Leader-Follower Relationship in Determining of the Capital Structure
This study examines the relationship of the leader-follower relationship in determining the composition of the capital structure (CS) using the absolute cross-sectional dispersion (CSAD) method in terms of market growth and decline. The firms in each industry were divided into two categories of lead...
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| Format: | Article |
| Language: | fas |
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Alzahra University
2023-03-01
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| Series: | راهبرد مدیریت مالی |
| Subjects: | |
| Online Access: | https://jfm.alzahra.ac.ir/article_6928_f3e19abbf3ae69f57aad2362b73a2df3.pdf |
| _version_ | 1811154258809061376 |
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| author | Sajedeh Rezaei Hamidreza Vakilifard Reza Tehrani |
| author_facet | Sajedeh Rezaei Hamidreza Vakilifard Reza Tehrani |
| author_sort | Sajedeh Rezaei |
| collection | DOAJ |
| description | This study examines the relationship of the leader-follower relationship in determining the composition of the capital structure (CS) using the absolute cross-sectional dispersion (CSAD) method in terms of market growth and decline. The firms in each industry were divided into two categories of leaders and followers based on the criteria of profitability growth, profitability and market share. In the category of profitability growth in the machinery and equipment and cement lime gypsum industry in general, as well as in the basic metals and chemical industry (decline and growth period), pharmaceutical industry (decline period) and cement lime gypsum industry (growth period), The leader-follower relationship is not rejected. With the criterion of profitability in the same market conditions, non-metallic mineral and cement lime gypsum industry and taking into account the period of growth and decline in the food except sugar, chemical, non-metallic mineral and cement lime gypsum industry (growth and decline period), and automobiles and parts and electrical appliances (growth period) firms follow the industry leader. Based on the market share criterion, in the automobiles and parts industry in similar economic conditions and the basic metals and chemical industry (growth and decline period) and rubber and plastic industry and electrical appliances (growth period) in different economic market conditions, the hypothesis of a leader-follower relationship is not rejected. Therefore, firms' following to the industry leader can be considered as a determining factor in the capital structure of firms. |
| first_indexed | 2024-04-10T04:13:43Z |
| format | Article |
| id | doaj.art-5638d993462e464fb2f16c3fe2266d96 |
| institution | Directory Open Access Journal |
| issn | 2345-3214 2538-1962 |
| language | fas |
| last_indexed | 2024-04-10T04:13:43Z |
| publishDate | 2023-03-01 |
| publisher | Alzahra University |
| record_format | Article |
| series | راهبرد مدیریت مالی |
| spelling | doaj.art-5638d993462e464fb2f16c3fe2266d962023-03-12T10:16:36ZfasAlzahra Universityراهبرد مدیریت مالی2345-32142538-19622023-03-0111114516810.22051/jfm.2023.34930.24936928Leader-Follower Relationship in Determining of the Capital StructureSajedeh Rezaei0Hamidreza Vakilifard1Reza Tehrani2Department of Financial Management, Kish International Branch, Islamic Azad University, Kish Island, IranAssociate Professor of Accounting Department, Science and Research Branch, Islamic Azad University, Tehran, Iran.Department of Financial Management and Insurance, Faculty of Management and Accounting, Tehran University, Tehran, IranThis study examines the relationship of the leader-follower relationship in determining the composition of the capital structure (CS) using the absolute cross-sectional dispersion (CSAD) method in terms of market growth and decline. The firms in each industry were divided into two categories of leaders and followers based on the criteria of profitability growth, profitability and market share. In the category of profitability growth in the machinery and equipment and cement lime gypsum industry in general, as well as in the basic metals and chemical industry (decline and growth period), pharmaceutical industry (decline period) and cement lime gypsum industry (growth period), The leader-follower relationship is not rejected. With the criterion of profitability in the same market conditions, non-metallic mineral and cement lime gypsum industry and taking into account the period of growth and decline in the food except sugar, chemical, non-metallic mineral and cement lime gypsum industry (growth and decline period), and automobiles and parts and electrical appliances (growth period) firms follow the industry leader. Based on the market share criterion, in the automobiles and parts industry in similar economic conditions and the basic metals and chemical industry (growth and decline period) and rubber and plastic industry and electrical appliances (growth period) in different economic market conditions, the hypothesis of a leader-follower relationship is not rejected. Therefore, firms' following to the industry leader can be considered as a determining factor in the capital structure of firms.https://jfm.alzahra.ac.ir/article_6928_f3e19abbf3ae69f57aad2362b73a2df3.pdfcapital structurebehavioral financeleader-follower relationship |
| spellingShingle | Sajedeh Rezaei Hamidreza Vakilifard Reza Tehrani Leader-Follower Relationship in Determining of the Capital Structure راهبرد مدیریت مالی capital structure behavioral finance leader-follower relationship |
| title | Leader-Follower Relationship in Determining of the Capital Structure |
| title_full | Leader-Follower Relationship in Determining of the Capital Structure |
| title_fullStr | Leader-Follower Relationship in Determining of the Capital Structure |
| title_full_unstemmed | Leader-Follower Relationship in Determining of the Capital Structure |
| title_short | Leader-Follower Relationship in Determining of the Capital Structure |
| title_sort | leader follower relationship in determining of the capital structure |
| topic | capital structure behavioral finance leader-follower relationship |
| url | https://jfm.alzahra.ac.ir/article_6928_f3e19abbf3ae69f57aad2362b73a2df3.pdf |
| work_keys_str_mv | AT sajedehrezaei leaderfollowerrelationshipindeterminingofthecapitalstructure AT hamidrezavakilifard leaderfollowerrelationshipindeterminingofthecapitalstructure AT rezatehrani leaderfollowerrelationshipindeterminingofthecapitalstructure |