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The purpose of this paper is to examine whether a negative outcome (i.e. a sanction) of an inspection by Korea’s Financial Supervisory Service for an industry-leading company affects the accounting quality of other companies in the same industry. The premise is that when peer companies observe the negative results of such an inspection on a leader in their industry, they will be more concerned about their own risk during a future inspection and more likely to increase their accounting quality.

The authors conduct a mutivariate Oridnary Least Squares (OLS) regression using 11,476 South Korean samples from 2002 to 2016. The study uses ordinary least square regressions to test the hypotheses using discretionary accruals as a proxy for accounting quality.

The authors find that peer companies reduced their discretionary accruals in the next period and that this reduction is amplified according to the severity of the disciplinary action on the industry leader and the materiality of errors in that leader’s financial statements.

This finding contributes to the literature by providing the first evidence of a spillover effect of regulatory inspection on accounting quality that financial reporting sanctions not only affect the overall accounting quality of the sanctioned company but also that of its peers in the same industry. The authors expect this study to lead to future research on the effect of other regulations on industry-wide accounting quality.

The purpose of this study is to investigate the link between informal learning and employees’ in-role performance and whether the mechanism through informal learning mediates the relationships between self-efficacy, job characteristics, trust and in-role performance.

Based on data (n = 294) obtained from the firms with the Work–Learning Dual System in South Korea, a structural equation modeling (SEM) analysis was conducted.

The findings indicated that trust and job characteristics affected informal learning and informal learning mediates the relationships of trust and job characteristics with job performance.

The significant contributions of this study to the extant literature on informal learning are as follows: first, the present study investigates a mechanism and a mediating role of informal learning using SEM, while most previous studies in literature have employed qualitative research in informal learning. Second, this study explores the mediating role of informal learning between personal/job-related determinants of informal learning and in-role performance, which has not yet been examined in existing literature. Finally, this study provides practical implications regarding how organizations can facilitate more informal learning among employees to enhance their performance.

This paper intends to discuss the effect of social and institutional mechanisms in allowing network governance embedded in non‐contractual and social relations to emerge and persist.

Building on the extant theoretical literature on network governance of varied research strands and drawing empirical observations from research on East Asian network governance, the paper explores the effect of social and institutional mechanisms in allowing network governance embedded in non‐contractual and social relations to emerge and persist.

It is argued that social and non‐contractual mechanisms reinforce, substitute, or undermine contractual mechanisms, but the degree to which this occurs is contingent on institutional environments in which transaction occurs.

The paper revisits some of the important theoretical concepts such as trust and social capital that have been invoked across divergent literatures so as to illuminate underlying factors of economic governance based on social relations and networks.

This study aims to examine how information asymmetry, which refers to an information gap between a firm’s management and its investors regarding the firm’s true value, influences firms’ dividend and investment decisions in the restaurant industry. This study also investigated the moderating role of a firm’s level of franchising in the relationship between information asymmetry and these behaviors of restaurant firms.

This study used generalized method of moments panel regression analyses. Principal component analysis was also used to create a composite index of information symmetry.

This study demonstrated that in asymmetric information environments, restaurant managers tend to reduce dividend payments. In addition, this study showed that information asymmetry leads to restaurant managers’ investment inefficiency. However, the investment inefficiency of the restaurant industry was found to decrease as restaurant firms’ level of franchising increases.

Firms’ dividends and investment decisions are of great interest to investors because these decisions heavily influence investors’ wealth-maximization goals. By shedding light on the previously unrecognized determinants of dividend and investment behaviors in the restaurant industry, this study helps individual investors to make informed investing decisions.

Conflicting arguments can be made regarding the impact of asymmetric information environments on the dividend and investment behaviors of restaurant firms. This study aimed to verify these as-yet unclear relationships in the restaurant industry.