Corporate Governance and Financial Crisis Prediction Model - An Example of Financial Industry

• Main Authors: Chang, Ching-Lan, 張清蘭
• Other Authors: Hsu, Wen-Hsi
• Format: Others
• Language: zh-TW
• Published: 2012
• Online Access: http://ndltd.ncl.edu.tw/handle/33908777668843558929

碩士 === 國立屏東科技大學 === 企業管理系所 === 100 === Previous studies always use financial ratios to construct financial distress warning models.However, the accounting numbers may be modified, which will reduce the accuracy of the information. In recent years, many enterprises face crises. The academics and practitioners are believed that strengthening corporate governance is the best solution. Therefore, the study incorporates the corporate governance variables to construct a better financial crisis prediction model. This study uses data from 2006 to 2010 drawn from the Taiwan Economic Journal (TEJ) database. The study found that the control of shareholders and independent directors have significantly positive effects on the financial crisis, showing that banks with more controlling shareholders tend to have more probabilities of financial crisis, while independent directors do not have any significant effect on financial crises.