@article{ART003403056},
author={Man-soo Jeong and Ju-Han Yeon and Chun-Kyu Kim},
title={An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market},
journal={Industry Promotion Research},
issn={2466-1139},
year={2026},
volume={11},
number={4},
pages={15-35},
doi={10.21186/IPR.2026.11.4.015}
TY - JOUR
AU - Man-soo Jeong
AU - Ju-Han Yeon
AU - Chun-Kyu Kim
TI - An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market
JO - Industry Promotion Research
PY - 2026
VL - 11
IS - 4
PB - Industrial Promotion Institute
SP - 15
EP - 35
SN - 2466-1139
AB - Despite growing interest among individual investors in the Korean capital market, studies integrating financial and macroeconomic variables across KOSPI and KOSDAQ remain limited. Using multiple regression on 9,228 firm-year observations (KOSPI: 4,134; KOSDAQ: 5,094; ~1,794 firms) from 2015-2024, this study examines how equty capital, financial stability, growth, profitability, activity, market value ratios, and macroeconomic variables (current account balance, exchange rate) affect firm market capitalization. Total equity and PBR show significant positive effects; exchange rate shows a negative effect; some market value and activity variables reverse sign due to suppressor effects. Firm fixed-effects, Hausman, and Chow-test robustness checks show that debt-ratio significance is sensitive to standard-error choice and sample period, warranting caution, while a Chow test confirms a significant structural difference between KOSPI and KOSDAQ (F=35.77, p<.001). These findings extend understanding of market capitalization determinants and support market-specific investment indicators.
KW - Market Capitalization Determinants;Panel Fixed Effects;Macroeconomic Indicators;Capital Market;Korea Discount;KOSPI-KOSDAQ
DO - 10.21186/IPR.2026.11.4.015
ER -
Man-soo Jeong, Ju-Han Yeon and Chun-Kyu Kim. (2026). An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market. Industry Promotion Research, 11(4), 15-35.
Man-soo Jeong, Ju-Han Yeon and Chun-Kyu Kim. 2026, "An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market", Industry Promotion Research, vol.11, no.4 pp.15-35. Available from: doi:10.21186/IPR.2026.11.4.015
Man-soo Jeong, Ju-Han Yeon, Chun-Kyu Kim "An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market" Industry Promotion Research 11.4 pp.15-35 (2026) : 15.
Man-soo Jeong, Ju-Han Yeon, Chun-Kyu Kim. An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market. 2026; 11(4), 15-35. Available from: doi:10.21186/IPR.2026.11.4.015
Man-soo Jeong, Ju-Han Yeon and Chun-Kyu Kim. "An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market" Industry Promotion Research 11, no.4 (2026) : 15-35.doi: 10.21186/IPR.2026.11.4.015
Man-soo Jeong; Ju-Han Yeon; Chun-Kyu Kim. An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market. Industry Promotion Research, 11(4), 15-35. doi: 10.21186/IPR.2026.11.4.015
Man-soo Jeong; Ju-Han Yeon; Chun-Kyu Kim. An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market. Industry Promotion Research. 2026; 11(4) 15-35. doi: 10.21186/IPR.2026.11.4.015
Man-soo Jeong, Ju-Han Yeon, Chun-Kyu Kim. An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market. 2026; 11(4), 15-35. Available from: doi:10.21186/IPR.2026.11.4.015
Man-soo Jeong, Ju-Han Yeon and Chun-Kyu Kim. "An Empirical Study on the Determinants of Market Capitalization of Listed Companies in the Korean Capital Market" Industry Promotion Research 11, no.4 (2026) : 15-35.doi: 10.21186/IPR.2026.11.4.015
