Title: Can the synergy between working capital management and board composition enhance firms' EVA and MVA: evidence from Thailand?

Authors: Chamaiporn Kumpamool; Nongnit Chancharat

Addresses: Faculty of Business Administration and Accountancy, Khon Kaen University, Khon Kaen, 40002, Thailand ' Faculty of Business Administration and Accountancy, Khon Kaen University, Khon Kaen, 40002, Thailand

Abstract: This study used the random effects regression model to investigate the effect of the interaction between working capital management and board composition on firms' economic value added (EVA) and market value added (MVA) for a sample of listed firms in Thailand from 2010 to 2019. The current study is the first to provide significant evidence that the synergy of working capital management and board characteristics impacts to increase and decrease the long-term firm value. This indicates that corporate policies are jointly relevant and, thus, firms should not focus only on independent policies but rather on their suite of policies as a whole. This study provides the essential implications to international markets as Thai's listed firms are related to foreign investors and they are also a multinational corporation (MNC).

Keywords: working capital management; corporate governance; board composition; corporate value.

DOI: 10.1504/IJTGM.2023.132050

International Journal of Trade and Global Markets, 2023 Vol.17 No.3/4, pp.330 - 339

Received: 08 Feb 2021
Accepted: 11 Jun 2021
Published online: 07 Jul 2023 *

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