| dc.description.abstract | This paper aims to examine the impact of ownership concentration, equity liquidity, and interaction of ownership concentration and equity liquidity on capital structure. Using FEM with fixed cross-section specification to analyze a panel data of 72 non-financial listed firms on HOSE during 2013- 2016 period, the study finds that ownership concentration is positively related to the firm’s leverage which indicates that when a company has highly concentrated ownership, its block shareholders often maintain high leverage ratio to avoid diluting their control of the company. The equity liquidity, in contrast, demonstrates an inverse relation with capital structure as predicted by the pecking order theory. Lastly, the combined effect of ownership concentration and equity liquidity have positive impact on the firm capital structure, this implies that when one of the two factors becomes greater, it increases the impact of the remaining element on proportion of debt in capital structure. | en_US |
