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Corporate reputation, media attention, and cost of capital

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  • Wang, Fang
  • Ren, Ke

Abstract

This study takes 18 large media companies in China with overseas operations as samples from 2015 to 2023 to systematically analyze the impact of corporate reputation on their cost of overseas capital, and further explores the mediating role of media attention. Based on empirical evidence, this paper finds that: corporate reputation can significantly reduce the cost of overseas capital; media attention plays a mediating role in the relationship between corporate reputation and overseas capital cost; the effect of corporate reputation on the cost of overseas capital exhibits heterogeneity across markets with different levels of host country development and among media companies of different business types; the mediating effect of media attention also shows heterogeneity across markets with different levels of host country development and among media companies of different business types. Through handling endogeneity and conducting robustness tests, the reliability of the research conclusions has been verified. This study provides a theoretical basis and policy reference for Chinese media companies with overseas operations to optimize their overseas capital structure and enhance international competitiveness.

Suggested Citation

  • Wang, Fang & Ren, Ke, 2025. "Corporate reputation, media attention, and cost of capital," Finance Research Letters, Elsevier, vol. 86(PD).
    • Handle: RePEc:eee:finlet:v:86:y:2025:i:pd:s1544612325018355
    DOI: 10.1016/j.frl.2025.108581
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    References listed on IDEAS

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