IDEAS home Printed from https://ideas.repec.org/a/ibn/ijefaa/v15y2023i7p23.html
   My bibliography  Save this article

A Study on the Effect of Heterogeneous Equity Mix on the Performance of Mixed Ownership Firms

Author

Listed:
  • Xuemei Liu
  • Rong Yang
  • Dongsheng Li

Abstract

This paper empirically tests the impact of heterogeneous equity mix on corporate performance using unbalanced dynamic panel data of China’s A-share main board market from 2008-2019 and comparatively analyzes the differences in the impact of heterogeneous equity mix on different holding companies’ performance and socioeconomic efficiency. The results show that a heterogeneous equity mix has no significant effect on the operating efficiency of enterprises, but has a significant positive effect on the operating efficiency and socioeconomic efficiency of enterprises. However, a heterogeneous equity mix does not promote the transformation of operation and governance mechanisms, resulting in no significant improvement in enterprise operating efficiency.

Suggested Citation

  • Xuemei Liu & Rong Yang & Dongsheng Li, 2023. "A Study on the Effect of Heterogeneous Equity Mix on the Performance of Mixed Ownership Firms," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 15(7), pages 1-23, July.
    • Handle: RePEc:ibn:ijefaa:v:15:y:2023:i:7:p:23
    as

    Download full text from publisher

    File URL: https://ccsenet.org/journal/index.php/ijef/article/download/0/0/48887/52689
    Download Restriction: no
    File URL: https://ccsenet.org/journal/index.php/ijef/article/view/0/48887
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chen, Ruiyuan & El Ghoul, Sadok & Guedhami, Omrane & Wang, He, 2017. "Do state and foreign ownership affect investment efficiency? Evidence from privatizations," Journal of Corporate Finance, Elsevier, vol. 42(C), pages 408-421.
    2. Shih‐Jye Wu & Yang‐Ming Chang & Hung‐Yi Chen, 2016. "Imported inputs and privatization in downstream mixed oligopoly with foreign ownership," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 49(3), pages 1179-1207, August.
    3. Attig, Najah & Guedhami, Omrane & Mishra, Dev, 2008. "Multiple large shareholders, control contests, and implied cost of equity," Journal of Corporate Finance, Elsevier, vol. 14(5), pages 721-737, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yu, Zhen & Shen, Yiran & Jiang, Shengjun, 2022. "The effects of corporate governance uncertainty on state-owned enterprises' green innovation in China: Perspective from the participation of non-state-owned shareholders," Energy Economics, Elsevier, vol. 115(C).
    2. Boubakri, Narjess & El Ghoul, Sadok & Guedhami, Omrane & Megginson, William L., 2018. "The market value of government ownership," Journal of Corporate Finance, Elsevier, vol. 50(C), pages 44-65.
    3. Fang, Yuanli & Hu, Maggie & Yang, Qingsen, 2018. "Do executives benefit from shareholder disputes? Evidence from multiple large shareholders in Chinese listed firms," Journal of Corporate Finance, Elsevier, vol. 51(C), pages 275-315.
    4. repec:mth:ijafr8:v:8:y:2018:i:4:p:512-532 is not listed on IDEAS
    5. Chuyuan Zhang & Sang‐Ho Lee, 2023. "Entry decision of a vertically integrated foreign firm with downstream subsidization and upstream privatization," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 94(1), pages 273-299, March.
    6. Aydin Ozkan & Roberto J. Santillán‐Salgado & Yilmaz Yildiz & María del Rocío Vega Zavala, 2020. "What Happened To The Willingness Of Companies To Invest After The Financial Crisis? Evidence From Latin American Countries," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 43(2), pages 231-262, May.
    7. De Simone, Lisa & Klassen, Kenneth J. & Seidman, Jeri K., 2022. "The effect of income-shifting aggressiveness on corporate investment," Journal of Accounting and Economics, Elsevier, vol. 74(1).
    8. Sabri Boubaker & Riadh Manita & Wael Rouatbi, 2021. "Large shareholders, control contestability and firm productive efficiency," Annals of Operations Research, Springer, vol. 296(1), pages 591-614, January.
    9. repec:dau:papers:123456789/3862 is not listed on IDEAS
    10. Hegde, Shantaram P. & Mishra, Dev R., 2023. "Patented knowledge capital and implied equity risk premium," Journal of Banking & Finance, Elsevier, vol. 148(C).
    11. Mário Santos & António Moreira & Elisabete Vieira, 2014. "Ownership concentration, contestability, family firms, and capital structure," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 18(4), pages 1063-1107, November.
    12. Liu, Qigui & Luo, Tianpei & Tian, Gary Gang, 2015. "Family control and corporate cash holdings: Evidence from China," Journal of Corporate Finance, Elsevier, vol. 31(C), pages 220-245.
    13. Haroon ur Rashid Khan & Waqas Bin Khidmat & Muhammad Danish Habib & Sadia Awan, 2022. "Academic directors in board and corporate expropriation: Evidence from China," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(2), pages 372-397, March.
    14. Najah Attig & Sean Cleary & Sadok El Ghoul & Omrane Guedhami, 2013. "Institutional Investment Horizons and the Cost of Equity Capital," Financial Management, Financial Management Association International, vol. 42(2), pages 441-477, June.
    15. Abdullah Mamun & Dev Mishra, 2012. "Industry Merger Intensity and Cost of Capital," International Review of Finance, International Review of Finance Ltd., vol. 12(4), pages 469-490, December.
    16. Lijuan Xiao & Min Bai & Yafeng Qin & Lingyun Xiong & Lijuan Yang, 2021. "Financial Slack and Inefficient Investment Decisions in China," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(4), pages 920-941, June.
    17. Zhang, Lipai & Li, Biao, 2022. "Mutual supervision or conspiracy? The incentive effect of multiple large shareholders on audit quality requirements," International Review of Financial Analysis, Elsevier, vol. 83(C).
    18. Boubakri, Narjess & El Ghoul, Sadok & Guedhami, Omrane & Hossain, Mahmud, 2020. "Post-privatization state ownership and bank risk-taking: Cross-country evidence," Journal of Corporate Finance, Elsevier, vol. 64(C).
    19. Hui-Fun Yu & Tsui-Jung Lin & Hai-Yen Chang & Yu-Huai Wang, 2020. "The Impact of Political Connection and Information Asymmetry on Investment Efficiency: Evidence from China," Sustainability, MDPI, vol. 12(14), pages 1-15, July.
    20. Akihiro Yamada & Kento Fujita, 2022. "Impact of Parent Companies and Multiple Large Shareholders on Audit Fees in Stakeholder-Oriented Corporate Governance," Sustainability, MDPI, vol. 14(9), pages 1-20, May.
    21. Haraguchi, Junichi & Matsumura, Toshihiro & Yoshida, Shohei, 2018. "Competitive pressure from neighboring markets and optimal privatization policy," Japan and the World Economy, Elsevier, vol. 46(C), pages 1-8.
    22. El Ghoul, Sadok & Guedhami, Omrane & Wang, He & Kwok, Chuck C.Y., 2016. "Family control and corporate social responsibility," Journal of Banking & Finance, Elsevier, vol. 73(C), pages 131-146.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ijefaa:v:15:y:2023:i:7:p:23. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.