Board Structure and Corporate Performance in Malaysia
- Zubaidah Abidin
- Nurmala Kamal
- Kamaruzaman Jusoff
Abstract
This study examines the association between board structure and corporate performance, where performance is defined as the value added (VA) efficiency of the firm’s physical and intellectual resources rather than the more commonly used financial terms or profitability ratios. It is argued that the inclusion of intellectual elements into the measurement provides a long-term measurement of corporate performance. The VA efficiency of the firm’s total resources is calculated using the Value Added Intellectual Coefficient (VAIC) methodology developed by an Austrian, Ante Pulic. The four board characteristics that are of interest in this study are board composition, directors’ ownership, CEO duality and board size. Based on a randomly selected sample of 75 companies listed on Bursa Malaysia, it is found that board composition and board size have a positive impact on firm performance, while the effects of directors’ ownership and CEO duality on the VA efficiency of firm’s total resources are not established. The outcome of the study shows that the emphasis on the importance of outside directors on the board by The Malaysian Code on Corporate Governance and by the requirements of Bursa Malaysia is deemed pertinent to the long-term corporate performance.- Full Text: PDF
- DOI:10.5539/ijef.v1n1p150
This work is licensed under a Creative Commons Attribution 4.0 License.
Journal Metrics
Index
- Academic Journals Database
- ACNP
- ANVUR (Italian National Agency for the Evaluation of Universities and Research Institutes)
- Berkeley Library
- CNKI Scholar
- COPAC
- Copyright Clearance Center
- Directory of Research Journals Indexing
- DTU Library
- EBSCOhost
- EconBiz
- EconPapers
- Elektronische Zeitschriftenbibliothek (EZB)
- EuroPub Database
- Genamics JournalSeek
- GETIT@YALE (Yale University Library)
- Harvard Library
- Harvard Library E-Journals
- IBZ Online
- IDEAS
- JournalTOCs
- LOCKSS
- MIAR
- NewJour
- Norwegian Centre for Research Data (NSD)
- Open J-Gate
- PKP Open Archives Harvester
- Publons
- RePEc
- ROAD
- Scilit
- SHERPA/RoMEO
- SocioRePEc
- Standard Periodical Directory
- Technische Informationsbibliothek (TIB)
- The Keepers Registry
- UCR Library
- Ulrich's
- Universe Digital Library
- UoS Library
- ZBW-German National Library of Economics
- Zeitschriften Daten Bank (ZDB)
Contact
- Michael ZhangEditorial Assistant
- ijef@ccsenet.org