We investigate the impact of board and ownership structure on profitability of 74 commercial banks from four transition economies of South East Europe over the 2005-2010 period. We analyse this relation using Ordinary Least Squares regression analysis on an unbalanced panel data-set of 377 observations. We find negative and significant relationship between board size and bank profitability, while the proportion of independent directors on the board is negatively, but insignificantly related to bank profitability. Impact of ownership concentration on bank profitability is negative, but weak. We also find that privately held domestic banks outperform state-owned and foreign banks. Important factors influencing bank profitability in South East Europe are also bank size and bank capitalisation.
The aim of this paper is to determine the place and role of corporate governance and performance measures in the efforts of managers to maximize shareholder value, and the attitude of Serbian corporations toward these issues. The paper first analyses the importance of corporate governance and performance measures in the context of value-based management. Then, through the multiple case study, we investigate the attitude of seven Serbian corporations toward defining the general corporate objective, corporate governance, and performance measurement. Finally, we point out the factors and preconditions that determine corporate culture, objective definition, and performance measures used by Serbian corporations
Decisions on capital structure and leverage can significantly determine the capabilities of the company to survive, grow and develop. However, there is as yet no unified theoretical viewpoint on the capital structure that maximizes company value. The objective of this study is to investigate the relevance of alternative capital structure theories in Serbian economy by analyzing the influence of company’s financial performances on the leverage. The research was conducted from 2008 to 2012 on a sample of 300 largest non-financial companies from Serbia ranked by revenue in 2012. We find that financial performances influence differently the capital structure of production and service companies. The results of our study are not in accordance with any capital structure theory taken into consideration. The relations between financial performances and capital structure observed in the study are typical of companies in developing economies.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.