Corporate governance and family firm performance during the Global Financial Crisis

Husam Aldamen, Keith Duncan, Simone Kelly, Raymond McNamara

Research output: Contribution to journalArticleResearchpeer-review

Abstract

We investigate the impact of corporate governance on accounting and market performance relationships of family firms during the Global Financial Crisis (GFC). We expect the monitoring aspects of corporate governance to complement the long‐term orientation of family firms, improving the value relevance of accounting and market performance during times of exogenous financial shocks such as the GFC. We find that the family‐firm value is more sensitive to book value than earnings changes. We also find better corporate governance, irrespective of whether it is a family firm or non‐family firm, is associated with better accounting and market performance during the GFC.
Original languageEnglish
Number of pages29
JournalAccounting and Finance
Early online date10 Jul 2019
DOIs
Publication statusE-pub ahead of print - 10 Jul 2019

Fingerprint

Firm performance
Corporate governance
Market performance
Family firms
Accounting performance
Global financial crisis
Book value
Financial shocks
Monitoring
Earnings changes
Value relevance

Cite this

@article{4807dd66c5054919bd762b0b6785789f,
title = "Corporate governance and family firm performance during the Global Financial Crisis",
abstract = "We investigate the impact of corporate governance on accounting and market performance relationships of family firms during the Global Financial Crisis (GFC). We expect the monitoring aspects of corporate governance to complement the long‐term orientation of family firms, improving the value relevance of accounting and market performance during times of exogenous financial shocks such as the GFC. We find that the family‐firm value is more sensitive to book value than earnings changes. We also find better corporate governance, irrespective of whether it is a family firm or non‐family firm, is associated with better accounting and market performance during the GFC.",
author = "Husam Aldamen and Keith Duncan and Simone Kelly and Raymond McNamara",
year = "2019",
month = "7",
day = "10",
doi = "10.1111/acfi.12508",
language = "English",
journal = "Accounting and Finance (ONLINE)",
issn = "0810-5391",
publisher = "Wiley-Academy",

}

Corporate governance and family firm performance during the Global Financial Crisis. / Aldamen, Husam; Duncan, Keith; Kelly, Simone; McNamara, Raymond.

In: Accounting and Finance, 10.07.2019.

Research output: Contribution to journalArticleResearchpeer-review

TY - JOUR

T1 - Corporate governance and family firm performance during the Global Financial Crisis

AU - Aldamen, Husam

AU - Duncan, Keith

AU - Kelly, Simone

AU - McNamara, Raymond

PY - 2019/7/10

Y1 - 2019/7/10

N2 - We investigate the impact of corporate governance on accounting and market performance relationships of family firms during the Global Financial Crisis (GFC). We expect the monitoring aspects of corporate governance to complement the long‐term orientation of family firms, improving the value relevance of accounting and market performance during times of exogenous financial shocks such as the GFC. We find that the family‐firm value is more sensitive to book value than earnings changes. We also find better corporate governance, irrespective of whether it is a family firm or non‐family firm, is associated with better accounting and market performance during the GFC.

AB - We investigate the impact of corporate governance on accounting and market performance relationships of family firms during the Global Financial Crisis (GFC). We expect the monitoring aspects of corporate governance to complement the long‐term orientation of family firms, improving the value relevance of accounting and market performance during times of exogenous financial shocks such as the GFC. We find that the family‐firm value is more sensitive to book value than earnings changes. We also find better corporate governance, irrespective of whether it is a family firm or non‐family firm, is associated with better accounting and market performance during the GFC.

UR - http://www.scopus.com/inward/record.url?scp=85068797939&partnerID=8YFLogxK

U2 - 10.1111/acfi.12508

DO - 10.1111/acfi.12508

M3 - Article

JO - Accounting and Finance (ONLINE)

JF - Accounting and Finance (ONLINE)

SN - 0810-5391

ER -