Influence of Institutional Investors on Listed Tourism Companies' Performance: An Empirical Case from China
Author(s)
Wang, Caiping
Xu, Honggang
Scott, Noel
Ding, Peiyi
Year published
2014
Metadata
Show full item recordAbstract
This study investigates the influence of institutional investors on corporate performance in institutional environments having different degrees of government intervention using data from Chinese listed tourism companies for the years 2001 to 2011. The results show that the influence of institutional investors on listed tourism companies' performance depends on the degree of government intervention in the sector. It is therefore concluded that market-based tools may be effective in developed economies, but not in countries with transitional economies such as China. This is because the required market and operational environment ...
View more >This study investigates the influence of institutional investors on corporate performance in institutional environments having different degrees of government intervention using data from Chinese listed tourism companies for the years 2001 to 2011. The results show that the influence of institutional investors on listed tourism companies' performance depends on the degree of government intervention in the sector. It is therefore concluded that market-based tools may be effective in developed economies, but not in countries with transitional economies such as China. This is because the required market and operational environment are not available. Improved performance requires market reform to decrease government intervention in the business operations of listed tourism companies and to improve the effectiveness of institutional monitoring in their corporate governance.
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View more >This study investigates the influence of institutional investors on corporate performance in institutional environments having different degrees of government intervention using data from Chinese listed tourism companies for the years 2001 to 2011. The results show that the influence of institutional investors on listed tourism companies' performance depends on the degree of government intervention in the sector. It is therefore concluded that market-based tools may be effective in developed economies, but not in countries with transitional economies such as China. This is because the required market and operational environment are not available. Improved performance requires market reform to decrease government intervention in the business operations of listed tourism companies and to improve the effectiveness of institutional monitoring in their corporate governance.
View less >
Journal Title
Journal of China Tourism Research
Volume
10
Issue
3
Subject
Tourism
Tourism management