special attention to the roles of governance and regulatory frameworks, and the ways in which the latter interact with other …

. We consider governance structure and business diversification strategy as internal factors and regulation and competition … industries from 1989 to 2002, we estimate the translog cost function. The main findings are as follows: (i) The governance factor … relatively low. A 1% increase in business segments leads to only a 0.1 or 0.2% increase in total costs. (iii) The regulation …