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The purpose of this paper is to test the competing explanations of stated preferences for firm characteristics, optimism and overconfidence for trading activities in a single framework.

A survey methodology is followed to collect the data among retail investors in Malaysia using simple random sampling.

The findings show simultaneous identification of stated preferences for firm characteristics, optimism and overconfidence as determinants of trading activities. Preferences for firm’s profitability characteristics, management and product-related attributes and risky characteristics are likely to decrease investors’ trading activities. On the other hand, preferences for firm’s liquidity and trading volume characteristics with relative financial-domain optimism, personal investment optimism and better-than-average aspect of overconfidence are likely to increase investors’ trading activities.

This finding implies that investors should be careful not only in assessing firm’s characteristics but also need to understand the effects of optimism and overconfidence in trading decisions.

The study considers various aspects of optimism and overconfidence, and the stated preferences for firm characteristics, unlike one aspect of these behavioral biases and indirect observation of preferences for firm characteristics. Furthermore, the study considers trading frequency, annual portfolio turnover and trading intention, whereas earlier studies considered only one or two of these trading decisions.

This study examined factors influencing the growth of new firms in metal‐based manufacturing and business services in Finland over the three first years of their operation. The factors affecting the growth of a new firm were found in the start‐up phase, in the characteristics of the entrepreneur and of the firm, and in the firm’s environment. Growth was especially explained by the know‐how and changes in the strategic behaviour of the entrepreneur and by the firm’s environment. New firmshad equal chances for growth irrespective of their locality. Instead, growth was affected by changes in a firm’s competitive situation, and, especially in the more developed service centres, growth was dependent on a firm’s expanding its market area in the first three years of operation. The results also clearly indicated that in a small specialist firm personal relationships formed an important part of the entrepreneur’s management capabilities.

This study aims to learn how a three-way interaction moderation model is used to analyse the role of country-specific characteristics, in the form of the implementation of Sharia law and legal origin in a particular country, in the choice of sukuk type.

The firm profitability and firm leverages of sukuk issuer are used as the firm characteristics that can influence the choice of sukuk type between Mudharaba sukuk, Ijara sukuk and Murabaha sukuk. The research sample of 545 global sukuk issuances, obtained from the IIFS database, includes the issuance of Mudharaba sukuk, Ijara sukuk and Murabaha sukuk from ten sukuk issuer countries all over the world.

The research results show that the probability of choosing Mudharaba and Ijara sukuk is found in issuers sukuk with a high firm leverage, while the probability of choosing Murabaha sukuk is found in issuers sukuk with a high firm profitability. A three-way interaction moderation model is used in this research to explain that sukuk issuers in countries that implement Sharia law and adopt a legal origin common law system will have a higher choice of Mudharabah and Ijarah sukuk types if the firm’s leverage is high. If the firms’ profitability is high, then the sukuk issuer prefers Murabaha sukuk.

The use of firm’s characteristic variables is based solely on trade-off theory and pecking order theory. Also, limitations on the implementation of Sharia law in countries that do not provide opportunities for countries that apply a mixed law system.

The role of Sharia law and common law legal origin is proven, through a three-way interaction model, to strengthen the interaction of the firm leverage and choice of Mudharaba sukuk.

Legal certainty for Islamic financial institutions is created in the context of ease of investing in sukuk. Flexibility in the structure is also one of the factors that encourage the development of market acceptance of sukuk. The right structure of the sukuk can be used for specific target markets.

There has been no study carried out on a three-way interaction moderation model used to analyse the role of country-specific characteristics. The role of Sharia law and common law legal origin is proven, through a three-way interaction model, to strengthen the interaction of the firm leverage and choice of Mudharaba sukuk.

Strategy research has long understood that reconfiguration of the scope of the activities a firm engages in over time is critical to its long-run success, while under-emphasizing differences in redeployment strategy that underlie apparently similar scope and changes in scope. In this paper, we build on the idea that a firm’s number of activities (scope) and change in activities (turnover) arise from two fundamental rates of redeployment: the rate at which activities are added and the rate at which activities are subtracted. In net, the turnover rate reflects how actively a firm reconfigures its resource base by redeploying resources via addition and subtraction of activities. We develop a model that links addition and subtraction with the composition of a firm’s activities and then provide an empirical illustration using data from the U.S. Patents and Trademarks Office. As an example of one extension, the model can be generalized to incorporate elements of absorptive capacity. The analysis contributes to our understanding of how firms reconfigure their activities and provide managers with a clearer understanding of tools that guide redeployment of existing resources.

The authors selected global automobile manufacturing firms whose sales ranked within 100 in the five years from 2014 to 2018 in the Factiva database to examine how the characteristics of a firm's whole network and ego-network in a transnational coopetition network influence network performance.

The authors analyzed the public news of the sample firms about the coopetition by structural content analysis to build the coopetition networks and access to data on the competitive actions of firms. Then, to measure the variables associated with the coopetition network, such as the structural hole, centrality and ego-network stability, the authors use UCINET 6 that is a widely used piece of software for social network analysis to establishing five undirected binary adjacency matrices.

The authors find that a firm's competitive aggressiveness mediates the relationship between a firm's whole network position and network performance that emphasizes the need for integrating competitive dynamics research and coopetition research and shows how valuable insights can be gained through such integration. And the interaction of structural hole and centrality impacts competitive aggressiveness and network performance, and the interaction is different under high and low ego-network stability. The integration of whole network and ego-network literature studies provides new insights into firm network literature.

In the process of cooperation, firms should consider whether they can occupy the structural hole and center as important indicators for partner selection. Too stable relationship will prevent firms from obtaining new resources. Firms should weigh the period of cooperation according to specific situation.

These results indicate that ego-network stability, as an important complementary characteristic of coopetition network, has a significant synergistic effect with structural holes and centrality on competitive aggressiveness and network performance. And these findings expand the current literature on the relationship between characteristics of network, competitive aggressiveness and network performance.

Extending the service business in manufacturing firms has received significant attention in recent research. As it has been acknowledged by many authors, developing a service orientation can offer additional benefit potential. However, achieving profit with a competitive strategy depends on the firm’s characteristics and equally on environmental ones. In this scope, the present paper aims to identify antecedents to service orientation and the impact of this strategy on the firm’s performance.

The authors first conducted a qualitative research to identify the different forms used to serve clients. Then to test the hypotheses, the authors conducted a quantitative study on a sample of 130 Tunisian firms belonging to three key Tunisian industries.

The findings show that the managerial motivation, the firm’s characteristics in addition to environmental characteristics must be considered as antecedents to service orientation. The study has in fact verified the positive impact of service orientation on the firm’s performance and the fact that the business sector has a moderating effect on this relationship.

At the business level, marketing managers have to commit to finding new opportunities by valorizing market survey, establishing a management mechanism and controlling their service offer system. They have to try to internally “sell this service project” before thinking of adopting a service-oriented marketing strategy. However, industrial firms must equally take into account the services’ specificities for a better management of products/services. In fact, the intangible and the heterogeneous aspect of services increase risk perception and the degree of uncertainty among clients more than in a purchasing situation of a simple product. Consequently, marketing managers have to elaborate a specific approach, decide on a list of offered services, on their method and on quality standards to finally decide on the price. At the economic level, extending the service business has potential benefit for manufacturing firms and consequently for economy. Therefore, manufacturing firms seeking to invest in the service business must be encouraged by the government’s industrial policy. It is very important to help them overcome the obstacles to service adoption by providing financial incentives. In addition, it is very important to help them use and develop the technologies needed to improve the delivery of services.

In spite of the significant number of studies in this respect, the strategic perspective of service orientation was not as well developed as the organizational perspective and the theoretical development of this field remains underdeveloped. The authors noticed that the empirical applications of previous studies revealed divergent results that can be sometimes contradictory, particularly when they examine the impact of service orientation on performance. Besides, in recent research, “deservitization” appears as a solution adopted by managers who are unable to generate high revenues or margins to cover the additional investment in services. Consequently and considering the lack of consensus in previous studies, the authors’ principal objective is to identify the antecedents of service orientation and to test its impact on the industrial business performance. Additionally, and from an empirical point of view, the authors notice that the majority of past research on service orientation of industrial businesses was conducted in developed countries, whereas the empirical study of the present work was conducted in an emerging country in a transitional phase: Tunisia. Finally, because previous literature has assumed homogeneity on service strategies across sectors, the authors tried to show whether the business sector matters in terms of the relationship between service orientation and the manufacturing firm’s performance.

The present study seeks to assess whether the firm's location and agglomeration economies affect the firm's export propensity.

This work is based on a sample of 20,234 Portuguese manufacturing small and medium enterprises (SMEs) and resort to the estimation of a probit model.

Empirical results show that the location and agglomeration economies have an important role in determining the firm's export propensity. In particular, the study concludes that SMEs located in coastal areas or close to the border are more likely to export. Furthermore, the study also concludes that specialization economies are an important driver of small and medium-sized firms' export propensity while export spillovers are particularly relevant for micro firms. However, urbanization, measured through firms density in NUTS3 region, negatively affects firms' export propensity, which may be due to high congestion costs in the regions with a high firms density.

This study focus on the determinants of the decision to export or the export propensity, particularly the external factors such as the firm's location and agglomeration economies. This is a relatively neglected topic in the literature that has focused on the determinants of export intensity.

The purpose of this paper is to fill the theoretical void in the discussion of effects of alliance portfolios on firm performance by studying the moderating role of a firm’s strategic positioning.

A fixed effects, autoregressive panel model on a comprehensive, longitudinal sample of large and medium-sized publicly traded companies in the USA.

The effect of alliance portfolios on firm performance is conditional on the firm’s strategic positioning.

The results may not be applicable to firms outside the USA or small firms.

Executives should craft their alliance portfolios while considering the strategic positioning of their firms.

This paper presents the first study of alliance portfolios that uses a comprehensive, multi-industry sample while considering firms’ strategic positioning. The paper is the first to jointly study characteristics of alliance portfolios and firm strategies.

The purpose of this paper is to show the effect of the corporate governance (CG) on firms’ performance in the United Arab Emirates (UAE). The governance mechanisms employed in this study are board size, board independence and audit committee’s (AC) characteristics. The examined AC characteristics are: AC member’s independence, number of financial experts in the committee, ratio of meetings held during the year, and the incentives received by the AC members.

This paper uses all the public listed corporations in the UAE financial markets. The secondary data for four years are used starting from 2010 where the mandatory corporate governance code had been mandated.

Board independence has been found to negatively affect firms’ performance. AC meetings and financial experts’ ratio did not affect firm’s performance, while AC incentives and AC independence negatively affected firms’ performance.

This study is supposed to fill the gap of the lack in CG studies based on fast growing economy which is UAE. Besides, this research investigates the AC’s characters’ effect on firms’ performance which was rarely covered in literature.

This paper aims to investigate how a US firm’s political landscape affects the integration of environmental, social and governance (hereafter ESG) measures in CEO compensation contracts, thereby affecting the firm’s ESG performance and credit rating.

Based on the results of state senatorial and presidential elections and the location of a US firm’s headquarters, the authors categorize whether a firm has a political environment that is predominantly Democratic (blue) or Republican (red). The empirical analyses are based on a sample of US firms in the period 2014–2021.

The authors find that firms in blue states are more likely to link CEO compensation to ESG performance measures. Further, the results show that firms in blue states with ESG-linked compensation contracts have better ESG performance. Lastly, the authors find evidence that a firm’s ESG performance has a positive impact on its credit rating, but the impact is weakened if firms in red states link ESG performance to executive compensation.

To the best of the authors’ knowledge, this is the first research that explores how a firm’s political environment affects the use of ESG performance measures in CEO compensation contracts. Furthermore, the authors contribute to the literature by showing evidence that the political environment interacts with the impact of ESG-linked compensation incentives on the firm’s ESG performance and, thus, its credit rating.