A decision making framework to evaluate the necessity of corporate restructuring
by Imaneddin Moradi Baghfeizi; Hossein Rahmanseresht; Saeed Fathi
International Journal of Business Excellence (IJBEX), Vol. 15, No. 3, 2018

Abstract: This paper aims at presenting a 3 × 3 matrix to determine the structure of a holding company based on the degree of diversification and parenting style. Non-conformity of structure with this framework means that a restructuring is necessary. Three hypotheses have been tested to evaluate the validity of this framework. The first two hypotheses respectively assess the association between the 'degree of diversification' and 'parenting style' with 'structural form' based on chi-square test. But to test the third hypothesis, the holding companies compliance with the framework is divided into two groups and Mann-Witni (U) test shows that there is a significant difference between their performances. Based on Sharp's index, the economic performance of the holdings which are consistent with the framework, over a period of five years, is about 11 times better than non-conformers with the framework.

Online publication date: Mon, 25-Jun-2018

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 Business Excellence (IJBEX):
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