R&D, corporate governance, firm size and firm valuation: evidence from Taiwanese companies
by Jang-Shee Barry Lin; Chunhui Liu
International Journal of Corporate Governance (IJCG), Vol. 6, No. 2/3/4, 2015

Abstract: Using a sample of 5829 Taiwanese firm-year observations over the 2008-2012 period, we examine the relationship between R&;38;D expenditure and firm valuation. We find a significant positive association between R&D investment and firm valuation as measured by two valuation measures: Tobin's Q and Market-to-book ratio while controlling corporate governance variables. In addition, we find that R&D growth is also a positive and highly significant variable. We also find a significant size effect, indicating the success of small firm R&D innovation. We find insider ownership to be a negative factor and institutional ownership to be positive. Different from US data, board size is positive, while board independence negative.

Online publication date: Sat, 13-Feb-2016

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Corporate Governance (IJCG):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com