Ownership concentration and the marginal effect of board and debt monitoring in Vietnam

This thesis investigates how blockholders influence the relation between governance and firm performance in Vietnam. The researcher employed analyses of marginal effects among various mechanisms of a bundle of governance. This methodology helps avoid the problem of under/overstating an interaction effect that might be mistaken by previous studies and confer precise and robust results on the interdependencies of various governance attributes within a firm. The research reported on the levels at which ownership concentration significantly affect the effectiveness of board monitoring and creditor monitoring. This study concluded that the Anglo-Saxon governance model is unlikely to be appropriate in countries where ownership concentration dominates and where a dual board structure is present and argue for the need of a differentiated governance framework.