Ownership Structure and Operating Performance: Evidence from the European Maritime Industry

Lambertides, N.; Louca, C.

Abstract

In this paper we examine the relation between ownership structure and operating performance for European maritime firms. Using a sample of 266 firm-year observations, during the period 2002-2004, we provide evidence that operating performance is positively related with foreign held shares and investment corporation held shares, indicating better investor protection from managerial opportunism. We also find no relation between operating performance and employee held shares, suggesting no relation between employee commitment and firms' economic performance. Furthermore, we find no relation between operating performance and government held shares, indicating that government may not adequately protect shareholders' interests from managerial opportunism. Finally, we do find a positive relation between operating performance and portfolio held shares for code law maritime firms but not for common law maritime firms. Results are robust after adjusting for various firm and country risk characteristics. Overall, our results on the importance of the ownership structure are new to this setting and add to a large body of evidence linking ownership characteristics to corporate performance.

Citation

Lambertides, N., & Louca, C. (2008). Ownership Structure and Operating Performance: Evidence from the European Maritime Industry. Maritime Policy and Management, 35(4), 395-409. https://doi.org/10.1080/03088830802198308

• Journal Article Type: Article
• Publication Date: Aug 1, 2008
• Deposit Date: May 22, 2009
• Journal: Maritime Policy and Management
• Print ISSN: 0308-8839
• Electronic ISSN: 1464-5254
• Publisher: Taylor and Francis Group
• Peer Reviewed: Peer Reviewed
• Volume: 35
• Issue: 4
• Pages: 395-409
• DOI: https://doi.org/10.1080/03088830802198308
• Keywords: Business & Management, Fisheries & related industries, Shipping industries.
• Public URL: https://durham-repository.worktribe.com/output/1529894