The impact of information sharing legislation on cybersecurity industry

2020 ◽  
Vol 120 (9) ◽  
pp. 1777-1794
Author(s):  
Agnes Yang ◽  
Young Jin Kwon ◽  
Sang-Yong Tom Lee
Keyword(s):  
Information Sharing ◽  
Practical Implication ◽  
Economic Benefits ◽  
Control Group ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Content Type ◽  
Theoretical Approaches ◽  
Sample Test ◽  
The Impact

PurposeThe objective of this paper is to investigate how firms react to cybersecurity information sharing environment where government organizations disseminate cybersecurity threat information gathered by individual firms to the private entities. The overall impact of information sharing on firms' cybersecurity investment decision has only been game-theoretically explored, not giving practical implication. The authors therefore leverage the Cybersecurity Information Sharing Act of 2015 (CISA) to observe firms' attitudinal changes toward investing in cybersecurity.Design/methodology/approachThe authors design a quasi-experiment where they set US cybersecurity firms as an experimental group (a proxy for total investment in cybersecurity) and nonsecurity firms as a control group to measure the net effect of CISA on overall cybersecurity investment. To enhance the robustness of the authors’ difference-in-difference estimation, the authors employed propensity score matched sample test and reduced sample test as well.FindingsFor the full sample, the authors’ empirical findings suggest that US security firms' overall performance (i.e. Tobin's Q) improved following the legislation, which indicates that more investment in cybersecurity was followed by the formation of information sharing environment. Interestingly, big cybersecurity firms are beneficiaries of the CISA when the full samples are divided into small and large group. Both Tobin's Q and sales growth rate increased for big firms after CISA.Research limitations/implicationsThe authors’ findings shed more light on the research stream of cybersecurity and information sharing, a research area only explored by game-theoretical approaches. Given that the US government has tried to enforce cybersecurity defensive measures by building cooperative architecture such as CISA 2015, the policy implication of this study is far-reaching.Originality/valueThe authors’ study contributes to the research on the economic benefits of sharing cybersecurity information by finding the missing link (i.e. empirical evidence) between “sharing” and “economic impact.” This paper confirms that CISA affects the cybersecurity industry unevenly by firm size, a previously unidentified relationship.

Sustainability reporting and performance of MENA banks: is there a trade-off?

2020 ◽  
Vol 24 (2) ◽  
pp. 197-221 ◽  
Author(s):  
Amina Buallay ◽  
Sayed M. Fadel ◽  
Jasim Yusuf Al-Ajmi ◽  
Shahrokh Saudagaran
Keyword(s):  
Sustainability Reporting ◽  
Economic Benefits ◽  
Tobin’S Q ◽  
Mena Region ◽  
Tobin's Q ◽  
Financial Return ◽  
Content Type ◽  
The Impact ◽  
The Relationship ◽  
Country Specific

Purpose Sustainability reporting has been widely adopted by firms worldwide given stakeholders’ need for more transparency on environmental, social and governance (ESG) issues. This study aims to investigate the relationship between ESG and bank’s operational (return on assets [ROA]), financial (return on equity [ROE]) and market performance (Tobin’s Q) in a group of emerging countries in the Middle East and North Africa (MENA) region. Design/methodology/approach This study examines 59 banks listed on the stock exchanges of MENA countries over a period of 10 years (2008-2017). Only conventional banks with all data for at least two years are included in the sample. The core independent variable is ESG scores, and the dependent variables are ROA, ROE and Tobin’s Q. This study uses bank- and country-specific control variables to measure the relationship between sustainability reporting and bank’s performance. Findings The findings from the empirical results demonstrate a significant positive impact of ESG on performance and economic benefits to shareholders. However, the relationship between ESG disclosures varies individually; unlike the majority of published research, the authors found that social performance plays a negative role in determining bank’s profitability and value. Furthermore, the authors present evidence in support of the impact of bank- and country-specific factors in determining bank’s performance. Originality/value To the best of the authors’ knowledge, this is the first study to investigate the impact of sustainability reporting on banks’ performance in the MENA region. It provides evidence that questions the positive relationship between sustainability reporting and financial measures of performance.

Corporate governance mechanisms and corporate performance of firms in Nigeria and Ghana

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Martha Coleman ◽  
Mengyun Wu
Keyword(s):  
Corporate Governance ◽  
Ownership Structure ◽  
Financial Distress ◽  
Corporate Performance ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Content Type ◽  
Structure Index ◽  
The Impact ◽  
The Relationship

PurposeThis study investigates the impact of corporate governance (CG) mechanisms with inclusion of compliance and diligence index on corporate performance (CP) of firms in Nigeria and Ghana. It further examines the moderating effect of financial distress on the relationship between CG and CP.Design/methodology/approachThe study used panel data of 102 nonfinancial listed firms of Nigeria and Ghana stock exchange for the period 2012–2016 with total observation of 510. The study first used OLS in estimating the influence of CG mechanisms on CP. Due to multicollinearity in the independent variables, ridge regression was employed.FindingsIt was revealed that ownership structure index and board compliance and diligence index, board size, board disclosure, ownership structure, shareholders' right and board compliance and diligence index had positive influence on ROA and ROE. Growth of Tobin's Q depends on board procedure and board compliance and diligence index. Also, financial distress (ZFS) negatively moderates the relationship between board structure index, board disclosure index, board procedure index, shareholders' right and performance (ROA and ROE) but negatively moderates between ownership structure index and Tobin's Q.Practical implicationsThis study provides interesting findings to policymakers in full implementation of CG codes as stated by OCED (2015) by West African firms with greater emphasis on compliance and diligence index since it positively influences all CP measures.Originality/valueThe study provides evidence of the importance of the introduction of the new index: compliance and diligence, which looks at disclosure of CSR activities. This has been overlooked by most researchers especially in Africa in assessing quality CG mechanisms.

Reconsidering the role of Tobin’s Q

2015 ◽  
Vol 32 (2) ◽  
pp. 222-234 ◽  
Author(s):  
Mark J. Holmes ◽  
Nabil Maghrebi
Keyword(s):  
Error Correction ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Content Type ◽  
Investment Expenditure ◽  
Long Run ◽  
The Impact ◽  
The Relationship ◽  
Long Run Equilibrium ◽  
Real Investment

Purpose – The purpose of this study is to investigate nonlinearities in the behavior of investment expenditure. Conventional wisdom suggests that Tobin’s Q criterion is an important explanation of investment behaviour that bridges the financial and real sides of the economy. However, the empirical evidence in support of Q as a means of explaining aggregate business investment is rather weak. We answer a number of questions about the relationship between investment expenditure and Q. In particular, is the relationship governed by non-linearities? If so, what is the nature of the non-linearities present? Design/methodology/approach – The rationale for paying closer attention to non-linearities is based on the presence of information asymmetries and possible dependence of adjustments on non-linearities with respect to factors such as fixed costs, threshold effects and irreversibility, which are entertained in the investment literature. Using the non-linear vector error-correction model procedure advocated by Hansen and Seo, we show that in the context of the US economy, investment has a long-run relationship with Q that is based on threshold error correction. Findings – There are asymmetries present with respect to error correction or the speed of adjustment towards long-run equilibrium. We find that investment expenditure only responds significantly to long-run disequilibrium from Q during a particular regime. Such a regime is characterised by long-run disequilibrium based on high or rising investment expenditure compared with a relatively weak stock market. Originality/value – The authors provide new insights into the relationship between Tobin’s Q and real investment. In contrast to previous work, they find that error correction based on the adjustment of real investment is regime-specific and function of the size of departures from long-run equilibrium. The tests also allow for the identification of periods when error correction has occurred. Not only are these insights significant for future research on financial crises, market volatility and the impact of debt, but for policymaking purposes as well.

scholarly journals Impacts of a health crisis on music festivals: a qualitative approach

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alicia Orea-Giner ◽  
Francesc González-Reverté ◽  
Laura Fuentes-Moraleda
Keyword(s):  
Social Exchange ◽  
Economic Benefits ◽  
Host Community ◽  
Security Measures ◽  
Health Crisis ◽  
Music Festivals ◽  
Content Type ◽  
Music Festival ◽  
Theoretical Approaches ◽  
The Impact

PurposeThis research explores the consequences of a health crisis provoked by a pandemic scenario on music festival impacts considered by the stakeholders involved. The purpose of this paper is to identify the perceptions from the stakeholders' point of view (host community, public and private sector) and to identify the impacts generated before and after a health crisis regarding the celebration of a festival.Design/methodology/approachThe study offers a holistic insight into impact research by music festivals. The methodology implemented is based on qualitative techniques. By conducting 20 in-depth interviews with essential stakeholders, it is possible to determine their perceptions of the impact of the event and the effects of a health crisis.FindingsThe results allow detecting a gap between internal and external stakeholders due to poor communication and planning of the event. The results show that a health crisis provokes negative impacts on the economic benefits of events' organisation. However, the cultural city's identity suffers an important damage that it is difficult to overcome. The community and visitors are the stakeholders that suffer a detrimental impact on their experience when attending the festival, considering the security measures. Moreover, results allow us to identify practical implications for event management and planning in a health crisis scenario.Originality/valueThe most important contribution of this research is the theoretical model proposed to analyse stakeholders' perception of the event celebration in a context of a health crisis. The model also considers different moments of the social exchange. The theoretical approaches considered theory of social exchange (SET) and Visitor, Industry, Community and Environment (VICE) models allow analysing the stakeholder's perception of a case study of a music festival (Viña Rock Festival, Spain). The emerging and central role of the cooperation between stakeholders constitutes another notable contribution to the literature.

Achieving metacognition through cognitive strategy instruction

2017 ◽  
Vol 31 (6) ◽  
pp. 696-717 ◽  
Author(s):  
Marina Apaydin ◽  
Mohamad Hossary
Keyword(s):  
Cognitive Skills ◽  
Practical Implication ◽  
Strategy Instruction ◽  
Reliability And Validity ◽  
Control Group ◽  
Self Awareness ◽  
Integrative Learning ◽  
Content Type ◽  
The Impact ◽  
Practical Implications

Purpose The purpose of this paper is to present hands-on techniques that could help achieve higher forms of cognitive work of Bloom’s learning taxonomy and progress toward self-actualization, the top of Maslow’s hierarchy of needs. These results can be achieved by the combination of Apaydin’s 3A approach and integrative learning. Design/methodology/approach The results of the exploratory study of student self-inquiry are analyzed using content analysis method. Findings The results indicate that students who underwent through metacognitive instruction exhibit higher cognitive skills than the control group. These skills were manifested in more detailed and extensive responses, more long-term orientation, and higher thrive toward self-development. The study also identified significant gender differences. Research limitations/implications Only two raters reviewed the categories. Increasing the number of raters would potentially increase the reliability and validity of this study. The data were collected in one university in one country. Similar studies conducted in different settings could produce different results. Since the control group was self-selected, it might lead to a performance bias in this group. Practical implications This research has practical implications for improving self-awareness and metacognition of the students. The addition of an unexpected self-applied perspective and application of Problem Solving Algorithm (PSA) to themselves enables the students to see the value of otherwise abstract concepts presented in the textbooks and forgotten immediately after the semester is over. Social implications The students can be socially more prepared to become self-aware professionals and thus improve their career options. Originality/value To the authors’ knowledge, this is the first study in the educational research which investigates the impact of implementation of metacognitive instructional techniques on student self-awareness and performance, which has immediate practical implication for student learning and success.

Differential impact of advertising and distribution expenditure on Tobin's Q

2009 ◽  
Vol 1 (2/3) ◽  
pp. 77-94 ◽  
Author(s):  
Arvind Sahay ◽  
Anandan Pillai
Keyword(s):  
Corporate Branding ◽  
Negative Impact ◽  
Positive Impact ◽  
Tobin’S Q ◽  
Advertising Expenditure ◽  
Time Series Regression ◽  
Tobin's Q ◽  
Content Type ◽  
Marketing Expenditures ◽  
The Impact

PurposeThe purpose of this paper is to understand the impact of components of marketing expenditures, i.e. advertising and distribution expenditures on intangible value of firm (measured in terms of Tobin's Q). The relationship is studied in the context of branding approaches (corporate and house of brands) that various firms follow.Design/methodology/approachThe data are collected from databases of Centre for Monitoring Indian Economy (CMIE) and from the web site of National Stock Exchange. Time series regression is performed using SPSS software to test the model.FindingsAdvertising expenditure has a positive impact on the intangible value of the firm and this relationship is stronger for firms following corporate branding than for firms that follow house of brands strategy. Distribution expenditure has negative impact on the intangible value of the firm and this relationship is stronger for firms following corporate branding than for firms that follow house of brands strategy.Research limitations/implicationsSince most of the data retrieved for the analysis were of B2B (business to business) firms, the findings may not be generalized for all firms.Practical implicationsAdvertising expenditure has a diminishing marginal utility in creating intangible value. It would be useful for firms to understand where they are on this continuum and whether their advertising expenditure is giving adequate returns or may be better spent elsewhere.Originality/valueIn the literature, researchers have expressed mixed viewpoints regarding the impact of total marketing spend on intangible value. The marketing expenditures are found to have both positive and negative impact on intangible value, with respect to various contexts. However, the impact of major components of marketing expenditures is not addressed. This gap is addressed in this research paper.

Corporate governance and financial performance: evidence from Romania

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mirela Oana Pintea ◽  
Andreea Mădălina Pop ◽  
Marius Dan Gavriletea ◽  
Ioana Cristina Sechel
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Financial Reporting ◽  
Empirical Relationship ◽  
Value Added ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Content Type ◽  
The Impact ◽  
Research Period

PurposeThe purpose of this research is to evaluate the impact of adopting the principles of corporate governance on the financial performance of companies listed on the Bucharest Stock Exchange (BSE). To assess the implementation of corporate governance principles, the authors built an index based on the principles specified in the BSE Corporate Governance Code (CGC).Design/methodology/approachAn econometric analysis was conducted to estimate the impact that the authors’ corporate governance indicator had on financial performance, measured successively through Tobin's Q, return on equity (ROE), economic value added (EVA) and total shareholder return (TSR).FindingsFollowing the regression model, the authors noticed the absence of a significant impact of corporate governance practices on performance measured by ROE, EVA and TSR but instead, a significant and positive relationship for Tobin's Q rate was found.Research limitations/implicationsDue to the lack of data before the implementation of the BSE Code of Corporate Governance, the research period is limited to 2010–2015, but the authors’ future studies will try to extend the research period.Originality/valueAlthough numerous studies have been conducted to analyze the empirical relationship between corporate governance and financial performance, no conclusive results have been obtained. The diversity of these findings can refer to methods used in the construction of a corporate governance measure as well as to the accuracy of financial reporting.

Corporate governance and firm performance: empirical evidence from Jordan

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ahmad Yuosef Alodat ◽  
Zalailah Salleh ◽  
Hafiza Aishah Hashim ◽  
Farizah Sulong
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Performance Measures ◽  
Ownership Structure ◽  
Audit Committee ◽  
Superior Performance ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Content Type ◽  
The Impact

Purpose This study aims to assess the effect of director board and audit committee attributes and ownership structure on firm performance. In general, resource dependency and agency theories have underlined the superior performance of firms equipped with stronger Corporate Governance (CG) versus those of deficient governance. Concurrently, the study delineated the provisions of ownership structure provision, specifically foreign ownership and institutional ownerships, thus describing the component denoting the structural significance in explicating firm performance. Design/methodology/approach The current study implemented an empirical approach involving the construction of extensive CG measures thus, subjected to 81 non-financial firms listed on the Amman Stock Exchange spanning the period of 2014–2018. Findings The current study identified the positive and significant relationship between the board of directors and audit committee characteristics with the firm performance measures tested, namely, return on equity (ROE) and Tobin’s Q. In terms of ownership structure, both foreign and institutional ownerships yielded a significant and positive relationship with ROE. Meanwhile, Tobin’s Q led to an insignificant and negative relationship between both ownership types and firm performance measures. Practical implications The analytical outcomes substantiate the possibility of enhanced performance shown by growing global firms because of the implementation of CG mechanisms, specifically because of the practices resulting in minimised agency costs. Originality/value The current study offers novel evidence detailing the impact of CG effectiveness towards performance and its implementation in emerging markets following the minimal amount of scholarly efforts on the topic. It is a timely contribution towards the current understanding of the relationship linking governance and performance for the purpose of ensuring the adoption and imposition of a strong corporate governance code by the government.

Corporate governance and corporate performance: financial crisis (2008)

2016 ◽  
Vol 39 (11) ◽  
pp. 1494-1515 ◽  
Author(s):  
Oskar Kowalewski
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Financial Crisis ◽  
Stock Exchange ◽  
Emerging Market ◽  
Positive Association ◽  
Tobin’S Q ◽  
Tobin's Q ◽  
Content Type ◽  
The Impact

Purpose This paper aims to investigate the impact of corporate governance, as measured by the Corporate Governance Index, on firm performance and dividend payouts during the financial crisis of 2008. Design/methodology/approach The empirical approach followed in the study involved constructing a comprehensive measure of corporate governance for 298 non-financial companies listed on the Warsaw Stock Exchange in the years 2006-2010. Findings The results show that prior to the crisis, there was a positive association between corporate governance and performance as measured by Tobin’s q. Moreover, the study presents evidence that higher corporate governance leads to an increase in cash dividends. Amid the financial crisis, corporate governance was positively associated with a higher return on assets, yet this was not observed when measured by Tobin’s q. Additionally, during this period, better-governed companies paid dividends less generously than firms with lower corporate governance standards did. Originality/value The study provides new evidence on the impact of corporate governance on firm performance and valuation in an emerging market during the financial crisis. Moreover, the study shows that governance mechanisms operate differently in crisis and non-crisis periods.

Curbing electronic shopper perceived opportunism and encouraging trust

2017 ◽  
Vol 117 (10) ◽  
pp. 2210-2226 ◽  
Author(s):  
Sonia San-Martín ◽  
Nadia Jimenez
Keyword(s):  
Information Asymmetry ◽  
Structural Equation ◽  
Design Methodology ◽  
External Quality ◽  
Content Type ◽  
Theoretical Approaches ◽  
Quality Signals ◽  
The Impact ◽  
Relevant Factors ◽  
Analyze Data

Purpose Consumers can face a situation of information asymmetry in electronic shopping (ES). The purpose of this paper to examine the relationships between: relational variables such as satisfaction, trust and perceived opportunism; and website cues (cognitive signals such as security and personalization, and experiential signals, such as design and entertainment). Design/methodology/approach The paper opted for the structural equation methodology to analyze data collected from 447 Spanish e-shoppers. Findings Results show different factors that relate to satisfaction, trust and perceived opportunism in ES. Satisfactory experience with ES and entertainment emerge as the most relevant factors to achieve trust and prevent perceived opportunism in e-commerce. Originality/value The five contributions of this study are: the introduction of variables from several theoretical approaches to the study of an agency problem in e-commerce; the study of different ways to gain buyer trust and reduce perceived opportunism in an electronic shopper-vendor relationship; the application of signaling theory as part of the process of helping the principal (e-shopper) to solve their shopping problem in a context of information asymmetry; the analysis of the impact of external cues from e-vendor/site, which allows for a comparison between internal experiences and external quality signals; and the study of entertainment as an important hedonic variable in order to have satisfied and confident e-shoppers.

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