A Question of Loyalty: Bank-Firm Relationships in Taiwan

Autor: Ya-Huei Chang, Hsiang-Lin Cheng, Chih-Yung Wang
Rok vydání: 2012
Předmět:
Zdroj: Emerging Markets Finance and Trade. 48:190-201
ISSN: 1558-0938
1540-496X
DOI: 10.2753/ree1540-496x4805s312
Popis: This paper explores the benefits and negative elements of the relationship between firms and their primary banking partners. The benefits of this relationship often lead firms to develop a closer relationship with their primary banking partners, while the negative elements often result in firms changing their banking partners. Our results show that larger, older firms in Taiwan are more likely to build close relationships with their banks. In addition, the duration of the relationship between firms and banks is related to the positive likelihood that firms will look for alternative banking partners.
Databáze: OpenAIRE