scholarly journals Exploring the impact of sustainability (ESG) disclosure on firm value and financial performance (FP) in airline industry: the moderating role of size and age

2021 ◽  
Author(s):  
Yaghoub Abdi ◽  
Xiaoni Li ◽  
Xavier Càmara-Turull
Keyword(s):  
Firm Size ◽  
Airline Industry ◽  
Firm Value ◽  
Low Cost ◽  
Air Transport Industry ◽  
Managerial Strategy ◽  
Sustainability Disclosure ◽  
The Impact ◽  
Moderating Role

AbstractThis study aims at exploring the impact of ESG scores on the value and FP of firms in the airline industry. The potential moderating role of firm size and age has also been studied in an effort to disentangle their relationships in this context. In particular, the analysis involves interaction effects for two types of firms: full-service and low-cost carriers. Based on the collected data from 38 airlines worldwide for the period 2009 to 2019, we observed that contributions to governance initiatives improve a firm’s market-to-book ratio. We also found that a firm’s participation in social and environmental activities is positively and significantly rewarded by a higher level of financial efficiency. Additionally, firm size is the relevant moderator for the association between sustainability disclosure and both firm value and FP in the air transport industry. We therefore propose that a managerial strategy of participating in these initiatives may adapt them based on their total assets as proxy of firm size. In regard to firm age, we did not find it to be a significant moderator.

scholarly journals Capital Structure-Firm Value Nexus: Moderating Role of Profitability

2020 ◽  
Vol 11 (2) ◽  
pp. 375-386
Author(s):  
Hamed Ahmad Almahadin ◽  
Yazan Salameh Oroud
Keyword(s):  
Capital Structure ◽  
Firm Value ◽  
Panel Data Analysis ◽  
Policy Implications ◽  
Ample Evidence ◽  
Functional Models ◽  
The Impact ◽  
The Relationship ◽  
Moderating Role

This study aims to investigate the moderating role of profitability in the relationship between capital structure and firm value in Jordan, as an example of an emerging economy. For this purpose, two functional models were formulated to capture the direct relationship as well as the interaction impact of capital structure on firm value. The robust empirical findings of panel data analysis provide strong evidence of an adverse relationship between capital structure and firm value. The findings confirm that the impact of capital structure appears to be complicated in nature and difficult to examine without controlling for the interaction of profitability as one of the major determinants. Therefore, studying the interaction effect provides ample evidence and enhances the understanding of the link between firm value and capital structure. The empirical results of the study may provide important insights and policy implications to decision-makers.

Customer Equity Drivers, Customer Experience Quality, and Customer Profitability in Banking Services: The Moderating Role of Social Influence

2019 ◽  
Vol 23 (2) ◽  
pp. 174-193 ◽  
Author(s):  
Lily (Xuehui) Gao ◽  
Iguácel Melero-Polo ◽  
F. Javier Sese
Keyword(s):  
Social Influence ◽  
Financial Services ◽  
Firm Value ◽  
Customer Experience ◽  
Customer Equity ◽  
Banking Services ◽  
Relationship Equity ◽  
The Impact ◽  
Moderating Role

Financial service organizations are increasingly interested in ways to improve the service experience quality for customers, while customers progressively perceive the commoditization of banking services. This is no easy task, as factors outside the control of the service firm can influence customers’ perceptions of their experience. This study builds on the customer equity framework to understand the linkages between what the firm does (customer equity drivers: value equity, brand equity, and relationship equity), the social environment (social influence), the customer experience quality, and its ultimate impact on profitability. Using perceptual and transactional data for a sample of customers of financial services, we demonstrate the central role played by factors under the control of the firm (value, brand, and relationship equity) and those outside its control (social influence) in shaping customers’ perceptions of the quality of their experience. We offer new insights into the moderating role of social influence in the linkages between the customer equity drivers and the customer experience quality. The managerial takeaway is that the impact of customer equity drivers on the customer experience quality is contingent on the influence exerted by other people and that enhancing customer experience quality can be a way to increase monetary returns.

scholarly journals Firm size and diversification strategies: Does labor intensity matter?

2015 ◽  
Vol 12 (4) ◽  
pp. 327-331
Author(s):  
Wisnu Untoro ◽  
Reza Rahardian
Keyword(s):  
Firm Size ◽  
Geographic Area ◽  
Labor Intensity ◽  
Large Firms ◽  
Publicly Traded ◽  
Past Performance ◽  
Diversification Strategies ◽  
The Impact ◽  
Moderating Role

This paper examines the impact of firm size on business and international diversification strategies. Using a novel dataset, we study 294 Indonesian publicly traded firms in a cross-section research. Controlling for past performance, firm age and industry dummies, we do find, as we expect, that large firms tend to diversify their business as well as their geographic segments. We also extend this study by looking at the moderating role of labor intensity in the impact of firm size on diversification strategies. Our results show that large firms could broaden their geographic area of sales more easily when they do not face labor constraint. Less labor intensive firms could be more flexible to bring their business into a wider coverage.

scholarly journals Exponential Organizations Hypergrowth Strategies and Firm Performance: The Moderating Role of Firm Size and Marketing Spending

2021 ◽  
Vol 5 (7) ◽  
pp. 112-121
Author(s):  
Hamza Tubaishat* ◽  
◽  
Refaat Faouri ◽  
Hussam Alshammari ◽  
◽  
...  
Keyword(s):  
Firm Performance ◽  
Firm Size ◽  
Business Models ◽  
International Markets ◽  
Time Period ◽  
Fixed Assets ◽  
Marketing Spending ◽  
The Impact ◽  
Moderating Role

With the increasing concerns of hypergrowth in order to compete in the international markets and survive, this study aids all firms in various industries, entrepreneurs and decision makers and draw their attention to business models and hypergrowth strategies that are applied by the fast-growing firms in the world. This study investigates the impact of hypergrowth strategy- leveraging assets that developed by Salim, (2014) and firm performance in exponential organizations; The sample size tested constituted of (34) exponential organizations form the fortune 500 and multiple regressions via Stata version 15 was applied for the time period of (2016-2019). Preliminary analysis was conducted to check the assumptions related to the regression models which include unit root, autocorrelation, residuals normality and heteroskedasticity issues. The results showed significant positive relationships between Growth in Fixed Assets (leveraging Assets strategy) and firm performance measured by ROA and ROE whereas, the moderating role of marketing spending and firm size showed insignificant impact in the relationship.

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