Corporate Governance and Internationalization of Malaysia Public Listed Companies

The main purpose of this study is to examine the impact of the corporate governance on Internationalization for a sample 46 listed companies from 2008 to 2011 which have the reported international operations abroad. The study proposes that corporate governance mechanisms such as directors’ compensa...

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Main Authors: Lee, Lian Yee, Chu, Ei Yet
Other Authors: A Kadir, Nadhrah
Format: Book Section
Language:English
Published: School of Social Sciences, USM 2017
Subjects:
Online Access:http://eprints.usm.my/40714/
http://eprints.usm.my/40714/1/ART_55.pdf
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author Lee, Lian Yee
Chu, Ei Yet
author2 A Kadir, Nadhrah
author_facet A Kadir, Nadhrah
Lee, Lian Yee
Chu, Ei Yet
author_sort Lee, Lian Yee
building USM Institutional Repository
collection Online Access
description The main purpose of this study is to examine the impact of the corporate governance on Internationalization for a sample 46 listed companies from 2008 to 2011 which have the reported international operations abroad. The study proposes that corporate governance mechanisms such as directors’ compensation and characteristics of the board could influence firms' decision to internationalization. The measurement for internationalization is foreign sales (FS) and foreign assets (FA). The empirical results indicate that Internationalization by measuring FS is negative and significant related to board size. While measuring by FA indicate the negative and insignificant result. On the other hand, FA and FS are positive and significant related to executive compensation. However, it also found insignificantly related to CEO duality and board independent. According to MCCG requirement, the role of CEO and chairman should remain as non-duality to avoid CEO overpower and board to consist of 1/3 of independent board directors. As result, corporate governance characteristics especially board size and director remuneration does influence firm internationalization.
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spelling usm-407142018-06-07T05:46:07Z http://eprints.usm.my/40714/ Corporate Governance and Internationalization of Malaysia Public Listed Companies Lee, Lian Yee Chu, Ei Yet H1-99 Social sciences (General) The main purpose of this study is to examine the impact of the corporate governance on Internationalization for a sample 46 listed companies from 2008 to 2011 which have the reported international operations abroad. The study proposes that corporate governance mechanisms such as directors’ compensation and characteristics of the board could influence firms' decision to internationalization. The measurement for internationalization is foreign sales (FS) and foreign assets (FA). The empirical results indicate that Internationalization by measuring FS is negative and significant related to board size. While measuring by FA indicate the negative and insignificant result. On the other hand, FA and FS are positive and significant related to executive compensation. However, it also found insignificantly related to CEO duality and board independent. According to MCCG requirement, the role of CEO and chairman should remain as non-duality to avoid CEO overpower and board to consist of 1/3 of independent board directors. As result, corporate governance characteristics especially board size and director remuneration does influence firm internationalization. School of Social Sciences, USM A Kadir, Nadhrah Rahmat, Siti Rahyla Mohd Tayeb, Azmil Mohd, Saidatulakmal 2017 Book Section PeerReviewed application/pdf en http://eprints.usm.my/40714/1/ART_55.pdf Lee, Lian Yee and Chu, Ei Yet (2017) Corporate Governance and Internationalization of Malaysia Public Listed Companies. In: Social Sciences Postgraduate International Seminar (SSPIS) 2017. School of Social Sciences, USM, Pulau Pinang, Malaysia, pp. 425-431. ISBN 9789671544013 http://www.sspis.usm.my
spellingShingle H1-99 Social sciences (General)
Lee, Lian Yee
Chu, Ei Yet
Corporate Governance and Internationalization of Malaysia Public Listed Companies
title Corporate Governance and Internationalization of Malaysia Public Listed Companies
title_full Corporate Governance and Internationalization of Malaysia Public Listed Companies
title_fullStr Corporate Governance and Internationalization of Malaysia Public Listed Companies
title_full_unstemmed Corporate Governance and Internationalization of Malaysia Public Listed Companies
title_short Corporate Governance and Internationalization of Malaysia Public Listed Companies
title_sort corporate governance and internationalization of malaysia public listed companies
topic H1-99 Social sciences (General)
url http://eprints.usm.my/40714/
http://eprints.usm.my/40714/
http://eprints.usm.my/40714/1/ART_55.pdf