Ownership Structure and Firm Performance: The Role of R&D

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Irene Wei Kiong Ting Qian Long Kweh Hooi Hooi Lean Jin Hwa Ng

Abstract

This study aims to examine the impact of ownership structure (i.e. family ownership, government ownership, and foreign ownership) on firm performance, viz. Tobin’s Q and return on assets. The impact of R&D on the relationship between ownership structure and firm performance is also assessed using a sample of 201 Malaysian public listed companies for the period of 2002-2011. Findings show that family ownership and foreign ownership positively relate to firm performance, but not government ownership. More importantly, R&D strengthens the relationship between family ownership and foreign ownership with firm performance respectively. While prior studies have shown that ownership structure is related to firm performance, this paper contributes to a new understanding of the role of R&D in moderating the relationship between ownership structure and firm performance.

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How to Cite
TING, Irene Wei Kiong et al. Ownership Structure and Firm Performance: The Role of R&D. Institutions and Economies, [S.l.], p. 1-21, oct. 2016. ISSN 2232-1349. Available at: <http://ijie.um.edu.my/index.php/ijie/article/view/5048>. Date accessed: 22 sep. 2018.
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