| Paper Number | KCB-WP-2023-019 |
|---|---|
| Title | Internal Capital Markets of Korean Chaebols |
| Title(Other) | |
| Author | Jieun Im ; Woojin Kim ; Inmoo Lee |
| Publisher | KAIST College of Business |
| Abstract | This paper reviews cases, anecdotal evidence and academic studies on internal capital markets of Korean chaebol firms. Chaebols are business groups that are typically controlled by founding families and are known to have active internal capital markets. While internal capital markets may relax financial constraints and allow firms to effectively finance investment opportunities, financial transactions among member firms may benefit controlling families at the expense of minority shareholders. We present evidence consistent with both bright and dark sides of internal capital markets of chaebols, and discuss some factors likely to affect the allocative efficiency of internal capital markets. |
| Full-Text | * Full-Text 다운로드는 경영대학 학생에게만 제공되고 있습니다. |