Is there a relationship between corporate governance and value-based financial performance measures? A study of Turkey as an emerging market

Bayrakdaroglu A., ERSOY E., ÇITAK L.

Asia-Pacific Journal of Financial Studies, cilt.41, sa.2, ss.224-239, 2012 (SSCI, Scopus) identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 41 Sayı: 2
  • Basım Tarihi: 2012
  • Doi Numarası: 10.1111/j.2041-6156.2012.01071.x
  • Dergi Adı: Asia-Pacific Journal of Financial Studies
  • Derginin Tarandığı İndeksler: Social Sciences Citation Index (SSCI), Scopus
  • Sayfa Sayıları: ss.224-239
  • Anahtar Kelimeler: CEO duality, Corporate governance, Firm performance, Ownership structure, Value-based measures
  • Uşak Üniversitesi Adresli: Evet

Özet

The purpose of this study is to investigate the relationship of value-based performance measures - economic value added (EVA), market value added (MVA) and cash value added (CVA) - with corporate governance using data on 41 corporations listed on the Istanbul Stock Exchange-100 Index. Multiple panel regression is used covering the 1998-2007 period. The findings indicate that EVA, MVA, and CVA increase if the CEO is a member of the board at the same time, and board size does not significantly affect performance. Ownership concentration is significantly related to all performance measures except for MVA, while manager ownership is not a significant variable in increasing corporate performance. Foreign ownership is found to increase EVA but decrease MVA. © 2012 Korean Securities Association.