The impact of corporate diversification on firm value in Kenya
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Date
2017
Journal Title
Journal ISSN
Volume Title
Publisher
African Journal of Business Mangement
Abstract
This study investigates the impact of corporate diversification on the value of firms listed at the Nairobi Securities Exchange (NSE). Panel regression techniques were used as the estimation methods. The overall findings of the study where somewhat mixed. The study finds that industrial diversification reduces firm value, but geographical diversification does not have a significant impact on firm value. When examining each industry individually, the study established that industrial diversification enhanced firm value in the agricultural industry but did not significantly influence firm value in the other industries.
Description
Keywords
Industrial diversification, Firm value, Ownership structure, Frontier markets
Citation
Manyuru, A., Wachira, M., & Amata, E. (2017). The impact of corporate diversification on firm value in Kenya. African Journal of Business Management.11(11), 241-249