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We develop and test an innovative approach to teaching financial statement analysis (FSA) and assessing student learning outcomes based on making complex stock investment decisions compared to professional analysts. We train students to apply FSA and emphasize interdisciplinary factors and high integrative complexity. Our innovative FSA teaching approach, which we apply in an MBA financial reporting course, involves the instructor lecturing on FSA as a tool for integrative and complex decision making, students researching and applying FSA to public companies, and presenting the rationale for individual and group stock investment decisions. The instructor gives high-quality and timely feedback on the students’ application of FSA with a focus on investment judgments involving critical thinking, problem-solving, and teamwork skills. Our detailed efficacy analysis shows that our FSA teaching approach is effective. Students who perceive a public company to have credible management, effective competitive strategy, and an acceptable level of financial flexibility make comparable individual and group stock investment decisions as professional analysts.

The objective of this chapter is to identify the key characteristics of Global Services businesses that will thrive and achieve success in the future. These factors are integrated into three main pillars, which we refer to as the Triple-Win. The first and most obvious pillar is technology as a tool. The second pillar is the design and sustainability of the business model, without which the previous factor would be merely a cost and not an investment. And last but not the least, there is the purpose which gives meaning to the proposal, focusing on the human being and their environment. The DIDPAGA business model sits at the intersection of these three elements.

We investigate how firms’ responses to misconduct change when the institutional environment becomes more stringent. Organizational theory offers conflicting perspectives on whether new legislation will increase or decrease pressure on firms to take remedial action following misconduct. The dominant perspective posits that new legislation increases expectations of firm behavior, amplifying pressure on them to take remedial action after misconduct. A more recent perspective, however, suggests that the mere necessity to meet more stringent regulatory requirements certifies firms as legitimate to relevant audiences. This certification effect buffers firms, reducing the pressure for them to take remedial action after misconduct. Using a temporary, largely arbitrary exemption from a key provision of the Sarbanes-Oxley Act, we show that firms that were not required to meet all the regulatory standards of good governance it required became 45% more likely to replace their CEOs following the announcement of an earnings restatement after Sarbanes-Oxley. On the other hand, those that were required to meet all of Sarbanes-Oxley’s provisions became 26% less likely to replace their CEOs following a restatement announcement. Ironically, CEOs at firms with a legislative mandate intended to increase accountability for corporate misconduct shoulder less blame than do CEOs at firms without such legislative demands.

This chapter has aimed to indicate some new important emerging policy problems, which have characterised the Covid crisis in the European economy during 2020 and then the bounce-back in 2021. The chapter has illustrated an economic theoretical framework focussed on innovation and structural changes, according to a Schumpeterian and evolutionary or neo-institutional approach, which seems more appropriate than the traditional neoclassical and macroeconomic models, as the basis for a ‘new industrial strategy’ in the European Union. The mainstream economic models are static and point-like, as they do not consider the role of time and of space, such as the existence of asymmetric information and external economies and also the interdependence between the companies and the other ‘stakeholders’ in the process of economic development. On the contrary, the theoretical framework of this chapter considers the factors that act on the structural changes according to four different and interdependent dimensions: the final demand, the intermediate productions and also the supply of labour and the endowment of natural resources. Finally, some preliminary indications on the organisation of a new industrial strategy at the European scale are discussed, different from the focus on just the digital and green technologies, as indicated by the NGEU program by the European Commission.

This chapter contributes to the Public Value (PV) literature in relation to accounting by providing evidence on its content's operationalization through performance measurement. In particular, it establishes the link with Sustainable Development Goals (SDGs), which may work as guiding principles of a public organization’s action. Accordingly, organizations embedding SDGs include them in their strategic decisions and disclose them through performance measurement and narratives.

The SDGs' presence is explored in the PV of a sample of Italian health institutes through documentary analysis of their performance plans. The aim is to verify if and how SDGs are pursued and whether the COVID-19 pandemic has affected PV content.

Besides Goal No. 3 (Health), the PV content of the investigated institutes contains various SDGs. Before the pandemic, their PV was aligned with SDGs mainly related to prosperity, economic growth and social inclusion. In the following period, the number of SDGs increased, introducing planet and environmental protection dimensions. No one explicitly mentions pursuing SDGs, revealing a non-institutionalized sensitivity of managers towards SDGs. The analysis distinguishes between ‘core’ SDGs, revealed mostly by traditional performance measures disclosing the achievement of institutes' mission, and ‘complementary’ SDGs, expressed mostly through narratives. This can derive from performance measurement, which employs the language of performativity, while the contribution to society is relegated in the narratives, making them less incisive.

Social enterprises (SEs), part of the third sector, are hybrid organizations combining the pursuit of social scopes with commercial business solutions. In seeking for social value, they pair for-profit and non-profit features, thereby compensating for shortcomings of both the public sector and the commercial market. Therefore, the performance management of such organizations assumes a crucial relevance. Among the available tools, the balanced scorecard (BSC) aims to capture performance multidimensionality, at the same time fostering legitimacy towards stakeholders.

In general terms, the BSC has the limit to follow a linear and static logic of construction and functioning. For this reason, scholars combine it with system dynamics (SD) to create dynamic balanced scorecards (DBSCs). However, literature seems to devote scarce attention to the adoption of such analytic tools in the third sector, particularly in SEs. This chapter wants to contribute to bridging this gap by proposing a tailored application in the context of a social cooperative, active in the clothing recycle and in the re-integration of disadvantaged social categories. By referring to previous literature about DBSC, two modelling strategies are identified: the BSC-driven and the SD-driven. The latter, based on inductive reasoning, is the one privileged for the study because of its wider flexibility. The modelling outputs consider different perspectives than the ones within traditional BSCs, contain elements of circular causality and show how financial and non-financial performances interplay and co-determine each other. Insights from the proposed model can be useful to support both decision-making and stakeholder engagement.

In this book chapter, we analyse social entrepreneurship (SE) development in the Western Balkans and present a regional overview. SE has become a globally known contributor to alleviating societal, economic, social, and environmental concerns. Its influence on increasing people’s quality of life has put the concept on a pedestal, and the Balkans are no different. The new advances have increased the efforts from the third sector in advocating for increased visibility, recognition, and support for social enterprises (SEs) as contributors to the development of resilient communities and facilitating the countries’ recovery from economic, social, and environmental crises. To provide a regional development overview, we use the institutional perspective. We base the analysis on data by applying qualitative methods, including document analysis, conference speeches, round tables, consultations, and other impactful events conducted over the last decade. The evidence suggests that the Western Balkan countries are similar in their development and lack a clear vision, a strategic pathway, and sustainable solutions to accelerate the sector’s growth. The awareness of the SEs’ contributions is still low, hindering their impact and potential scalability. Raising awareness campaigns is much needed to increase SEs’ visibility, recognition, revenues, and financial sustainability. Intersectoral collaboration is not at a suitable level, and the coordination and partnerships between the SE actors are lacking. The region needs to make a significant and consistent effort to facilitate the sector’s development and support SEs to provide the expected societal impact.