期刊論文

標題 Group Firms' Access to Internal Capital Markets: The Contingent Roles of Group Resources and Affiliates' Financial Weakness
學年 109
學期 1
出版(發表)日期 2021/01/08
作品名稱 Group Firms' Access to Internal Capital Markets: The Contingent Roles of Group Resources and Affiliates' Financial Weakness
作品名稱(其他語言)
著者 Ching-Yuan Hsiao; Yung-Ming Shiu
單位
出版者
著錄名稱、卷期、頁數 Economic Modelling v.96, p.135-156
摘要 This study investigates how group's value maximization considerations determine affiliates’ access to internal capital. Previous studies have indicated that both the amount of group resources and affiliates' financial weakness are relevant to internal capital allocation decisions. Our study investigates how these two factors jointly affect affiliates' access to internal capital. By analyzing the effects of capital shortage on various financing channels in the context of insurance groups, we reveal that financially-weak firms' capital shortage positively affects the receipt of internal capital when groups own abundant resources. Conversely, when the amount of group resources is limited, those affiliates enjoying better financial conditions receive more internal capital to manage their capital shortage, and financially-weak ones do not; thus, such financially-weak firms exhibit increased tendency to use costly external capital to manage their capitalization. Our findings indicate that groups with less abundant resources tend to engage in“winner-picking” allocation decisions to maximize value.
關鍵字 Capital structure;Capital adjustment channels;Internal capital markets;Group resources;Financial weakness
語言 英文(美國)
ISSN 1873-6122
期刊性質 國外
收錄於 SSCI;
產學合作
通訊作者 Yung-Ming Shiu
審稿制度
國別 荷蘭
公開徵稿
出版型式 ,電子版