Does cross-listing of Chinese firms matter to firm performance?

中國企業在海外上市會影響企業的業績嗎?

Student thesis: Master's Thesis

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Award date2 Oct 2013

Abstract

This research aims to investigate the influence of cross-listing of Chinese companies on their financial and marketing performance. Past research on cross-listing had mostly focused on the US market. Research evaluating the financial impacts on Chinese firms adopting internationalization strategy in other developed markets, besides the US, is limited. In this research, I apply internationalization theories, in particular, institutional theory, to explain the motivations of the Chinese companies that choose cross-listing. I argue that cross-listing is an entry mode of internationalization strategy adopted by Chinese firms. I use the notion of institutional distance to explain Chinese companies' choice of cross-listing and choice of cross-listing locations. Specifically, I propose that while institutional distance may be a barrier, it may also be an incentive that attracts Chinese companies. In this research, I seek to extend our understanding on ownership type that influences cross-listing decision-making. A research model is proposed to identify the main antecedents, consequences, and moderators. The results show that cross-listing has significant influence on privately-owned Chinese firms' financial performance while state-owned firms have more strategic concerns with regard to internationalization through cross-listing.

    Research areas

  • Foreign countries, Investments, Chinese, Organizational effectiveness, China, Going public (Securities)