This study examines the effect of transaction costs and information asymmetry on firms' capital-structure decisions in 40 countries. The findings indicate that transaction costs affect both capital-market timing and capital-structure rebalancing. Past market-timing activity has a significantly...

We study the effect of financial market conditions on managerial compensation structure. First, we analyze the optimal pay-for-performance in a model in which corporate decisions and firm value are both endogenous to trading due to feedback from information contained in stock prices. In a less...

A phenomenon known as “Common Ownership” arises when shareholders hold substantial stakes in competing firms. Although recent empirical evidence has illustrated how common concentrated owners are associated with higher product market prices and lower output, scholars remain divided as to the...

In the past decades, Corporate Social Responsibility (CSR) has been discussed as the "stakeholder approach" of managing firms, while opposing researchers have taken on views of CSR being at the "shareholder's expense". We aim to link this discussion with various factors that have been proposed...

We study securities litigation risk faced by foreign firms listed on U.S. exchanges. We find that U.S. listed foreign companies experience securities class action lawsuits at about half the rate as do U.S. firms with similar levels of ex ante litigation risk. The lower rate appears to be driven...

While Porter's competitive strategy framework and Williamson's transaction cost economics have had an immense impact on modern strategic management research, they have tended to talk past each other. This paper provides an explicit integration of competitive strategy and transaction cost...

This paper outlines the foundations of corporate governance. The discussion includes a review on the modern corporation, transaction costs theory, agency costs theory, legal investor protection, investor protection by corporate governance and its various mechanisms, as well as an overview of the...

Die regionale Struktur und das Volumen der sächsischen Exporte und Importe erklären sich nicht nur durch die relativen Kostenunterschiede zwischen Sachsen und den Handelspartnern; mitentscheidend sind auch die Handelskosten für Exporte und Importe der sächsischen Wirtschaft. Unter...