||The Impact of Board Directors’ Education and Professional Background on Firms Performance:
Evidence from Taiwanese Publicly Traded Electronics Firms
||Graduate Institute of Finance & Banking
||Truong Thanh De
In recent years, the issue of corporate governance has received considerable attention. The aim of this study is to explore the impact on firm performance of the board directors’ educations and professional background, termed quality grading (QG) in this work. The sample consists of 307 listed companies in the Taiwanese electronics industry from 2006 to 2010.
In contrast to the result of Chen (2011), the main result of this study show that the QG is not significantly associated to any proxy of firm performance in the Taiwanese electronics industry which means that it does not have any role in determining firm value. However, when level of education (LOE) and professional background (PB) are tested independently, the LOE has close significant relationship with firm performance whereas PB has no significant relationship with firm performance.
I. Introduction 1
1. Overview 1
2. Motivation 2
II. Literature Review 4
1. Quality grading 4
2. Board size 6
3. Board composition 8
4. Family control 9
III. Data and Methodology 12
1. Sample selection 12
2. Research design 12
3. Methodology 14
4. Descriptive Statistic 15
IV. Empirical result 16
V. Conclusion 23
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