Title: Government-linked companies' (GLCs) performance - a structuration perspective: Malaysian evidence

Authors: Yeng Wai Lau

Addresses: Department of Accounting and Finance, Turku School of Economics, Rehtorinpellonkatu 3, 20500 Turku, Finland; Faculty of Economics and Management, Universiti Putra Malaysia, 43400 UPM Serdang, Malaysia

Abstract: Malaysian GLCs are under pressure to perform due to their role in helping the country to become a developed nation. Using the structuration theory as a framework, this paper seeks to provide a critical perspective on GLCs' performance. This study has found that GLCs are pressured to strike a balance across political, economic and social goals, and attainment of some of these goals, especially goals non-financial in nature, is not necessarily translated into improved financial performance in the short run. Assessing only the financial aspects of GLCs' performance does not provide a complete picture of GLCs' achievements. Despite the importance of non-financial performance, the challenges associated with defining, measuring and using non-financial indicators remain unresolved. Future research can consider exploring how best to assess the non-financial aspects of GLCs' performance in light of the significance of GLCs' political and social obligations, which do not necessarily lend themselves to financial evaluations.

Keywords: government-linked companies; GLCs; financial performance; non-financial performance; structuration theory; Malaysia.

DOI: 10.1504/IJCA.2013.055184

International Journal of Critical Accounting, 2013 Vol.5 No.2, pp.213 - 227

Available online: 22 Jul 2013 *

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