A COMPARATIVE STUDY OF THE RELATIONSHIP OF THE CORPORATE GOVERNANCE COMPONENT OF FAMILY BUSINESSES AND NON-FAMILY BUSINESSES LISTED ON THE STOCK EXCHANGE OF THAILAND WITH OPERATING PERFORMANCE AND FIRM VALUE
Keywords:
Corporate Governance, Operating Performance, Firm Value, Family BusinessAbstract
The major purpose of this comparative study of the corporate governance relationship of family and non-family businesses listed on the Stock Exchange of Thailand was to see how they relate to operating performance and firm value. The corporate governance variable is an independent variable, consisting of shareholder structure, the board of directors’ structure, efficiency of enterprise risk management, efficiency in internal control. The dependent variables are operating performance and frim value, containing return on asset ratio, equity return ratio, net profit, sales growth, and Tobin's value. The study collected secondary data during the year 2016-2021 from 513 listed companies in SET and MAI. The tools used for analysis and hypothesis testing consisted of descriptive statics, Pearson correlation coefficient analysis and multiple regression analysis. The results show that at the statistical significance level of 0.05, corporate governance of shareholder structure, board structure and efficiency in internal control was a statistically significant positive correlation with operating performance and firm value. The findings indicate that corporate governance is very important in the efficient management of a business.
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