scholarly journals Revisiting the relationship between board practices and firm performance

2021 ◽  
Vol 17 (1) ◽  
pp. 60-68
Author(s):  
Andrews Owusu
Keyword(s):  
Firm Performance ◽  
Decision Process ◽  
Executive Director ◽  
Negative Impact ◽  
Positive Impact ◽  
Chief Executive ◽  
Executive Directors ◽  
Board Size ◽  
The Relationship

This paper examines whether and how firm performance is influenced by board practices in Ghana. The analysis shows that chief executive officer (CEO) duality has a negative impact on firm performance, evidence that supports agency theory’s position. Further analysis shows that the smaller Ghanaian board size appears to be optimal because it has a positive impact on firm performance. However, the larger non-executive director representation on the board has no impact on firm performance. Overall, these results suggest that the Ghanaian firms should be encouraged to separate the role of CEO and the board chair positions, have a board size of between eight and nine, and make good use of non-executive directors’ time in the board decision process if they are to achieve better performance.

scholarly journals Cultural and Social Diversity as an Economic Resource

2021 ◽  
Vol 65 (2) ◽  
pp. 141-155
Author(s):  
Damian S. Pyrkosz
Keyword(s):  
Economic Development ◽  
Negative Impact ◽  
Positive Impact ◽  
Economic Systems ◽  
Main Body ◽  
Social Diversity ◽  
Economic Resource ◽  
Numerous Data ◽  
The Relationship

The paper seeks to identify the role of cultural and social diversity in economic development. It starts by defining the terms that are critical to the analysis, including diversity, fractionalization, polarization, social diversity, cultural diversity and economic resources, as well as providing the most significant indexes thereof. The main body of the paper interprets the notions of cultural and social diversity in terms of being a valuable economic resource. Furthermore, it collects a vast body of literature to demonstrate the relationship between the cultural/social diversity and economic development with regard to adverse or positive impact on the latter. In regard to the negative impact of diversity, the paper identifies it in the area of social communication, social capital and networks, as it effectively causes a decrease in productivity and increase in social conflict and isolation. The positive link is demonstrated with examples in the areas of innovation, creativity, usage of complementary abilities and experiences, and their role in increasing productivity. The paper refers to numerous data sources, studies and indexes illustrating how the economic systems of various countries perform in the context of the paper’s subject-matter.

ENVIRONMENTAL REGULATION IMPROVES THE FIRM PERFORMANCE IN THE PAPER INDUSTRY IN CHINA

2021 ◽  
pp. 1-32
Author(s):  
YONGLIANG YANG ◽  
LILI DING ◽  
YI LI
Keyword(s):  
Firm Performance ◽  
Positive Impact ◽  
Paper Industry ◽  
Average Treatment Effect ◽  
Small Scale ◽  
Positive Role ◽  
Firm Level ◽  
Innovation Ability ◽  
The Relationship

This research develops a difference-in-differences (DID) model to explore the relationship between environmental policy (The Measures for the Administration of Permits for the Discharge of Key Water Pollutants in the Huaihe and Taihu River Basins, MAPD) and the performance of firms involved in the paper and paper products industry (MPP) in China. Cost and innovation are introduced as mediators to explore the mediating effects. A firm-level dataset from 1998 to 2007 is adopted for empirical study. The findings support the positive role of the MAPD, and the average treatment effect is 0.016.The heterogeneity analysis shows that the MAPD exerts a positive impact on non-state-owned and small-scale enterprises, with coefficients of 0.018 and 0.021, respectively. Moreover, MAPD increases enterprise costs harming firm performance. On the other hand, it can promote firm performance by improving innovation ability.

Test Anxiety and Academic Performance among Undergraduates: The Moderating Role of Achievement Motivation

2017 ◽  
Vol 20 ◽  
Author(s):  
Anthony Gbenro Balogun ◽  
Shyngle Kolawole Balogun ◽  
Chidi Victor Onyencho
Keyword(s):  
Academic Performance ◽  
Test Anxiety ◽  
Achievement Motivation ◽  
Negative Impact ◽  
Positive Impact ◽  
Educational Interventions ◽  
University Management ◽  
The Relationship ◽  
Moderating Role

AbstractThis study investigated the moderating role of achievement motivation in the relationship between test anxiety and academic performance. Three hundred and ninety three participants (192 males and 201 females) selected from a public university in Ondo State, Nigeria using a purposive sampling technique, participated in the study. They responded to measures of test anxiety and achievement motivation. Three hypotheses were tested using moderated hierarchical multiple regression analysis. Results showed that test anxiety had a negative impact on academic performance (β = –.23; p < .05). Achievement motivation had a positive impact on academic performance (β = .38; p < .05). Also, achievement motivation significantly moderated the relationship between test anxiety and academic performance (β = .10; p < .01). These findings suggest that university management should design appropriate psycho-educational interventions that would enhance students’ achievement motivation.

scholarly journals Corporate Governance and Firm Performance: The Role of the Board and Audit Committee

2018 ◽  
Vol 10 (1) ◽  
pp. 210
Author(s):  
Netai Kumar Saha ◽  
Rehnuma Hoque Moutushi ◽  
Mohammad Salauddin
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Group Dynamics ◽  
Internal Control ◽  
Audit Committee ◽  
Performance Indicator ◽  
Positive Impact ◽  
Board Independence ◽  
Board Size

Corporate Governance (CG) has become a paramount issue due to its greater significance of practicing accuracy, maintaining accountability, establishing effective internal control and regulating organizations for achieving organizational goals. The study is conducted to explore the relationship between corporate governance and firm performance with considering the role of board and audit committee. The multiple liner regression analysis is used as the underlying statistical test on the dependent variables, ROA, ROE and TQ to test the association between the independent variables (board size, board independence, size of audit committee and audit committee composition) with firm performance. Homogeneous purposive sampling has been used. The sample size of the study is 81 listed companies in DSE. The results of the study signify that board independence ratio and audit committee is statistically significant and has positive impact on ROA and TQ. But it is not statistically significant in the case of firm performance indicator ROE in this study. In addition to, Board size is not statistically significant and has negative correlation with firm performance due to group dynamics, communication gaps and indecisiveness of larger groups.

scholarly journals The Impact of Financial Structure Towards Performance of Non-Financial Companies Listed on Amman Stock Exchange

2021 ◽  
Vol 20 (1) ◽  
pp. 61-83
Author(s):  
Laith Fouad Alshouha ◽  
◽  
Wan Nur Syahida Wan Ismail ◽  
Mohd Zulkifli Mokhtar ◽  
Nik Mohd Norfadzilah Nik Mohd Rashid ◽  
...  
Keyword(s):  
Firm Performance ◽  
Negative Impact ◽  
Positive Impact ◽  
Stock Exchange ◽  
Financial Structure ◽  
Managerial Ownership ◽  
Data Set ◽  
Amman Stock Exchange ◽  
The Impact ◽  
The Relationship

The purpose of the current study was to investigate the relationship between financial structure towards the financial performance of companies listed on Amman stock exchange (ASE) as one of the emerging economies. This paper adopted a panel data set of 88 non-financial companies listed on the ASE over a period of 10 years from 2009 to 2018. According to empirical results that there is significant evidence to support the fact that debt repaying ability (DRAB), managerial ownership (MANOW), and foreign ownership (FOROW) are positively related to firm performance. Otherwise, the findings revealed no evidence to support the impact of the financial structure ability (FSA) towards firm performance. Moreover, the findings support the fact that firm size (SIZ) has a positive impact on firm performance of companies listed on the ASE. On the other hand, (AGE) has a negative impact on firm performance, while (GROWTH) has no impact on firm performance. The current study encourages managers to maintain a good percentage of debt repaying ability and owners to grant shares as managers’ incentives, and also to attract foreign investors. Future studies, should try applying the current study on the financial sector.

The mediating role of environmental innovation in the relationship between environmental management and firm performance in a multi-stakeholder environment

2013 ◽  
Vol 13 (2) ◽  
pp. 119-137 ◽  
Author(s):  
K. Grekova ◽  
H.J. Bremmers ◽  
J.H. Trienekens ◽  
R.G.M. Kemp ◽  
S.W.F. Omta
Keyword(s):  
Environmental Management ◽  
Firm Performance ◽  
Product Innovation ◽  
Positive Impact ◽  
Mediating Effect ◽  
Environmental Innovation ◽  
Mediating Role ◽  
Environmental Process ◽  
The Relationship

Nowadays, firms are increasingly challenged to bridge potentially conflicting economic interests of primary commercial stakeholders and sustainability demands from secondary non-commercial stakeholder groups. While a number of firms view investments in environmental management as disconnected from their value-creating activities, others have reported achieved cost efficiency and differentiation advantages. Prior research suggests that environmental innovation might be the missing link between environmental management and firm performance. However, the mediating effect of environmental innovation in the relationship between environmental management and a firm's performance had not been empirically tested so far. Our paper provides a contribution by conducting an empirical investigation into this possible mediating effect. Although the presumed mediating role of environmental innovation suggests that it is influenced by internal environmental management, environmental innovation literature is especially concerned with the role of external stakeholders in environmental innovation. This study investigates the role of the engagement of stakeholders such as supply chain partners, industry, and public authorities in environmental impact reduction. We hypothesise that environmental innovation positively mediates the relationship between environmental management and firm performance, and that the engagement of stakeholders has a positive impact on environmental innovation. The research model was tested with a variance-based structural equation model using data from 90 Dutch food and beverage firms. The results confirm the positive mediating effect of environmental process innovation on the relationship between environmental management and cost efficiency advantage. Environmental product innovation contributes to a differentiation advantage but it is not significantly influenced by environmental management. So we could not support a positive mediating effect of environmental product innovation on the relationship between environmental management and differentiation advantage. Instead, environmental collaboration with supply chain partners has a strong positive impact on environmental product innovation. It also positively influences environmental process innovation but this influence is much weaker than the influence of internal environmental management. Our findings can assist managers in their decision making regarding the implementation of environmental innovations and environmental collaboration with external parties. The study is also relevant to policy makers as a tool to assess the appropriateness of their policy.

scholarly journals Does Structural Power Matter? Board Attributes and Firm Performance

2020 ◽  
Vol 3 (5) ◽  
pp. 54-64
Author(s):  
Fiona Jepkosgei Korir ◽  
Joel K Tenai
Keyword(s):  
Firm Performance ◽  
Longitudinal Research ◽  
Chief Executive ◽  
Listed Firms ◽  
Longitudinal Research Design ◽  
Regulatory Bodies ◽  
The Relationship ◽  
Moderating Role ◽  
Practical Implications

Purpose- The study investigates the moderating role of Chief Executive Officer Duality onboard attributes and firm performance of companies listed in Kenya. Design/Methodology- The research used a longitudinal research design. Panel data were derived from published accounts for sixteen years that is from 2002-2017. IGLS regression models were used to test the hypothesis. Findings- The empirical results indicated that the independence of the board, the size of the board, and the duration in which the board member served the organization positively influence the firm performance. However, CEO duality does not moderate the relationship. Practical Implications- Regulatory bodies such as NSE and CMA in Kenya should ensure that listed firms have more independent directors serving a board, ensure a reasonable size of the board and increase the board tenure to enhance firm performance. Further, the combined roles of the CEO and chairman may not influence the efficiency of the board in the Kenyan context.

scholarly journals Board characteristics and firm performance: The case of Jordanian non-financial institutions

2021 ◽  
Vol 10 (3) ◽  
pp. 150-159
Author(s):  
Zyad Marashdeh ◽  
Mohammad W. Alomari ◽  
Mahmoud Mohmad Aleqab ◽  
Rateb Mohammad Alqatamin
Keyword(s):  
Firm Performance ◽  
Empirical Evidence ◽  
Financial Institutions ◽  
Firm Size ◽  
Executive Directors ◽  
Firm Age ◽  
Board Size ◽  
Board Characteristics ◽  
Ceo Tenure ◽  
The Relationship

The study aims to examine the impact of board characteristics on firm performance of non-financial institutions in Jordan. The study employs the random effects regression model to analyze the panel data of 77 non-financial institutions of the industrial and services sector over the period 2008–2019. Firm performance is measured by return on assets ROA. While board characteristics were explained by board size, CEO duality, CEO tenure, non-executive directors (NEDs), and a number of board meetings. Firm age and firm size were added to our model as control variables. Our results reveal that board size, CEO tenure, non-executive directors (NEDs), firm age, and firm size have a positive significant impact on firm performance, whereas the CEO duality and a number of board meetings have a negative significant impact on firm performance. This paper will contribute to the ongoing debate on the relationship between the board characteristics and firm performance. Therefore, the current study extends previous literature by providing empirical evidence about the relationship between board characteristics and a firm performance. Particularly in developing countries, there is relatively a little researched area. Jordanian firms are needed to consider the significance of the board characteristics especially, for the non-financial institutions that can help them in designing the board strategies to enhance their performance. Therefore, Jordanian data will offer new empirical evidence in an emerging market, which will provide a better understanding of the relationship between board characteristics and firm performance.

Successor characteristics, change in the degree of firm internationalization, and firm performance: The moderating role of environmental uncertainty

2012 ◽  
Vol 18 (1) ◽  
pp. 16-35 ◽  
Author(s):  
Wen-Ting Lin ◽  
Yunshi Liu
Keyword(s):  
Firm Performance ◽  
Negative Impact ◽  
Chief Executive ◽  
International Strategy ◽  
Upper Echelon ◽  
Industrial Environment ◽  
Strategy Model ◽  
Firm Internationalization ◽  
Degree Of Internationalization

AbstractOur study examines the relationship among successor characteristics, post-succession firm change in the degree of internationalization, and firm performance. We use the upper echelon, organization change, and contingency perspectives to frame our conceptual arguments. Based on data from 187 succession observations for listed companies in Taiwan between 2000 and 2005, we find that firms will opt for higher levels of change in their degree of internationalization when they experience outside succession and that the negative impact of change in the degree of firm internationalization on subsequent firm performance is relatively low. We extend the industrial environment, explaining the moderating effect of chief executive officer succession on change in the international strategy model. Outsider successors foster a greater degree of change in the level of firm internationalization when the industrial environment is munificent or complex.

scholarly journals Proactive environmental strategy and firm performance: The moderating role of corporate venturing

2020 ◽  
Vol 38 (7) ◽  
pp. 654-676
Author(s):  
Chengli Shu ◽  
Jinxin Liu ◽  
Mengli Zhao ◽  
Per Davidsson
Keyword(s):  
Firm Performance ◽  
Positive Impact ◽  
Political Influence ◽  
Moderating Effect ◽  
Environmental Strategy ◽  
Green Management ◽  
Corporate Venturing ◽  
Proactive Environmental Strategy ◽  
The Relationship

This article investigates how two types of proactive environmental strategies (PESs) – proactive green management and green political influence – affect firm performance directly and under varying conditions characterising corporate venturing activities (domestic versus international). The results obtained by analysing a multi-informant dataset reveal that proactive green management has a stronger positive impact on firm performance than green political influence does. Moreover, international venturing has a greater positive moderating effect than domestic venturing on the link between proactive green management and firm performance, whereas, domestic venturing has a stronger positive moderating effect than international venturing on the relationship between green political influence and firm performance. This article contributes by differentiating between two important forms of corporate venturing, by distinguishing two important types of PESs and by offering a more granular framework for aligning corporate venturing activities with PESs.

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