(Bankacılık Düzenleme ve Denetleme Kurumu, 2014) Akben Selçuk, Elif
The objective of this study is to investigate the impact of corporate diversification in a
sample of 255 Turkish firms for the period between 2006 and 2012. Regression results
indicate that diversified firms trade at a premium compared to single-segment firms.
To explain this finding, we also investigate the possible moderating role of business
group affiliation for the diversification-value relationship. Analysis results reveal that the
diversification premium is confined to firms that are not affiliated with business groups.
These results suggest that group members already capture the benefits of diversification
without the need to diversify further at the firm level.