Corporate governance and financial performance: The case of selected Philippine companies for 2007-2009

• Main Authors: Angeles, Krizia Marie R., Cabigon, George Jason T., Chua, Lauren Kate, Mendoza, Odelle Gem M.
• Format: text
• Language: English
• Published: Animo Repository 2010
• Subjects: Corporate governance; Financial institutions > Management; Finance and Financial Management
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/18477
• Institution: De La Salle University

Corporate governance (CG) has become a valuable consideration when it comes to evaluating overall firm's performance. Its link to financial performance (FP) has been persistently evaluated as there have been numerous studies from different countries (Brown, 2009), (Akso and Bozkus, n.d.), (Abu-Tapanjeh, 2006) and (Arun et al, n.d.) suggesting a positive link. The study was carried out to determine if the relationship is present in the Philippines as well. It was based on 65 firms listed in the Philippine Stock Exchange, over the period 2007-2009. The complete regression statistical result concluded that there is no evident relationship between the CG and FP. There was, however, a minute trace of significance after having separated the firms into sectors. This shows taht there is potential for this relationship to grow in the future given the chance that the corporate governance movement grows stronger in the country.