Capital Structure of Surviving Family Firm in Malaysia

Abor, J., and Biekpe, N. (2009). How do we explain the capital structure of SMEs in sub-Saharan Africa? Evidence from Ghana, Journal of Economic Studies, 36(1), 83-97.
Ahsan T., Wang, M., and Qureshi, M. A. (2016). Firm, industry, and country level determinants of capital structure: evidence from Pakistan, South Asian Journal of Global Business Research, 5(3), 362 – 384.
Al-Ajmi, J., Hussain, H. A., and Al-Saleh, N. (2009). Decisions on capital structure in
a Zakat environment with prohibition of riba: The case of Saudi Arabia, The Journal of Risk Finance, 10(5), 460-476.
Al-Najjar, B., and Taylor, P. (2008). The relationship between capital structure and ownership structure, Managerial Finance, 34(12), 919-933.
Alipour, M., Mohammadi, M. F. S., and Derakhshan, H. (2015). Determinants of capital structure: An empirical study of firms in Iran. International Journal of Law and Management, 57(1), 53-83.
Ampenberger, M., Schmid, T., Achleitner, A., and Kaserer, C. (2013). Capital Structure Decisions in Family Firms: Empirical Evidence from a Bank-based Economy, Review of Managerial Science, 7(3), 247-275.
Anderson, R. C., and Reeb, D. M. (2003). Founding-Family Ownership and Firm Performance: Evidence from the S&P 500, The Journal of Finance, 58(3), 1301-1328.
Baral, K. J. (2004). Determinants of Capital Structure: A Case Study of Listed Companies of Nepal, Journal of Nepalese Business Studies, 1(1), 1-13.
Berle, A. A., and Means, G. (1932). The Modern Corporation and Private Property, MacMillan, New York, N.Y.
Bertrand, M., and Schoar, A. (2006). The Role of Family in Family Firms, The Journal of Economic Perspectives, 20(2), 73-96.
Berzins, J., Bohren, O., and Stacescu, B. (2013). Tax concerns and agency concerns in dividend policy: Holding companies as a separating device, Working Paper No. 2/2013, Centre for Corporate Governance Research, BI Norwegian Business School, Norway.
Bevan, A., and Danbolt, J. (2002). Capital Structure and its Determinants in the UK - A Deco Positional Analysis, Applied Financial Economics, 12, 159-170.
Blanco-Mazagatos, V., De Quevedo-Puente, E., and Castrillo, L. A. (2007). The Trade-off Between Financial Resources and Agency Costs in the Family Business: An Exploratory Study, Family Business Review, 20, 199-213.
Bohren, O. (2011). Eierne, styret og ledelsen, Corporate governance I Norge, Fagbokforlaget, Bergen.
Booth, L., Aivazian, V., Demirguc-Kunt, A., and Maksimovic, V. (2001). Capital structures in developing countries, Journal of Finance, 39, 857-878.
Brealey, R. A., Myers, S. C., and Allen, F. (2006). Corporate Finance, McGraw-Hill Irwin.
Buferna, F., Bangassa, K., and Hodgkinson, L. (2005). Determinants of Capital Structure: Evidence from Libya, Research Paper Series, No. 2005/08. Management School, University of Liverpool.
Cekrezi, A. (2013). Analyzing the impact of firm’s specific factors and macroeconomic factors on capital structure: A case of small non-listed firms in Albania, Research Journal of Finance and Accounting, 4(8), 90-95.
Chadha, S., and Sharma A. K. (2015). Determinants of capital structure: an empirical evaluation from India, Journal of Advances in Management Research, 12(1), 3-14.
Chen, J., and Strange, R. (2005). The determinants of capital structure: Evidence from Chinese listed companies, Economic Change and Restructuring, 38(1), 11-35.
Cheang, C. S. (2017). Corporate Governance Mechanisms and Performance of Public-Listed Surviving Family Firms In Malaysia, Unpublished Degree Dissertation, University Sains Malaysia, School of Management.
Chua, J. H., Chrisman, J. J., and Sharma, P. (1999). Defining the family business by behaviour, Entrepreneurship Theory and Practice, 23(4), 19-39.
Churchill, N. C., and Hattern, K. J. (1987). Non-Market-Based Transfer of Wealth and Power: A Research Framework for Small Business, Am. J. Small Bus, 11(3), 51-64.
Claessens, S., Djankov, S., and Lang, L. H. P. (2000). The Separation of Ownership and Control in East Asian Corporation, Journal of Financial Economics, 58, 81-112.
Cole, R. A. (2013). What do we know about the Capital Structure of Privately Held US Firms? Evidence from the Surveys of Small Business Finance, Journal of Financial Management, 42(4), 777-813.
Colot, O., and Croquet, M. (2009). Debt of family firms: a comparison based on accounting indicators, Corporate Ownership & Control, 6(3), 53-60.
Craig, J. B., Dibrell, C., and Davis, P. S. (2008). Leveraging family-based brand identity to enhance firm competitiveness and performance in family business, Bond Business School Publications, 1-35.
Croci, E., Doukas, J. A., and Gonenc, H. (2011). Family Control and Financing Decisions, European Financial Management, 17(5), 860-897.
Daskalakis, N., and Psillaki, M. (2008). Do country of firm factors explain capital structure? Evidence from SMEs in France and Greece, Applied Financial Economics, 18, 87-97.
Deesomsak, R., Paudyal, K., and Pescetto, G. (2004). The determinants of the capital structure: Evidence from the Asia Pacific region, Journal of Multinational Financial Management, 14, 387-405.
Donaldson, G. (1961). Corporate Debt Capacity: A Study of Corporate Debt Policy and the Determination of Corporate Debt Capacity, Boston: Harvard University, Graduate School of Business Administration, Division of Research.
Faccio, M., and Lang, L. H. P. (2002). The Ultimate Ownership of Western European Corporations, Journal of Financial Economics, 65, 365-395.
Fan, J. P. H., and Wong, T. J. (2002). Corporate ownership structure and the informativeness of accounting earnings in East Asia. Journal of Accounting and Economics, 33, 401-425.
Mouamer, F. M. A. (2011). The Determinants of Capital Structure of Palestine-listed Companies, Journal of Risk Finance, 12(3), 226-241.
Frank, M. Z., and Goyal, V. K. (2009). Capital structure decision: which factors are reliability important, Financial Management, 39(1), 1-37.
Friend, I., and Lang, L. H. P. (1988). An empirical test of the impact of managerial self-interest on corporate capital structure. Journal of Finance, 43, 217-281.
Gallo, M.A, Tapies J. and Cappuyns, K. (2004): Comparison of Family and Nonfamily Business: Financial Logic and Personal Preferences, Family Business Review, 17(4), 303-318.
Gomez-Mejia, L. R., Haynes, K. T., Nunez-Nickel, M., Jacobson, K. J. L., and Moyano-Fuentes, J. (2007). Socioemotional wealth and business risks in family-controlled firms: Evidence from Spanish olive oil mills, Administrative Science Quarterly, 52(1), 106-137.
Gorriz, C. G., and Fumas, V. S. (1996). Ownership Structure and Firm Performance: Some Empirical Evidence from Spain, Managerial and Decision Economics, 17, 575-586.
Gorriz, C. G., and Fumas, V. S. (2005). Family Ownership and Performance: The Net Effect of Productive Efficiency and Growth Constraints, Finance Working Paper N, 66/2005, University of Zaragoza.
Handler, W. C. (1989). Managing Succession in Family Firms: The Next Generation Family Member’s Experience, Unpublished Doctoral Dissertation, Boston University School of Management.
Harris, M., and Raviv, A. (1990). Capital Structure and the Informational Role of Debt, The Journal of Finance, 45, 321-349.
Harris, M., and Raviv, A. (1991). The theory of capital structure, Journal of Finance, 46, 297-355.
Hussain, S. S., Hamza, S., and Miras, H. (2015). The Determinants of Capital Structure for Malaysian Food Producing Companies, International Journal of Accounting, Business and Management, 1(1), 2289-4519.
Ibrahim, H., and Samad, F. A. (2011). Corporate Governance Mechanisms and Performance of Public-Listed Family-Ownership in Malaysia, International Journal Of Economics and Finance, 3(1).
Jamal, A. A. A., Mohidin, R., Sang, L. T., and Karamah, Z. A. B. U. (2011). Capital Structure Determinants: An Exploratory Study of Malaysian Companies in the Trading and Services Sector, Proceedings of the 5th Asian Academy of Applied Business (AAAB), Phnom Penh, Cambodia.
Jensen, M. C. (1986). Agency costs of free cash flow, corporate finance and takeovers, American Economic Review, 76, 323-329.
Jensen, M. C. (2000). A Theory of the Firm: Governance, Residual Claims, and Organizational Forms, Harvard University Press, Cambridge.
Jensen, M. C., and Meckling, W. H. (1976). Theory of the firm: Managerial behaviour, agency costs and ownership structure, Journal of Financial and Quantitative Analysis, 27, 247-263.
Johnson, S., Boone, P., Breach, A. and Friedman, E. (2000). Corporate governance in the Asian financial crisis. Journal of Financial Economics, 58, 141-186.
Kester, W. C. (1986). Capital and ownership structure: A comparison of United States and Japanese manufacturing corporations, Financial Management, 15, 5-16.
La Rocca, M., La Rocca, T., and Cariola, A. (2011). Capital Structure Decisions during a Farms’ Life Cycle, Small Business Economics, 37,107-130.
Lemmon, M. L., and Lins, K. V. (2001). Ownership structure, corporate governance and firm value: Evidence from the East Asian financial crisis. William Davidson Working Paper 393.
Lins, K. V. (2003). Equity ownership and firm value in emerging markets. Journal of Financial and Quantitative Analysis, 33(1), 159-184.
Long, M., and Malitz, I. (1985). The Investment-Financing Nexus: Some Empirical Evidence, Midland Corporate Finance Journal, 3, 53-59.
Lopez, G. J., and Sanchez, A. A. (2007). Financial structure of Family Business: Evidence from a Group of small Spanish Firms, Family Business Review, 269-287.
Mahmood, W. M. W., Affandi, S., Baharuddin, N. S., Mohamad, Z., and Shamsudin, N. (2011). Capital Structure of Property Companies in Malaysia, International Research Journal of Finance and Economics.
Mahmood, W. M. W., and Zakaria, R. (2007). Profitability and capital structure of the property and construction sectors in Malaysia, Pacific Rim Property Research Journal, 13(1), 92-105.
Mat Nor, F., and Yatim, C. P. (2000). Determinants of corporate debt ownership in Malaysia, Asian Academy of Management Journal, 5, 15-26.
Mat Kila, S., and Mahmood, W. M. W. (2008). Capital Structure and Firm Characteristics: Some Evidence from Malaysian Companies 23, MPRA Paper No. 14616, posted 13. April 2009 05:01 UTC.
Mazhar, A., and Nasr, M. (2010). Determinants of Capital Structure Decisions Case of Pakistani Government Owned and Private Firms, International Review of Business Research Papers, 6, 40-46.
Medeiros, C. (2015). Can family ownership influence firms’ capital structure decision? Unpublished Master Dissertation, Catholic University of Portugal, School of Business & Economics.
Megginson, W. L. (1997). Corporate finance theory, United Stated, Addison.
Miller, D., and Le-Breton-Miller, I. (2006). Family Governance and Firm Performance: Agency, Stewardship, and Capabilities, Family Business Review, 19, 73-787.
Mishra, C. S., and McConaughy, D. L. (1999). Founding Family Control and Capital Structure: The Risk of Loss of Control and the aversion to Debt, Entrepreneurship Theory and Practice, 23, 54-64.
Mishra, C. S., Randoy, T., and Jenssen, J. I. (2001). The Effect of Founding Family Influence on Firm Value and Corporate Governance, Journal of International Financial Management and Accounting, 12 (3), 235-259.
Modigliani, F., and Miller, M. H. (1958). The cost of capital, corporate finance and the theory of investment. American Economic Review, 48, 261-297.
Modigliani, F. ,and Miller, M. H. (1963). Corporate Income Taxes and the Cost of Capital: A Correction, The American Economic Review, 53(3), 433-443.
Molly, M., Laveren, E., and Deloof, M. (2010). Family Business Succession and its Impact on Financial Structure and Performance, Family Business Review, 23(2), 131-147.
Morck, R., Stangeland, D., and Yeung, B. (2000). A chapter in Concentrated Corporate Ownership, National Bureau of Economic Research, 319-372.
Myers, S. C. (1977). Determinants of corporate borrowing, Journal of Financial Economics, 5, 147-175.
Myers, S. C. (1984). The capital structure puzzle, Journal of Finance, 39, 575-592.
Myers, S. C. (1984). Capital structure, Journal of Economic Perspectives, 15, 81-102.
Myers, S. C., and Majluf, N. S. (1984). Corporate financing and investment decisions when firms have information investors do not have, Journal of Financial Economics, 13, 187-221.
Myers, S. C. (2001). Capital Structure, Journal of Economic Perspective, 15(2), 81-102.
Ohman, P., and Yazdanfar, D. (2017). Short- and long-term debt determinants in Swedish SMEs, Review of Accounting and Finance, 16(1), 106-124.
Pandey, I. M. (2001). Capital structure and the firm characteristics: Evidence from an emerging market, Indian Institute of Management Ahmedabad Working Paper No. 2001-10-04.
Pandey, I. M. (2004). Capital structure, profitability and market structure. Evidence from Malaysia, Asia Pacific Journal of Economics and Business, 8, 78-91.
Qian, Y., Yao, T., and Wirjanto, T. S. (2009). Do Chinese publicly listed companies adjust their capital structure toward a target level? China Economic Review, 20(4), 662-676.
Qiu, M., and La, B. (2010). Firm characteristics as determinants of capital structures in Australia, International Journal of the Economics of Business, 17(3), 277-287.
Rajan, R. G., and Zingales, L. (1995). What do we know about capital structure? Some evidence from international data, Journal of Finance, 50, 1421-1460.
Ramalho J., and Da Silva, J. V. (2009). A Two-part Fractional Regression Model for the Financial Leverage Decisions of Micro, Small, Medium and Large Firms, Quantitative Finance, 9(5), 621-636.
Rao, N. S., and Lukose, J. (2002). An Empirical Study on the Determinants of the Capital Sructure of Listed Indian Firms, Working Paper. Powait: Shailesh J Mehta School of Management, Indian Institute of Technology Bombay.
Salwani, A., Mansor, W., Mahmood, W., and Samah, R. A. (2007). A Study on the Determinants of Capital Structure in Property Companies: Malaysian Evidence, Proceeding of the 1st Terengganu International Business and Economic Conference, Malaysia.
Scherr, F. C., and Hulburt, H. M. (2001). The Debt Maturity Structure of Small Firms, Financial Management, 30.
Sciascia, S., and Mazzola, P. (2008). Family involvement in ownership and management: Exploring nonlinear effects on performance, Family Business Review, 21(4), 331-345.
Seppa, R. (2008). Capital structure decisions: research in Estonian non-financial companies, Baltic Journal of Management, 3(1), 55-70.
Silva, F., and Majluf, N. (2008). Does family ownership shape performance outcomes? Journal of Business Research, 61(6), 609-614.
Sinha, S. (1992). Inter-Industry Variation in Capital Structure in India, Indian Journal of Finance and Research, 2, 13-26.
Song, H. S. (2005). Capital Structure Determinants - An Empirical Study of Swedish Companies, Working Paper The Royal Institute of Technology, Stockholm.
Sraer, D., and Thesmar, D. (2006). Performance and Behavior of Family Firms: Evidence from the French Stock Market, ECGI Working Paper No. 130/2006, http://ssrn.com/abstract_id=925415.
Stempler, G. (1988). The Study of Succession in Family Owned Businesses, Unpublished Doctoral Dissertation, George Washington University, Washington D.C.
Stiglitz, J. E. (1972). On the Optimality of the Stock Market Allocation of Investment, Quarterly Journal of Economics, 86.
Titman, S., and Wessels, R. (1988). The determinants of capital structure choice. Journal of Finance, 43, 1-19.
Vergas, N., Cerqueira, A., and Brandao E. (2015). The Determinants of the Capital Structure of Listed on Stock Market Nonfinancial Firms: Evidence for Portugal, Working Paper, FEP-UP, School of Economics and Management, University of Porto, 555, 1-32.
Villalonga, B., and Amit, R. (2006). How do family ownership, control and management affect firm value? Journal of Financial Economics, 80, 385-417.
Wahlqvist, I., and Narula, S. (2014). The capital Structure, Ownership and Survival of Newly Established Family Firms, BI Norwegian Business School, Norwegian.
Wald, J. K. (1999). How firm characteristics affect capital structure: An international comparison. Journal of Financial Research, 22, 161-187.
Weller, C. (1998). Global Banking, Foreign Policy, 3(9), 1-3.
Wickramanayake, J. (2009). Capital structure of small and medium enterprise in Malaysia: An empirical investigation, Seminar Working Paper presented in Sunway Monash University, Malaysia in November 2009.
Williamson, O. E. (1988). Corporate Finance and Corporate Governance, Journal of Finance, 43 (3), 567-591.
Wiwattanakantang and Yupana. (1999). An empirical study on the determinants of the capital structure of Thai firms, Pacific-Basin Finance Journal, Elsevier, 7(3-4), 371-403.
Yammeesri, J., and Lodh, S. C. (2004). Is Family Ownership a Pain or Gain to Firm Performance? The Journal of American Academy of Business, Cambridge, 4(1/2), 263-270.
Yeh, Y. H., Lee, T. S., and Woidtke, T. (2001). Family Control and Corporate Governance: Evidence from Taiwan, International Review of Finance, 2(½), 21-48.
Zahra, S. A., and Sharma, P. (2004). Family Business Research: A Strategic Reflection, Family Business Review, 17(4), 331-346.
Zellweger, T. M., and Astrachan, J. H. (2008). On the emotional value of owning a firm, Family Business Review, 21(4), 347-363.

In-Text Citation: (Ibrahim et al., 2021)
To Cite this Article: Ibrahim, H., Lau, T.-C., & Amir, A. (2021). Capital Structure of Surviving Family Firm in Malaysia. International Journal of Academic Research in Accounting Finance and Management Sciences, 11(2), 62–89.

Copyright: © 2021 The Author(s)
Published by Human Resource Management Academic Research Society (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode