Personality, risk tolerance and social network use: an exploratory study

2016 ◽  
Vol 42 (6) ◽  
pp. 536-552 ◽  
Author(s):  
Shaista Wasiuzzaman ◽  
Siavash Edalat
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Online Social Networks ◽  
Financial Risk ◽  
Ordinary Least Squares ◽  
Risk Tolerance ◽  
Network Activity ◽  
Least Squares Regression ◽  
Content Type ◽  
Financial Risk Tolerance

Purpose – The vast amount of information available via online social networks (OSN) makes it a very good avenue for understanding human behavior. One of the human characteristics of interest to financial practitioners is an individual’s financial risk tolerance. The purpose of this paper is to look at the relationship between an individual’s OSN behavior and his/her financial risk tolerance. Design/methodology/approach – The study uses data collected from a sample of 220 university students and the backward variables selection ordinary least squares regression analysis technique to achieve its objective. Findings – The results of the study find that the frequency of logging on to social network sites indicates an individual who has higher financial risk tolerance. Additionally, the increasing use of social networks for social connection is found to be associated with lower financial risk tolerance. The results are mostly consistent when the sample is split based on prior financial knowledge. Originality/value – To the authors’ knowledge this is the first study which documents the possibility of understanding an individual’s financial risk tolerance via his/her social network activity. This provides investment/financial consultants with more avenues for gathering information in order to understand their current or potential clients hence providing better services.

The role of online social networks in university students’ environmentally responsible behavior

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Amirreza Rezaei ◽  
Saba Ahmadi ◽  
Hamid Karimi
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Online Social Networks ◽  
Environmental Attitudes ◽  
Environmental Issues ◽  
Control Group ◽  
Environmentally Responsible Behavior ◽  
Content Type ◽  
Responsible Behavior ◽  
Environmentally Responsible

Purpose This study aims to determine the effect of online social networks on university students’ environmentally responsible behavior (ERB). This research aimed to develop and test a behavioral model in the context of online social networks, where students’ attitudes, knowledge and behavior influence their ERB. Design/methodology/approach This study used a quasi-experiment with a pretest-posttest design and a random parallelization control group. The research used a questionnaire to assess ERB, environmental attitudes and environmental knowledge. The researcher randomly assigned 120 students to an experimental and a control group of equal size. Both groups initially completed a pretest. The experimental group was trained in environmental issues over four months (an academic semester) via an online social network. Findings The findings indicated that the social network had a significant effect on motivating ERB. Additionally, it improved environmental attitudes. According to the results, online social networks such as Facebook can significantly aid in teaching and learning environmental issues in formal academic settings. Originality/value Online social networks facilitated significant cognitive progress in environmental education. The primary objective is to educate students about ERB.

Antecedents to responsible financial management behavior among young adults: moderating role of financial risk tolerance

2020 ◽  
Vol 38 (5) ◽  
pp. 1177-1194 ◽  
Author(s):  
Dhananjay Bapat
Keyword(s):  
Young Adults ◽  
Financial Management ◽  
Financial Risk ◽  
Risk Tolerance ◽  
Financial Knowledge ◽  
Financial Behavior ◽  
Management Behavior ◽  
Content Type ◽  
Financial Risk Tolerance

PurposeThe study examines the antecedents of responsible financial management behavior among young adults in India and explores the role of financial risk tolerance as a moderating variable.Design/methodology/approachThe sample includes young adults in the age group of 18–35. The analysis uses a two-step approach via standard partial least squares structural modeling (PLS-SEM) and ordinary least square (OLS) regression.FindingsStructural modeling results show that financial attitude fully mediates the relationship between financial knowledge and responsible financial management behavior, and locus of control influences responsible financial management behavior. Financial risk tolerance moderates the relationship. Among demographic factors, age and occupation influence responsible financial management behavior.Research limitations/implicationsThe financial knowledge used in the survey are based on self-reported responses. The future study can include participants from both developed and emerging countries to assess similarities and differences.Practical implicationsDespite the growing focus on improving financial literacy, there are growing concerns regarding responsible financial behavior. Since financial services is related to fiduciary responsibility, managers and policymakers need to ensure that financial knowledge results in improving financial attitude, which further leads to responsible financial behavior.Originality/valueThe present study from an emerging country will add value to the literature.

scholarly journals Social networks, corruption and institutions of accounting, auditing and accountability

2019 ◽  
Vol 32 (2) ◽  
pp. 508-530 ◽  
Author(s):  
Joseph Phiri ◽  
Pinar Guven-Uslu
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Economic Status ◽  
Wealth Distribution ◽  
Network Activity ◽  
Structured Interviews ◽  
Government Officials ◽  
Content Type ◽  
Research Findings ◽  
African Context

Purpose The purpose of this paper is to investigate institutions of accountability in Zambia in order to understand how social networks may influence such institutions not to discharge their mandates as expected from time to time. The study equally seeks to explore how social networks may perpetuate corrupt activities and compromise the functioning of institutions of accountability. Design/methodology/approach The conceptual framework adopted in this study draws on insights from social network theory (SNT) and Bourdieu’s ideas of capital to devise a critical lens for investigating network activity and its influence on the functioning of institutions of accountability. Qualitative data were collected through semi-structured interviews with respondents drawn from different institutions of accountability. Social network analysis was conducted through content analysis. Findings Research findings highlight the presence of networks of a corrupt nature operating within government structures and some institutions of accountability. Manifested in the form of systemic and familial archetypes, these networks appear to be championed and propelled by senior government officials like controlling officers and other actors of a political nature including ministers and presidents. Most of these corrupt activities are organised through brokerage mechanisms that interface internal and external networks. Research limitations/implications Due to the clandestine nature of corruption activities, however, the study was unable to determine measures of centrality and density since these details were not forthcoming during interviews. Such information could only become available if willing individuals involved in corruption could be identified so that they explain who they conduct their corruption with together with the number of connections involved and the most influential individuals in those networks. Social implications This study helps us to understand that activities of a corrupt nature are often undertaken through well-connected groups and networks that make it difficult for institutions of accountability to detect and untangle such activity. The study also suggests that accountants and other accountability actors may have forgotten that accounting is not just a technical discourse for enhancing one’s economic status but is an ethical profession as well. There is a great need to put institutions in place which should hold everyone, including the president and ministers, accountable to the Zambian people in the light of wrongdoing. Dismantling the corrupt network activities inferred from the data entails a complete top-down change in systems of politics, governance, wealth distribution and social values. Originality/value This study contributes towards filling the gap of undertaking accounting research of a critical nature focussed on African contexts (Rahaman, 2010). The paper is equally an attempt at providing empirical flesh to Laughlin’s (1991) framework on organisational transformations through complementing that framework with SNT. The study is also among the first to draw on the experiences and insights of actors working within institutions of accountability to highlight accountability challenges within an African context.

The effects of chairmen's social network heterogeneity on cooperative marketing innovation: evidence from Sichuan province in China

2020 ◽  
Vol 10 (5) ◽  
pp. 651-670
Author(s):  
Yu Liu ◽  
Houjian Li
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Least Squares Method ◽  
Ordinary Least Squares ◽  
Sichuan Province ◽  
Content Type ◽  
Network Heterogeneity ◽  
Marketing Innovation ◽  
Positive Effects ◽  
Cooperative Marketing

PurposeThe purpose of this paper, based on first-hand data from 255 chairmen of planting cooperatives in Sichuan province, is threefold: to understand their social network heterogeneity; to understand the significance for members of marketing innovation in farmers' cooperatives and to understand the effects of chairmen's social network heterogeneity on cooperative marketing innovation.Design/methodology/approachThe research employs an empirical survey of the chairmen of planting cooperatives in rural Sichuan province. The researchers use the ordinary least squares method to conduct regression on the data and the generalized linear model to process the data and avoid errors in the model setting. In the study, the following two hypotheses are examined: (1) The heterogeneity of chairmen's social networks has positive effects on cooperative marketing innovation; (2) The effects of heterogeneous external and internal social networks on cooperative marketing innovation are different.FindingsThe results show that both external and internal social network heterogeneity has positive effects on cooperative marketing innovation, and the effects of internal heterogeneity are greater than that of external heterogeneity.Originality/valueThis paper contributes to improving the income of farmers, the innovation of farmers' cooperatives and the development of agriculture in China. It provides a new way of managing and serving members to enable the long-term sustainable development of farmers' cooperatives.

scholarly journals Marketing and social networks: a criterion for detecting opinion leaders

2017 ◽  
Vol 26 (3) ◽  
pp. 347-366 ◽  
Author(s):  
Arnaldo Mario Litterio ◽  
Esteban Alberto Nantes ◽  
Juan Manuel Larrosa ◽  
Liliana Julia Gómez
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Online Social Networks ◽  
Semantic Analysis ◽  
Point Of View ◽  
Eigenvector Centrality ◽  
Content Type ◽  
Sporting Event ◽  
Centrality Metrics ◽  
Proposed Model

Purpose The purpose of this paper is to use the practical application of tools provided by social network theory for the detection of potential influencers from the point of view of marketing within online communities. It proposes a method to detect significant actors based on centrality metrics. Design/methodology/approach A matrix is proposed for the classification of the individuals that integrate a social network based on the combination of eigenvector centrality and betweenness centrality. The model is tested on a Facebook fan page for a sporting event. NodeXL is used to extract and analyze information. Semantic analysis and agent-based simulation are used to test the model. Findings The proposed model is effective in detecting actors with the potential to efficiently spread a message in relation to the rest of the community, which is achieved from their position within the network. Social network analysis (SNA) and the proposed model, in particular, are useful to detect subgroups of components with particular characteristics that are not evident from other analysis methods. Originality/value This paper approaches the application of SNA to online social communities from an empirical and experimental perspective. Its originality lies in combining information from two individual metrics to understand the phenomenon of influence. Online social networks are gaining relevance and the literature that exists in relation to this subject is still fragmented and incipient. This paper contributes to a better understanding of this phenomenon of networks and the development of better tools to manage it through the proposal of a novel method.

The effect of online social networks and competency-based management on innovation capability

2016 ◽  
Vol 20 (3) ◽  
pp. 499-511 ◽  
Author(s):  
Daniel Palacios-Marqués ◽  
Simona Popa ◽  
María Pilar Alguacil Mari
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Cognitive Processes ◽  
Online Social Networks ◽  
Online Social Network ◽  
Time Lags ◽  
Innovation Capability ◽  
Content Type ◽  
Competency Based ◽  
Telecommunications Industries

Purpose The purpose of this paper is to explore the effect of online social networks and competency-based management on innovation capability. Design/methodology/approach The paper is theory-confirming. Theoretical relationships were tested using an empirical study of 289 firms from the Spanish biotechnology and telecommunications industries. Findings Results confirm that online social network use for internal cognitive processes (e.g. reading, searching and storing information) and external cognitive processes (e.g. sharing and co-creating knowledge) positively affects knowledge transfer. This knowledge helps firms to achieve superior competency in R&D to succeed in innovation programs. Research Limitations/implications All survey respondents were from Spain, which may limit the generalizability of findings. A longitudinal approach was not used. However, doing so would make it possible to explore time lags between online social network use, competency-based management and innovation. Practical Implications This paper highlights the potential as well as the limitations of online social networks and competency-based management in promoting innovation capability. Businesses must consciously manage the assimilation and use of online social networks to benefit from them. Originality/value The study contributes to the literature by identifying effects on innovation capability at the meso-level (i.e. online social networks). Findings highlight the need for a shift in focus away from collaborating and interacting in online social networks (micro-level) and organizational contexts (macro-level) so as to improve innovation capability.

Market discipline in the behavioral finance perspective: a case of Sharia mutual funds in Indonesia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Umi Widyastuti ◽  
Erie Febrian ◽  
Sutisna Sutisna ◽  
Tettet Fitrijanti
Keyword(s):  
Mutual Funds ◽  
Behavioral Finance ◽  
Financial Literacy ◽  
Financial Risk ◽  
Market Discipline ◽  
Risk Tolerance ◽  
Exogenous Variables ◽  
Content Type ◽  
Withdrawal Behavior ◽  
Financial Risk Tolerance

Purpose This study aims to determine antecedents of market discipline. A model was constructed by extending the theory of planned behavior (TPB) to explore the cognitive, psychological and social factors that influence the market discipline in the form of withdrawal behavior. Design/methodology/approach This study applied a quantitative approach by surveying 181 Indonesian retail investors in Sharia mutual funds, which were represented by civil servants. The samples were collected using the purposive sampling technique. This study used the partial least square–structural equation model to analyze the data. Findings The results revealed that the Islamic financial literacy, the attitudes toward withdrawal, the subjective norms and the perceived behavioral control had a positive significant effect on the withdrawal intention, whereas financial risk tolerance had an insignificant impact. Then, all the exogenous variables and intention to withdraw had a significant contribution in explaining market discipline. Contrary to the proposed hypothesis, the attitude toward withdrawal had a negative impact on market discipline. The structural model indicated that the TPB could be extended by adding some exogenous variables (i.e. Islamic financial literacy and financial risk tolerance) in determining the intention to withdraw and withdrawal behavior, which indicated the market discipline in Sharia mutual funds. Research limitations/implications This study was limited to individual investors who work as civil servants. This study did not accommodate different demographic factors such as age and gender, which influence fund withdrawal behavior. Practical implications The government must focus on the inclusion of market discipline in Sharia mutual funds’ regulation to encourage the risk management disclosure, specifically that related to Sharia compliance. Originality/value Previous studies applied a traditional finance theory to predict market discipline, but this study contributes to filling the theoretical gap by explaining the market discipline from a behavioral finance perspective that was found in Sharia mutual funds.

Behavioural propensities and financial risk tolerance: the moderating effect of ethnicity

2019 ◽  
Vol 15 (4) ◽  
pp. 728-745 ◽  
Author(s):  
Mahfuzur Rahman ◽  
Mohamed Albaity ◽  
Che Ruhana Isa
Keyword(s):  
Social Interaction ◽  
Undergraduate Students ◽  
Financial Risk ◽  
Design Methodology ◽  
Risk Tolerance ◽  
Moderating Effect ◽  
Business Economics ◽  
Content Type ◽  
Financial Risk Tolerance ◽  
The Relationship

Purpose The purpose of this paper is to explore the influence of several core behavioural propensities on financial risk tolerance (FRT). Additionally, this paper examines the moderating effect of ethnicity on the relationship between behavioural propensities and FRT. Design/methodology/approach A sample of 1,204 completed and usable questionnaires were collected from undergraduate students majoring in business, economics and finance and analysed them using SmartPLS 2.0 software. Findings The findings reveal that propensity for trust has the highest impact on FRT followed by propensity for regret and happiness in life, while propensity for social interaction is not significantly associated with FRT. Ethnicity significantly moderates the relationship between three behavioural propensities (propensity for regret, propensity for trust and happiness in life) and FRT. Originality/value This study contributes to the assessment of individuals’ FRT incorporating behavioural propensities, which in turn contributes to the field of behavioural finance.

Do sensation seeking, control orientation, ambiguity, and dishonesty traits affect financial risk tolerance?

2015 ◽  
Vol 42 (1) ◽  
pp. 34-41 ◽  
Author(s):  
Alan Wong ◽  
Bernie Carducci
Keyword(s):  
Locus Of Control ◽  
Personality Traits ◽  
Sensation Seeking ◽  
Financial Risk ◽  
Risk Tolerance ◽  
Ambiguity Tolerance ◽  
Criterion Variable ◽  
Content Type ◽  
Financial Risk Tolerance ◽  
The Relationship

Purpose – The purpose of this paper is to determine relationships between financial risk tolerance and the personality traits of sensation-seeking, locus of control, ambiguity tolerance, and financial dishonesty. Design/methodology/approach – A pretested questionnaire was used to gather information from 255 respondents. With risk tolerance as a criterion variable and the four personality traits as predictor variables, a regression procedure was performed to determine which variables contributed to the variability of the criterion variable and the extent of such contribution. An analysis was also done to find out whether gender, age, GPA, and academic standing had an influence on each personality trait’s contribution to risk tolerance. Findings – Risk tolerance is directly related to sensation-seeking and the link is so strong that it is not mitigated by the effects of gender, age, GPA, and college academic standings. As for locus of control, the more one believes one has control over one’s outcome, the higher risk one can tolerate. Surprisingly, there is no relationship between risk and ambiguity tolerances. Dishonesty also does not affect risk tolerance behavior. However, the relationship is found to exist among younger individuals and those with lower GPA, possibly due to not having reached an adequate level of matured or critical reasoning yet. Originality/value – The relationship between risk tolerance and sensation-seeking is an established fact but whether the relationship still holds across several demographic groups is part of this study’s focus. Although much has been done on risk tolerance, very little has been done on its relationship to locus of control, ambiguity tolerance, and financial dishonesty.

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