“…Previous researches have made numerous attempts to identify the influence of foreign investors on firm value, yielding mixed results. Research on the relationship between foreign investors and firm value has suggested that foreign blockholders lead to more efficient management in terms of improving corporate governance (Sachs and Warner, 1995;Khanna and Palepu, 1999;Shin et al, 2004;Ahmadjian and Robbins, 2005;Park and Lee, 2006;Kim and Eum, 2008). The role of foreign investors in the Korean economy, however, has been controversial since several cases of excessive payments of cash dividends and stock repurchases were made at the requests of foreign block investors.…”