| dc.description.abstract | This doctoral thesis presents a comprehensive investigation into the corporate
governance practices of listed firms in Kerala, India, and their profound impact on market
valuation. The study encompasses 45 publicly traded companies listed on both the Bombay
Stock Exchange (BSE) and the National Stock Exchange (NSE) and relies on data gathered
from the companies' published annual reports.
The research objectives of this study are structured to address key aspects of
corporate governance and its relationship with market valuation. The study analyzes the
levels of compliance with corporate governance practices among the listed companies in
Kerala. It explores variations in compliance levels based on market capitalization, shedding
light on how company size influences governance standards. Furthermore, the study
investigates the growth trends in market valuation among these companies and identifies
variations in market valuation based on their governance performance. Finally, it delves into
the intricate relationship between corporate governance compliance and market valuation,
elucidating how governance directly impacts a company's market worth.
The findings of this rigorous examination have far-reaching implications for
comprehending the intricate interplay between governance and firm value. One pivotal
discovery is the rejection of the null hypothesis concerning uniform corporate governance
performance across various market capitalization categories. This underscores the critical
importance of tailoring governance assessments to a company's size, with larger-cap
companies exhibiting more robust governance processes and structures, essential for
attracting investors and ensuring sustained growth. Conversely, smaller-cap companies
require specialized governance strategies attuned to their unique needs and challenges.
The study also scrutinizes board structures and governance processes, revealing the
profound influence of market capitalization in these domains. Differential compliance levels
among companies of varying market sizes underscore the necessity of tailor-made
governance strategies. This knowledge empowers stakeholders to make informed decisions
regarding governance, thereby enhancing overall governance outcomes. Furthermor, the
study examines specific governance facets, such as board committees, corporate social
responsibility, investor protection, risk management, reporting frameworks, whistleblowing
procedures, and stakeholder concerns. These aspects combine to shape the overallgovernance landscape, exhibiting significant variations based on market capitalization. The
study recommends customized interventions for small-cap companies to enhance investor
protection policies and reporting standards, ultimately fostering transparency and
accountability.
Crucially, this study establishes a substantial link between corporate governance
standards and company market valuation. It highlights that governance is not merely a
compliance exercise but a strategic imperative that directly influences a company's market
worth. The research underscores that good governance practices result in higher market
valuations, emphasizing the significance of considering shareholders' value and financial
performance for both investors and corporate executives.
In conclusion, this thesis offers an exhaustive exploration of corporate governance
standards among listed companies in Kerala, illuminating their impact on firm valuation.
The nuanced nature of corporate governance, evidenced by the rejection of null hypotheses
and market-size-dependent differences, provides stakeholders with the knowledge required
to tailor governance strategies to specific company sizes. Importantly, it advocates for
prioritizing governance as a pivotal factor in achieving market success. The study's findings
serve as a valuable reference for formulating governance measures that enhance the overall
performance and market value of listed companies in Kerala as they continue to evolve in
the dynamic business landscape. | en_US |
