TY - JOUR
T1 - Do the type and number of blockholders influence R&D investments? New evidence from Spain
AU - Tribo, Josep A.
AU - Berrone, Pascual
AU - Surroca, Jordi
PY - 2007/10
Y1 - 2007/10
N2 - Using data from 3,638 Spanish firms between 1996 and 2000, this article studies the relationship between the presence of large shareholders in the ownership structure of firms and R&D investment. Consistent with our theoretical contention, our results indicate that the impact of large shareholders on the R&D investment is (1) negative when blockholders are banks, (2) positive when blockholders are non-financial corporations and (3) null when blockholders are individuals. In addition, we find a systematic negative relationship between the number of blockholders and R&D investment. Finally, we extend our study by analysing the influence that the combined effect between blockholder type and R&D investment has on the firm's economic performance. Results of this work provide relevant implications for policy makers and academic research.
AB - Using data from 3,638 Spanish firms between 1996 and 2000, this article studies the relationship between the presence of large shareholders in the ownership structure of firms and R&D investment. Consistent with our theoretical contention, our results indicate that the impact of large shareholders on the R&D investment is (1) negative when blockholders are banks, (2) positive when blockholders are non-financial corporations and (3) null when blockholders are individuals. In addition, we find a systematic negative relationship between the number of blockholders and R&D investment. Finally, we extend our study by analysing the influence that the combined effect between blockholder type and R&D investment has on the firm's economic performance. Results of this work provide relevant implications for policy makers and academic research.
KW - Banks
KW - Individual blockholders
KW - Institutional blockholders
KW - Non-financial blockholders
KW - Ownership structure
KW - R&D investment
UR - http://www.scopus.com/inward/record.url?scp=34748853212&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=34748853212&partnerID=8YFLogxK
U2 - 10.1111/j.1467-8683.2007.00622.x
DO - 10.1111/j.1467-8683.2007.00622.x
M3 - Article
AN - SCOPUS:34748853212
SN - 0964-8410
VL - 15
SP - 828
EP - 842
JO - Corporate Governance: An International Review
JF - Corporate Governance: An International Review
IS - 5
ER -