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1 – 10 of over 18000Jewoo Kim, Jaewook Kim and Yiqi Wang
Due to increased health concerns, restaurant customers rely more on credible cues that indirectly represent health-related credence quality. To comprehensively understand the…
Abstract
Purpose
Due to increased health concerns, restaurant customers rely more on credible cues that indirectly represent health-related credence quality. To comprehensively understand the dynamics between credence cues and restaurant delivery with different infection risks, this study aims to investigate changes in cue utilization during the pandemic.
Design/methodology/approach
Data on delivery sales, brand and review rating between 2019 and the first half of 2020 were obtained from Meituan. Fixed-effects estimation was used to investigate 579,858 restaurant observations across 338 cities in China.
Findings
Health concerns significantly increased the use of restaurant delivery and the increased delivery sales remained steady even after infection risk was reduced. However, cue utilization in restaurant delivery substantially changed depending on inflection risk. In the pandemic-spreading period, the sales effect of the brand increased while that of review rating decreased. The decreased effect of review rating was recovered in the pandemic-flattening period, whereas the abnormal brand effect continued only when branded restaurants had a high rating.
Research limitations/implications
The findings demonstrate the selective and contextual nature of cue utilization in the restaurant delivery setting. These characteristics are also manifested in a health crisis from a credence cue perspective.
Practical implications
The findings demonstrate the selective and contextual nature of cue utilization in the restaurant delivery setting. These characteristics are also manifested in a health crisis from a credence cue perspective. Further, this study re-conceptualizes credence quality and cues, considering their roles in risk management. The findings help develop risk management strategies based on customers’ usage patterns of credence cues in health crises.
Originality/value
The dynamics between credence cues and restaurant delivery has not been comprehensively investigated, especially when infection risk changes. This study delivers theoretical and practical contributions about how to use credence cues in the restaurant business amid health crises.
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Valerie Li and Yan Luo
The authors investigate how managers adapt their financial reporting and disclosure practices in response to the COVID-19 pandemic through changes in accounting estimates (CAEs).
Abstract
Purpose
The authors investigate how managers adapt their financial reporting and disclosure practices in response to the COVID-19 pandemic through changes in accounting estimates (CAEs).
Design/methodology/approach
The authors define the pandemic period as starting on March 1, 2020. The sample consists of 9,575 CAEs disclosed in quarterly (10-Qs) and annual (10-Ks) financial reports by US firms between January 1, 2004 and May 31, 2022. The authors perform multivariate analyses of the impact of the COVID-19 pandemic on the incidence of CAEs and on whether the impact of CAEs on firms' financial performance and reporting quality changes during the pandemic.
Findings
In the examination of the CAE footnote disclosures in the quarterly (10-Qs) and annual (10-Ks) reports of US companies, the authors find no evidence that the incidence of CAEs in 10-Ks or the number of firms reporting CAEs are significantly different in the pre-pandemic and pandemic periods, but the incidence of CAEs in 10-Qs is significantly higher in the pandemic period than in the pre-pandemic period. The authors also find that the number of CAEs related to revenue recognition increase significantly in the pandemic period, but CAEs in other categories decrease, with the sharpest drop seen in the liabilities category. Further investigation suggests that although the dollar impact of 10-K CAEs on current financial statements is higher during the pandemic period, firms with CAEs, especially positive CAEs, in either 10-Ks or 10-Qs are less likely to use CAEs to boost earnings in the pandemic period. However, the authors find evidence that firms tend to use CAEs to “big bath” current earnings and create reserve for future period. The authors have not observed any significant differences in how the various phases of the pandemic affect the reporting of CAEs. Additionally, there is no evidence to suggest that financially distressed firms report more or fewer CAEs during the pandemic.
Practical implications
The results are consistent with the notion that, during the pandemic, firms exercise greater caution in their CAE disclosures, refraining from using CAEs as a means of boosting earnings but as a strategy to create reserve for future period. The paper highlights the challenges that various stakeholders face when assessing a company's current and future financial performance based on management's accounting estimates.
Originality/value
This study captures the impact of the COVID-19 pandemic on the incidence of CAEs and CAEs' impact on the financial performance and financial reporting quality of firms during the pandemic.
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Adriano O. Solis, Janithra Wimaladasa, Ali Asgary, Maryam Shafiei Sabet and Michael Ing
The COVID-19 pandemic has changed many facets of urban life and operations, including emergency incidents. This study examines how COVID-19 has brought about changes in, and…
Abstract
Purpose
The COVID-19 pandemic has changed many facets of urban life and operations, including emergency incidents. This study examines how COVID-19 has brought about changes in, and shifting patterns of, emergency incidents in the City of Vaughan, Ontario, Canada. This study aims to derive insights that could potentially inform planning and decision-making of fire and rescue service operations as further stages of the pandemic unfold.
Design/methodology/approach
Standard temporal analysis methods are applied to investigate the changes in the number and nature of emergency incidents, as recorded sequentially in the city's fire and rescue service incident report database, through various phases or waves of the pandemic and the associated public health measures that have been introduced.
Findings
The study analyses show a decrease in the number of emergency calls compared to previous reference years. Vehicle-related incidents show the highest decline, and changes in daily and hourly pattens are consistent with public health measures in place during each stage of the pandemic. The study concludes that the COVID-19 pandemic has had a significant impact on demand for emergency services provided by the fire department.
Originality/value
The authors believe this is the first study applying temporal analysis on a city's emergency incident response data spanning various phases/waves of the COVID-19 pandemic. The analysis may be replicated for other municipal fire services, which can generate further insights that may apply to specific local conditions and states of the pandemic.
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Heba Ali, Hala M.G. Amin, Diana Mostafa and Ehab K.A. Mohamed
The purpose of this paper is to examine the inter-relations among the strength of investor protection institutions, earnings management (EM) and the COVID-19 pandemic.
Abstract
Purpose
The purpose of this paper is to examine the inter-relations among the strength of investor protection institutions, earnings management (EM) and the COVID-19 pandemic.
Design/methodology/approach
As a proxy for EM, the authors use discretionary accruals measure, estimated using the modified Jones model (1991). As a proxy for the strength of investor protection institutions, the study uses the Investor Protection Index, extracted from the Global Competitiveness Reports. The sample consists of 5,519 firms listed in the Group of Twelve countries during 2015–2020.
Findings
The study shows that firms tend to engage less in EM during the pandemic period. The authors also find a significantly negative relation between the strength of investor protection institutions and EM practices, and interestingly, this negative relation was found to be more pronounced during the pandemic period.
Research limitations/implications
For investors and practitioners, the findings help get insights into the behavior of firms in response of the pandemic shock in countries with solid institutional and legal protection. For policymakers, the findings reaffirm the critical role that institutional incentives and reforms can play, in influencing firms to exert more efforts to promote their financial reporting quality.
Originality/value
To the best of our knowledge, the study is one of the first attempts to examine the link between EM practices and investor protection during the COVID-19 pandemic. The findings extend both the literature on the role of institutional factors in promoting the earnings quality and the literature on COVID-19’s effect on firm performance and practices.
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Imen Khanchel and Naima Lassoued
This paper aims to contribute to the literature on the earnings management (EM)–corporate social responsibility (CSR) relationship as most of the previous studies have been…
Abstract
Purpose
This paper aims to contribute to the literature on the earnings management (EM)–corporate social responsibility (CSR) relationship as most of the previous studies have been carried out in non-turbulent periods. This study investigates whether CSR affects EM during the pandemic period by testing two hypotheses: the cognitive biases hypothesis and the resilience hypothesis
Design/methodology/approach
The difference-in-difference and triple difference approaches are used for a sample of 536 US firms (268 socially responsible firms and 268 matched non-socially responsible counterparts) during the 2017–2021 period. Socially responsible firms are selected from the MSCI KLD 400 Social Index, and matched firms are identified through the propensity score matching method.
Findings
The authors find an income-increasing practice for both socially responsible firms and control firms for the whole period and each sub-period. Moreover, socially responsible firms are more likely to manage their earnings (income increasing) than their counterpart. Furthermore, the authors show that CSR commitment exacerbated EM in line with the cognitive biases hypothesis.
Originality/value
This study is the first shed light on the dark side of CSR during pandemic periods.
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Although the extant literature has already recognised the negative impact of homebound responsibilities on women's entrepreneurship during the COVID-19 pandemic, it is yet to know…
Abstract
Purpose
Although the extant literature has already recognised the negative impact of homebound responsibilities on women's entrepreneurship during the COVID-19 pandemic, it is yet to know whether and how the family has any other role in women's businesses during this critical period. This research aims to explore the patronising and patriarchal roles of the family regarding women's small businesses in a developing nation during the pandemic.
Design/methodology/approach
This feminist study is based on the interviews of women business-owners of a highly patriarchal developing nation, Bangladesh. During the period of the interview, Bangladesh was one of the top ten regions of the world in terms of the identified coronavirus cases.
Findings
The research unveils work-family enrichment by illustrating the help of family members in meeting the challenges of the pandemic period regarding women's certain business activities, such as the innovative production process. Besides, the study reveals the assisting and, in some cases, the non-cooperative approaches of family members concerning additional homebound responsibilities that affect work-family conflict during the COVID-19 pandemic.
Originality/value
Whereas the existing literature on women's entrepreneurship regarding the family revolves around work-family conflict due to maternal or caregiving responsibilities during the COVID-19 period, this feminist study substantially contributes to the understanding by revealing how family members help women by getting involved in business activities. It further enriches the prevailing knowledge regarding assisting or hindering activities of family members concerning domestic activities that affect women's businesses during the pandemic.
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Omer Cem Kutlubay, Mesut Cicek and Serdar Yayla
The ongoing COVID-19 pandemic has led to drastic changes in the lives of customers. Social isolation, financial difficulties, fear of being infected and many other factors have…
Abstract
Purpose
The ongoing COVID-19 pandemic has led to drastic changes in the lives of customers. Social isolation, financial difficulties, fear of being infected and many other factors have caused the psychological well-being of customers to deteriorate. By taking up the role of online reviews in the regulation of consumers’ moods, this study aims to examine the changes that have occurred in online product ratings, as well as the negative tone and word counts of product reviews during the COVID-19 pandemic.
Design/methodology/approach
This study examines the online reviews of 321 products in the pre-COVID, immediate COVID and extended COVID periods. This paper compares the changes that have taken place in product evaluations via various analysis of variance analyses. The authors also test the effect of COVID-related deaths on product evaluations via regression analyses.
Findings
The results indicate that online product ratings decreased sharply just after the outbreak of COVID-19. The study also found that the tone of reviews was found to be more negative and the length of reviews appeared to be longer in comparison to the pre-COVID-19 period. The results also revealed that the product type (experience vs search) moderated the effect of the pandemic in online reviews and the impact of COVID-19 on online product reviews diminished in the later stages of the ongoing pandemic.
Practical implications
Managers should be aware of the detrimental impact of pandemics on online product reviews and be more responsive to customer problems during the early stages of pandemics.
Originality/value
To the best of the authors’ knowledge, this is the first study that analyzes the effects of a pandemic on online product ratings and review content. As such, this study offers a timely contribution to the marketing literature.
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Hani El-Chaarani, Tariq H. Ismail, Zouhour El-Abiad and Mohamed Samy El-Deeb
The aim of this paper has twofold: (1) to explain and compare the financial evolution of Islamic and conventional banking sector in the Gulf Cooperative Council (GCC) countries…
Abstract
Purpose
The aim of this paper has twofold: (1) to explain and compare the financial evolution of Islamic and conventional banking sector in the Gulf Cooperative Council (GCC) countries before and during the COVID-19 pandemic and (2) to explore the key success factors that might affect Islamic and conventional banks performance before and mainly during COVID-19 pandemic period.
Design/methodology/approach
Orbis Bank Focus database and annual financial reports are used to collect financial information of Islamic and conventional banks in GCC countries over four years: 2017, 2018, 2019 and 2020. Descriptive statistics, T-test, multiple regression, and 2SLS and GMM models are employed to analyze the financial structure and performance of Islamic and conventional banks before and during the COVID-19 pandemic period.
Findings
Results of this study reveal that (1) there is a significant difference between Islamic banks and conventional banks during the crisis of COVID-19, where the conventional banks have presented a higher level of financial performance and financial liquidity than their Islamic counterparts, (2) conventional banks have revealed higher capacity to manage their financial risk during the crisis period, and (3) a high level of non-performing loan, high inflation rate and high percentage of non-important cost have a negative impact on the financial performance of Islamic banks mainly during the pandemic period of COVID-19. However, the result indicates that a high level of liquidity risk increased the performance of Islamic banks but this impact falls sharply during the pandemic period.
Originality/value
This study provides information that supports investors, regulators and executive managers in GCC countries. A well-structured balance sheet would improve the financial performance and risk management of the banking sector in GCC countries, especially in times of crisis and pandemics.
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The main goal of the article is to determine the mediating role of HRM outcomes in the relationships between staffing the organization and company performance results and to…
Abstract
Purpose
The main goal of the article is to determine the mediating role of HRM outcomes in the relationships between staffing the organization and company performance results and to establish whether there are any identifiable regularity in this scope in the pre-pandemic and pandemic period in the HQs and foreign subsidiaries of MNCs.
Design/methodology/approach
The empirical research included 200 MNCs headquartered in Central Europe. To capture the actual relations between the variables under study the raw data in the variables were adjusted with the efficiency index (EI). The Partial Least Squares Structural Equation Modeling (PLS-SEM) was used to verify the research hypotheses and assess the mediating effects.
Findings
The research findings show that, with the exception of the HQs in the pandemic period, when staffing had a negative effect on the company performance results in quality, in other cases it had a positive effect on results in HRM, finance, innovativeness and quality, both in the pre-pandemic and pandemic period, although this effect was not always statistically significant. Furthermore, the company's performance results in HRM mediate positively the relationships between staffing and the other three categories of company performance results, regardless of the organizational level (HQs' or subsidiaries') and time period under consideration. Additionally, during the pandemic, the company's performance results in HRM mediate the relationships between staffing and the other company's performance results stronger than in the pre-pandemic time.
Originality/value
In addition to confirming the results of some other studies, the article also provides new knowledge. It determines the mediating role of HRM outcomes in the relationship between staffing and company performance results in finance, innovativeness and quality. Moreover, it identifies certain regularities in the four studied contexts, which is a novelty in this type of research. It also uses an innovative approach to including employee KPIs as the efficiency index in analyzing the relationships between the variables under study.
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George J. Borjas and Hugh Cassidy
Employment rates fell dramatically between March and April 2020 as the initial shock of the COVID-19 pandemic reverberated through the US labor market. This paper uses data from…
Abstract
Employment rates fell dramatically between March and April 2020 as the initial shock of the COVID-19 pandemic reverberated through the US labor market. This paper uses data from the CPS Basic Monthly Files to document that the employment decline was particularly severe for immigrants. Historically, immigrant men are more likely to work than native men. The pandemic-related labor market shock eliminated the immigrant employment advantage. After this initial precipitous drop, however, the employment recovery through June 2021 was much stronger for immigrants, and particularly for undocumented immigrants. The steep drop in immigrant employment at the start of the pandemic occurred partly because immigrants were less likely to work in jobs that could be performed remotely and suffered disproportionate employment losses as only workers with remotable skills were able to continue working from home. The stronger employment recovery of undocumented immigrants, relative to that experienced by natives or legal immigrants, is mostly explained by the fact that undocumented workers were not eligible for the generous unemployment insurance (UI) benefits offered to workers during the pandemic.
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