Comparison of corporate governance, strategy, control and performance evaluation systems before and after privatization

• Cuevas-Rodríguez, Gloria ^[1] ; Guerrero-Villegas, Jaime ^[1] ; Valle-Cabrera, Ramón ^[1]
  1. [1] Universidad Pablo de Olavide

     Universidad Pablo de Olavide

     Sevilla, España

     
• Localización: RIO: Revista Internacional de Organizaciones, ISSN-e 1886-4171, ISSN 2013-570X, Nº. 16, 2016 (Ejemplar dedicado a: Open debates, current trends and challenges in corporate governance and corporate social responsibility), págs. 99-125
• Idioma: inglés
• Enlaces
  • Texto completo (pdf)
• Resumen

  • The aim of this paper is compare corporate governance and firm strategy before and after privatization. The design of control and performance evaluation systems in the pre and post-privatization periods is compared so that it can be understood in relation to the changes observed at a high corporate level (corporate governance and firm strategy). We carry out various case studies on five privatized Spanish companies. The results support several conclusions. First, the variables that are traditionally related to greater board independence in monitoring do not undergo variation after privatization. Second, the interests of the firms’ new ownership have an impact on firm strategy after privatization. Finally, control and performance evaluation system designs clearly align with firm strategy after privatization.