Skip navigation

Market concentration, corporate governance and innovation: partial and combined effects in US-listed firms

Market concentration, corporate governance and innovation: partial and combined effects in US-listed firms

Ugur, Mehmet and Hashem, Nawar (2012) Market concentration, corporate governance and innovation: partial and combined effects in US-listed firms. Journal of Governance and Regulation, 1 (3/2). p. 199. ISSN 2220-9352 (Print), 2306-6784 (Online)

[img] PDF
8840_Hashem_and_Ugur_Gala_article_(2012)_(pre-print).pdf - Submitted Version
Restricted to Repository staff only

Download (1MB)

Abstract

Mehmet Ugur and Nawar Hashem aim to contribute to the debate by investigating both partial and combined effects of corporate governance and market concentration on
innovation. Utilising a dataset for 1,400 non-financial US-listed companies and two-way cluster-robust estimation methodology, they report several findings. First, the relationship between market concentration and innovation is non-linear. Secondly, the relationship has a U-shape in the case of input measure of innovation (research and development - R&D – expenditures); but it has an inverted-U shape when net book-value of brands and patents is used as output measure of innovation. Third, corporate governance indicators such as antitakeover defences and insider control tend to have a negative partial effect on R&D
expenditures but a positive partial effect on net book-value of brands and patents. Finally, when interacted with market concentration, anti-takeover defences and insider control act as complements to market concentration.

Item Type: Article
Uncontrolled Keywords: innovation, competition, corporate governance, two-way cluster-robust estimation
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Faculty / Department / Research Group: Faculty of Business > Greenwich Political Economy Research Centre (GPERC)
Related URLs:
Last Modified: 02 Nov 2016 13:52
Selected for GREAT 2016: None
Selected for GREAT 2017: None
Selected for GREAT 2018: None
URI: http://gala.gre.ac.uk/id/eprint/8840

Actions (login required)

View Item View Item

Downloads

Downloads per month over past year

View more statistics