-
Journal menu
- General information
- Editorial Board and External Reviewers
- Journal Policies
- Publication Ethics and Malpractice Statement
- Instructions for authors
- Paper reviewing
- Article processing charge
- Feedback from stakeholders
- Journal’s Open Access statement
- Order hard copies of the journal
- 50 most cited papers in the journal
FIRM PERFORMANCE AND THE OWNERSHIP OF THE LARGEST SHAREHOLDER
Download This Article
Xiaoyue Chen, Jeong-Bon Kim 
, Steven Shuye Wang, Xiaodong Xu
Abstract
We examine the relationship between cash-flow rights held by the largest shareholders and firm performance in Chinese capital market. Using a sample of all listed A-share firms between 2000 and 2003, we find that there are “region effects” with an “M” shape in the relationship between cash flow rights held by the largest shareholder and firm performance. The non-monotonic variations of firm performance associated with changes of the largest shareholdings suggest that there may be an optimal ownership structure existed in listed Chinese firms. We also find that firms under the control of largest state shareholders have poorer performance than that under the control of largest non-state shareholders.
Keywords: The Largest Shareholder, Ownership Structure, Corporate Governance, Firm Performance
How to cite this paper: Chen, X., Kim, J.-B., Wang, S. S., & Xu, X. (2007). Firm performance and the ownership of the largest shareholder. Corporate Ownership & Control, 4(3), 126-138. https://doi.org/10.22495/cocv4i3p11
