Corporate governance and performance: An analysis of Italian listed companies

Risultato della ricerca: Articlepeer review

Abstract

In recent years, both corporate governance and performancemanagement have been subjected to considerable changes. Inthis dynamic context, it is interesting to study the evolution ofthe relationship between performance and governance. Doesgovernance still affect performance? The purpose of this paperis to verify the presence and intensity (extent) of therelationship between corporate governance and performance inItalian listed companies by using both accounting and nonaccounting performance measures. The purpose of this paper isto investigate the effects of prior firm performance on boardcomposition and governance structure of some companieslisted on the Italian stock exchange, analysing how a governanceapproach influences the performance of sample companies. Forthe research the methodology used is quantitative and we usedregression analysis on a sample of 23 Italian listed companies:mechanical companies and public utilities to find that thecompany's performance was positively related to the size of theboard. The empirical analysis conducted allowed us to verify thehypothesis according to which the increase in CorporateGovernance Best Practices influences company performance.However, the results we have received do not allow us to arriveat completely unequivocal interpretations. The results showedwe have received do not allow us to arrive at completelyunequivocal interpretations; the main limit is the sample sizeused in this study was relatively small.
Lingua originaleEnglish
pagine (da-a)8-18
Numero di pagine11
RivistaCORPORATE BOARD
Volume16
Stato di pubblicazionePublished - 2020

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