How do ownership concentration and family control affect R&D investments? New evidence from Taiwan
This study finds a nonlinear relationship between ownership concentration and R&D investments. Specifically, ownership concentration is positively related to R&D investments at a low level of ownership concentration; the relationship becomes negative when ownership concentration is at a high...
Main Authors: | , , |
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Format: | Article |
Language: | English |
Published: |
John Wiley & Sons Ltd.
2018
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Subjects: | |
Online Access: | http://umpir.ump.edu.my/id/eprint/23340/ http://umpir.ump.edu.my/id/eprint/23340/ http://umpir.ump.edu.my/id/eprint/23340/1/How%20Do%20Ownership%20Concentration%20and%20Family%20Control%20Affect.pdf |
Summary: | This study finds a nonlinear relationship between ownership concentration and R&D investments. Specifically, ownership concentration is positively related to R&D investments at a low level of ownership concentration; the relationship becomes negative when ownership concentration is at a high level. However, the impact of ownership concentration on R&D investments is lessened in family-controlled firms; that is, family control moderates the relationship between ownership concentration and R&D investments. Overall, this study suggests that the ownership concentration’s nonlinear impact on R&D investments differs between family-controlled firms and non-family-controlled firms. |
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