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This paper aims to examine the relationship between executive pay disparity and the cost of debt.

The authors use a sample of syndicated bank loans granted to United States (US) listed firms from 1992 to 2014 and adopt the loan yield spread (Chief Executive Officer (CEO) pay slice) as the main proxy for the cost of debt (executive pay disparity). The authors also use the Heckman two-stage model to address the sample selection bias and the two-stage least squares and propensity score matching methods to control the potential endogeneity issues. To test different views about executive pay disparity, the authors adopt the cash-to-stock ratio to proxy for managerial risk-shifting incentives.

The authors find that the cost of debt is significantly higher for firms with larger executive pay disparity, which is robust to sample selection bias, endogeneity concerns, alternative measures and various controls. This positive relationship increases with the risk-shifting incentives of CEOs instead of other top executives, which supports the managerial power view, and is stronger for firms with higher levels of financial distress. The findings suggest that creditors view executive pay disparity are associated with higher credit risk and CEO entrenchment.

This paper reveals one “dark” side of executive pay disparity: it increases the cost of debt and identifies a significant role played by CEOs' risk-shifting incentives. The authors provide direct evidence of the relevance of pay differential to corporate credit analysis.

A high-end ethnic restaurant is a tourism experience that can increase the attractiveness and brand recognition of a tourism destination. The restaurant environment is a key element that affects consumer visits. The purpose of this paper is to adopt Schmitt’s experience module to analyse tourist preferences and experiences with respect to floral styles in ethnic fine dining restaurants. The results of this study are intended to serve as a reference for operators of fine dining establishments in designing flower arrangements.

This study adopts a quantitative research method. A sample was developed using tablet computers to simulate flower arrangements in restaurants. The research tools included a floral style preference scale and a tourist floral experience scale.

Based on the results, the test subjects preferred European floral design styles in restaurants. Restaurant environments with floral arrangements were best at relaxing the test subjects. A restaurant’s floral style was positively correlated with various aspects of the tourist experience. Gender, age, Chinese flower styles, Japanese flower styles, European flower styles and other variables enabled forecasting the degree of the tourist experience.

When a consumer exhibits higher preference for a restaurant’s floral style, the level of the tourist experience increases. This study investigates the aesthetic experience of restaurants and restaurant atmosphere as a marketing tool. Sensory stimulation within the restaurant atmosphere can be based on the five senses such that tourists may, through the design of the restaurant environment, have specific emotional reactions that improve their tourist experience and reinforce the restaurant’s brand image.

Diversity and uncertainty summarise Taiwan’s Generation Z. Diversity because the background of fewer than 3.4 million Taiwanese, which is less than 20% of the overall population, cannot be included in a ‘one-fits-all’ category. As a sovereign nation, Taiwan has developed through various cultural, economic, and political stages. Democratic freedom has given the Taiwanese the right and terrain to de-Sinicise their homeland and politically construct ‘Taiwanese Consciousness’. These points are essential, because this is the societal fabric given to Generation Zers. Apart from national identity, this chapter illustrates the uncertainties that Generation Zers are facing in relation to education, job opportunities, and living standards. It is suggested that conditions are easier for those that have received ‘superior’ education and have enjoyed family-economic support. Their consumer behaviour, Generation Z in the workplace, as well as voters are also carefully analysed in this chapter.