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Full-Text Articles in Business

Splitting Specified Foreign Sourced Income Between Tax Exempt And Taxable Portions: An Optimal Solution (Part 3 Of 3), Teng Aun Khoo, Clement Kai Guan Tan Mar 2015

Splitting Specified Foreign Sourced Income Between Tax Exempt And Taxable Portions: An Optimal Solution (Part 3 Of 3), Teng Aun Khoo, Clement Kai Guan Tan

Research Collection School Of Accountancy

No abstract provided.


Political Connections And Firm Value: Evidence From The Regression Discontinuity Design Of Close Gubernatorial Elections, Quoc-Anh Do, Yen Teik Lee, Bang D. Nguyen Mar 2015

Political Connections And Firm Value: Evidence From The Regression Discontinuity Design Of Close Gubernatorial Elections, Quoc-Anh Do, Yen Teik Lee, Bang D. Nguyen

Research Collection Lee Kong Chian School Of Business

Using the regression discontinuity design of close gubernatorial elections in the U.S., we identify a significant and positive impact of the social networks of corporate directors and politicians on firm value. Firms connected to elected governors increase their value by 3.89%. Political connections are more valuable for firms connected to winning challengers, for smaller and financially dependent firms, in more corrupt states, in states of connected firms’ headquarters and operations, and in closer, smaller, and active networks. Post-election, firms connected to the winner receive significantly more state procurement contracts and invest more than do firms connected to the loser.


How "Situational" Is Judgment In Situational Judgment Tests?, Stefan Krumm, Filip Lievens, Joachim Huffmeier, Anastasiya A. Lipnevich, Hanna Bendels, Gudio Hertel Mar 2015

How "Situational" Is Judgment In Situational Judgment Tests?, Stefan Krumm, Filip Lievens, Joachim Huffmeier, Anastasiya A. Lipnevich, Hanna Bendels, Gudio Hertel

Research Collection Lee Kong Chian School Of Business

Whereas situational judgment tests (SJTs) have traditionally been conceptualized as low-fidelity simulations with an emphasis on contextualized situation descriptions and context-dependent knowledge, a recent perspective views SJTs as measures of more general domain (context-independent) knowledge. In the current research, we contrasted these 2 perspectives in 3 studies by removing the situation descriptions (i.e., item stems) from SJTs. Across studies, the traditional contextualized SJT perspective was not supported for between 43% and 71% of the items because it did not make a significant difference whether the situation description was included or not for these items. These results were replicated across construct …


Self-Exciting Jumps, Learning, And Asset Pricing Implications, Andras Fulop, Junye Li, Jun Yu Mar 2015

Self-Exciting Jumps, Learning, And Asset Pricing Implications, Andras Fulop, Junye Li, Jun Yu

Research Collection School Of Economics

The paper proposes a self-exciting asset pricing model that takes into account co-jumps between prices and volatility and self-exciting jump clustering. We employ a Bayesian learning approach to implement real-time sequential analysis. We find evidence of self-exciting jump clustering since the 1987 market crash, and its importance becomes more obvious at the onset of the 2008 global financial crisis. We also find that learning affects the tail behaviors of the return distributions and has important implications for risk management, volatility forecasting, and option pricing.


Investor Sentiment Aligned: A Powerful Predictor Of Stock Returns, Dashan Huang, Fuwei Jiang, Jun Tu, Guofu Zhou Mar 2015

Investor Sentiment Aligned: A Powerful Predictor Of Stock Returns, Dashan Huang, Fuwei Jiang, Jun Tu, Guofu Zhou

Research Collection Lee Kong Chian School Of Business

We propose a new investor sentiment index that is aligned with the purpose of predicting the aggregate stock market. By eliminating a common noise component in sentiment proxies, the new index has much greater predictive power than existing sentiment indices have both in and out of sample, and the predictability becomes both statistically and economically significant. In addition, it outperforms well-recognized macroeconomic variables and can also predict cross-sectional stock returns sorted by industry, size, value, and momentum. The driving force of the predictive power appears to stem from investors' biased beliefs about future cash flows.


Speaking Truth To Power: The Effect Of Candid Feedback On How Individuals With Power Allocate Resources, Burak Oc, Michael R. Bashshur, Celia Moore Mar 2015

Speaking Truth To Power: The Effect Of Candid Feedback On How Individuals With Power Allocate Resources, Burak Oc, Michael R. Bashshur, Celia Moore

Research Collection Lee Kong Chian School Of Business

Subordinates are often seen as impotent, able to react to but not affect how powerholders treat them. Instead, we conceptualize subordinate feedback as an important trigger of powerholders’ behavioral self-regulation, and explore subordinates’ reciprocal influence on how powerholders allocate resources to them over time. In two experiments using a multi-party, multi-round dictator game paradigm, we find that when subordinates provided candid feedback about whether they found prior allocations to be fair or unfair, powerholders regulated how self-interested their allocations were over time. However, when subordinates provided compliant feedback about powerholders’ prior allocation decisions (offered consistently positive feedback, regardless of the …


Institutional Entrepreneurship, Governance And Poverty: Insights From Emergency Medical Response Services In India, Gerard George, Rekha Rao-Nicholson, Christopher Corbishley, Rahul Bansal Mar 2015

Institutional Entrepreneurship, Governance And Poverty: Insights From Emergency Medical Response Services In India, Gerard George, Rekha Rao-Nicholson, Christopher Corbishley, Rahul Bansal

Research Collection Lee Kong Chian School Of Business

We present an in-depth case study of GVK Emergency Management and Research Institute, an Indian public–private partnership (PPP), which successfully brought emergency medical response to remote and urban settings. Drawing insights from the case, we investigate how the organization established itself through institutional entrepreneurship using a process conceptualized as opportunity framing, entrenchment, and propagation. The case and context highlight the need for innovation in organizational design and governance modes to create a new opportunity that connects state actors, private healthcare providers, and the public at large. We consider the role of open innovation and novel business models in creating these …


Predictability Of Eu Bank Stress Test Results, Kian Guan Lim Mar 2015

Predictability Of Eu Bank Stress Test Results, Kian Guan Lim

Research Collection Lee Kong Chian School Of Business

Since the global financial crisis of 2008 and the European sovereign debt crisis of 2009, the banking system in EU and in the Eurozone in particular has been under-performing and weak. The EU bank stress tests were conducted for capital adequacies and to avoid systemic risks. The first test results indicated that of over 120 banks, seven banks failed the stress tests. Spain, with 27 tested banks, made up the biggest portion of the test banks. In this paper we examine using nonlinear LOGIT and PROBIT regression models, the predictability of stress test failures on the sample of Spanish banks, …


Pricing Information Goods: A Strategic Analysis Of The Selling And Pay-Per-Use Mechanisms, Sridhar Balasubramanian, Shantanu Bhattacharya, Vish V. Krishnan Mar 2015

Pricing Information Goods: A Strategic Analysis Of The Selling And Pay-Per-Use Mechanisms, Sridhar Balasubramanian, Shantanu Bhattacharya, Vish V. Krishnan

Research Collection Lee Kong Chian School Of Business

We analyze two pricing mechanisms for information goods. These mechanisms are selling, where up-front payment allows unrestricted use, and pay-per-use, where payments are tailored to use. We analytically model a market where consumers differ in use frequency and where use on a pay-per-use basis invokes a psychological cost associated with the well known "ticking meter" effect. We demonstrate that pay-per-use yields higher profits in a monopoly provided the associated psychological cost is low. In a duopoly, one firm uses selling and the other uses pay-per-use. Here, in contrast to the monopoly, selling yields higher profits than pay-per-use. We demonstrate that, …


Expanding Context To Redefine Theories: Africa In Management Research, Gerard George Mar 2015

Expanding Context To Redefine Theories: Africa In Management Research, Gerard George

Research Collection Lee Kong Chian School Of Business

As a scholarly field matures, theories emerge that guide paradigms and shape consensus in academic discourse. Management theories reflect a shared consensus on how individual behaviors or organizational actions result in a certain set of outcomes and under specific conditions. Clearly, theory is paramount to guiding whether models of potential relationships bear out and how and why we would expect a relationship or specific outcome. Yet much of this theory is derived from cumulative empirical evidence from a ‘context’ that has remained a silent partner in our quest for a theoretical contribution. A growing number of papers emphasize the theoretical …


Questionnaire Design Effects In Climate Change Surveys: Implications For The Partisan Divide, Jonathon P. Schuldt, Sungjong Roh, Norbert Schwarz Mar 2015

Questionnaire Design Effects In Climate Change Surveys: Implications For The Partisan Divide, Jonathon P. Schuldt, Sungjong Roh, Norbert Schwarz

Research Collection Lee Kong Chian School Of Business

Despite strong agreement among scientists, public opinion surveys reveal wide partisan disagreement on climate issues in the united States. we suggest that this divide may be exaggerated by questionnaire design variables. Following a brief literature review, we report on a national survey experiment involving U.S. Democrats and Republicans (n = 2,041) (fielded August 25–September 5, 2012) that examined the effects of question wording and order on the belief that climate change exists, perceptions of scientific consensus, and support for limiting greenhouse gas emissions. wording a questionnaire in terms of “global warming” (versus “climate change”) reduced Republicans’ (but not Democrats’) existence …


On The Effectiveness Of Housing Purchase Restriction Policy In China: A Difference In Difference Approach, Jerry X. Cao, Bihong Huang, Rose Neng Lai Mar 2015

On The Effectiveness Of Housing Purchase Restriction Policy In China: A Difference In Difference Approach, Jerry X. Cao, Bihong Huang, Rose Neng Lai

Research Collection Lee Kong Chian School Of Business

The Chinese government imposed the purchase restriction policy to rein in the housing bubble in 2010. Using a two-stage difference-in-difference approach and a comprehensive dataset covering the real estate markets across 70 cities, we find that the policy triggered substantial decline in the property price and transaction volume. Cities having higher reliance on real estate sector for fiscal revenue and economic growth experienced greater decline in housing prices following the policy implementation. However, the policy had no measurable effects on the nationwide construction boom, hinting the ineffectiveness of the policy to correct the housing bubble.


Managing Technical Debt: Insights From Recent Empirical Evidence, Narayan Ramasubbu, Chris F. Kemerer, C. Jason Woodard Mar 2015

Managing Technical Debt: Insights From Recent Empirical Evidence, Narayan Ramasubbu, Chris F. Kemerer, C. Jason Woodard

Research Collection School Of Computing and Information Systems

Technical debt refers to maintenance obligations that software teams accumulate as a result of their actions. Empirical research has led researchers to suggest three dimensions along which software development teams should map their technical-debt metrics: customer satisfaction needs, reliability needs, and the probability of technology disruption.


A Conceptual Model To Evaluate Decisions For Service Profitability, Eng Lieh Ouh, Stan Jarzabek Mar 2015

A Conceptual Model To Evaluate Decisions For Service Profitability, Eng Lieh Ouh, Stan Jarzabek

Research Collection School Of Computing and Information Systems

Service profitability depends on the cost of engineering a service for a given base of tenants, on service provisioning cost, and on the revenue gained from selling the service to that tenant base. The tenant base depends on the range of service variability, i.e., on Service Provider's ability to vary service requirements to meet tenant expectations. These various factors that have to do with service profitability form a complex web of information that makes it difficult to analyze and see the exact impact of decisions regarding the choice of service architecture or the use of service adaptation techniques. To make …


Daringly Different: The Making Of The Singapore Management University, Kevin Y. L. Tan Feb 2015

Daringly Different: The Making Of The Singapore Management University, Kevin Y. L. Tan

Oral History Collection

This is a book about the founding and early years of Asia’s first university in the 21st century - the Singapore Management University or SMU. It provides a background to tertiary education in Singapore to set the scene and offer the reader a glimpse of the landscape in which the remarkable changes leading to SMU’s establishment, and ramifications flowing therefrom, took place. So many of the key actors who were intimately connected to this grand story are still around and actively engaged in the life of SMU, and thus the book benefitted greatly from first-hand interviews with a number of …


Income Smoothing Due To Unemployment Concerns, Jeffrey Ng, Tharindra Ranasinghe, Guifeng Shi, I-Hwa Yang Feb 2015

Income Smoothing Due To Unemployment Concerns, Jeffrey Ng, Tharindra Ranasinghe, Guifeng Shi, I-Hwa Yang

Research Collection School Of Accountancy

Economic theory predicts that top executives and lower-level employees have incentives to smooth income due to compensating wage differential costs and fear of job loss, respectively. Following Agrawal and Matsa (JFE, 2013) who rely on exogenous variations in unemployment insurance benefits to examine how unemployment concerns affect corporate leverage, we examine the link between such benefits and income smoothing. We find that when unemployment insurance benefits are higher and concerns about unemployment are hence lower, there is less income smoothing. This relation is stronger when employees face higher unemployment risk and weaker when the firms’ information and internal control environments …


Foreign Source Income Tax Exemption And Pooling System: Which Works Better? (Part 2 Of 3), Clement Kai Guan Tan, Teng Aun Khoo Feb 2015

Foreign Source Income Tax Exemption And Pooling System: Which Works Better? (Part 2 Of 3), Clement Kai Guan Tan, Teng Aun Khoo

Research Collection School Of Accountancy

When is it better to claim Foreign Source Income under the Pooling System rather than on the Foreign Source Income Exemption


Isca Pre-Budget Survey Findings 2015: Insights From The Accounting And Business Community, Clarence Goh Feb 2015

Isca Pre-Budget Survey Findings 2015: Insights From The Accounting And Business Community, Clarence Goh

Research Collection School Of Accountancy

Recent forecasts by the International Monetary Fund (IMF) estimate that the global economy will grow by 3.8% in 2015. While this represents an improvement from the 3.3% growth forecasted for 2014, growth in 2015 is expected to be hampered by persistent weakness in the Eurozone and slowdowns in major emerging markets.


Infrastructure Provision, Gender And Poverty In Indian Slums, Prithi Parikh, Kun Fu, Himanshu Parikh, Allan Mcrobie, Gerard George Feb 2015

Infrastructure Provision, Gender And Poverty In Indian Slums, Prithi Parikh, Kun Fu, Himanshu Parikh, Allan Mcrobie, Gerard George

Research Collection Lee Kong Chian School Of Business

We examine the relationship between infrastructure provision and poverty alleviation by analyzing 500 interviews conducted in serviced and non-serviced slums in India. Using a mixed-method approach of qualitative analysis and regression modeling, we find that infrastructure was associated with a 66% increase in education among females. Service provision increased literacy by 62%, enhanced income by 36%, and reduced health costs by 26%. Evidence suggests that a gender-sensitive consideration of infrastructure is necessary and that a ‘one-size-fits-all’ approach will not suffice. We provide evidence that infrastructure investment is critical for well-being of slum dwellers and women in particular.


Trust Research Community Misses An Outstanding Scholar And Friend: Graham Dietz (1969-2014): Editorial, Peter Ping Li, Donald Lee Ferrin, Guido Möllering Feb 2015

Trust Research Community Misses An Outstanding Scholar And Friend: Graham Dietz (1969-2014): Editorial, Peter Ping Li, Donald Lee Ferrin, Guido Möllering

Research Collection Lee Kong Chian School Of Business

As the world of academic research seems to be increasingly dominated by impact factors and performance indicators, it takes a personal tragedy to remind us of the human bonds we enjoy as part of our research and the outstanding people we have the privilege of meeting on our academic journeys. For the trust research community, Graham Dietz was unsurpassed in inspiring others with his extraordinary passion and insight. We are very sad to share the news that Graham passed away on Saturday, 20 December 2014, following the aftereffects of a heart attack a week earlier.


Isca Pre-Budget Roundtable 2015: Pace Of Restructuring, Sze Yee Chan, Clarence Goh, Perrine Oh Feb 2015

Isca Pre-Budget Roundtable 2015: Pace Of Restructuring, Sze Yee Chan, Clarence Goh, Perrine Oh

Research Collection School Of Accountancy

Held for the sixth consecutive year on 13 January 2015, the ISCA Pre-Budget Roundtable 2015 served as an invaluable platform for gathering the views and insights of business leaders on both Budget 2014 and the upcoming Budget 2015. As Singapore celebrates SG50 this year, it is an opportune time not only to reflect upon our past achievements but also to look forward to the future with confidence.


Acknowledging Individual Responsibility While Emphasizing Social Determinants In Narratives To Promote Obesity-Reducing Public Policy: A Randomized Experiment, Jeff Niederdeppe, Sungjong Roh, Michael A. Shapiro Feb 2015

Acknowledging Individual Responsibility While Emphasizing Social Determinants In Narratives To Promote Obesity-Reducing Public Policy: A Randomized Experiment, Jeff Niederdeppe, Sungjong Roh, Michael A. Shapiro

Research Collection Lee Kong Chian School Of Business

This study tests whether policy narratives designed to increase support for obesity-reducing public policies should explicitly acknowledge individual responsibility while emphasizing social, physical, and economic (social) determinants of obesity. We use a web-based, randomized experiment with a nationally representative sample of American adults (n = 718) to test hypotheses derived from theory and research on narrative persuasion. Respondents exposed to narratives that acknowledged individual responsibility while emphasizing obesity’s social determinants were less likely to engage in counterargument and felt more empathy for the story’s main character than those exposed to a message that did not acknowledge individual responsibility. Counterarguing and …


Singapore: From Knowledge City To Start-Up 'Hub', Thomas Menkhoff, Hans-Dieter Evers Feb 2015

Singapore: From Knowledge City To Start-Up 'Hub', Thomas Menkhoff, Hans-Dieter Evers

Research Collection Lee Kong Chian School Of Business

No abstract provided.


Anchors Weigh More Than Power: Why Absolute Powerlessness Liberates Negotiators To Achieve Better Outcomes, Michael Schaerer, Roderick I. Swaab, Adam D. Galinsky Feb 2015

Anchors Weigh More Than Power: Why Absolute Powerlessness Liberates Negotiators To Achieve Better Outcomes, Michael Schaerer, Roderick I. Swaab, Adam D. Galinsky

Research Collection Lee Kong Chian School Of Business

The current research shows that having no power can be better than having a little power. Negotiators prefer having some power (weak negotiation alternatives) to having no power (no alternatives). We challenge this belief that having any alternative is beneficial by demonstrating that weak alternatives create low anchors that reduce the value of first offers. In contrast, having no alternatives is liberating because there is no anchor to weigh down first offers. In our experiments, negotiators with no alternatives felt less powerful but made higher first offers and secured superior outcomes compared with negotiators who had weak alternatives. We established …


Leader Humility In Singapore, Burak Oc, Michael R. Bashshur, Michael A. Daniels, Gary J. Greguras, James M. Diefendorff Feb 2015

Leader Humility In Singapore, Burak Oc, Michael R. Bashshur, Michael A. Daniels, Gary J. Greguras, James M. Diefendorff

Research Collection Lee Kong Chian School Of Business

The theoretical development and empirical testing of the effects of humility in the organizational sciences is surprisingly rare. This is especially pronounced in the study of leadership in Asian contexts. To address this we employ a qualitative approach to examine the conceptualization of leader humility in Singapore and assess whether this conceptualization differs from other emerging conceptualizations of leader humility. In Study 1, using semi-structured interviews of 25 Singaporeans, we identified nine major dimensions of humble leader behaviors and explored our participants' beliefs about culturally-based differences in leader humility. In Study 2 (N = 307), we generalized our findings …


How Do Institutional Investors Trade When Firms Buy Back Their Shares?, Sheng Huang, Zhe (Joe) Zhang Feb 2015

How Do Institutional Investors Trade When Firms Buy Back Their Shares?, Sheng Huang, Zhe (Joe) Zhang

Research Collection Lee Kong Chian School Of Business

We study how institutional investors trade when firms buy back shares. We find that institutions sell following share repurchase announcements. The institutional sell-off results in a more concentrated ownership by institutions, as the number of institutions in the investor base declines after accounting for the change in the universe of institutions. While some institutions sell shares passively to meet the firm demand for the market to clear, the overall institutional sell-off only accounts for 27% of shares bought back contemporaneously by firms. Many firms experience a net inflow of institutional investment. The institutional sell-off is greater in firms that experience …


Managing By Design: From The Editors, Marc Gruber, Nick De Leon, Gerard George, Paul Thompson Feb 2015

Managing By Design: From The Editors, Marc Gruber, Nick De Leon, Gerard George, Paul Thompson

Research Collection Lee Kong Chian School Of Business

The article discusses product design as a form of innovation, focussing on its use on products and services. Topics include design management and business performance; the emphasis placed consumer needs as a source of innovation; and a discussion of how to use a design-process to generate innovation in any field.


The Key To Successful Negotiating, Michael Benoliel Feb 2015

The Key To Successful Negotiating, Michael Benoliel

Research Collection Lee Kong Chian School Of Business

Negotiation is complex. For many it is challenging and stressful because they are not sufficiently trained in the new art and science of persuasion.


Mindfulness At Work: Antecedents And Consequences Of Employee Awareness And Absent-Mindedness, Jochen Reb, Jayanth Narayanan, Zhi Wei Ho Feb 2015

Mindfulness At Work: Antecedents And Consequences Of Employee Awareness And Absent-Mindedness, Jochen Reb, Jayanth Narayanan, Zhi Wei Ho

Research Collection Lee Kong Chian School Of Business

The present study examines antecedents and consequences of two aspects of mindfulness in a work setting: employee awareness and employee absent-mindedness. Using two samples, the study found these two aspects of mindfulness to be beneficially associated with employee well-being, as measured by emotional exhaustion, job satisfaction, and psychological need satisfaction, and with job performance, as measured by task performance, organizational citizenship behaviors, and deviance. These results suggest a potentially important role of mindfulness at the workplace. The study also found that organizational constraints and organizational support predicted employee mindfulness, pointing to the important role that the organizational environment may play …


Leader Humility In Singapore, Burak Oc, Michael Ramsay Bashshur, Michael A. Daniels, Gary John Greguras, James M. Diefendorff Feb 2015

Leader Humility In Singapore, Burak Oc, Michael Ramsay Bashshur, Michael A. Daniels, Gary John Greguras, James M. Diefendorff

Research Collection Lee Kong Chian School Of Business

The theoretical development and empirical testing of the effects of humility in the organizational sciences is surprisingly rare. This is especially pronounced in the study of leadership in Asian contexts. To address this we employ a qualitative approach to examine the conceptualization of leader humility in Singapore and assess whether this conceptualization differs from other emerging conceptualizations of leader humility. In Study I, using semi-structured interviews of 25 Singaporeans, we identified nine major dimensions of humble leader behaviors and explored our participants' beliefs about culturally-based differences in leader humility. In Study 2 (N = 307), we generalized our findings to …