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題名 The Wealth Effect of Domestic Joint Ventures: Evidence from Taiwan
作者 陳聖賢
Chang, Shao-Chi
Chen, Sheng-Syan
貢獻者 財管系
日期 2002
上傳時間 11-Jun-2018 17:41:54 (UTC+8)
摘要 This study presents important international evidence by examining the wealth effect of domestic joint ventures by Taiwanese firms. In opposite to United States evidence, we find that announcements of domestic joint ventures by Taiwanese firms are, on average, associated with significantly negative abnormal stock returns. We also find that the stock market response to announced domestic joint ventures is significantly positively related to the announcing firms’ investment opportunities, size of investment and debt ratio, and is significantly negatively related to the business relatedness variable. In contrast, free cash flow, firm size, relative firm size and managerial ownership are found to have no significant power in explaining the market response. Our results support the investment opportunities, synergy and complementarity hypotheses as well as a broad interpretation of the free cash flow hypothesis, but reject the absolute size, relative size and alignment‐of‐interests hypotheses. This study makes valuable contributions to the literature by providing the first direct evidence on the role of investment opportunities, synergy and alignment‐of‐interests in explaining the wealth effect of domestic joint ventures
關聯 Journal of Business Finance and Accounting, Vol.29, No.1&2, pp.201-222
資料類型 article
DOI http://dx.doi.org/10.1111/1468-5957.00429
dc.contributor 財管系zh_TW
dc.creator (作者) 陳聖賢zh_TW
dc.creator (作者) Chang, Shao-Chien_US
dc.creator (作者) Chen, Sheng-Syanen_US
dc.date (日期) 2002
dc.date.accessioned 11-Jun-2018 17:41:54 (UTC+8)-
dc.date.available 11-Jun-2018 17:41:54 (UTC+8)-
dc.date.issued (上傳時間) 11-Jun-2018 17:41:54 (UTC+8)-
dc.identifier.uri (URI) http://nccur.lib.nccu.edu.tw/handle/140.119/117561-
dc.description.abstract (摘要) This study presents important international evidence by examining the wealth effect of domestic joint ventures by Taiwanese firms. In opposite to United States evidence, we find that announcements of domestic joint ventures by Taiwanese firms are, on average, associated with significantly negative abnormal stock returns. We also find that the stock market response to announced domestic joint ventures is significantly positively related to the announcing firms’ investment opportunities, size of investment and debt ratio, and is significantly negatively related to the business relatedness variable. In contrast, free cash flow, firm size, relative firm size and managerial ownership are found to have no significant power in explaining the market response. Our results support the investment opportunities, synergy and complementarity hypotheses as well as a broad interpretation of the free cash flow hypothesis, but reject the absolute size, relative size and alignment‐of‐interests hypotheses. This study makes valuable contributions to the literature by providing the first direct evidence on the role of investment opportunities, synergy and alignment‐of‐interests in explaining the wealth effect of domestic joint venturesen_US
dc.format.extent 128358 bytes-
dc.format.mimetype application/pdf-
dc.relation (關聯) Journal of Business Finance and Accounting, Vol.29, No.1&2, pp.201-222zh_TW
dc.title (題名) The Wealth Effect of Domestic Joint Ventures: Evidence from Taiwanen_US
dc.type (資料類型) article
dc.identifier.doi (DOI) 10.1111/1468-5957.00429
dc.doi.uri (DOI) http://dx.doi.org/10.1111/1468-5957.00429