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1 – 10 of over 3000
Article
Publication date: 22 May 2023

Marwa Elnahass, Muhammad Tahir, Noora Abdul Rahman Ahmed and Aly Salama

This study examines the association between internal corporate governance mechanisms (i.e. board of directors and audit committee) and the information value of bank earnings. The…

Abstract

Purpose

This study examines the association between internal corporate governance mechanisms (i.e. board of directors and audit committee) and the information value of bank earnings. The authors comparatively assess this association across different bank types, Islamic versus conventional banks. The authors also investigate the mediating effect of Shariah governance.

Design/methodology/approach

The authors utilize a unique and an international sample of 723 bank-year observations representing 100 listed banks from 16 countries during the period 2007–2015. The authors investigate the characteristics of the board of directors and audit committee (i.e. size and independence) and employ three core analyses for earnings informativeness (i.e. earnings persistence, cash flow predictability and reliability of loan loss provisions). Additional analyses address Shariah supervisory boards’ (SSBs’) size, financial expertise and multiple outside directorships. The authors use the random-effect Generalised Least Squares (GLS) estimation technique and provide several robustness checks and sensitivities.

Findings

The authors find that, on average, having large and independent boards (and audit committees) increases the informativeness of reported earnings for banks. Conditional on bank type, our results report strong evidence for differential effects across the two alternative banking systems. In Islamic banks, large and independent board of directors (and audit committees) is positively associated with all measures of information value. There is insignificant evidence for conventional banks. However, SSBs show no significant effect on the reported earnings’ informativeness.

Originality/value

This is the first study, to the best of our knowledge, that empirically and comparatively assesses the information value of reported earnings in association with effective internal governance while recognizing the institutional characteristics of different bank types. The authors offer new insights to policymakers, investors and other stakeholders located within countries operating on a dual banking system. The results could help regulators to improve their rules/guidance related to double-layer governance and financial reporting quality.

Details

Journal of Accounting in Emerging Economies, vol. 14 no. 2
Type: Research Article
ISSN: 2042-1168

Keywords

Article
Publication date: 9 February 2023

Shalini Talwar, Puneet Kaur, Sushant Kumar, Michel Laroche and Amandeep Dhir

The use of over-the-top (OTT) platforms grew substantially after the declaration of the COVID-19 pandemic in 2020. With the pandemic receding, there is a concern that users may…

Abstract

Purpose

The use of over-the-top (OTT) platforms grew substantially after the declaration of the COVID-19 pandemic in 2020. With the pandemic receding, there is a concern that users may not continue with their subscriptions. To counter this, OTT service providers must strategize proactively to retain and acquire new users once the pandemic abates. Positing that understanding the consumption values that users ascribe to OTT platform usage can provide useful customer retention insights, the purpose of this paper is to use the theory of consumption value (TCV) to study the values that users derived from their use of OTT following the onset of the pandemic.

Design/methodology/approach

The mixed-method approach is used to collect qualitative and quantitative data. Analysis of qualitative responses collected through interviews of 12 current OTT platform users helped identify two categories of OTT platform-specific values: attribute-level and benefit-based. Next, the study examined the association of values thus identified with one another, as well as with continued intentions to use OTT platforms, by analyzing data collected from 371 existing users.

Findings

The findings indicated that functional value quality and social value, representing the attribute-level values, were positively associated with two benefit-based values – functional value price and emotional value (EMV). Next, EMV was not only associated with intentions but also partially mediated the association of attribute-level values with intentions. Premium subscription purchased and increased viewing time were confirmed to have moderating effects on the association between attribute-level and benefit-based values.

Originality/value

The study is amongst the foremost research initiatives to examine consumption values derived from OTT platform usage after the onset of the pandemic. Its novelty also comes from its identifying OTT platform-specific consumption values for the first time and adding a new dimension to the TCV by examining the interplay of these values in the OTT platform context.

Details

Information Technology & People, vol. 37 no. 1
Type: Research Article
ISSN: 0959-3845

Keywords

Article
Publication date: 4 January 2024

Emmanuel Mamatzakis

This study investigates the reasons behind the very high net interest margins in the Greek banking industry compared to the euro-area, focussing on the association between bank…

42

Abstract

Purpose

This study investigates the reasons behind the very high net interest margins in the Greek banking industry compared to the euro-area, focussing on the association between bank competition and recapitalisations.

Design/methodology/approach

The author conducts a dynamic panel analysis covering the period from the early 2000s to 2021, that controls for possible endogeneity and treats for heterogeneity. The author also employs local projections impulse response functions that control for structural changes in Greek banking.

Findings

The author finds that low bank competition has contributed to high net interest margins in Greece. Interestingly, the impact of recapitalisations conditional to low bank competition has had a significant further impact on increasing net interest margins, which is a noteworthy case due to several Greek bank recapitalisations in the last ten years. The author’s findings are supported by local projections impulse response functions.

Originality/value

To mitigate distortions in bank competition, the author argues to accelerate steps toward the direction of the banking union and a common bank regulation framework in the euro-area.

Details

Journal of Economic Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 7 November 2023

Islam Abdeljawad, Muiz Abu Alia and Muhannad Demaidi

Existing theories on the determining factors of corporate investment decisions raise the importance of financial market imperfections in explaining investment behavior. Many…

Abstract

Purpose

Existing theories on the determining factors of corporate investment decisions raise the importance of financial market imperfections in explaining investment behavior. Many factors have been proposed as drivers of investment, mainly in developed economies, while emerging countries have almost been neglected. The main purpose of this study is to examine the effect of financing constraints on the investment behavior of a small context, namely, Jordan, with an imperfect environment.

Design/methodology/approach

This study considers panel data regressions from the industrial companies traded at the Amman Stock Exchange with a total of 1,058 firm-year observations.

Findings

The results are able to demonstrate that business size, tangibility, market-to-book ratio, profitability, financial slack and leverage are major drivers of investment choices. The results support the importance of information asymmetry in explaining the investment behavior of firms. Nonetheless, the Q-theory is in place, as is firm agility.

Practical implications

Policies to reduce information asymmetry are immediately needed to help firms increase investments by providing them with access to training, technology and market information. They also should enhance the firms’ opportunities for growth. Moreover, they should make it easier for businesses to access financial slack, such as by improving access to credit and financial institutions. They also can work to improve the financial infrastructure to meet the financing needs of businesses. Finally, smaller businesses should be assisted by improving their ability to invest and grow.

Originality/value

To the best of the authors’ knowledge, this is one of the first studies, if any, to investigate this issue in a distinct environment. Despite the unique characteristics of Jordan, the findings are applicable to other countries that experience comparable political and economic circumstances because Jordan has traits common to many emerging nations.

Details

Competitiveness Review: An International Business Journal , vol. 34 no. 1
Type: Research Article
ISSN: 1059-5422

Keywords

Article
Publication date: 26 March 2024

Katie Chadd, Sophie Chalmers, Kate Harrall, Amelia Heelan, Amit Kulkarni, Sarah Lambert, Kathryn Moyse and Gemma Clunie

Globally “non-urgent” health care services were ceased in response to the 2020 outbreak of COVID-19, until 2021, when restrictions were lifted. In the UK, this included speech and…

Abstract

Purpose

Globally “non-urgent” health care services were ceased in response to the 2020 outbreak of COVID-19, until 2021, when restrictions were lifted. In the UK, this included speech and language therapy services. The implications of COVID-19 restrictions have not been explored. This study aimed to examine the impact of the UK’s COVID-19 response on speech and language therapy services.

Design/methodology/approach

An online survey of the practice of speech and language therapists (SLTs) in the UK was undertaken. This explored SLTs’ perceptions of the demand for their services at a time when COVID-19 restrictions had been lifted, compared with before the onset of the pandemic. The analysis was completed using descriptive statistics and content analysis.

Findings

Respondents were mostly employed by the UK’s National Health Service (NHS) or the private sector. Many participants reported that demands on their service had increased compared with before the onset of the pandemic. The need to address the backlog of cases arising from shutdowns was the main reason for this. Contributing factors included staffing issues and redeployment. Service users were consequently waiting longer for NHS therapy. Private therapy providers reported increased demand, which they directly attributed to these NHS challenges.

Originality/value

This presents the only focused account of the impact of the national response to COVID-19 on speech and language therapy services in the UK. It has been identified that services continue to face significant challenges, which indicate a two-tier system is emerging. Healthcare system leaders must work with service managers and clinicians to create solutions and prevent the system from being overwhelmed.

Details

Journal of Health Organization and Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1477-7266

Keywords

Article
Publication date: 20 November 2023

Marek Szwejczewski, Bob Lillis, Valeria Belvedere and Alberto Grando

Previous research has identified factors that enable lean change to be sustained. What remains unknown is how the interaction effects amongst these factors vary as lean change…

Abstract

Purpose

Previous research has identified factors that enable lean change to be sustained. What remains unknown is how the interaction effects amongst these factors vary as lean change programmes mature. When are particular factors at their most influential?

Design/methodology/approach

Using a data and investigator triangulated qualitative research strategy, this paper tests an a priori model of change sustainability factors. In phase one, the research reveals the influence and significance of the model's change sustainability factors within 13 manufacturers. In phase two, four factors (Leadership, Political, Individual and Managerial) were selected for in-depth case study analyses in three manufacturers.

Findings

These point to when in the lean change, certain factors have the most influence on its sustainability. The Leadership factor and political factor are essential at the beginning and remain influential throughout. Employees' individual commitment (Individual factor) is significant in sustaining the change but it is at its most influential in the later stages. The Managerial factor (management approach) is influential in the mature stages of the programme.

Practical implications

Recognising where to put maximum focus during a lean change programme as it matures is crucial for management.

Originality/value

Sustaining lean change has not been studied from the perspective of what factors need to be emphasised at different stages in the programme for successful maturity to occur. Through empirical validation, this study helps address this knowledge gap.

Quick value overview

Interesting because – Researchers have found that the majority of lean implementations fail – changes to structures and working practices are made only to see the gains dissipate. Previous research has suggested that multiple factors including leadership, culture and politics influence the change towards a lean organisation. While studies have shown that such factors play a role, what has not been studied is the time, that is, when the factors influence the change process. This study investigated when 11 factors have the most influence on lean implementation. Theoretical value – The study extends the state-of-the-art understanding of implementation of lean in organisations by adding a time element. It is found that in order to have a change that is sustainable, that is, lasting at least 18 months, factors that indicate the importance to the organisation are influential during the entire implementation process. This includes how central the change is to the organisation, the influence of leadership that sets vision and goals, and the implementation methods. Factors that can set things in motion such as the influence of important stakeholders are important at the beginning of the implementation process but then decline in influence over time. While factors that seem to have to do more with how companies operate have less influence at the start but become more influential over time. These include employees' commitment, the managerial style and approach, the organisational policies and structure, and the organisational culture. Practical value – Introducing lean into an organisation and gaining its sustained benefits is often not successful. While factors have previously been identified that influence the success of lean implementation, this study provides additional practical insight. It helps manufacturers be more effective by pinpointing which factors should be focused on during the various stages of the implementation process.

Details

Journal of Manufacturing Technology Management, vol. 35 no. 1
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 10 May 2023

Subba Reddy Yarram and Sujana Adapa

Do women contribute to performance of companies on which they serve as board of directors? Many prior studies examine this issue, but no consensus is reached on the benefits of…

Abstract

Purpose

Do women contribute to performance of companies on which they serve as board of directors? Many prior studies examine this issue, but no consensus is reached on the benefits of women taking on leadership positions. The present study considers this thorny issue from a slightly different perspective. Does the association between gender diversity and business performance vary across sectors and economic cycles?

Design/methodology/approach

The sample for this study was derived from the firms included in the S&P Australian Securities Exchange (ASX) 300 Index, and the study period of 2004–2016 allowed authors to consider the effects of different sectors as well as different economic cycles on the relationship between gender diversity of boards and business performance. The authors consider the Australian context, which is somewhat unique from the other Western countries, as quotas on boards of directors are not made mandatory and the corporate governance practices are principle-based rather than rule-based.

Findings

Employing panel data models, at the aggregate level, the authors find no evidence of board gender diversity impacting business performance. Consideration of sectoral differences and economic cycles in the empirical analyses yielded additional insights. In particular, gender diversity has a beneficial association with performance for businesses in the services and financial sectors after the changes to corporate governance guidelines relating to diversity in 2010. These economic benefits, however, are not evidenced in the resources sector.

Research limitations/implications

These findings offer support for critical mass and resource dependence theories.

Practical implications

The findings of this study have implications for inclusion and diversity policies of businesses and the society. Specifically, the findings offer support for gender diversity of corporate boards of directors.

Originality/value

This study highlights that women bring their unique skills and experiences to create economic value in sectors where they traditionally have more experience and opportunities.

Details

International Journal of Managerial Finance, vol. 20 no. 1
Type: Research Article
ISSN: 1743-9132

Keywords

Open Access
Article
Publication date: 4 April 2023

Reetika Verma

The study aims is to explore the cointegration level among major Asian stock indices from pre- COVID-19 to post COVID-19 times.

Abstract

Purpose

The study aims is to explore the cointegration level among major Asian stock indices from pre- COVID-19 to post COVID-19 times.

Design/methodology/approach

Johansen cointegration test is employed to know the long run relationship among the stock market indices of Hong Kong, Indonesia, Malaysia, Korea, India, Japan, China, Taiwan, Israel and South Korea. The empirical testing was done to analyze whether any significant change has been induced by the COVID-19 pandemic on the cointegrating relationship of the selected markets or not. Through statistics of trace test and maximum eigen value, total number of cointegrating equations present among all the indices during different study periods were analyzed.

Findings

The presence of cointegration was found during all the sample periods and the findings suggests that the selected stock markets are associated with each other in general. During COVID-19 crisis period the cointegration level was reduced and again it regained its original level in the next year and again reduced in the subsequent next year. So, the cointegrating relationship among selected stock market indices remains dynamic and no evidence of impact of COVID-19 on this dynamism was found.

Originality/value

The study has explored the level of cointegration among the major stock indices of Asian nations in the pre, during, post-crisis and the most recent periods. The interconnectedness of the stock markets during the COVID-19 times has been compared with similar periods in different years immediately preceding and succeeding the COVID-19 times which has not been done in any of the existing study.

Details

IIM Ranchi journal of management studies, vol. 3 no. 1
Type: Research Article
ISSN: 2754-0138

Keywords

Open Access
Article
Publication date: 20 March 2023

Sarah Chehade and David Procházka

The paper aims to provide empirical evidence of the impact of IFRS adoption on the value relevance of accounting information in the emerging market of Saudi Arabia.

2079

Abstract

Purpose

The paper aims to provide empirical evidence of the impact of IFRS adoption on the value relevance of accounting information in the emerging market of Saudi Arabia.

Design/methodology/approach

The sample consists of 98 non-financial listed firms operating in Saudi Arabia from 2014 to 2019, representing the years before and after IFRS adoption. The authors apply basic and extended price models to examine the value relevance of select accounting figures.

Findings

The authors findings provide evidence that accounting information is, generally, value relevant to the Saudi Arabian capital market. However, mixed results exist for particular accounting variables. Both earnings and cash flows are value-relevant in the period before and after IFRS adoption; equity is only relevant in the post-adoption period. Furthermore, IFRS adoption also increases the explanatory power of earnings. An increase in the value relevance of earnings and equity hurts the value relevance of cash flows. The effects are moderated by leverage and dividend policy.

Originality/value

The authors contribute to the ongoing discussion of the economic effects of IFRS adoption in emerging markets. The empirical findings show that initial concerns about IFRS adoption, as reflected by the negative coefficient within the regression analysis, are mitigated once the usefulness of the individual accounting variables published in financial statements is investigated.

Details

Journal of Accounting in Emerging Economies, vol. 14 no. 1
Type: Research Article
ISSN: 2042-1168

Keywords

Article
Publication date: 13 February 2024

Thomas A. Lee

The purpose of this study is to analyse historical events to argue the improbable prospect of radical accounting reform in corporate financial reporting (CFR) due to the absence…

Abstract

Purpose

The purpose of this study is to analyse historical events to argue the improbable prospect of radical accounting reform in corporate financial reporting (CFR) due to the absence of abstract accounting knowledge as part of accountancy professionalisation (AP).

Design/methodology/approach

A historical database of CFR and AP events in the UK is categorised and analysed to observe the evolution of accounting in CFR from the perspective of the sociology of professions relating to abstract knowledge in professionalisation.

Findings

CFR has always been a statutory function in the UK dependent on arbitrary accounting rules rather than expert measurements based on abstract accounting knowledge. Accounting rules have evolved as part of AP and currently form part of the statutory regulation of CFR. The accountancy profession has eschewed abstract accounting knowledge in a mutually beneficial and uncompetitive relationship with the law profession in CFR.

Research limitations/implications

The study is limited to the history of CFR and AP in the UK and its findings are contrary to the sociology of professions regarding abstract knowledge, consistent with the accountancy profession’s 19th-century experience of court-related services, and indicative of normative accounting research’s redundancy.

Practical implications

Regarding CFR and AP in the UK, the accountancy profession is an expert subordinate branch of the law profession and has no incentive to alter the status quo of statutory accounting rule compliance prevailing over abstract accounting knowledge-based expertise in CFR.

Originality/value

The study questions the optimism of prior research of accounting in CFR that suggests the possibility of radical reform using abstract knowledge.

Details

Accounting, Auditing & Accountability Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0951-3574

Keywords

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