scholarly journals The impact of CEO power on different measures of environmental disclosure: Evidence from U.S. firms

2020 ◽  
Vol 18 (1, Special Issue) ◽  
pp. 423-437
Author(s):  
Jacqueline Jarosz Wukich
Keyword(s):  
Chief Executive ◽  
Seemingly Unrelated Regression ◽  
Ceo Power ◽  
Environmental Disclosure ◽  
Impact Investing ◽  
Publicly Traded Companies ◽  
Unrelated Regression ◽  
Business Roundtable ◽  
Environmental Disclosures ◽  
The Impact

The purpose of this paper is to investigate if the detriment to environmental (E) disclosures as a result of a chief executive officer’s (CEO) power is different for outcome versus intention-oriented disclosure characteristics. This paper creates four measures to capture the diverse nature of E disclosures that vary in the degree of accountability and comparability they provide: a) qualitative, b) quantitative, c) effectiveness, and d) effort. Seemingly unrelated regression is used on a sample of over 2,200 U.S. publicly traded companies. Findings suggest that the relationship between CEO power and E disclosures is not uniform. Powerful CEOs suppression of the most comparable outcome-based environmental disclosures (effectiveness) is greater than the suppression of other environmental disclosures. This is a particularly relevant relationship given shifts in corporate priorities as demonstrated by the proliferation of impact investing, the growth in E reporting, and the CEO’s stated commitment to maximizing stakeholder wealth that was discussed at the August 2019 Business Roundtable

From CEO passion to exploratory and exploitative innovation: the moderating roles of market and technological turbulence

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Wenjun Cai ◽  
Jianlin Wu ◽  
Jibao Gu
Keyword(s):  
Chief Executive ◽  
Seemingly Unrelated Regression ◽  
Critical Element ◽  
Firm Innovation ◽  
Content Type ◽  
Technological Turbulence ◽  
Unrelated Regression ◽  
Market Turbulence ◽  
Time Lagged ◽  
The Impact

PurposeInnovation has been identified as a critical element to achieve firms' growth. The purpose of this study is to investigate the impact of chief executive officer (CEO) passion on firm innovation, including exploratory and exploitative innovation and examine the moderating roles of market and technological turbulence.Design/methodology/approachThis study adopts the methodology of survey and uses multisource and time-lagged data of 146 firms in China. Seemingly unrelated regression (SUR) is used to test the hypotheses of this study.FindingsThis study finds that CEO passion promotes exploratory and exploitative innovation. Results also indicate that market turbulence strengthens the effect of CEO passion on exploratory and exploitative innovation, whereas technological turbulence weakens such an effect.Originality/valueCEO passion is an important, positive affect which inspires CEOs to work for firms, but it has not yet received enough attention in the innovation literature. This study contributes to examining the impact of CEO passion on firm innovation and contributes to the contingency under which CEO passion influences firm innovation. Furthermore, this research finds that the moderating effects of market and technological turbulence are different in the relationship between CEO passion and firm innovation.

The Impact of Corporate Governance Attributes on Environmental Disclosures: Evidence from India

2017 ◽  
Vol 10 (1) ◽  
pp. 24-43 ◽  
Author(s):  
Ezhilarasi G. ◽  
K. C. Kabra
Keyword(s):  
Corporate Governance ◽  
Institutional Ownership ◽  
Chief Executive ◽  
Annual Reports ◽  
Global Reporting Initiative ◽  
Environmental Disclosure ◽  
Environmental Certification ◽  
Panel Data Regression ◽  
Environmental Disclosures ◽  
The Impact

This article empirically investigates the impact of corporate governance attributes on companies’ decision to disclose environmental information since corporate governance ensures fair, responsible, credible and transparent corporate behaviours to its stakeholders. The corporate governance attributes used in the study are board size, chief executive officer duality, domestic institutional ownership and foreign institutional ownership. Environmental disclosures are measured by a checklist of items based on Global Reporting Initiative guidelines as well as environmental regulations prevailing in India. Disclosure scores are drawn individually by using content analysis of annual reports for a sample of 177 most polluting companies in India for a period of 6 years, that is, from 2009–2010 to 2014–2015. Employing panel data regression model, the result indicates that foreign institutional ownership is the most important corporate governance attribute that engages corporates in environmental disclosure behaviour. In addition to this, firm-specific characteristics such as company size and environmental certification are more likely to influence environmental disclosures. For better environmental disclosure, the Securities and Exchange Board of India (SEBI) should mandate all the companies to disclose detailed monetary and non-monetary information on environmental issues in their companies’ periodic report and also more emphasis should be given to strengthen the corporate governance attributes.

scholarly journals The Impact of Financial Development on Economic Growth as Countries Develop Financially and Economically: WAEMU Countries Case

2018 ◽  
Vol 5 (5) ◽  
pp. 83
Author(s):  
Daouda Coulibaly
Keyword(s):  
Financial Development ◽  
West African ◽  
Seemingly Unrelated Regression ◽  
Per Capita Gdp ◽  
Real Gdp ◽  
Unrelated Regression ◽  
Cointegration Tests ◽  
Real Gdp Per Capita ◽  
Per Capita ◽  
The Impact

We analyse financial development’s impact on real gross domestic product per capita in seven West African Economic and Monetary Union (WAEMU) countries from 1970 to 2014. We assume that income and financial development process converge to USA, France and Japan’s levels respectively. An analysis of the unit root and cointegration tests revealed non-stationary and cointegrated series. Estimates are based on the Dynamic Seemingly Unrelated Regression method (DSUR). Our study shows that, (i) the effect of financial development on real per capita GDP improves in WAEMU countries as the latter converge financially to their respective levels in USA, France and Japan; (ii) the effect of financial development on real GDP per capita decreases in the WAEMU countries as they grow economically to reach USA, France and Japan’s income levels; (iii) the degree of the effect of financial development on real per capita GDP in the case of financial systems is stronger than that of the convergence of income.

Board composition and value relevance of Ghanaian firms: a seemingly unrelated regression approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ebenezer Agyemang Badu ◽  
Ebenezer Nyarko Assabil
Keyword(s):  
Best Practices ◽  
Firm Value ◽  
Value Relevance ◽  
Practical Implication ◽  
Seemingly Unrelated Regression ◽  
Board Composition ◽  
Content Type ◽  
Listed Firms ◽  
Unrelated Regression ◽  
The Impact

PurposeThe purpose of this study is to examine the connection between board composition and value relevance of financial information in Ghana.Design/methodology/approachThe study uses a panel data of 144 firm-year observations of listed firms in Ghana.FindingsThe study finds that a higher fraction of independent directors is associated with lower firm value. The study further finds that board size is positively related to firm value, whereas duality is negatively associated with firm value.Practical implicationsThe practical implication of this paper is that investors and regulators should be mindful that specifying governance composition should not only be based on “so-called” codes of best practices but also the level of the country's or the sector's development and local institutional structures.Originality/valueThis study uses five different measurements of market share and considers the impact of the provision of the Code of Best Practices in Ghana.

Governance and customer value creation in business solutions

2020 ◽  
Vol 35 (6) ◽  
pp. 1089-1098
Author(s):  
Erik Mooi ◽  
Vishal Kashyap ◽  
Marc van Aken
Keyword(s):  
Customer Value ◽  
Seemingly Unrelated Regression ◽  
Content Type ◽  
Relational Norms ◽  
Unrelated Regression ◽  
Short Time Span ◽  
Lighting Systems ◽  
Short Time ◽  
The Impact ◽  
Practical Implications

Purpose This paper aims to consider the impact of contractual and normative governance mechanisms on recommendation intent in a context of healthcare and professional lighting where repeat business from a customer is absent. The authors suggest both contractual and normative governance can create recommendation intent, but only when sufficient customer value is created. Design/methodology/approach The authors draw on a combination of survey and archival data from the supplier and customer in the medical equipment and advanced (business) lighting systems industries. The authors analyze the data using seemingly unrelated regression and mediation tests. Findings Contracts and relational norms can increase customer recommendation intent, but only when the supplier creates customer value. Practical implications The paper’s findings suggest that customers of business solutions are more likely to recommend their supplier when contracts are relatively detailed and when buyers and suppliers attempt to craft strong relational norms, despite service solutions being delivered during a relatively short time span. Originality/value The extant research on business solutions has focused on extended relationships between exchange partners with a high likelihood of repeated transactions. The authors demonstrate how to govern relationships in a solutions context where the likelihood of repeat business from the same customer is low using contractual and normative governance.

scholarly journals Impact of governance structures on environmental disclosures in the Middle East and Africa

2020 ◽  
Vol 20 (4) ◽  
pp. 739-763 ◽  
Author(s):  
Erhan Kilincarslan ◽  
Mohamed H. Elmagrhi ◽  
Zezeng Li
Keyword(s):  
Corporate Governance ◽  
Middle East ◽  
Gender Diversity ◽  
Governance Structures ◽  
Environmental Disclosure ◽  
Content Type ◽  
Environmental Disclosures ◽  
The Impact ◽  
The Relationship ◽  
Practical Implications

Purpose This study aims to investigate the impact of corporate governance structures on environmental disclosure practices in the Middle East and Africa (MEA). Design/methodology/approach The research model uses a panel data set of 121 publicly listed (non-financial and non-utility) firms from 11 MEA countries over the period 2010-2017, uses alternative dependent variables and regression techniques and is applied to various sub-groups to improve robustness. Findings The empirical results strongly indicate that MEA firms with high governance disclosures tend to have better environmental disclosure practices. The board characteristics of gender diversity, size, CEO/chairperson duality and audit committee size impact positively on MEA firms’ voluntary environmental disclosures, whereas board independence has a negative influence. Research limitations/implications This study advances research on the relationship between corporate governance structures and environmental disclosure practices in MEA countries, but is limited to firms for which data are available from Bloomberg. Practical implications The results have important practical implications for MEA policymakers and regulators. The positive impact of board gender diversity on firms’ environmental disclosures, policy reforms should aim to increase female directors. MEA corporations aiming to be more environmentally friendly should recruit women to top managerial positions. Originality/value This is thought to be the first study to provide insights from the efficiency and legitimation perspectives of neo-institutional theory to explain the relationship between MEA firms’ internal governance structures and environmental disclosures.

scholarly journals Members’ attitudes towards cooperatives and their perception of agency problems

2016 ◽  
Vol 19 (4) ◽  
pp. 23-36 ◽  
Author(s):  
Karin Hakelius ◽  
Helena Hansson
Keyword(s):  
Factor Analysis ◽  
Exploratory Factor Analysis ◽  
Agency Problems ◽  
Postal Questionnaire ◽  
Seemingly Unrelated Regression ◽  
Agricultural Cooperatives ◽  
Unrelated Regression ◽  
Attitude Measures ◽  
The Impact

This study examines whether and how members’ perceptions of agency problems, in terms of the decision problem and the follow-up problem, shape their attitudes to agricultural cooperatives. The study is based on empirical data collected through a postal questionnaire sent to 2,250 Swedish farmers in 2013 (response rate ~40%). Exploratory factor analysis of a set of attitudinal measurement items was used to assess members’ attitudes to agricultural cooperatives. Seemingly unrelated regression analysis was used to identify the impact of members’ perceptions of agency problems on the attitude measures obtained from the exploratory factor analysis. The results suggest that perceived agency problems significantly explain members’ attitudes to their cooperatives. Therefore, working with these problems can be a way for directors of cooperatives to influence members’ attitudes and, in continuation, behaviors to these. This would be one way of developing more sustainable member-director relationships in these cooperatives.

scholarly journals The Role of CEO Power on CSR Reporting: The Moderating Effect of Linking CEO Compensation to Shareholder Return

2021 ◽  
Vol 13 (6) ◽  
pp. 3197
Author(s):  
María Consuelo Pucheta-Martínez ◽  
Isabel Gallego-Álvarez
Keyword(s):  
Ceo Compensation ◽  
Generalized Method Of Moments ◽  
Chief Executive ◽  
Ceo Power ◽  
Csr Reporting ◽  
Thomson Reuters ◽  
Csr Disclosure ◽  
The Impact ◽  
Moderating Role

The aim of this research was to provide further evidence of the impact of the power of the Chief Executive Officer (CEO) on corporate social responsibility (CSR) disclosure. Additionally, we explore the moderating role of CEO compensation linked to shareholder return on the association between CEO power and CSR disclosure. The theories used follow agency theory and stakeholder theory and the sample comprised 9182 international firm-year observations collected from the Thomson Reuters database from 2009 to 2018. Our model was estimated using the generalized method of moments (GMM) estimator. The results found that CEO power was positively associated with CSR disclosure, contrary to our expectations. Additionally, our evidence also shows that CEO compensation linked to shareholder return plays a positive moderating role on the relationship between CEO power and CSR reporting.

scholarly journals Does CEO power influence corporate risk and performance? Evidence from Greece and Hungary

2021 ◽  
Vol 18 (4) ◽  
pp. 77-89
Author(s):  
Um-E-Roman Fayyaz ◽  
Raja Nabeel-Ud-Din Jalal ◽  
Gianluca Antonucci ◽  
Michelina Venditti
Keyword(s):  
Firm Performance ◽  
Good Governance ◽  
Negative Impact ◽  
Market Competition ◽  
Chief Executive ◽  
Ceo Power ◽  
Moderation Effect ◽  
Corporate Decisions ◽  
Corporate Risk ◽  
The Impact

We intend to investigate the impact of chief executive officers’ (CEO) powers on corporate decisions made by firms in the context of board oversight (BO) and market competition (MC). From 2007 to 2017, we applied a quantitative approach to a sample of two stressed European markets (i.e., Hungary and Greece). We found that CEO power has a negative impact on corporate risk and firm performance. Furthermore, results also reveal no sign of moderation effect for MC with corporate decisions, whereas BO moderated the CEO power and corporate decisions in the Hungarian market. However, the results of moderation for the Greek market are diametrically opposed to those of the Hungarian market. Our study indicates that in stressed markets, the CEO power is suppressed and does not increase the corporate risk and firm performance despite the good governance and high market competition. The study can help boards in the optimal delivery of power to the CEO to perform well in a stressed environment

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