Abstract
This paper develops a conceptual framework to understand the
comparative value relevance of accounting information in the
publicly listed Malaysian firms. In Malaysia, the concentration
of ownership for corporate control is a common phenomenon.
So, ownership concentration is considered the most important
corporate governance mechanism to determine accounting
information’s quality. The model specifies that for the better
understanding the value relevance of accounting information in
concentrated firms, it is important to identify the type of
ownership concentration rather than focusing on generic
concentrated ownership, especially the predominant family and
government ownership in Malaysia. The rationale behind this
is the prevalence of agency conflicts that are different between
these concentrated groups such as family and government.
These agency conflicts impact the perception of investors
regarding the quality of accounting information (i.e. relevance
and faithfulness) provided by these concentrated groups and
ultimately moderate its value relevance in a different manner.
Aboubakar Mirza, Mazrah Malek, Mohamad Ali Abdul Hamid. (2018) Value Relevance of Accounting Information in Malaysian Listed Firms: Family and Government Ownership Concentration’s Perspective, Paradigms , Vol 12, Issue 2 .
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