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This study discovers the influence of the firm's characteristics (i.e. firm size, firm leverage, aggressiveness of sales, board of directors' size and diversity) on the lapse rate of life insurance policies and family takaful certificates in Malaysia. The panel data includes 25 insurance operators consisting of 14 conventional insurers and 11 takaful operators available between 2014 and 2022. The crosssectional Ordinary Least Square (OLS) estimates show that firm size has a negative influence on lapse rates of life insurance (2019-2021), while a positive sign for firm leverage (2017, 2020 and 2021). The aggressiveness of sales shows the inconsistent influence on the lapse rate of life insurance in 2017 (positive) and in 2021 (negative). The firm leverage negatively influences on the lapse rate of family takaful for 2017 and 2018. The panel data estimates show that firm leverage and diversity of the firm's board of directors significantly impact the life insurance lapse rate while only firm diversity significantly impacts family takaful lapse rates. This study offers policy implications for the insurance industry in Malaysia, especially by the Bank Negara Malaysia (BNM). [ABSTRACT FROM AUTHOR]

Purpose – The effect of corporate social responsibility (CSR) on corporate financial performance (CFP) is shown to depend on both firm-specific and external factors. This study investigates the moderating role of two firm-specific factors – the firm life-cycle stage and ownership structure – on the CSR–CFP relationship in a developing economy setting – India. Design/methodology/approach – The study covers 1,419 listed companies in India during 2015–21. The firm lifecycle is represented using firm age and future growth prospects. Ownership is represented through a dummy variable and promoters’ holding percentages. Return on assets (RoA) is used as a measure of CFP, while CSR intensity, i.e. the ratio of CSR expenditure to profit after tax (PAT), is used to represent CSR. Fixed effect panel regression and generalized method of moments (GMM) models are used for data analysis. Findings – CSR expenditure has a significant negative impact on CFP. Firm age and future growth prospects amplify this negative impact, indicating that the firm life-cycle has a significant negative moderating effect on the CSR–CFP relationship. Furthermore, the impact of CSR on CFP is worse for government companies than private ownership. Promoters’ holdings have a positive impact on the CSR–CFP relationship. Research limitations/implications – The results question the validity of mandatory CSR expenditure on companies operating in developing countries and call for a differentiated policy approach to CSR expectations based on firm characteristics. This study also enhances the existing literature on CSR–CFP. Originality/value – The growing research on CSR–CFP has limited coverage of firm characteristics as contributing factors. Hence, this paper helps in enhancing the existing literature on CSR–CFP and makes it more relevant to firms with specific characteristics.

The study highlighted the role of firm characteristics, market characteristics, and financial delinquency on access to finance for small and medium-sized enterprises (SMEs). The study also described the mediating role of enterprise managerial skills and technology advancement and the moderator role of government support. The 410 samples were collected from SMEs through survey questionnaires and analyzed with partial least square-structural equation modeling (PLS-SEM). The results revealed that firm characteristics, market characteristics, and financial delinquency affected SMEs' access to finance. The enterprise managerial skills and technology advancement partially impact mediators, and government support plays a partial moderator role. The study contributed by exploring the unique concepts of the challenge toolkit that directly or indirectly influences access to finance for SMEs. In addition, the study contributed through the impressive comparative enormity of various financial demands from SMEs' perspective along with the mediator and moderator roles. The study also constructs an exclusive relationship with the theory of discouraged borrower and human resource theory and elaborates on the future direction for researchers. The study's findings are highly suitable for SMEs to identify the complex finance access challenges. Moreover, the study provides a flexible way for SMEs to manage a firm reputation in the market and enhance enterprise managerial knowledge for obtaining a loan from banks by fulfilling all codal formalities. [ABSTRACT FROM AUTHOR]

This paper investigates the key factors driving the capital gains overhang (hereafter CGO) in the US stock market. We used a sample of 3865 non-financial US companies with 331,023 observations from January 2001 through December 2020. The data is analyzed using a panel regression model. It contributes to the literature by using a new set of firm characteristics, namely, liquidity proxied by turnover, company beta, leverage, EPS, cash flow to price, market to book ratio, and size. This research is interesting as it provides an alternative to the behavioral finance point of view that serves only limited stylized facts. We find that CGO is increasing in some firm attributes, namely earnings per share, leverage, growth, and size, and decreasing in others, namely turnover, beta, and cash flow to price. Our results are robust to cross-sectional regression that checks the stability of estimates over time and to subsample analyses. Finally, our results remain the same even after accounting for endogeneity. [ABSTRACT FROM AUTHOR]

Against the backdrop of the current multiple crises facing the global economy and the slowdown in China's economic recovery, the Chinese government is not only under pressure to reduce its tax revenues but also needs to adjust its tax policy to stimulate economic activities and promote economic recovery. Against this background, based on previous studies, we conducted an in-depth analysis of 89 articles selected to create a conceptual framework for analyzing the determinants of effective tax rates (ETR) using corporate governance, agency theory, and a systematic literature review (Amri et al., 2023; Kalbuana et al., 2023). A comprehensive literature analysis found that managerial ownership, institutional ownership, board of directors composition, firm size, and profitability are all related to the ETR, and profitability moderates the relationship between these independent variables and ETR. These findings are essential for the Chinese government to formulate tax policies, optimize tax administration, promote tax reform, enhance taxpayers' awareness, and guide strategic decision-making and investment appraisal. At the same time, this study helps Chinese enterprises identify their tax burdens, make tax plans according to the situation, and reduce tax risks. It also allows investors to make more informed investment decisions. [ABSTRACT FROM AUTHOR]

The demand for information technology expertise has grown rapidly in the last few decades, signaling firms' commitment to integrating IT into core business strategies. Understanding the conditions under which firms appoint a chief information officer (CIO) can provide valuable insights into the evolving role of IT in corporate governance. This study addresses a crucial gap in the literature by exploring the determinants of a firm's decision to hire a CIO at the top management level. The study identifies several factors that influence a firm's decision to appoint a CIO, including the firm's size, its level of innovation, and its prior performance. The study examines these assertions by comparing the characteristics of firms that appoint a CIO at the top management level with those of similar firms in their industries that do not have a CIO position prior to the appointment. A logistic regression model that considers CIO firms and their matched firms indicates that firms that have larger capital expenditures, higher market value, or have experienced loss are more likely to hire a new CIO. Our study provides empirical evidence on why certain firms prioritize IT leadership at the executive level. [ABSTRACT FROM AUTHOR]

This study discovers the influence of the firm’s characteristics (i.e. firm size, firm leverage, aggressiveness of sales, board of directors’ size and diversity) on the lapse rate of life insurance policies and family takaful certificates in Malaysia. The panel data includes 25 insurance operators consisting of 14 conventional insurers and 11 takaful operators available between 2014 and 2022.The cross-sectional Ordinary Least Square (OLS) estimates show that firm size has a negative influence on lapse rates of life insurance (2019-2021), while a positive sign for firm leverage (2017, 2020 and 2021). The aggressiveness of sales shows the inconsistent influence on the lapse rate of life insurance in 2017 (positive) and in 2021 (negative). The firm leverage negatively influences on the lapse rate of family takaful for 2017 and 2018. The panel data estimates show that firm leverage and diversity of the firm’s board of directors significantly impact the life insurance lapse rate while only firm diversity significantly impacts family takaful lapse rates. This study offers policy implications for the insurance industry in Malaysia, especially by the Bank Negara Malaysia (BNM).

In today's highly competitive market environment, corporate managers face external pressure from stakeholders to achieve short-term profit targets, as well as internal pressure to maintain their positions, compensation, and benefits. Under these dual pressures, managers may engage in myopic behavior that prioritizes short-term gains at the expense of the company's long-term interests, which can be detrimental to the company's sustainable development. Therefore, effectively curbing managerial myopia remains a critical challenge in corporate governance practice. Although there has been an increasing amount of research on managerial myopia. few studies have explored the impact of corporate digital transformation on this behavior. Based on the text analysis method of machine learning. this paper constructs an enterprise digital transformation index and uses the R&D expenditure reduction to measure managerial myopia to test the extent and mechanisms of the impact of digital transformation on the managerial myopia of enterprises. It reveals that the digital transformation of enterprises can effectively inhibit the shortsighted behavior of managers, and this inhibition is mainly achieved by improving information transparency and increasing the profits of enterprises. A series of robustness tests confirm that the conclusion is robust and reliable. In addition. the impact of enterprise digital transformation on managerial myopia is different due to the differences in management team characteristics and enterprise characteristics. Specifically, the inhibition effect of enterprise digital transformation on managerial myopia is more evident in enterprises with smaller management teams, younger ages. longer tenure and R&D backgrounds, and in high-tech and non-state-owned enterprises. Compared to previous literature, this paper makes three key contributions: first, it explores the role of corporate digital transformation in corporate governance, enriching the relevant theoretical framework. Second, it investigates the mechanisms through which digital transformation mitigates managerial myopia focusing on the principal-agent problem between shareholders and managers. providing practical pathways for companies to address myopia. Third. it conducts further analysis based on the characteristics of the firms and management teams, offering differentiated policy recommendations based on these characteristics. This research sheds light on the intrinsic logic behind how corporate digital transformation curbs managerial myopia. providing valuable policy implications for companies aiming to enhance governance efficiency in the digital economy era. Firstly, companies should consider a comprehensive range of investments, including capital. technology, and human resources, to accelerate the digital transformation. Secondly, companies should adjust their management teams at different stages of development to align with corporate goals. Lastly, companies should establish performance evaluation systems based on long-term outcomes, incorporating non-financial metrics such as innovation capability, to more comprehensively reflect the company's value creation and sustainable operation. [ABSTRACT FROM AUTHOR]

This paper explores the relationship between firm-level factors and the quality of corporate governance of state-owned enterprises (SOEs) in an emerging economy, namely Vietnam. We employ a self-built corporate governance index (CGI) for SOEs and conduct an empirical analysis of data from 113 listed SOEs on the stock market of Vietnam from 2016- 2020 using a fixed effect model (FEM) as suggested by the Hausman test. We find that firm-level characteristics such as firm age and tangibility of assets as well as macroeconomic factors such as the quality of the business climate and economic growth exhibit a statistically significant correlation with the corporate governance quality of SOEs. On the other hand, there is no established statistically significant relationship between other firm characteristics such as firm size, state ownership, financial leverage, growth opportunities and corporate governance. These results for an emerging economy like Vietnam are novel and provide implications for policymakers, regulators, shareholders and other stakeholders on the possibility of enhancing the quality of corporate governance of SOEs in an emerging market, a critical issue given the increasing role of SOEs in economies. Our research can be improved for future research in a couple of aspects. First, addressing the case of companies that do not disclose their governance practices in annual reports would help enhance the information for the corporate governance index. Second, extending the data to compare listed SOEs with other listed firms would provide a more comprehensive analysis. [ABSTRACT FROM AUTHOR]

In today's globalizing economy, the importance of timely and accurate financial reporting has become more crucial than ever. These reports provide a detailed insight into a company's financial health and performance, offering critical information to investors, creditors, and other relevant parties to make informed decisions. While determining the publication timing of financial reports, strategies are set based on the weight of good and bad news. Companies tend to announce positive news quickly, especially during open market periods, to support their corporate reputation and boost the confidence of shareholders and potential investors. On the other hand, companies might be inclined to withhold or announce bad news during closed market periods to minimize or delay negative market reactions. Through these strategies, firms aim to create either a positive or negative impact on shareholders and investors and control the effect of news most efficiently. The purpose of this study is to examine whether the timing of financial reporting varies depending on firm characteristics. Logistic regression analysis was conducted using data from 2345 observation obtained from companies traded on Borsa Istanbul between 2009 and 2019. The results of the study indicate that firm characteristics such as firm size and financial leverage have a significant effect on whether financial reports are announced on weekdays or weekends. These findings reveal that the timing strategies in financial reporting can vary depending on certain characteristics of the firm. Notably, they highlight that when deciding how and when to announce positive or negative news, companies consider both their own characteristics and market conditions. [ABSTRACT FROM AUTHOR]

AbstractThis paper investigates the impact of the spread of COVID-19 on the Saudi stock market. More particularly, this study examines the implications of the recent coronavirus on the overall stock returns, sectoral stock returns, and the stock returns of specific firm characteristics: market capitalization, book-to-market ratio, profitability, investment growth, and Islamic compliance. The sample deployed in this study covers the weekly data from 3 March 2020 until 25 May 2021, with 62 observations for 183 stocks. For each firm characteristic, all the stocks in our sample were divided into three subsamples using the 35th and 65th quantiles as breakpoints, specifically to examine the implications of COVID-19 for different firm characteristics. Then, panel regression analysis and Wald tests were applied to test the devised hypotheses. A negative impact of COVID-19 was recorded for all market capitalization groups, and the impact was the same on small and large market capitalization stocks, whereas the worst was on medium stocks. The outcome also indicated that less profitable stocks were more vulnerable to COVID-19 than other profitability groups. Furthermore, the impact of COVID-19 on non-Islamic stocks was lower than that on Islamic stocks, which were affected the most by the contagion.

This study examines the influence of board characteristics on company’s sustainability reporting in the GCC region. In contrast to prior research, we investigate the relationship between variables across a span of eleven years, encompassing all nonfinancial firms listed on the GCC stock exchanges. Our study addresses the scarcity of research undertaken in the GCC region on this particular topic. This study empirically investigates the relationship between board characteristics (specifically, board size, board gender diversity, board meetings, and board independence) on the adoption of sustainable reporting while taking into account firm characteristics (including leverage, profitability, liquidity, and firm size) and controlling for macroeconomic variables (such as GDP and inflation). This research utilized Probit regression to examine the influence of the likelihood of various variables on the adoption of sustainable reporting. The findings indicated that larger board sizes, a higher proportion of female board members, the inclusion of more independent directors, and more frequent board meetings all contribute to the improvement of sustainable reporting. Furthermore, the greater the size, the greater is the impact of profitability and liquidity on the sustainability of reporting. The current research offers some insights into the connection between board characteristics and corporate sustainability reporting for corporate boards, regulators, and practitioners who are interested in promoting sustainable reporting. Further investigation should examine the comparison of sustainability reporting methodologies across different regions, as well as between privately held and publicly listed corporations. Finally, as evident by the results reported in the Maximum Likelihood Estimator our results are robust.

The impact of firm age, firm size, profitability, leverage and auditor type on compliance with the International Financial Reporting Standards for small- and medium-sized entities (IFRSs for SMEs) was investigated in this study. The foundation of the study was SMEs in Tanzania. However, there is limited evidence on the association between firm characteristics and Tanzanian SMEs’ compliance with IFRSs. Thus, by expanding the use of agency theory to ascertain the link between variables, this study adds to the corpus of knowledge. The research specifically employed a quantitative panel data set of 103 SMEs (412 observations) from the 2018–2021 timeframe which were gathered via audited yearly financial reports and processed using regression models and descriptive analysis. According to descriptive statistics, 42.3% of IFRSs disclosures are being complied with by SMEs in Tanzania. The findings indicate that, for SMEs, there is a strong positive correlation between the extent of IFRSs compliance and firm age, firm size, profitability and auditor type. Furthermore, a weak but negative correlation between leverage and IFRSs compliance was discovered by the study. Therefore, SMEs with robust financial performance and those that are expanding in size and age contribute to the acceleration of IFRSs compliance. Additionally, employing reputable audit firms—such as the Big Four audit firms—helps SMEs comply with IFRSs requirements. Therefore, the National Board of Accountants and Auditors should guide best practices for overseas IFRSs compliance by publishing new policies and evaluating current ones. This is crucial, as a poor level of IFRSs compliance in developing countries highlights the importance of noncompliance issues, which should concern standard-setters, regulators and other stakeholders.

The concerns about earnings management arose after the fall of many multinational companies. Extant literature has shown accruals and real earnings management techniques as dual ways of manipulating earnings. However, prior literatures have dwelled on AEM making it vast and creating a literature gap for REM with unanswered questions. This study examined the effect of firm characteristics on both and AEM was measured using the extended jones model by Yoon, Miller & Jirapon (2006) model while REM was measured by the Rowchowdhury (2006) model. The research sample was 40 firms drawn from listed manufacturing firms on the Nigerian Exchange Group (NGX) for the period 2007 to 2021. The ex post factor research design was used to determine the relationship between the dependent variable (Earnings management proxy by accruals earnings management and real earnings management), the independent variables (firm characteristics proxy by firm size, firms’ growth, firms’ profitability and audit quality) and the tradeoff between AEM and REM. The study used the multiple linear regressions as a tool of analysis. The results indicated; firm size has a consistent negative impact on both AEM and REM, with statistically significant results indicating that larger firms may face unique challenges related to financial reporting quality. Return on assets (ROA), have negative relationship with both AEM and REM which indicates Manager’s aggressive behavior to meet the benchmark has a significant positive association with both AEM and REM. Audit quality was also found to have a positive effect for both AEM and REM (0.0081 and 0.0008) which shows that the choice of audit firm affects both AEM and REM. Moreover, the results indicate that highly leveraged firms engage more in real earnings management than the accruals earnings management. The study concludes that firm growth measured by leverage has a significant positive impact on REM and higher this could be because managers decrease AEM because of strict audits and pressure of debt covenant. The perhaps increased REM knowing that detecting REM is more difficult than AEM, hence manipulated real activities with the purpose of observing finance obligations. Therefore, this study recommends heightened oversight and transparency, particularly in the context of real earnings management; regulators can work towards curbing detrimental practices that impact firm value.

The increasing prevalence of earnings management in Nigerian companies indicates that this practice is quickly becoming a significant issue for stakeholders. Discrepancies in accounting data are concerning, and the poor quality of financial reporting and accounting data is leading to growing doubts about the accuracy and usefulness of the information provided in financial reports. Consequently, this study focused on the relationship between firm characteristics and discretionary cash flow in listed oil and gas firms in Nigeria. A longitudinal research approach was employed on a population comprising of the 12 oil and gas companies that were listed as of the last quarter of 2021 on the Nigerian Exchange Group (NGX). The study adopted secondary data from the 2002–2021 annual reports of oil and gas companies listed on the Nigerian Exchange Group while the Pooled Ordinary Least Square (OLS) regression analysis was deployed as the method of data analysis. The findings revealed that discretionary cash flow and the firm characteristics of oil and gas firms have a negative significant relationship. Based on the above findings, this study concluded that an abundance of operating cash flow lessens the propensity to participate in earnings management. The study therefore recommended that companies listed on the Nigerian Exchange Group (NGX) should abide by the governance reforms already in place in the nation, such as sufficient assessment, investigation, and scrutiny of the company's financial statement and sufficient protocols for the early identification of earnings management practices.

Research Question: Do firm characteristics affect compliance with IFRS 15 mandatory disclosures? Motivation: IFRS 15 became mandatory for annual periods beginning on or after January 1, 2018. It introduces new revenue recognition rules compared to the legacy standards and sets extensive disclosure requirements. Focusing on compliance with IFRS 15 mandatory disclosures allows us to measure and understand firm’s disclosures on a specific topic such as revenue which represents a key performance indicator for a given firm. Idea: This study examines the association between firm characteristics and compliance with IFRS 15 disclosures. Data: We selected non-financial firms listed on the French stock market index CAC all tradable. 431 firm-year observations operating in different sectors were identified and cover the 2018- 2021 period. Based on a list comprising the disclosures required under IFRS 15, we performed a content analysis of the annual reports to measure compliance level with IFRS 15 mandatory disclosures. An unweighted disclosure index was then computed. We collected data on firm characteristics from DATASTREAM database. Tools: We developed a multiple regression model with panel data including industry and year fixed effects. We used STATA software to estimate the model. Findings: Results show that the degree of compliance with IFRS 15 mandatory disclosures varies from one industry to another as well as within the same industry and firms do not fully comply with IFRS15 disclosure requirements. In addition, firm characteristics such as firm size, leverage, profitability, audit firm size, and ownership concentration seem to be key determinants of compliance with IFRS15 mandatory disclosure requirements. Contribution: Research on how firms comply with IFRS 15 mandatory disclosures is scarce. To the best of our knowledge, apart from Napier and Stadler (2020), Boujelben and Kobbi-Fakhfakh (2020), Karim and Riya (2022) and Krupova and Partac (2022), no study has investigated this research question. While these studies have provided information on the items complied with, they have advanced descriptive analyses. To the best of our knowledge, this is the pioneer study that measures compliance with IFRS 15 mandatory disclosure requirements and provides empirical evidence on firm-level determinants of compliance levels.

The debate on how corporate social responsibility (CSR) responds to and reacts to the increasing economic policy uncertainty (EPU) is still unsettled. The present study sheds light on the curvilinear relationship between EPU and CSR, employing the provincial EPU index in China for the period of 2010–2016. More precisely, when EPU is in an appropriate range, as EPU grows, its CSR engagement experiences an initial increase; however, once the threshold value is reached, the additional increments in EPU result in a reduction in CSR engagement. Additionally, the inflection point of the state-owned firms, large-sized firms, and firms in their mature stage are large, indicating that economic policy uncertainty influences corporate social responsibility positively in a rather wider range. We also show that the inverted U-shaped effect is negatively moderated by financial constraints and government interventions. The findings of this study hold significance for policy-makers, offering valuable insights related to the structuring of efficient policies. [ABSTRACT FROM AUTHOR]

Internal and external pressures urge businesses to adopt sustainable practices and compel them to manage natural resources for enhanced performance. The objective of this literature review research was to investigate the stakeholders influencing companies to embrace environmental practices, document existing environmental practices, and investigate the effects of these practices on business performance. This study spans a 25-year period, from 1998 to 2023, utilizing articles sourced from the Scopus database. The novelty of this research is that (a) each dimension—drivers, environmental practices, and performances—is individually examined, as well as in combination; (b) environmental practices are categorized based on the value chain framework, across the different stages of business operations; and (c) it includes analysis of the effects of each of the environmental practices on all three types of performance—environmental, financial, and non-financial. This research is presented with its findings and highlights the gaps in the existing literature. This work discusses the implications of this research for academics and managers. [ABSTRACT FROM AUTHOR]

This study uses machine learning to investigate the effects of firm and CEO characteristics on stock price crash risk by collecting massive data on publicly listed firms in China. The results show that eXtreme Gradient Boosting (XGBoost) is the most effective model for predicting stock price crash risk, with relatively satisfactory performance. Meanwhile, the SHapley Additive exPlanations (SHAP) method is used to interpret the importance of features. The results show that the average weekly return of a firm over a year (RET) contributes the most and is negatively associated with crash risk, followed by Sigma, IPO age, and firm size. We also found that, among CEO characteristics, CEO pay contributes substantially to crash risk at the firm level. Our findings have important implications for research into the impact of firm and CEO characteristics on stock price crash risk and provide a novel way for investors to plan their investment decisions and risk-taking behavior rationally. [ABSTRACT FROM AUTHOR]

This article discusses a study on the factors affecting the business performance of retail ready-made garment businesses in Thailand through e-business adoption. The study found that customization, supplier connection, and information significantly influence business performance, while transactions do not. The adoption of e-business can lead to efficient operations and sustainable growth. The article also emphasizes the importance of government support and the use of technology in e-commerce. The study aims to provide academic information that can be used as a guideline for entrepreneurs and make recommendations to the government for support in unstable business circumstances. [Extracted from the article]

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]

The objective of this paper is to analyze the Economic Policy Uncertainty impact on Small and Medium Enterprises’ financial performance, considering the role that sector plays and firm characteristics. Thus, a data sample of 80,620 Spanish SMEs was selected for 2012–2020. Using system Generalized Method of Moments estimators, the results show a negative impact, especially in the service sector. Industrial Spanish SMEs that are larger, younger, more indebted, with more growth opportunities and with higher asset turnover are the most resilient to EPU. The findings can help SMEs design better management strategies to deal with this uncertainty.

Through a machine learning approach, this study develops a determinant model of corporate social responsibility (CSR) performance and comprehensively examines the predictiveness of chief executive officer (CEO) characteristics, board characteristics, firm characteristics, and industry characteristics. The results show that the extreme gradient boosting (XGBoost) model predicts CSR performance in the Chinese context more accurately than the other machine learning models tested. Moreover, the interpretable model based on the XGBoost and Shapley additive explanations (SHAP) method suggests that return on assets (ROA) has the strongest predictive power for CSR performance compared to other feature variables, followed by industry competition, firm size, industry size, customer concentration, leverage, industry growth, CEO pay, ownership, and CEO shares. Specifically, ROA, industry competition, firm size, industry size, industry growth, CEO pay, and ownership positively relate to CSR performance. In contrast, the effects of customer concentration, leverage, CEO shares, sales growth, and board diversity are negative. Overall, our study adds knowledge to sustainable operations management literature by providing insights into the use of advanced machine learning methods to predict CSR performance in the context of emerging markets, thereby offering significant implications for managers, investors, policymakers, and regulators. [ABSTRACT FROM AUTHOR]

Corporate social responsibility (CSR) has gained a great deal of interest in recent years due to the need for information that can help many stakeholders (e.g., governments, investors, professional organizations, researchers, etc.) understand companies' contributions to the environment and society. CSR disclosure (CSRD) is now the key source of such information when analyzing, for example, an institution's future performance. In the current body of CSRD literature, the majority of quantitative CSRD studies have relied on traditional statistical approaches for the correlation analysis of CSRD influencing factors. In this paper, we intend to quantitatively analyze firms' characteristics related to CSRD in Saudi Arabia, understand CSRD and its influencing factors, and predict CSRD patterns. This study lays the groundwork to help companies make informed decisions. It also helps many other stakeholders better understand CSRD's impacts. To achieve this, we propose a deep learning framework based on long short-term memory (LSTM) for identifying and predicting CSRD patterns. Moreover, a correlation-based technique is also used to visualize the relationships between variables and identify the significant features. The dataset used in this study was collected from annual reports, CSR reports, and firms' websites between 2015 and 2018. It contains a variety of variables to explain the CSR behaviour of 117 companies. The proposed framework is evaluated with several approaches, including logistic regression (LR), K-nearest neighbours (KNN), support vector machines (SVM), random forests (RF), and decision trees (DT). Compared to other machine learning models, experiment results show that LSTM achieved acceptable results with the highest accuracy of 88 % . [ABSTRACT FROM AUTHOR]

Purpose: This study sought to determine how market factors influence investment decisions in Nairobi Securities Exchange-Kenya. The study would offer valuable contributions from both a theoretical and practical standpoint where it contributes to the general understanding of the drivers of investment in the Nairobi Securities Exchange in Kenya. Methodology: The study adopted positivism philosophy because the study variables were based on facts derived from the empirical literature review and the theoretical premises discussed in chapter two. Its results are quantitative and explain the relationship between the variables quantitatively. This research used a descriptive research design that allows a researcher to get adequate data from a small population costeffectively and easily by use of a questionnaire as the research instrument. It is the structure, or the blueprint of research that directs the process of research from the formulation of the research questions and hypotheses to reporting on the research findings Krishnan, (2015). Primary data was collected using standard questionnaires with both closed and open-ended questions. Cronbach's Alpha Test was used to test the internal consistency reliability of measurements. Data was obtained from the unit trusts and pension funds in Nairobi County. The study was conducted during the 2010-2019 period. This study adopted a census of all fund managers the Nairobi Securities Exchange that have been actively trading for the period starting 2010-2019. The target population for this study was 129 fund managers hence a census of all equity fund managers at the NSE. Quantitative data was coded to facilitate analysis using Statistical Package for Social Scientists (SPSS 23). The study performed tests on statistical assumptions such as test of regression assumptions and statistics used. This included tests of reliability, normality, autocorrelation, panel root test, cointegration, linearity, independence, heteroscedasticity, and multicollinearity. Data was extracted from the financial statements and NSE handbooks, Excel program was used to calculate ratios relevant to the study variables. Descriptive statistics were used to summarize the study variables; group behavior, accounting information, firm characteristics, and market factors of fund managers at NSE. Findings: The study concluded that more attention should be focused on firm characteristics to achieve the best investment choices. Unique Contribution to Theory, Practice and Policy: The study was guided by finance theories that acted as its base that supported the empirical literature review which included Resource Based Theory (RBT), agency theory, herding theory and prospect theory. More attention should be paid to the predictors in the order of the magnitude of their effect on investment decision-making. [ABSTRACT FROM AUTHOR]

Cash flow forecasting has significantly increased since 2000 due to more attention paid by investors and financial analysts than before. If cash flows can be predicted appropriately, a significant part of the informational needs associated with cash flows will be provided. In this regard, this study aims to examine the impact of firm characteristics on predictable future cash flows from operating activities by employing present operating cash flow and profitability. Eight hypotheses were developed, and the information was analyzed for 127 firms listed on the Tehran Stock Exchange between 2011 and 2020. The regression model was tested with a fixed effect model using panel data. The study's findings showed that firm characteristics like size, level of competition, and level of supervision positively impact the predicting power of present operating cash flow and profitability in anticipating future operating cash flow. By contrast, the outcomes disclose that characteristics such as the company's life will not significantly affect the predicted strength of present operating cash flow and present profitability to forecast future cash flow from operating activities. [ABSTRACT FROM AUTHOR]

This study examines the influence of firm characteristics on the extent of sustainability reporting among listed companies in Tanzania. Data was collected from the annual reports of companies listed on the Dar es Salaam Stock Exchange (DSE) spanning the period from 2016 to 2021 resulting in a panel data set of 130 firm-year observations. These were analysed using both Ordinary Least Squares (OLS) and Random Effects (RE) regression model techniques. The results indicate that the size of a firm and the presence of a sustainability committee have a significant positive relationship with the extent of sustainability reporting. In contrast, the age of a firm exhibits a significant negative relationship with the extent of sustainability reporting. Additionally, financial metrics namely liquidity, gearing, and profitability as well as audit quality did not show any significant relationship with sustainability reporting. The findings suggest that large and young firms are more inclined to adopt extensive sustainability reporting than their counterparts and challenge traditional assumptions about the influence of financial attributes. This implies that regulators such as DSE and Capital Markets and Securities Authority (CMSA) should persist in encouraging smaller companies to keep enhancing their sustainability reporting, supporting older firms in improving their reporting practices and fostering awareness about the benefits of sustainability reporting across all listed entities. Similarly, DSE and CMSA may require listed firms to establish sustainability committees on the boards of directors to enhance sustainability reporting disclosure. [ABSTRACT FROM AUTHOR]

This paper investigates the impact of the spread of COVID-19 on the Saudi stock market. More particularly, this study examines the implications of the recent coronavirus on the overall stock returns, sectoral stock returns, and the stock returns of specific firm characteristics: market capitalization, book-to-market ratio, profitability, investment growth, and Islamic compliance. The sample deployed in this study covers the weekly data from 3 March 2020 until 25 May 2021, with 62 observations for 183 stocks. For each firm characteristic, all the stocks in our sample were divided into three subsamples using the 35th and 65th quantiles as breakpoints, specifically to examine the implications of COVID-19 for different firm characteristics. Then, panel regression analysis and Wald tests were applied to test the devised hypotheses. A negative impact of COVID-19 was recorded for all market capitalization groups, and the impact was the same on small and large market capitalization stocks, whereas the worst was on medium stocks. The outcome also indicated that less profitable stocks were more vulnerable to COVID-19 than other profitability groups. Furthermore, the impact of COVID-19 on non-Islamic stocks was lower than that on Islamic stocks, which were affected the most by the contagion. [ABSTRACT FROM AUTHOR]

Recent surveys indicate that America's chief executive officers (CEOs) are getting older. While aging is often associated with greater experience, improved skill sets and higher job performance, prior research warns that aging can also lead to a significant decrease in cognitive function, energy, ambition and, consequently, the ability of CEOs to manage their firms. We examine this issue and find that older CEOs display significantly lower managerial ability as compared to younger CEOs. Exploring differences in firm factors, we further find that older CEOs exhibit significantly lower managerial ability when managing high‐technology firms and significantly higher managerial ability when managing more mature, highly regulated firms. Collectively, our study provides new evidence that while managerial ability decreases with age, firm characteristics significantly moderate this relationship. [ABSTRACT FROM AUTHOR]

Abstract This paper uses a matched employee-employer dataset using the Productivity and Investment Climate Survey 2007 to assess the relative effect of demand and supply-side characteristics on the wages of native and immigrant workers in Malaysia. In doing so, the study demonstrates noteworthy differences in the wage determination process. Individual supply-side characteristics are found to be a key determinant of wages for native workers, and are relatively more important in explaining the wage variation than demand-side effects. In contrast, individual supply-side characteristics are found to explain noticeably less of the wage variation for immigrant workers. Therefore, this study reveals that native and immigrant wages do not solely reflect the workers’ productivity, although this effect is far more pronounced for the migrant workers.

With a marketplace characterized by increased competition globally and constant changes in customer needs and wants, there is a need to adopt operational innovations while complying with the business environment (internal capabilities) and the firm characteristics, influencing factors in the innovation adoption and implementation. For this reason, this study aimed to investigate the influence of firm characteristics on the relationship between operational innovation and the performance of manufacturing firms in Kenya. The positivism approach was used to increase the reliability of investigation findings for generalization. Further, a descriptive research design was adopted, equally to increase the reliability of the survey. Sample of 182 firms with strong affiliations to Kenya Association of Manufacturers (KAM) was used. The firms had 14 subcategories based on the products they manufactured. Statistical Package for the Social Sciences (SPSS) and smart PLS4 were used for data analysis, and regression analysis was used for conclusive results. The findings reveal that firm characteristics have a sizable impact on the association between innovation and firm performance. [ABSTRACT FROM AUTHOR]

This article examines how high-speed internet development across Chinese provinces affects firm employment and average annual wages. The authors exploit a national policy reform by which the government launched a project to improve internet speed in 2000 and devise a difference-in-differences with a continuous treatment method for empirical identification. The authors first find that high-speed internet significantly increases employment and slightly reduces average wages. Specifically, after one percentage point increase in the number of fixed-line users per capita at the province level, there is a 0.14 percent increase in firm employment and a 0.06 percent decrease in average wages, respectively. Also, this paper shows that the gains and losses from high-speed internet on firm performance are likely to have risen from the higher probability of firm entry and the improvement of productivity in existing firms. Third, the authors find rich heterogeneity across firm ownership, size, and regional characteristics. [ABSTRACT FROM AUTHOR]