The Effect of Control–Ownership Disparity on Cost Stickiness

@article{ART002139473},
author={ 채수준 and 유혜영 },
title={The Effect of Control–Ownership Disparity on Cost Stickiness},
journal={유통과학연구},
issn={1738-3110},
year={2016},
volume={14},
number={8},
pages={51-57},
doi={10.15722/jds.14.8.201608.51},
url={http://dx.doi.org/10.15722/jds.14.8.201608.51}

TY - JOUR
AU - 채수준
AU - 유혜영
TI - The Effect of Control–Ownership Disparity on Cost Stickiness
T2 - 유통과학연구
PY - 2016
VL - 14
IS - 8
PB - 한국유통과학회
SP - 51-57
SN - 1738-3110
AB - resources or possess surplus resources even when sales decrease with the purpose of increasing personal utility from status, power, compensation, and prestige. These managers' utility maximizing tendencies cause cost stickiness. We examine whether asymmetric behavior related to costs becomes stronger when there is a large disparity between ownership and control rights. Research design, data, and methodology - We construct a regression model to examine the relationship between control– ownership disparity and cost stickiness. STICKY, a dependent variable representing cost stickiness is a value found using the method of Weiss (2010), and Disparity is an interest variable that shows control–ownership disparity. Results - This study is based from the unique situations in Korea, in which high control–ownership disparity is common in firms. Large control–ownership disparity was found to increase cost stickiness of corporations. Conclusions - The results of this study imply that controlling shareholders may be regarded as a threat to the interests of minority shareholders and corporate values especially when controlling shareholders have significant influence over managers or the power to make managerial decisions as owners of a corporation.
KW - Control–Ownership Disparity, Wedge, Chaebol, Agency Problem, Cost Behavior, Cost Stickiness
DO - 10.15722/jds.14.8.201608.51
UR - http://dx.doi.org/10.15722/jds.14.8.201608.51
ER -

채수준 and 유혜영 (2016). The Effect of Control–Ownership Disparity on Cost Stickiness. 유통과학연구, 14( 8), 51- 57.

채수준 and 유혜영 . 2016, “The Effect of Control–Ownership Disparity on Cost Stickiness”, 유통과학연구, vol. 14, no. 8, pp. 51-57. Available from: doi:10.15722/jds.14.8.201608.51

채수준 유혜영 et al. “The Effect of Control–Ownership Disparity on Cost Stickiness” 유통과학연구 14.8 pp. 51-57 (2016): 51.

채수준 , 유혜영 . The Effect of Control–Ownership Disparity on Cost Stickiness 유통과학연구 [Internet]. 2016; 14( 8), : 51-57. Available from: doi:10.15722/jds.14.8.201608.51

채수준 and 유혜영 . “The Effect of Control–Ownership Disparity on Cost Stickiness” 유통과학연구 14, no.8 (2016): 51-57. doi: 10.15722/jds.14.8.201608.51

홈 권호 목록 논문 목록 논문 상세

The Effect of Control–Ownership Disparity on Cost Stickiness

유통과학연구

약어 : JDS

2016, vol.14, no.8, pp.51 - 57

DOI : 10.15722/jds.14.8.201608.51

발행기관 : 한국유통과학회

연구분야 : 경제학

채수준¹ , 유혜영²

¹강원대학교

²한세대학교

인용한 논문 수 : 1 서지 간략 보기

초록

resources or possess surplus resources even when sales decrease with the purpose of increasing personal utility from status, power, compensation, and prestige. These managers' utility maximizing tendencies cause cost stickiness. We examine whether asymmetric behavior related to costs becomes stronger when there is a large disparity between ownership and control rights. Research design, data, and methodology - We construct a regression model to examine the relationship between control– ownership disparity and cost stickiness. STICKY, a dependent variable representing cost stickiness is a value found using the method of Weiss (2010), and Disparity is an interest variable that shows control–ownership disparity. Results - This study is based from the unique situations in Korea, in which high control–ownership disparity is common in firms. Large control–ownership disparity was found to increase cost stickiness of corporations. Conclusions - The results of this study imply that controlling shareholders may be regarded as a threat to the interests of minority shareholders and corporate values especially when controlling shareholders have significant influence over managers or the power to make managerial decisions as owners of a corporation.

키워드

Control–Ownership Disparity, Wedge, Chaebol, Agency Problem, Cost Behavior, Cost Stickiness

참고문헌(13)

[학술지] Anderson, M. C. / 2003 / Are selling, general, and administrative costs ‘Sticky’? / Journal of Accounting Research 41 : 47 ~ 63
[보고서] Anderson, S. / 2007 / Understanding cost management: What can we learn from the evidence on ‘Sticky costs’?
[학술지] Chen C. H. / 2012 / The agency problem, corporate governance, and the asymmetrical behavior of selling, general, and administrative costs / Contemporary Accounting Research 29 : 252 ~ 282
[학술지] Claessens, S. / 2002 / Disentangling the incentives and entrenchment effects of large shareholdings / Journal of Finance 57 : 2741 ~ 2771
[학술지] Faccio, Mara / 2002 / The ultimate ownership in western European corporations / Journal of Financial Economics 65 (3) : 365 ~ 395
[학술지] Fan, J. / 2002 / Corporate ownership structure and the informativeness of accounting earnings in East Asia / Journal of Accounting and Economics 33 (3) : 401 ~ 425
[학술지] Jensen, M. C. / 1986 / Agency cost of free cash flow, corporate finance, and takeovers / American Economic Review 76 (2) : 323 ~ 329
[학술지] Johnson, S. / 2000 / Corporate governance in the Asian financial crisis / Journal of Financial Economics 58 (1-2) : 141 ~ 186
[학술지] La Porta, R. / 1999 / Corporate ownership around the world / Journal of Finance 54 (2) : 471 ~ 517
[학술지] Morck, R. / 1988 / Management ownership and market valuation : An empirical analysis / Journal of Financial Economics 20 : 293 ~ 315
[학술지] Shleifer, A. / 1997 / A survey of corporate governance / Journal of Finance 52 (2) : 737 ~ 783
[학술지] Stiglitz, J. E. / 1981 / Credit rationing in markets with imperfect information / The American Economic Review 71 (3) : 393 ~ 410
[학술지] Weiss, D. / 2010 / Cost behavior and analysts' earnings forecasts / The Accounting Review 85 : 1441 ~ 1471