Does the governance compliance effect cooperative performance?

Zelhuda Shamsuddin, Abd. Ghafar Ismail, Mohd Azlan Shah Zaidi, Wan Mohd Nazri Wan Daud, Wan Salha Yusuff

Research output: Contribution to journalArticle

Abstract

This study scrutinizes the influence of corporate governance compliance assessment score to assess financial performance of 100 prominent cooperatives in Malaysia. We use static panel data estimation techniques and Panel-Corrected Standard Error (PCSE) to analyze the data. All static panel estimators confirm an inconclusive role of governance, while PCSE confirms a positive role of it in explaining financial performance. Other control variables, namely, leverage, age, dividends and benefits of cooperatives influence cooperative financial performance negatively. This research considers the need for cooperatives in Malaysia to improve governance for better industry resilience. This study provides the first empirical evidence on the impact of governance compliance to cooperative performance in Malaysia using panel data analysis. The findings introduce new cooperative specific characteristics and institutional country level governance in the estimation model.

Original languageEnglish
Pages (from-to)1701-1720
Number of pages20
JournalInternational Journal of Innovation, Creativity and Change
Volume5
Issue number2
Publication statusPublished - 1 Jan 2019

Fingerprint

governance
Malaysia
performance
estimation procedure
corporate governance
resilience
data analysis
Governance
industry
evidence
Panel Data
Industry
Empirical Evidence
Corporate Governance
Resilience

Keywords

  • Cooperative
  • Corporate governance
  • Financial performance

ASJC Scopus subject areas

  • Education
  • Arts and Humanities (miscellaneous)

Cite this

Shamsuddin, Z., Ismail, A. G., Zaidi, M. A. S., Daud, W. M. N. W., & Yusuff, W. S. (2019). Does the governance compliance effect cooperative performance? International Journal of Innovation, Creativity and Change, 5(2), 1701-1720.

Does the governance compliance effect cooperative performance? / Shamsuddin, Zelhuda; Ismail, Abd. Ghafar; Zaidi, Mohd Azlan Shah; Daud, Wan Mohd Nazri Wan; Yusuff, Wan Salha.

In: International Journal of Innovation, Creativity and Change, Vol. 5, No. 2, 01.01.2019, p. 1701-1720.

Research output: Contribution to journalArticle

Shamsuddin, Z, Ismail, AG, Zaidi, MAS, Daud, WMNW & Yusuff, WS 2019, 'Does the governance compliance effect cooperative performance?', International Journal of Innovation, Creativity and Change, vol. 5, no. 2, pp. 1701-1720.
Shamsuddin, Zelhuda ; Ismail, Abd. Ghafar ; Zaidi, Mohd Azlan Shah ; Daud, Wan Mohd Nazri Wan ; Yusuff, Wan Salha. / Does the governance compliance effect cooperative performance?. In: International Journal of Innovation, Creativity and Change. 2019 ; Vol. 5, No. 2. pp. 1701-1720.
@article{2934db61897844ff9fb48775c913980e,
title = "Does the governance compliance effect cooperative performance?",
abstract = "This study scrutinizes the influence of corporate governance compliance assessment score to assess financial performance of 100 prominent cooperatives in Malaysia. We use static panel data estimation techniques and Panel-Corrected Standard Error (PCSE) to analyze the data. All static panel estimators confirm an inconclusive role of governance, while PCSE confirms a positive role of it in explaining financial performance. Other control variables, namely, leverage, age, dividends and benefits of cooperatives influence cooperative financial performance negatively. This research considers the need for cooperatives in Malaysia to improve governance for better industry resilience. This study provides the first empirical evidence on the impact of governance compliance to cooperative performance in Malaysia using panel data analysis. The findings introduce new cooperative specific characteristics and institutional country level governance in the estimation model.",
keywords = "Cooperative, Corporate governance, Financial performance",
author = "Zelhuda Shamsuddin and Ismail, {Abd. Ghafar} and Zaidi, {Mohd Azlan Shah} and Daud, {Wan Mohd Nazri Wan} and Yusuff, {Wan Salha}",
year = "2019",
month = "1",
day = "1",
language = "English",
volume = "5",
pages = "1701--1720",
journal = "International Journal of Innovation, Creativity and Change",
issn = "2201-1315",
publisher = "Primrose Hall Publishing Group",
number = "2",

}

TY - JOUR

T1 - Does the governance compliance effect cooperative performance?

AU - Shamsuddin, Zelhuda

AU - Ismail, Abd. Ghafar

AU - Zaidi, Mohd Azlan Shah

AU - Daud, Wan Mohd Nazri Wan

AU - Yusuff, Wan Salha

PY - 2019/1/1

Y1 - 2019/1/1

N2 - This study scrutinizes the influence of corporate governance compliance assessment score to assess financial performance of 100 prominent cooperatives in Malaysia. We use static panel data estimation techniques and Panel-Corrected Standard Error (PCSE) to analyze the data. All static panel estimators confirm an inconclusive role of governance, while PCSE confirms a positive role of it in explaining financial performance. Other control variables, namely, leverage, age, dividends and benefits of cooperatives influence cooperative financial performance negatively. This research considers the need for cooperatives in Malaysia to improve governance for better industry resilience. This study provides the first empirical evidence on the impact of governance compliance to cooperative performance in Malaysia using panel data analysis. The findings introduce new cooperative specific characteristics and institutional country level governance in the estimation model.

AB - This study scrutinizes the influence of corporate governance compliance assessment score to assess financial performance of 100 prominent cooperatives in Malaysia. We use static panel data estimation techniques and Panel-Corrected Standard Error (PCSE) to analyze the data. All static panel estimators confirm an inconclusive role of governance, while PCSE confirms a positive role of it in explaining financial performance. Other control variables, namely, leverage, age, dividends and benefits of cooperatives influence cooperative financial performance negatively. This research considers the need for cooperatives in Malaysia to improve governance for better industry resilience. This study provides the first empirical evidence on the impact of governance compliance to cooperative performance in Malaysia using panel data analysis. The findings introduce new cooperative specific characteristics and institutional country level governance in the estimation model.

KW - Cooperative

KW - Corporate governance

KW - Financial performance

UR - http://www.scopus.com/inward/record.url?scp=85071625725&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=85071625725&partnerID=8YFLogxK

M3 - Article

AN - SCOPUS:85071625725

VL - 5

SP - 1701

EP - 1720

JO - International Journal of Innovation, Creativity and Change

JF - International Journal of Innovation, Creativity and Change

SN - 2201-1315

IS - 2

ER -