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Scaling is common in empirical accounting research. It is often done to mitigate heteroscedasticity or the influence of firm size on parameter estimates. However, Barth and Clinch conclude that common diagnostic tools are ineffective in detecting various scale effects. Using analytic results and Monte Carlo simulations, we show that common forms of scaling, when misapplied, induce substantial spurious correlation via biased parameter estimates. Researchers, when uncertain about the exact functional form of scale effect, are typically better off dealing with both heteroscedasticity and the influence of larger firms using techniques other than scaling. [ABSTRACT FROM AUTHOR]

We show that merger announcement returns account for virtually all of the measured size premium. An empirical proxy for ex ante takeover exposure positively and robustly relates to cross-sectional expected returns. The relation between size and expected returns becomes positive or insignificant, rather than negative, conditional on this takeover characteristic. Asset pricing models that include a factor based on the takeover characteristic outperform otherwise similar models that include the conventional size factor. We conclude that the takeover factor should replace the conventional size factor in benchmark asset pricing models. [ABSTRACT FROM AUTHOR]

Does proprietary knowledge protection (PKP) spur or hinder the product-market performance of new firms? Exploiting the staggered adoptions of the inevitable disclosure doctrine by U.S. State Courts, which enhance PKP, we show that treated firms increase industry-adjusted sales growth by 2% compared to control firms. The effect is concentrated among small and young firms and increases with the scope of proprietary knowledge and rivals' access to external finance. PKP encourages firms to develop new products and stimulates initial public offering activity. Our results suggest that PKP alleviates predation risk associated with "deep-pocket" rivals by allowing firms to maintain competitive advantages. [ABSTRACT FROM AUTHOR]

Collaborative robots (cobots) are a type of Industry 4.0 technology designed to support manufacturing workers and create smart working environments (also called as Industry 5.0). However, little is known about how the use of cobots shapes workers' skills. We analyse this in four types of human-cobot interaction: coexistence, synchronism, cooperation, and collaboration. We examine the implementation of cobots by a leading global provider using a qualitative research based on: (i) analysis of reports regarding the implementation of 200 cobots in 138 companies, (ii) interviews with the team and customers, (iii) six-month follow-up of cobot implementation in a manufacturing plant, and (iv) interviews with two cobot competitors. Our findings demonstrate how each type of human-cobot interaction influences workers' skills in various manufacturing activities. We observe that most companies are in early stages of implementation, focusing on worker substitution. However, we identify a range of effects, including deskilling or reskilling, depending on the type of manufacturing activity analysed. The upskilling effect is particularly evident in the most advanced types of human-cobot interaction, regardless of the company's size. As a main contribution, this paper sheds light on how companies can enhance workers' skills through other levels of interaction between workers and cobots. [ABSTRACT FROM AUTHOR]

We examine innovation following the Great Depression using data on a century's worth of U.S. patents and a difference-in-differences design that exploits regional variation in the crisis severity. Harder-hit areas experienced large and persistent declines in independent patenting, mostly reflecting the disruption in access to finance during the crisis. This decline was larger for young and inexperienced inventors and lower-quality patents. In contrast, innovation by large firms increased, especially among young and inexperienced inventors. Overall, the Great Depression contributed to the decline in technological entrepreneurship and accelerated the shift of innovation into larger firms. [ABSTRACT FROM AUTHOR]

In a sample of non-U.S. regulatory regime shifts, we find that expanded short selling is associated with stock price declines, reductions in capital expenditure, and lower asset growth. In a reversal of results found for U.S. stocks in a study of Regulation SHO by Grullon, Michenaud, and Weston (2015), our results are stronger for large firms than for small firms. We also show that this investment effect is stronger for firms that previously relied on outside financing. Our results suggest that short-sale policies affect corporate investment and that this effect is not driven by capital constraints. [ABSTRACT FROM AUTHOR]

Companies vary on oft-publicized size metrics (number of employees, revenue). Do consumers prefer otherwise identical products made by larger or smaller companies? The answer hinges on whether consumers perceive the products as low-tech or high-tech. This prediction stems from a novel framework charting two lay theories regarding key resources companies utilize to provide value to consumers: employees and finances. In the intrinsic motivation lay theory, consumers believe that employees of larger (vs. smaller) companies are less intrinsically motivated. In the financial resources lay theory, consumers believe that larger (vs. smaller) companies have greater capacity to fund research and development. Critically, product type (low-tech vs. high-tech) differentially affects the accessibility of these two lay theories: For low-tech (vs. high-tech) products, the intrinsic motivation lay theory is more accessible, driving quality evaluations and choice in favor of smaller companies. For high-tech (vs. low-tech) products, the financial resources lay theory is more accessible, driving quality evaluations and choice in favor of larger companies. This research advances theory by reconciling conflicting findings regarding product quality inferences from company size metrics, with guidance for marketers to improve quality evaluations and choice shares by strategically supporting or challenging lay theories and shifting perceptions of company size or product type. [ABSTRACT FROM AUTHOR]

Introduction: Medical departments have evolved from a position of support to one of strategic leadership. The number of tasks and the complexity of interactions in which they are involved is increasing. However, the spectrum of their activity in the sector differs significantly from one company to another. Therefore, the aim of this study was to describe their situation within the pharmaceutical industry, analyzing the positions, functions, and profiles of their professionals. Methods: This study consisted of an online survey containing 25 questions grouped into four blocks (structure, medical direction, training, and activities and responsibilities). Medical departments in the Spanish pharmaceutical industry of different sizes and scope were invited to participate. The survey took place in 2021, with a designated response period of three months. It is important to note that all responses collected during this time were treated as anonymous. Results: Thirty companies participated. A total of 93.3% of respondents worked for an international laboratory, with a size of 0–5 or 11–20 people (20.7%). For 27.6% of the companies, the number of medical advisors per medical department was 1 or 4, with varying numbers of medical scientific liaisons (1, 6–10, and > 20). A total of 56.7%, 33.3%, and 6.7% indicated that the country manager, head of regional medical affairs, and head of global medical affairs, respectively, had a solid-line reporting relationship with the medical directorate. Medical directors were mostly graduates in medicine (86.2%) with a doctorate (34.5%), and medical managers were mainly graduates in medicine (77.8%) and pharmacy (66.7%). Conclusions: This study reveals that respondents predominantly work in internationally focused laboratories, with professionals ranging from experienced medical directors to managers with 6–20 years of experience, each with distinct roles. [ABSTRACT FROM AUTHOR]

This paper examines capacity-constrained oligopoly pricing with sellers who seek myopic improvements. We employ the Myopic Stable Set solution concept and establish the existence of a unique pure-strategy price solution for any given level of capacity. This solution is shown to coincide with the set of pure-strategy Nash equilibria when capacities are large or small. For an intermediate range of capacities, it predicts a price interval that includes the mixed-strategy support. This stability concept thus encompasses all Nash equilibria and offers a pure-strategy solution when there is none in Nash terms. It particularly provides a behavioral rationale for different pricing patterns, including Edgeworth price cycles and states of hyper-competition with supply shortages. We also analyze the impact of a change in firm size distribution. A merger among the biggest firms may lead to more price dispersion as it increases the maximum and decreases the minimum myopically stable price. [ABSTRACT FROM AUTHOR]

Purpose: The aims of this research are to investigate the reasons for adopting big data (BD) and big data analytics (BDA), determine their extent of usage, and identify potential obstacles to their adoption in a developing country, Egypt. Motivation: Prior literature criticized the audit profession for the slow adoption of BDA, and little is known about the adoption of BD and BDA in developing countries. The reluctance to incorporate BD and BDA into auditing can be attributed to their potential obstacles. In addition, prior studies focused on the Big-4 audit firms in developed countries with little known about adopting BD and BDA in local audit firms and developing countries. Design/methodology/approach:To achieve the objectives of this study, 16 audit practitioners with various positions, specializations, and experience levels were interviewed. The 16 participants belong to audit firms of different sizes: international audit firms, local audit firms, and a governmental auditing agency. Thematic analysis was employed through using the MAXQDA software package to analyze the data. Main findings: The findings revealed that the reasons for using BD and BDA go beyond improving audit efficiency and effectiveness and satisfying clients. All audit firms collect and analyze large volumes of traditional accounting data. However, the Big-4 firms manage and analyze non-financial data and new data items as complementary audit evidence. Also, it was found that the type of audit firm affects the use of these technologies, with international firms being superior to other firms. The Accountability State Authority lags behind other audit firms in adopting BD and BDA. Furthermore, it was found that some obstacles to adopting BD and BDA arise due to the specific characteristics of the Egyptian context, while others are universal. Practical implications/Managerial impact: Determining the reasons for and obstacles to adopting BD BDA is useful for audit firms and regulators to remove these obstacles and encourage using such new audit technologies. The findings might help developers of BDA software packages to enhance their packages to meet auditor requirements. Moreover, academic scholars can benefit from the findings of this study by gaining an understanding of the main differences between developed and developing countries in relation to adopting BD and BDA. Novelty/Contribution: This study was conducted in Egypt, a developing country with a an underdeveloped audit environment. Therefore, this study enriches the relevant literature by providing information about BD and BDA in an unexplored developing environment. Besides, it delves deeper into the reasons and obstacles to using BD and BDA in external financial auditing in a developing country. Also, it adds to the literature by identifying the most common BDA software packages and techniques that auditors use in a developing country. Moreover, it considers audit practitioners' viewpoints on audit firms of various sizes. [ABSTRACT FROM AUTHOR]

Purpose: The retail sector has the largest energy consumption among commercial buildings in the U.S. Although previous studies explored benefits, barriers and solutions for implementing sustainability in various building sectors, research focused on retail facilities has been very scarce. This study aims to explore U.S. facilities managers' perceptions of barriers that prevented the implementation of energy-efficiency practices in the retail sector. Their perceptions were compared by facility size and facilities management company's business revenue. Design/methodology/approach: An online survey was distributed to the members of the International Facility Management Association and the author's LinkedIn network. The survey responses were analyzed using descriptive statistical analysis and ANOVA. Findings: Managers from large facilities, as opposed to those from small ones, significantly more agreed that the unavailability of building automation systems, a lack of professional writing skills and a lack of awareness of life cycle cost (LCC) were the barriers. Business revenue did not cause significantly different perceptions of the barriers except for a lack of awareness of LCC and a lack of support from upper management. Originality/value: This study fills the research gap on energy efficiency in the retail sector by revealing U.S. facilities managers' perceptions of the barriers to the implementation of energy-efficiency practices in retail stores. This novel study compares perceptions of the facilities managers by facility size and business revenue; this comparison has not been performed before. The study also identified several new barriers to the implementation of energy efficiency in the retail sector. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to provide empirical evidence on the relationship between formal institutions and stock price crash risk from a global perspective. Design/methodology/approach: This paper uses data of 35,468 firms globally over the years 1987–2019 and address the endogeneity issue by employing the Mundlak random effects estimator. Findings: The authors find a significant negative impact of institution quality on stock price crash risk (i.e. better institutions reduce crash risk), after controlling for common determinants of crash risk such as leverage, return on asset, firm size, investment, etc. as well as macro factors such as GDP growth. This effect is robust to different measures of crash risk and sub-indicators of institutions quality. In addition, the authors also find this effect to be universally present in economies characterized by different levels of income. Originality/value: To the best of the authors' knowledge, there's no known study that explores the potential causal relationship between institution quality and stock price crash risk. Therefore, the research topic in this study is original and can contribute significantly to the existing literature. [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]

We know that, through lobbying and contributions, organizations systematically seek to influence political outcomes in liberal democracies. But what role do organizations play in an authoritarian regime's strategy for remaining in power? We argue that in order to maintain stability and consolidate control, an authoritarian regime must actively work to preempt dissent and the emergence of oppositional challengers. When potential challengers are unknown ex ante, the best guess is that they may rise from the ranks of those who run economically powerful organizations. Ability to control these organizations then minimizes the risk of instability. One way in which the regime accomplishes this control is through pro-forma cooptation—the process by which organizational leaders are assigned to positions with nominal authority in the government, thus ensuring their allegiance. We develop a theory predicting which organizations will be targeted for cooptation and posit that absolute and relative size and industry context are the key determinants. Empirical analyses of reappointment to congress of senior business executives in China offer support for the theory. The findings also offer a way to think of cooptation that is different from the conventional view that it drives adaptation (because power sharing widens representation and vested interests). By contrast, pro-forma cooptation of prominent organizations under authoritarian rule reifies the regime's dominance and solidifies its control, thus promoting inertia through the reproducibility of hierarchy in the social structure. [ABSTRACT FROM AUTHOR]

The premise of being "green" is often perceived as socially beneficial, yet its financial implications remain uncertain. To address this gap, we examine the complex relationship between green technology innovations (GTIs) and corporate financial performance (CFP) in the semiconductor industry. Our research revealed a crucial distinction between the two types of GTIs: proactive and reactive. Proactive GTIs have emerged as strong drivers of positive impact on CFP, positioning themselves as attractive and financially beneficial investments. Conversely, reactive GTIs negatively influence a firm's financial performance, raising questions about its long‐term viability. Additionally, our research goes beyond this core relationship to explore the moderating influence of media coverage on GTI–CFP dynamics by focusing on both print and new media. Interestingly, print media amplifies the favorable connection between GTIs and CFP, suggesting its role in shaping perceptions and stakeholder engagement. Surprisingly, new media weakens this connection, highlighting the complex interplay between digital platforms and CFP. Moreover, our study highlights the fact that the impact of GTIs and media coverage on CFP is particularly pronounced among smaller companies, thereby offering strategic insights for firms of varying sizes. These nuanced findings contribute substantially to our understanding of GTI adoption and the role of media in informal environmental regulation, ultimately providing valuable guidance for semiconductor companies and investors navigating the "green" landscape. [ABSTRACT FROM AUTHOR]

This paper looks at the relationship between enterprise size and pollution abatement costs using firm-level datasets in China, where size-dependent distortions may exist in the distribution of enterprises of different sizes. We find that the pollution abatement costs decrease with enterprise size. Compared to the smallest size, the magnitudes of marginal decreases in pollution abatement costs per 1000 CNY of industrial output in the largest size are 3.29 CNY, 0.54 CNY and 2.60 CNY for gas, SO2 and dust, respectively. Moreover, we further explore the potential mechanisms for the decrease of pollution abatement costs from three perspectives: environmental protection-related investment, regulation intensity, and technological capability. Our findings suggest that the decrease in the intensity of environmental protection-related investment for large enterprises may be directly reduce the intensity of pollution abatement costs. Although large enterprises have low intensity of pollution abatement costs, this does not mean that they are subject to weaker environmental regulation. More importantly, we find that large enterprises may have more adoption of abatement technologies. For SO2 and dust, the pollutant removal efficiency of the largest enterprises is 4.92% and 1.82% higher than that of the smallest enterprises, respectively. Our results are robust to different specifications. These findings help us enact appropriate policies for enterprises based on their size, thereby improving the efficacy of pollution abatement and achieving the optimal level of pollution abatement for the entire society. [ABSTRACT FROM AUTHOR]

We study human capital synergies in asset management mergers that stem from the improved ability to assign fund managers to more specialized tasks in larger firms. More specialized task assignment allows rotated managers to focus on their investment expertise and leads to incremental $54 million of value added per deal per year on average. The effects are concentrated in mergers that lead to a large increase in firm size and in funds whose management appears less specialized prior to the merger. Our results provide direct evidence on the role of firms in the assignment of tasks to fund managers. (JEL G23, J24, G34) [ABSTRACT FROM AUTHOR]

We develop a dynamic capital structure model to study how agency conflicts between managers and shareholders affect the joint determination of financing and investment decisions. We show that there are two agency conflicts with opposing effects on a manager's choice of investment: first, the consumption of private benefits channel leads managers not only to choose a lower optimal leverage, but also to underinvest, and second, compensation linked to firm size may lead managers to overinvest. We fit the model to the data and show that the average firm slightly overinvests, younger CEOs invest more than older ones, while CEOs with longer tenure overinvest more than CEOs with shorter tenure. (JEL G12, G31, G32) [ABSTRACT FROM AUTHOR]

Purpose: This study aims to investigate organizational learning, represented by the absorptive capacity, as a condition for the firm to learn about marketing data and make more informed decisions. The authors also aimed to understand how the behavior of micro, small and medium enterprises (MSME) businesses differ in this scenario through a multilevel perspective. Design/methodology/approach: Placing absorptive capacity as a mediator of the relationship between business analytics and rational marketing decisions, the authors analyzed data from 224 Brazilian retail companies using structural equation modeling estimated with partial least squares. To test the cross-level moderation effect, the authors also performed a multilevel analysis in RStudio. Findings: The authors found a partial mediation of the absorptive capacity in the relation between business analytics and rational marketing decisions. The authors also discovered that, in the MSMEs firms' group, even if smaller companies find it more difficult to use data, those that do may reap more benefits than larger ones. This is due to the influence of size in how firms handle information. Research limitations/implications: The sample size, despite having shown to be consistent and valid, is considered small for a multilevel study. This suggests that our multilevel results should be viewed as suggestive, rather than conclusive, and subjected to further validation. Practical implications: Rather than solely positioning business analytics as a tool for decision support, the authors' analysis highlights the importance for firms to develop the absorptive capacity to enable ongoing acquisition, exploration and management of knowledge. Social implications: MSMEs are of economic and social importance to most countries, especially developing ones. This research aimed to improve understanding of how this group of firms could transform knowledge into better decisions. The authors also highlight micro and small firms' difficulties with the use of marketing data so that they can have more effective practices. Originality/value: The research contributes to the understanding of organizational mechanisms to absorb and learn from the vast amount of current marketing information. Recognizing the relevance of MSMEs, a preliminary multilevel analysis was also conducted to comprehend differences within this group. [ABSTRACT FROM AUTHOR]

Using a large sample of EU non-financial firms over the period 2008–2018, this study examines the effect of the 2014 EU Non-Financial Reporting Directive on corporate social responsibility (CSR) and finds that the Directive has led to an increase in CSR transparency and performance. Further, it shows that the association between the Directive and CSR transparency is stronger for smaller firms, firms highly followed by analysts and firms headquartered in countries with strong legal systems. The adoption of CSR reporting after the Directive's enactment, small firm size and investments in research and development strengthen the positive effects of the Directive on CSR performance. However, the mandating of CSR reporting assurance by some EU member states seems not to have any significant impact. Lastly, our study shows that after the Directive's enactment, firms adopting CSR reporting experienced lower systematic risk and cost of equity. Our study contributes to the debate about whether and how non-financial disclosure should be regulated and shows the positive effects of the 'comply or explain' approach. It also provides insights for the EU in relation to the recently approved proposal to extend CSR reporting regulation to listed small and medium-sized enterprises and mandate CSR reporting assurance. [ABSTRACT FROM AUTHOR]

This paper is one of the first which provides an in-depth quantitative analysis of how the development of the tourism industry impacts on the size of the shadow economy of a specific destination. The paper employs time-series techniques and annual data from 1960 to 2018 from Turkey. First, the size of the shadow economy is estimated using the electricity consumption method. The estimates are then used to assess the effect of tourism development on the size of the shadow economy. The findings show that there is a negative relationship between the two. A 1% increase in international tourism arrivals leads to a 0.21% and 0.316% fall in the size of the shadow economy in the short-run and long-run respectively. It implies that as the tourism sector develops, it becomes instrumental in modernising the Turkish economy leading to the movement of resources from the shadow economy to the formal sector. In the long-run the effect of the tourism industry in reducing the size of the shadow economy surpasses that of the financial sector of Turkey. [ABSTRACT FROM AUTHOR]

We explore differences in firms' attitudes towards corporate social responsibility (CSR). Using a unique dataset covering 8,857 French firms, collected by the National Institute of Statistics and Economic Studies (INSEE), we identify firms conducting conscious CSR and others with effective but unaware CSR activities. We then construct three CSR pillar scores for each firm, using Mokken scale analysis, a form of non-parametric item response analysis. The CSR scores, along with responses to specific questions, allow us to characterize firms that implement conscious or unaware CSR. We then estimate simple probit and count data models to show that a significant share of firms are in fact actually engaged in unaware CSR, with no monotonic size effect. Cooperation with external actors such as NGOs mitigates the effect of firm size on the likelihood of conducting unaware CSR, while the effect of NGO campaigns against large firms is mainly to increase the environmental score of small firms in the same industry. [ABSTRACT FROM AUTHOR]

The trade distance is an important constraining factor underpinning the emergence of social and economic interactions of complex systems. However, agent-based studies supported by the granular analysis of distances are limited. Here, we present a complexity method that places the actual geographical locations of individual firms in Japan at the epicentre of our research. By combining methods derived from network science together with information theory measures, and by using a comprehensive dataset of Japanese inter-firm business transactions, we evaluate the effects of spatial features on the structural patterns of the economy. We find that the normalised probability distributions of the distances between interacting firms obey a power law like decay concomitant with the sizes of firms and regions. Furthermore, small firms would reach large distances to become customers of large firms, while trading between either only small firms or only large firms tends to be at smaller distances. Furthermore, a time evolution analysis suggests a reduction in the overall average trading distances in last 20 years. Lastly, our analysis concerning the trading dynamics among prefectures indicates that the preference to trade with neighbouring prefectures tends to be more pronounced at rural regions as opposed to the larger central conurbations. [ABSTRACT FROM AUTHOR]

Firm-level innovation in sub-Saharan Africa remains under-researched. To address this gap, this paper examines the obstacles to innovation faced by small, micro, and medium-sized enterprises (SMMEs) in South Africa. Using the 2018 Business Innovation Survey, we apply the double-hurdle model to investigate factors determining a firm's decision to invest, and the intensity of innovation. Our results show that cost and institutional obstacles were significantly more important as disincentive factors for medium-sized enterprises while knowledge obstacles were significant disincentive factors for large enterprises. In addition, market obstacles hampered investment among large enterprises. Interestingly, none of these factors was found to deter innovation intensity among small and micro enterprises. The study findings suggest that there is no one-size-fits-all approach to innovation policy and intervention programmes to support innovation within firms of different sizes. [ABSTRACT FROM AUTHOR]

In this paper, we analyze how firm-level capabilities and characteristics affect firm innovation activities and innovation outputs in seven Latin American countries in 2016. We include eight innovation activities in accordance with OECD/Eurostat. Using data from the World Bank Enterprise Surveys for manufacturing and services, we distinguish two steps in the innovation process: firm engagement with innovation inputs and the translation of innovation inputs into innovation outputs. The empirical results demonstrate the importance of considering the broad spectrum of innovation activities rather than only focusing on R&D for the production of innovation outputs. The estimates underscore the significance of the impact of economic structure (firm size and sector) on innovation focusing at the micro level. They also suggest a role for government policies in reducing innovation gaps. [ABSTRACT FROM AUTHOR]

Purpose: This article tests the corporate life cycle theory in the context of an emerging market. Design/Methodology/ Approach: We use 3179 non-financial Indian firms’ data for the period 2011-2020 to validate the claim. To access the robustness of empirical relationships, we employ multinomial logistic and probit regression models. Findings: The findings indicate that firms’ age follow a nonlinear pattern over its life cycle. Firms at the birth and decline stages experienced lower profitability, higher investment opportunities and less likelihood for dividends. Growth firms experiences higher investment opportunities, therefore raising more funds from debt along with paying dividends for reputation building. Furthermore, mature firms with larger size and shrinking investment opportunities, generating cash flows due to higher profitability. Thus, they pay dividend and consider being less risky. For 5 years of out-of-sample data (2016-2020), our model predicts with an average accuracy of 65%. From the perspective of inter-stage transition, firms in the birth and decline stages have a tendency to improve their position, whereas firms in the mature stages are relatively stable in future period. Originality: It seems that very few studies have examined the issue of how the firm characteristics varies over its lifecycle in emerging markets and our research bridges this gap in the literature. [ABSTRACT FROM AUTHOR]

The global pandemic has weakened the company’s financial stability and slowed the economy. Using 241 Indian-listed companies of the BSE (A Group) for 5 years (i.e., 2017–2021), the study aims to examine the moderating role of the pandemic crisis on the dividend policy and its determinants associations. Applying the regression technique, the study reveals that profitability, liquidity, leverage, firm size and board independence have significant impact on dividend policy for the Indian listed businesses. However, the overall findings of the study suggest that the instability in the economic condition that occurred for the years 2020 and 2021 has weakened the association of free cash flows, the board size, CEO duality, and board independence with the dividend policy in India. The study also reports the positive impact of the crisis on dividend policy; accordingly, it implies that Indian firms may prefer to pay dividends during the crisis period to calm investors and restore their confidence. Relatively a low relationship between free cash flows and the state of the economy with the dividend policy is an indicator of serious agency problems. [ABSTRACT FROM AUTHOR]

This study examines the impact of firm characteristics on earnings management (EM) using a sample of listed non-financial firms in India. First, we take a comprehensive perspective to estimate EM focusing on total accruals, current accruals and specific accruals. Second, we examine firm characteristics such as size, leverage, performance, growth opportunities and industry membership that are potentially related to accruals EM. We find that: 1) Large firms and firms with high performance have higher accruals quality. 2) Firms with higher growth opportunities have lower accruals quality. 3) Firms with high leverage use accruals EM to avoid violation of debt covenants. These findings indicate that investors and regulators should take into account both: the abnormal accruals over a period of time and the variability of abnormal accruals to analyse the quality of financial reporting of large firms, firms with high performance and highly levered firms. [ABSTRACT FROM AUTHOR]

This study aims to examine the effect of profitability in mediating the influence of funding decisions, investment decisions, and company size on the Company's value in 27 companies in the infrastructure sector listed on the IDX Main Board for 2017 to 2022. The results showed that funding decisions had a negative insignificant effect, while investment decisions and company size significantly negatively affected profitability. Furthermore, funding decisions, investment decisions, and profitability have a significant positive effect, while company size has a positive insignificant effect on company value. In the mediation effect test, it was found that profitability could not mediate the influence of funding decisions on company value. However, profitability is stated to mediate the influence of investment decisions and company size on company value. [ABSTRACT FROM AUTHOR]

Maritime freight companies are beneficial in carrying the majority of commodities globally. The large number of parties involved makes data exchange hard. Blockchain technology's potential benefits are becoming more apparent to maritime freight firms. This report examines the important factors influencing blockchain technology adoption in the maritime freight sector. To calculate their weights, the study applies the Grey-DEMATEL based Analytic Network Process. According to the analysis, the most important determinants are government policies, firm size, and perceived cost of investment. These insights can assist government agencies, freight companies, and blockchain service providers in planning successful implementations and increasing competitiveness. [ABSTRACT FROM AUTHOR]

The interplay between a firm's customer portfolio and the firm's performance presents a theoretical conundrum that challenges traditional supply chains. In particular, the role of government customer concentration—how extensively a firm incorporates government entities as part of its customer base—emerges as a pivotal factor with the potential to both bolster and burden firm performance. Analyzing 3,643 firm‐year observations from the U.S. Federal Procurement Data System‐Next Generation, Compustat, and FactSet Revere reveals an inverse U‐shaped relationship between government customer concentration and firm performance. Excessive or insufficient government customer concentration adversely impacts performance, suggesting that a strategic balance is essential. Firm size, absorptive capacity, and network embeddedness are crucial in navigating this complex relationship, guiding a firm toward optimizing its government customer portfolio. This research advances the discourse on customer base management, underscoring the essential strategic considerations for firms interacting with government buyers. [ABSTRACT FROM AUTHOR]

The article aims to study the effect of output additionality of public innovation funding on firm innovation, measured as economic returns of innovation, across firms of different sizes. A panel sample consisting of 4125 Spanish firms observed during years 2009–2014 has been analysed, using a treatment model. Robustness tests have also been used. The findings show the effects of output additionality of innovation funding support for small, medium and large firms, with a greater effect on large firms and a lower effect on medium firms. However, there has a weak effect for very large firms, which do not benefit in terms of output additionality. Since it is relatively easy for large firms to benefit from public support for innovation, some of the resources allocated to them should be passed on to small and medium firms. Medium firms seem to be less inclined to benefit from economies of scales than large firms and may be less affected by public innovation policy given the priority for small firms' development. Small and medium enterprises can benefit further from well‐designed targeting programmes, with a prevalence of demand‐side support measures compared to the supply‐side measures. [ABSTRACT FROM AUTHOR]

According to the theory of knowledge‐based hierarchies, a sufficiently large change in firm size should induce firms to change their organisational structure by adding or dropping organisational layers. In open economies, one of the main determinants of firm size is the volume of foreign sales, and its changes may also trigger reorganisations. However, changes in foreign sales are not only driven by foreign demand shocks alone, but also by firm characteristics like productivity and quality, which in theory confound both foreign sales and organisational structure. We construct a set of Bartik‐type measures of exogenous foreign demand shocks, and test whether firms respond to these shocks by changing their hierarchical structure. For this purpose, we combine transaction‐level trade data and employer–employee data for a set of Slovenian manufacturing firms that were engaged in exporting during the 1998–2011 period. While we find a positive relationship between changes in actual exports growth and number of organisational layers, we find no evidence that exogenous foreign demand shocks lead to adding or dropping organisational layers. [ABSTRACT FROM AUTHOR]

This paper investigates the economic effects of improved broadband access at the firm level. Using a detailed micro data set from 2002 to 2017, we cover almost 20,000 small, medium and large Greek firms and test the relationship between their economic performance with the availability and use of broadband services at the postcode level. We trace the effect of increased access and speeds across industrial sectors and firm sizes. Our results highlight that increases in broadband speeds can improve the financial performance of adopting small firms (sales, profits and labour productivity) by 2% for every speed doubling beyond basic broadband access. Unlike other output metrics, small firms do not generate increasing shares of intangible capital through this adoption process. These effects, which remain strong across a range of robustness checks, suggest that the digital transition for small firms should focus on the causes of adoption (including training and skill development) and move beyond policies aimed at increased broadband availability alone. [ABSTRACT FROM AUTHOR]

I study the long-term effects of landing a first job at a large firm versus a small one using Spanish administrative data. Size could be a relevant employer attribute for inexperienced workers since large firms are associated with greater productivity, wages, and training. The key empirical challenge is selection into first jobs based on unobserved worker characteristics. I develop an instrumental variable approach that, keeping business cycle conditions fixed, leverages variation in the composition of labor demand that labor market entrants face. Initially matching with a larger firm persistently improves long-term outcomes, even through subsequent jobs. Mechanisms suggest better skill development at large firms. [ABSTRACT FROM AUTHOR]

Prior studies have reported the positive impact of social media on box office performance. There is limited evidence of the dynamics of the positive impact and how box office performance influences social media. This study examines how owned social media (OSM) and earned social media (ESM) impact box office performance in a dynamic manner and vice versa in the opening week of movies. We also examine how these impacts vary with firm size of a movie's marketing company and platform specificity of where the movie is advertised. We applied the panel vector auto-regression method to analyze a merged dataset of 289 movies distributed in the Chinese movie market. We found that OSM and ESM had different impacts on box office performance. Box office performance reacted faster to ESM than to OSM and the reaction lasted longer to OSM than to ESM. In addition, the impact of OSM was more significant for large firms while ESM's impact was more significant for small firms. Finally, social media on specialized platforms did not have a faster impact on box office performance than that on general platforms. The impact on general platforms did not last longer than that on specialized platform. Overall, we recommend movie marketing firms develop tailored social media strategies by means of customizing their choices of social media based on firm size and platform specificity. [ABSTRACT FROM AUTHOR]

We first examine the effect of having innovation cooperation arrangements on the productivity level among firms with innovation activities. Then, we examine whether a firm's productivity level is affected by its number and types of innovation cooperation partners among those with innovation cooperation arrangements. Data on Norwegian firms with innovation activities is used. In the analysis, we differentiate between small and large firms. The estimation results show that unlike small firms, large firms can benefit from cooperation arrangements by achieving productivity improvements. Using the group of internal partners as the reference category, the results show that the productivity level is relatively higher in the short term among all and small firms that had cooperation arrangements with competitors or other enterprises in their sector, and relatively lower both in the short and medium term among all and small firms that had arrangements with partners in the academic sector. This level is relatively higher among large firms that had arrangements with consultants or consulting enterprises, and relatively lower among large firms that had arrangements with commercial labs or R&D-enterprises, in the medium term. We also find that most effects of the number of different types of cooperation partners are not significant. [ABSTRACT FROM AUTHOR]

Small- and medium-sized accounting practices (SMPs) offer clients – small and medium-sized entities – support to comply with statutory services (financial statements, tax file preparation) and provide customised business advice. This paper investigates differences in SMP's financial performance. A survey was sent to Belgian heads of SMPs, asking about personal characteristics regarding education and experience (representing human capital resources), firm size, service types provided, cooperation, and communication (representing organisational capital resources). The findings show that additional specialisation degrees, more experience, and more continuing professional development are linked with higher sales per employee. However, the advantage of additional specialisation degrees diminishes as experience increases. Cooperating with other service providers and using the phone as preferred communication method were also linked to higher financial performance. Finally, male-headed SMPs had higher sales per employee than female-headed ones. Female accountants focused more on their educational role, spending more time explaining the figures to clients. [ABSTRACT FROM AUTHOR]

Purpose: The purpose of the study was to benchmark meta-analytical conceptualizations of business-to-business (B2B) seller skills against empirical evidence in services firms. Design/methodology/approach: The study is based on a deductive approach and questionnaire survey focusing on a range of services firms from different industries and corporate sizes. A total of 389 questionnaires out of 732 were returned, generating a response rate of 53.1%. Findings: The study aims to provide empirical evidence and structures relating to B2B sellers' capabilities in a seven-dimensional conceptualization, all of which can be used in services firms to improve their seller efficiency. Each seller skill dimension performs a different function in the sales services process. Research limitations/implications: The authors conclude that the verified meta-analytical conceptualizations of B2B seller skills seem valid and reliable in services firms. Nevertheless, further research needs to be carried out, based on other company characteristics as well as industries. Practical implications: It reduces the risk perceived by customers in B2B services settings through cultivating the sellers' capabilities, based on the seven-dimensional evidence of seller skills to enhance sales performance. Originality/value: The study contributes to existing theory and previous studies by offering a foundation on which to structure sales performance indicators in services firms. Specifically, it contributes to structuring B2B seller skills across a selection of principal dimensions in B2B services settings. [ABSTRACT FROM AUTHOR]

The present study explores the relationship between return on assets and firm value. Most importantly, the mediating effect of the dividend payout ratio and the moderating effect of institutional investors are examined. The data for this study was collected from secondary sources, which included financial information. The sample consisted of five pharmaceutical companies with 192 data points over a ten-year period and was analyzed using Hayes's PROCESS macros. The findings of the study indicate that (i) return on assets is positively associated with the firm value and dividend payout ratio, (ii) dividend payout ratio was negatively related to firm value, (iii) the firm's size moderates the relationship between return on assets and dividend payout ratio, and institutional holdings. The findings support moderating effect of firm size (second moderator) in the relationship between the return on assets and institutional investors (first moderator) and dividend payout ratio and firm value, mediated through dividend payout ratio. This type of moderated-mediation model is novel in the literature on finance. This innovative methodology would be of interest to researchers in finance. [ABSTRACT FROM AUTHOR]

The objective of the study is to elucidate the impact of a vigorous board on the performance of firms. The contributive concept of vigorous board has been formulated through data employment analysis while contemplating the seven attributes such as board meetings, non-duality, number of external directors, number of supervisors, audit committee member, the presence of female among board members, and incumbent CEO education. Significantly, the data of Romanian manufacturing firms have been accumulated for the years 2009–2019. To contemplate with deep insight, the moderating impact of environmental disclosure, environmental performance, green innovation, and innovation output has been accentuated for firm performance. Empirical underpinnings signify that environmental performance and green innovation are the catalytic moderators for escalating the firms' performance under the aegis of vigorous board. Furthermore, environmental disclosure also increases the growth of Romanian companies, while innovation output remains stagnant. Under the aegis of upper echelon theory, theoretical contribution has been signified while emphasizing on environmental situation of Romanian firms. Remarkably, the moment quantile regression method demonstrates the long-term and short-term influence of the vigorous board, the size of the firms and the total sales, while the leverage and age of the CEO mitigate the firm performance in the short term. [ABSTRACT FROM AUTHOR]

Receivers and intermediary establishments typical to urban areas have unique freight behaviour and are understudied, particularly in developing countries. This paper uses establishment-based freight survey data to examine their freight generation patterns in the Chennai metropolitan area, India. Three sets of Simple Linear Regression (SLR) models, three single predictor proportional odds logit models, one multiple linear regression model, and one multiple predictor proportional odds logit model with business size (employment, area, and operational age) and indicators of establishment category as regressors are developed each for both freight production and freight attraction. Partial proportional odds logit models are developed in a few cases to overcome the limitations of proportional odds logit models. The best SLR model varied with the establishment category for freight production and attraction. The establishment area model is the best among single predictor proportional odds logit models. The multiple predictor proportional odds logit models marginally improved the fit over single predictor models. The proportional odds logit model results show that the establishment category has a greater impact on freight generation levels than business size variables. Since earlier studies rarely focused on receivers and intermediary establishments, policymakers may benefit from the developed models and study insights while estimating freight demand and developing freight policies. • Receivers and intermediary establishments' freight generation is studied. • Partial Proportional Odds (PO) logit models are developed for freight attraction. • Area model is the best single predictor PO logit model for freight generation. • Establishment type affects freight generation more than business size variables. [ABSTRACT FROM AUTHOR]

This paper analyses how working from home affects workplace learning in terms of theoretical and practical knowledge during COVID19. We employ panel data gathered in monthly surveys of respondents in training companies between October 2020 and March 2022 to investigate this question. Apprentices in Switzerland are our case study. We address potential endogeneity concerns in two ways. First, we exploit variation across survey respondents and time in two-way fixed effects models. Second, we pursue an instrumental variable "shift-share"-type approach that leverages how occupations react to exogenous changes in working from home regulations. The results suggest that working from home has a significantly negative impact on practical knowledge but not theoretical knowledge, relative to frequenting the workplace. We do not find significant heterogeneity across company size. Similarly, our results do not vary significantly between occupations in which working from home is relatively more or less prevalent. Our findings remain robust to a wide range of robustness checks. Our evidence-based recommendations aim to preserve the acquisition of knowledge through workplace training. [ABSTRACT FROM AUTHOR]

This paper analyses the impact of company size on the application of human resources (HR) investments. Data were collected through a questionnaire distributed to 610 SMEs in the Czech Republic. Properly completed questionnaires were obtained from 581 enterprises. The data were evaluated using the Chi-square test of independence, Kolmogorov-Smirnov normality test, Kruskal-Wallis test, and analysis of variance. Research questions were divided into four groups. The first group examined the application of HR investments as a reward, and the second group as a tool for increasing the interest in employment with the company. Another group focused on human capital management (HCM) and its impact on corporate financial performance. The last group dealt with HCM to improve the competitive advantage and the market position of the company. The results show that company size has a significant impact on the application of HC investments. In all groups, large enterprises (150+ employees) make investments to a greater extent than smaller companies. As for sector, the highest rating was recorded for companies operating in logistics and transport. The overall evaluation shows that large companies use the items more often, and no significant differences were recorded between different sectors. The findings may help large enterprises to realize that investment in human capital is long-term, increases competitiveness, and generates indirect returns. Small enterprises can also make investments in human capital, although to a limited extent, and it is not advisable to totally avoid such investments. The limitations are in the selected research method, the number of questions and respondents. [ABSTRACT FROM AUTHOR]

Learning is the key for people to become different, have an identity and expand their creativity and dedication. That is also the key for a business to continuously grow in capacity, contributing to the overall development of the organization. The goal of this article is to explore the impact of organizational learning and organizational agility on innovation performance. Create cutting-edge solutions and improve corporate innovation performance by enhancing organizational learning and organizational agility across the business. In particular, businesses need to transform strongly to promptly adapt to market changes. The article uses quantitative research methods with the sample size of 295 enterprises in Vietnam. The results show that organizational learning and the general aspect of organizational agility measured in the study: sensing agility and responding agility have a positive impact on innovation performance. Thereby, suggestions to improve organizational agility and innovation performance basing on enhancing the positive impact of organizational learning are given. [ABSTRACT FROM AUTHOR]

The thorny issue and contradictory conclusions on dividend payments and firm value are not ending any time soon. The existence of a divergence of findings in the literature suggests the need for further empirical studies on this subject matter. Therefore, this study focuses on how a firm's cash flow influences dividend payments in Ghana. Using data from 2015 to 2020, pooled ordinary least squares and random effects estimation, this study provides evidence of dividend payments in Ghana. The results show that dividend payments are influenced by a firm's net cash flow from operations, free cash flow to equity, firm size, and age. The relevant macroeconomic variables for dividend payments are inflation and gross domestic product growth. Another finding is that the more nonfinancial firms take on the characteristics of financial firms, the less dividends they pay. Managers of listed firms in Ghana should grow the size of their firms; however, this should be done in a manner not to expropriate value to managers as predicted in the Jensen agency problem associated with free cash flow. [ABSTRACT FROM AUTHOR]

Purpose: This research aims to determine the influence of environmental, social and governance (ESG) factors on market performance. The study shows the perspective of ESG on market performance. The study attempted to test the relationship between ESG and Tobin's Q and the effect of control variables. Design/methodology/approach: The study used panel data from a sample covering 720 firms and ran a fixed-effects model regression during the 2007–2019 period for eight European countries' listed companies. Findings: The findings reveal that ESG positively impacts Tobin's Q. According to the findings, high company ESG performance boosts market performance via the moderator effect of competitive advantage. The results indicate that all control variables are significant. The firm's leverage has a negative relationship with ESG. The size of the firm impacts ESG positively. Also, the results prove that the firm's size and industry positively affect Tobin's Q. Research limitations/implications: The findings of this study suggest that managers, practitioners and authorities interested in learning about ESG scores (ESGSs), market performance and competitive advantage might draw intriguing conclusions from the data. Managers can identify the appropriate levels of competitive advantage that improve market performance. Practitioners must determine whether fit, size, growth, leverage and industry could enhance market performance. The findings also give authorities and the board of directors information on future growth opportunities for the company and the country. Originality/value: The research presents a vision of how ESG factors affect market performance. This study aims to identify the positive link between ESGSs and European market performance. [ABSTRACT FROM AUTHOR]

Focusing on the sharp declines in exports during the global financial crisis and consumption during the COVID-19 pandemic, we empirically estimate the propagation of demand shocks from customers to their suppliers through firm-level input-output linkages in Japan. We find economically significant propagation of demand shocks and show that the strength of the propagation depends on firm sizes. During the global financial crisis, negative demand shocks hitting large exporters propagate to their large suppliers but not to their small suppliers. In contrast, during the pandemic, most of the firms damaged by the pandemic are small, and the negative demand shocks hitting these small firms also propagate to their small suppliers. Our results highlight the heterogeneous nature of demand shock propagation across firms, suggesting the existence of a specific route in an input-output network through which demand shocks easily propagate. [ABSTRACT FROM AUTHOR]