OWNERSHIP IDENTITY AND FIRM PERFORMANCE IN MANUFACTURING COMPANIES IN TURKEY: A MULTINOMIAL LOGIT MODEL APPROACH

• Main Authors: Aydin UNSAL, Erginbay UGURLU, Ilker SAKINC
• Format: Article
• Language: English
• Published: Social Sciences Research Society 2009-07-01
• Series: International Journal of Economics and Finance Studies
• Online Access: http://www.sobiad.org/eJOURNALS/journal_IJEF/archieves/ijef2009/07aydin-unsal.pdf

The studies on ownership structure provides us with several testable hypothesis as well as empirical evidence from different countries. The study describes the main characteristics of ownership identities of the Turkish manufacturing companies listed on the Istanbul Stock Exchange (ISE) and examines the impact of ownership identity on performance. The identity of the owners has implications for their objectives and the way exercise their power, and this is reflected in company strategy. A multinomial logit model has been developed to study the effects of different ownership identities on the selection of performance measurements. The model is then applied to explain the performance of ownership structure in manufacturing companies in Turkey.