기업의 국제화와 지배구조에 따른 투자활동

This paper examines whether degree of internationalization or corporate governance affects the association between investment and future excess returns. I expect that the probability that managers select value-increasing projects is an increasing function in degree of internationalization or corporate governance. Because the ethical and informational environment of corporations is better for firms with higher degree of internationalization or with sound corporate governance systems and the capital market prices expected returns to the investment activity conditioned on these environments, at the time of investment. I perform the moderated regression analysis to test hypotheses of this paper and find the negative moderate effect of internationalization and the positive moderate effect of corporate governance. Results show that the positive relationship between investment activity and future returns is stronger for firms with low degree of internationalization because higher degree of internationalization increase the complexity and uncertainty of companies. And the results show that for firm with sound corporate governance, higher investment activity results in positive future excess returns. Implementing good corporate governance through outside institutional ownership is effective in improving the information environment and quality of investment decision, so increasing the positive association between investment activity and future excess returns. In addition, I provide evidence that the moderate effect of internationalization and corporate governance is stronger for firms with lower degree of business diversification associate with multi-segment firm. I expect that the finding of this study would provide the opportunity to lay emphasis on corporate investment activity and implementation for internationalization and corporate governance and sustainable corporate development.