IDEAS home Printed from https://ideas.repec.org/a/ids/ijbexc/v15y2018i3p269-288.html
   My bibliography  Save this article

A decision making framework to evaluate the necessity of corporate restructuring

Author

Listed:
  • Imaneddin Moradi Baghfeizi
  • Hossein Rahmanseresht
  • Saeed Fathi

Abstract

This paper aims at presenting a 3 × 3 matrix to determine the structure of a holding company based on the degree of diversification and parenting style. Non-conformity of structure with this framework means that a restructuring is necessary. Three hypotheses have been tested to evaluate the validity of this framework. The first two hypotheses respectively assess the association between the 'degree of diversification' and 'parenting style' with 'structural form' based on chi-square test. But to test the third hypothesis, the holding companies compliance with the framework is divided into two groups and Mann-Witni (U) test shows that there is a significant difference between their performances. Based on Sharp's index, the economic performance of the holdings which are consistent with the framework, over a period of five years, is about 11 times better than non-conformers with the framework.

Suggested Citation

  • Imaneddin Moradi Baghfeizi & Hossein Rahmanseresht & Saeed Fathi, 2018. "A decision making framework to evaluate the necessity of corporate restructuring," International Journal of Business Excellence, Inderscience Enterprises Ltd, vol. 15(3), pages 269-288.
    • Handle: RePEc:ids:ijbexc:v:15:y:2018:i:3:p:269-288
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=92571
    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:ijbexc:v:15:y:2018:i:3:p:269-288. 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=291 .

    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.