Earticle

초록

영어

We investigate the valuation effects of diversification activities by Korean business groups known as chaebols before and after the 1997 Korean financial crisis. Employing a unique dataset of 2,894 firmyear observations for the 1994-2000 period, we document the following main results. First, chaebol firms are, on average, significantly less valuable than non-chaebol firms, indicating that a firm’s chaebol affiliation comes with a value discount. Second, both chaebol and non-chaebol firms experience a significant decline in firm value following the financial crisis. Third, unrelated diversification by chaebol firms erodes in firm value throughout the whole period examined. In contrast, their related diversification is associated with a significant value gain before the financial crisis but turns into a significant value loss post-crisis. Overall, our study provides strong evidence on the significantly different valuation effects of related versus unrelated diversification by Korean business groups and the importance of the Korean financial crisis on these relations. Our findings are robust to different regression estimation specifications.

목차

Abstract
 I. Introduction
 II. Reforms Following the Korean Financial Crisis2007년 5개 학회 공동학술연구발표회 1845
 III. Data and Measurement of Key Variables
 IV. Summary Statistics of Firm Characteristics and Diversification Indexes
 V. Regression Analysis and Results
 VI. Summary and Conclusions
 References
 Appendix

키워드

저자

• Sung C. Bae [ Department of Finance, College of Business Administration, Bowling Green State University ] Corresponding author
• Taek Ho Kwon [ Department of International Commerce, Chonnam National University, Yosu, Chonnam, Korea ]
• Jang W. Lee [ Division of Finance and Real Estate, College of Commerce and Economics, Dongeui University, Busan, Korea ]

참고문헌

발행기관

간행물

표지보기 관심저널 등록

• 간행물명

  한국재무학회 학술대회

• 간기

  부정기

• 수록기간

  2006~2024

• 십진분류

  KDC 325 DDC 330