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Patterns of capital structure and dividend policy in Pakistani corporate sector and their impact on organization performance

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  • Hunjra, Ahmed Imran
  • Bilal, Muhammad
  • Shafi, Haroon
  • Ullah, Ikram
  • Rehman, Kashif-Ur-

Abstract

The purpose of this study is to determine the patterns of capital structure decisions and dividend policy as well as their level of application in Pakistani corporate sector and also to check the impact of capital structure and dividend policy on organization performance. A total of ninety one questionnaires were distributed in different companies but seventy three filled were received and sixty one were processed for the analysis. The potential respondents were finance executives and financial analysts of the companies. The study concludes that capital structure decisions are being properly practiced while dividend policy is a major concern in most of the organizations. It is also concluded that there is a significant and positive relationship between capital structure decision, dividend policy and organization performance.

Suggested Citation

  • Hunjra, Ahmed Imran & Bilal, Muhammad & Shafi, Haroon & Ullah, Ikram & Rehman, Kashif-Ur-, 2010. "Patterns of capital structure and dividend policy in Pakistani corporate sector and their impact on organization performance," MPRA Paper 40658, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:40658
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    File URL: https://mpra.ub.uni-muenchen.de/40658/1/MPRA_paper_40658.pdf
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    Keywords

    Capital Structure Decisions; Dividend Policy; Organization Performance Corporate Sector; Finance Executives and Analysts;

    JEL classification:

    • D92 - Microeconomics - - Micro-Based Behavioral Economics - - - Intertemporal Firm Choice, Investment, Capacity, and Financing

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