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Making rational and undistorted corporate investment decisions is critically important to organisations. “Scientific” investment appraisal can play a central role, particularly setting the hurdle rate. Empirical research reveals that actual rates generally exceed organisations’ cost of capital – the so-called hurdle rate premium (HRP) puzzle. Allowing for bounded rationality of corporate decision-makers, the purpose of this paper is to mobilise the retrievability cognitive bias as one explanation of this paradox.

A systematic structuring and investigation of the legacy of eight scenarios, representing “correct” and “incorrect” decisions on “good” and “bad” proposals, is used to explain the inconsistency between normative capital investment theory and actual practice.

Decision makers’ cognitive processes based on informal perceptions, strengthened by the scope of formal post-audit routines, provide a plausible explanation why investment decision makers tend to systematically set hurdle rates too high.

The findings have still to be explored in more depth by fieldwork and experimental research.

The policy implications of this study are that corporate success could be enhanced by making executives aware of the HRP phenomenon and of its behavioural causes; also by including significant rejected investment proposals in the post-audit programme and communicating the opportunity cost of “false negative” decisions on proposals not adopted.

The paper provides a new explanation for a recognised phenomenon: Allowing for bounded rationality of corporate decision-makers, the paper applies research on a cognitive bias to the setting of the hurdle rate in investment appraisal.

The purpose of this paper is to analyze how corporations create social and economic value through corporate social entrepreneurial activities.

This paper employs a multiple case study approach. The selected cases cover companies that have a clear corporate social enterprise model in operation and address different prevailing social problems.

This study reveals that corporate social entrepreneurship (CSE) is driven by the environmental dynamics, organizational antecedents, and organizational outcomes. In addition, the authors found that CSE provides companies with both implicit and explicit strategic benefits. Based on the findings the authors propose an integrated model of CSE.

As all cases originate from India the authors cannot rule out the possibility that the conclusions are only valid for a certain institutional and socio-economical context.

The developed model is useful for companies operating in complex environments in developing markets as it provides recommendations on how to strengthen social and public legitimacy and earn returns on their business investments. Moreover, the developed model helps companies operating in antagonistic environments with prevailing social problems to position themselves favorably.

The study attempts to legitimize the practice of CSE by highlighting the positive financial, social, and political outcomes.

This study presents an integrated model of CSE in the Indian context and outlines how corporations can draw implicit and explicit benefits.

We explore the acceptance of new contingent work relationships in the United States to reveal an emergent entrepreneurial ideology. Our argument is that these new work relationships represent a new social order not situated in the conglomerates and labor unions of the past, but on a confluence of neo-liberalism and individual action situated in the discourse of entrepreneurialism, employability, and free agency. This new employment relationship, which arose during the economic and social disruptions in the 1970s, defines who belongs inside an organization (and can take part in its benefits) and who must properly remain outside to fend for themselves. More generally, the fusing of entrepreneurship with neo-liberalism has altered not only how we work and where we work but also what we believe is appropriate work and what rewards should accompany it.

The purpose of this paper is to explore how social need, social influence and convenience affect dependence on smartphones and purchasing behavior among university students in Pakistan’s emerging economy.

Survey methods and non-probability purposive sampling were used to collect data from 337 respondents, and structural equation modeling was used to test the hypothesis.

Overall the results provided evidence that social need, social influence and convenience significantly affect students’ dependence on their smartphones. A significant relationship also existed between students’ dependence on smartphones and their purchasing behavior.

The availability of 3G/4G mobile networks and the growth in smartphones’ computing power have meant that this form of mobile technology is in great demand. This study provides an exclusive viewpoint concerning students’ dependence on smartphones and the effect of this on their purchasing behavior, which is a subject that has not been covered previously in the Pakistani context.

The purpose of this paper is to examine the effects of workplace incivility on job satisfaction and employees’ turnover intentions in Indian work settings.

Data were collected randomly from 283 employees at various restaurants in the Northern and Western parts of India via the survey method and, thereafter, hierarchical regression analysis was performed to analyze the data.

The study established that moderate to high levels of workplace-incivility-related issues are present in India’s restaurant industry. Regression analysis further revealed that workplace incivility is negatively related to job satisfaction and positively related to employee turnover in the Indian context as well.

Relevant recommendations are presented to restaurant owners as well as HR practitioners that could curb unethical practices in Indian restaurants and promote civil behavior in the workplace.

Relevant extant studies have recognized that there is a need to study workplace incivility in different cultures to establish the global relevance of the subject. This research studied the impact of workplace incivility on job satisfaction and turnover intentions with respect to Indian employees.

The purpose of this paper is to investigate the relevance of credit supply for corporate capital structure decisions of manufacturing firms in Pakistan.

The implicit assumption in much of the work on capital structure is that for a firm, the availability of incremental capital depends solely on its characteristics. However, the capital market frictions suggest that suppliers of credit may also affect firms’ ability to borrow. The authors investigated this intuition by employing dynamic panel data estimators using 8,984 firm-year observations for the period 1990-2010.

The results show that short-term debt is a major source of financing in these firms. Further, credit supply plays a significant role in these firms’ capital structure decisions and hence, they increase their short-term debt (main financing source) with an increase in credit supply in the market while payoff their long-term debt with internal funds.

The findings of this study can enhance the practitioners’ and analysts’ understanding of capital structure of manufacturing firms in a bank dominated financial system, like Pakistan. Also, it can provide them more insight in understanding the alternative choices of financing and the reasons why firms prefer one over the other.

To the authors’ best knowledge, this is the first study in Pakistan that considers both supply-side as well as demand-side factors of capital structure and applies dynamic panel data techniques.

The purpose of this paper is to assess the significance of the Merton distance-to-default (DD) in predicting defaults for a sample of listed Indian firms.

The study uses a matched pair sample of defaulting and non-defaulting listed Indian firms. It employs two alternative statistical techniques, namely, logistic regression and multiple discriminant analysis.

The option-based DD is found to be statistically significant in predicting defaults and has a significantly negative relationship with the probability of default. The DD retains its significance even after the addition of Altman’s Z-score. This further establishes its robustness as a significant predictor of default.

The study re-establishes the utility of the Merton model in India using a simplified version of the Merton model that can be easily operationalized by practitioners, reasonably larger sample size and is done in a more recent period covering the post global financial crisis period. The findings could be valuable to banks, financial institutions, investors and managers.

The purpose of this paper is to explain the emergence of CSR in Afghanistan as a novel context in the South-Asian CSR debate.

The findings of the paper are based on case studies of four corporations in the Afghan mobile telecommunications industry. Multiple sources of qualitative data are coded according to the analytical framework of the paper to generate the findings.

The findings highlight that the Afghan national setting can be conceptualised as an “area of limited statehood” indicating the weak national institutional setting, which enables space for manoeuvring for non-state actors to play a pivotal role in business-society relations. The paper highlights that the CSR practices are driven by the multi-level organisational field that through a unique blend of global coercive, mimetic and normative pressures lead to convergence around explicit CSR themes.

The findings are based on CSR practices that are explicitly stated and do not include informal and/or implicit business-society practices in such contexts.

This paper combines the literature on areas of limited statehood and the neo-institutional theory to explain the emergence of CSR the Afghan mobile telecommunications industry. The paper advocates for a shift from a national setting focus to a multi-level institutional field lens in providing contextualised explanation of the emergence of CSR in developing countries.

The purpose of this paper is to look behind the veil of the concept of Gross National Happiness (GNH), which has been initiated by the fourth King of Bhutan as an alternative to the traditional development concept of gross national product, by analyzing it as an expression of a particular view of leadership originated in the philosophical tradition of Mahayana Buddhism and exploring its relevance for leadership of sustainable development and sustainable (business) organizations.

Review of literature on GNH in a historical and current context, linking it to trends and concepts in sustainability and leadership. Complemented by author’s observations on regular visits to Bhutan since 2003.

The GNH leadership view consists of a set of principles: first, interrelatedness of economy, society and eco-systems; second, the economy, society and eco-systems can flourish if their needs are served; third, governance is the agent for serving these needs by the creation of societal happiness; and fourth, societal happiness should include the enhancement of subjective happiness and well-being of people. By tracing these principles to the philosophy of Mahayana Buddhism, especially the Bodhisattva ideal, and comparing them to the principles driving sustainability, the paper argues that GNH leadership signifies an innovation in leadership for sustainability.

This paper examines how GNH leadership can be applied to organizational and business sustainability, and how it contributes to the emerging theory and practice of sustainability leadership.

The social relevance of the paper lies in the examination of how GNH leadership can be applied to organizational and business sustainability, and how it contributes to the emerging theory and practice of sustainability leadership.

The paper concludes that GNH leadership – as it corresponds to the principles driving sustainability – represents a new model for sustainability leadership.