Estimating the effect of corporate governance practices on firm performance among selected publicly listed companies in the Philippines for the year 2009

• Main Authors: Larcia, Leo Angelo M., Maalihan, Gizelle A., Rivera, Ma. Thea Angela L.
• Format: text
• Language: English
• Published: Animo Repository 2010
• Subjects: Corporate governance > Philippines; Corporations > Finance > Philippines
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/7153
• Institution: De La Salle University

There has been a multitude of studies about the relationship of corporate governance and firm performance, most of them focusing on developed countries. Recently, researchers are shifting their focus on emerging markets. The results of these studies, however, are still inconclusive (Cheung, Connelly & Limpaphayom, 2009). In the Philippines, scanty literature still exist connecting governance to performance. Hence, this study is aimed on providing another perspective on the effect of corporate governance practices of selected Philippine publicly listed firms on firm performance for the year 2009. Using the Organization for Economic Cooperation and Development (OECD) Principles of corporate governance as a framework, this study investigated the corporate governance of selected firms and relates it to firm performance operating and market-based. By employing cross-sectional analysis, this study revealed that the overall corporate governance have a significant positive effect on operating performance, while insignificant as to market performance. Moreover, the researchers have also identified the role of stakeholders, as a component of corporate governance, as the primary element that drove the said effect on firm operations.