ownership structure in leverage control as optimization of financial fraud supervision: A board of directors outlook

High leverage will cost the company to achieve its given targets. So, the target that is not completed will make the management meet the target by various ways, namely by financial fraud. This study aims to identify the effect of ownership structure on leverage and financial fraud. The ownership structure in this study stands for foreign, managerial, and institutional ownership. Leverage is used with debt to total asset proxies, while financial fraud uses the categorization of 0 for a non-manipulator, and 1 for a manipulator with a Beneish M-score model. This research uses manufacturing companies registered in Bursa Efek Indonesia for 2016–2020. The sample used was 40 companies with 200 observational data. The method used is purposive sampling, and SPSS software is used to analyze the data with linear regression models and path analysis. The findings showed that foreign ownership did not significantly affect leverage. Managerial and institutional ownership had a significant effect on leverage. In contrast, indirect leverage did not mediate foreign and institutional ownership against financial fraud and mediated significantly between managerial ownership and financial fraud.

Ownership Structure and Firm Value of Industrial Goods Companies in Nigeria: Moderated by Audit Quality

The motive behind establishing businesses is to create value for the owners and stakeholders. This involve striving to add value to immediate surrounding, customers and society as a whole by creating valuable products and services with the hope that it will lead to a positive leap-back loop, where increase value for customers and society lead to increase value for the firm itself. Firm value is an important measure of a firm’s success and its survivability in the market place, reflecting its ability to generate wealth for its shareholders over time. For industrial goods firms, this standard takes on particular significance due to the sector’s role in manufacturing, production and distribution of goods. Understanding the factors that influence firm value within this sector is paramount for stakeholders, including investors, managers and policymakers seeking to optimize performance and enhance economic growth.

Measuring the ownership and control of UK listed firms: Some methodological challenges

While scholars in business, management, accounting and finance frequently use data on the ownership and control structure of companies in their research, we show that determining this structure for a UK public limited company using publicly available information can be fraught with a number of difficulties. The latest changes to the UK Listing rules following the Hill Review (2021) may further exacerbate these difficulties via the potential increase in listed companies with dual-class shares. With the help of case studies and further empirical work, we demonstrate some of the methodological challenges faced by researchers. We provide guidance on how to tackle these challenges.

Investigating the relationship between ownership structure, board composition, and company performance: An extensive overview of companies in the textile industry in Iran

The present study examines the relationship between the composition of the board of directors, ownership structure, and company performance in companies that are members of the Iranian capital market. This research has been investigated in a statistical sample of 113 companies from the member companies of Iran's capital market between 2011 and 2021. The results of this research have been analysed by the panel analysis method which we use two internal and external criteria to examine the company's performance. Thus the results show that there is a correlation between the proportion of foreign directors on the board of directors and the concentration of ownership with the company's internal performance criteria. Also, another result of this research is that there is a relationship between the proportion of foreign directors on the board of directors and the concentration of ownership with the external measure of the company's performance. Moreover, this research paper analyses companies in the textile industry in Iran during the sample period.

The impact of market competitiveness on investment efficiency: the role of ownership and regulatory structures

Purpose This study aims to investigate the impact of market competitiveness on investment efficiency, and the moderating role of ownership and regulatory structures. Design/methodology/approach In this study, the Herfindahl–Hirschman Index (HHI), Lerner Index (LI) and industry-adjusted Lerner Index (LIIA) were used to measure market competitiveness. The research population consisted of companies listed on Tehran Stock Exchange (TSE). Using a systematic elimination, 199 companies were selected within eight years during 2014–2021. Findings The results showed that market competitiveness (based on the LI, LIIA and HHI) positively affected investment efficiency. Moreover, institutional ownership and managerial ownership affected the relationship between market competitiveness (based on all proxies of market competitiveness) and investment efficiency. Blockholders’ ownership also moderated the relationship between market competitiveness (based on LIIA and HHI) and investment efficiency. The hypothesis testing had robustness based on additional analyses. Originality/value In recent years, competitive environment and the ownership structure of companies have changed to a certain degree, paving the way for the private sector to enter many areas of activity especially in emerging Asian markets. Moreover, investment drivers and investment efficiency in developed markets may not be generalized to emerging Asian markets. Therefore, the present findings can show the significance of this research to fill the existing gap in the literature and provide insights into ownership and regulatory structures as a governance mechanism in market competitiveness and investment efficiency.