IDEAS home Printed from https://ideas.repec.org/a/ids/gbusec/v18y2016i6p704-728.html
   My bibliography  Save this article

The value of political connections in French industrial listed corporations

Author

Listed:
  • Carlo Bellavite Pellegrini
  • Laura Pellegrini

Abstract

Politically connected companies are quite widespread around the world. Financial literature has devoted an increasing interest to this issue, focusing its attention on the presence of potential benefits for these corporations, mainly in a cross country perspective, whereas few empirical analysis are dedicated to country-specific frameworks. The paper takes into analysis 223 French industrial corporations listed since 1998 to 2010 without any interruption and their different typologies of political connections and investigates the presence of a link between any sort of political connection and firms' market power and productive efficiency. France represents a novel and interesting object of investigation for this topic, given its excellent positioning in governance indices and the time observed which overlap relevant institutional and political change, and the outbreak of economic crisis. The results show that French politically connected companies have a greater market power, in relation to unconnected companies, but show lower efficiency. Furthermore, differently from some previous studies, the difference between connected and not connected firms, both in terms of market share and efficiency are greater when political links are through directors.

Suggested Citation

  • Carlo Bellavite Pellegrini & Laura Pellegrini, 2016. "The value of political connections in French industrial listed corporations," Global Business and Economics Review, Inderscience Enterprises Ltd, vol. 18(6), pages 704-728.
    • Handle: RePEc:ids:gbusec:v:18:y:2016:i:6:p:704-728
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=79416
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    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:ids:gbusec:v:18:y:2016:i:6:p:704-728. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=168 .

    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.