ENTRENCHED BOARDS IN NEW PUBLIC FIRMS: AN EMPIRICAL STUDY OF CHINESE IPOS - Bina Darma e-Journal

(1)

COLLECTED

(2)

PATRONS

\tohammad Nasir.,

M.Si., Akt, Ph'D'

:!nri.

SE, M.Com,

Akt, Ph.D'

*

- _--:s

\takhfud,

M.P. -:

*.---

SE..

M.Sc.,

Ph.D

.--

:.;fti.

R.etno H., M.S.

ORGANIZING

C

OMMITTEE MEMBERS

-+lra Farah M.Sc., Dr. Indira Januarti,

Dr.

Suharnomo,

Dr. Pujiharto,

Dr.

Faisal, 3.airnono,

Dra. Amie

Kusumawardhanie, M.SC.,

Dr.

Ahmad

Syakir,

Erman

,,:r-j,

s:..

\M.,

Dr. Hadi

sasana,

Siti Muthmainah,

s.E.

M.si., Akt., Aditya

Septiana, ,,",r

.:..

-{kt.,

_Drs.

M.

Iaiz,

M.

Yonathan Aditya, S.Kom, Muhamad

Alfan,

M.Hum.,

1--".:.

S.E.. MiaPrameswari, SE., M.Si., Farid

Ma'ruf,

SE',

Akt'

DITERNATIONAL

SCIENTIFIC

COMMITTEE

;-.

- l':.

_^nam

Ghozali

Diponegoro University,Indonesia -

r

_{-r---c:r R.ahman}_Abdul

Rahim

UiTM

Malaysia

:--

):.

_-\lueza_Tourani-Rad

r* l:

-\bdul Aziz

:-,-

--:4:ra

_Smigielska

;-. lr

\lohammed

Yusoff

-

.,i,:r

Slirvinski

---:

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_Shahida_Wtzarat -

-

:--,=-go \'Iartin-Rojas

:-

_1,:.

-\nihony

S.F. Chiu

-.

- :=:;:t Tooksoon

:-

-

)-

{ugusty

_Ferdinand

:-.

_{_}

lt: I:rang

_Jun

:*

lr:

_{Tarna Savolainen}

Auckland University of Technology,

New Zealand

Morgan State University, U.S.

Bucharest

University

Romania

IIU,

Malaysia

Warsaw School of Economics, Poland Institute of Business Management Universidad de Granada, SPain De la Salle University, Philippines

Lunghwa University

of

Science and Technology, Taiwan

Universiti

Kebangsaan MalaYsia

Raj amangal a University o

f

Technolo gy, Thail and Diponegoro University, Indonesia

Fudan University, China University of Eastern Finland

:--: .-i- \fi

'-''

::-.

\Iing

Lang Tseng

-

,;-"-

-":

?:g-rf-. ?:url-. Dr. Dr. Tanuia Tanuja Ag

Agarwala

University of Delhi

-r

--- ----.-ie _{Bt Abdul Ghani}

Azmt

_{University of}Malaya, Malaysia

;-

]':.

-\bdul

_RahimA.

Rahman

International Islamic University, Malaysia

-. -===.

=l

Collected Abstracts - IRCBE

-

Semarang, Indonesia, 28-30

June20l3

Page 4

(3)

Inl

Prof. Dr. Moha

Asri Abdullah

Prof. Dr. Indah Susilowati

Dr.

Stephen Liason Sondoh

Dr.

Amirul

Shah

Md

Shahbudin Assos. Prof. Dr. RarnanNoordin Prof.

Dr.

Galina Shirokova

IIU,

Malaysia

Diponegoro University, Indonesia

Universiti

Malaysia Sabah

Universiti

Sains Malaysia

Universiti

Malaysia Sabah

St. Petersburg University, Russia _{08.00 - 08.3(}

10.00

-

10.1:

11.30

-

13.3r

15.00

-

15.1

19.00 - 21.(

08.00 - 08.:

10.00

-

10.

12.00 - 13.

15.00

-

15

08.00 -

Fi

(4)

Day

L (28th June 2013)

Session No. 28 June 2013

Dr.

Rajiv

Khosla (Chandigarh

University,

India)

MARKETING

MIX

ELEMENTS

INNOVATIONS EMPLOYED

BY

SMALL

AND MEDIUM

ENTERPRISES

IN THE

PROVINCE

OF

BATANGAS,

PHILIPPINES

JESUS P. BRIONES

(COLLEGE

OF BUSINESS

AND

AC COUNTANCYI.INIVERS

ITY

OF

BATANGAS,

PHILLPPINES)

CUSTOMER

SATISFACTION IN

AIRPORT

RETAILING

SAFAK AKSOY

(AKDENIZ

I.INIVERSITY, TURKEY)

WOMEN IN REAL

ESTATE:

PROFES

SIONAL CHALLENGES

AND

OPPORTUNITIES

WOON

HEI

LING

(LINIVERSITI

TLTN HUS SEIN

ONN

MALAYSIA)

KNOWLEDGE-BASED

TRANSF

ORMATIONAL MODEL

OF HUMAN CAPITAL

OF

FACULry

MEMBER TOWARDS

ORGANIZATIONAL

PERFORMANCE

OF

HIGHER

EDUCATION INSTITUTION

MERY CITRA SONDARI

GTNIVERSITAS

PADJADJARAN)

M119

,(p.30)

--{-

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ELEMENTS ;

E\IPLOYED BY

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PROVINCE ;. PHILIPPINES

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\ITIES

B

\SED

TIO\AL

MODEL

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OF HIGHER

;STITUTION

Dete 28 June2013 Session No. P1B

Ihairperson

-{rea

Time

Code

E059

{0.47)

KRISTIN

JOHNSON

(RENMIN

LINTVERSITY

oF CHINA),

GORDON

LEE (LINIVERSITY

OF

ONTARIO INSTITUTE

oF TECHNOLOGY)

AN INTANGIBLE

THREAT: U.S.

ECONOMIC

SECURITY

AND CHINESE

FOREIGN

DIRECT INVESTMENT

E'077

(p,48)

MAJID MADDAH

(SEMNAN LINIVERSITY

IRAN)

THE ENVIRONMENTAL KUZNETS CURVE HYPOTHESIS, SOME

CONSIDERATIONS

IN MEMBERS OF

ORGANIZATION

OF THE ISLAMIC

CONFERENCE

E120

@.ae)

ADELEKE

SALAMI

(DEVELOPMENT

RESEARCH

DEPARTMENT,

AFRICAN

DEVELOPMENT

BANK,

TLINISIA)

SUSTAINABLE AGRICULTURE

IN

AFRICA:

EMERGING ISSUES,

CHALLENGES AND POLICY

OPTIONS

il,1,4

(p.so)

BIMO

WIJAYANTO

(NATIONAL

CENTRE

OR SOCIAL

AND

ECONOMIC

MODELLING AT

UC)

REVENUE

AND DISTRIBUTION

IMPACT

ANALYSIS OF

INDONESIAN

PERSONAL

INCOME TAX REFCRM

IN

2008

Page 7 Programme and Collected Abstracts - IRCBE

-

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P1C

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I

BOARDS IN NEW

i:

.\N

EMPIRICAL

NESE

IPOS

N.{\TS

OF

- CTURE:

AN

]-DY

_OF

NEW

IED

FIRMS

E OUTCOMES OF

{\.{GEMENT

NFOR.I\{ATION

1i _{Page 9} Programme and Collected Abstracts - IRCBE

-

Semarang, Indonesia, 28-30

June2O13

page 10

Dare 28 June 2013 Session No.

P2A

Chrirperson

-{rea

Dr.

Manoj

Sharma (Chandigarh University)

Time

15"15 -i,17.00

Managemgnt

,

Room

1

Code

-\I052

ttp.44)

SHARMISTHA

BANERJEE

(UNIVERSITY

OF

CALCULTTA, INDIA) AND

IPSITA

C.

PATRANABIS

(GLOBSYN

BUSINESS

SCHOOL,

KOLKATA,

INDiA)

DOES

EMOTIONAL INTELLIGENCE

SCORE

DRIVE

SUCCESSFUL

LIFE

INSURANCE MARKETING?

l,I06g

(p.27)

|

M07s

(p.28)

l

MANAWIN

SONGKROH

(MAEJO

I.INIVERSITY,

THAILAND)

TOURISTS' PERCEPTION

TOWARD

HANDICRAFT

PRODUCT

IN

CHIANG

MAI

SUNDAY

WALKING

YENNI CAROLINA

(PADJAJARAN

TINIVERSITY,

INDONESIA)

A

DESIGN OF

IMPROVED

SERVICE

QUALITY WITH

SIX SIGMA

BASED-SERVQUAL

(CASE

STUDY

ON

INTERNET

SERVICE PROVIDER

coMPANY)

M109

@.2e)

ASIF

ALI

(FEDERAL URDU

UNIVERSITY

OF ARTS

SCIENCE

AND

TECHNOLOGY,

PAKISTAN)

THE

RELATIONSHIP

BETWEEN

PERCETVED

TRAINING

OPPORTLTNITIES,

WORK

MOTIVATION AND

EMPLOYEE

OUTCOMES.

EVIDENCE

FROM

PAKISTAN

(8)

-A009

(p-71)

(p.72)

--f,i;r=amme Programme and

Collected

E

-

Semarang' Indonesia' 28-30 June2013

Page 11

(9)

hI

THROUGH

NDENTS (BCS)

fuSE STI.IDY OF

THE

TNK

TELOPMENT OF

ID

AVOID

CRISES

LAND

MPACT

ON DE SCENARIO

AND

CHILE

L

CONFLICT

AND

IG

THE

IINISM

FAISAL

(DEPARTMENT

OF

ACCOUNTING,

FACULTY

OF

ECONOMICS

AND

BUSINESS, DIPONEGORO UNTVERSITY,

INDONESIA)

INTERNAI

CONTEXIUAL

FACTORS

INFLUENCING

THE

EXTENT

OF

ENWRONMENTAL

DIS CLOSURE

SRI

DEWI

ANGGADINI

(PADJAJARAN

UNIVERSITY,

INDONESIA)

THE INFLUENCES OF THE

ORGANIZATIONAI

STRUCTURE

AND

OF

THE TOP

MANAGEMENT

SIIPPORTS ON

THE

ACCOLINTING INFORMATION

SYSTEM

AND

ITS

IMPLICATION

ON

THE

ACCOLTNTING

INFORMATION

QUALITY

YULIANTI AND

YANUARNANOK

SOENARNO

(ATMAJAYA

CATHOLIC

UNTVERSITY OF

INDONESIA)

EFFECT OF CORPORATE

GOVERNANCE

TO

EARNING MANAGEMENT USING

ACCRUALS AND REAL

ACTTVITIES

(10)

ND

n has ) rate

;

and

1.

In

)nces and

more

es to

erage rates

rolicy

lhina

ENTREI{CHED

BOARDS

IN

NEw

PUBLIC FIRMS:

AN

EVIPIRICAL

STUDY OF

CIIINESE

IPOS

Abdul

Basyith,

Fitriya, M. Idris

FakultasEkonomi, UniversitasMuhammadiyah palembang

ABSTRACT

Purpose: This

study

empirically

investigates

the impact

of

managerial _{entrenchment on}

firm

financial

performance

of

Chinese

fi.-r' Initi;l public

offering

(IPOs).Design/lVlethodology/Approach:Using 142

firms listed

in

the

Shenzen Stock Exchange,

this

study uses

two

proxies to measure

firm

performance and three proxies to measure managerial entrenchment. The

two proxies

for firm

performance are

iobin,s

e

and

ROA,

and

the

three

proxies

for

managerial entrenchment

are derived

from

the

principal

component analysis

(PCA). This

study

confirms that

_the_data

is

linear

_{and no}

endogeneity issue should

be

addressed

in

this

study,

but only

heteroskedasticty,

non-normality

for Tobin's Q

_{are a}

problem;

_therefore,

the

_regression_{method employed}

for

Tobin's

_{Q is the}GLS and the

oLS

between estimators

for

Roe.rindings:The

regression

result

for Tobin's Q

reveals

that

managerial entrenchment negatively impacts

on

firm

performance. _{The results}_are

in

_{contradiction}

with

_the

stewardrtip

tn.t.y

fo.

rr"*

firms,

whereas

it

is

positive

for

the

managerial entrenchment

for

new-

firms.

In

contrast, the regression result

for ROA

reve

firm

performance; however, on The results are

in

line

with

the

entrenchment

for

new

firms

inconclusive results,

this

sfudy

confidently

explaining the financial performance

of

new

measure

rather

than

accounting measure.

In

conclusion,

the

negative results

of

entrenchment

proxies

were

caused

by

the systems, namely

that

Chinese corporations

state, and hence

the

centralised state cont

nnance

in

Chinese Firms IpOs context.

It

is

gerial

entrenchment

in

new

Chinese firms,

role

in

establishing

the modern

_enterprise

system in the

world,

and

is

one of the largest market _{economies. Further, the method used}

in

this

study

is

more robust than

prior

research, as entrenchment

proxies

were derived using the PCA.

Key words: Managerial entrenchment,

firm

performance, chinese firms

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