La gouvernance : quel impact sur la décision d'alerte aux résultats?
✍ Scribed by Claude Francoeur; Réal Labelle; Isabelle Martinez
- Publisher
- Wiley (John Wiley & Sons)
- Year
- 2008
- Tongue
- English
- Weight
- 128 KB
- Volume
- 25
- Category
- Article
- ISSN
- 0825-0383
- DOI
- 10.1002/cjas.82
No coin nor oath required. For personal study only.
✦ Synopsis
Abstract
The theoretical concept of agency costs developed by Jensen and Meckling (1976) and Jensen (2005) are used to study the relationship between the quality of a firm's governance and its decision to issue a profit warning (PW) when it is overvalued. Based on a sample of Canadian companies between 2000 and 2004, results were only partially supportive of the hypotheses. The characteristics of the board seem to play only a secondary role in the decision to issue a profit warning when the firm is overvalued. On the other hand, as expected, governance mechanisms that factor in market values to align the interests of managers and directors with those of shareholders are negatively related to the profit warning decision. Copyright © 2008 ASAC. Published by John Wiley & Sons, Ltd.
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