Control‐type and the financial structure and performance of New Zealand firms

Abstract

There has been considerable debate and empirical analysis relating to the theory of the firm. An important segment of this research relates to whether type of control, owner or manager, has any impact on the profitability and other financial characteristics of firms. This study set out to examine the issues and to carry out an empirical analysis of the control‐type and financial performance of listed firms in New Zealand. The research found that there were no significant differences between the financial structures and performances of the three types of control investigated: owner‐control, owner‐manager control, and manager‐control.

Notes

I would like to thank the reviewers for their helpful comments and suggestions on an earlier version of the paper.