Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30

This paper examine the relationship between four important corporate governance mechanisms (board size, board composition, CEO/chairman duality and audit committee) and two firm performance measures (return on equity, ROE, and profit margin, PM), for a sample of 30 Pakistani listed firms between 20...

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Main Authors: Qaiser Rafique, Yasser, Harry, Entebang, Shazali, Abu Mansor
Format: Article
Language:English
Published: Academic Journals Inc., 2011
Subjects:
Online Access:http://ir.unimas.my/id/eprint/17970/
http://ir.unimas.my/id/eprint/17970/1/Corporate.pdf
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author Qaiser Rafique, Yasser
Harry, Entebang
Shazali, Abu Mansor
author_facet Qaiser Rafique, Yasser
Harry, Entebang
Shazali, Abu Mansor
author_sort Qaiser Rafique, Yasser
building UNIMAS Institutional Repository
collection Online Access
description This paper examine the relationship between four important corporate governance mechanisms (board size, board composition, CEO/chairman duality and audit committee) and two firm performance measures (return on equity, ROE, and profit margin, PM), for a sample of 30 Pakistani listed firms between 2008 and 2009. The results provide evidence of a positive significant relationship between ROE and PM and three corporate governance mechanisms (board size, board composition and audit committee). The implication of this is that, the board size should be limited to a sizeable limit and board must be a right mixture of executive and non-executive directors. The study, however, could not provide a significant relationship between the two performance measures (ROE and PM) and CEO/Chairman duality. These results are consistent with prior empirical studies.
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spelling unimas-179702021-05-24T07:03:41Z http://ir.unimas.my/id/eprint/17970/ Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30 Qaiser Rafique, Yasser Harry, Entebang Shazali, Abu Mansor H Social Sciences (General) This paper examine the relationship between four important corporate governance mechanisms (board size, board composition, CEO/chairman duality and audit committee) and two firm performance measures (return on equity, ROE, and profit margin, PM), for a sample of 30 Pakistani listed firms between 2008 and 2009. The results provide evidence of a positive significant relationship between ROE and PM and three corporate governance mechanisms (board size, board composition and audit committee). The implication of this is that, the board size should be limited to a sizeable limit and board must be a right mixture of executive and non-executive directors. The study, however, could not provide a significant relationship between the two performance measures (ROE and PM) and CEO/Chairman duality. These results are consistent with prior empirical studies. Academic Journals Inc., 2011 Article PeerReviewed text en http://ir.unimas.my/id/eprint/17970/1/Corporate.pdf Qaiser Rafique, Yasser and Harry, Entebang and Shazali, Abu Mansor (2011) Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30. Journal of Economics and International Finance, 3 (8). pp. 482-491. ISSN 2006-9812 http://www.academicjournals.org/JEIF
spellingShingle H Social Sciences (General)
Qaiser Rafique, Yasser
Harry, Entebang
Shazali, Abu Mansor
Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30
title Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30
title_full Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30
title_fullStr Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30
title_full_unstemmed Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30
title_short Corporate governance and firm performance in Pakistan: The case of Karachi Stock Exchange (KSE)-30
title_sort corporate governance and firm performance in pakistan: the case of karachi stock exchange (kse)-30
topic H Social Sciences (General)
url http://ir.unimas.my/id/eprint/17970/
http://ir.unimas.my/id/eprint/17970/
http://ir.unimas.my/id/eprint/17970/1/Corporate.pdf