Title: Does the research done by the institutional investors stimulate or inhibit the management's opportunistic behaviours?

Authors: Fateh Saci

Addresses: Department Law, Economics and Management, UPR CHROME – University Nîmes, University of Mayotte, 8 Rue de l'Université – Iloni – BP 53 – 97660, Mayotte, France

Abstract: Based on the data from China A-share listed companies from 2014 to 2019, this paper examines the impact of the change of institutional investor research activities (frequency, research quality, research behaviour) on management opportunistic behaviour. Based on two types of agency costs as indicators: owner and management agency costs (AC1) and the controlling shareholder acts (AC2), the results show that institutional investor research activities have a significant stimulating effect on management opportunistic behaviour, while investors on-site visits have a more significant stimulating effect on management opportunistic behaviour, both of which have improved the first and second type of agency costs. The depth of the investigation stimulates the opportunistic behaviour of management by influencing the second type of agency costs. This paper has certain reference significance for the improvement of investor behaviour, corporate governance structure and protection of investors' interests.

Keywords: management opportunistic behaviour; institutional investor research; agency cost; on-site visits; Shenzhen listed companies.

DOI: 10.1504/IJMDM.2026.150386

International Journal of Management and Decision Making, 2026 Vol.25 No.1, pp.55 - 81

Received: 11 Nov 2024
Accepted: 01 Jun 2025
Published online: 12 Dec 2025 *

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