scholarly journals How Do Proactive Environmental Strategies Affect Green Innovation? The Moderating Role of Environmental Regulations and Firm Performance

2021 ◽  
Vol 18 (17) ◽  
pp. 9083
Author(s):  
Naveedullah Mulaessa ◽  
Lefen Lin
Keyword(s):  
Firm Performance ◽  
Environmental Regulations ◽  
Generalized Method Of Moments ◽  
Industrial Sector ◽  
Least Square ◽  
Green Innovation ◽  
Environmental Practices ◽  
Environmental Strategies ◽  
Moderating Role

Global warming has gained the attention of researchers and authorities to work on the environmental glitches. Prior researchers highlighted that the industrial sector is more responsible for these environmental glitches. The industrial sector is highly participated for climate change problems. In the light of firm’s sustainable development goals, this study focuses on the proactive environmental strategies for green innovation. Furthermore, this study considers the link amid environmental regulations and green innovation, firm performance, and green innovation. Most importantly, this study applies the moderating role of environmental regulations and firm performance on the link amid proactive environmental strategies and green innovation. The outcomes with ordinary least square, fixed effect, generalized method of moments, and feasible generalized least square presents unique conclusions. This study concluded that firms with proactive environmental strategies are more valuable for green innovation practices. The environmental regulations promote green innovative practices. Similarly, firm performance also encourages the firm for green innovative practices. Importantly, these outcomes suggest that environmental regulations positively moderate the link amid proactive environmental strategies and green innovation. In addition, firm performance also plays positive role for positivity amid proactive environmental strategies and green innovation. These findings are imperative addition into the narrow literature of environmental practices at firm level in Pakistan. Moreover, this study suggests various guidelines and directions for policy makers, owners, governments, and stakeholders as promoting the environmental practices for higher profitability as well as minimizing industrial negative effects.

scholarly journals The Role of Technical Innovation and Development of Industrial Sector in Korean International Business

2021 ◽  
Vol 22 (1) ◽  
pp. 55-73
Author(s):  
Ali Mohammed Khalel Al-Shawaf ◽  
Tahira Yasmin
Keyword(s):  
Time Series Data ◽  
Positive Impact ◽  
Generalized Method Of Moments ◽  
Value Added ◽  
Industrial Sector ◽  
Least Square ◽  
Policy Implications ◽  
Series Data ◽  
Significance Level

With the pace of development and competitiveness, innovation plays an important role to capture the market share. Various countries have effective strategies to enhance Research and Development (R&D) and exchange value added products in international market. So, based on this the aim of this research is to examine the role of R&D, industrial design and charges for intellectual property in innovative exports in South Korean economy. Time series data for the period 1998 to 2017, Ordinary Least Square (OLS) and Generalized Method of Moments (GMM) models are used to determine the dynamic interrelationship among the study variables. In summary, the overall results show that there is co-integration rank of in both trace test and value test at 1% significance level. Moreover, OLS and GMM findings depict that there is significant and positive coefficient for ID & RD which represent that they have positive impact on HT. Whereas, the IP displays a negative and significant relationship with high technology exports accordingly. Lastly, the diagnostic tests show that model is stable for the study time period and result is reliable. The current study also suggests some policy implications which can enhance innovative export products of South Korea while enhancing R&D.

scholarly journals Impact of Cash Holding on Firm Performance with Moderating Role of Corporate Governance

2021 ◽  
Vol 6 (2) ◽  
pp. 87-99
Author(s):  
Naveed Anjum ◽  
Dr. Faisal Khan ◽  
Shoib Hassan ◽  
Dr. Muhammad Arif
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Unobserved Heterogeneity ◽  
Stock Exchange ◽  
Generalized Method Of Moments ◽  
Secondary Data ◽  
Cash Holding ◽  
Financial Firms ◽  
Moderating Role

The main aim of this research is to analyze the association between cashholding and firm performance with moderating role of corporate governance. For the purpose of analysis, secondary data of 145 non-financial firms listed at Pakistan Stock Exchange (PSX) is taken from 2006-2017. The dynamic Generalized Method of Moments (GMM) is applied to cater the problem of unobserved heterogeneity. The results of this study suggest that cash holding has a significant impact on firm performance. Moreover, corporate governance significantly moderates the relationship between cash holding and firm performance.

scholarly journals Divestiture strategy, CEO power and firm performance

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rayenda Khresna Brahmana ◽  
Hui-Wei You ◽  
Xhin-Rong Yong
Keyword(s):  
Firm Performance ◽  
Generalized Method Of Moments ◽  
Strategic Decision ◽  
Ceo Power ◽  
Content Type ◽  
And Performance ◽  
The Impact ◽  
The Relationship ◽  
Moderating Role

Purpose This study aims to examine the moderating role of chief executive officer (CEO) power on the relationship between divestiture strategy and firm performance by framing the relationship under the agency and power circulation theories. Design/methodology/approach This study focuses on a sample of 319 non-financial public-listed companies in Malaysia from the year 2012–2016 and estimates the model under two-step generalized method of moments panel regression to eliminate the endogeneity issue. Findings The results show that divestiture strategy decreased the firm performance. Meanwhile, greater CEO power changed that divestiture effect but still failed to increase the performance. This study also indicates the CEO power strengthens the relationship between firm performance and divestiture. Research limitations/implications The overall findings show that the positive moderating role of CEO power on the relationship between divestiture and performance. This research confirmed the agency and power circulation theories by showing that CEO power can make divestiture strategy works. However, the moderating plot tells different. CEO power may strengthen the relationship between divestiture and performance; it fails to boost up the performance in overall. Therefore, this study is about CEO power on the strategic decision and gives a good implication for corporate governance concerning the impact of CEO power on the organization’s alignment process. Originality/value This study examines the effect of CEO power on the performance of divestiture strategy implementation by contesting the agency and power circulation theories within an emerging country context.

scholarly journals The Moderating Role of Corporate Social Responsibility in the Association of Internal Corporate Governance and Profitability; Evidence from Pakistan

2021 ◽  
Vol 18 (11) ◽  
pp. 5830
Author(s):  
Jihai Lu ◽  
Sohail Ahmad Javeed ◽  
Rashid Latief ◽  
Tao Jiang ◽  
Tze San Ong
Keyword(s):  
Corporate Governance ◽  
Corporate Social Responsibility ◽  
Firm Performance ◽  
Social Responsibility ◽  
Social Problems ◽  
Audit Quality ◽  
Industrial Sector ◽  
Least Square ◽  
Corporate Social

At present, climate and other environmental problems are arising because of the development of the industrial sector at a large level. The industrial sector is supposed to be a major cause of climate change problems that lead to global warming. Therefore, corporate social responsibility (CSR) with the help of corporate governance is an imperative approach to control these social problems. Consequently, in the context of the organizational and management theory, agency theory, and the stakeholder theory, this study focuses on important factors of internal corporate governance such as chief executive officer (CEO) power, the board size, independence, ownership concentration, managerial ownership, and audit quality for improving the profitability of firms. Moreover, this study considers corporate social responsibility as a controlling and moderating factor for firm performance and internal corporate governance. We employed ordinary least square (OLS) for endogeneity testing, fixed effect (FE), generalized method of moments (GMM), and feasible generalized least square (FGLS) on data of Pakistani firms for the period of 2010–2019. The results of this study demonstrate the following outcomes: firstly, all internal corporate governance factors are positively linked with firm performance; secondly, corporate social responsibility (CSR) is the most valuable tool for improving profitability. Importantly, this study suggests that all internal corporate governance factors are positively linked with firm performance because of the interactive role of corporate social responsibility (CSR). This study practically contributes to the literature by suggesting the imperative role of corporate social responsibility (CSR) for internal corporate governance, which may help to reduce climate and social problems.

Ownership concentration and firm performance in Indian firms: does investor protection quality matter?

2018 ◽  
Vol 10 (1) ◽  
pp. 33-52 ◽  
Author(s):  
Nufazil Altaf ◽  
Farooq Ahamad Shah
Keyword(s):  
Firm Performance ◽  
Emerging Market ◽  
Investor Protection ◽  
Generalized Method Of Moments ◽  
Ordinary Least Squares ◽  
Ownership Concentration ◽  
Content Type ◽  
Dynamic Perspective ◽  
Moderating Role

Purpose The purpose of this paper is twofold: first, to investigate the relationship between ownership concentration and firm performance and, second, to determine the moderating role of investor protection quality on the ownership concentration-performance relationship from a dynamic perspective. Design/methodology/approach The study is based on secondary financial data of 236 Indian manufacturing firms obtained from CAPITALINE database, pertaining to a period of five years. This study uses ordinary least squares, fixed effects and two-step generalized method of moments (GMM) techniques to arrive at results. Findings Results of the study confirm the inverted U-shaped relationship between ownership concentration and firm performance and a significant positive effect of investor protection quality on firm performance. With regard to moderating role of investor protection quality on ownership concentration–performance relationship, results show that investor protection quality would significantly moderate the ownership concentration–performance relationship. Originality/value The study is a pioneer in proving that an inverted U-shaped relationship exists between ownership concentration and firm performance in an emerging market in general and India in particular. This study extends the corporate governance literature by examining ownership concentration–performance relationship in a dynamic perspective and in an unexplored market.

CEO Turnover, Network Effects, and Firm Performance

2020 ◽  
Vol 10 (2) ◽  
pp. 54-72
Author(s):  
Yanan Sun ◽  
Peiqin Zhang ◽  
David Wierschem ◽  
Francis A Mendez Mediavilla
Keyword(s):  
Firm Performance ◽  
Network Effects ◽  
Generalized Method Of Moments ◽  
Market Performance ◽  
Ceo Turnover ◽  
Superior Performance ◽  
Short Term ◽  
Moderating Role

This article applies network and organizational theory to examine the effect of CEO turnover on firm accounting and market performance in both short-term and long-term. In addition, this research investigates the moderating role of network effects using cluster analysis. Using a system generalized method of moments (GMM) estimation of panel data obtained from Compustat and S&P's Execucomp database, this study finds that it is less likely to have superior performance in the long-term for firms with frequent CEO turnover. While it is more likely to have better accounting performance over the short-term, but less likely to have superior market performance. This study further validates the moderating role of network effects. This article contributes to the research by providing new insights of CEO turnover effects on firm performance and investigating the moderation effect of network structure. The findings also provide practical suggestions for firms that experience frequent changes of their CEOs.

scholarly journals Conceptualizing the Moderating Role of CEO Power and Ownership Concentration in the Relationship between Audit Committee and Firm Performance: Empirical Evidence from Pakistan

2021 ◽  
Vol 13 (11) ◽  
pp. 6329
Author(s):  
Sohail Ahmad Javeed ◽  
Tze San Ong ◽  
Rashid Latief ◽  
Haslinah Muhamad ◽  
Wei Ni Soh
Keyword(s):  
Firm Performance ◽  
Audit Committee ◽  
Developing Economies ◽  
Generalized Method Of Moments ◽  
Positive Association ◽  
Least Square ◽  
Ownership Concentration ◽  
Fe Model ◽  
Ceo Power ◽  
Moderating Factors

Firms in developing economies generally find ways to enhance their reputation and growth in the international market. In this context, an Audit Committee (AC) is composed of multiple skilled members that control and monitor auditing activities and present a transparent image of their firm, which automatically attracts investors and builds investor confidence. Therefore, this study used CEO power and ownership concentration as moderating factors to examine the connection between AC and firm performance. For this purpose, this study used the data of Pakistani manufacturing firms for the period 2008 to 2018 and applied the Ordinary Least Square (OLS) method, the Fixed Effect (FE) model, and the Generalized Method of Moments (GMM). To check the robustness of the results, this study used a Feasible Generalized Least Square (FGLS) model. The findings of this study contended that AC and firm performance have a positive association with each other. Moreover, the findings revealed that CEO power positively influenced firm performance. Furthermore, lower ownership concentration is a valuable approach to maximize a firm’s performance. Importantly, the outcomes concluded that AC and firm performance have a positive connection with the moderating effects of CEO power. Moreover, AC and firm performance also have a positive association with the moderating effect of ownership concentration.

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