期刊名称：International Journal of Academic Research in Business and Social Sciences
电子版ISSN：2222-6990
出版年度：2020
卷号：10
期号：13
页码：30-40
DOI：10.6007/IJARBSS/v10-i13/6886
语种：English
出版社：Human Resource Management Academic Research Society
摘要：The co-operative sector in Malaysia is targeted to be a pivotal contributor to the economy. As community-based organizations, co-operatives are not only concerned about the businesses bottom lines, but also about fulfilling the members’ needs and improving the communities’ quality of life. In a nutshell, the co-operative business model is aimed at enhancing the socio-economy of their members and the local community that cannot be measured solely by financial statements and standard financial ratios. Co-operatives should attempt to measure the member-level returns, and dividend payment is one of the measures. Payments of dividend highlight the ‘member-owner’ role of co-operative membership. The dividend payment provides incentives for external investor or members to leave funds in the co-operative. This payment in return will help the co-operatives in getting the supplies of funds from members to invest in profit generating project or assets. This study examines factors affecting dividend payout of 360 leading co-operatives in Malaysia. Both financial and non-financial parameters were assessed which were then translated as formative determinants of dividend payout. Findings showed that return on assets, both co-operatives financial and non-financial parameters, age and size have a significant influence towards the dividend payout among Malaysian co-operatives. This result provides consistent evidence that dividend payout decisions in the co-operatives are similar to the profit-oriented organizations. The positive association between all performance measures and dividend support the agency cost and signaling theories of dividend policy, while the unexpected results of a negative relationship between age and dividend payout provide support for legitimacy theory.
