A Study of the Relationships among Degree of Internationalization, Related Party Transaction and Corporate Performance

• Main Authors: Yu-Ting Chang, 張祐庭
• Other Authors: Jing-Twen Chen
• Format: Others
• Language: zh-TW
• Published: 2008
• Online Access: http://ndltd.ncl.edu.tw/handle/76369308259464568640

碩士 === 國立中央大學 === 財務金融研究所 === 96 === 　　This paper investigates the relationships among degree of internationalization, related party transaction and corporate performance. Using data from companies listed in Taiwan Stock Exchange in 2006. According to whether firms invested overseas and china, dividing 622 samples into three groups. The result shows that the amounts of related party transaction of the firms with investment in China are the largest among three groups. 　　This paper also investigates the effect of the difference of related party on corporate performance. This paper uses financial statements of parent company and consolidated financial statements to analyze separately. According to data of financial statements of parent company, related party transactions produce negative influence on corporate performance. But using data of consolidated financial statements, related party transactions show no significant effect on corporate performance. 　　Finally, use two-stage least square method to investigate the relationships among degree of internationalization, related party transaction and corporate performance. The empirical result shows that the increase of degree of internationalization would produce a positive influence on the related party transactions. And considered that the effect of degree of internationalization on the related party transactions, the results indicate the rise of related party transactions leads to a negative influence on corporate performance.