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Article
Publication date: 12 January 2021

Yong Tan, Zhenghui Li, Siming Liu, Muhammad Imran Nazir and Muhammad Haris

This study investigates the interrelationships between competitions in different banking markets and shadow banking for the Chinese banking industry over the period 2003–2017. The…

Abstract

Purpose

This study investigates the interrelationships between competitions in different banking markets and shadow banking for the Chinese banking industry over the period 2003–2017. The current study also examines the determinants of competition in different banking markets and the factors influencing the size of shadow banking.

Design/methodology/approach

Bank competition is measured by the Boone indicator, while the relationship between bank competition and shadow banking is examined through a three-stage least square estimator.

Findings

The findings suggest that a larger volume of shadow banking leads to a decline in the level of competition in the deposit market, loan market and noninterest income market, while an increase in the level of competition in the loan market, deposit market and noninterest income market leads to an expansion of shadow banking. The authors find that higher bank risk and higher developed of stock market reduce the competitive condition in the loan market, and the competition in the deposit market will be enhanced by higher levels of banking sector development and higher levels of inflation, but bank diversification will reduce the level of competition in the deposit market. The authors further find that higher bank profitability and higher stock market development reduce bank competition in the noninterest income market. Finally, the results show that larger bank size and higher development of stock market reduce the size of shadow banking in China, but higher economic growth increases the size of shadow banking.

Originality/value

This is the first piece of research investigating the relationship between bank competition and shadow banking. This will also be the first piece of research examining the determinants of competition in different banking markets and also the factors influencing the size of shadowing banking in China.

Details

International Journal of Emerging Markets, vol. 17 no. 6
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 11 January 2024

Muhammad Farooq, Asrar Ahmed, Imran Khan and Muhammad Munir

This study aims to investigate the impact of dividend policy on a firm’s participation in corporate social responsibility (CSR)-related activities in the context of Pakistani…

Abstract

Purpose

This study aims to investigate the impact of dividend policy on a firm’s participation in corporate social responsibility (CSR)-related activities in the context of Pakistani firms. Furthermore, the role of the board governance mechanism in dividend policy-CSR is investigated.

Design/methodology/approach

The study’s sample consists of 115 nonfinancial Pakistan Stock Exchange-listed firms from 2010 to 2021. A multidimensional financial method is used to assess the firm’s CSR engagement, and dividend policy is assessed using the dividend payout ratio and dividend yield. The authors used the fixed effect model and the random effect model to fulfill the study’s objectives. Furthermore, the system-generalized method of moment estimation technique is used to test the robustness of the result. In addition, the authors perform reverse causality analysis and investigate the effect of financial constraints on the dividend policy–CSR relationship.

Findings

The authors find that dividend policy has a significant positive impact on CSR. The authors also find that dividend policy is significantly positively associated with components of CSR, i.e. donation, employee welfare and research and development. Furthermore, the authors find that the board governance mechanism strengthens this positive relationship between dividend policy and CSR.

Practical implications

The government and authorities must mandate or at least encourage enterprises to pay dividends as doing so not only keeps shareholders happy but also encourages firms to make CSR initiatives to balance stakeholders. Furthermore, the regulator should take steps to strengthen the board governance structure as it strengthens the positive dividend policy–CSR relationship.

Originality/value

Although little previous research has focused on the CSR-dividend policy link, the authors believe that this is the first study to look at the influence of dividend policy on CSR and the moderating impact of board governance mechanisms in an emerging country, namely, Pakistan.

Details

Journal of Global Responsibility, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2041-2568

Keywords

Article
Publication date: 21 August 2024

Muhammad Farooq, Imran Khan, Mariam Kainat and Adeel Mumtaz

Corporate social responsibility (CSR) has gained tremendous importance after several corporate scandals, financial crises and the rise of the hyper-competitive world. Firms must…

Abstract

Purpose

Corporate social responsibility (CSR) has gained tremendous importance after several corporate scandals, financial crises and the rise of the hyper-competitive world. Firms must address multiple stakeholders’ interests to increase firm value. This study aims to investigate the effect of CSR on firm value. This study also examines the mediating role of enterprise risk management (ERM) and the moderating influence of corporate governance (CG) in this CSR-firm value relationship.

Design/methodology/approach

The sample of the study comprises 119 Pakistan Stock Exchange (PSX) listed firms and the study covers the period from 2010 to 2021. The corporate social responsibility performance has been quantified across five dimensions. These aspects are product, environment, employee relations, diversity and community. Four proxies i.e. strategy, operation, reporting and compliance, have been used to measure ERM. The governance quality of the sample companies was evaluated using the governance index, which included 29 governance provisions. The authors used the dynamic panel data technique (system-GMM) is used to achieve the objectives of the study. Furthermore, a firm’s engagement in CSR activities can also be measured through a multinational financial approach to check the robustness of the result.

Findings

Based on the regression analysis, the authors discovered that CSR was positively connected with firm value, validating the stakeholder view of CSR. Furthermore, following Baron and Kenny’s (1986) mediation technique, the findings confirm that ERM mediates this association. These results are robust by using the bootstrapping tests by Preacher and Hayes (2004). Furthermore, the result shows that corporate governance (CG) is positively connected with firm performance, and this relationship is strengthened in the presence of an effective governance system in the organization.

Practical implications

This study provides useful insights to regulators, investors and policymakers to consider CSR as a value-enhancing factor and encourage the development of enterprise risk management and compliance with CG mechanisms to improve firm value.

Originality/value

The presented analysis strengthens the existing CSR–firm value relationship by analyzing the mediating and moderating roles of ERM and CG, which have not yet been tested, particularly in the context of Pakistan.

Details

Corporate Governance: The International Journal of Business in Society, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1472-0701

Keywords

Article
Publication date: 13 February 2023

Muhammad Farooq, Muhammad Imran Khan and Amna Noor

The current study aims to investigate the impact of firm performance on chief executive officer (CEO) remuneration in the context of an emerging market, i.e. Pakistan. Further…

Abstract

Purpose

The current study aims to investigate the impact of firm performance on chief executive officer (CEO) remuneration in the context of an emerging market, i.e. Pakistan. Further, the interactive effect of financial constraints is investigated in the pay–performance relationship.

Design/methodology/approach

The study's sample includes 173 non-financial firms listed on the Pakistan Stock Exchange. This study covers the years 2010–2019. The CEO compensation of the sample firms is measured in terms of salary and bonuses, perquisites and stock options paid to the CEO, whereas firm profitability is measured by return on assets, return on equity, Tobin's Q (Q) and earnings per share. The KZ Index measures the degree of financial constraint. The fixed effect model (FEM) and system GMM estimation techniques were used to conclude the study's findings. In addition, to test the robustness of the results, the authors computed the level of financial constraints using the WW Index.

Findings

The findings show that firm performance has a significant positive impact on CEO compensation in all profitability measures except Tobin's Q. Further financial constraints have a significant negative impact on CEO compensation. The interactive variables of FC with all profitability measures have a significant negative impact on CEO compensation.

Originality/value

This study examines the relationship between firm performance and CEO compensation. Furthermore, the current study expanded the analysis by incorporating the role of financial constraints in the pay–performance relationship, which has not previously been tested, particularly in the context of an emerging market.

Details

Managerial Finance, vol. 49 no. 8
Type: Research Article
ISSN: 0307-4358

Keywords

Article
Publication date: 17 May 2022

Muhammad Farooq, Asad Afzal Humayon, Muhammad Imran Khan and Sarmad Ali

The purpose of this research is to examine the impact of corporate governance proxies by ownership structure on financial constraints for a sample of 215 non-financial Pakistan…

Abstract

Purpose

The purpose of this research is to examine the impact of corporate governance proxies by ownership structure on financial constraints for a sample of 215 non-financial Pakistan Stock Exchange (PSX) listed firms between 2010 and 2018.

Design/methodology/approach

The dynamic generalized method of moments (GMM) estimator is used to determine the influence of ownership structure on financial constraints. The ownership structure of sample enterprises is measured using seven variables: managerial, family, institutional, foreign, associated, presence of block holder, and concentrated ownership, while financial limitations are determined using the KZ Index. The WW Index is used to assess the robustness of the results. In addition, for robustness, we also used OLS and FE.

Findings

Based on the system GMM results, it was discovered that firm ownership structure has a significant impact on the likelihood of financial constraints. In the case of Pakistan, the results show that institutional ownership, foreign ownership, and the presence of a block holder in the ownership structure have a significant negative impact on financial constraints, whereas family ownership and ownership concentration have a significant positive impact. This finding remains true when financial constraints are measured using the WW Index.

Practical implications

The findings of the study provide business managers and investors with more information regarding the relationship between corporate governance quality and the degree of financial constraint in Pakistani firms. Furthermore, this study contributes new information from emerging nations like Pakistan to the existing literature, which will help regulatory bodies and policymakers build long-term corporate governance solutions to manage financial constraints. It is well established that improving the quality of corporate governance practices improves capital market efficiency and lowers the likelihood of financial constraints.

Originality/value

The study adds to the body of existing work on corporate governance and the possibility of financial constraints, with a focus on Pakistan. The findings show that when projecting company financial constraints, regulators should pay special attention to the quality of corporate governance, specifically ownership structure.

Details

Managerial Finance, vol. 48 no. 7
Type: Research Article
ISSN: 0307-4358

Keywords

Article
Publication date: 23 June 2021

Irfan Sabir, Imran Ali, Muhammad Bilal Majid, Naila Sabir, Hamid Mehmood, Asad Ur Rehman and Farooq Nawaz

The purpose of this paper is to evaluate the influence of perceived organizational support on employees’ performance in information technology (IT) firms in Pakistan and Saudi…

1604

Abstract

Purpose

The purpose of this paper is to evaluate the influence of perceived organizational support on employees’ performance in information technology (IT) firms in Pakistan and Saudi Arabia. Organizational support is critical as it ensures support given by the organization to workers and to complete one’s job proficiently and effectively.

Design/methodology/approach

Data were collected from IT firm employees through a self-administered questionnaire survey where a total of 400 questionnaires were distributed, i.e. 200 in each country’s IT firms. A total of 383 completed questionnaires were received (190 from Pakistan and the remaining 183 from Saudi Arabia) representing a response rate of 95%. The hypothesis was tested using confirmatory factor analyzes and direct relations were confirmed using AMOS v24.

Findings

The results indicate that perceived organizational support and affective commitment have a significant positive impact on employee performance. Findings of the study show that perceived organizational support and affective commitment directly and significantly correlated (r = 0.439**; p < 0.05) (r = 0.489**; p < 0.05) with employee performance. On other hand, results of structural equation modeling indicate that perceived organizational support and affective commitment have a significant and positive impact (ß = 0.284; p < 0.01) and (ß = 0.370; p < 0.01) on employees’ performance. Moreover, affective commitment partially mediates the relationship between perceived organizational support and employee performance.

Research limitations/implications

The outcomes are not generalized, as the researcher analyzed working employees in the IT firms in Saudi Arabia and Pakistan. The relationship between perceived organizational support and employees’ performance may be checked in a longitudinal study. If all items are considered because of the ambiguity of human feeling and acknowledgment, it is hard to precisely assess employees’ performance and their needs. This research proposes a straightforward and handy model that supports managers to feature the most powerful factors in building up their employees’ performance.

Originality/value

This study proposes managers to give chances to proficient advancement, improved occupation and satisfying the necessities identified through deference, mindfulness and endorsement. Furthermore, they ought to make more good working conditions, for example, preparing chances to support workers in their wants for self-improvement and accomplishment. The research additionally recommends recording the unmistakable standard operation procedure to clarify the understanding of the employees. In addition, managers ought to invest sensible energy with their front-line employees through socialization and training. These efforts could limit fatigue work, enhance organizational duty and performance.

Details

International Journal of Organizational Analysis, vol. 30 no. 3
Type: Research Article
ISSN: 1934-8835

Keywords

Article
Publication date: 9 November 2022

Muhammad Saleem Korejo, Erum Naseer Korejo, Ramalinggam Rajamanickam, Muhamad Helmi Md. Said and Nazir Ullah

This paper aims to provide an analysis of National Accountability Ordinance 1999 (NAO) after June 2022 amendments. It raises a key question whether the new legislation is…

Abstract

Purpose

This paper aims to provide an analysis of National Accountability Ordinance 1999 (NAO) after June 2022 amendments. It raises a key question whether the new legislation is effective and improves anti-corruption operating system in Pakistan.

Design/methodology/approach

This paper performs an analysis of recent amendments incorporated in NAO from the observations of superior courts, United Nations Corruption Convention and Financial Action Task Force (FATF) guidelines and also evaluates new legislation in terms of effectiveness in anti-corruption campaign.

Findings

This paper finds that ample amendments are inessential, and thus may largely jeopardize accountability process; changes appear to be intentionally crafted to benefit some selected group of people: the definition of asset is compressed; the onus of proof is shifted on the informer; and provisions of money trail, foreign evidence and protection of approver are abolished; such changes defy to the UN Corruption Convention and FATF guidelines. A legislation endorsed from all stakeholders is suggested; additionally, improved strategies proposed to strengthen accountability process while keeping in view the constitutional issues relevant in the course of anti-corruption investigations.

Originality/value

This paper is unique in the context of the anti-corruption strategies in Pakistan, highlighting the legal laxness of new government regarding corruption and money laundering.

Details

Journal of Financial Crime, vol. 30 no. 5
Type: Research Article
ISSN: 1359-0790

Keywords

Abstract

Purpose

The purpose of this paper is to test social exchange in the presence of perception about organizational support theory.

Design/methodology/approach

Data have been collected through a questionnaire survey at a primary level and were analyzed primarily by smartPLS.

Findings

Results show that all relationships among study variables are highly responsive to the perception about organizational support. Nonmonetary rewards create reciprocity of employee performance (EP), but their magnitudes get affected where practioners need to pay specific attention on employee perception about organizational discretionary arrangements.

Research limitations/implications

The sample size for this study was taken only 10 percent from the top ten banking organizations and these organizations were selected from three big cities only including two provincial capitals. Purposive/judgmental sampling technique is being used for the data collection purpose. As moving out from these cities earning opportunities, langue and behaviors are different; so, the results cannot be generalized to the entire country and other industries.

Practical implications

All managers who are intended and assigned for the increase in overall firms’ performances can achieve their targets and goals by focusing on decision-making participation (DMP) through job satisfaction. Further to this, in order to increase the strength of exchange relationship where firms can introduce DMP to increase employees’ performance, perception about organizational support (if it is to be focused) to its workers well-being can yield and induce employees to perform more.

Originality/value

This study ensures researchers not to forget to check the impact of perceived organizational support during a discussion on social exchange and more specifically nonmonetary part of the exchange. This study suggests the way to increase employee outcomes is by focusing on the employee perception about the organizational care about them and involving them in DMP which does not involve any monetary benefits and ultimately managers and organizations can concentrate on these points to have the overall increase in EP, while keeping themselves in limited or available budgets/resources.

Details

World Journal of Entrepreneurship, Management and Sustainable Development, vol. 14 no. 3
Type: Research Article
ISSN: 2042-5961

Keywords

Article
Publication date: 5 April 2019

Ashfaque Hussain Soomro, Imran Khan and Muhammad Younus

The purpose of this paper is to explore EFL reading anxiety of first-year undergraduate engineering students and its effect on their reading performance in a public sector…

Abstract

Purpose

The purpose of this paper is to explore EFL reading anxiety of first-year undergraduate engineering students and its effect on their reading performance in a public sector engineering university in Pakistan. It specifically aims to explore their top-down, bottom-up and classroom EFL reading anxiety.

Design/methodology/approach

Data for the present study were collected from 200 first-year engineering students to explore their reading anxiety. A 20-item questionnaire developed by Zoghi and Alivandivafa (2014) was used to measure students’ EFL reading anxiety, while an IELTS academic reading test was used to measure their reading performance. The data were analyzed through exploratory factorial analysis and multiple regression analysis to determine which type of reading anxiety has a significant effect on students’ reading performance.

Findings

It was found that the bottom-up reading anxiety and the classroom reading anxiety have a significant negative impact on the reading performance of the first-year undergraduate engineering students of a Pakistani university. However, top-down reading anxiety has an insignificant negative impact on the reading performance of university students.

Research limitations/implications

The data for the current study were drawn from one Pakistani public sector engineering university, and all the students were first-year undergraduates. The data were collected through a self-reported questionnaire and IELTS (academic) reading test. Some of the students may be unfamiliar with the IELTS test pattern, so their reading performance might have been affected.

Practical implications

Teachers should adopt such a methodology in their EFL classrooms which helps students reduce their reading anxiety. Reading texts must be selected considering the proficiency level of students, and reading strategies must be explicitly taught to reduce bottom-up and top-down reading anxieties. Teachers should create a positive learning environment in their classroom by encouraging students to make an effort to improve their reading skills in order to deal with classroom reading anxiety. Students must be explained that they should help one another rather than ridiculing each other’s reading mistakes. Differentiated instruction can also be adopted to facilitate weak readers. The teachers can provide additional/out of the class support to weak readers in order to help them deal with reading anxiety.

Originality/value

The EFL reading anxiety among university students in the Pakistani context has received little attention from the researchers. Furthermore, although the impact of EFL reading anxiety on EFL students’ reading performance has been explored previously, the impact of three types of EFL reading anxiety on EFL learners’ reading performance has not been adequately investigated.

Details

Journal of Applied Research in Higher Education, vol. 11 no. 3
Type: Research Article
ISSN: 2050-7003

Keywords

Article
Publication date: 24 September 2024

Mehwish Rasool, Muhammad Hamid Murtza, Muhammad Imran Rasheed, Aliana Man Wai Leong, Fevzi Okumus and Jingyi Bai

This study aims to investigate the nexus between information technology (IT) competency, supply chain agility and supply chain performance in the hospitality industry. The authors…

Abstract

Purpose

This study aims to investigate the nexus between information technology (IT) competency, supply chain agility and supply chain performance in the hospitality industry. The authors examine the association of IT competency and supply chain performance through supply chain agility while considering the boundary condition role of risk management.

Design/methodology/approach

The authors collected data via a questionnaire from 302 full-time hotel and restaurant managers in Pakistan.

Findings

Study results reveal a positive association between IT competency and supply chain performance while supply chain agility mediates this relationship. In addition, risk management is identified as an important boundary condition that moderates the direct and indirect relationships between IT competency and supply chain performance.

Originality/value

Study results reveal an important association between IT competency and supply chain agility contributing to the scholarly discussion on supply chain issues in the hospitality sector.

研究目的

本研究旨在探讨信息技术能力(IT能力)对供应链绩效的影响, 并分析风险管理导向和供应链敏捷性在这一关系中的调节作用。

研究方法

本研究采用结构方程模型分析, 通过问卷调查收集数据, 以评估IT能力、风险管理导向、供应链敏捷性和供应链绩效之间的关系。

研究发现

研究发现, IT能力显著提升供应链绩效。风险管理导向和供应链敏捷性在IT能力与供应链绩效之间起到正向调节作用, 增强了IT能力对供应链绩效的积极影响。

研究创新

本研究扩展了关于信息技术与供应链管理之间关系的理论, 强调了风险管理导向和供应链敏捷性的重要性。研究结果为企业在提升供应链绩效时如何利用IT能力提供了实用指导。

Details

Journal of Hospitality and Tourism Technology, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1757-9880

Keywords

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