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This study investigates the relationship between bank capital and liquidity creation and further examines the effect that institutional quality has on this relationship in Sub-Saharan Africa (SSA).

The data comprise 41 universal banks in nine SSA countries from 2010 to 2022. The study employs the two-step system generalized methods of moments and further uses alternative estimators such as the fixed-effect and two-stage least squares methods.

The empirical results show that bank capital has a direct positive and significant effect on liquidity creation. In addition, the positive effect of bank capital on liquidity creation is enhanced, particularly in a strong institutional environment. The results imply that nonconstraining capital regulatory policies bolster bank solvency, improve risk-absorption capacity and increase liquidity creation.

This study has several policy implications. First, it provides empirical evidence on the position of banks in SSA on the financial fragility and risk-absorption hypothesis of bank capital and liquidity creation debates. This study shows that the effect of bank capital on liquidity creation in SSA countries is positive and supports the risk-absorption hypothesis. Second, this study highlights that a country's quality institutions can complement bank capital to increase liquidity creation. In addition, this study highlights that nonconstraining capital regulatory policies will bolster bank solvency, improve risk-absorption capacity and increase liquidity creation.

The novelty of this study is that it introduces the country's quality institutional environment into bank capital and liquidity creation links for the first time in SSA.

The choice between different financing sources is governed by a number of finance theories, particularly, trade-off theory and pecking order theory. However, the special characteristics of Islamic finance, which forces the exclusion of conventional bonds, leave Islamic banks with limited number of alternatives. Tier 1 sukuk are distinguished type of sukuk that combines the features of conventional bonds and stocks. This paper aims to answer the following question: Does the issuance of Tier 1 sukuk positively affect Islamic banks’ profitability or is their impact concentrated on enhancing Islamic banks’ capital adequacy ratios?

The data set used in this study consists of all United Arab Emirates (UAE) Islamic banks that issued Tier 1 sukuk over the period 2010–2020. Pooled and fixed effects panel regressions of Tier 1 sukuk and other control variables on three proxies of Islamic banks’ profitability were run. The selection of fixed-effect model is based on Hausman test, redundant fixed effects and likelihood ratio test.

This study reveals novel findings. Tier 1 sukuk increases both earnings per share (EPS) and capital adequacy ratios. That is, this study finds that there is a positive significant impact of Tier 1 sukuk on EPS, which indicates that issuing more Tier 1 sukuk will generate more return to shareholders in terms of higher EPS because of the lower cost of Tier 1 sukuk compared to equity. However, this study finds that there is an insignificant impact of Tier on sukuk on both return on assets and return on equity. Hence, it is concluded that Tier 1 sukuk does not increase the risk appetite of UAE Islamic banks.

Tier 1 sukuk is a niche instrument that has been recently used by Islamic banks. Hence, there are a limited number of Islamic banks that have issued this type of sukuk and consequently limited number of observations. Therefore, with the increased use of this instrument, a larger set of data will be available for examination. In addition, future research could examine the relationship between issuing Tier 1 sukuk and profitability in other countries where such sukuk have loss absorption feature. The impact of other types of sukuk, such as liability sukuk, on Islamic banks’ profitability could also be an interesting field of study.

This study recommends Islamic banks to issue more Tier 1 sukuk to enhance their profitability indicators while meeting Basel III accord. This study also recommends investors to purchase the stocks of Islamic banks that issue Tier 1 sukuk because they are able to offer them higher EPS. The authors advise the UAE regulators to allow Islamic banks to issue Tier 1 sukuk with loss absorption feature to enable Islamic banks engage in more risky activities that usually provide larger profits. This study also suggests that the Islamic Financial Services Board (IFSB) reclassifies Tier 1 sukuk, with loss absorption feature, within the highest quality of capital, common equity Tier 1, to encourage Islamic banks to issue this type of sukuk, especially Basel III accord and IFSB 15 require higher ratios of common equity Tier 1 to risk-weighted assets.

This research contributes to the existing literature in two ways. First, it adds to the existing literature on the impact of sukuk on Islamic banks profitability. That is, contrary to prior studies that merely investigate the impact of issuing ordinary sukuk on profitability, this study explores a distinguished type of sukuk, that is Tier 1 sukuk, that has been surprisingly ignored so far. Second, this study shows that it is not only capital adequacy ratios that have improved as a result of issuing Tier 1 sukuk but also Tier 1 sukuk reduce the cost of capital of UAE Islamic banks which has been reflected in a higher profitability proxied by EPS. Hence, these sukuk serve a dual function for Islamic banks by improving both capital adequacy and profitability ratios.

Despite the promising development and marketing potential of the metaverse, our understanding of how realistic metaverse environments impact user engagement and behaviours remains limited. This study investigates the role of perceived realism in influencing user engagement, thereby affecting external search behaviour and visit intentions.

We surveyed 270 active metaverse users to test the research model. The data were analysed using partial least squares structural equation modelling (PLS-SEM).

The results of our study show that three dimensions of realism – avatar involvement, perceptual pervasiveness and social realism – significantly enhance user engagement, which in turn influences external search behaviour and visit intention. In contrast, simulation realism and freedom of choice have minimal effects on absorption and dedication.

This study highlights the role of perceived realism in enhancing user engagement with the metaverse and its impact on physical world behaviours. It contributes to metaverse literature by demonstrating that engagement within the metaverse significantly influences physical world behaviours, including visit intentions and external search behaviours.

This study offers practical guidance for developers to enhance user engagement in metaverse environments. Specifically, our findings advocate for visual and audio quality enhancements, greater persuasiveness of virtual spaces, improved avatar representativeness and a closer alignment of metaverse activities with real-life events.

This study advances the theoretical understanding of perceived realism by examining how its dimensions – such as visual and audio quality, avatar representativeness and alignment with real-life events – impact user engagement in the metaverse. It also explores how this engagement influences offline behaviours, thus bridging the gap between virtual and real-world interactions.

The functionalities of tourist destinations as regional innovation systems (RIS) still show substantial deficits. Especially for destinations in developing countries (DC), this incurs a wicked problem when it comes to unfolding the potentials of tourism for social innovation and sustainable regional development. Determining factors for these weaknesses are manifold, complex, multi-causal and prone to inherent system-dynamics making it difficult for destination management organisations to proactively monitor and control them in the long term. Backed by empirical comparative findings from rural destinations in Azerbaijan and Ecuador, this chapter tracks down selected major drivers of this wicked problem both from a monocausal-linear and multi-causal-dynamic analytical perspective. As a primary outcome, a set of suitable indicators will be presented to serve as a monitoring framework for a social innovation governance of DC destinations.

Foreign subsidiaries of multinational enterprises (MNEs) operate in complex and competitive international environments, implement market and non-market strategies, manage resources and value-added activities and contribute to the overall performance of their parent firms. Thus, the research question on the determinants of MNE foreign subsidiaries’ performance is of interest to managers and academic researchers. The empirical literature has flourished over the recent decades; however, the domains are fragmented, and the findings are inclusive. The purpose of this study is to systematically review, analyse and synthesize the empirical articles in this area, identify research gaps and suggest a future research agenda.

This study uses the qualitative content analysis method in reviewing and analysing 150 articles published in 24 scholarly journals during the period 2000–2023.

The literature uses a variety of theoretical perspectives to examine the key determinants of subsidiary performance which can be grouped into six major domains, namely, home- and host country-level factors; distance between home and host countries; the characteristics of parent firms and of subsidiaries; and governance mechanisms (the establishment modes and ownership strategy, subsidiary autonomy and the use of home country expatriates for transferring knowledge from the headquarters and controlling foreign subsidiaries). A range of objective and subjective indicators are used to measure subsidiary performance. Yet, the research shows a lack of broader integration of theories and presents inconsistent theoretical predictions, inconclusive empirical findings and estimation bias, which hinder our understanding of how the determinants independently and jointly shape the performance of foreign subsidiaries.

This study provides a comprehensive, nuanced and systematic review that synthesizes and clarifies the determinants of subsidiary performance, offers deeper insights from both theoretical, methodological and empirical aspects and proposes some promising avenues for future research directions.

This study aims to explore and empirically test variables influencing material delivery schedule inaccuracies?

A mixed-method case approach is applied. Explanatory variables are identified from the literature and explored in a qualitative analysis at an automotive original equipment manufacturer. Using logistic regression and random forest classification models, quantitative data (historical schedule transactions and internal data) enables the testing of the predictive difference of variables under various planning horizons and inaccuracy levels.

The effects on delivery schedule inaccuracies are contingent on a decoupling point, and a variable may have a combined amplifying (complexity generating) and stabilizing (complexity absorbing) moderating effect. Product complexity variables are significant regardless of the time horizon, and the item’s order life cycle is a significant variable with predictive differences that vary. Decoupling management is identified as a mechanism for generating complexity absorption capabilities contributing to delivery schedule accuracy.

The findings provide guidelines for exploring and finding patterns in specific variables to improve material delivery schedule inaccuracies and input into predictive forecasting models.

The findings contribute to explaining material delivery schedule variations, identifying potential root causes and moderators, empirically testing and validating effects and conceptualizing features that cause and moderate inaccuracies in relation to decoupling management and complexity theory literature?

This research relied on the broaden-and-build (B&B) theory to explore emotional predictors for curiosity-related differences in daily engagement and contextual performance. We tested a moderated mediation model, arguing that daily positive emotions would be related to daily work engagement and contextual performance.

A total of 586 participants participated in a five-day diary study (n = 2379).

Multi-level modeling showed that, at the person level of analysis, daily positive emotions were significantly and positively related to daily work engagement and, in turn, daily performance. At the daily level of analysis, the mediation model was moderated by curiosity, such that it became stronger for individuals who scored higher on curiosity.

These findings make relevant theoretical contributions to understanding the power of curiosity for daily emotional dynamics in organizations. Compared to traditional between-person variables, these results also expand knowledge on within-person processes that explain daily work engagement and contextual performance. In sum, this study shows that “curiosity does not kill the cat”; instead, it makes it productive.

Manufacturers face various challenges and risks during their digital servitization (DS), due to the complexity caused by introducing breakthrough technologies, increasingly complex product-service solutions and new stakeholders in the business network. The process necessitates the implementation of various changes that usually happen over a long period of time. Using complexity management as a theoretical lens, this paper delves into manufacturers’ DS journeys and explores how manufacturers manage the associated complexities.

This paper investigates the DS journey of two manufacturers in a longitudinal case study from 2014 to 2021.

Three main complexity management actions during the DS journey were identified: shaping the digital service system, shaping the organization and shaping the network. Tied to different types of complexities, these actions demonstrate how manufacturers navigate their journey. The findings also reveal different complexity management approaches used at the different stages of this journey.

This paper offers a comprehensive framework for understanding complexity management in the DS journey, including the types of complexities, complexity management actions and complexity management approaches and their rationale. This paper shows that different requirements are created during emerge, consolidate and evolve stages of the DS journey. Manufacturers need a dynamic approach that considers changes in complexities and actions over time.

This study aims to investigate the work experience of women in hospitality with the job demands-resources (JD-R) theory. By focusing on job resources, job demands (emotional and physical), work engagement, emotional exhaustion and turnover intention, this study examines (1) female workers’ perceptions of these variables; (2) how race, age and job positions affect perceptions and (3) structural relationships among these variables.

The study collected 412 responses from American female hospitality workers via an online survey. Descriptive statistics and independent T-tests were conducted using SPSS to analyze professional experiences and differences based on individual characteristics. Path analysis was conducted using Amos 28 to assess the structural relationships among variables.

Female hospitality workers generally feel engaged, experience low emotional exhaustion and have low turnover intention. Younger or front-line women reported higher emotional exhaustion, lower engagement and greater likelihood to quit. Unexpectedly, emotional resources do not significantly affect work engagement, but physical resources increase it.

The study provides directions to establish specific well-being and organizational support initiatives to retain female hospitality workers.

This study offers fresh insights into the JD-R theory by examining the experiences of American female hospitality employees using a non-comparative lens. Although existing literature highlights women’s unfavorable positions relative to male counterparts, this study reveals rather positive perspectives. Additionally, it presents a dual psychological process of how job resources and demands affect women’s work experience and the varying impacts of job demands on work engagement.

Drawing on the time compression diseconomies perspective and business network theory, this study examines how the international expansion of a business group’s pace, scope and rhythm affects its performance.

Panel data (1999–2013) from the top 100 Taiwanese business groups investing in globalization were collected.

The results show that international pace and rhythm have an inverse U-shaped relationship with business group performance, while the relationship between international scope and business group performance is U-shaped. This study highlights that international expansion is multidimensional and nonlinear and that the factors that shape nonlinear relationships between international processes and performance are different. Furthermore, family group involvement positively moderates the link between international scope and performance and negatively affects the relationship between international pace and performance. However, no significant effect is observed between rhythm and performance. High family business group involvement mitigates the impact of outsiders’ liability and managerial costs; moreover, it enhances the positive effects of location-specific advantages and business network resources.

This study combined the time compression diseconomies perspective and business network theory to explain why and how internationalization may not always lead to good performance by examining the effects of different international expansion processes and the interactive effect of family group involvement.