The Separation of Property and Control and its Costs a Century-Old Problem that Seems Modern
The Agency Costs resulting from the conflict between principals and agents, due to the separation of ownership and control in the capitalist enterprise, was analyzed in many works of the last century. Could we assume that the current globalization of companies has increased the differences between principals and agents? Does this scenario lead to an increase in Agency Costs in those companies with the greatest presence in the global economy? The objective of this article is to compile studies that will allow us to answer these questions affirmatively and conclude that large transnational, multinational or global companies involve higher Agency Costs than those that remain within national borders.
Araya, A. (2009). El Proceso de Internacionalización de Empresas. Revista digital Escuela de Administración de Empresas, 3(3) 18-25.
Arrow, K.J. (1991). The economics of agency. En Pratt, J.W. y Zeckhauser, R.J. (eds.)
Arruñada, B. (1990). Economía de la empresa: un enfoque contractual. Barcelona, España: Ariel.
Baliga, B. R. y Jaeger, A. M. (1984). Multinational corporations: Control systems and
delegation issues. Journal of International Business Studies, 15(2), 25-40.
Barney, J. B. y Ouchi, W. G. (1986). Organizational Economics. San Francisco, Estados Unidos: Jossey-Bass.
Baysinger, B. y Hoskisson, R.E. (1990): “The composition of boards of directors and strategic control: Effects on corporate strategy”. Academy of Management Review, 15(1), 72-87.
Berle, A. y Means, G. (1932). The Modern Corporation and Private Property. Nueva York, Estados Unidos: MacMillan.
Chang, E. y Taylor, M.S. (1999). Control in multinational corporations (MNCs): The case of Korean manufacturing subsidiaries. Journal of Management, 25(4), 541-565.
Doukas, J. A. y Pantzalis, Ch. (2003). Geographic diversification and agency costs of debt of multinational firms. Journal of Corporate Finance 9, 59 – 92.
Egelhoff, W. G. (1984). Pattern of control in US, UK and European multinational corporations.
Journal of International Business Studies, 15(2), 73-83.
Fama, E. y Jensen, M. (1983). Separation of ownership and control. Journal of Law and Economics, 26(2), 301-325.
Fortuna J. M. (1999). Discrecionalidad directiva, costes de agencia y mecanismos de control en las ofertas públicas de adquisición de acciones en España. Tesis Doctoral. Documentary Repository. Universidad de Valladolid. España.
Gedajlovic, E. y Shapiro, D. (1998). Management and ownership effects: evidence from five countries. Strategic Management Journal, 19(6), 533-555.
Jensen, M. y Meckling, W. (1976). Theory of the firm: Managerial behavior, agency cost and ownership structure. Journal of Law and Economics, 3(4), 305-360.
Lee, K.C. y Kwok, C.C.Y. (1988). Multinational Corporations vs Domestic Corporations: International Environmental Factors. Journal of International Business Studies, 19(2), 195-217.
Martínez A. y Tejerilla F. (1999). Adquisiciones Internacionales y Control en las Empresas Industriales Españolas. Revista Cambio Tecnológico y Competitividad, 781, 130-131.
Mustapha, M. (2011). Monitoring costs of MNC: an agency theory perspective. In: International Conference of Global Academy of Business and Economic Research, 22-23 Dis 2011, Dubai, U.A.E. (pp. 118-133). (Unpublished).
Peng, M. W. (2010). Chapter 11: Goberning the corporation around the world. Global Strategy (pp. 210-245). CENGAGE Learning.
Peng, M. W. (2012). Global Strategy. Cincinnati, Estados Unidos: Thomson South-Western.
Wright, F. W., Madura, J. y Wiant, K. J (2002). The differential effects of agency costs on multinational corporations: Theory and evidence. Applied Financial Economics, 12(5), 347-359.
Copyright (c) 2018 SOCIALSCI JOURNAL
This work is licensed under a Creative Commons Attribution 4.0 International License.
The author warrants that the article is original, written by stated author(s), has not been published before, contains no unlawful statements, does not infringe the rights of others, is subject to copyright that is vested exclusively in the author and free of any third party rights, and that any necessary written permissions to quote from other sources have been obtained by the author(s).