Corporate reputation, ownership structure and market value in the banking sector in Poland

The aim of this study was to identify an impact of corporate reputation, ownership structure and selected financial characteristics on the market value of companies in the banking sector in Poland. On the basis of a panel data model with random individual effects and fixed time effects, we found that the main factor enhancing market value is return on equity. Other statistically significant determinants of market valuation were: percentage of shares possessed by institutional shareholders, the fact that a company is paying dividends, and the size of a company. We applied two proxies for corporate reputation: points achieved in the ranking of Responsible Businesses and inclusion into the RESPECT Index. None of them was found to be a significant predictor of market valuation of firms from the banking sector in Poland.