Network Ties Among Low-Tax Firms

2013 ◽  
Vol 89 (2) ◽  
pp. 483-510 ◽  
Author(s):  
Jennifer L. Brown ◽  
Katharine D. Drake

ABSTRACT This study examines (1) whether network ties help explain variation in tax avoidance, and (2) how the relation between network ties and tax avoidance varies depending on the nature and context of those ties. We posit that information on a range of tax-avoidance strategies is shared among firms through their social network connections. Using board interlocks to proxy for these connections, we find that firms with greater board ties to low-tax firms have lower cash ETRs themselves. Ties to low-tax firms are more influential when the focal firm and its network partner are operationally and strategically similar, as are ties created by executive directors. Board ties to low-tax firms are also more influential when the focal firm and its network partner engage the same local auditor. Overall, our results suggest that the influence of firms' network ties on their tax-avoidance behavior depends on the character of those ties.

2021 ◽  
pp. 114646
Author(s):  
Erin Pullen ◽  
Emily A. Ekl ◽  
Elizabeth Feliz ◽  
Christopher Turner ◽  
Brea L. Perry ◽  
...  

2018 ◽  
Vol 38 (2) ◽  
pp. 194-214
Author(s):  
H. Colin Gallagher

Psychological models of second language (L2) communication have focused on cognitive, affective, and motivational precursors to L2 communication, while largely neglecting sociostructural factors. One way to conceptualize structural variables is in terms of social network reciprocity (mutually acknowledged network ties) and brokerage (social intermediaries). To investigate whether network positions predict willingness to communicate in the second language (L2 WTC), a cohort of English-for-Academic-Purposes students ( N = 67) was surveyed about discussion partners within the group. An autologistic actor attribute model was used to examine social network patterns of L2 WTC. As hypothesized, students involved in reciprocal structures reported stronger L2 WTC, as well as those in brokerage positions between larger social clusters. Contrary to initial hypotheses, local forms of brokerage held a negative association with WTC, suggesting the possible role of network closure. Results indicate that communicativeness is supported by tight-knit predictable exchanges, and by being in a position to influence the social diffusion of information.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mengyi Zhu ◽  
Yuan Sun ◽  
Anand Jeyaraj ◽  
Jie Hao

PurposeThis study aims to explore whether and how task characteristics affect employee agility in the context of enterprise social media (ESM).Design/methodology/approachAdopting the social network ties perspective, this study examines how task characteristics (i.e. task complexity, task interdependence and task non-routineness) affect employee agility by promoting their social network ties (i.e. instrumental ties and expressive ties) and how ESM visibility moderates their relationships. Data gathered from 341 ESM users in workplaces were analyzed using Smart-PLS 3.2.FindingsFirst, task complexity, task interdependence and task non-routineness have positive effects on instrumental and expressive ties, which in turn influences agility; Second, instrumental ties have a stronger effect on employee agility relative to expressive ties; Finally, ESM visibility positively moderates the effects of task complexity and task non-routineness on social network ties.Practical implicationsThe findings provide guidance for organizational managers on how to use task characteristics and ESM to improve employee agility, as well as insights for social media designers to optimize ESM functions to improve agility.Originality/valueThis study provides empirical evidence to explain the roles of task characteristics and social network ties in influencing employee agility, thus clarifying the inconsistent findings in extant research. The moderating effects of ESM visibility on the relationships between task characteristics and social network ties are also examined, thus providing further insights on the positive role of ESM in organizations.


2016 ◽  
Vol 91 (6) ◽  
pp. 1751-1780 ◽  
Author(s):  
Thomas R. Kubick ◽  
Daniel P. Lynch ◽  
Michael A. Mayberry ◽  
Thomas C. Omer

ABSTRACT This study examines the tax avoidance behavior of firms prior to the issuance, and following the resolution, of SEC tax comment letters. We find that firms that appear to engage in greater tax avoidance are more likely to receive a tax-related SEC comment letter. We also find that firms receiving a tax-related SEC comment letter, relative to firms receiving a non-tax comment letter, subsequently decrease their tax avoidance behavior consistent with an increase in expected tax costs. Additionally, we document evidence consistent with other firms that do not receive a comment letter reacting to multiple publicly disclosed tax-related comment letters within their industry by increasing their reported GAAP ETR, consistent with an indirect effect of regulatory scrutiny on certain types of tax avoidance.


2019 ◽  
Vol 33 (1) ◽  
pp. 361-388 ◽  
Author(s):  
Xiayu Chen ◽  
Shaobo Wei ◽  
Robert M. Davison ◽  
Ronald E. Rice

Purpose The purpose of this paper is to investigate how four enterprise social media (ESM) affordances (visibility, association, editability and persistence) affect social network ties (instrumental and expressive), which, in turn, influence the in-role and innovative job performance of employees. Design/methodology/approach A survey of 251 ESM users in the workplace in China was conducted. Findings All four affordances are positively associated with instrumental ties, yet only the association and editability affordances are positively related to expressive ties. Although instrumental and expressive ties are positively related to in-role and innovative job performance, instrumental ties exert stronger effects on in-role job performance, whereas expressive ties show stronger effects on innovative job performance. Research limitations/implications First, additional relevant affordances should be included in an expanded model. Second, future research could examine how patterns of affordances use (unrelated, or hierarchically or sequentially related) affect organizational network ties. Third, there are likely (many) other exogenous factors affecting the model’s relationships. Fourth, the data collected are self-reported. Practical implications This study advances the theoretical understanding of the role of ESM affordances in the workplace, especially through their influences on network ties. The findings can guide organizations on how to emphasize ESM affordances to foster instrumental and expressive ties to improve the job performance of employees. Originality/value First, it provides novel views on affordance theory in ESM contexts by empirically testing four central affordances, thereby further providing preliminary evidence for prior theoretical propositions by confirming that social media affordances might be associated with or influence relational ties. Second, the study integrates an affordance lens and a social network perspective to investigate employees’ perceived performance behavior. Including social network ties can offer a more detailed understanding of the underlying processes of how ESM affordances can and do affect job performance. Third, it supports the validity of distinguishing instrumental and expressive ties in ESM contexts, thus offering a possible explanation for the inconsistencies in prior research on the impact of social networks on employee outcomes. Finally, it also shows how two kinds of organizational performance (in-role and innovative) are somewhat differentially influenced by affordances and network ties.


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