The study on relation between enterprises diversification and operation performance: A case for financial holding companies in Taiwan.

• Main Authors: Meng-Pao Lin, 林盟堡
• Other Authors: Fang-Hsia Shu
• Format: Others
• Language: zh-TW
• Published: 2010
• Online Access: http://ndltd.ncl.edu.tw/handle/42569892527278604644

碩士 === 國立臺北大學 === 經濟學系 === 98 === The financial holding companies (FHCs) in Taiwan have set up for a long time; however its internal development and external mergers have changed a lot recently. The research aims at 14 financial holding companies in Taiwan from 2005 to 2008, by using Entropy Index to evaluate degree and type of diversification. Furthermore, using the method of data envelopment analysis (DEA) evaluates operation performances of those target companies in Taiwan, and it also analyzes productivity growth by Malmquist Productivity Index. Last but not the least, the Tobit Model helps us to explore the influence of degree and type of diversification on performances of FHCs in Taiwan. The main conclusions present as the following: 1.The research indicates that the most of total diversification among those target companies in Taiwan decrease gradually, but the finding is widely divergent to the case that those FHCs in Taiwan were eager to expand its scale on the early established period. 2.Due to the improvement of average level of technical efficiency exceed the deterioration of average level of technical, the FHCs’ average productivity improved from 2005 to 2007. 3.The report doesn’t show significant negative relationships between diversification and operation performances. On the other hand, FHCs in Taiwan take some related diversification strategies that influence better operation performances than those companies use unrelated diversification strategies. 4.The scale of asset statistically plays a significant and positive role toward operation performances of FHCs in Taiwan. However, the figures statistically show that FHCs own commercial banks has significant negative relationships toward operation performances, but ROE also indicates obvious positive relationships between operation performances of FHCs in Taiwan.