Does succession decision destroy firm value?
|摘要:||Bennedsen, Fan, Jian and Yeh (2014)指出公司傳承將會造成公司價值的減損，其原因是由於傳承公司擁有難以跨代、跨組織傳承與難以分割出售之特殊資產。然而，在公司經歷多次傳承後（創辦人傳承事件下降），是否對傳承決策與風險有所影響？再者，若公司的經營體質較佳，即使發生傳承事件，是否可避免公司價值下跌？
Bennedsen, Fan, Jian and Yeh (2014) pointed out that each firm has the difficulties in transferring specialized assets to their successor. Because of the specialized assets hard to be transferred, they found an average negative 56% stock return during a 5-year period in Taiwan, Hong Kong and Singapore. However, we are concerned about whether the succession decisions will be affected by succession times. Whether the firm having better physical construction will avoid from decreasing of firm value. This paper investigates whether there are any effects for the succession characteristic variables on succession decisions and the succession decisions on firm value. We examine 307 succession cases in Taiwan during 1997 to 2012. We use succession characteristic variables, specialized asset variables and firm physical construction variables to examine which variable will affect succession decisions. Besides, we calculate cumulative abnormal return(CAR) from month -48 to month -1 to examine whether succession decisions will affect firm value. We found that if the successors are founder or founding family members, higher controlling power or better relationship with employees, they will be more likely to be succeeded by family member. By contrast, co-founded firms, electronic industry and the controlling shareholder already constructing the ownership structure are more likely to choose outsider succession. In view of the median CAR during succession period, we found a downward trend. However, in view of the average CAR during succession period, we found an upward trend instead. This means that the risk will increase in succession period. Finally, most firm has succeeded many times and improved its physical construction so that we can't find negative CAR in succession year. We found dissipation of firm value in the succession to family members. Founder as a successor, founding family member succession and higher controlling power of the firm will decrease its firm value. We also found that the firms have more specialized assets, the value of firms would decline more. However not all succession events will destroy firm value. If the firm with better performance and physical construction, they might avoid having poor succession performance.