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Journals / SOSYAL BİLİMLER METİNLERİ / 2017 / Cilt: 2017 - Sayı: 2

The Effect of Corporate Governance Scores on Firms’ Financial Performance: Evidence on BIST100 Index

Kurumsal Yönetim Notlarının Firmaların Finansal Performansları Üzerindeki Etkisi: BİST100 Endeksi Üzerine Bir Araştırma

Sedat ERDOĞAN
Dilek Coşkun ERDOĞAN
Pages
33–44
Publication Date
2017-12-03
DOI
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AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

In this study, Return on Equity Ratio (ROE), Return on Assets Ratio (ROA), and Price-Earnings Ratio (P/E) are determined as the financial performance measures of listed firms to test the effect of overall corporate governance scores and sub-categories scores on financial performance in Turkey.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:In this study, Return on Equity Ratio (ROE), Return on Assets Ratio (ROA), and Price-Earnings Ratio (P/E) are determined as the financial performance measures of listed firms to test the effect of overall corporate governance scores and sub-categories scores on financial performance in Turkey.
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Key Findings & Data:The study covers an unbalanced data set from Bist100 firms which are listed in corporate governance index between the years 2007-2013.
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Conclusion & Impact:In other words, firms with higher stakeholders’ scores show comparatively higher financial performance.
🔬Design:Research Article
📍Scope:2007-2013 Verileri
⚙️Variables:Kurumsal Yönetim · Kurumsal Yönetim Derecelendirme · Kurumsal Yönetim İndeksi

Abstract

In this study, Return on Equity Ratio (ROE), Return on Assets Ratio (ROA), and Price-Earnings Ratio (P/E) are determined as the financial performance measures of listed firms to test the effect of overall corporate governance scores and sub-categories scores on financial performance in Turkey. The study covers an unbalanced data set from Bist100 firms which are listed in corporate governance index between the years 2007-2013. The study results are analyzed for the full data set and for the non-financial firms’ data set. For each set, the analysis results reveal that corporate governance scores have no statistically significant effect on listed firms’ financial performance. Therefore, getting higher corporate governance scores don’t mean higher performance for those firms. Besides, there is a statistically significant and positive relationship between stakeholders’ scores and financial performance. In other words, firms with higher stakeholders’ scores show comparatively higher financial performance.

Özet

Bu çalışmada, firmaların finansal performans ölçüleri olarak kullanılan Özsermaye Karlılığı Rasyosu (ROE), Aktif Karlılık Rasyosu (ROA), ve Fiyat Kazanç Oranı (F/K), Türkiye'de kurumsal yönetim ve alt-kategori skorlarının firmaların finansal performansları üzerindeki etkisini incelemek için kullanılmıştır. Veri seti dengeli olmayan bir veri seti olup 2007-2013 yılları arasında BİST100 endeksinde yer alan ve kurumsal yönetim endekine dahil olan firmaları kapsamaktadır. Çalışma sonuçları tüm veri seti ve finansal olmayan firmalardan oluşan veri seti olmak üzere iki bölüm halinde analiz edilmiştir. Her iki veri seti için, kurumsal yönetim notlarının endeksteki firmaların finansal performans üzerinde istatistiksel anlamlı bir etkisi tespit edilememiştir. Yani, daha yüksek kurumsal yönetim notu daha yüksek finansal performans anlamına gelmemektedir. Paydaş notları ile firmaların finansal performansları arasından istatistiksel anlamlı ve pozitif bir ilişki tespit edilmiştir. Daha yüksek paydaş notuna sahip olan firmalar diğer firmalara kıyasala daha iyi finansal performans göstermektedirler.

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Cite This Article

ERDOĞAN, S., ERDOĞAN, D. C. (2017). The Effect of Corporate Governance Scores on Firms’ Financial Performance: Evidence on BIST100 Index. SOSYAL BİLİMLER METİNLERİ, Cilt: 2017 - Sayı: 2, 33–44. https://ajindex.com/articles/421719

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