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Questions exist regarding the extent to which internal auditors should participate in the external audit, and wide variations are observed in practice. Many professional bodies increasingly advocate the view that increased coordination between the internal and external auditors, including increased use of the internal auditor for the external audit, provides more efficient and effective audit coverage. However, others maintain that internal auditors should not focus on areas that are the subject of external audit interest. This article attempts to shed light on this debate by using insights from transaction cost economics (TCE) to identify conditions under which organizations encourage internal audit participation in the external audit. An analysis of survey data collected from directors of Canadian internal audit departments indicate that some (TCE) variables, particularly transaction‐specific investment, are significantly associated with internal audit participation in the external audit.

This paper seeks to present and test a model of the association between dividend payout and executive compensation.

The authors develop a model based on Bhattacharyya whereby managerial quality is unobservable to shareholders, and therefore first‐best contracts are not possible. In the second‐best world, compensation contracts motivate high quality managers to retain and invest firm earnings, while low quality managers are motivated to distribute income to shareholders. These hypotheses arising from the model are tested on data for Canadian firms' dividend payouts over the period 1993‐1995 using tobit regression analyses.

Consistent with the predictions of the Bhattacharyya model, the results show that, ceteris paribus, earnings retention (dividend payout) is positively (negatively) associated with executive compensation. These results hold when payout is defined as common dividends plus common share repurchases.

The Canadian data provide only limited information on the components of executive compensation. A more useful test would be possible with more detailed information on, for example, salary, bonus, and benefits.

Several recent papers have documented an association between dividends and executive compensation. This paper presents and tests a model that provides a potential explanation for this link.

This paper aims to examine whether the corporate governance rankings published by a market information intermediary are reflected in the values that investors accord to firms.

Panel data from 289 Canadian firms in the four‐year period 2002‐2005 were analyzed using a price model.

The results suggest that the corporate governance rankings published by the market information intermediary are related to not only firm market value, but also to accounting results.

This study provides empirical observations that would be useful for various organizations involved in the regulation of corporate governance practices and the standardization of relevant data elements.

This study contributes to the literature by demonstrating that information published by an information intermediary is reflected in firm market values. Moreover, this information appears to be related to the accounting results. Thus, good governance rankings are reflected in the accounting results.

Historically black colleges and universities (HBCUs) are facing changes in the twenty-first century driven in part by a change in the societal demands on the educational system. Organizational adaptation to changing environment is discussed in the business and management literature, which now includes organizational adaptation in higher education (Brown, 2012; Cameron, 1984; Drew, 2010; Rogers, 2013; Sporn, 1999). The focus of this research is organizational adaptation in four HBCUs. Although HBCUs have long histories and just over 100 of them currently exist, the researchers have focused on four of these institutions and the factors that have enabled them to adapt to change. These changes are forcing colleges and universities to reexamine their organizational strategy to adapt to changes in the educational environment.

The purpose of this research was to examine enabling factors of four HBCUs to adapt to the changing environment. Drawing from historical and archival material, the researcher examined four HBCUs – Bluefield State College, Bowie State University, Hampton University, and Spelman College, and how each adapted to the changing environment. A multiple case study designed was selected to understand the adaptation phenomenon within and across institutions. A review of the literature on organizational adaptation and change, along with a case study analysis of four HBCUs identified the factors that enhanced their adaptive strategies and ability to adapt successfully to the changing environment. The four factors were leadership, culture, structure, and business strategy that influenced each university's ability to adapt successfully to change. Chaffee's (1984, 1985) adaptive and interpretative strategy models and Miles and Snow's (1978) adaptive cycle provided the lens to examine adaptation in these institutions. In this study, leadership, culture, structure, and business strategy were observed as factors that enhanced each school's adaptation to the changing environment.

Chaffee's (1984, 1985) adaptation models and Miles and Snow's (1978) theoretical framework were employed to evaluate adaptation in these organizations. Each of these institutions faced organizational challenges that required an adaptive response. The quality of the adaptive response enabled each organization to adapt to its changing environment, and these changes involved long-range planning for these organizations and not merely short-term gains. The adaptive responses were hinged on the presence of four factors: leadership, culture, structure, and business strategy. Leadership and culture were the most prominent factors that supported organizational change.

This paper aims to use Malaysian data to investigate determinants of the implied growth rate of abnormal earnings.

The sample comprises 340 listed companies. Logistic regressions were conducted. The dependent variables, observed in 2009, distinguish companies with high versus low implied growth rates. The independent variables were observed in 2008. The independent variables of interest capture companies’ status as being Nanyang and politically connected corporations.

The results suggest that in Malaysia, implied growth rates are higher for Nanyang corporations and companies with a political connection related to economic policy.

The study is limited by its one-year investigation period and blurred boundaries between types of political connections. Because these considerations bias the study against supporting the hypotheses, the significant results have enhanced credibility. The empirical proxies for implied growth rates are affected by measurement error. Hence, multiple proxies were used.

The results suggest that Malaysian Nanyang corporations are a sound investment. The evidence also indicates that in Malaysia, government investment in listed companies enhances, rather than erodes, shareholder wealth.

Owing to the prevalence of Nanyang companies and government investment in the private sector, the Malaysian setting is unique. The use of a broad definition of “political connections” is a unique aspect of this paper. Examination of implied equity growth rates and the proxies for the same are also original features.

The revival of the modern craft beer industry has been attributed to people rediscovering their tastes for authentic and hand-crafted products from small, local and independent firms – notable in many sectors ranging from food and alcohol products to textile and furniture. While one of the grounding principles of the craft beer sector has been serving the local community, some brewers started to explore growth opportunities beyond their national borders. Some did so by pure excitement and prestige of sending their beers overseas; others sensed that their domestic markets were becoming flooded by other craft beer brands or ‘craft-washed’ beers from large beer companies. This chapter explores two sides of this going-international story – its promise and perils. The promise of international growth represents the fulfilment of the entrepreneurial mission, the opportunity to collaborate on a global level or the result of positive country reputation. While the perils of crossborder venturing are formed by country-level differences (rules, values and culture), the author brings to the fore that the socially constructed and fluid definition of craft beer forms unique constraints. The author particularly explores how the sector’s cultural boundaries and competition for authenticity with large beer companies act as liabilities during internationalisation. This chapter contributes to the extant literature on firm internationalisation by focussing on a unique dataset of internationalising craft breweries from four small open economies (Australia, New Zealand, Denmark and the Czech Republic). In that sense, it also provides valuable insights to practitioners and the general public.

The purpose of this study is to analyze the aspects of the organizational culture (OC) of companies operating in the Brazilian oil, gas and biofuels (O&G) sector based on semistructured interviews with managers of these organizations and its content analysis.

This research was conducted based on semistructured interviews with 12 managers of Brazilian O&G companies and analyzed with a computer-assisted qualitative data analysis software, namely, MAXQDA™.

The results make it possible to obtain the perception of managers about OC, generally understood as a set of attributes and variables of social order, supported by the historical–culturalist theoretical approach. Information about the explicit and implicit manifestation of culture, as well as the evaluation of the most appropriate research instruments and metrics, were also obtained after the interviews.

This study presents detailed results about OC and its characteristics in the perception of managers of the O&G companies that operate in the Brazilian market.

The purpose of this study is to examine how small businesses (ie owner‐managers) view integrated marketing communications (IMC), its associated advantages and barriers to adopting this new marketing paradigm. This is undertaken by exploring clothing and shoe retailers’ perceptions of several specific combinations of promotion tools. The study will concentrate on respondents’ awareness of the IMC concept, regardless of whether they utilise the concept or not. Pleasingly, these small New Zealand businesses are equally as aware as large corporations of the benefits of adopting an IMC approach. This is despite a plethora of claims that small businesses do not have the manpower and specialist skill to integrate their marketing communications. The paper concludes by discussing the various advantages of and barriers to adopting an IMC approach and the implications for small businesses.

With the rise of alternate discovery services, such as Google Scholar, in conjunction with the increase in open access content, researchers have the option to bypass academic libraries when they search for and retrieve scholarly information. This state of affairs implies that academic libraries exist in competition with these alternate services and with the patrons who use them, and as a result, may be disintermediated from the scholarly information seeking and retrieval process. Drawing from decision and game theory, bounded rationality, information seeking theory, citation theory, and social computing theory, this study investigates how academic librarians are responding as competitors to changing scholarly information seeking and collecting practices. Bibliographic data was collected in 2010 from a systematic random sample of references on CiteULike.org and analyzed with three years of bibliometric data collected from Google Scholar. Findings suggest that although scholars may choose to bypass libraries when they seek scholarly information, academic libraries continue to provide a majority of scholarly documentation needs through open access and institutional repositories. Overall, the results indicate that academic librarians are playing the scholarly communication game competitively.

The Perception of Change Strategy Scale (PCS) measures an individual’s perception of the change strategies being used by change agents during an organizational change. To ground the reader in the tool’s history, two published studies are briefly discussed: one in which the measure was developed and a second in which the tool’s reliability was appraised. In a third study presented here a confirmatory factor analysis was conducted to test the theoretical framework and to select the best fitting model amongst several competing models of the constructs identified in the PCS. The results support a three-factor model as the best fit for a change strategy framework based on Chin and Benne’s (1961) three-part conceptualization for leading change: empirical-rational, power-coercive, and normative-re-educative.