Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential?
Studies have shown that state-owned enterprises (SOEs) are influential and important contributors to world economies today, playing a key role in jump-starting large-scale industrialization and economic evolution. However, a prevalent criticism against SOEs is the fact that their performance can oft...
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| Format: | Final Year Project (FYP) |
| Language: | English |
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Nanyang Technological University
2022
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| Subjects: | |
| Online Access: | https://hdl.handle.net/10356/156122 |
| _version_ | 1811685191253491712 |
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| author | Ang, Clement Yong Keong Goh, Gerald Wencong Ho, Ashley Zhi Xuan |
| author2 | Chia Wai Mun |
| author_facet | Chia Wai Mun Ang, Clement Yong Keong Goh, Gerald Wencong Ho, Ashley Zhi Xuan |
| author_sort | Ang, Clement Yong Keong |
| collection | NTU |
| description | Studies have shown that state-owned enterprises (SOEs) are influential and important contributors to world economies today, playing a key role in jump-starting large-scale industrialization and economic evolution. However, a prevalent criticism against SOEs is the fact that their performance can often be hindered by governance challenges that hamper the enterprise's ability to create value, perform efficiently, and contribute to economic development. Thus, our paper aims to contribute to the dated and limited literature regarding the performance differential between Singapore’s government linked corporations (GLCs) and non-government linked corporations (non-GLCs), with interest in periods of crisis. We employ a propensity score matching methodology (PSM) to match similar Singapore non-GLCs to their GLC counterparts due to the prevalent sample selection biases present in previous papers. Subsequently, using a sample of 535 companies in the Singapore Exchange, we adopt a pooled Ordinary Least Squares (OLS) approach in running the regressions. Sub-sample Difference-in-Difference (DID) regressions were also utilized to explore performance differentials during two crisis periods: the 2008 subprime mortgage crisis, and the 2020 Covid pandemic. Our results find no statistically significant difference in performances between GLCs and non-GLCs in Singapore, contrary to much of the literature in other parts of the world. This suggests Singapore GLCs were built to run on a competitive, commercial manner, with business practices that resemble private businesses. |
| first_indexed | 2024-10-01T04:40:36Z |
| format | Final Year Project (FYP) |
| id | ntu-10356/156122 |
| institution | Nanyang Technological University |
| language | English |
| last_indexed | 2024-10-01T04:40:36Z |
| publishDate | 2022 |
| publisher | Nanyang Technological University |
| record_format | dspace |
| spelling | ntu-10356/1561222023-03-05T15:43:43Z Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? Ang, Clement Yong Keong Goh, Gerald Wencong Ho, Ashley Zhi Xuan Chia Wai Mun School of Social Sciences ASWMChia@ntu.edu.sg Social sciences::Economic theory Business::Finance::Corporate finance Studies have shown that state-owned enterprises (SOEs) are influential and important contributors to world economies today, playing a key role in jump-starting large-scale industrialization and economic evolution. However, a prevalent criticism against SOEs is the fact that their performance can often be hindered by governance challenges that hamper the enterprise's ability to create value, perform efficiently, and contribute to economic development. Thus, our paper aims to contribute to the dated and limited literature regarding the performance differential between Singapore’s government linked corporations (GLCs) and non-government linked corporations (non-GLCs), with interest in periods of crisis. We employ a propensity score matching methodology (PSM) to match similar Singapore non-GLCs to their GLC counterparts due to the prevalent sample selection biases present in previous papers. Subsequently, using a sample of 535 companies in the Singapore Exchange, we adopt a pooled Ordinary Least Squares (OLS) approach in running the regressions. Sub-sample Difference-in-Difference (DID) regressions were also utilized to explore performance differentials during two crisis periods: the 2008 subprime mortgage crisis, and the 2020 Covid pandemic. Our results find no statistically significant difference in performances between GLCs and non-GLCs in Singapore, contrary to much of the literature in other parts of the world. This suggests Singapore GLCs were built to run on a competitive, commercial manner, with business practices that resemble private businesses. Bachelor of Social Sciences in Economics 2022-04-05T04:22:35Z 2022-04-05T04:22:35Z 2022 Final Year Project (FYP) Ang, C. Y. K., Goh, G. W. & Ho, A. Z. X. (2022). Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential?. Final Year Project (FYP), Nanyang Technological University, Singapore. https://hdl.handle.net/10356/156122 https://hdl.handle.net/10356/156122 en HE_1AY2122_08 application/pdf Nanyang Technological University |
| spellingShingle | Social sciences::Economic theory Business::Finance::Corporate finance Ang, Clement Yong Keong Goh, Gerald Wencong Ho, Ashley Zhi Xuan Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? |
| title | Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? |
| title_full | Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? |
| title_fullStr | Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? |
| title_full_unstemmed | Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? |
| title_short | Singapore government-linked Companies vs. non-government-linked companies : is there a performance differential? |
| title_sort | singapore government linked companies vs non government linked companies is there a performance differential |
| topic | Social sciences::Economic theory Business::Finance::Corporate finance |
| url | https://hdl.handle.net/10356/156122 |
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