Is corporate governance effective in Kazakhstan?

Master's Thesis , 2013 , 52 Pages , Grade: 61

Business economics - Business Management, Corporate Governance

The loud corporate failures have seriously shaken the public belief in modern corporate system and challenge the arguments of agency theorists. While modern corporate system in the developed economies has been built for centuries, the issues stemming of separation of ownership and control threaten to be-come considerable for post-transitional countries.

This dissertation aims is to assess the effectiveness of corporate governance mechanisms in Kazakhstan. Taking the agency perspective, the assessment is carried out by examining the management turnover – performance relationship in 73 Kazakh firms listed on Kazakhstan Stock Exchange for the period of 2011-2013. The negative association between past performance of firms and management turnover was found significant at borderline line of 5% level, which cannot be interpreted as evidence of strong relationship

Inhaltsverzeichnis (Table of Contents)

• Abstract
• Acknowledgements
• Table of Contents
• Appendices
• 1 Introduction
• 2 Literature review
  • 2.1 The separation of ownership from control
  • 2.2 The agency theory, market efficiency and management competition
  • 2.3 The role of large shareholders and legal protection
  • 2.4 Empirical research in the Developed and Emerging markets
  • 2.5 Transitional economies
  • 2.6 Summary
  • 2.7 Hypothesis development
• 3 Methodology
  • 3.1 Research design and data collection
  • 3.2 Variables measurement
    • 3.2.1 CEO turnover
    • 3.2.2 Board size
    • 3.2.3 Independent directors
    • 3.2.4 CEO ownership
    • 3.2.5 Performance measures
    • 3.2.6 Firm size
    • 3.2.7 Firm leverage
    • 3.2.8 Model Specification
    • 3.2.9 Summary
• 4 Results and Discussion
  • 4.1 Descriptive statistics
  • 4.2 Regression results
  • 4.3 Limitations
• 5 Conclusions and recommendations
• 6 Personal learning and development
• 7 The list of references
• 8 Appendices

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This dissertation examines the effectiveness of corporate governance mechanisms in Kazakhstan, specifically focusing on the relationship between management turnover and firm performance. The study uses an agency theory framework to analyze data from 73 Kazakh firms listed on the Kazakhstan Stock Exchange between 2011 and 2013.

• The separation of ownership and control in corporate governance
• The role of agency theory in explaining corporate behavior
• The effectiveness of corporate governance mechanisms in emerging markets
• The impact of management turnover on firm performance
• The specific challenges of corporate governance in transitional economies

Zusammenfassung der Kapitel (Chapter Summaries)

• Chapter 1 provides an introduction to the topic of corporate governance and its relevance to emerging markets, specifically focusing on Kazakhstan. It outlines the research question, the research methodology, and the structure of the dissertation.
• Chapter 2 presents a comprehensive literature review on corporate governance, including the separation of ownership and control, agency theory, market efficiency, the role of large shareholders and legal protection, and empirical research in both developed and emerging markets. It also examines the specific challenges of corporate governance in transitional economies.
• Chapter 3 details the research methodology employed in the study, including the research design, data collection methods, and the measurement of variables such as CEO turnover, board size, independent directors, CEO ownership, firm size, and firm leverage. The chapter also outlines the model specification used for the analysis.
• Chapter 4 presents the results of the empirical analysis, including descriptive statistics and regression results. It discusses the findings in relation to the research question and examines the limitations of the study.

Schlüsselwörter (Keywords)

Corporate governance, agency theory, management turnover, firm performance, emerging markets, transitional economies, Kazakhstan, Kazakhstan Stock Exchange, separation of ownership and control, board size, independent directors, CEO ownership.

• College: University of Sheffield (Management)
• Course: Accounting and Finance
• Grade: 61
• Author: Nurken Buralkiyev (Author)
• Publication Year: 2013
• Pages: 52
• Catalog Number: V432232
• ISBN (eBook): 9783668748545
• ISBN (Book): 9783668748552
• Language: English
• Tags: kazakhstan, KASE, corporate governance, management turnover, kz, kaz