It’s all about culture! Institutional context and ownership concentration across Europe

It is widely recognised that the formal institutional context affects firm ownership concentration. However, impact of informal has received less research attention. Drawing from theory, we tested our hypothesis both and (cultural) contexts simultaneously influence Based on a firm-level database largest 600 listed companies in 19 European countries for period 2009–2015, found contexts, considered independently each other, affect level when these are together, significance context's effect concentration disappears while remains significant. Specifically, findings indicate high power distance, collectivism, uncertainty avoidance, restraint, short-term orientation favour Overall, demonstrate diversity cultures explains firms' different levels across firms, signalling Union's efforts towards common regulatory frame may not necessarily lead to convergence structures and, consequently, corporate governance practices.