Business Commons^™

The Effects Of Eps Level And Presentation Format Of Analysts’ Forecast Deviation On Non-Professional Investors’ Investment Judgments, Clarence Goh, Prasart Jongjaroenkamol, Poh-Sun Seow

Research Collection School Of Accountancy

We experimentally investigate how the presentation format of the extent to which a firm's earnings per share (EPS) diverges from analysts' EPS forecasts (i.e. deviation information) and a firm's EPS level affect the investment judgments of non-professional investors (referred to hereafter as “investors”). Our results suggest that investors' investment judgments are more positive when firms with low (high) EPS levels disclose deviation information in percentage (absolute) terms. Furthermore, when the percentage of forecast deviation is held constant, investment judgments are more positive when EPS levels are high versus low if the deviation information is expressed in absolute terms. By contrast, …

How Leaders Build Employee Trust In Artificial Intelligence: Voice Opportunities, Humility, And Trust Transfer, Jack Mcguire, David De Cremer, Devesh Narayanan

Research Collection Lee Kong Chian School Of Business

Artificial intelligence is increasingly central to organizational work, yet employee trust in AI remains fragile. Although prior research has primarily explained trust in AI through technological characteristics such as transparency, reliability, and accuracy, we argue that trust in AI is also shaped by the social context in which employees encounter these systems. Drawing on affect-as-information theory and social information processing theory, we develop and test a model in which leader-provided voice opportunities reduce employees’ negative affect about AI-related work experiences, thereby enhancing perceptions of leader trustworthiness and, in turn, trust in AI. We further propose that this indirect effect depends …

Generative Ai Adoption And Solvers' Popularity On Supply-Driven Crowdsourcing Platforms: The Dual Role Of Price Signals, Zimeng Zhu, Carol Hsu, Fiona Fui-Hoon Nah, Na Liu

Research Collection School Of Computing and Information Systems

Purpose – We investigate the effect of solvers’ adoption of Generative AI (GenAI) on their popularity in a supply-driven crowdsourcing platform. We also examine the impact of price signals as well as their heterogeneous impact based on the solvers’ membership duration on the platform. Design/methodology/approach – Our analysis focuses on solvers who adopt GenAI for design-related gigs on the supply-driven crowdsourcing platform. By combining propensity score matching (PSM) with multi-period difference-in-differences (DID), we examine how GenAI adoption impacts solvers’ popularity and how price signals affect this main effect. Findings – Our findings reveal that solvers who adopt GenAI tend to …

Scalable Growth In High-Contact, On-Site Service Firms: Ambidextrous Competitive Logics And A Dual-Governance Mechanism Of Replication Quality, Wei Han

Dissertations and Theses Collection (Open Access)

This dissertation examines how high-contact, on-site service firms scale up. The central challenge is the stable reproduction of a recognizable service template across dispersed branches under customer heterogeneity, frontline discretion, relationship continuity, and local capacity pressure. Replication quality is defined as the branch-level stability of the service promise, execution rhythm, and exception-handling logic. It is measured directly through retention outcomes and service-failure outcomes, which capture continued acceptance of the service promise and visible breakdowns in service delivery.

The theoretical argument centers on two ambidextrous competitive logics. Local responsiveness requires branches to adapt service timing, provider matching, communication, and recovery work …

Human Capital Disclosure And Labor Market Outcomes: Evidence From Regulation S-K, Jung Ho Choi, Dan Li, Daniele Macciocchi

Research Collection School Of Accountancy

We examine the labor market consequences of the 2020 Regulation S-K requiring human capital disclosure in 10K filings. Using large-sample job-level data and a Generative Large Language Model (GLLM), we observe that public firms subject to the regulation increase their disclosure of diversity, equity, and inclusion (DEI) information in job postings relative to a matched sample of large private firms. The increase in job-posting disclosure is more pronounced among firms facing greater external pressure to increase their workforce diversity. These findings suggest a shift in demand for diverse candidates by public firms following the regulation. Yet, consistent with short-term inelastic …

Heroclix®: A Multiplayer Chess Game For Teaching The Fundamentals Of Human Capital Management, Chin Heng Low, Jiunwen Wang, Paul Lim, Bernie Koh

Research Collection Lee Kong Chian School Of Business

This article describes the adaptation and use of the HeroClix® board game to teach critical real-world principles for effective human capital management within teams. In a HeroClix® game, players pit their team of miniature figurines against other players’ miniatures in combat. This is akin to organizations striving in the business environment today, with well-structured human capital within their teams as a key competitive advantage. In this article, we suggest how the game can be applied in the classroom for undergraduate students to experience, reflect on, and learn more about the prerequisite considerations in proficient people management, the dynamic nature of …

Bank Competition Amid Digital Disruption: Implications For Financial Inclusion, Erica Xuewei Jiang, Gloria Yang Yu, Jinyuan Zhang

Research Collection Lee Kong Chian School Of Business

We examine how digital disruption affects bank competition using the staggered rollout of 3G mobile networks. 3G expansion increased mobile banking adoption among tech-savvy households, reducing branch networks—especially in younger counties. Banks' strategies diverged: Less branch-reliant banks closed branches and competed on price, while more branch-reliant banks maintained branches but raised spreads. A structural model shows that perceived digital service improvements among younger consumers drove these shifts, reducing welfare for older savers. Counterfactuals demonstrate that subsidizing adoption for older savers can cost-effectively reduce these disparities, facilitating a smoother digital transition.

Promotion Architecture: A Deal Fairness Model Of Restricted Price Promotions, Shangwen Yi, David Hardisty, Dale Griffin, Thomas Allard

Research Collection Lee Kong Chian School Of Business

This research examines the effectiveness of two common types of restricted price promotions: threshold promotions (conditional on spending more than a threshold amount; e.g., “Get $5 off on orders of $10 or more”) and capped promotions (limited to a maximum dollar value; e.g., “Get 50% off, up to $5 per order”). Results from seven pre-registered studies, including one field study, show that threshold promotions lead to higher purchase intentions and conversion rates (but potentially lower purchase amounts) than comparable capped promotions—even though capped promotions are equivalent in maximal economic savings for the consumer—when the trigger value (the spending amount at …

Gaming The Marketplace: Consumer Opportunism And Beliefs About Societal Hierarchy, Shilpa Madan, Aparna Labroo, Constantine S. Katsikeas

Research Collection Lee Kong Chian School Of Business

Consumers often behave opportunistically, taking more than what fair marketplace exchange warrants (e.g., taking excess samples, returning used items). While each individual transgression may be minor, cumulatively they can undermine firm profitability. Thus, addressing consumer opportunism is an important managerial concern. We identify a novel antecedent of consumer opportunism: consumers’ acceptance of societal hierarchy (i.e., power distance belief [PDB]), including firms’ higher position in it than consumers. Nine studies (plus two supplementary studies) employing archival, correlational, and experimental data provide converging evidence that, in marketplace interactions, this belief evokes a need to feel clever (i.e., to feel smart and knowledgeable …

Definitions And Mathematical Models Of Op Variants, Pieter Vansteenwegen, Aldy Gunawan

Research Collection School Of Computing and Information Systems

We have described the basic orienteering problem (OP) in Chap. 2, as one known variant of the single vehicle routing problems with profits (VRPP). In this chapter, we introduce the best-known variants of the OP. The first one is the team orienteering problem (TOP). In the TOP multiple routes can be composed to visit a subset of customers. In the context of the game of orienteering, the TOP corresponds to several players of the same team, each collecting profits in parallel, during the same time span. Another well-known variant of the basic OP is the OP with time windows (OPTW), …

The Power And Peril Of Awe In Leadership: Transforming Follower Identity And Behavior, Jack Mcguire, Daniel Mcallister, Jochen Menges, David De Cremer

Research Collection Lee Kong Chian School Of Business

Awe is a profound emotion that has captured significant attention within psychological research. While the potential for leaders to inspire awe in followers has received some recognition, systematic research on the nature and effects of awe in leadership—and within organizational contexts more broadly—remains limited. In this article, we offer a conceptual framework that explains the multifaceted and transformative nature of leadership through the power of awe. Specifically, we identify four leader behaviors—charismatic leadership tactics, exceptional performance, problem reframing, and self-sacrificial behavior—that elicit awe among followers. We further propose three variants of awe-inspiring leaders, describing how variation in a leader’s self-construal …

Integrated Optimization Of Farmland Cultivation And Fertilizer Application: Implications For Farm Management And Crop Production, Onur Boyabatli, Lusheng Shao, Yangfang (Helen) Zhou

Research Collection Lee Kong Chian School Of Business

Motivated by the fresh produce industry, this paper studies a farmer’s joint cultivation and fertilizer (a representative farm input) application decisions facing uncertainties in yield, crop price, and harvesting cost where the latter two are yield dependent and yield is stochastically increasing in the fertilizer application rate. We develop a two-stage stochastic model of a farmer growing a commodity crop in a single season to maximize the expected profit. We then use the model to evaluate the optimal expected harvest volume (a measure of crop production). Our analytical analysis is complemented with numerical experiments calibrated to data. We characterize how …

Operational Agency: A Permeable Legal Fiction For Tracing Culpability In Ai Systems, Anirban Mukherjee, Hannah H. Chang

Research Collection Lee Kong Chian School Of Business

Modern artificial intelligence (AI) systems act with a high degree of independence yet lack legal personhood—a paradox that fractures doctrines grounded in human-centric notions of mens rea and actus reus. This Article introduces Operational Agency (OA)—a permeable legal fiction structured as an ex post evidentiary framework—and Operational Agency Graph (OAG)—a tool for mapping causal interactions among human actors, organizations, and AI systems. OA evaluates an AI’s observable operational characteristics: its goal-directedness (as a proxy for intent), predictive processing (as a proxy for foresight), and safety architecture (as a proxy for standard of care). OAG operationalizes that analysis by embedding these …

Income Tax Over-Withholding And Household Investment Decisions, Xi Novia Chen, Jungbae Kim, Ben Lourie, Chenqi Zhu

Research Collection School Of Accountancy

Over three-quarters of U.S. taxpayers over-withhold taxes, leading to tax refunds. This study explores how over-withholding impacts stock investments by comparing individuals' investment patterns from wages and tax refunds. We find that while some portion of tax refunds are promptly invested, the investment rate is lower than that of wages. This suggests that over-withholding, which alters the label and timing of wages into refunds, influences investment behavior. Our cross-sectional analysis indicates that the differential propensity to invest wages versus tax refunds are more pronounced for individuals with automatic investment setups and lower financial sophistication. These findings underscore the importance of …

Beyond Earnings Quality: Evaluating The Quality Of Corporate Disclosure Practices, Patricia M. Dechow, Weili Ge, Wei Ting Loh

Research Collection School Of Accountancy

We propose a framework to assess the decision-usefulness of heterogeneous disclosure practices that managers use to convey information to market participants. We illustrate an application of our framework to non-GAAP earnings, management earnings guidance, and earnings conference calls. We first identify key quality attributes for each disclosure practice and then develop a list of quality metrics that we apply to a small pilot sample. We focus on metrics that are easily measured in real time and discuss the practical challenges of conducting assessments of disclosure quality at the firm-quarter-disclosure level. Our descriptive analysis provides preliminary insights into whether and how …

Using Individual Vs. Group Evaluation To Incentivize Effort For Heterogeneous Groups, Prasart Jongjaroenkamol

Research Collection School Of Accountancy

This study uses an analytical model to examine how individual and group performance evaluations affect motivation among agents with different abilities. While group evaluations encourage collaboration, they also introduce uncertainty. The results reveal a non-monotonic relationship between the weight assigned to group evaluations and motivation: motivation increases at moderate weights but decreases when the weight is too low or high. The study also identifies the optimal weighting between evaluation types to maximize motivation and examines factors influencing these allocations. These insights demonstrate how evaluation design shapes effort incentives and inform performance measurement and assessment practices in organizational and educational contexts.

The Due Diligence That Investors In Family Businesses Must Not Skip, Yuanto Kusnadi, Kenneth T. Goh

Research Collection School Of Accountancy

In a commentary, SMU Associate Professor of Accounting (Education) Yuanto Kusnadi and Kenneth Goh, Director of Private Wealth Management at UOB Kay Hian, opined that minority shareholders should understand the specific risks highlighted in company filings. They noted that the greatest risk of investing in a family-controlled company lies not only in its business performance, but also in how controlling families exercise their influence. While Singapore's regulatory framework provides safeguards for minority shareholders, these protections are not foolproof. However, they require significant transactions to be disclosed and give minority shareholders a voice, provided they review the circulars and exercise their …

Patent Regime Shift And Firm Innovation Strategy: Evidence From The Second Amendment To China's Patent Law, Tony W. Tong, Wenlong He, Liang Chen, Zi-Lin He, Jiangyong Lu

Research Collection Lee Kong Chian School Of Business

Research Summary: While changes in intellectual property rights (IPR) protection significantly shape firm innovation, the mechanisms driving firms' responses remain poorly understood. Leveraging the Second Amendment to China's Patent Law, which strengthens appropriability particularly for state-owned enterprises (SOEs), as a natural experiment, we show that stronger IPR has mixed effects on SOEs' innovation. While SOEs increase the rate of innovation subsequent to the Amendment, they shift the direction of innovation toward more familiar areas in which they face a lesser need to adjust existing routines. This directional change suggests a quality decline in SOEs' innovation that may be attributed to …

Through The Lens Of Clarity: Perceived Organizational Tightness Boosts Creativity For Men, But Not For Women, Grace J. H. Lim, Roy Y. J. Chua

Research Collection Lee Kong Chian School Of Business

A commonly held perspective in the cultural tightness literature is that cultural tightness tends to negatively impact creativity. Yet some findings indicate that this relationship is not strictly negative and that a more nuanced perspective should be considered. Drawing on social information processing (SIP) theory and social role theory, we build theory on how the perception of organizational cultural tightness can increase creativity for some employees, but not for others. Specifically, we propose that perceived organizational tightness—the extent to which one perceives that an organization is characterized by strong norms and sanctions for deviation—increases clarity on creativity evaluation standards and …

Keeping Up With The Times? Rethinking Social Evaluations Research Under Contemporary Technological And Sociopolitical Forces, Marco Clemente, Michael Etter, Yuliya Snihur, Gokhan Ertug, Graffin Scott, Anastasiya Zavyalova

Research Collection Lee Kong Chian School Of Business

The context within which social evaluations form has been fundamentally altered by contemporary forces, such as digital technologies, polarization, activism, politicization of business, and geopolitical tensions. While research on social evaluations has generated rich insights into the formation and development of constructs, such as legitimacy, status, reputation, stigma, trust, and celebrity, much of this work has been developed under the assumptions of relative stability, coherent audiences, and well-defined intermediary roles. These assumptions are increasingly challenged in this changing context, requiring us to rethink the formation and management of social evaluations. The articles in this special issue focus on these changes. …

The Anatomy Of Earnings Conference Calls: An Integrative Framework For Management Research, Matthew P. Mount, Gokhan Ertug, Wei Shi, Tengjian Zou

Research Collection Lee Kong Chian School Of Business

Over the last decade, there has been an explosion in the use of diverse data sources by management scholars to observe and capture managerial and organizational constructs that have historically been difficult to access. This surge has been driven by the growing availability of rich, multi-modal data—textual, image, and audio (Luo, Jia, Ouyang, & Fang, 2024)—together with advances in analytical techniques to process and analyze data, such as computer-aided text analysis (Harrison, Thurgood, Boivie, & Pfarrer, 2019), machine learning (Choudhury, Wang, Carlson, & Khanna, 2019; Harrison, Josefy, Kalm, & Krause, 2023), and deep learning (Gouvard, Goldberg, & Srivastava, 2023). These …

Commentary: Survey Finds Singapore Workers Disengaged - But We Shouldn’T Resign Ourselves To This, Nick Chiam

Research Collection Yong Pung How School Of Law

If narratives of unhappy and disengaged Singapore workers solidify, there will be less reason to strive for a better workplace, says SMU’s Nick Chiam.

Robust Generator Maintenance Schedule For Frequency-Secure Power Systems, Yang Yang, Qiuzhuang Sun, Jimmy Chih-Hsien Peng, Loon Ching Tang, Zhisheng Ye

Research Collection College of Integrative Studies

Problem definition: Normal operations of a power system require that alternating current frequency be maintained at a nominal value, for example, 50 Hz, whereas severe deviation from this value due to power deficiencies can cause cascading generator trips. Maintaining the frequency requires adequate inertia and frequency regulation reserve, which are primarily provided by online generators. In daily operations, generators due for preventive maintenance must be taken offline, and thus an improper maintenance schedule could jeopardize frequency security, as exemplified by the recent Texas power blackout. However, this natural nexus between frequency security and maintenance has been over-looked largely in the …

Queuing Uncertainty Of Limit Orders, Bart Yueshen Zhou

Research Collection Lee Kong Chian School Of Business

Limit orders submitted around the same time are subject to random latencies and will be queued accordingly. In equilibrium, end-of-queue limit orders always lose money—the liquidity supply appears excessive. The model generates empirical predictions regarding such “overshooting” liquidity: (i) new limit orders appear fleeting—clustered submissions are followed by immediate cancellations, (ii) the resulting cancel-to-add count ratio reflects adverse selection, and (iii) the cancel-to-add size ratio measures high-frequency market-making activity. Welfare can be hurt by the overshooting liquidity if it induces excessive speculation. Overall, the model contributes to a more comprehensive understanding and better utilization of order book data.

Cycles Of Inequality In The Marketplace: Insights From Macro, Marketer, And Consumer Perspectives, Debora V. Thompson, Amna Kirmani, Rebecca Hamilton, Andy Li, Christilene Du Plessis, Daniel Fernandes, Guillaume Johnson, Brent Mcferren, Jian Ni, Vladmir Pavlov, Francine Petersen, Lisa Scheer, Yan Vieites, Keith Wilcox

Research Collection Lee Kong Chian School Of Business

Seeking inequality via differentiation is a fundamental theme in the marketing literature: consumers derive utility from products that convey socially valued attributes, and marketers target consumers by giving them opportunities to differentiate on socially valued attributes. However, as a large body of evidence shows, inequality can reduce consumer well-being and limit economic growth. In this paper, we take a systemic view of marketplace inequality, examining the interdependence among consumers, marketers, and macro forces in shaping inequality in markets for goods and services. Our broad review of the marketing literature across ten marketing journals and a variety of subdomains within the …

The Political Economy Of Mandatory Disclosure: A Literature Review, Hao Liang, Hanyu Zhang

Research Collection Lee Kong Chian School Of Business

Reviewing the literature on mandatory corporate disclosure from a political economy perspective, we synthesize the classic justifications for disclosure regulations while emphasizing why voluntary disclosure often fails to achieve socially efficient transparency. We also highlight how legal institutions, enforcement capacity, and political forces shape the design, credibility, and effectiveness of disclosure mandates. Drawing on evidence from international and China-focused studies, we review empirical findings on how mandatory disclosure affects investor protection, information environments, and firm behavior, showing that similar reporting rules yield different outcomes across institutional settings. We further extend the discussion to ESG and climate-related disclosure to examine emerging …

Conference Calls And Information Spillover: The Role Of Analyst Participation, Amanda Awyong, Young Jun Cho, Holly I. Yang

Research Collection School Of Accountancy

We examine the role of conference calls in creating information spillover within firms. We find that analyst participation in conference calls is positively associated with subsequent revisions in management forecasts, consistent with analysts' questions prompting managers to collect additional information. We find that this effect strengthens when analysts pose more questions on new topics and when they ask questions with abnormally positive or negative tones. We also find that analyst participation has greater effects when analysts have more experience and higher forecasting ability. Further analyses demonstrate that analyst participation is associated with higher accuracy in subsequently revised forecasts. Overall, our …

“Megadeal” Subsidies, Local Spillovers And Corporate Innovation, Yoojin Lee, Shaphan Ng, Aruhn Venkat

Research Collection School Of Accountancy

We examine whether the largest place-based, firm-specific corporate subsidies (“Megadeals”) awarded by state and local governments affect local firms’ innovation. First, we document that 1) subsidy firms innovate in the subsidized county and 2) subsidy firms bring inventors from other counties into the subsidized county, consistent with subsidy firms generating new knowledge locally. In our main test, we use a stacked cohort design with stringent fixed effects to document that local firms increase patenting following a Megadeal. Cross-sectionally, effects are increasing 1) in subsidy firm innovativeness, 2) in the technological closeness of subsidy firms and local firms, 3) when subsidy …

Attention To Detail: How Do Information Users Process Exhibits In Form 10-K?, Stephanie F. Cheng, Yimeng Li, Pengkai Lin

Research Collection School Of Accountancy

Form 10-K offers a setting for studying how users process complex, multi-layered disclosures: managerial narratives in the main file alongside separate exhibits, such as contracts and certifications, that provide unfiltered detail. Drawing on rational inattention theory, we investigate how users allocate limited attention across these components. Users typically begin with the main file and selectively access exhibits when the main file appears shorter, less readable, or less confident, indicating higher perceived information loss. This pattern strengthens for exhibits that offer more detail on topics discussed in the main file and among institutional investors and time-constrained users. Exhibit access persists beyond …

Moving Beyond Entry Modes: Toward A New Paradigm Of International Involvement In An Era Of Digitalization And Global Transitions, Noman Shaheer, Sali Li, Liang Chen, Keith D. Brouthers, Dan Li, Peter Liesch

Research Collection Lee Kong Chian School Of Business

We seek to reconceptualize internationalization strategy by shifting focus from static, single-entry mode choices to dynamic constellations of multiple involvement modes. In an era of rapid technological change enabled by artificial intelligence, blockchain, and robotics, geopolitical volatility fueled by trade wars and violent conflicts, and increasing sustainability demands, multinational corporations (MNCs) need to rethink how they are involved with diverse stakeholder expectations, prioritize flexibility and reversibility, and embed co-creation and legitimacy alongside efficiency. Extending Brouthers et al. (2022), we integrate transaction cost economics with resource-based, institutional, opportunity, and ecosystem perspectives to explain how MNCs configure and reconfigure various constellations of …