Corporate Finance Commons^™

Female Ceos And Investment Efficiency In The Vietnamese Market, Jun Myung Song, Chune Young Chung

Sim Kee Boon Institute for Financial Economics

This paper proposes female CEOs’ overconfidence and risky behavior stem from gender stereotype threats. Using two subsamples from Vietnam—firms in the Northern and Southern regions—we empirically show that female CEOs in the North, where there is less gender stereotyping, tend to overinvest relative to male CEOs. However, in the South, they are indifferent. Additional analysis reinforces the main finding that female CEOs in the North tend to take more risks even when dealing with market volatility and uncertainty (e.g., the COVID-19 pandemic). Such risky behaviors do not deteriorate firm value but, instead, possibly improve firm performance.

Management Of Operations In Projects Including Planning, Organization And Control From The Beginning To The End Of Implementation, Burim Isa Berisha Dr.Sc

International Journal of Business and Technology

The project usually arises as soon as the client’s need is identified, and goes through all the extensive phases and sub-phases to take its true form and put into operation. The project is divided into two main parts that include Planning and Implementation that are separate in these stages: definition, planning, organization, control, completion. Planning involves a detailed calculation of the project. This includes known facts, admissible facts and risk calculation. Activity model used by IKOMs Planning as a process involves the cost that accompanies it. The manager must strike the balance between cost and benefit. Project control uses data …

Project Planning And Control, Burim Isa Berisha Dr.Sc

International Journal of Business and Technology

Operations management is important because it relates to the creation of products and services on which we are all dependent. Operations management is also quite motivating; operations are the center of many changes that affect business - changes in customer preferences, changes in the supply chain caused by technologies based on the businesses where we work, where we want to work and so on.

Operations Management includes the role of operations management, the various characteristics of processes, management activities, the responsibilities of managers, and the timely evolution of Operations Management.

Operations Management is a constant change, fostering creativity which allows …

Long-Term Auditor-Client Relationship And Its Effects On The Audit Quality, Burim Isa Berisha Dr.Sc

International Journal of Business and Technology

Apart from this, the long-term Auditor client relationship has been the center of attention in most of the discussions and debates as well. Numerous studies have been conducted by the academic researchers, financial and professional analysts, regulatory authorities and governing bodies, and in some cases by the Auditors and the firms as well regarding the effects of long-term Auditor-client relationship on audit quality, equity risk premium, financial reports quality, audit pricing etc. These studies provide us with different results, both with the positive and negative associations and effects of long-term Auditor-client relationship on the basis of different factors and contexts. …

Management Of Small Enterprises And Family Businesses In The Republic Of Kosovo, Burim Isa Berisha Dr.Sc, Burim Berisha B.B

International Journal of Business and Technology

Small businesses represent the driving force of an economy. They are the key that enables the production and marketing of thousands of products and services thus becoming the basis for a sound economic development. Consequently, small businesses are of vital importance to the economy.

Small business is a generator of innovation and a source of new jobs. The trend shows that small businesses are the backbone of all developments and movements in the economic system.

The small business scope is present in almost every pore of social and economic life.

According to the Statistical Register for Businesses, there are 9,358 …

The Process Of Adapting Innovations In Banking Services By Businesses In Kosovo, Burim Isa Berisha Dr.Sc, Burim Berisha B.B

International Journal of Business and Technology

This dissertation addresses the importance of a business model from businesses in Kosovo, which is able to adapt innovations from the banking sector such as digital services, and through which become part of a global market where such developments occur step by step. very fast At the beginning of this paper will be given definitions related to the main concepts that are addressed such as business model, innovations in banking services - digitalization of services and the role and importance of linking a business model with banking services of the time. After the theoretical part, from which the main concepts …

Agency Theory And Audit Quality, Burim Isa Berisha Bb

International Journal of Business and Technology

Auditing plays a vital role in reducing both: information asymmetry by empirically confi rming the validity of fi nancial statements and agency problems. The principal- agent confl ict illustrated in agency theory, where principal (owner) lack reasons to believe their agents (managers) because of information asymmetries and contradictory motives. Information asymmetry deals with the study of decisions in transactions where one party has more or superior information than other. Agents (either directors or auditors) may be trustworthy without further incentives to align interest or monitoring strategies such as audit or increased regulation. However, the simple agency model would recommend that …

Linking Green Innovation, Corporate Environmental Performance With Financing Constraints: A Sustainable Transition Towards Environmental Protection, Syeda Fizza Abbas, Iqra Tariq, Fareeha Waseem

Business Review

Purpose: Accessing different sources of finance becomes difficult when companies fail to take action towards environmental protection. Motivated by the theoretical propositions of stakeholder theory, this research investigates the impact of green innovation (GI) and corporate environmental performance (CEP) on financing constraints (FC) in the context of the most polluting industries of an emerging economy.

Methodology: The sample is based on 33 companies from the cement, chemical and fertilizer sectors of Pakistan for the period of 2017 to 2020. For data analysis, random effects and VCE Robust regressions models have been employed to explore the link between GI, CEP and …

Public Target Selection And Family Firms, Ezgi H. Ottolenghi

The Journal of Entrepreneurial Finance

We examine the relation between ownership structure and M&A target selection when family firms pursue public firm acquisitions. We find that family firm acquirers select targets that have lower Tobin’s Q relative to non-family acquirers. Our results suggest that family firms choose to acquire less glamorous targets against which they can better negotiate. The market reacts more positively to these family firm acquisitions at announcement and out to one year. It is family firm target selection skill along with negotiation skill that leads to the favorable market reception.

Investor Reaction To Spacs' Voluntary Disclosures, Vincent Castellani, Karl A. Muller, K.J. Park

Research Collection School Of Accountancy

SPACs are formed to combine with and provide a private firm public trading status and a capital infusion. Firms that enter the public market through a SPAC combination are believed to possess greater voluntary disclosure discretion than traditional IPOs as they obtain their public trading status through a merger. Consistent with regulators’ concerns, recent research finds that SPACs use this discretion opportunistically by issuing optimistic guidance. This study examines how investors respond to these disclosures. We find that optimistic projections increase retail purchasing, which is higher than that of institutional purchasing. Additionally, we find that investors partially see through the …

Big Data Analytics And Management Forecasting Behavior, Beng Wee Goh, Na Li, Tharindra Ranasinghe

Research Collection School Of Accountancy

This paper investigates whether the use of Big Data analytics by firms has a spillover effect on management forecasting behavior. Insights provided by Big Data could potentially improve firms’ ability to forecast earnings (supply channel) and investor demand for earnings information is likely higher for firms engaging in data analytics (demand channel). Using a text-based measure of firms’ commitments to and usage of Big Data analytics, we find that Big Data analytics usage is positively associated with the propensity to issue management earnings forecasts. Consistent with the “supply channel” explanation, we find that Big Data analytics usage is positively associated …

Shrinking Factor Dimension: A Reduced-Rank Approach, Ai He, Dashan Huang, Jiaen Li, Guofu Zhou

Research Collection Lee Kong Chian School Of Business

We propose a reduced-rank approach (RRA) to reduce a large number of factors to a few parsimonious ones. In contrast to PCA and PLS, the RRA factors are designed to explain the cross section of stock returns, not to maximize factor variations or factor covariances with returns. Out of 70 factor proxies, we find that five RRA factors outperform the Fama-French (2015) five factors for pricing target portfolios, but performs similarly for pricing individual stocks. Our results suggest that existing factor proxies do not provide enough new information at the stock level beyond the Fama-French (2015) five factors.

The Information In Asset Fire Sales, Sheng Huang, Matthew C. Ringgenberg, Zhe Zhang

Research Collection Lee Kong Chian School Of Business

Asset prices remain depressed for years following mutual fund fire sales, but little is known about the causes of these price drops. We show that asymmetric information generates price pressure during fire sales. We separate trades into expected trades, which assume fund managers scale down their portfolio, and discretionary trades. We find that discretionary trades contain fundamental information, whereas expected trades do not. Moreover, other traders cannot distinguish between discretionary and expected trades. Our findings help explain the magnitude and persistence of fire sale discounts: fund managers choose which assets to sell, and information asymmetries make it difficult for arbitrageurs …

Trade Openness In China’S Economy: A Review Study, Joseph Asante Darkwah, David Boohene

Interscience Management Review

Trade openness has been established and documented to foster economic growth and development. However, this is coupled with problems. In this light, this paper employs a qualitative approach to review the relationship between trade openness and Foreign Direct Investment (FDI) inflow, Economic growth and carbon dioxide (CO2) emissions using China as the case study. The study revealed that trade openness has its benefits as well as its problems. That is, trade openness significantly influences economic growth, FDI, and the emission of CO2 in the atmosphere in China. Consequently, CO2, FDI, and economic growth are significantly influenced by China's level of …

Cultural Distance And Momentum Effect—The Case Of Cross-Listed Companies In The United States, Ling Liu

Doctoral Dissertations (DBA)

This paper examines the momentum effect in U.S. cross-listed companies, exploring the relationship between cultural distance and momentum portfolio formation, and how cultural distance affects momentum portfolio returns for US cross-listed firms. The study selects cross-listed companies from January 2001 to December 2022 and create momentum portfolios (Chui, Timan, & Wei, 2010) to test the momentum effect of cross-listed companies in the United States. The cultural distance for cross-listed companies is then calculated using the within-group cultural diversity method (Frijns, Dodd, & Cimerova, 2016) and the Hofstede (2001) dimensional method to find the momentum effect in cultural distance sorted groups. …

Virtual Currencies And Intrapreneurial Coordination, Martin Sibileau

Journal of New Finance

Managers of conglomerates or companies with multiple business units are, like central planners in socialist countries, unable to perform economic calculation. These units exchange goods and services internally based on transfer prices, not market prices, and it is hard to ascertain the value contributed by management, which is often hired and rewarded based on political considerations. Innovation is also often unwelcome, as it may challenge privileges of executive management. Until 2016, conglomerates lacked the technology to benefit from economic calculation. In this paper, I propose that a blockchain platform supporting an internal virtual currency enables economic calculation inside conglomerates, unlocking …

When Do Corporate Good Deeds Become A Burden? The Role Of Corporate Social Responsibility Following Negative Events, Changhyun Kim, Yoonseok Zang, Heli Wang, Kate Niu

Research Collection School Of Accountancy

This study investigates the differential roles of corporate social responsibility (CSR) in the context of negative events. By categorizing CSR and negative events by their respective stakeholder groups, primary and secondary stakeholders, we theorize and test differential impacts of CSR and their interaction effects with different types of negative events. We propose that, while CSR toward secondary stakeholders offers the monotonous risk-tempering effect, CSR toward primary stakeholders has heterogeneous effects when facing negative events. Specifically, the effect of CSR toward primary stakeholders varies with the type of negative events. When negative events are associated with secondary stakeholders in the domain …

Budgeting And Cataloging Enhancement For Small And Medium-Sized Enterprises Towards Sustainable Development Goals, Velicia Faustine Halim, Hasnul Suhaimi

Journal of Environmental Science and Sustainable Development

This paper describes a business coaching activity for small and medium enterprises (SMEs) in chemical and waste management industries. Based on the analysis results, there was a lack of budgeting practice and suboptimal catalog marketing that comprised the majority of existing problems in SMEs. This research aims to assist the SME in improving its budgeting practice and product catalog. The method used is a qualitative method based on a business coaching approach. The research instruments adopted included in-depth individual interviews (IDI). The collected data was then processed and analyzed, starting with generating the SME's business process and service blueprint, followed …

Insider Trading And Corporate Spinoffs, Charlie Charoenwong, Kuan Yong David Ding, Jing Pan

Research Collection Lee Kong Chian School Of Business

This paper studies insider trading to examine undervaluation as a motive behind corporate spinoffs. We show an unmistakable increase (decrease) in the number of insider purchases (sales) and net purchases (sales) in the four quarters prior to a spinoff announcement. In addition, relative to a benchmark period, insider selling is significantly lower, and their net purchases significantly higher, in the three quarters prior to a spinoff announcement compared to other periods. We find that announcement period excess returns for abnormal net insider purchases are significantly higher than excess returns for abnormal net insider sales. Moreover, only firms with abnormal net …

Initiation Payments, Scott Hirst

Faculty Scholarship

Many of the central discussions in corporate governance, including those regarding proxy contests, shareholder proposals, and other activism or stewardship, can be understood as a single question: Is there under-initiation of corporate changes that investors would collectively prefer?

This Article sheds light on this question in three ways. First, the Article proposes a theory of investor initiation, which explains the hypothesis that there is under-initiation of collectively-preferred corporate change by investors. Even though investors collectively prefer that certain corporate changes take place, the costs to any individual investor from initiating such changes through high-cost proxy contests, or even low-cost shareholder …