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The study analyzes the influence of corporate governance and ownership concentration levels on the cost of equity. Further, the authors extend the literature by investigating the moderating effect of ownership concentration levels (i.e. at 5%, 10% and 20%) on the relationship between corporate governance and the cost of equity.

The study applies several robust panel regression techniques to a sample of 114 active non-financial companies listed on the Pakistan Stock Exchange from 2011 to 2016. Corporate governance was measured through a unique index comprising 30 governance attributes. The cost of equity was measured through the capital asset pricing model. Further, the authors construct three variables for ownership concentration levels, i.e. at 5%, 10% and 20%. To address the endogeneity problem, the one-lagged variable model and GMM approaches were also applied.

The results indicate that better corporate governance reduces the cost of equity, while ownership concentration at high thresholds would increase the cost of equity. Further, the authors find that ownership concentration at the 20% threshold moderates the relationship between corporate governance and the cost of equity. Thus, the authors argue that firms can minimize the risk faced by shareholders by implementing substantive corporate governance mechanisms. In addition, effective corporate governance mechanisms at high ownership concentration levels are imperative for managing the cost of equity.

The study reports novel evidence that ownership concentration at a high threshold moderates the effect of corporate governance on the cost of equity.

The potential role of higher education institutes is indispensable for realizing the dream of a sustainable future. The purpose of this study is to examine the impact of knowledge-oriented leadership on the sustainable service quality of higher education institutes. Furthermore, it also investigates the mediating role of organizational innovation and psychological empowerment.

Data of this study is collected from 306 faculty members of the public and private universities of Pakistan. Structural equation modeling technique was used for data analysis and testing of hypotheses.

The results demonstrate the positive impact of knowledge-oriented leadership on sustainable service quality. Organizational innovation and psychological empowerment partially mediate the relationship of knowledge-oriented leadership and sustainable service quality.

The policymakers including the higher education commission of Pakistan and university administration are highly recommended to promote a knowledge-oriented leadership style in the higher education institutes to improve innovation and psychological empowerment at the workplace which leads to foster sustainable service quality.

The concept of sustainable service quality in higher education institutes is in the infancy stages in developing countries. There is a dearth of studies that explore the relationship between knowledge management enabler and sustainable service quality. This study attempts to explore the unexplored relationship and extends the literature of higher education institutes and sustainable service quality.