This paper investigates whether family ownership affects a firm’s cost behavior and profitability. We find that in … cost”). This result is robust to alternative definitions of family firms. The sharp cost reduction of family firms makes …

principal-cost theory, which posits that each firm's optimal governance structure minimizes the sum of principal costs, produced …. The empirical predictions produced by principal-cost theory are more accurate than those produced by any theory focused … solely on agency costs. Principal-cost theory also suggests different policy prescriptions. Rather than banning some …

diversity and ownership concentration. Using transaction cost and agency theories embedded in an emerging market context, we …

cost. In this report, stewardship activities are focused based upon the idea that agency theory, newly introduced as … principal cost theory, could support a conceptual framework of governance reform and analyzed that as an important function for … agency cost reduction. In order to make governance reform more effective, I make several proposals, cost sharing of …