Does it matter who owns firms? Evidence on the impact of supermajority control on private firms in Europe

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F62156489%3A43110%2F24%3A43925373" target="_blank" >RIV/62156489:43110/24:43925373 - isvavai.cz</a>

Výsledek na webu

<a href="https://doi.org/10.1016/j.irfa.2024.103427" target="_blank" >https://doi.org/10.1016/j.irfa.2024.103427</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1016/j.irfa.2024.103427" target="_blank" >10.1016/j.irfa.2024.103427</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Does it matter who owns firms? Evidence on the impact of supermajority control on private firms in Europe

Popis výsledku v původním jazyce

We explore how the type of owner affects private enterprise investment decisions in Europe. In contrast to the literature, we analyze firms with concentrated (&gt;95%) ownership stakes to reduce the potential that agency problems contaminate our results. We consider four types of supermajority owners - family, institutional, corporate, and state and use detailed ownership and financial information from a large sample of private firms from 24 European countries from 2001 to 2018. We find that family-owned firms exhibit higher gross investment rates and substantially higher sensitivity to investment opportunities, profitability, cash flow, and value-added growth compared to corporate and institutional owners. At the same time, and more consistent with the literature, family-owned firms invest significantly less in intangible assets than other ownership types. To demonstrate the robustness of our results, we employ matching samples complemented by analysis of owner-type transitions from family owners to corporate and institutional owners.

Název v anglickém jazyce

Does it matter who owns firms? Evidence on the impact of supermajority control on private firms in Europe

Popis výsledku anglicky

We explore how the type of owner affects private enterprise investment decisions in Europe. In contrast to the literature, we analyze firms with concentrated (&gt;95%) ownership stakes to reduce the potential that agency problems contaminate our results. We consider four types of supermajority owners - family, institutional, corporate, and state and use detailed ownership and financial information from a large sample of private firms from 24 European countries from 2001 to 2018. We find that family-owned firms exhibit higher gross investment rates and substantially higher sensitivity to investment opportunities, profitability, cash flow, and value-added growth compared to corporate and institutional owners. At the same time, and more consistent with the literature, family-owned firms invest significantly less in intangible assets than other ownership types. To demonstrate the robustness of our results, we employ matching samples complemented by analysis of owner-type transitions from family owners to corporate and institutional owners.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50202 - Applied Economics, Econometrics

Projekt

—

Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2024

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

International Review of Financial Analysis

ISSN

1057-5219

e-ISSN

1873-8079

Svazek periodika

95

Číslo periodika v rámci svazku

October

Stát vydavatele periodika

US - Spojené státy americké

Počet stran výsledku

19

Strana od-do

103427

Kód UT WoS článku

001270383500001

EID výsledku v databázi Scopus

2-s2.0-85198213166