How much concentration is good for minority shareholders? Evidence from Chinese companies

Chaoyan Wang; Yang Tian

doi:10.1057/s41260-024-00392-x

How much concentration is good for minority shareholders? Evidence from Chinese companies

Chaoyan Wang, Yang Tian

School of Economics

Research output: Journal Publication › Article › peer-review

Abstract

Using moderation and mediation analyses, we examine when and how a concentrated ownership structure might benefit minority shareholders in China’s stock markets. Our findings suggest that a moderate level of ownership concentration in Chinese private companies enhances earnings informativeness, leading not only to increased profitability but also to greater incorporation of information into share prices. However, this relationship weakened after the market crash in 2015.

Original language	English
Pages (from-to)	71-82
Number of pages	12
Journal	Journal of Asset Management
Volume	26
Issue number	1
DOIs	https://doi.org/10.1057/s41260-024-00392-x
Publication status	Published - 12 Dec 2024

Keywords

Earnings informativeness
Moderation and mediation analysis
Ownership concentration

ASJC Scopus subject areas

Business and International Management
Strategy and Management
Information Systems and Management

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10.1057/s41260-024-00392-x

Cite this

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How much concentration is good for minority shareholders? Evidence from Chinese companies

Abstract

Keywords

ASJC Scopus subject areas

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