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The present study uses K-means++ clustering to assess the financial performance patterns of renewable or clean energy companies using the Return on Equity (ROE) decomposition. It also explores the relationship between ESG and financial performance and discovers a positive relationship between ROE and ESG. The ESG-ROE relationship becomes negative or insignificant when businesses are grouped based on ROE change. The findings suggest that firm-specific heterogeneity affects the ESG-ROE relationship and long-term financial performance. Hence, it emphasizes the significance of the internal and external environment in determining firms' ESG and financial success. [ABSTRACT FROM AUTHOR]

This study examines the relationships between business analytics (BA) adoption, individual net benefits, and firm performance. A PLS-SEM approach was employed to analyze the data. The results reveal that BA adoption positively influences both individual net benefits and firm performance. Moreover, individual net benefits were found to have a positive effect on firm performance. These findings underscore the significance of BA in enhancing employee outcomes and organizational success. The study contributes to the growing body of literature on BA by providing empirical evidence of its impact on individual and organizational levels, highlighting the importance of data-driven decision-making in contemporary business environments. [ABSTRACT FROM AUTHOR]

Government contracting officers (purchasing agents) are imperfect actors who may distort the procurement processes due to their individual preferences or biases. As a means of adjudicating this issue, firms may file legal protests against them. While previous studies analysed the effects of monitoring behaviour on procurement outcomes, the underlying mechanisms remain obscure. We overcome this limitation by leveraging interorganisational relationship mechanisms to explore how protests against government agencies affect firm performance. Using data from 2001 to 2019 encompassing bid protests and firm government procurement activities, we conduct panel regressions with firm and time fixed-effects and find that sustained protests improve firm performance. This effect is more pronounced when government agencies' business becomes more dependent on protesting firms. In contrast, non-sustained protests had no effect on firm performance. Our findings highlight different government agencies' reciprocating responses to firm protests and how they influence firm performance. [ABSTRACT FROM AUTHOR]

The paper revisits the Porter-Wagner dilemma about the association between environmental management (EM) and firm performance (FP). The context of informal Micro, Small and Medium Enterprises (MSMEs) provides an interesting case since they are away from regulatory scrutiny or corporate/social obligations. The study resorts to labor productivity as the measure of FP and EM is represented by the various solid waste management practices (WMPs) adopted by the informal enterprises. Using the latest available cross-sectional data on un-incorporated firms by National Sample Survey Office (NSSO) 73rd round 2015-16, we found the positive impact of WMPs was higher in the case of more productive firms in the quantile, indicating the relevance of the Porter-Wagner dilemma. The direction of causality was further validated using the propensity score matching technique by decomposing the average treatment effect. [ABSTRACT FROM AUTHOR]

This paper investigates the effects of cultural origin on entrepreneurship. Using Swedish registry data on second-generation immigrants and risk appetite measures from the Global Preference Survey (GPS), we investigate whether risk preferences in parents' home countries affect entrepreneurship. We find that children of immigrants from more risk-loving cultures are more likely to start up a business, although of poorer quality. We also find that entrepreneurs with parents from cultures with higher risk appetite earn a lower personal income. Our analysis demonstrates that culturally transmitted risk appetite has significant effects beyond individual and parental socioeconomic characteristics. [ABSTRACT FROM AUTHOR]

This study analyzes how technology innovation helps SMEs in developed economies achieve firm performance after post-pandemic. Small and medium-sized enterprises (SMEs) face substantial difficulties owing to a lack of resources and official backing. Our results, based on 256 survey responses from Chinese SMEs highlights the significance of technology innovation in fostering firm performance among SMEs. The outcomes indicated that the technology innovation, customer retention and business continuity has positive linkage with firm performance. The outcomes also indicated that the customer retention has also positive linkage with business continuity. The outcomes indicated that the customer retention and business continuity significantly moderates among technology innovation and firm performance. The findings have important implications for technology innovation policies and respondents' initiatives. These results highlight the methods and boundary conditions of responsible technology innovation practices in the context of growing Chinese SMEs and add to the literature on dynamic capacities and responsible technology innovation. [ABSTRACT FROM AUTHOR]

The aim of this study is three-fold: first, to examine the relationship between government support and E-commerce adoption. Second, to investigate the nexus between government support and firm innovation. Third, to explore the relation of firm performance with E-commerce adoption and innovation. Using firm-level data from 31 countries during the time of COVID-19 pandemic, we find both E-commerce adoption and innovation are positively associated with government support. Further, we also find that such firms register significantly higher sales growth. The result remains consistent even after addressing the endogeneity issue. These results hold for the subsample of SMEs as well. [ABSTRACT FROM AUTHOR]

• The heterogeneities analysis found significant differences based on the industry type. • In the heterogeneities analysis, the results remained unaltered for companies exporters and non-exporters. • There is a difference in the relationship between organisational learning capability and innovation performance for small and large companies. This paper analyses the influence of organisational learning capability (OLC) on the innovation and firm performance of 318 organisations - exporters and non-exporters -belonging to four industrial sectors: furniture & wood, chemicals & plastics, textile & clothing and metal-mechanical & metallurgy. For data analysis, partial least squares (PLS) path modelling was used, in addition to compositional invariance analysis. Results show that OLC influences innovation performance, which in turn impacts firm performance. The heterogeneities analysis found significant differences based on the industry type. However, the results remained unaltered for exporters and non-exporters. The study contributes to the literature when testing the mentioned relationships focusing on the differences across industries, a subject understudied in the innovation literature. Through compositional invariance analysis, results reveal that the studied industries perceive some learning dimensions - participative decision and dialogue – in a different way. [ABSTRACT FROM AUTHOR]

Identifying the performance factors of organizations is of utmost importance for labor studies for both empirical and theoretical research. The present study investigates the essential intra- and extra-organizational factors in determining the performance of firms using the European Company Survey (ECS) 2019 framework. The evolutionary computation method of genetic algorithm and the machine learning method of Bayesian additive regression trees (BART), are used to model the importance of each of the intra- and extra-organizational factors in identifying the firms' performance as well as employee well-being. The standard metrics are further used to evaluate the accuracy of the proposed method. The mean value of the evaluation metrics for the accuracy of the impact of intra- and extra-organizational factors on firm performance are MAE = 0.225, MSE = 0.065, RMSE = 0.2525, and R2 = 0.9125, and the value of these metrics for the accuracy of the impact of intra- and extra-organizational factors on employee well-being are MAE = 0.18, MSE = 0.0525, RMSE = 0.2275, and R2 = 0.88. The low values of MAE, MSE and RMSE, and the high value of R2, indicate the high level of accuracy of the proposed method. The results revealed that the two variables of work organization and innovation are essential in improving firm performance well-being, and that the variables of collaboration and outsourcing, as well as job complexity and autonomy, have the greatest role in improving firm performance. [ABSTRACT FROM AUTHOR]

Our study investigates the effects of foreign ownership on firm performance with respect to profitability, productivity, export intensity, and skills acquisition in Sub-Saharan African (SSA) countries. This is particularly important given that in the last three decades, the stock of FDI has increased by over 20,000% in SSA countries. To achieve the objectives of this paper, we employed firm- and country-level data from the World Bank Enterprise Surveys and the World Bank Development Indicators, respectively. Results of the least squares dummy variable (LSDV) and propensity score matching (PSM) estimations showed that foreign ownership was positively associated with higher levels of financial profitability, productivity, exports, and skilled labour acquisition. Policy implications were deduced from the findings. [ABSTRACT FROM AUTHOR]

Green credit, as the first green financial tool implemented in China, is playing an increasingly important role in new energy technological development. However, does green credit promote the performance of new energy companies (PNEC) and how? What roles do research and experimental development (R&D) investment and financial development play? These issues need to be revealed. Existing studies on China's green credit are mainly based on national/provincial data or a policy dummy variable, and those on firm performance are mainly based on a single indicator. Accordingly, this paper studies the impact of green credit with the data at the corporate level, and constructs a comprehensive index based on multiple indicators to present PNEC. The results of a moderated mediator model suggest the direct and indirect positive (R&D intensity as a mediator) effects of green credit on PNEC, and the negative and positive moderating roles of financial development in the first and second half paths of the mediating mechanism respectively. Moreover, there are regional disparities in the effects of green credit and the roles of R&D investment and financial development. Finally, this study puts forward some policy implications on how to effectively exert the stimulating effect of green credit. [ABSTRACT FROM AUTHOR]

An effective innovation strategy is crucial for firm performance and national economic growth, yet many firms still face the challenge of misalignment between their innovation activities and strategies. While previous studies focused on the mediation role of innovation activities on strategy and performance, research is needed to examine the complex interdependencies between strategies and innovation activities to better understand their impact on firm performance. From a configurational perspective, this study investigates how different combinations of innovation activities and strategies influence firm performance. Twenty combinative effects of four categories of innovation activities and five strategic types on two firm performance measures (growth and profit) were explored, resulting in the creation of an innovation-strategy alignment map. This study contributes to innovation strategy literature by providing the alignment map, where four configurational clusters with equifinality were identified. It also contributes to competitive strategy literature by offering empirical verification for the "pure" versus "hybrid" debate and identifying two new types of hybrids with more and different strategic dimensions by using an empirical method, thus advancing the call for more detailed hybrid strategy research in this area. In addition, the innovation-strategy alignment map provides options to managers with different resources and capacities for effective planning. • Innovation activities interact diversely with strategies on performance. • Certain innovation activities better align with specific strategies and performance. • Different alignments can lead to the same goal (equifinality). • Hybrid strategies yield the highest profits, followed by pure, and no strategy. [ABSTRACT FROM AUTHOR]

The social media (SM) presence of the CEOs and their sustainability-related communication plays a major role in handling business communication and shaping firm strategic outcomes during a crisis. In turbulent times of crisis, stakeholders seek credible information for their better decision-making towards firms. Therefore, it becomes essential for the CEOs to engage with the stakeholders and manage firm value strategically. This empirical study utilizes the Twitter posts of Fortune 1000 CEOs for their sustainability communication through their different orientations i.e., SDG, entrepreneurial, and leadership styles. The study employs mixed research methodology through a longitudinal event study to determine the change in the CEOs' strategic orientations, its influence on the CEOs' SM reputation, and firm performance before and during the crisis. Findings showcase that the change in CEOs' strategic orientation in their sustainability-related disclosures positively influences stakeholder engagement and the CEOs' SM reputation during a crisis. Also, the strategic orientations of the CEOs and their SM reputation as a resource provide competitive advantages to the firms for their enhanced firm financial performance. Our study contributes to both research and practice of using SM strategically for their sustainability communication to achieve improved firm performance during a crisis. • Social media usage by CEOs for better engagement with stakeholders. • Investigation of CEOs' strategic SDG communication in the context of COVID-19. • Change in CEOs' orientations (SDG, entrepreneurial, and leadership style) as a recovery mechanism for COVID-19 pandemic crisis. • Change in CEOs' orientations affects their social media reputation with the outbreak of the pandemic. • Social media reputation impacts the firm financial performance with the outbreak of pandemic. [ABSTRACT FROM AUTHOR]

Circular economy is one of the sustainable development strategies that proponents of sustainability are pushing for firms to embrace. Nonetheless knowledge on the effect of circular economy practices on firm performance is patchy especially from developing economies perspective, and generally information of circular economy practices and their effects on firm performance remains fragmented. Hence, this study provides a comprehensive framework of various circular economy practices and their effects on firm performance. In doing so, we systematically identified and validated various circular economy practices and their effects with the aid of circular economy experts. This study provides a holistic perspective of the effect of the various circular economy practices from literature and industry. To the best of our knowledge, this study is the first attempt to methodically structure the various circular economy practices and their effects in an extensive model, termed as "circular economy practices and their effects model" (CEPEM). The study does not only furnish practitioners with comprehensive knowledge on various circular economy practices but also gives them the diverse effects of adopting and implementing specific circular economy practices in their operations. For scholars, the study highlights the status quo and provides directions for further research on circular economy practices and their effects. [ABSTRACT FROM AUTHOR]

This research paper explores the impact of board diversity on firm performance, with a particular focus on different types of board members. The study examines gender, age, tenure, education, and nationality diversity among board members for their effects on firm performance. Using a multi-country dataset and various performance proxies, the paper employs panel regression analysis to assess the relationships. The findings reveal nuanced effects of diversity, with gender diversity among independent and non-executive directors, age diversity among executive directors, and education diversity among executives showing positive impacts. The dominant pathway among these effects is the strategic role of directors, as suggested by the resource dependence theory. However, the paper also highlights the inappropriateness of a one-size-fits-all approach to board diversity, which can have either positive or negative effects depending on the context. Overall, the research contributes to the understanding of board diversity and its implications for corporate governance and firm performance. [Display omitted] • Study of the influence of different types of board diversity on firm performance. • Positive effect of different types of diversity among independent, non-executive and executive directors. • Different types of directors allow us to understand specific pathways through which diversity affects firm performance. • The resource dependence theory is identified as the dominant pathway through which diversity impacts firm performance. [ABSTRACT FROM AUTHOR]

The term intangible assets embraces a wide array of assets, resources and capabilities that contribute to the productive potential of firms, but which do not have physical substance. Most empirical studies simply use an aggregate measure of intangibles derived from data collated from firms' financial statements (we refer here to recognized or written intangibles). But such a measure includes only some of the valuable intangibles that firms possess, and typically does not capture the value of many intangibles (e.g. managerial and organizational capabilities, market knowledge, trusted relationships) that are internally generated by the company. Yet it is likely that such unrecognized or non-written intangibles will have at least as important an impact on corporate performance as that of the written intangibles. We show empirically that the growth of both categories of intangible assets have significant effects on sales growth (our chosen measure of firm performance), and that the elasticity of firm performance with respect to the growth of written intangibles is significantly larger than the elasticity with respect to the growth of non-written intangibles. However, our analysis also reveals that the mean stock of non-written intangibles is three times larger than the stock of written intangibles, and that the mean growth of the non-written intangibles is three times faster than that of written intangibles. [ABSTRACT FROM AUTHOR]

Using manually collected data, we explore the effects of digital innovation (DI) on firm resilience during the COVID-19 pandemic. The findings show that during the pandemic, firms with high levels of DI performed significantly better than others. This effect was more pronounced for firms with high exposure to COVID-19 or geographically distant supply chains. Further, mechanism analysis finds that DI mitigated the negative impact of COVID-19 by reducing internal coordination costs and improving the speed of external supply chain response. Additional analysis shows that the more firms with strong DI capabilities, the faster the economic recovery after the pandemic. • DI can mitigate the negative impact of the COVID-19 pandemic on firm performance. • The effect is more pronounced for firms with high COVID-19 exposure. • The effect is more pronounced for firms with geographically distant supply chains. • DI can enhance firm resilience through reducing internal coordination costs. • DI can enhance firm resilience through improving supply chain response speed. [ABSTRACT FROM AUTHOR]

Previous research has demonstrated the positive influence of corporate giving (CG) on hospitality firm performance through the lens of value enhancement theory. Interestingly, empirical evidence indicates that this influence extends to all sampled hospitality firms, irrespective of their direct engagement in charitable giving. This phenomenon, termed the 'free rider problem' or 'free riding' in hospitality CG, highlights a scenario where firms refraining from CG benefit from the contributions of others. This study aims to provide a theoretical framework to elucidate the existence of this intriguing phenomenon and its critical implications for the hospitality industry. By addressing the free rider problem in hospitality CG, this research makes a significant contribution to the theoretical development in the hospitality CG literature and offers valuable insights for both scholars and practitioners in understanding and managing CG practices in the hospitality sector. • This study presents a framework to understand free riding in hospitality corporate giving. • The free rider problem occurs when firms benefit from others' corporate giving without contributing themselves. • The model is based on cournot competition with rational, profit-maximizing hospitality firms. • This study provides insights for strategies to mitigate the impact of the free rider problem. [ABSTRACT FROM AUTHOR]

The aim of the article is to analyze the influence of certain types of cash flows (from operating, investing, and financing activities) on the change in cash balances, i.e. total cash flows in economic entities. The article uses a deterministic cash flow model based on the formula of the cash flow statement according to which the total cash flow, i.e. net change in cash, is the sum of the operating cash flows, investment income minus investment expenditure, increased by financial income and reduced by financial expenditure. The results of the research indicate that Polish listed companies that are subject to the research are characterized by positive operating cash flow, low capital expenditures and low financial inflows in the years 2009-2019. A contribution to the theories and practice is the broadening of knowledge in finance theory on cash resources, which were confirmed by research and conclusions concerning the analysis of Polish joint-stock companies in the emerging market. The study indicates substantial cash accumulation, low use of external financing, i.e., high financial flexibility. The deterministic model of cash flows presented and used in the article is to support managerial decisions. The analyzed model may constitute the basis for building an IT system that could be used to manage the finances of enterprises. The system will use cash data, which is an important and better source of information than accrual data. [ABSTRACT FROM AUTHOR]

In an era where sustainability demands are increasing, green innovation (GI) is garnering widespread acclaim for its profound social and environmental benefits. This study explores how GI affects productivity and efficiency in Norwegian service and manufacturing firms, using a state-of-the-art stochastic frontier model (semi-parametric smooth coefficient) tailored to analyze firm-specific impacts essential for competitiveness in a green economy. We identify two main pathways through which GI affects productivity: technological heterogeneity and shifts in inefficiency. The impact on technology is split into neutral (direct) and non-neutral (indirect) effects, with the neutral effect being independent of factor inputs, and the non-neutral effect being influenced by both technology heterogeneity and input levels. We evaluate the marginal effects of GI on productivity through technology and inefficiency. Our GI construct includes innovations such as reduced material/energy use, lower CO2 emissions, noise reduction, hazardous material substitution, and adoption of renewable energy. Analyzing data from 3,130 Norwegian firms, our findings highlight the crucial role of GI in sustainability, underscoring its strategic importance across sectors. We find a positive neutral pathway effect but negatively impacts productivity through non-neutral pathways. GI also positively influences inefficiency, particularly in manufacturing. • Introduce green innovation (GI) as a dual-edged factor influencing firm productivity. • GI boosts productivity through a direct pathway via technological advancements and sustainability benefits. • It increases inefficiency, particularly within manufacturing sectors in the short run. • It also reduces productivity through an indirect pathway via adjustment costs, inefficiencies, and disruptions. • Provide empirical evidence using Norwegian service and manufacturing firms. [ABSTRACT FROM AUTHOR]

This paper presents findings on Middle Eastern immigrant entrepreneurs in Australia. The extent to which perceived discrimination and acculturation influence their social and psychological capital, and the effects of social and psychological capital on their firm performance, are explored. We found that such immigrants, who are highly acculturated to the mainstream culture, not only tend to have many social interactions outside their community but also possess strong psychological capital. Although perceived discrimination has been associated with low social involvement outside an immigrant community, we found that perceived discrimination does not exert a statistically significant effect on psychological capital. Importantly, both social and psychological capital are found to exert positive effects on firm performance. The findings have implications for enhancing the capacity of policy makers to provide high impact to immigrant entrepreneurs. Specific interventions are suggested to assist such entrepreneurs to leverage their social and psychological capital. [ABSTRACT FROM AUTHOR]

This study examines the effect of national economic development (NED) on the relationship between Environmental, Social, and Governance (ESG) and firm performance. While ESG principles are embraced collectively by firms and nations, the influence and benefits of implementing ESG practices may vary across countries and firms operating within them. Drawing on the market-orientated perspective and Maslow's hierarchy of needs model, we attempt to fill the gap within the global hospitality context by examining NED as a country-level boundary condition. With a sample of 1383 observations of global hospitality firms from 2002 to 2022, the findings suggest that the more economically developed a country is, the more firms can generate firm performance by engaging in sustainability performances. Moreover, it suggests the varying effects of individual ESG factors on firm performance regarding their short- and long-term effects. The study findings have important implications, providing valuable insights for researchers, policymakers, and practitioners. • This study tests the effect of Environment (E), Social (S), and Governance (G) on firm performance (FP). • This study examines the moderating role of national economic development (NED). • This study adopts the market-oriented perspective and Maslow's hierarchy of needs framework. • The findings generally show a negative main effect of E and S on FP, and a positive effect of G on FP. • The findings confirm a positive moderating role of NED for E and S, but not G. [ABSTRACT FROM AUTHOR]

This study examines the nexus between rookie independent directors and corporate dividend payouts among Chinese A-share firms between 2006 and 2020. The empirical results imply that rookie independent directors lead to enhanced corporate dividend payouts. This positive association is less pronounced in the presence of strong governance factors such as foreign ownership, Big-4 auditors, and higher analyst coverage. We identify that firm operating performance can work as a channel in the nexus mentioned above. Lastly, in light of our findings, we recommend that policymakers and shareholders in China should give adequate attention to rookie independent directors since they guard the interests of shareholders by efficiently and effectively monitoring corporate management. [Display omitted] • Rookie independent directors lead to enhanced corporate dividend payouts. • This association is less pronounced in the presence of strong governance factors. • Firm operating performance can work as a channel in the nexus mentioned above. • Policymakers should give adequate attention to rookie independent directors. [ABSTRACT FROM AUTHOR]

In today's rapidly evolving digital landscape, knowledge digitization, facilitated by advanced tools such as artificial intelligence, big data, blockchain, and cloud computing, has captured significant scholarly attention. To comprehensively explore the implications and outcomes of this knowledge digitization trend, our study delves into its impact on the performance of high-tech firms. Based on the knowledge-based view, we develop a moderated mediation model to examine the mediating role of business model innovation and the moderating effect of entrepreneurial orientation in the relationship between knowledge digitization and firm performance. To test our hypotheses, we employ the PLS-SEM method, analyzing data from a sample of 291 Chinese high-tech firms. Our findings indicate that knowledge digitization has a positive effect on firm performance, and both types of business model innovation—novel and efficient—partially mediate the positive relationship. Additionally, entrepreneurial orientation is found to strengthen the relationship between knowledge digitization and business model innovation. However, it does not significantly moderate the connection between knowledge digitization and firm performance. Our research offers actionable insights for strategic development in the digital era and makes a substantial contribution to the existing body of knowledge in this field. • The effects of knowledge digitization on firm performance. • The mediating role of business model innovation and the moderating role of entrepreneurship orientation. • Data from 291 high-tech firms in China was examined. [ABSTRACT FROM AUTHOR]

This research aims to empirically examine the impact of capital structure and innovation on firm performance among small and medium-sized (SMEs) Mexican manufacturing firms and analyze the indirect effects of capital structure to determine mediating effects of innovation. A quantitative approach and cross-sectional design were applied through the Partial Least Squares Structural Equation Modeling (PLS-SEM). A simple random sampling technique and a self-administered questionnaire was used to gather data from a sample of 220 managers or business owners in the state of Aguascalientes, Mexico. The results indicate that capital structure has a significant impact on innovation and only an indirect effect on firm performance. Due to the innovation demonstrated to have a significant full mediating role in this relationship if SMEs want to have better firm performance, they must increase their level of innovation. Therefore, decision-makers must pay special attention to the reinvestment of their profits to increase the levels of innovation and firm performance. [ABSTRACT FROM AUTHOR]

The primary purpose is to investigate the differences in gender behaviour in board directors in an IT investment decision-making. A systematic literature review is carried out to provide impactful research related to gender and IT investment. Results show that gender plays a pivotal role in shaping board directors' conduct in an IT investment decision-making where male and female leaders have specific attributes that will contribute to a successful IT investment decision-making. Moreover, the results also can be used as a fundamental for enterprises to change their policy regarding gender equality in a workplace to create a more diverse working environment. [ABSTRACT FROM AUTHOR]

This study attempts to take a close look on corporate governance, board practices and performance of shipping firms in Bangladesh. The study has conducted a survey on 24- shipping firms operated in Bangladesh and collected perceptional data from top tier executives and factual data from firms balance sheet and income statement. The results of descriptive statistics show that most of the firms' managers are not aware about the corporate governance and board practices of the firm. Moreover, there is significant lack of transparency in the board practices documented among the shipping firms in this study. The results of regression analysis confirm that board ownership, board leadership, board size, and firm size have significant impact on firm performance. Moreover, factual analysis results show that board leadership has significant impact on firm performance. However, this study also confirmed that board composition has no significant impact on firm performance in the context of Bangladeshi shipping firms. Thus, this is of the essence to spotlight on corporate governance policies in the shipping firms to make legal aspects of board practices to escalate the growth of shipping industry in Bangladesh. [ABSTRACT FROM AUTHOR]

The main purpose of this paper is to introduce what affects the firm to diversify. This paper is based on an empirical analysis of a sample of 453 manufacturing companies in India. Jacquemin-Berry Entropy-Index measure has been used to measure diversification; whereas to determine the factors affecting diversification strategy, Panel Tobit Regression Analysis has been applied. The research findings indicate that firm-specific antecedents influence the decision to diversify. Corporate managers should follow a prudent behaviour while adopting strategic planning for the growth of the company. Managers should have to conduct proper statistical analyses to find out a firm's optimal level of corporate diversification for maximising the firm performance. [ABSTRACT FROM AUTHOR]

The study assessed the direct effect of organisational sustainability on firm performance. The moderating role of control environment in the nexus amidst organisational sustainability and performance was also examined. Survey and cross-sectional research designs were adopted. SMEs in all the regions in Ghana formed the population. Structured questionnaire was used to collect data. 384 SMEs formed the sample size. Data was analyzed using structural equation modeling in Amos (v.23). The three dimensions of sustainability were found to influence SMEs performance. Moreover, control environment was found to moderate the nexus between the three dimensions of sustainability and performance. It is recommended that management of SMEs should improve organisations' control environment. It is recommended that although there are no specific and detailed governance principles for SMEs in Ghana, managers of SMEs should apply governance principles such as upholding integrity and honesty, and understanding and accepting their responsibilities. • SMEs are generally undercapitalized and resource-constraint to adopt practices outside their core objective. • Social sustainability has significant negative effect on SMEs performance. • Social sustainability directs resources meant for shareholders to the society. • The presence of control environment will reduce the negative effect of social sustainability on firm performance. [ABSTRACT FROM AUTHOR]

In today's rapidly changing business landscape, organizations increasingly invest in different technologies to enhance their innovation capabilities. Among the technological investment, a notable development is the applications of big data analytics (BDA), which plays a pivotal role in supporting firms' decision-making processes. Big data technologies are important factors that could help both exploratory and exploitative innovation, which could affect the efforts to combat climate change and ease the shift to green energy. However, studies that comprehensively examine BDA's impact on innovation capability and technological cycle remain scarce. This study therefore investigates the impact of BDA on innovation capability, technological cycle, and firm performance. It develops a conceptual model, validated using CB-SEM, through responses from 356 firms. It is found that both innovation capability and firm performance are significantly influenced by big data technology. This study highlights that BDA helps to address the pressing challenges of climate change mitigation and the transition to cleaner and more sustainable energy sources. However, our results are based on managerial perceptions in a single country. To enhance generalizability, future studies could employ a more objective approach and explore different contexts. Multidimensional constructs, moderating factors, and rival models could also be considered in future studies. • Big data analytics has a profound impact on firm innovation capability. • Both technological cycle and business cycle can be influenced by applications of big data analytics. • Big data analytics can help in fighting against climate change and could facilitate green energy transition • Effective applications of big data analytics can enhance firm performance. [ABSTRACT FROM AUTHOR]

Blockchain technology is a disruptive innovation that can accelerate carbon neutrality while maintaining business growth. However, its full potential has yet to be fully understood due to the complexity of its technical and socio-environmental characteristics. Drawing on socio-technical theory, this study aims to explore the main antecedents and their influencing mechanisms on blockchain-based low-carbon emission management, as well as investigate whether reducing carbon emissions leads to improved firm performance. Using data from 395 online respondents recruited from Chinese companies, the results of PLS-SEM indicate that cost-benefit efficiency, socio-environmental competitive pressure, and environmental legitimacy positively influence both the basic and auxiliary adoption of blockchain in low-carbon emission management. Additionally, relative advantage and regulatory policy partially influence the adoption of blockchain, while technology readiness has no significant effect on either basic or auxiliary adoption. Furthermore, both the basic and auxiliary adoption of blockchain contribute to carbon emission reduction and improve firm performance (i.e., operational, economic, and social performance). The findings of this study will contribute to the growing literature and managerial practice regarding blockchain technology and carbon neutrality. [ABSTRACT FROM AUTHOR]

Despite several research evaluating the connection between sustainability and the bottom line of firms, the existing research is inconclusive. In addition, most studies focus on multinational firms based in the United States or Europe, while research in the context of emerging economies is scant. This paper endeavours to investigate the strength of the association between Environment, Social and Governance (ESG) disclosure scores and the financial performance of 272 Indian firms listed on National Stock Exchange for the period 2015 to 2021 by employing panel data regression techniques. The results indicate that organisations having better ESG performance outperform their industry peers financially and are valued more by the market. Moreover, the data indicates that financial markets for lenders consider ESG disclosure when determining creditworthiness. In accordance with this, businesses can examine their operations and become more aligned with eco-friendly methods. Even though ESG disclosure appears to be associated with improved financial success, this is not the case across all industries and during COVID-19 pandemic. This study is relevant due to the growing significance of sustainability and the role of emerging nations in international commerce. It helps managers prioritize resource allocations to ESG-related activities that may affect financial performance differently across industry sectors, thus adding to the literature on the financial effects of ESG disclosures, particularly industry-specific aspects. This research represents a pioneering effort by assessing the impact of ESG disclosure on the profitability, market value, and cost of financing of Indian firms using both aggregation and disaggregation methods. [ABSTRACT FROM AUTHOR]

• Impact of geopolitical risk (GPR) on corporate lobbying behavior has been studied. • Firms restrain lobbying expenditures when global and US-specific GPR increase. • Geopolitical acts have greater impacts than geopolitical threats. • Firms with powerful CEOs lobby more. • Powerful CEOs help firms perform better through increased lobbying during high GPR. We offer fresh empirical evidence on the impact of geopolitical risk (GPR) on corporate lobbying behavior. Using a US sample, we show that firms, on average, scale down their lobbying expenditures when global and US-specific GPR increase. Geopolitical acts have a more negative impact than geopolitical threats. These outcomes remain resilient after controlling for firm-level political action committee (PAC) campaign contributions. Utilizing matched samples, we further show that CEO power moderates this effect, implying that firms with powerful CEOs lobby more when geopolitical risks are high. Finally, we demonstrate that firms with powerful CEOs that intensify their lobbying efforts exhibit stronger financial performance during geopolitical crises. Our findings are consistent with the stewardship perspective of CEO behavior. [ABSTRACT FROM AUTHOR]

This research focuses on the cash conversion cycle as a crucial metric for evaluating short-term firm performance. Despite its importance, there has been limited investigation into the relationship between the cash conversion cycle and firm performance within the five major emerging markets, namely Brazil, Russia, India, China, and South Africa (BRICS) as a single region. To bridge this gap, our study examines this relationship using a comprehensive dataset spanning the period of 2009–2019. Employing a set of regression analyses namely, seemingly unrelated regression, system generalized method of moments, dynamic quantile regression, and difference-in-difference regression, we provide empirical evidence indicating an inverse association between cash conversion cycle and firm performance across all BRICS countries. Specifically, firms with longer cash conversion cycle periods exhibit lower profitability compared to those with shorter cash conversion cycle periods. Moreover, our analysis incorporates various control variables encompassing firm and country characteristics, which also display significant relationships with firm performance. These empirical findings are robust, aligned with existing theoretical frameworks, and support the cash conversion cycle theory. The outcomes of this study offer valuable insights for investors, policymakers, financial managers, and debt holders, contributing to their decision-making processes. • We examine this relationship between cash conversion cycle (CCC) and firm performance. • We use a large dataset from 2009–2019, and a seemingly unrelated regression model. • The duration of CCC impacts firm performance inversely across all sample countries. • The firms with longer CCC periods are less profitable. • The empirical results are robust, aligning with the theoretical foundation. [ABSTRACT FROM AUTHOR]

• We innovatively examine the impact of digital finance (DF) on corporate green innovation (GI) and bargaining power (BP), and the underlying mechanisms of DF on firm performance. • DF is conducive to improving firm performance. • DF has great potential to balance environmental protection and economic benefits. • GI and BP play the mediating roles between DF and firm performance. In the digital economy era, the disruptive technologies have boomed and reshaped firms in supply chains by finance digitalization towards a more sustainable way, while how digital finance (DF) affects firms' performance in supply chains remains still unclear. Meanwhile, the balance between environmental protection and economic benefits has become pivotal for firms to achieve sustainable development. As an effective means to promote green development, green innovation (GI) can provide opportunities for firms to establish a good image and gain competitive advantages. Besides, bargaining power (BP) determines the firms' profit allocation ratio in the supply chain. Firms with higher bargaining power can pressure suppliers to improve product quality or reduce wholesale price, and thus enhance corporate profits. Given that these two variables are crucial for stimulating firms' development in supply chains from a long-term perspective, we aim to investigate how these two variables are affected by DF and the influence mechanisms of DF on firm performance based on the data of Chinese listed companies from 2011 to 2018. Results indicate that DF can be regarded as a useful tool for firms to improve corporate performance. We adopt instrumental variable method to solve potential endogeneity concerns, and conduct a series of robustness tests to ensure the reliability of the findings. We also find DF can significantly enhance GI and BP, which in turn improve firm performance in supply chains. This paper advances the literature on innovation and purchasing management by drawing attention to the potential role of DF and by shedding new light on how DF contributes to sustainable development of firms, thus providing managerial insights for governments, firms, financial institutions to develop digital technologies and ensure the healthy development of firms in the supply chains. [ABSTRACT FROM AUTHOR]

• We find that minority shareholder activism (MSA) can significantly mitigate corporate default risk. • We propose two channels for MSA to reduce default risk: the "supervision" mechanism and the "good advice" mechanism. • The inhibitory effect of MSA on default risk is strengthened by favorable institutional environment, board secretary concurrently serving as other executives, and board secretary response. • The supervision role of MSA is substitution for those of analysts and institutional investors. Different from the majority of research studying minority shareholder activism (MSA) on shareholder side, this study investigates the impact of MSA from the perspective of creditors. Based on annual data of listed firms on SSE and SZSE from 2010 to 2020, we find that MSA significantly mitigates corporate default risk through two ways: the "supervision" way and "good advice" way. Such inhibitory effect is strengthened by favorable institutional environment, board secretary concurrently serving as other executives, and board secretary response. Furthermore, we find that the supervision role of MSA is substitution for those of analysts and institutional investors. Our findings provide evidence for strengthening the protection of minority shareholders and encouraging their participation in firm affairs. [ABSTRACT FROM AUTHOR]

This paper explores the relationship between Information and Communication Technologies (ICT) diffusion and labor productivity at the firm level. We propose a model that explains labor productivity based on firm-specific characteristics (sector, size, location and year fixed effects), on the level of diffusion of digital technologies, and on human capital. We use quantile regression techniques to gain a more precise understanding of the association between ICT's diffusion and labor productivity for a heterogeneous firm landscape. Our results show that more productive firms are able to extract higher gains from digitalization than low productive ones, which exacerbates productivity differences between them. This requires from a tailor-made policy agenda to promote firm convergence, focused on helping firms to extract the most of digitalization. • We explore the relationship between Information and Communication Technologies (ICT) adoption and labor productivity through firm-specific characteristics, the level of diffusion of digital technologies, and human capital. • The article focuses on how technological change can trigger economic transformations, making more productive firms to achieve higher economic gains from digital advances, in contrast to lagging firms, which are expected to be relegated far behind. • Our results also show how technological diffusion impacts are different across the labor productivity distribution. Differential impacts of the different technologies are widening the gap between less productive and more productive firms. • We can expect inequalities to increase in the future unless some policy actions are taken in advance to help less productive firms to make the most of digitalization. • Methodologically, we conduct estimates based on Unconditional Quantile Regressions to understand the heterogeneous effects that advanced digital technologies have on firm performance depending on their position in the productivity distribution. [ABSTRACT FROM AUTHOR]

The present study aims to determine the impact of green innovation (GI) on the overall performance of an organization while keeping the variable of environmental management (EM) as a moderator. We used a dataset consisting of four data years, from 2014 to 2017, of A-share companies listed on the Shanghai Stock Exchange (SSE). The concept of green innovation refers to the use of advancements in technology that enable savings in energy, along with the recycling of waste material. When advanced technology is utilized in the production process, the products are referred to as green products and the whole process of adopting such technologies and product design is referred to as "Corporate Environmental Management". Such innovations improve the overall financial performance of companies as it enables them to improve their social image by reducing their carbon footprint and ensures their long-term sustainability. The main issue is the limited focus and attention given to the topic, from the perspective of companies. This research focuses on the impact of green innovation and the importance of environmental management for the sustainability of companies. Our findings suggest that the relationship between green innovation and the performance of the company is positive and verifies the existence of moderating effects of environmental management on the relationship between green innovation and firm performance. Implications are given to academia and practitioners. [ABSTRACT FROM AUTHOR]

The study investigates the mediating role of e-commerce through organizational and environmental factors with small and medium enterprises (SMEs) performance. The study follows a cross-sectional survey method approach. The study's theoretical foundation is based on the resource-based view (RBV) and diffusion of innovation (DOI) theory. The current research identifies four manufacturing SMEs' strata based on participation in the country's exports using a stratified proportional random sampling technique. The research questionnaires were distributed among 700 top and middle-level managers of manufacturing SMEs. The data were analyzed by applying partial least square structural equational modeling (PLS-SEM) to examine the relationship between the exogenous, mediator, and endogenous variables. The finding reveals that top management support and competitive pressure have a significant positive impact on the use of e-commerce direct and mediation. At the same time, the adoption cost and government support have an insignificant impact on e-commerce usage. This study results can be used to enhance the use of e-commerce in Pakistan's manufacturing SMEs to improve the country's overall exports. [ABSTRACT FROM AUTHOR]

The present research investigates the contribution of environmental innovation to firms' competitive advantage through the case of medium and large-sized firms operating in Greece. Due to the growing trend of environmental innovation in Greece and a consequent increase in the research interest, this paper fills the existing gap in the relevant literature as there is not enough evidence concerning Greek firms' environmental innovation practices. To meet the research goal, a questionnaire was distributed to 892 medium and large-sized firms operating in Greece; 225 questionnaires were finally responded. The data is based on firms' self-assessment concerning environmental innovation and competitive advantage and are analyzed using both descriptive and inductive statistics, including principal components analysis and multiple linear regression. The research results show that the examined firms implement environmental innovation practices at a moderate level. The most common practices of environmental innovation are the implementation of ISO 14001 management systems and the toxic substances usage reduction. The percentage of ISO 14001 implementation is increased compared to the previous years. Furthermore, the regression analysis revealed that the components concerning environmental process innovation and environmental product innovation have a positive impact on the examined firms' competitive capability. The relationship between open innovation and environmental innovation and the contribution of open innovation dynamics are discussed as well. [ABSTRACT FROM AUTHOR]

Dynamic capabilities are creating dramatic change for the industry around the world. Resource-Based View (RBV) theory and Operational capability theory are the basic capabilities of an organization under a normal changing environment. This creates a competitive advantage and organizational success in a relatively short period of time, in which the dynamic environment is not sufficient to cope with this change. Dynamic capability is a concept for managing change under this dynamic environment. Past research supports a direct positive relationship between dynamic capability and firm performance but it did not focus on the mediator variables. This research emphasizes the influences of competitive advantages and innovation capabilities as mediators of dynamic capabilities and firm performance were investigated. A cross-sectional design study was utilised and questionnaires were submitted to 326 firms to test the proposed relationships. IBM SPSS Statistics Base 26, IBM SPSS AMOS 21, and PROCESS macro 3.6 were used for statistical analysis. Results revealed that competitive advantages and innovation capabilities were partially mediated by dynamic capabilities and firm performance. Findings contribute to the literature on empowering leadership and innovative firm performance by highlighting that competitive advantages and innovation capabilities act as mediators to improve dynamic capabilities and enhance innovative firm performance. [ABSTRACT FROM AUTHOR]

The rapidly increasing volume of goodwill assets in the capital market generates potential risks due to the possibility of an untimely recognition of goodwill impairment. In this paper, we investigate the financial consequences of goodwill impairment avoidance based on firms' future performance and stock prices. Using Chinese A-share listed firms with goodwill balances, we find that avoiding goodwill impairments negatively affects a firm's performance growth and increases its risk of a future stock price crash. These adverse effects continue for the three years following the goodwill impairment avoidance. Our results indicate that goodwill impairment avoidance has detrimental impacts on a firm's future performance and stock price and that these impacts are persistent. Our conclusions are helpful for regulators on how to prevent the risks hidden in goodwill impairment recognition and maintain the stable development of the financial market. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to assess the impact of entrepreneurial innovation strategies in environmental analysis and its impact on the performance of rural SMEs in developing countries, particularly in Kenya. The paper argues that improvements in rural SMEs through sustainable environmental analysis strategies can boost the performance of small firms in rural areas. A sample of 272 rural enterprises in Kenya was used as a framework. Partial least squares regression and correlation models are used for content analysis. The results show a nonsignificant influence of environmental instability on the performance of small firms in rural areas. However, by incorporating entrepreneurial invention strategies into environmental scanning, the results indicate a positive impact on the performance of rural SMEs. Entrepreneurs need to be aware of the importance of environmental innovation strategies to cope with disturbances and dynamism of the environment underpinning the performance of rural SMEs. The study suggests that policymakers need to create a conducive business environment through entrepreneurship training and business incubation programs for rural SMEs. The results provide information on the environmental analysis strategy and innovation management theory in defining the future of small business reengineering in rural areas. • Rapid environmental changes has a great impact on performance of rural SMEs. • Environmental analysis help entrepreneurs to develop appropriate strategies for rural SMEs. • SWOT analysis is essential for the growth and development of the firm. • Technology innovation is necessary for effective environmental analyses. • Entrepreneur innovative strategy determines rural SMEs' survival under dynamic environment. [ABSTRACT FROM AUTHOR]

This paper investigates the impact of CEO origin on firm performance in the context of a transitional country. Our analysis, which uses data from over 298,000 firms operating in Vietnam, shows that firms operating in a more favourable business environment are less likely to employ a domestic expert as their CEO. However, firms managed by a domestic CEO appear to outperform those run by a foreign peer, especially when they operate in an environment characterised by having low entry costs, low time costs, high transparency, high proactivity, adequate business support, and sufficient labour training. This result is more pronounced for larger firms. These findings are robust to various model specifications. The paper provides informative implications to market participants, policy makers, and academics. [ABSTRACT FROM AUTHOR]

• Performance-friendly regulation is illusion in China. • We document that investments and fees for environmental protection are mutually complementary in China. • We show that regulation in China leads to better firm performance but stimulate little for environment. Porter (1991) and follow-up scholars hypothesize that environmental regulation stimulates innovation to promote performance. As a complement to the existing literature, this paper reveals an ironic reality: performance-friendly regulation as a proxy for the "win–win" solution of environmental regulation is an illusion due to ineffective intensity for sustainability. With firm-level evidence from China, we measure the intensity of environmental regulation by a firm's investments for environmental protection (IEP) or fees for environmental protection (FEP). After identifying a positive causal effect on performance of IEP or FEP, we document that IEP and FEP are complementary and thus ineffective for sustainable development. We further document that the effects between IEP and FEP are mediated by performance insignificantly from an economic perspective, thereby revealing the incentive incompatibility of a firm in IEP and FEP. [ABSTRACT FROM AUTHOR]

We explore the relations between firms' internal capabilities, national governance quality (NGQ) and performance in the African context using a dataset comprised of 11,183 firm-year observations (1490 unique firms from 15 African countries over a 17-year period). Our study offers new insights into how interlinkages between firms' internal and external environment, shape corporate success. Specifically, we find that (1) firms' internal capabilities (captured by financial resource-availability and growth prospects) are critical enablers of performance in both weak and strong institutional environments, (2) individual firms perform well in environments where their peers performs well, (3) NGQ directly enhances aggregate firm performance, and in tandem, the performance of individual firms, and (4) NGQ moderates the capability-performance nexus, by enhancing the translation of growth opportunities into profitability. The results highlight the critical role of firm-level financial resource availability and growth prospects in shaping corporate success in this challenging institutional environment. [ABSTRACT FROM AUTHOR]

While top executives make strategic decisions for corporate social responsibility (CSR), the composition of top management team (TMT) in the relationship between CSR and FP has yet to be explored in the hospitality literature. Building on the upper echelons, human capital, and stakeholder theories, this study focuses on the moderating role of four TMT diversity types, gender, age, industry experience, and tenure, in the CSR-FP relationship. This study found that diversity in TMT age and industry experience positively moderate the CSR-FP relationship, while tenure diversity negatively moderates such relationship and gender diversity is not a significant moderator. This study sheds light on the benefit of a more diverse hospitality firm TMT in terms of CSR, which extends the theoretical discussion about the effect of CSR on FP. Hospitality industry practitioners and relevant stakeholders can be illuminated by the advantages of a more diverse TMT that can efficiently utilize CSR to contribute to FP. • This study examines the effects of TMT diversity on the CSR-FP link. • TMT age diversity positively moderates the impact of CSR on FP. • TMT experience diversity positively moderates the impact of CSR on FP. • TMT tenure diversity negatively moderates the impact of CSR on FP. • TMT gender diversity does not significantly moderate the impact of CSR on FP. [ABSTRACT FROM AUTHOR]

It is a controversial question of whether environmental regulation can achieve the double dividend of improving environmental quality and increasing employment and income. This paper takes Chinese migrant population as the main research object and uses the Chinese Household Income Projects data (CHIPS) and the emission data of major pollutants at the prefecture-level city jointly. Based on the classic Mincer wage equation, we investigate the impact and mechanisms of environmental regulation on the income of Chinese migrant population. The results show that: (1) The intensity of environmental regulation significantly improves the income level of the migrant population, and for every 1% increase in the intensity of environmental regulation, the wage income of the mobile population will rise by 4.96%. (2) The documented positive effect of environmental regulation is more significant in non-public firms, the eastern regions and high-skilled workers. Conversely, for the female and elderly group, 1% increase in environmental regulations will restrain their income growth by 4.95% and 0.37%, respectively. (3) The influencing mechanisms include both the direct effect of labor demand and the indirect effects of firm performance and technological innovation. (4) we find that 1% increase in environmental regulations respectively raise the income of the low- and moderate-income migrant population by 10.834% and 3.579%, while having no significant impact on the high-income group, thus reducing the income gap of the migrant population. The findings of this paper provide theoretical support and practical evidence for achieving a coordinated development of ecological environmental protection and income improvement for socially disadvantaged groups in China. [ABSTRACT FROM AUTHOR]

• Board informal hierarchy positively affects firm innovation. • The impact is positively moderated by board size and environmental dynamism and negatively moderated by CEO's rank in informal hierarchical and company performance. • Board informal hierarchy based on external director positions, government experience, tenure, and gender have significant positive effects on firm innovation. Using data from Chinese listed companies from 2008 to 2021, we investigate how board informal hierarchy affects firm innovation. We find that: (1) Board informal hierarchy positively affects firm innovation. (2) The impact is positively moderated by board size and environmental dynamism and negatively moderated by CEO's rank in informal hierarchical and firm performance. (3) Board informal hierarchy based on external director positions, government experience, tenure, and gender have significant positive effects on firm innovation. [ABSTRACT FROM AUTHOR]