IDEAS home Printed from https://ideas.repec.org/a/taf/oabmxx/v9y2022i1p2152538.html
   My bibliography  Save this article

Integrating agency and resource dependence theories to examine the impact of corporate governance and innovation on firm performance

Author

Listed:
  • Farheen Akram
  • Muhammad Abrar Ul Haq

Abstract

This study aimed to investigate the mediating role of innovation between corporate governance and firm performance. The theoretical foundations of this study were the agency and resource dependence theories. The data were collected from annual reports of non-financial firms listed on the Pakistan Stock Exchange and spanned the period from 2010 to 2019. The direct impact of corporate governance was evaluated using Driscoll Kraay’s standard errors, while for the mediating role of innovation, each indirect impact was separately examined using the bootstrapping technique in Stata. Interestingly, the study found significant support for a direct impact of corporate governance variables on firm performance, except for independent directors. The indirect impact of corporate governance on firm performance was also appraised, except for directors’ interlocks and family ownership. Based on the findings, the study suggests that firms can achieve higher performance by effectively using embedded resources from the corporate governance structure and innovation.

Suggested Citation

  • Farheen Akram & Muhammad Abrar Ul Haq, 2022. "Integrating agency and resource dependence theories to examine the impact of corporate governance and innovation on firm performance," Cogent Business & Management, Taylor & Francis Journals, vol. 9(1), pages 2152538-215, December.
    • Handle: RePEc:taf:oabmxx:v:9:y:2022:i:1:p:2152538
    DOI: 10.1080/23311975.2022.2152538
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/23311975.2022.2152538
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/23311975.2022.2152538?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

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

    More about this item

    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:taf:oabmxx:v:9:y:2022:i:1:p:2152538. 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: Chris Longhurst (email available below). General contact details of provider: http://cogentoa.tandfonline.com/OABM20 .

    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.