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The Influence of Employee Share Ownership Schemes on Firm Performance: the Case of Zimbabwean Firms

Author

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  • Maxwell Sandada

    (University of Zimbabwe)

  • Kamunyaru Batanai Basil

    (University of Zimbabwe)

  • Asphat Muposhi

    (Vaal University of Technology)

Abstract

The purpose of this study was to examine the influence of employee share ownership schemes on firm performance in the case of Zimbabwean companies. The study sought to provide valuable insights on the influence of this initiative on employee productivity and organisational performance in Zimbabwe. A cross sectional design was employed to collect data from Confederation of Zimbabwe Industry listed companies using simple random sampling. The study revealed that financial benefits from EOSs, employee participation, ECOS communication and percentage of shareholding have a significant positive relationship with firm performance. The study has important implications for the implementation and management of ESOs in the context of a development country such as Zimbabwe.

Suggested Citation

  • Maxwell Sandada & Kamunyaru Batanai Basil & Asphat Muposhi, 2016. "The Influence of Employee Share Ownership Schemes on Firm Performance: the Case of Zimbabwean Firms," EuroEconomica, Danubius University of Galati, issue 2(12), pages 37-50, April.
    • Handle: RePEc:dug:journl:y:2016:i:2:p:37-50
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    File URL: http://journals.univ-danubius.ro/index.php/oeconomica/article/view/3029/3220
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    References listed on IDEAS

    as
    1. Douglas Kruse & Richard Freeman & Joseph Blasi & Robert Buchele & Adria Scharf & Loren Rodgers & Chris Mackin, 2003. "Motivating Employee-Owners in ESOP Firms: Human Resource Policies and Company Performance," NBER Working Papers 10177, National Bureau of Economic Research, Inc.
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    7. Douglas Kruse & Richard Freeman & Joseph Blasi & Robert Buchele & Adria Scharf & Loren Rodgers & Chris Mackin, 2004. "Motivating Employee-Owners In Esop Firms: Human Resource Policies And Company Performance," Advances in the Economic Analysis of Participatory & Labor-Managed Firms, in: Employee Participation, Firm Performance and Survival, pages 101-127, Emerald Group Publishing Limited.
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