Premium
Ownership structure and firm performance: Some empirical evidence from Spain
Author(s) -
Górriz Carmen Galve,
Fumás Vicente Salas
Publication year - 1996
Publication title -
managerial and decision economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.288
H-Index - 51
eISSN - 1099-1468
pISSN - 0143-6570
DOI - 10.1002/(sici)1099-1468(199611)17:6<575::aid-mde778>3.0.co;2-n
Subject(s) - sample (material) , business , empirical evidence , value (mathematics) , enterprise value , theory of the firm , microeconomics , industrial organization , test (biology) , net worth , economics , accounting , finance , debt , paleontology , philosophy , chemistry , epistemology , chromatography , machine learning , computer science , biology
The ‘managerial’ and the ‘contractual’ theories of the firm imply different causes and consequences for the relationship between ownership and performance of firms. This paper provides a test of the two conflicting theories, using ownership and performance data from a sample of Spanish family‐ and non‐family‐controlled firms. We find evidence in support of the contractual theory of the firm, according to which firms choose their ownership structure maximizing economic value, net of contractual costs.