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We form portfolios based on return and liquidity and examine the effects of liquidity and other risk factors on asset pricing in the Chinese stock market. Our results show that the past loser-and-illiquid stock portfolios tend to outperform the past winner-and-liquid stock portfolios in the 1–12 months holding period. The excess return is significantly associated with the market-wide liquidity factor even when we control the three Fama-French and momentum factors. Cross-sectionally, the liquidity beta significantly affects the excess return even with control of other risk betas and other traditional liquidity proxies.

This book aimed to conceptualise a construction workforce management model suitable for effectively managing workers in construction organisations. To this end, this chapter presents the conceptualised model, which consists of seven workforce management practices with their respective measurement variables. Drawing from existing theories, models, and practices, the chapter concludes that a construction organisation that will attain its strategic objectives in the current fourth industrial revolution era must be willing to promote effective recruitment and selection, compensation and benefits, performance management and appraisal, employee involvement and empowerment, training and development, as well as improving workers emotional intelligence and handling external environment pressure. These practices can promote proactiveness, participation, and improved skills and can lead to effective commitment, better quality, and flexibility within the organisation.

The workforce management model conceptualised for the effective management of the construction workforce was subjected to expert scrutiny to determine the suitability and applicability of the identified practices and their attributed variables to the construction industry. In achieving this, a Delphi approach was adopted using experts from construction organisations in South Africa. These experts comprised workforce management personnel and construction professionals in senior management positions. The data were analysed using appropriate statistical tools such as interquartile deviation, Kendell’s coefficient of concordance, and chi square to determine consensus among these experts. After a two-round Delphi, the seven constructs proposed in the conceptualised workforce management model were adjudged to be important and worthy of adoption by construction organisations seeking to improve workforce management in the current fourth industrial revolution era.

This study focuses on listed and over-the-counter (OTC) companies in the Taiwan Stock Exchange. It found that an increase in the ownership proportion of institutional investors (INs), including foreign investors, investment trusts, and dealers can enhance the informativeness of stock prices. The relationship between these factors follows an inverted U-shaped pattern, indicating that excessively high ownership ratios can actually lead to a decrease in the informativeness of stock prices. Additionally, increasing the ownership proportions of foreign investors and investment trusts can reduce the risk of stock price collapse, while dealers show no significant relationship in this regard. This study also reveals that the technical variable of the price deviation rate is an important explanatory factor for post-collapse returns. It is positively correlated with the magnitude of the price decline after a collapse, meaning that stocks with weaker pre-collapse performance experience larger post-collapse declines. When the data during the 2020 pandemic period are excluded, changes in foreign ownership ratios show a significant positive correlation with postcrash returns in both the long and short term. The significant correlation in the short term may be due to a high proportion of foreign ownership. Any reduction in this could put pressure on stock prices, and retail investors may follow suit and sell-off, using foreign investors as a reference. The significant correlation in the long term might be due to foreign investors themselves possibly also trying to avoid the pressure that their own short-term sell-offs could exert on stock prices. The changes in the ownership ratios of investment trusts and dealers indicate that medium and long-term changes have a significant impact on postcrash returns, while the changes in the major players' ownership show no significant correlation. When data from 2020 are included in the analysis, the significance of all INs decreases.

This chapter focuses on critical thinking as a new, powerful, and specialized tool and technique for understanding and analyzing the subtle operations of the free enterprise capitalist market system and its ethics and morality. Everything in the world of consumers and market enterprise systems are determined by our supply–demand system that in turn are determined by our presumed limitless production–distribution and consumption (LDPC) systems. From a critical thinking viewpoint, we study the free enterprise capitalist system (FECS) as a dynamic, interconnected organic system and not as a discrete or compartmentalized body of disaggregate parts. Systems thinking with critical thinking calls for a shift of our mindset from seeing just parts to seeing the whole reality in its structured dynamic unity; both mandate that we see ourselves as active participators or partners of FECS and not as mere cogs in its wheels or as mere factors of its production processes. Critical thinking seeks to identify the “structures” that underlie complex situations in FECS with those that bring about high- versus low-leveraged changes in various versions of capitalism. Specifically, this chapter applies critical thinking to FECS as defined by its founder, Adam Smith, in 1776 to its fundamental and structural assumptions, and as supported or critiqued by serious scholars such as Karl Marx, Maynard Keynes, C. K. Prahalad and Allen Hammond (inclusive capitalism), John Mackey and Rajendra Sisodia (conscious capitalism), and others.

In Chapter 1, we critically reviewed the foundations of the free enterprise capital system (FECS), which has been successful primarily because of its wealth and asset accumulation potentiality and actuality. In this chapter, we critically argue that this capacity has been grounded upon the profit maximization (PM) theories, models, and paradigms of FECS. The intent of this chapter is not anti-PM. The PM models of FECS have worked and performed well for more than 200 years of the economic history of the United States and other developed countries, and this phenomenon is celebrated and featured as “market performativity.” However, market performativity has not truly benefitted the poor and the marginalized; on the contrary, market performativity has wittingly or unwittingly created gaping inequalities of wealth, income, opportunity, and prosperity. Critical thinking does not combat PM but challenges it with alternative models of profit sharing that promote social wealth, social welfare, social progress, and opportunity for all, which we explore here. Economic development without social progress breeds economic inequality and social injustice. Economic development alone is not enough; we should create a new paradigm in which economic development is the servant of social progress, not vice versa. Such a paradigm shift involves integrating the creativity and innovativity of market performativity and the goals and drives of social performativity together with PM, that is, from market performativity to social performativity.

This chapter analyzes how the internal environment determines corporate dividend decisions. First, dividend policy is influenced by strategic and financial issues. Corporate strategies are developed by top managers to achieve firms' missions, visions, and long-term goals while business strategies are designed by middle managers to maintain firms' competitive advantages. These strategies affect corporate dividend decisions through corporate performance and business operations. In addition, many financial characteristics are important determinants of dividend policy. Financial characteristics are classified into three groups, namely performance-related issues (e.g., firm profitability, free cash flow, and stock liquidity), leverage-related issues (e.g., debt ratio, asset tangibility, business risk, and firm size), and investment-related issues (e.g., investment opportunities and firm maturity). Firms with high profitability, free cash flow tends to pay more dividends. Stock liquidity may have a positive effect on dividend payments through lowering costs of equity; however, it may also have a negative effect through weakening the signaling motive. Moreover, firms with high debt ratio, low asset tangibility, high business risk, and small size face higher costs of external financing. Therefore, they have low incentives to pay dividends. When firms have more investment opportunities, they are more likely to restrict dividends and save cash for their investment projects and vice versa. Second, internal stakeholders may influence corporate dividend policy since their benefits are closely related to dividend decisions. Shareholders, directors, the chief executive officer, and employees have different characteristics, positions, and hold various proportions of shares. Therefore, they create pressures on dividend decisions to protect their wealth.

This chapter elaborates on the main factors of the adverse macroeconomic development in Czechia and Europe. Currently, i.e. from 2022, Czechia mainly suffers from double-digit galloping inflation and GDP stagnation. The aim of this chapter is to identify and describe the influence of the main factors from the present and the more distant past on current inflation and approaching stagflation in Czechia. This chapter analyzes an unfavourable mix of demand and supply factors that leave the new banking board of the CNB facing a dilemma, that is, whether to pursue a disinflationary policy of increasing interest rates and thus push the Czech economy closer into recession or to rely on demand-driven economic growth, which will keep unemployment at a low level, but at the same time contribute to inflationary pressures. The new governor of the CNB completely changed the strategy of his predecessor and, despite strong criticism, did not raise interest rates even once. Based on the analysis of inflationary factors, this chapter tries to explain the motives for the Central Bank's new strategy in the fight against inflation, which is the systematic appreciation of the Czech koruna.

Introduction: Commercial banks play a vital role in the global economy, facilitating economic growth and providing essential financial services. As key intermediaries between savers and borrowers, these institutions operate in a dynamic and complex environment characterised by various risk factors that can significantly impact their profitability and overall stability. Understanding the interconnected relationships between credit risk, interest rate risk, liquidity risk, and profitability is crucial for effective risk management strategies and the development of appropriate regulatory frameworks.

Purpose: Commercial banks play a critical role in the global economy by facilitating economic growth and providing financial services. This study examines the interconnected relationships between credit risk, interest rate risk, liquidity risk, and profitability in commercial banking.

Methodology: The sample consists of licenced scheduled commercial banks on the Bombay Stock Exchange (BSE) from 2015 to 2022. Using the Smart PLS-SEM 3.0 path analysis technique, the study evaluates the combined influence of these risk factors on profitability and provides evidence-based recommendations for risk management strategies.

Findings: The findings can assist banks in enhancing their risk management practices, and regulators in developing appropriate regulatory frameworks. By understanding the key risk factors and their impact on profitability, banks and regulators can mitigate risks, enhance transparency, and promote stability within the banking sector.

Significance/value: The value of this study lies in its focus on the interconnectedness of risk factors, profitability, and the potential implications for decision-making, risk management strategies, regulatory frameworks, and the overall stability of the commercial banking sector.