Tone at Top in Integrated Reporting: The Role of Non-Financial Performance

AbstractThis paper highlights the dark side of power imbalance regarding its consequences in agri-food supplier–buyer relationships. We report on findings from two studies. The first study is based on a sample of 105 key informants, while study 2 is based on a sample of 444 key informants, all from the cocoa agri-food supply market of Ghana. While the first study focuses on the antecedents of power imbalance and its consequences, the second study explores the role of cooperatives/collective action in minimizing supplier exploitation. Data from these studies were analysed using the partial least squares technique (SmartPLS). Analysis of these findings shows switching costs’ impact on power imbalance to be curvilinear, while power imbalance has a curvilinear relationship with opportunism. The negative consequences of power imbalance are further exacerbated by dependency and the lack of joint action. Furthermore, we found the negative impact of power imbalance on financial performance to be stronger for non-cooperative members than for cooperative members, while, counterintuitively, we found the positive impact of economic satisfaction on financial performance to be stronger for non-cooperative members than for cooperative members.

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Could CSR improve the financial performance of developing countries’ firms? Analyses of mediating effect of intangible resources

European Business Review ◽

10.1108/ebr-09-2019-0236 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Mohamed Hamdoun ◽

Mohamed Akli Achabou ◽

Sihem Dekhili

Keyword(s):

Developing Countries ◽

Human Capital ◽

Financial Performance ◽

Competitive Advantage ◽

Mediating Effect ◽

Social Dimension ◽

Content Type ◽

Intangible Resources ◽

The Impact

Purpose This paper aims to examine the link between corporate social responsibility (CSR) and financial performance in the context of developing countries. More specifically, the mediating role of a firm’s competitive advantage and intangible resources, namely, human capital and reputation are studied. Design/methodology/approach The study considered a sample of 100 Tunisian firms. The analysis makes use of the structural equation modelling method to explore the relationship between CSR and financial performance, by including mediator variables. Findings The results confirm that CSR has no significant direct effect on financial performance. In particular, they indicate that the social dimension of CSR has a negative impact on performance. However, CSR does have a positive impact on competitive advantage via the two intangible resources considered, human capital and company reputation. Research limitations/implications The research fills a gap that occurred in the previous literature. In effect, previous studies focussed only on the direct link between CSR and financial performance. In addition, it enriches the limited literature on CSR strategies in the context of developing countries. However, further studies should explore the opposite relationship, i.e. the impact of financial performance on CSR strategy. In addition, the authors believe that amongst other potential research avenues, it would be interesting to study the moderating role of the activity sector. Practical implications From a practical point of view, this study suggests new applications with respect to the link between CSR and financial performance. To enhance their company’s financial performance, managers need to ensure that intangible resources are managed efficiently. Originality/value The paper contributes to the literature by examining how a firm’s intangible resources mediate between CSR and competitive advantage and how competitive advantage mediates between intangible resources and financial performance. Second originality is related to the study of the link between CSR and the financial performance of business organisations in the context of a developing country.

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From corporate social responsibility activities to financial performance: role of innovation and competitive advantage

Asia Pacific Journal of Innovation and Entrepreneurship ◽

10.1108/apjie-04-2020-0046 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Mahnoor Zahid ◽

Hina Naeem ◽

Iqra Aftab ◽

Sajawal Ali Mughal

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Financial Performance ◽

Competitive Advantage ◽

Manufacturing Firms ◽

Equation Modeling ◽

Content Type ◽

Corporate Social ◽

The Relationship

Purpose The purpose of this study is to scrutinize the effect of corporate social responsibility activities (CSRA) of the firm on its financial performance (FP) and analyze the mediating role of innovation and competitive advantage (CA) in the relationship between CSRA and FP in the manufacturing sector of an emerging country, i.e. Pakistan. Design/methodology/approach Data has been collected through an electronic structured questionnaire from 300 middle-level and top-level managers by surveying different manufacturing firms of Gujranwala, Pakistan. The study’s hypotheses have been checked by analyzing the reliability and validity of data and applying confirmatory factor analysis and structural equation modeling through statistical package for the social sciences and analysis of moment structures. Findings Outcomes of this study supported the hypothesized model. It has been found that the CSRA plays a significant positive role in determining the FP of the firm. Furthermore, the CA and innovation have been proved as significant mediators between CSRA and FP. Originality/value The first time examining the intermediation of innovation and CA in the relationship between CSRA and FP is the primary input of this study to the literature. Practically, this study’s findings will help strategy makers of manufacturing firms in emerging countries develop better strategies for implementing CSRA, enhancing innovation, seeking CA and improving FP.

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The role of financial performance analysisfor the organisation of shipbuilding industry

10.52899/9785883036186_192 ◽

2020 ◽

pp. 192-196

Author(s):

Marsel Robertovich Khafizov ◽

Igor Kirillovich Konyagin

Keyword(s):

Financial Performance ◽

Shipbuilding Industry

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The Mediating Role of IT Governance Effectiveness between ITG and Financial/ Non-Financial Performance: Empirical Research on Egyptian Banking Sector

SSRN Electronic Journal ◽

10.2139/ssrn.3119507 ◽

2017 ◽

Author(s):

Mohammed Soliman ◽

Ahmed Hamdy Mohamed Zaky

Keyword(s):

Financial Performance ◽

Empirical Research ◽

Banking Sector ◽

It Governance ◽

Mediating Role ◽

Governance Effectiveness ◽

Role Of It

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Drivers for voluntary intellectual capital reporting based on agency theory

Journal of Intellectual Capital ◽

10.1108/jic-01-2018-0019 ◽

2019 ◽

Vol 20 (2) ◽

pp. 264-281 ◽

Cited By ~ 6

Author(s):

Viktoria Goebel

Keyword(s):

Propensity Score ◽

Agency Theory ◽

Propensity Score Matching ◽

Intellectual Capital ◽

Integrated Reporting ◽

Content Type ◽

The Relationship ◽

Practical Implications ◽

Management Report

PurposeThe purpose of this paper is to investigate the drivers for voluntary intellectual capital (IC) reporting based on agency theory. This study responds to calls for critical investigations of IC reporting utilising Goebel’s (2015a) IC measuring approach to investigate the role of IC value and mispricing for IC reporting.Design/methodology/approachA mandatory management report offers a unique research setting in Germany. The content analysis results of 428 German management reports are used in a regression analysis with leverage, ownership diffusion, IC value and mispricing. Additionally, a propensity score matching approach examines the relationship between IC reporting and IC value.FindingsThe regression results show that companies use voluntary IC reporting to encounter mispricing. IC reporting is negatively associated with leverage, whereas ownership diffusion and IC value show no significant results. The propensity score matching approach is also not significant.Research limitations/implicationsThis study contributes to strengthening and testing agency theory for IC reporting. As mispricing is identified to play an important role for IC reporting, IC research should account for mispricing.Practical implicationsThe findings suggest to reopen a discussion on the declared aims of the German management report and the international integrated reporting model to provide information on value creation, as IC value shows no link to IC reporting.Originality/valueThis study innovatively links IC reporting to IC value and mispricing to investigate drivers for voluntary IC reporting.

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