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Geographic dispersion and corporate resilience during the COVID-19 pandemic

Author

Listed:
  • Jiang, Fei
  • Kong, Dongmin
  • Lu, Zhengfei
  • Ma, Yongqiang
  • Yi, Yang

Abstract

This study demonstrates the positive role of geographic dispersion in corporate resilience to the COVID-19 pandemic in the context of China. This association is more pronounced when firms are highly dependent on the domestic market, less likely to obtain enough financing, highly apply digital technology, and have low customer concentration. This association is attributable to the following three channels: a diversified portfolio, the maintenance of business relationships, and access to non-local resources. Overall, our findings provide a more nuanced picture of the potential impacts of corporate diversification on corporate resilience.

Suggested Citation

  • Jiang, Fei & Kong, Dongmin & Lu, Zhengfei & Ma, Yongqiang & Yi, Yang, 2023. "Geographic dispersion and corporate resilience during the COVID-19 pandemic," International Review of Financial Analysis, Elsevier, vol. 88(C).
    • Handle: RePEc:eee:finana:v:88:y:2023:i:c:s1057521923002004
    DOI: 10.1016/j.irfa.2023.102684
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    Cited by:

    1. Liu, Shasha & Kong, Dongmin & Zhang, Jian, 2024. "Air pollution-induced brain drain: Evidence from inventor mobility," International Review of Financial Analysis, Elsevier, vol. 91(C).

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    More about this item

    Keywords

    Geographic dispersion; Corporate resilience; COVID-19 pandemic; Firm value;
    All these keywords.

    JEL classification:

    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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