%0 Journal Article
%T Corporate Governance, Agency Cost, and Business Performance: Evidence from Construction and Real Estate Firms
%A Khuc The Anh
%A Do Hoai Linh
%A Nguyen Thi Thuy Hang
%A Tran Minh Khue
%A Phung Thanh Quang
%A Bui Kien Trung
%A Trinh Chi Mai
%J Journal of Organizational Behavior Research
%@ 2528-9705
%D 2024
%V 9
%N 1
%R 10.51847/qJuAeaUYel
%P 162-181
%X This paper aims to investigate the impact of corporate governance and agency cost on firm performance by using the Feasible Generalized Least Squares (FGLS) model and data panel analysis on Vietnamese listed firms in the construction & real estate sector in the period of 2015 - 2021. Empirical results indicate that asset turnover ratio, ownership structure, board size, percentage of female board members, total assets, and revenue growth are positively related to firm performance. We find that an emerging market like Vietnam is accepting the participation of women on the board of directors quite positively. In contrast, sales and administrative expenses to revenue ratio, short-term debt to assets ratio, and percentage of independent board members are negatively correlated with profitability. It seems that independent board members do not have much significance in decision-making, and are greatly influenced by group interests. The study also provides some recommendations to improve firm performance by addressing corporate governance and agency cost issues.
%U https://odad.org/article/corporate-governance-agency-cost-and-business-performance-evidence-from-construction-and-real-est-cituhcsln5zrwrq