Comparative analysis of the factors that affect capital structure

The aim of this study is to comparatively analyse the factors that have been tought to affect capital structure. Manufacturing firms that have been quoted on the stock exchanges of five countries whose economies were parallel to each other in the recent past ( Turkey, Brazil, Indonesia, Mexico, Argentina). The effects of firm specific and country specific factors on the capital structures of the specified countries are analyzed over 2000-2007 period. As a result it is determined that; tangibility has a positive effect on capital structure; but profitability and growth opportunities negatively effects leverage ratios. There is not a unity on the effects of other factors. Also it is found out that the effects of tangibility, profitability and growth opportunities are similar to developed countries.