Impact of Board Composition, Leadership and Ownership Structure on Firm Performance: Evidence from KSE 100-Index

Pakistan is a developing market where corporate governance practices have introduced to establish and maintain a good quality corporate culture at organizational level. This research work aims to test the impact of board composition, leadership structure and ownership structure on firm performance. The sample size taken in this study is KSE-100 index companies. The time span form2008 to 2012 used in this study. For the purpose of data collection, annual reports of the sample companies were considered as a major source. These annual reports gathered from the official website of each sample company. Firm performance measured with two proxy variables i.e. return on asset and market to book value. For this, two different techniques were applied. Most of the corporate governance variables under the study had insignificant effect on performance. However, managerial ownership and leverage had negative and significant impact with return on asset under Ordinary Least Square (OLS) technique. Similarly, random effect results show that managerial ownership and leverage had also negative significant effect with market to book value.