OWNERSHIP STRUCTURES, INVESTORS CONFIDENCE AND FINANCIAL DECISIONS IN FAMILY FIRMS: EVIDENCE FROM GCC MARKETS
Download| Volume 14 Issue 1 2018 | |
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| Author(s): |
Muhammad Sadiq Shahid
Razaz Houssien Felimban
Khawar Naheed
Usman Aleem
Shaiza Nawaz
|
| Abstract | The objective of this study is to examine the impact of financial decisions on the ownership structure. This study adopted two themes of ownership structure (e.g., 25% & 50%) that categorized the family-owned firms (FOF) and non-family firms (NFOF). The data was collected from 286 firms listed at GCC stock exchanges annual reports, stock exchange database, and Data Stream that range from 2010-2016 periods. The findings of this study showed that the FOFs have lesser investment-internal fund sensitivity than NFOFs. Though, there is an insignificant effect of the block holder on investment funds sensitivity. However, the little implication of dividend payout in FOFs as compare to NFOFs was disclosed in the results. Moreover, it wrapped up that there are fewer agency problems and information asymmetry in FOFs comparatively. |
| Keywords | Ownership structure, Investment sensitivity, Family-firms, financial decision, Gulf Cooperation Council (GCC) |
| Year | 2018 |
| Volume | 14 |
| Issue | 1 |
| Type | Full Length Paper |
| Recognized by | Higher Education Commission of Pakistan, HEC | Category | "Y" | Journal Name | IBT Journal of Business Studies | Publisher Name | ILMA University | Jel Classification | G00, G23, ,G32 | DOI | http://dx.doi.org/10.46745/ilma.jbs.2018.14.01.05 | ISSN no (E, Electronic) | 2409-6520 | ISSN no (P, Print) | 2416-8393 | Country | Pakistan | City | Karachi | Institution Type | University | Journal Type | Open Access | Type of Review | Double Blind Peer Reviewed | Format | Paper Link | http://ibtjbs.ilmauniversity.edu.pk/journal/jbs/14.1/5.pdf | Page | 52-68 | References | Al-Ghamdi, M., & Rhodes, M. (2015). Family Ownership, Corporate Governance and Performance: Evidence from Saudi Arabia. International Journal of Economics and Finance, 7(2), 78-86. Almeida, H., & Campello, M. (2010). Financing Frictions and the Substitution betweenInternal and External Funds. Journal of Financial and Quantitative Analysis, 45(03), 589-622. Allegretto, S.A., Dube, A. & Reich, M. (2011). 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