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1 – 10 of 79Faris Alshubiri, Samia Fekir and Billal Chikhi
The present study aimed to examine the effect of received remittance inflows on the price level ratio of the purchasing power parity conversion factor to the market exchange rate…
Abstract
Purpose
The present study aimed to examine the effect of received remittance inflows on the price level ratio of the purchasing power parity conversion factor to the market exchange rate in 36 developed and developing countries from 2004 to 2020.
Design/methodology/approach
The panel data conducted a comparative analysis and used panel least squares, regression with Driscoll-Kraay standard errors of fixed effect, random effect, feasible generalised least squares and maximum likelihood robust least squares to overcome the heterogeneity issue. Furthermore, the two-step difference generalised method of moments to overcome the endogeneity issue. Diagnostic tests were used to increase robustness.
Findings
In the studied countries, there was a statistically significant negative relationship between received remittance inflows and the price-level ratio of the purchasing power parity conversion factor to the market exchange rate. This relationship explains why remittance flows depreciate the real exchange rate. The study’s results also indicated that attracting investments can improve the quality of institutions despite high tax rates, leading to low tax revenue.
Originality/value
The current study findings enrich the understanding of policies of how governments should minimise tariff rates on capital imports and introduce export-oriented incentive programmes. The study also revealed that Dutch disease can occur due to differences in the demand structure and manufacturing development policy.
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Gabriel Sifuentes Rocha and Márcio Poletti Laurini
This study investigates the paradox of lotteries in financial markets, challenging traditional utility models predicated on rational behavior amid uncertainty. It explores why…
Abstract
Purpose
This study investigates the paradox of lotteries in financial markets, challenging traditional utility models predicated on rational behavior amid uncertainty. It explores why investors are drawn to lotteries despite the potential trade-off between risk-adjusted returns and sporadically substantial gains.
Design/methodology/approach
Employing a multifaceted approach, the study first scrutinizes diverse theories elucidating the perplexing behavior of lottery investors. Subsequently, it assesses the premium attached to lottery stock shares in the Brazilian financial market using distinct methodologies, thereby offering a comprehensive analysis of this phenomenon. Finally, the study estimates the risk premium associated with the lottery stocks applying an extended Fama–French multifactor model and searching for evidence of overlap with other risk-based anomalies.
Findings
This research unveils theories underpinning seemingly irrational investor behavior vis-à-vis lotteries, revealing the motivations propelling investors to willingly exchange risk-adjusted returns for the allure of substantial but infrequent gains. Empirical evidence delineates the extent of the premium paid for lottery stocks in the Brazilian market.
Originality/value
The study’s novelty lies in its amalgamation of theoretical exploration, empirical analysis and the application of the Fama–French factor model to gauge the risk premium associated with lottery-related behavior. Furthermore, its investigation of lottery stocks within the Brazilian market introduces a distinctive dimension, elucidating market dynamics and investor behaviors unique to the region.
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Krishna Moorthy, Lin Runxuan, Loh Chun T'ing and Kwang Jing Yii
The purpose of this study is to examine the variables affecting college students’ consumption behaviour in the context of the internet celebrity economy and the We Media…
Abstract
Purpose
The purpose of this study is to examine the variables affecting college students’ consumption behaviour in the context of the internet celebrity economy and the We Media environment.
Design/methodology/approach
In this study, five independent variables − perceived ease of use, perceived usefulness, attitude, We Media environment and internet celebrity marketing, as well as one mediating variable, consumption intention, are used to analyse college students’ consumption behaviour.
Findings
This study concluded that all five independent variables have positive relationships with the consumption intention and that the consumption intention also has a positive relationship with the consumption behaviour.
Originality/value
This study expanded the technology acceptance model and theory of planned behaviour model, which could provide insights for future research on consumption intention and behaviour. In addition, this study gives guidance for businesses considering to join this new industry in the internet celebrity economy.
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Robert Mwanyepedza and Syden Mishi
The study aims to estimate the short- and long-run effects of monetary policy on residential property prices in South Africa. Over the past decades, there has been a monetary…
Abstract
Purpose
The study aims to estimate the short- and long-run effects of monetary policy on residential property prices in South Africa. Over the past decades, there has been a monetary policy shift, from targeting money supply and exchange rate to inflation. The shifts have affected residential property market dynamics.
Design/methodology/approach
The Johansen cointegration approach was used to estimate the effects of changes in monetary policy proxies on residential property prices using quarterly data from 1980 to 2022.
Findings
Mortgage finance and economic growth have a significant positive long-run effect on residential property prices. The consumer price index, the inflation targeting framework, interest rates and exchange rates have a significant negative long-run effect on residential property prices. The Granger causality test has depicted that exchange rate significantly influences residential property prices in the short run, and interest rates, inflation targeting framework, gross domestic product, money supply consumer price index and exchange rate can quickly return to equilibrium when they are in disequilibrium.
Originality/value
There are limited arguments whether the inflation targeting monetary policy framework in South Africa has prevented residential property market boom and bust scenarios. The study has found that the implementation of inflation targeting framework has successfully reduced booms in residential property prices in South Africa.
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Rosa Rodrigues, Ana Junça-Silva, Cláudia Lopes and Diogo Espírito-Santo
This study relied on the affective events theory to test the mediating role of the ratio of emotions in the relationship between employees' perceived leadership effectiveness and…
Abstract
Purpose
This study relied on the affective events theory to test the mediating role of the ratio of emotions in the relationship between employees' perceived leadership effectiveness and their well-being at work.
Design/methodology/approach
A quantitative methodology was used, based on a deductive approach of a transversal nature. Data were collected from a convenience sample consisting of 255 working adults.
Findings
Structural equation modeling results demonstrated that perceived leadership effectiveness positively influenced well-being and the ratio of emotions, showing that when employees perceived their leader as effective, they tended to experience more positive emotions and less negative ones (as indicated by a positive ratio). Furthermore, the results supported the hypothesis that perceived leadership effectiveness influenced well-being through increases in the ratio of emotions.
Research limitations/implications
The nature of the sample makes it impossible to generalize the results. Also, the fact that the questionnaires were self-reported may have biased the results because only the employees' perception of the variables under study was known.
Practical implications
This study highlights the fact that perceived leadership effectiveness can be seen as an affective event that triggers positive and negative emotional responses at work, which, in turn, will have an impact on employee well-being.
Originality/value
An effective leadership style has been shown to be pivotal in reducing the prevalence of negative emotions within a team. When leaders foster a welcoming work environment where team members enjoy their roles, it often results in heightened positive emotions and overall well-being.
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Matti Haverila, Kai Christian Haverila, Caitlin McLaughlin, Akshaya Rangarajan and Russell Currie
Against social cognitive and social exchange theories, this research paper aims to investigate the significance and interaction between perceived knowledge, involvement, trust and…
Abstract
Purpose
Against social cognitive and social exchange theories, this research paper aims to investigate the significance and interaction between perceived knowledge, involvement, trust and brand community engagement in brand communities (BC).
Design/methodology/approach
BC participants (n = 503) completed a cross-sectional survey for this research. Analysis was performed using PLS-SEM via SmartPLS (v. 4.1.0.2) and the novel Necessary Condition Analysis (NCA).
Findings
An integrative KITE model with positive and significant relationships of key BC constructs was established. The perceived BC knowledge influenced involvement and engagement. Furthermore, the constructs of involvement and trust were discovered to have a positive and significant impact on engagement, with trust having a substantial effect on BC engagement. The indirect effects of the trust construct via the BC knowledge and BC involvement constructs were also significant.
Originality/value
This research advances the existing conceptual approaches by introducing knowledge as the key BC constructs. The study illustrates that members’ knowledge about a BC facilitates their involvement in the BCs. The vital role of trust is revealed in the KITE model, as it is significantly related to BC knowledge, BC involvement and BC engagement with at least medium to large effect sizes. Notably, the role of trust is enhanced as it is the only necessary must-have (instead of “should-have”) condition to achieve high levels of BC engagement. Furthermore, the KITE model provides insights for marketers to develop a valuable BC.
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Ana Junça Silva and Rosa Rodrigues
This study relied on the job demands and resource model to understand employees’ turnover intentions. Recent studies have consistently lent support for the significant association…
Abstract
Purpose
This study relied on the job demands and resource model to understand employees’ turnover intentions. Recent studies have consistently lent support for the significant association between role ambiguity and turnover intentions; however, only a handful of studies focused on examining the potential mediators in this association. The authors argued that role ambiguity positively influences turnover intentions through affective mechanisms: job involvement and satisfaction.
Design/methodology/approach
To test the model, a large sample of working adults participated (N = 505).
Findings
Structural equation modeling results showed that role ambiguity, job involvement and job satisfaction were significantly associated with turnover intentions. Moreover, a serial mediation was found among the variables: employees with low levels of role ambiguity tended to report higher job involvement, which further increased their satisfaction with the job and subsequently decreased their turnover intentions.
Research limitations/implications
The cross-sectional design is a limitation.
Practical implications
Practical suggestions regarding how organizations can reduce employee turnover are discussed.
Originality/value
The findings provide support for theory-driven interventions to address developing the intention to stay at work among working adults.
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Maryam Yousefi Nejad, Ahmed Sarwar Khan and Jaizah Othman
Financial statement fraud has become a global concern, and auditors are increasingly focused on identifying and investigating it. Auditors may play a crucial role in investigating…
Abstract
Purpose
Financial statement fraud has become a global concern, and auditors are increasingly focused on identifying and investigating it. Auditors may play a crucial role in investigating and reducing financial statement fraud, and this is particularly important in developing countries where fraudulent practices are more prevalent due to the lack of strict regulations and oversight. This study investigates whether enhanced audit quality has an impact on reducing financial statement fraud. The primary aim is to recognize whether a higher level of audit quality relates with a decrease in fraudulent activities in Indonesia, which is one such country that has not yet adopted IFRS.
Design/methodology/approach
This study investigates the effect of audit quality, as measured by audit tenure, audit fee, and audit size, on the dependent variable of financial statement fraud, as indicated by Dechow F-value. The sample for this study comprises 951 observations from 2015 to 2020, and the research design utilizes a panel data approach. To test the main hypothesis, OLS, and GMM estimation techniques are employed.
Findings
The analyses reveal a negative relationship between audit tenure and financial statement fraud. This suggests that shorter audit tenure may be associated with an increased risk of financial statement fraud. This heightened risk could stem from auditors having limited time to thoroughly understand the company's operations and internal controls, potentially making it more challenging to detect and prevent fraudulent activities perpetrated by the client. Conversely, a positive relationship is identified between audit fees and financial statement fraud, suggesting that companies paying higher fees may be engaging auditors less adept at detecting fraudulent activities. Furthermore, a negative relationship is observed between Big-5 and financial statement fraud, which may be due to the greater resources, expertise, quality control, scrutiny, reputation, and ethical conduct of Big-5 audit companies.
Research limitations/implications
This study only focused on listed companies in Indonesia, therefore, caution should be exercised when generalizing the findings to other developing and Muslim countries such as Malaysia. The findings may differ due to the adoption of IFRS in Malaysia. As such, it is important for future studies to include Malaysia as a sample and compare the results with those of Indonesia. This comparison would demonstrate the impact of IFRS adoption on the relationship between audit quality and financial statement fraud and provide insights for policy makers in Indonesia.
Practical implications
The findings of this study have important implications for developing countries that have been shown to be more susceptible to fraud than developed countries. This study contributes to the existing research on the role of audit quality in reducing financial statement fraud and emphasizes the need for auditors and accountants to take a proactive approach in detecting and investigating financial fraud.
Originality/value
This study is a new study because it investigates the relationship between audit quality and financial statement fraud in Indonesia, a developing Muslim country that has not yet adopted International Financial Reporting Standards (IFRS). The study provides valuable evidence on the unique factors that influence fraud in Indonesia and fills a gap in the literature as previous studies on this topic have largely focused on developed countries. Additionally, the study recommends that policymakers in Indonesia consider implementing IFRS to improve the reliability of financial reporting and strengthen the effectiveness of the auditing process, thus reducing the incidence of fraud.
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Bee Lian Song, Chee Yoong Liew, Poh Kiong Tee and Ling Chai Wong
This study aims to examine the relationship between corporate social responsibility (CSR) and job pursuit intention (JPI), and the role of job seekers’ perception on employer…
Abstract
Purpose
This study aims to examine the relationship between corporate social responsibility (CSR) and job pursuit intention (JPI), and the role of job seekers’ perception on employer prosocial orientation, value congruence and employer attractiveness in this relationship. CSR is measured based on internal and external CSR.
Design/methodology/approach
By adopting quantitative approach, data was obtained through survey questionnaire from 420 bachelor’s degree university fresh graduates from five universities in Malaysia who are actively seeking for jobs. Data was analysed using structural equation modelling technique.
Findings
Research findings show that internal and external CSR positively impact job seekers’ perception of employer prosocial orientation. Job seekers’ perception towards employer prosocial orientation has a significant positive impact on value congruence. Value congruence has a significant positive influence on employer attractiveness. Finally, employer attractiveness has a significant positive impact on JPI.
Practical implications
The findings are useful for human resources management. Organisations (employers) should focus on effective internal and external CSR practices through a prosocial orientation approach to attract the best talents and create a strong position in the job market.
Originality/value
This study extends the Signalling Theory and P-O Fit theory by applying them to an entirely different context of CSR and JPI, by incorporated the holistic job seekers’ psychological processes of the recruitment signals (internal and external CSR), signalling process and person-organisation fit (perception on employer prosocial orientation, value congruence and employer attractiveness) thoroughly.
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Hyunseok Song, Kevin K. Byon and Paul M. Pedersen
To extend research into sport consumer behaviors related to online sports betting, this study is designed to identify and examine the relationship between online sports betting…
Abstract
Purpose
To extend research into sport consumer behaviors related to online sports betting, this study is designed to identify and examine the relationship between online sports betting motivations and online sports betting intentions. By applying a push-pull framework from online sport consumption and gambling studies, nine motivations to engage in online sports betting were identified. These motivations were hypothesized to motivate online sports betting intentions.
Design/methodology/approach
A quota sampling technique based on the sports bettor demographics available in the American Gaming Association (AGA, 2019) and the Pew Research Center (2022) obtained a total of 550 completed surveys that met the inclusion and exclusion criteria. For data analyses, confirmatory factor analysis (CFA) and structural equation modeling (SEM) were used to examine the measurement model and the hypothesized model, respectively.
Findings
The results revealed that four motivations (i.e. monetary gain, excitement, convenience and negative technology-readiness) were related to online sports betting intention, while five motivations (i.e. sport fandom, positive technology-readiness, impulsivity, socialization and promotion) were not.
Originality/value
The results provide foundational theoretical knowledge of what motivates sports fans to participate in online sports betting. Furthermore, the findings assist practitioners in their allocation of resources by enhancing their understanding of online sports betting motivations.
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