A Review on the Contemporary Changes of Capital Structures for the Firms belonging to the Korean Chaebols

摘要: This study examined a long-standing issue with its perverse results in the Korean capital markets, such as any variant financial profiles over time, affecting structure for firms belonging to the chaebols. It may be of interest identify these components from perspectives international investors and domestic policy makers implement their contingent strategies on target leverage, since U.S. financial turmoils late 2000s. Regarding evidence three hypothesis tests chaebols, this research found that control variabels measuring profitability, business risk, and non-debt tax shields, showed statistically significant relationships different types debt ratio. While FCFF(free cash flow firm) showed influence discriminate between chaebols their counterparts, not chaebols, BDRELY ratio liabilities total assets, comprising the enhanced 'Dupont' system, only effect leverage context the parametric nonparametric tests. In line obtained present research, one expect that firm chaebol, or restructure level revert to its optimal towards maximizing shareholders' wealth.