Competition and cooperation in corporate governance: The effects of labor institutions on blockholder effectiveness in 23 European countries
Journal
Organization Science
ISSN
1047-7039
ISSN-Digital
1526-5455
Type
journal article
Date Issued
2013-03
Author(s)
Abstract
We provide an analysis of the costs and benefits of blockholding in Europe, where it is a dominant but certainly not universal corporate governance strategy for shareholders of publicly listed firms. We find that the effectiveness of blockholding is conditioned by the specific labor institutions that distinguish European countries from the rest of the world, and that these institutional effects involve both competition and cooperation between blockholders and collective labor interests. We also find that relational blockholders are better able to cope with, or benefit from, these institutional effects than arm's-length blockholders. Empirically we use advanced meta-analytic methods on a total sample of 748,569 firm-year observations, derived from 162 studies covering 23 European countries.
Language
English
Keywords
blockholding
ownership
comparative corporate governance
labor institutions
meta-analysis.
HSG Classification
contribution to scientific community
Refereed
Yes
Publisher
Informs
Publisher place
Hanover, Md.
Volume
24
Number
2
Start page
530
End page
551
Pages
22
Subject(s)
Eprints ID
244561