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This study analyzes whether International Financial Reporting Standards (IFRS) adoption and the presence of Big Four auditors affect the earnings quality of UK private small and medium-sized enterprises (SMEs). Using data covering 2011–2018, we show that IFRS adoption is not significantly associated with earnings quality. This may be because SMEs' smaller size and simpler business model mean that only a few accounting rules are relevant for them. The high quality of UK domestic accounting standards may also explain this result. Furthermore, we find that the presence of Big Four auditors results in lower earnings quality, in contrast to prior research results. The advisory role played by Big Four auditors for SMEs and UK tax authorities' less monitoring of financial statements may contribute to this result. Our findings offer new insights into the potential impact of IFRS adoption on private SMEs' earnings quality and suggest that policymakers aiming to enhance earnings quality should carefully consider the advisory role of auditors in SMEs' financial reporting. [ABSTRACT FROM AUTHOR]

Seafood fraud is commonly reported on food fraud databases and deceptive practices are highlighted by numerous studies, with impacts on the economy, health and marine conservation. Food fraud assessments are a widely accepted fraud mitigation and prevention activity undertaken to identify possible points of deception within a supply chain. This study aims to understand the food fraud vulnerability of post-harvest seafood supply chains in the UK and determine if there are differences according to commodity, supply chain node, business size and certification status. The SSAFE food fraud vulnerability assessment tool was used to assess 48 fraud factors relating to opportunities, motivations and controls. The analysis found seafood supply chains to have a medium vulnerability to food fraud, with the highest perceived vulnerability in technical opportunities. Certification status was a stronger determinant of vulnerability than any other factor, particularly in the level of controls, a factor that also indicated a higher perceived level of vulnerability in smaller companies and the food service industry. This paper also reviews historic food fraud trends in the sector to provide additional insights and the analysis indicates that certain areas of the supply chain, including uncertified prawn supply chains, salmon supply chains and food service companies, may be at higher risk of food fraud. This study conducts an in-depth examination of food fraud vulnerability relating to the UK and for seafood supply chains and contributes to a growing body of literature identifying areas of vulnerability and resilience to food related criminality within the global food system. [ABSTRACT FROM AUTHOR]

Using a sample of United Kingdom (UK) non-financial firms from 2009 to 2021, this paper examines the operating performance effect of aggressive and moderate use of trade payables and bank credit. The results demonstrate a hierarchical effect of the use of short-term credit on firms operating performance. In particular, the results show that aggressive use of bank credit achieves higher operating performance, followed by moderate use of trade payables and bank credit and then aggressive use of trade payables. We further document that operating performance of firms dealing in differentiated products, lower firm size, firms with higher market power and financially stable firms' increases with aggressive and moderate use of trade payables and bank credit. Overall, the results indicate that firm operating performance is an increasing function of bank credit use and demonstrate the importance of short-term credit policies on firms' operating performance. The results are robust after using a novel approach in addressing the issue of endogeneity. [ABSTRACT FROM AUTHOR]

Motivated by the introduction of the UK Gender Pay Gap Reporting legislation to large firms, defined as over 250 employees, we use linked employee–employer panel data from the Annual Survey of Hours and Earnings to explore pre‐legislation variation in the gender pay gap by firm size. In doing so, we contribute to the evidence on the relationship between two prominent empirical regularities in the labour economics literature, namely the gender pay gap and the firm‐size wage premium. We find that both the raw and adjusted gender pay gaps increase with firm size in the UK private sector, even after controlling for unobserved worker heterogeneity, consistent with the legislation being targeted effectively. However, this conclusion changes after accounting for unobserved firm‐level heterogeneity. Large firms have smaller within‐firm raw gender pay gaps and similar adjusted gender pay gaps when compared to smaller firms. Our findings are not specific to the current definition of large firms but hold more generally, including at alternative proposed size thresholds. [ABSTRACT FROM AUTHOR]

This paper investigates how the aftermath of the 2008 crisis affected firm productivity in the UK, focusing particularly on the cohort effect of firms established after 2008 – a previously overlooked aspect of the crisis – as well as the interaction with access to credit, which we test using firm‐specific and time‐varying credit scores. For identification, a matched sample is used based on credit score, firm age, size and ownership status, combining propensity score matching with difference‐in‐differences. While we find evidence that smaller firm size and changes in credit conditions affect productivity, about half of the difference in productivity remains unexplained. When we extend the matching analysis to examine across sectors and cohorts, we find that the low productivity performance during the years 2011–2016 is driven primarily by newer firms in the services sector, rather than in manufacturing. Within services, the underlying productivity puzzle is driven by a cessation of output growth in high‐productivity financial services, while abundant labour supply has led to a 'levelling down' of performance of newer firms in other services, converging towards the relatively low‐productivity manufacturing. [ABSTRACT FROM AUTHOR]

Purpose: This paper aims to examine the association between income smoothing and the cost of debt in two different countries, namely, the UK and Nigeria. Design/methodology/approach: The authors used a sample from listed firms in the UK and Nigeria during 2000–2019. The study hypotheses are examined by implementing quantitative methods, including panel regression analysis, cross-sectional regression analysis and parametric independent samples t-test. Findings: The results reveal that Nigerian companies have a substantially higher cost of debt and are more active in using income-smoothing practices. However, the relationship between income smoothing and the cost of debt is not found to be statistically significant in both countries. Besides, the results of this study show that financial leverage, profitability, company size and asset turnover are significantly associated with the cost of debt. Originality/value: The study contributes to the existing literature by providing new insights concerning the contrast between developed and developing countries in financial and reporting issues. [ABSTRACT FROM AUTHOR]

Purpose: This research investigates the role of marketing channel selection in influencing brand authenticity and purchase likelihood in the international marketing domain. Further, perceived firm size is identified as a mediator in this regard. The moderating role of consumer skepticism is also considered. Design/methodology/approach: Three experimental studies were carried out across three different markets (India, the US and the UK) in the context of South Korean brands. Findings: The findings demonstrate that firms utilizing (only) online channels are perceived to be smaller than those that utilize hybrid channels (i.e. both online and physical stores) or offline channels (i.e. physical stores). When consumers perceive firms to be smaller, they also report higher levels of brand authenticity, which in turn increases their purchase likelihood. Further, this effect is weaker among consumers with high levels of skepticism. Originality/value: The findings of the present research contribute to the international marketing literature by demonstrating how consumers perceive online marketing channels, the role of marketing channel selection in driving brand authenticity, as well as providing managerial implications on how to promote products in the international market. [ABSTRACT FROM AUTHOR]

This study examines insider lobbying as a form of relational Corporate Political Activity (CPA) that can be used by firms to gain an advantage in the competition for government contracts, and how firm size moderates the effectiveness of different insider lobbying strategies. Drawing on a unique dataset that captures meetings between private companies and British government ministers, we find that both the breadth and depth of insider lobbying are positively related to the value of the contracts awarded by the UK Ministry of Defence. Further analysis reveals that the benefits from a strategy of lobbying depth are stronger for small firms, than those from a strategy of lobbying breadth. The findings suggest that the bridging and bonding social capital cultivated through meetings with politicians can be deployed in alternative ways by different‐sized firms. [ABSTRACT FROM AUTHOR]

Investing in information technology allows firms to enhance their capabilities and performance and in doing so grow and create value. Yet we still lack a detailed understanding about how this process occurs. In this paper we are able to trace out the pathway from identifying an opportunity to invest in ICT, through the decision to realise an investment or not, and if it does progress at what scale. Using a large bespoke UK business survey about investment decision-making, our initial results show that 72% of firms had an ICT investment opportunity but, of those who had an opportunity, only 70% took advantage of their opportunity. Of those that did the scale of investment was between £50,000 and £100,000 on average. ICT opportunities, investments, and scale of investment were increasing in firm size but negatively related to firm age. Investment scale rose as the ability to secure equity funding increased. In this respect, smaller firms may be at a relative disadvantage in terms of their ability to take advantage of ICT opportunities and this is problematic as they are also less likely to identify opportunities per se. [ABSTRACT FROM AUTHOR]

• Between 2014 and 2017, the Pound depreciated against the Dollar due to monetary and institutional factors. • The effects of exchange-rate depreciation on the trade balance are heterogeneous among the UK's industries. • Following the currency depreciation, science-based industries tend to show a long-run negative effect. • The ARDL methodology is suitable for investigating the dynamics of exchange rates and the trade balance in the short and long runs. Between May 2014 and April 2017, the Pound Sterling depreciated substantially against the Dollar. The objectives of this paper are: 1) to investigate how that depreciation affected the main British industries; 2) to verify whether the trade asymmetries following the currency depreciation can be explained by considering the technological features of the industries as represented in the Pavitt Taxonomy. Using an ARDL methodology, our study analyses the effects of this depreciation for the UK with respect to the USA. We employ industry-level data at monthly frequency for the period 2010–2019. In detail, our estimation suggests that only in four industries out of thirty did the Trade Balance improve in the long run, while it worsened in eight. Moreover, our analysis shows that the Pound Sterling's depreciation against the Dollar had a long-run negative effect on the science-based UK industries. Finally, the size of industries does not seem to give clear indications as to long-term dynamics. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to introduce the perceived systems intelligence (SI) inventory, developed based on the earlier published self-report SI inventory (Törmänen et al., 2016). It can be used together with earlier managerial level tools for building a learning organization and included in general 360-style evaluations in personnel development. Design/methodology/approach: The inventory is validated with confirmatory factor analysis with a model based on the self-report SI inventory, using data from full-time used employees and managers in the USA and UK. Perceived SI factor scores are correlated with the perceived study performance of the individual. Findings: The perceived SI inventory is found to have good factorial validity, and it correlates strongly with evaluations of perceived study performance. Managers perceived high in performance are also found to score high in perceived SI. Perceived SI does not depend on gender, age, organization size or industry. Originality/value: The perceived SI inventory is the first personnel level peer evaluation tool suggested for developing learning organizations. The new inventory makes peer evaluations possible and provides a new grassroots level tool for personnel development programs in learning organizations. [ABSTRACT FROM AUTHOR]

This paper reports managers' perceived importance of various stakeholders' pressure in their greenhouse gas (GHG) disclosure decisions. We also report on which stakeholders explain the variation in the extent of GHG disclosures. Further, evidence of how firm size moderates the relationship between some stakeholders and GHG disclosure is provided. Data were obtained through a mail survey of the United Kingdom's FTSE 100 listed firms, to which 62 firms responded. GHG disclosures within the respondents' annual reports were scored, and regression analysis was undertaken to determine if a relationship existed between actual GHG disclosures and the rating assigned to the stakeholders. The results indicate that the provider stakeholder group (shareholders, investors and community) is perceived to have the most significant influence on managers' GHG disclosure decisions, followed by government regulators, organisational (employee, customers and suppliers) stakeholders and social (competitors, NGOs and media) stakeholders, respectively. Regression results show a positive and significant relationship between perceived organisational and regulatory stakeholder pressure and actual GHG disclosures. However, the relationship between providers and social stakeholders and GHG disclosure is not significant. The findings further suggest that the relationships between organisational and regulatory pressure are moderated by firm size. The results have important implications for policymakers. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to analyse the relationships between board processes, board role performance and board effectiveness for a cross-country (UK and Romania) sample of comparable European listed companies. Design/methodology/approach: The research design is quantitative in nature and based on the survey method, a self-administered questionnaire which was send to 342 chairmen of selected Romanian and British listed companies and which contains validated statements measured through a seven-point Likert-type scale and grouped in validated constructs. Findings: This study found further empirical evidence that board processes are stronger determinants of board effectiveness than board characteristics and that board roles mediate the relationship between board processes and board effectiveness. It further confirmed the relevance of the three board processes mentioned by Forbes and Milliken (1999) in their seminal work on board decision-making. Research limitations/implications: The main limitation of this study is the relatively small number of responses (55), which indicates a reduced reliability and generalizability of the results. However, several steps were taken to assure the homogeneity of the sample, starting with a unique data set of firms of comparable size and industry representation. Practical implications: This study is useful to board directors and chairmen of listed companies, as it can help them to better understand and manage board behaviour. Originality/value: This study contributes to the limited body of research that investigates specific board process constructs derived from the small team literature and their effect on board effectiveness. [ABSTRACT FROM AUTHOR]

This article advances knowledge on the diversity and heterogeneity of women-led small and medium-sized enterprises (SMEs) in the United Kingdom by analysing how gender intersects with ethnicity and place to influence their engagement in innovation. We adopt an intersectional perspective, and base our analyses on the Longitudinal Small Business Survey (LSBS) data of 29,257 SMEs over the period 2015–2018. Our findings suggest that despite their limited number, as well as firm size and industry sector constraints, women-led SMEs are actively engaged in innovation activities. In addition, our results on the effects of intersecting categories of gender, ethnicity and place on innovation, further emphasise the heterogeneity of women-led SMEs, both with regard to their likelihood to engage in innovation, as well as the place where innovation is most likely to occur. Implications for policy and practice are highlighted. [ABSTRACT FROM AUTHOR]

This article aims to shed light on the presence and importance of a significant number of small firms amongst serial innovators. Contrary to the common expectation in the innovative persistence literature, we posit that small serial innovators also benefit from operating within patterns of creative accumulation. However, it is in the quality of the technology and in the very nature of the knowledge accumulation process that the differences between small and large serial innovators can be found. Using a sample of 811 UK-based, highly innovative companies that patented over 66,000 inventions from 1990 to 2006, we find evidence in support of our theory. While large serial innovators experience higher innovation rates due to the scale of their innovation efforts, small serial innovators benefit more from processes of search depth characterized by the internal recombination of their previous knowledge. We find that important differences exist also in the very nature of the technologies being developed by small and large serial innovators. [ABSTRACT FROM AUTHOR]

We investigate the determinants of financial performance of UK insurance companies based on their financial strength ratings. We use data from the A.M. Best Insurance for 49 UK insurers for 2006–2009. Our findings show that profitability, liquidity, size and organisational form are the significant determinants that affect financial performance of insurance companies in the UK. We recommend an effective, alternative variable to more effectively measure the size of an insurance company, which is based on the gross premium written. We find that gross premium written is more appropriate for measuring company size in the insurance industry. [ABSTRACT FROM AUTHOR]

The British census asked employers to record their workforce numbers. The responses to this instruction provide a unique resource on firm size. While the responses were digitized and included in the Individual Census Microdata (I-CeM) deposit, their format limits their utility. A further data deposit, the British Business Census of Entrepreneurs (BBCE), overcomes I-CeM's deficiencies by infilling data gaps and parsing employer and workforce data into separate fields. This paper evaluates the coverage in I-CeM and BBCE data for this specific census question, and compares these with the published census analysis of the same data. The results prove the benefits of the BBCE data over I-CeM on the subject of firm size, and demonstrate the need for caution in using the published tables. [ABSTRACT FROM AUTHOR]

We draw on insights from the fitness landscape literature and from models of firm dynamics with learning to hypothesise that: (i) firms in industries with higher company age or size heterogeneity have higher exit hazard after controlling for age, size, and a variety of other predictors of firm survival; and (ii) higher levels of R&D investment mitigate the hazard-increasing effects of industry firm heterogeneity after controlling for the direct effects of R&D intensities at industry and firm level. We test for these novel sources of selection with evidence from a panel dataset of 35,136 R&D-active UK firms from 1998 to 2012 and a range of discrete-time hazard estimators. The findings, which remain robust to multiple sensitivity checks, offer two novel contributions to the literature: (i) firm heterogeneity is not just a passive precondition for subsequent selection process in industry evolution; this heterogeneity enhances selection as more firms might be stranded in suboptimal positions; (ii) firms in more heterogenous industries can mitigate the hazard-increasing effects through R&D investment that facilitates adaptation and search for better fitness locations. [ABSTRACT FROM AUTHOR]

New drug introductions are key to growth for pharmaceutical firms. However, not all innovations are the same and they may have differential effects that vary by firm size. We use quarterly sales data on UK pharmaceuticals in a dynamic panel model to estimate the impact of product (new drugs) and marketing (additional pack varieties) innovations within a therapeutic class on a firm's business unit growth. We find that product innovations lead to substantial growth in both the short and long run, whereas a new pack variety only produces short-term effects. The strategies are substitutes but the marginal effects are larger for product innovations relative to additional packs, and the effects are larger for smaller business units. Nonetheless, pack introductions offer a viable short-term growth strategy, especially for small- and medium-sized businesses. [ABSTRACT FROM AUTHOR]

We analyse how patent thickets affect entry into patenting. A model of entry into patenting that allows for variation in technological opportunity, technological complexity and the extent of patent thickets is developed and analysed. Using UK data we then show that patent thickets are associated with a reduction of first time patenting in a technology controlling for the level of technological complexity and opportunity. Technologies characterized by more technological complexity and opportunity attract more entry into patenting. Our evidence indicates that patent thickets raise entry costs, which leads to less entry into technologies regardless of a firm's size. [ABSTRACT FROM AUTHOR]

Drawing on a national survey – the 2011 British Workplace Employment Relations Study (WERS 2011) – this paper examines whether the associations between industry sectors, family ownership and calculative human resource management (CHRM) vary between firms of different sizes. The analysis of 1,293 establishments in the UK suggests that the associations between service industries and CHRM are stronger in smaller than in large firms, whereas family ownership (primarily family‐owned and ‐managed businesses) is significantly and negatively associated with the prevalence of CHRM in large organisations compared to smaller businesses. Overall, the study suggests that: (1) smaller businesses tend to be more coerced to take on CHRM for legitimacy recognition than large organisations; and (2) extending an academically long‐held wisdom, owner‐management among family businesses has a significantly deleterious effect on the uptake of CHRM in large organisations than in smaller firms. [ABSTRACT FROM AUTHOR]

Purpose: This paper aims to investigate the impact of International Financial Reporting Standards (IFRS) adoption on audit and non-audit fees in the UK setting. The study investigates whether UK firms adopting IFRS for the first time or reporting under IFRS, in general, are being charged higher audit and non-audit fees and whether this impact is conditional on audit firm size and tenure. Design/methodology/approach: Using empirical data for UK listed firms from 2003-2007, the paper uses a regression model that explains audit and non-audit fees by independent variables measuring auditors' and auditees' characteristics including IFRS adoption and reporting. Additional regressions with interaction terms were performed to test the hypothetical conditional impact of auditor size and audit firm tenure on the above-mentioned association. Findings: Audit and non-audit fees increase significantly for companies adopting IFRS for the first time and this increase is persistent during later years. In addition, results suggest that both Big four and non-Big four auditors charge higher audit and non-audit fees to their clients adopting or reporting under IFRS in a similar manner. Furthermore, findings indicate that audit firms increase audit and non-audit fees for old and new clients using IFRS which suggests no low-balling effect is detected. Research limitations/implications: Results reported in this study provide insights to regulators in jurisdictions similar to the UK regarding the cost of IFRS adoption which includes higher audit and non-audit fees imposed by both Big four and non-Big four audit firms. In addition, this study argues, to some extent, against the notion that auditors may charge lower fees in the early years of the audit engagement to win new audit clients. Originality/value: To the best of the knowledge, the findings are unique at two levels. First, the paper provides evidence on the cost of using IFRS in the UK jurisdiction which was not explored by previous research. Second, the paper investigates the potential conditional effect of auditor size and audit tenure on the association between IFRS adoption and auditors' fees. [ABSTRACT FROM AUTHOR]

In times of crisis, innovation and entrepreneurship can be considered as a path out of valuation uncertainty of firms. All types of innovation output, however, may not have a similar impact across different firm size and sectors during bad times. Specifically, financially less-constrained (high leverage) innovative firms could be valued higher or experience less uncertainty in their performance. By considering the innovation intensity and leverage in pre- and post-2008 financial crisis periods, and using firm-level quarterly data from listed firms in the UK during 2000–2014, we find that leveraged firms can achieve greater valuation and mitigate any valuation uncertainty in the post-crisis period if they are knowledge- or high-technology intensive. In terms of size effect, although leverage distorts market valuation of large UK firms, the impact is positive for SMEs that are innovation intensive. Finally, in terms of sectoral effect, firms within manufacturing and services with leverage have benefitted from R&D and patenting activities during the post-crisis period, but not in the pre-crisis period. This also gets revealed when we classify all firms into high-tech and low-tech sectors, implying that firms in the high-tech sectors with debt dependence have benefitted favorably in terms of higher valuation and lower uncertainty in the post-crisis period, not firms in the low-technology sectors, reflecting further the role of technological intensity in firm valuation. [ABSTRACT FROM AUTHOR]

We study the financial determinants of cash holdings and discuss the importance of firm size in the post-crisis period. We employ panel data regression analysis on a sample of 6629 non-financial and non-utility listed companies in the United Kingdom from 2010 to 2018. We focus on the comparative analysis of large, medium, and small size firms in terms of cash holdings. Our findings indicate that cash levels are higher for firms with riskier cash flows, more growth opportunities, and higher R&D expenditures. In contrast, the firms' cash holdings decrease when the substitutes of cash, cash flows, and capital expenditures increase. We show that small-sized firms tend to hold more cash than their larger counterparts due to precautionary motives. Further, we confirm a significant and varying association between managerial ownership and cash holdings. The study is robust to different regression specifications, additional analyses, and endogeneity tests. Overall, we add to the prior literature by identifying the effect of firm-level attributes and governance characteristics on cash policy during the post-crisis period. To the best of the authors' knowledge, this is the first work that provides insights on the way that firm characteristics impact cash holdings, considering the differences among firm size groupings. [ABSTRACT FROM AUTHOR]

The clothing industry is currently focused on 3D virtual fitting. Many companies use size 12 as the core size; however, in recent years the average size has increased. For example, in the United Kingdom, the average size is now 16. Many companies have not updated their core size and often use size 12 as the size they are the most familiar with. The purpose of this paper is to compare real plus size body shapes with artificial avatars in relation to the fabric draping. This paper will investigate, how the body shape changes with an age (body height decreases, skin elasticity is lower, the shoulders are hunched, buttocks sag and fatness pockets are accumulated around the waist area). These factors are not considered in virtual avatars, but have a big impact on virtual fitting. [ABSTRACT FROM AUTHOR]

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Purpose: This paper aims to investigate the determinants of corporate compliance with the transparency in supply chains provision of the UK Modern Slavery Act. While recent scholarship has described what firms are doing to comply with this Act, no attempt has been made to explain their behaviour. Design/methodology/approach: A predictive model of corporate compliance with modern slavery reporting is tested using secondary data from Financial Times Stock Exchange 350 firms. The model is informed by institutional theory and, in particular, by Oliver's (1991) insights into the conditions under, which firms respond to institutional pressures. Findings: Compliance with modern slavery reporting is found to be significantly related to firm size, prior social responsibility commitment, network involvement, industry and headquarter base (UK versus non-UK). Other predictors such as media exposure, shareholder concentration and profitability are found to be non-significant. Research limitations/implications: The focus is on the 350 largest publicly listed companies in the UK. The stances that firms outside of this cohort are taking on modern slavery reporting still need to be investigated. Practical implications: Compliance with the UK Modern Slavery Act varies by industry. Regulators should consider this as a part of risk profiling strategies and follow-up inspection of firms. Originality/value: This paper provides the first theoretically grounded examination of the organisational and environmental factors that determine corporate compliance with modern slavery reporting. [ABSTRACT FROM AUTHOR]

This article is a first step towards addressing a gap in the field of organisational resilience research by examining how small and medium enterprises (SME) manage the threat and actuality of extreme events. Pilot research found that the managerial framing of extreme events varied by a range of organisational factors. This finding informed further examination of the contextual nature of the resilience concept. To date, large organisations have been the traditional focus of empirical work and theorising in this area; yet the heterogeneous SME sector makes up approximately 99% of UK industry and routinely operates under conditions of uncertainty. In a comparative study examining UK organisational resilience, it emerged that SME participants had both a distinctive perspective and approach to resilience when compared to participants from larger organisations. This article presents a subset of data from 11 SME decision-makers. The relationship between resilience capabilities, such as flexibility and adaptation, is interrogated in relation to organisational size. The data suggest limitations of applying a one-size-fits-all organisation solution (managerial or policy) to creating resilience. This study forms the basis for survey work examining the extent to which resilience is an organisationally contingent concept in practice. [ABSTRACT FROM AUTHOR]

This empirical study of security issues by UK companies between 1959 and 1974 focuses on how companies select between financing instruments at a given point in time. It throws light on a number of interesting questions. First, it demonstrates that companies are heavily influenced by market conditions and the past history of security prices in choosing between debt and equity. Second, it provides evidence that companies appear to make their choice of financing instrument as if they have target levels of debt in mind. Finally, the results are consistent with the notion that these target debt levels are themselves a function of company size, bankruptcy risk, and asset composition. [ABSTRACT FROM AUTHOR]

The same strong linkage between strategy and structure found in earlier studies using samples of large companies is found within a sample of 40 manufacturing companies in electrical engineering in the United Kingdom, ranging in size from 35-17,000 employees. Among other results, the correlation between company size and each of strategy and structure was found to be stronger than that between the latter, suggesting that the strategy/structure linkage is via size. [ABSTRACT FROM AUTHOR]

This paper presents the preliminary results of a large-scale survey which examined Internet marketing applications in the internationalisation of UK SMEs Although there are some examples of innovative practice, few UK SMEs are utilising the full potential of the World Wide Web (WWW) in international marketing In this respect, practice m the UK lags several years behind that in the US. Given that the Internet will have a revolutionary impact on the conduct of international trade, a major education and training initiative is required to improve knowledge and understanding in this area and to encourage more effective use of the Internet to support SME internationalisation. In the absence of such an initiative, a further decline in the UK's international competitive positron can be expected as other nations embrace the global marketing opportunities made potable by the Web. [ABSTRACT FROM AUTHOR]

This study investigates the relation between sales volume per employee and the size of retail stores. A model of this relation is developed and applied to data on British and American retail stores. British clerks specialize more than American clerks do. The model suggests that specialization enables British clerks to sell goods faster than American clerks, but because specialization restricts transfers of personnel within a store, American stores are much more efficient than British stores. [ABSTRACT FROM AUTHOR]

We discuss firm-level evidence based on UK data showing that within-firm pay inequality--wage differentials between top- and bottom-level jobs--increases with firm size. Moreover, within-firm pay inequality rises as firms grow larger over time. Lastly, using wage data from 15 developed countries, we document a positive association between aggregate wage inequality at the country level and growth by the largest firms in the country. We conclude that part of what may be perceived as a global trend toward more wage inequality may be driven by an increase in the size of the largest firms in the economy. [ABSTRACT FROM AUTHOR]

Purpose This paper aims to report the results of an investigation into the relationship between corporate boards and the likelihood of a firm being convicted of an environmental offence in the United Kingdom (UK).Design/methodology/approach The study uses binary logistics regression analysis to model the relationship between corporate boards and the likelihood of a firm being convicted of an environmental offence in the UK, controlling for firm size, financial leverage and profitability.Findings The results suggest that the likelihood of a firm being convicted of an environmental offence increases with board size but decreases with the presence of a woman on the board. No support is found for the authors’ hypotheses about the proportion of outside directors and the presence of a lawyer on the board. Marginal effects’ results also show that adding one member to the board increases the chance of a firm being convicted for an environmental offence by 4.2 per cent, while having a woman on the board decreases the likelihood of a firm being convicted of an environmental offence by 31.8 per cent.Research limitations/implications The sample size of 55 firms is small which could affect the generalisability of the study.Originality/value The study uses proprietary data obtained from the UK Environmental Agency to provide evidence for the first time how corporate boards affect the chances of a listed firm being convicted of an environmental offence in the UK. [ABSTRACT FROM AUTHOR]

This paper investigates the determinants of operational efficiency of chartered accounting firms using a two stage DEA and Tobit Regression model. In the first stage, data for 36 U.K. firms from 2009 to 2015 were used to measure the efficiency scores using data envelopment analysis technique. In the second stage of the analysis, the Tobit regression model was used to identify potential determinants of efficiency of these firms for the year 2015. The efficiency scores obtained from the first stage were regressed on a set of independent variables, which we suspected would affect the firms' performance and would explain the differences in technical efficiency of the firms. We investigated the effects of the firm's size, age, ownership and the number of branches the firm operates on technical efficiency. We also employed two dummy variables in the model. The first dummy variable is used to incorporate the firm's organizational structure and the second one is employed to include information about the number of branches the firm operates. The findings of the first stage indicated that the overall mean efficiency score was only 71%. However, the big four firms are highly efficient with a mean efficiency score of 98%, whereas the mid-sized and small firms had mediocre performance with mean score of 61.42% and 72.42% respectively. In addition, results for each size category were consistent over the seven-year period. The results of the second stage indicate that the size of the firm, its organizational structure, the number of managing partners it employs and the number of branches it operate have a critical effect on the operational efficiency of the firm. [ABSTRACT FROM AUTHOR]

Most studies of minority group penalties in the UK labor market have focused on groups classified by their self-assessed ethnicity only, without taking into account major divisions within such groups, notably by religion. Using a large sample taken from the quarterly Labor Force Survey, this paper analyze levels of both unemployment and obtaining posts within the salariat for fourteen separate ethno-religious groups. Estimates of both gross and net penalties are derived, the latter taking the individuals’ human capital resources into account. They show that most non-White groups face an employment penalty, but Muslim groups – both men and women – experienced the greatest penalties. These penalties are exacerbated when searching for any job turns into searching for a managerial or a professional job suggesting that inequality is preserved through mechanisms of color and cultural racism which intensifies as minority workers seek jobs at the more lucrative end of the labor market – which, if persistent, could have long-term implications for the cohesion of the UK's multi-ethnic, multi-cultural society. [ABSTRACT FROM AUTHOR]

The article looks into the role of company size and structure in addressing issues related to auditor liability and corporate fraud in Great Britain. Topics discussed include the rulings on several auditor liability cases, including Stone & Rolls Ltd. v. Moore Stephens, Caparo Industries PLC v. Dickman and James McNaughton Paper Group Ltd. v. Hicks Anderson & Co., the rules of trademark attribution and the relationship between the company and its directors.

Purpose -- The purpose of this paper is to investigate the job satisfaction in relation to managerial attitudes towards employees and firm size using the linked employer-employee survey results in Britain. Design/methodology/approach -- The authors first investigate the management-employee relationships and the firm size using maximum likelihood probit estimation. Next various measures of job satisfaction are related to the management-employee relations via maximum likelihood ordered probit estimates. Four measures of job satisfaction that have not been used often are considered. They are satisfaction with influence over job; satisfaction with amount of pay; satisfaction with sense of achievement and satisfaction with respect from supervisors. Findings -- Main findings indicate that management-employee relationships are less satisfactory in the large firms than in the small firms. Job satisfaction levels are lower in large firms. Less satisfactory management-employee relationships in the large firms may be a major source of the observed lower level of job satisfaction in them. Practical implications -- These results have important policy implications from the point of view of the firm management while achieving the aims of their organizations in particular in the large firms in the area of management-employee relationships. Improving the management-employee relations in large firms will increase employee satisfaction in many respects as well as increase productivity and reduce turnover. Originality/value -- The nature of the management-employee relations with firm size and job satisfaction has not been investigated before. [ABSTRACT FROM AUTHOR]

The study examines whether corporate governance mechanisms and the compliance with good governance practice are related to cash dividends. In particular, the study assesses the effect of institutional ownership and board structure on the decision to pay cash dividends. A study on UK firms is interesting because firms are expected to voluntarily structure governance mechanisms based on their own needs. We find that institutional owners positively affect cash dividend payments, suggesting that UK institutions are effective in forcing firms to disgorge cash. There is limited evidence that independent directors affect the cash dividends. The results also show that firm specifics affect the cash dividends, namely, business risk, firm size, and leverage ratio. The results are consistent across several robustness checks. [ABSTRACT FROM PUBLISHER]

In this paper, we compare the liquidity constraints and investment opportunities for large and small businesses. This is done by examining the relationship between stock liquidity and investment opportunities in a sample of large and small enterprises listed on the London Stock Exchange. We find a positive statistical association between stock liquidity and investment opportunities, regardless of the size of the enterprise. This unique result in the London Stock Exchange suggests that firm size does not influence corporate investment decisions because there is no significant change in the cost of capital between large and small enterprises. [ABSTRACT FROM AUTHOR]

This study provides an analysis of 163 operational loss events experienced by a variety of British firms over the period 1999–2008. 10 different hypotheses are tested to examine the distribution of loss severity and frequency with respect to business line, event type and corporate entity type. We also test hypotheses on the relation between loss severity and the decline in the market value of the announcing firm and whether or not the decline in market value is greater if the loss results from internal fraud. The results indicate that loss severity does not depend on firm size, that the decline in market value bears no stable relation to the loss amount and that they decline in market value relative to the loss amount is positively related to firm size. [ABSTRACT FROM AUTHOR]

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This study examines the relationship between company and ownership characteristics and the disclosure level of compliance with Quoted Companies Alliance (QCA) recommendations on corporate governance in Alternative Investment Market (AIM) companies. We report clear evidence that compliance increases with company size, board size, the proportion of independent non-executive directors, the presence of turnover revenue, and being formerly listed on the Main Market. However, we find that shell and highly geared AIM companies disclose relatively lower levels of corporate governance than recommended under QCA guidelines. Our findings suggest that market regulators should review the potential impact of the quality of corporate governance in these companies on the future vibrancy of AIM. We find no evidence that ownership structure or the type of Nominated Advisor is related to disclosure of compliance with QCA guidelines. Overall, in a lightly regulated environment such as the AIM market, it seems that companies will ultimately pursue a cost–benefit strategy in voluntarily complying with good corporate governance practice. [ABSTRACT FROM AUTHOR]

Workplace mediation is high on the British policy agenda. To date, however, despite growing awareness, organisational experience in Britain remains limited and the evidence base accordingly underdeveloped. This paper contributes to the debate by undertaking secondary quantitative analysis of an Acas Omnibus Poll of 500 SMEs. Two substantive issues are explored: the characteristics associated with previous experience of mediation in resolving workplace conflict; and the extent to which prior knowledge and experience of mediation in this context impact on a range of attitudinal variables. In respect of the former we find firm size to be important, while for the latter the data suggest attitudes are typically more positive among experienced firms. This is most notably true in relation to the perceived cost of mediation and (subject to a qualification) to its suitability for smaller firms, both of which are crucial drivers of the uptake of mediation among smaller organisations. [ABSTRACT FROM AUTHOR]

This article tests the pro-competitive effect of trade in the product and labour markets of UK manufacturing sectors between 1988 and 2003 using a two-stage estimation procedure. In the first stage, we use data on 11,799 firms from 20 manufacturing sectors to simultaneously estimate mark-up and workers' bargaining power parameters according to sector, firm size and period. We find a significant drop in both the mark-up and the workers' bargaining power in the mid-1990s. In the second stage, we relate our parameters of interest to trade variables. Our results show that imports from developed countries have significantly contributed to the decrease in both mark-ups and workers' bargaining power. [ABSTRACT FROM AUTHOR]

Using bank-level panel data from the United Kingdom, this paper investigates the factors that influence banks' choice of risk-based capital ratios. The study focuses on evaluating the role of regulatory capital requirements. Findings indicate that such requirements, even when not binding, affect banks' capital management practices and suggest that banks maintain targeted buffers above regulatory thresholds. That behavior differs across several dimensions, including bank size, nearness to regulatory minimum, reliance on core (equity) capital and exposure to market discipline. Capital ratios also vary over the economic cycle. These findings have implications for the ongoing review of international capital standards. [ABSTRACT FROM AUTHOR]

This article analyses the growth rates of the complete population of UK-registered firms for the period 2001 to 2005. We estimate Gibrat's law - that growth rates are independent of firm size - by deciles of the firm size distribution. Whether we are able to reject Gibrat's law varies across deciles. We also show how estimates vary according to the measure of firm size, time period and sample selection. [ABSTRACT FROM AUTHOR]