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This paper analyzes the relationship between change in capital and change in risk for a sample of 23 Lebanese banks between 2009 and 2014. Using the simultaneous equations model, our evidence reveals that banks determine their capital and risk levels simultaneously, with a negative relationship. While banks adjust their capital rapidly, they adjust their risk slowly. Furthermore, undercapitalized banks adjust their capital levels more rapidly than well-capitalized banks, and they increase their capital when they decrease their risk. However, there is no conclusive evidence regarding the role of regulatory pressure in driving risk-taking behavior. Finally, there are no major differences in the relationships between capital and risk regardless of whether banks are listed or not.

Given the unsettled ESG-CFP (Environmental, Social, Governance-Corporate Financial Performance) relationship and the scarcity of research covering emerging markets firms and the impact of each of the ESG pillars on CFP while considering the industry sector categories, this paper is pioneer in investigating this relationship for 108 East Asian listed firms operating in the Industrials sector for the period extending from 2011 to 2017. The overall ESG scores together with their components are used to study their impact on CFP while considering accounting (Return on Assets (ROA) and Return on Equity (ROE)), and market measures (Stock Return (RET) and Price-to-Book ratio (PB)). We used panel corrected standard errors to address contemporaneous cross-correlations related to the panel cross-sections. Our findings showed that the ESG-CFP relationship depends on the ESG pillars, the type of CFP measures, and the industry nature. No relationship was detected between ESG and CFP when proxied by accounting measures while a concave relationship with Stock Return and a convex relationship with Price-to-Book ratio were revealed. When ESG pillars were considered separately, a convex relationship was obtained between Environmental and accounting performances and between Governance and Price-to-Book ratio while a concave relationship was depicted between Social and accounting performances. At the industry level, ESG negatively impacted the market performance in the Transportation industry compared to no impact in the Capital Goods industry. Consequently, ESG investment decisions in East Asian firms must be well calibrated and planned out to avoid undesired financial outcomes, while a shift in the mindset of managers toward a better ESG development is necessary to attain short-term gains and sustainable fiscal and social advantages.

Opaque markets suffer from asymmetry of information and inaccessibility to financial data. SMEs operating in such markets play an important role and substantially contribute to their economy. Evaluating SMEs financial performance for such markets remains a hard task and hence such sector is completely marginalized. This paper attempts to proxy the financial performance by gathering a bundle of qualitative traits that play a mediating role towards financial performance. We support our study by identifying three specific areas that best describe SMEs internal capabilities and environmental conditions. We measure a score, validate it and use it to proxy SMEs financial performance in Lebanon. We find a positive relationship between the score and return on investment (ROI) and return on assets (ROA), which support our hypotheses.

This study investigates the relationship between the level of sustainability reporting and firm's performance (operational, financial and market) in the top worldwide 20 smart cities. Using data culled from 3536 observations from 20 different smart cities for ten years (2008–2017), an independent variable derived from ESG score are regressed against dependent manufacture performance indicator variables [Return on Assets (ROA), Return on Equity (ROE) and Tobin's Q (TQ)]. Two types of control variables complete the regression analysis in this study: firm-specific and macroeconomic. The findings elicited from the empirical results demonstrate that there is a positive significant relationship between ESG and operational performance (ROA), financial performance (ROE). However, there is a negative significant relationship between ESG and market performance (TQ). The model in this study presents a valuable analytical framework for exploring sustainability reporting as driver of performance in firms in different smart cities.

This chapter examines whether students’ perceptions of learning, attitudes, and performance are affected by the use of multimedia technology. Both traditional and multimedia methodologies were used in the financial accounting II course offered at one of the leading universities in Lebanon, using data collected from a sample of 110 students. In order to eliminate faculty-specific characteristics, the same professor taught all sections, thereby minimizing the effect different instructors might have had on student evaluations. Results indicate that students perceived the use of multimedia, specifically PowerPoint (PPT) lectures, as being more entertaining and organized than the traditional method; however, the latter methodology demonstrated more efficiency in terms of explaining theories, enhancing problem-solving abilities, and allowing for greater interaction. The two methodologies, however, did not demonstrate a significant statistical difference in terms of student learning and comprehension. Despite the positive student perception of PPT lectures, results suggest that the systematic approach of traditional methodologies exceeds PPT in emphasizing course materials and enhancing problem-solving abilities. As measured by their final grade, PPT methodologies affected student performance negatively, especially for below-average business students.

This paper applies the multi-index model to explore the sensitivity of the stock return of European automotive companies to some macroeconomic variables. The analysis involves the monthly returns of nine European companies operating in the automotive industry from January 2003 to April 2012 using 15 macroeconomic variables and the market index represented by S&P 350. The study finds that the S&P 350 positively affects stock returns, supporting the single index model. Furthermore, exchange rate, exports and platinum positively affect stock return, while aluminium and unemployment rate negatively affect stock return. The results suggest that a multi-index model using selected macroeconomics variables provides additional power in explaining the variability of the European stock returns in the automobile industry over a single index model using the market index alone.