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Student Number 89441001
Author Yi-chen Kuo(hu)
Author's Email Address No Public.
Statistics This thesis had been viewed 3580 times. Download 1687 times.
Department Business Administration
Year 2005
Semester 1
Degree Ph.D.
Type of Document Doctoral Dissertation
Language English
Title Corporate Governance and CEO Turnover in Taiwanese Family and Nonfamily Businesses
Date of Defense 2006-01-10
Page Count 66
Keyword
  • Agency theory
  • CEO turnover
  • Corporate performance
  • Family firm
  • Ownership structure
  • Abstract Many businesses are family-controlled in Taiwan. The aggressive nature of entrepreneurship and strong cohesiveness of families are successful factors. Many aspects of familism also lead to the unique corporate governance in family businesses. This study tested the effectiveness of corporate governance by investigating the link between CEO turnover and corporate governance of family and nonfamily firms in Taiwan.
    This study investigated the tenure of CEOs in a sample of 304 listed companies in Taiwan; 63 firms were family controlled and 241 were not. The results show that CEO turnover is significantly lower in family firms and its relationship to corporate performance is negative. CEO ownership and board ownership are not significant in explaining the length of family CEO tenure. These findings imply that family boards can still effectively replace the CEO despite relatively low ownership. From the ownership structure perspective, this study suggested that the agency theory is applicable for nonfamily firms in Taiwan, but unsuitable for family firms.
    Table of Content TABLE OF CONTENTS
    Page
    ABSTRACTII
    ACKNOWLEDGMENTS IV
    TABLE OF CONTENTSV
    LIST OF FIGURESVII
    LIST OF TABLESVIII
    CORPORATE GOVERNANCE AND CEO TURNOVER IN TAIWANESE FAMILY AND NONFAMILY BUSINESSES
    CHAPTER 1INTRODUCTION1
    1.1.MOTIVATION AND RESEARCH PURPOSE1
    1.2.RESULT PREVIEW4
    1.3.THESIS STRUCTURE6
    CHAPTER 2THEORETICAL FRAMEWORK7
    2.1.CORPORATE GOVERNANCE IN TAIWAN7
    2.2.SPECIAL CHARACTERISTICS OF FAMILY FIRMS11
    2.3.THE RESEARCH FRAMEWORK14
    2.4.THREE EFFECTS ON CEO TENURE AND TESTABLE HYPOTHESES18
    2.4.1.The Turnover-performance Relation18
    2.4.2.Turnover, Performance and the Effects of CEO Ownership20
    2.4.3.The Role of Board of Directors21
    CHAPTER 3SAMPLE, DATA AND METHOD23
    3.1.SAMPLE23
    3.2.DEFINITIONS OF VARIABLES24
    3.3.EMPIRICAL MODEL25
    CHAPTER 4EMPIRICAL RESULTS29
    4.1.DESCRIPTION OF CEO TURNOVER 29
    4.2.COMPARISON OF FAMILY FIRMS AND NONFAMILY FIRMS31
    4.3.ESTIMATES OF COX PROPORTIONAL HAZARDS MODEL34
    CHAPTER 5ROBUSTNESS TESTS37
    5.1.DIFFERENT PERFORMANCE INDICATORS37
    5.2.FORCED V. S. VOLUNTARY TURNOVERS39
    5.3.OTHER ANALYSIS METHODS41
    5.4.CONSIDER INTERACTION EFFECTS45
    5.5.CONSIDER INSIDE CEO SUCCESSIONS47
    CHAPTER 6DISCUSSION AND CONCLUSION50
    6.1.DISCUSSION50
    6.2.CONCLUSION56
    REFERENCES59
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    Advisor
  • Wen-Hsien Tsai()
  • Files
  • 89441001.pdf
  • approve immediately
    Date of Submission 2006-01-15

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