scholarly journals Effects of Pandemics on Corporate Innovation: Evidence From the Chinese Firms

2021 ◽  
Vol 9 ◽  
Author(s):  
Ci Zhang ◽  
Yilin Hu ◽  
Leping Huang ◽  
Yajie Huang
Keyword(s):  
Fixed Effects ◽  
Negative Impact ◽  
Uncertainty Measure ◽  
Chinese Firms ◽  
Government Subsidies ◽  
Management Efficiency ◽  
Corporate Innovation ◽  
Robust Evidence ◽  
Innovation Behavior

This paper examines the effects of the pandemics-related uncertainty on corporate innovation in Chinese firms. For this purpose, the recent uncertainty measure of pandemics, the Pandemics Discussion Index (PDI), is used. The findings from the fixed-effects estimations show the negative impact of the PDI on corporate innovation. Government subsidies, operation profits, and total exports also positively affect corporate innovation. In addition, firms' management efficiency promotes corporate innovation. These results hold when the Blundell-Bond estimations are utilized to address potential endogeneity. Various robustness analyses, such as considering the lagged PDI and the lagged controls, are also conducted. Consequently, the main results remain robust. Thus, this paper provides novel and robust evidence on the negative impact of pandemics on Chinese firms' corporate innovation behavior.

How to deal with policy uncertainty to attain sustainable growth: the role of corporate governance

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tanveer Ahsan ◽  
Sultan Sikandar Mirza ◽  
Bakr Al-Gamrh ◽  
Chai Bin-Feng ◽  
Zia-Ur-Rehman Rao
Keyword(s):  
Corporate Governance ◽  
Fixed Effects ◽  
Negative Impact ◽  
Sustainable Growth ◽  
Policy Uncertainty ◽  
Chinese Firms ◽  
Content Type ◽  
Financial Firms ◽  
Concentrated Ownership ◽  
The Relationship

Purpose The purpose of this study is to investigate the moderating impact of corporate governance (CG) on the relationship between economic policy uncertainty (EPU) and the sustainable growth (SG) of Chinese firms. Design/methodology/approach The study collects data of 975 Chinese non-financial listed firms for the period from 2010 to 2017. The study measures SG using a comprehensive index based on nine financial indicators and applies industry and year fixed effects regression to investigate the direct and moderating impact of CG on the relationship between EPU and SG of Chinese firms. Findings The results of the study explain that EPU negatively affects SG, while concentrated ownership, board independence and board gender diversity (BGD) positively contribute to the SG of the Chinese firms. The results also explain that concentrated ownership and BGD reduce the negative impact of EPU on the SG of the Chinese firms. Research limitations/implications The study considers only non-financial firms; therefore, the results of this study cannot be generalized for financial firms. Future research can be carried out while considering financial firms as a unit of analysis. Practical implications The investigation of the negative impact of policy uncertainty on SG is essential for the government and policymakers to devise policies to reduce uncertainty. The investigation of the moderating effect of CG enriches the literature on corporates’ response to policy uncertainty. It provides valuable insights for corporates regarding CG mechanisms to attain SG. Originality/value To the best of the authors’ knowledge, this is the first study that investigates the moderating impact of CG on the SG of Chinese firms using an index-based measurement of SG.

scholarly journals Impact of Use of Gastric-Acid Suppressants and Oral Anti-Cancer Agents on Survival Outcomes: A Systematic Review and Meta-Analysis

Cancers ◽  
2020 ◽  
Vol 12 (4) ◽  
pp. 998 ◽  
Author(s):  
Alice Indini ◽  
Fausto Petrelli ◽  
Gianluca Tomasello ◽  
Erika Rijavec ◽  
Antonio Facciorusso ◽  
...  
Keyword(s):  
Systematic Review ◽  
Gastric Acid ◽  
Solid Tumors ◽  
Fixed Effects ◽  
Negative Impact ◽  
Meta Analysis ◽  
Soft Tissue Sarcomas ◽  
Oral Chemotherapy ◽  
Survival Outcomes ◽  
Anti Cancer

We performed a systematic review and meta-analysis to evaluate the role of gastric acid suppressant use on outcomes of tyrosine kinase inhibitors (TKIs) and oral chemotherapy. We identified all research evaluating the effect of GAS (gastric acid suppressants) use on patients receiving oral chemotherapy or TKIs for solid tumors. The pooled hazard ratios (HRs) and 95% confidence interval (95%CI) for overall survival (OS) and progression-free survival (PFS) were calculated with a fixed-effects or a random effects model. The study population included n = 16 retrospective studies and 372,418 patients. The series concerned gastrointestinal tract tumors (n = 5 studies), renal cell carcinomas (RCC, n = 3 studies), non-small cell lung cancers (NSCLC, n = 5 studies), and soft tissue sarcomas or mixed histologies solid tumors in n = 3 studies. The pooled HRs for OS and PFS were 1.31 (95%CI: 1.20–1.43; p < 0.01) and 1.3 (95%CI 1.07–1.57; p < 0.01) for GAS and no GAS users, respectively. Only studies of EGFR (epidermal growth factor receptor) mutated NSCLC patients receiving TKIs and those with colorectal cancer receiving oral chemotherapy showed a significant correlation between GAS and poor survival. Our study supports the evidence of a possible negative impact of concomitant GAS therapy on survival outcomes of patients receiving oral anti-cancer drugs.

South Africa’s increasing climate variability and its effect on food production

2021 ◽  
pp. 003072702110049
Author(s):  
Mashudu Tshikovhi ◽  
Roscoe Bertrum van Wyk
Keyword(s):  
South Africa ◽  
Climate Variability ◽  
Food Production ◽  
Fixed Effects ◽  
Crop Yields ◽  
Negative Impact ◽  
Secondary Data ◽  
Mean Annual Temperature ◽  
Fixed Effects Panel Regression ◽  
The Impact

This study examines the impact of increasing climate variability on food production in South Africa, focusing on maize and wheat yields. A two-way fixed effects panel regression model was used to assess the climate variability impacts, analysing secondary data for the period 2000 to 2019 for nine provinces in South Africa. The study found that increasing climate variability has a negative impact on maize and wheat production in South Africa. Specifically, the results indicated a negative correlation between mean annual temperature with both maize and wheat yields. A decrease in precipitation affected maize yields negatively, while the impact on wheat yields was positive, although insignificant. This analysis, therefore, depicted that crop yields generally increase with more annual precipitation and decrease with higher temperatures. The study recommends that funding initiatives to educate farmers on increasing climate variability and its effects on farming activities in South Africa should be prioritised.

The Effect of Unsuccessful Past Repurchases on Future Repurchasing Decisions

2021 ◽  
Author(s):  
Geoffrey C. Friesen ◽  
Noel Pavel Jeutang ◽  
Emre Unlu
Keyword(s):  
Stock Market ◽  
Negative Impact ◽  
Career Concerns ◽  
Stock Repurchases ◽  
Negative Outcomes ◽  
Effect Factors ◽  
Lifetime Experience ◽  
Idiosyncratic Shocks ◽  
Robust Evidence

We find that managers are less likely to repurchase stocks when they lose money on past stock repurchases but find no robust evidence that past gains on repurchases influence future repurchasing activity. This asymmetric sensitivity is strongest for young CEOs and those with the shortest tenure. Also, future repurchases are more sensitive to past repurchase losses for CEOs whose previous lifetime experience with the stock market is unfavorable. The sensitivity of future repurchases to past losses costs firms, on average, about 3.7% per year. When this cost is decomposed into systematic and idiosyncratic components, we find that nearly half (1.8%) comes from mistiming idiosyncratic shocks. Past losses on repurchases have a significant and negative impact on the CEO’s future bonus and increase the likelihood that future CEO termination is involuntary. We also find that negative outcomes from past repurchases encourage the subsequent use of dividends. Our findings suggest that outcomes of past repurchases have economically significant consequences through both nonbehavioral (career concerns) and behavioral (snakebite effect) factors. This paper was accepted by Tyler Shumway, finance.

scholarly journals Profitability Determinants of Big European Banks

2021 ◽  
Vol 10 (2) ◽  
pp. 39-56
Author(s):  
Vesna Karadžić ◽  
Nikola Đalović
Keyword(s):  
Fixed Effects ◽  
Negative Impact ◽  
Ordinary Least Squares ◽  
Annual Data ◽  
The European Union ◽  
Macroeconomic Factors ◽  
Panel Models ◽  
Econometric Methods ◽  
Gdp Growth Rate ◽  
The Impact

Abstract The subject of research in this paper is the profitability of the biggest banks in the European financial market, some of which operate in Montenegro. The profitability of banks is influenced by a large number of factors, including internal banking and external macroeconomic factors. The aim of this paper is to use statistical and econometric methods to examine which factors and with what intensity affect the profitability of large banks in Europe. The empirical analysis used highly balanced panel models with annual data on 47 large banks from 14 European countries over the period 2013-2018. Three static panel models were estimated and evaluated (pooled ordinary least squares, model with fixed effects and model with random effects), as well as dynamic model utilizing general methods of moments. The POLS model was chosen as the best, confirming that all macroeconomic factors have a statistically significant impact on the profitability of big banks, while the impact of internal factors, which are controlled by the bank’s management, is not significant. GDP growth rate, inflation rate and market concentration have a positive effect on profitability, while the membership of the European Union has a negative impact on profit, meaning that banks with headquarters outside the EU are more profitable.

scholarly journals Be Green to Be Innovative: The Role of Government Subsidies

2021 ◽  
Vol 9 ◽  
Author(s):  
Yingbo Xu ◽  
Wei Liu ◽  
Ruihui Pu ◽  
Yonghui Xu
Keyword(s):  
Environmental Protection ◽  
Industrial Firms ◽  
Role Of Government ◽  
Market Strategy ◽  
Institutional Legitimacy ◽  
Government Subsidies ◽  
Environmental Investment ◽  
Innovation Activities ◽  
Corporate Innovation

Corporate environmental investment has long been recognized as a non-market strategy that helps secure both economic and social benefits. However, we know much less about how environmental investment affects corporate innovation. We argue that investment in environmental protection is an important source of institutional legitimacy for firms to secure government resources, thus providing financial support for corporate innovation activities. Using a sample of Chinese industrial firms, we find that firms investing more in environmental protection can receive more government subsidies and then have better innovation performance. This study emphasizes the mechanism of government resources, which enriches our understanding of the effect of environmental investment on corporate innovation.

scholarly journals The Impact Of Good Corporate Governance To Manufacturing Firm’s Profitability And Firm’s Value

2016 ◽  
Vol 5 (2) ◽  
pp. 181-196 ◽  
Author(s):  
Johanes Sumarno ◽  
Sendy Widjaja ◽  
Subandriah Subandriah
Keyword(s):  
Corporate Governance ◽  
Fixed Effects ◽  
Negative Impact ◽  
Stock Exchange ◽  
Manufacturing Firms ◽  
Fixed Effects Model ◽  
Good Corporate Governance ◽  
Oecd Principles ◽  
Equitable Treatment ◽  
The Impact

This paper studied the behavior of management toward the implementation of Good Corporate Governance in Indonesia to determine whether it has any influence towards profitability and its implication to the Manufacturing Firms’ value publicly listed in Indonesian Stock Exchange. There were 41 corporations who met the criteria of the survey. The data were analyzed using Panel Regression with fixed effects Model. The empirical findings show that the implementation of Corporate Governance in Indonesia has a positive, significant and direct impact toward firms’ profitability and firms’ value. Corporate Governance principles based on OECD principles that have positive and significant impact to both profitability and Firms’ Valueis Rights of Shareholders, Role of Stakeholders, Responsibilities of the Board Commissioners and Board of Directors. The principles that have significance and negative impact towards corporate profitability and value, are: Equitable treatment of shareholders and Disclosure and Transparencies. The most significant principle influencing profitability and firms’ value is Disclosure and Transparencies. Profitability plays a greater role in influencing Manufacturing Firms’ value in Indonesia. DOI: 10.15408/sjie.v5i2.3542

scholarly journals The Impact of Inflation Volatility on an Enterprise’s Innovation Strategy

2019 ◽  
Vol 8 (12) ◽  
pp. 193-197
Keyword(s):  
Fixed Effects ◽  
Negative Impact ◽  
Generalized Method Of Moments ◽  
Estimation Method ◽  
Innovation Strategy ◽  
Potential Output ◽  
Economic Agents ◽  
Inflation Volatility ◽  
High Inflation ◽  
The Impact

The objective of the study was to determine the effect of inflation volatility on an enterprise's innovation strategy. The study showed that increasing inflation leads to a decrease in the stationary level of potential output, as well as to a decrease in the rate of economic growth in the process of transition to a stationary state. A formula is proposed for calculating the total effect of inflation on the level of enterprise output. The negative impact of the inflation rate on the welfare of economic agents was revealed, which is expressed in the fall in their equilibrium consumption level. Higher-income countries have been shown to suffer more from high inflation than poorer countries. All conclusions made in the analysis of the dynamic model of the impact of inflation on potential output are verified based on econometric modelling using methods and models for panel data: models with fixed effects, models with random effects, and a generalized method of moments. Moreover, the obtained empirical results are stable concerning changes in the specification of the equation and estimation method

The impact of within-country and within-firm factors on Japanese foreign subsidiary performance during economic crisis

2017 ◽  
Vol 9 (3) ◽  
pp. 190-205 ◽  
Author(s):  
Matheus Baldo Cordeiro ◽  
Mario Henrique Ogasavara ◽  
Gilmar Masiero
Keyword(s):  
Economic Crisis ◽  
Fixed Effects ◽  
Multinational Firms ◽  
Negative Impact ◽  
Foreign Subsidiaries ◽  
Productivity Measurement ◽  
Subsidiary Performance ◽  
Content Type ◽  
Subsidiary Management ◽  
The Impact

Purpose The purpose of this paper is to analyze the relevant aspects that influence foreign subsidiary’s performance and remain how they retain competitiveness in international markets during economic crisis. To investigate this effect, this research analyzes the behavior of Japanese subsidiaries located in European countries during the pre- and post-crisis periods that started in the USA in 2008 and spread all over the world. Design/methodology/approach This is a quantitative study with an analysis based on longitudinal data of foreign subsidiaries of Japanese multinational firms during the period 2006-2013. It applies a multiple linear regression with panel data using fixed effects models. Findings The findings show that within-firm factors related to local experiential knowledge, market entry through joint ventures with partners from the same nationality, and subsidiary management with a team of expatriates all have a positive impact on subsidiary performance during times of economic crisis. Moreover, within-country factors involving macroeconomic aspects related to inflation rate and population income indicators show a negative impact on performance. Finally, the results confirm that subsidiary performance is higher in the pre-crisis period, showing the importance of considering economic crisis aspects in longitudinal studies. Practical implications The result has implications for managers of multinational firms to understand which factors most impact the success of their foreign subsidiaries during times of economic crisis. In this way, managers can, with greater confidence, decide to reach the most important performance indicator in subsidiary management. Originality/value The majority of studies on economic crisis is based on an economic perspective and mostly investigates Asian and Argentinean crises. When considering a firm-level perspective, most research studies conducted on a subsidiary level are cross-sectional or use survival as a measure of performance. This paper applies a longitudinal study using subsidiary-level data and analyzes performance by sales and productivity measurement. In addition, it investigates whether or not within-country and within-firm factors impacted subsidiary performance during the 2008 economic crisis.

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