Governance Mechanisms and creation of partnership value: role of tax optimization: literature review and proposal of a research model

Abstract

Research in management sciences has proposed a body of work on value creation for decades. However, the literature lacks consensus to delimit this concept. In this sense, this article aims to elucidate this concept in its different facets by introducing tax optimization as a mediating variable. this concept of value creation is both its richness and the difficulty of defining it; However, value creation is placed at the center of the explanations given to the most important choices made by managers. This notion of created value is not reduced to the sole transaction between the firm and the managers; the analysis of the process of this value creation is linked to the governance mechanisms. These funds have a role in the partnership value, but can have more impact if it leads to good tax optimization. Thus, to better examine the complexity of this notion, we presented a review of the literature on the notion of value and then on the concept of value creation. We also deemed it necessary to analyze the different levers or mechanisms of value creation to better understand this notion and limit the multiple concepts associated with it. Finally, the last section of our article made it possible to present an explanatory model of the role of tax optimization in the creation of partnership value. Indeed, good governance helps ensure transparency, efficiency and accountability, while tax optimization helps maximize profits and reduce tax costs which leads to value creation. These two aspects combined can help strengthen relationships between partners, drive business growth and maximize value for all business stakeholders.

Keywords: Governance; Partnership Value; Tax optimization

Classification JEL : H1, H2, H3

Paper type : Theoretical Research