• The Journal of Fisheries Business Administration
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• v.45 no.3
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• pp.55-69
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• 2014

We try to test the pecking order theory of Korean fisheries firm's capital structure using debt capacity. At first, we estimate the debt capacity as the probability of assigning corporate bond rating from credit-rating agencies. We use logit regression model to estimate this probability as a proxy of debt capacity. The major results of this study are as follows. Firstly, we can confirm the fisheries firm's financing behaviour which issues new debt securities for financial deficit. Empirical test of SSM model indicates that the higher probability of assigning corporate bond rating, the higher the coefficient of financial deficit. Especially, high probability group follows this result exactly. Therefore, the pecking order theory of fisheries firm's capital structure applies well for high probability group which means high debt capacity. It also applies for medium and low probability group, but their significances are not good. Secondly, the most of fisheries firms in high probability group issue new debt securities for their financial deficit. Low probability group's fisheries firms also issue new debt securities for their financial deficit within the limit of their debt capacity, but beyond debt capacity they use equity financing for financial deficit. Therefore, the pecking order theory on debt capacity come into existence well in high probability group.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.9
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• pp.329-340
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• 2020

This study investigates the effect of capital structure on the financial performance of pharmaceutical enterprises which are listing on Vietnam's stock market. The study builds the regression using ROE as dependent variable and four independent variables, including self-financing, financial leverage, long-term asset and debt to assets ratios. In addition, we use other variables as controlling ones, such as firm size, fixed asset rate and growth. We collect data for the period from 2015 to 2019 of all 30 pharmaceutical enterprises which are currently listing on Vietnam's stock market. The least square regression (OLS) is used to test the effect of capital structure to the firms' financial performance. The analysis results show that the financial leverage ratio (LR), long-term asset ratio (LAR) and debt-to-assets ratio (DR) have positive relationship with firm performance, meanwhile the self-financing (E/C) affects negatively to the return on equity (ROE). Upon the findings we suggest that the Vietnamese government should focus on stabilizing macro environment to create favorable environment for enterprises. And the pharmaceutical enterprises should build more reasonable capital structure with higher debt proportion than equity, diversifying loan mobilization channels such as issuing long-term bonds. Additionally, the firms should expand the scale appropriately to maintain development and ability to pay debts.

• Korea Journal of Hospital Management
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• v.13 no.3
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• pp.1-16
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• 2008

According to Myers (1984) and Myers and Majluf(1984), there exists a financial hierarchy from internal to external financing, from long-tenn debt to equity, due to information costs. The purpose of this study is to assess the profit-making corporation of healthcare institutions. Data was collected from 130 hospital presidents and financial managers. We analysed the frequency and one way ANOVA by SPSS Windows 14.0K. The major findings of the study were as follows: We found that the priorities which a healthcare institutions financing were internal financial, other allowance, a credit loan, a security loan, and a lease through this study. The priorities which a healthcare institutions raised the capital differed as to the number of beds and revenues. The priorities were no difference from ownership, location and an annual business.

• Korean small business review
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• v.39 no.2
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• pp.89-107
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• 2017

This study investigates the effect of risk avoiding activities and characteristic of venture capital on the financial performance of invested companies. Based on the review on the literature, we present staged financing, syndicated investment and preferred stock investment as the measurements for risk avoiding activities. Types and age of venture capital were chosen as the variables for characteristic. The financial performance data of the invested companies was derived from their publicly announced yearly financial report. Data were analysed using logistic regression technique. The result show that syndicated investment and independent venture capital have positive influence on the growth of sales revenue and asset of the invested companies. Age of venture capital appears to be positively associated with growth of sales revenue. Staged financing and preferred stock investment, however, have no impact on any financial growth and profitability. Activities and characteristic of venture capital show no influence on the profitability.

• Journal of Industrial Convergence
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• v.2 no.1
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• pp.23-46
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• 2004

Tax exhaustion effect hypothesis says that firms with low expected marginal tax rates on their interest deductions employ less debt in their capital structure. We use logit analysis to study how financing decision is related to tax after controlling non tax effects. We treat non debt tax shields as proxy of marginal corporate tax rates which affect the probability of using the deductibility of debt tax shields and empirically test the tax effect on financing decision in Korea. In conclusion, we provide evidence that debt financing is positively related to tax in the former sub-period. This results partially support for tax exhaustion effect hypothesis and low tax rate firms have lower debt levels than high tax rate firms.

• The International Journal of Costume Culture
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• v.3 no.2
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• pp.88-99
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• 2000

Venture industry is becoming a driving force of Korean economy in the digital age of the 21 st century. The success of venture business depends on innovative technology, capital investment, and optimal environment providing industrial flexibility. Although venture business is starting to settle down in Korea, many barriers and challenges still remain. The current study analyzes the present status of venture business including fashion business and issues concerning the venture fund raising and provides prospective views to promote and improve venture industry in Korea.

• World Technopolis Review
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• v.7 no.1
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• pp.15-43
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• 2018

The lack of appropriate performance appraisal and evaluation of incubatees of technology incubation programmes in relation to entrepreneurship development in Nigeria is a major gap that needs to be bridged. This study examined the effect of selected technology incubation programme variables such as training, financing and marketing on entrepreneurship development in Nigeria. A closed-ended questionnaire was used for data collection from the quota-sampled population of the six (6) geo-political zones of Nigeria. Descriptive statistics were used to analyse the data while multiple regression was used to test the hypotheses. The results revealed that technology incubation training has a significant effect on entrepreneurial ability in Nigeria; there is a significant and positive effect of technology incubation financing on entrepreneurial funding portfolio; there is no significant impact of technology incubation marketing programme on entrepreneurial turnover; and technology incubation has no significant impact on entrepreneurial propensity. The study recommended that the National Board for Technology Incubation (NBTI) expand the training modules to capture pre, post and virtual incubatees; to facilitate access to risk funds, cheap capital and encourage establishment of venture capital; to improve on its marketing programme to encompass all marketing needs of incubatees beyond trade-fair participation. However, trade-fairs participation has a significant but limited effect on entrepreneurial turnover, while a technology incubation programme has no significant impact on entrepreneurial propensity, as only six (6) out of the twenty-nine (29) respondents started new venture from the incubation centers which are industrial training students and staff of the incubatees.

• Journal of the Economic Geographical Society of Korea
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• v.2 no.1_2
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• pp.63-81
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• 1999

The aims of this study are to analyze the current states and problems of development finance in the regional development projects, and to examine new sources and techniques of development finance for activating regional development projects. Analyzing the current states of development finance in regional development project, the problems such as the poorness of development function, the low accessibility to formal financial market, especially capital market, and the dominant use of corporate financing can be seen. In these context, four alternatives are proposed in order to activate development finance. First alternative is to use the funds which invest the equity of real estate, such as REITs. The second is to activate project financing. The third is to use asset backed securities. The forth is using mezzanine capitals as the means of protecting investors.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.9 no.1
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• pp.33-50
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• 2014

Though South Korea has world-class volume of Venture Capital Investment, as a share of GDP, early stage venture investments are still short, and investments are concentrated in high technology area and Capital area. Because of the high barriers to entry of the new IPO and M&A market, the venture capital companies undergo difficulties in profit. High-tech ventures face difficulties in raising money from outside investors due to information asymmetry between venture investors and venture companies. To resolve these problems, developed countries's government make a co-funding investment scheme with private sectors and design incentive mechanism such as receiving knowledge of the reputable investors' joint venture. Korean central and local government can benchmark those of things. For example, the expansion of the investment volume with private sector, region-specific matching fund and venture capital's exit path diversification such as M&A through the establishment of a business venture eco-system. At the same time, venture companies are to make an efforts to enhance the ability of screening for venture companies and the value for investment activities through a joint venture investments.

• International conference on construction engineering and project management
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• 2013.01a
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• pp.133-140
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• 2013

The purpose of this study is identifying the relationship among the business strategy, order receiving capability and leverage variables of a construction company using industry characteristic variables, in addition to the explanation variables used in the previous studies. The samples of this study were limited to the construction companies listed in Korean stock market. This study built multiple regression analysis models, which have been frequently used in traditional previous studies, in the explanation of company capital structure. Empirical analysis on Static Trade-off Theory and Pecking Order Theory was done by the built model. The study results suggested that the capital structure determination behavior of a construction company generally follows Static Trade-off Theory; however, profitability was found to follow Pecking Order Theory. The explanation variables used in the previous capital structure studies mostly produced significant results; however, the variables, which this study experimentally used, did not produce significant results. It is believed that it implies that additional studies are required in the selection of variables and study methodology. Consequently, a case that unconditionally supports a particular theory is scarce. It has been also found that a case can support both theories at the same time. Therefore, it is believed that development study methodology or introduction of new study methodology that can identify the dynamic characteristic of construction company capital structure formation is required.