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The purpose of this study is to determine if the Brazilian electricity sector is differently affected by the characteristics of the content in the regulatory legislation.

For better robustness of the research, the authors analyzed the period from 1995 to 2013, totaling 4,510 observations. To this end, the selection of regulatory legislation was conducted through Markov regime switching. To identify the characteristics of profile and intensity of regulatory content in each legislation, we applied the content analysis technique.

The main findings of this study position this research in the vanguard regarding other research in the area by showing that all regulatory measures whose characteristics denote market profile of strong and medium intensity affect the risk of electric utilities in Brazil. As contribution from this research, it can be hypothesized that for provisional measures/laws events, the profile and intensity of regulatory content are relevant and have different impact on the risk of stocks and, therefore, should be considered in the design and development of public policies.

The paper investigates by means of content analysis, the profile and intensity characteristics of the content present in the regulatory legislation and to present the impact of these characteristics on the risk of the electric energy Sector in Brazil. The research results showed that it is not all regulatory events that impact the stock market. Therefore, regulatory risk estimates must consider the intensity and scope of each legislation, given that legislation with a higher regulatory content that seeks to modify the sector’s operating rules more deeply tends to have a greater impact on the risk of companies that operate in regulated sectors. Therefore, the paper shows originality and evolution for the researchers in the area, with new and significant information.

The purpose of this study is to apply the institution-based view and resource dependence theory in arguing that perceived deficiencies in a legal service sector where a foreign subsidiary operates will influence the intensity of its political ties with actors in both the regulatory and legal arenas. The authors further theorized that these relationships will vary across governance environments.

The research context for this study was multinational enterprises (MNE) wholly owned foreign subsidiaries and international joint ventures (IJVs) operating in the Philippines and Thailand. Data for most variables in this study came from primary survey data collected in 2018 from senior managers of MNE WOSs and IJVs operating in the Philippines and Thailand.

The authors’ analysis of 352 foreign subsidiaries operating in the Philippines and Thailand show that, in a flawed democracy, perceived deficient legal services enhance the intensity of foreign subsidiary political ties with government actors in both the regulatory and legal arena. However, in a hybrid regime, perceived deficient legal services enhance only the intensity of foreign subsidiary political ties with government actors in the regulatory arena. The authors’ findings also suggest that the relationship between perceived deficiencies in legal service sector and the intensity of political ties is stronger for foreign subsidiaries that operate in heavily regulated industries across both a flawed democracy and hybrid regime. Conversely, the authors do not find the market orientation of these foreign subsidiaries to play a role in this process.

The authors’ study was unable to control for whether managerial perceptions of deficient legal services were well informed at the local or federal level. This issue raises the question of will the presence of an in-house legal department influence managerial perceptions with regard to deficiencies within a legal service sector? Based on these limitations, the authors suggest that future research can further extend political ties research by using a fine-grained analysis in investigating the antecedents of managerial perceptions of legal services within different legal jurisdictions.

The political ties literature has largely argued that political ties are more prevalent in environmental contexts comprising institutional voids as MNEs attempt to mitigate volatility associated with the lack of developed institutional infrastructure (e.g. Blumentritt & Nigh, 2002; Bucheli et al., 2018). However, the concept of institutional voids is very broad and still rather abstract in nature. Hence, scholars have yet to fully understand what types of institutional voids may drive MNE foreign subsidiary political tie intensity in varying governance contextsThe authors’ study attempts to contribute to this important line of research by investigating how one type of institutional void, namely, perceived deficiencies in the legal service sector, can influence the intensity of political ties in varying governance environments.

The purpose of this paper is to explore how sales compensation disclosure, salespeople’s perception of corporate social responsibility (CSR) toward customers (i.e. customer-focused CSR), regulatory knowledge and coworkers’ ethical behavior may influence life insurance salespeople’s moral intensity and intentions to engage in misleading sales behaviors.

The hypotheses are analyzed using partial least squares (PLS) regression with the data gathered from full-time life insurance salespeople in Taiwan.

The main findings indicate that disclosing sales compensations will alter the ethical decision-making process of life insurance salespeople. The findings further point out that customer-focused CSR is an important variable affecting moral intensity and ethical intentions.

There has not been any research on the effects of compensation disclosure on moral intensity and misleading sales behavior. The literature gap has led to a poor understanding of the relationship between the compensation disclosure policy and ethical sales behavior. Moreover, previous studies indicate that specific factors (such as moral intensity and ethical intention) are directly associated, while the research shows that as long as a regulatory policy (e.g. the policy of compensation disclosure) changes, the correlation between these variables may shift from significant to nonsignificant (or vice versa). The results are interesting enough to warrant more research, and they also show that the direct link between variables mentioned in previous research is not always stable or universal.

There is no conclusive whether environmental regulation is a constraint or an incentive to the production development. The purpose of this paper is to analyze the non-linear effects of environmental regulations on economic outcomes from the combined perspective of labor productivity and environmental regulation costs.

Under the assumption of maximizing the utility of residents and maximizing the profit of firms, this research introduces a mathematical model that incorporates the promotion effect of environmental regulations on labor productivity and the costs of environmental regulations. On this basis, the authors analyze the non-linear relationship between environmental regulations and economic outcomes theoretically. This paper also conducts an empirical test using the panel data of 28 provinces in China from 1998 to 2015 through threshold regression.

Theoretical analysis shows that environmental regulations impose both the environmental regulation cost effect and the compensation effect on the labor productivity enhancement. The ultimate impact of environmental regulation on economic outcomes depends on the comparison of these two effects. Under the different intensities of environmental regulation, the magnitude of these two effects may not be equal. The empirical results further confirm the nonlinear relationship between environmental regulations and economic outcomes.

Previous studies have neglected the role of environmental regulations in improving labor productivity. This work’s main contribution is to propose a novel framework to study the non-linear relationship between environmental regulation and the growth of economic outcomes from perspective of labor productivity and the costs of environmental regulations.

This study investigates how the degree of internationalization (DOI) affects the financial performance of emerging market companies by making the distinction between export intensity and multinationality (i.e. foreign direct investment). The authors argue that the different DOI-performance patterns in the literature relate to different internationalization approaches, which are moderated in distinct ways by formal institutions in the home country.

Based on data of Brazilian firms in several industries and with different internationalization patterns including 100 exporting firms and 30 multinational companies with varying degrees of multinationality over a period of five consecutive years, the authors test their hypotheses using an unbalanced panel data with 346 firm-year observations. In order to test how the quality of formal institutions moderate the DOI-performance relationships, the authors estimate the changes in the slope of the regression line by adding and subtracting one standard deviation to the Worldwide Governance Indicators (WGI) variables.

A positive and linear association between export intensity-performance (EI-P) highlights the location specific comparative advantages of exporting Brazilian firms, while the multinationality-performance (M-P) relationship points to a horizontal S-shape pattern which conforms to the theoretical assumptions of the three-stage internationalization process. Formal institutions moderate positively the EI-P relationship, but moderate negatively each of the three stages of the M-P relationship.

The findings from this study provide critical insights that contribute to the ongoing debate on how formal institutions in the home country affect the DOI-performance relationship of emerging market companies (EMCs). However, the authors consider that it has limitations as they focused exclusively on formal institutions captured by governance institutions in the Brazilian context.

This study provides relevant insights to managers and policy makers. Findings reveal that strong formal institutions in the home country make it easier (cheaper) for EMCs to invest abroad, and, at the same time, increase the efficiency of exporting firms and positively influence financial performance. Moreover, results show that during downturns in their domestic markets, multinational EMCs outperform domestic firms. In that sense, while policy makers can promote the internationalization and competitiveness of EMCs by implementing more supportive formal institutions, managers should consider a proactive approach and invest abroad when conditions in the home country are favorable.

By making the distinction between export intensity and multinationality this study contributes to the literature on the DOI-performance of EMCs providing a more nuanced view on how formal institutions in the home country moderate the EI-P and M-P relationships in different ways.

This paper aims to investigate the moderating effect of political instability and regulatory obstacles on the relationship between corruption and export intensity in the context of Tunisian small- and medium-sized enterprises (SMEs).

This study uses data from the World Bank Enterprise Survey (WBES). The sample consists of 537 Tunisian SMEs. The partial least squares method was used to analyse the data.

The direct effect of corruption on export intensity was found to be non-significant. It was significantly negative when corruption was combined with regulatory obstacles, whereas it was positive when corruption coexisted with political instability. Additional analyses revealed that results were sensitive to firm size (small versus medium) and sector of activity (service versus manufacturing).

This paper has some limitations related to the use of secondary data. Enhanced variable measurements and more detailed data collection are recommended for future studies.

This paper is useful to researchers and policymakers who are interested in understanding the effects of a poor institutional environment on SME exports in developing countries.

This paper considers the impact of corruption on the export intensity of SMEs in the presence of political instability and regulatory obstacles in Tunisia. To the best of the authors’ knowledge, the joint effect of these institutional variables on the exports of firms has not been examined in previous research.

Using arguments from the regulatory focus and upper echelons theories, this paper aims to examine the impact of a chief executive officer’s (CEO’s) regulatory foci (i.e. promotion and prevention focus) on small- and medium-sized enterprises’ (SMEs’) level of innovativeness and how these relationships are jointly moderated by intense competition.

The empirical analysis draws on survey data gathered from 257 SMEs in Ghana.

The study findings indicate that a CEO’s level of promotion focus positively affects the firm’s engagement in innovation, while a CEO’s prevention focus is negatively associated with the firm’s innovativeness. The positive association between a CEO’s promotion focus and a firm’s innovativeness is enhanced under conditions of intense competition. Additionally, the negative relationship between prevention focus and firm-level innovativeness is attenuated under intense competition.

This study relied on a single informant and also used subjective measures for the dependent variable. As such, individual respondents might have biased perspectives on firm-level product innovativeness. Future studies may use multiple informants to examine the causal links of the variables.

The study’s findings provide managers with a deeper understanding of how to achieve superior firm-level product innovation. The understanding of this issue can promote the development and maintenance of further entrepreneurial ventures in emerging economies.

The paper has a strong theoretical value as it pioneers research on the effect of CEOs’ regulatory foci on firm-level innovativeness in competitive environments.

The issue of environmental regulation and productivity has received increasing attention among academics, but little research has focused on Chinese firms despite the serious state of pollution in China. This study aimed to fill that gap. Analyzing a sample of firms from 12 Chinese cities, we found that environmental regulation could improve firm productivity, but the responses to environmental regulation differed across industry sectors, firm sizes, and locations. In this paper, we discuss the implications of these responses toward the environmental policy in China.

Drawing on the literature of eco-innovation and institutional theory, this research aims to answer two fundamental questions: Does eco-innovation improve or harm firm value in emerging markets? and How institutional environments moderate the relationship between eco-innovation and firm value? We explicate the regulatory, normative and cognitive pillars of institutions, manifested as regulation intensity, environmental agency pressure and public pressure, respectively.

For this study, a cross-sectional panel data set was assembled from multiple archival sources, including data coded from the corporate annual reports and social responsibility reports, statistical yearbooks, China Stock Market Financial Database (CSMAR) and other secondary sources. A hierarchical regression method was used to test the hypotheses. The data comprised 88 firms sampled over four years. The model using feasible generalized least squares (FGLSs) to control heteroscedasticity in errors due to unobserved heterogeneity was estimated.

Empirical findings from a data set compiled from multiple archival sources reveal that both eco-product and eco-process innovation negatively relate to firm value. The interactions between eco-innovation and regulation intensity, environmental agency pressure and public pressure are positively related to firm value.

First, this study extends the literature of eco-innovation by investigating the impact of eco-innovation on firm value. Contrary to the conventional anecdotal evidence of the beneficial effect of eco-innovation, it was found that eco-innovation relates negatively to firm value. Second, this study develops and tests an institutional contingent view of eco-innovation by accounting for the moderating role of regulatory, normative and cognitive pressures.

The purpose of this study is to integrate institutional theory with current research in corporate political strategy and political science to examine the relationship between organizations and regulatory agencies. It seeks to explore the limits of the power of the state to regulate organizations by comparing the historical timing of industry regulation of two different fields. It aims to examine two US regulatory agencies – the National Highway Traffic Safety Administration (NHTSA) and the Federal Aviation Administration (FAA).

The paper presents a longitudinal analysis of two US regulatory agencies that illustrates differences in agency responses to firm resistance. Specifically, event history analysis and maximum likelihood estimation are used to examine the impact that firms in the commercial airline and automobile industry have in the rule‐making process of the FAA and NHTSA.

Distinct differences were found between the rule‐making context of the airline and automobile industries.

The study focuses on the rule‐making context of two regulatory agencies. Examining additional agencies in future studies would help confirm the results of this study. Moreover, because the study is limited to regulatory agencies in the USA, the results may not be directly generalizable to other nations.

This study emphasizes the importance of historical context and its impact on current industry conditions, particularly in regulation.