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Asian Journal of Research in Business Economics and Management
Year : 2015, Volume : 5, Issue : 9
First page : ( 83) Last page : ( 94)
Online ISSN : 2249-7307.
Article DOI : 10.5958/2249-7307.2015.00175.9

Studying the Effects of Product Market Competition on Agency Costs of Companies Listed on Tehran Stock Exchange

Hooshmand Abdolhamida,*, Paidar Gholam Abbasb, Hosseinirad Seyed Davoudc, Barzegar Elahehd

aAssistant Prof., Department of accounting, Management and economic college, Shiraz Branch, Islamic Azad University, Shiraz, Iran

bDepartment of accounting, management and economic college, Shiraz Branch, Islamic Azad University, Shiraz, Iran

cDepartment of Accounting, College of human science, Kohgiloyeh and Boyerahmad branch, Islamic azad university, Kohgiloyeh and Boyerahmad, Iran

dAssistant Prof., Department of accounting, management and economic college, Shiraz Branch, Islamic Azad University, Shiraz, Iran

*Corresponding author: hamidaban@gmail.com

Online published on 15 September, 2015.

Abstract

The present study mainly aims to examine the effects of product market competition on agency costs of companies listed on Tehran Stock Exchange. Thus, this study is going to find an answer to the question whether there is a significant relationship between product market competition and agency costs of listed companies on Tehran Stock Exchange. The population of this research is the companies listed on Tehran Stock Exchange, which 67 of them have been examined, as the statistical sample, in a period from 2004 to 2011. The results of this research indicates that there is a significant inverse relationship between market competition and agency costs scales.

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Keywords

Product Market Competition, Agency Costs, Herfindahl-Hirschman Index.

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