CEO social capital, business environment, and the level of corporate risk‐taking in China

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Abstract

We find a significant positive role of chief executive officer (CEO) social capital on the level of corporate risk-taking for Chinese listed firms from 2008 to 2019. We reveal that a better business environment tends to reduce this positive relationship. In addition, we also find that corporate innovations provide moderation effects on the relationship. Further analysis of heterogeneity tests on firm characteristics suggests that CEO social capital's effect on corporate risk-taking is significant and stronger for non-state-owned enterprises, firms with fewer female directors on their board, and firms with more cash holdings.

The challenges facing Chinese accounting scholars publishing in English (and Chinese) language journals

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Abstract

Interviews with accounting scholars in China found that the pressure to publish in English language journals is high for reasons of tenure and promotion, but the expectation of acceptance is low. Publishing in Chinese language journals is equally as difficult because of socio-cultural factors that favour a limited group of scholars with reputational capital. Scholars in China either avoid submitting articles to English language journals, collaborate with western scholars to enhance the probability of success, or focus on quantitative methodologies because of a perception that it is less demanding on language capability compared with qualitative approaches to research.

Translating mission-driven sustainability values into a value-creating business model: The Norwegian start-up Ducky AS

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The International Journal of Entrepreneurship and Innovation, Ahead of Print.
Sustainability entrepreneurs are driven by their personal missions about the sustainability-based values that they wish to tap when building a business model. This teaching-case study presents insights into how the personal sustainability missions and goals of entrepreneurs, such as combating climate change in terms of CO2 emission reductions, can be realised, measured and aligned with concrete customer value in order to build a business model. Here, the case of the company Ducky AS is presented, a Norwegian start-up business that has been working for years to transform the specific sustainability missions of its entrepreneurs into concrete social and business values. The case is analysed through the lens of complexity with regards to sustainability management and entrepreneurship. A qualitative research approach with material stemming from a guest lecture and a subsequent interview is used to study the case.

The Fire to Inspire: A Multilevel and Multimethod Investigation of How and When CEO Passion for Organizational Development Impacts Employee Creativity

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Abstract

In this paper, we conceptualize CEO passion for organizational development (CEO POD) as CEOs’ strong inclination to continuously grow and improve their companies, which they find important and fulfilling. We draw from social information processing theory to articulate how and when CEO POD may trickle down to facilitate frontline employees’ creativity. Our research encompasses three studies employing different methodologies, including a multilevel, multisource, and multiphase survey and two vignette-based experiments. The results consistently support our model, revealing that CEO POD inspires middle managers to exhibit transformational leadership, which subsequently fosters frontline employees’ creativity. Moreover, CEO self-promotion skills augment the indirect effect of CEO POD on employee creativity via middle managers’ transformational leadership. Our findings generate valuable theoretical and practical implications to leverage CEO POD to foster employees’ creativity in the fast-changing business environment.

Impact of Financial Education on Financial Wellness During COVID-19

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Business Perspectives and Research, Ahead of Print.
The study intentions to examine the result of getting financial education through the workshop on the financial wellness of people during the COVID-19. Primary data are collected from the participants of a Financial Education workshop in India. The study contained 996 respondents for research using the Personal Financial Well-Being Scale (PFWS) questionnaire from the respondents before and after participating in the workshop. Using Hayes’ macro process model and SPSS, the study tested mediation (financial behavior) and moderation (financial education). All the independent variables were encouraging effect on financial wellness by taking the financial behavior and participation of the respondent as the mediator and moderator variables. The independent variables of subjective aspects such as financial stress, situation, and condition have a more significant effect on financial wellness. This study indicates that policymakers and financial regulatory institutions should improve FE to improve financial behavior and wellness during a crisis for individual and economic well-being.

Dynamic Capabilities and MNE Global Strategy: A Systematic Literature Review‐Based Novel Conceptual Framework

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Abstract

Global strategy cannot be fully understood without consideration of dynamic capabilities (DCs). This is because the three key constituents of DCs – the sensing and seizing of opportunities and the reconfiguration of the resource base – are essential preconditions for strategy development, within nations and cross-border. We investigate the aspects of DCs that are most suitable for global strategy and those that need to be revisited and developed. We discuss theory and evidence on DCs and global strategy, present a systematic literature review, compare theory and evidence, and identify gaps between the two as well as opportunities to align them more closely and to develop both. To help guide future research, we develop a novel conceptual framework and provide suggestions for more theory-congruent empirical research.

The new audit report with key audit matters: Lessons from Thailand’s first implementation

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Abstract

Using a mixed method research design, this study is the first to provide comprehensive evidence of the impacts of Thailand's first implementation of the new audit report with key audit matters (KAMs), which took place in 2016. Survey evidence shows that the new audit report improves the informative value and effectively narrows the deficient-standards and deficient-performance gaps. Nonetheless, financial statement users have made new demands for information that lie beyond auditors' traditional responsibility. Moreover, marginally significant evidence from archival data shows that although the disclosure of KAMs increases audit fees and audit delays, it improves audit quality. However, the market does not value KAMs.