scholarly journals Towards a More Transparent Disclosure for Corporate Sustainability: Focusing on the Regulation of Unfaithful Disclosure Designation

2019 ◽  
Vol 11 (22) ◽  
pp. 6460
Author(s):  
Jaehong Lee ◽  
Eunjoo Cho ◽  
Jong Sung Park
Keyword(s):  
Corporate Governance ◽  
Stock Market ◽  
Voluntary Disclosure ◽  
Fixed Effects ◽  
Corporate Sustainability ◽  
Management Forecasts ◽  
Fixed Effects Regression ◽  
Nonfinancial Firms ◽  
Mediation Modeling

This study explored the effect of corporate governance on disclosure transparency, coming from the changes of the largest shareholder and the designation as an unfaithful disclosure firm. In addition, the study verified whether this designation on a firm increases voluntary disclosure level the following year. According to results of analyzing nonfinancial firms listed in the Korea stock market from 2009 to 2017, the more frequently the largest shareholder changed in the recent three years, the significantly higher the possibility of the firm in being designated as an unfaithful disclosure firm. For firms that were designated as unfaithful disclosure firms, voluntary disclosure significantly increased the following year. These results were strengthened by the addition of several more analyses including quality of management forecasts, consideration of fixed-effects regression and the mediation modeling. These results imply the necessity for the supervision of authorities to take caution, while it shows the effectiveness of the unfaithful disclosure designation regulation in improving disclosure transparency.

scholarly journals The Impact of the Technological Capability of a Host Country on Inward FDI in OECD Countries: The Moderating Roles of Institutional Quality

2020 ◽  
Vol 12 (22) ◽  
pp. 9711
Author(s):  
Seunghyun Kim ◽  
Byungchul Choi
Keyword(s):  
Host Country ◽  
Fixed Effects ◽  
Institutional Quality ◽  
Oecd Countries ◽  
Technological Capability ◽  
Government Size ◽  
Fixed Effects Regression ◽  
The Impact ◽  
Dynamic Links

This empirical study explores the impacts of technological capability on inward foreign direct investment (FDI) with the moderations of institutional quality. We extend the existing literature by contributing the dynamic links between technology trade and institutional quality by using the panel data of 35 Organization for Economic Cooperation and Development (OECD) countries between 2000 and 2015. Based on fixed-effects regression, our results show that there is a U-shape relationship between the net technological capability of a host country and inward FDI. In addition, the institutional quality of a host country, government size and regulation have positive moderations, whereas sound money accessibility and legal system and property protection have negative moderations on the main U-shape relationship. Our study contributes to the literature on the determinants of inward FDI in the context of technological capabilities and institutional quality.

Civil Money Penalty Enforcement Actions for Quality Deficiencies in Nursing Homes

2019 ◽  
Vol 60 (5) ◽  
pp. 868-877
Author(s):  
Xiaochuan Wang ◽  
Denise Gammonley ◽  
Felicia Bender
Keyword(s):  
Quality Of Life ◽  
Nursing Homes ◽  
Fixed Effects ◽  
State Level ◽  
Regulatory Oversight ◽  
Cross Sectional ◽  
For Profit ◽  
Profit Status ◽  
Fixed Effects Regression

Abstract Background and Objectives Civil money penalties (CMP) are fines collected by CMS. A portion of these CMPs are redistributed to states for purposes including improving resident care and quality of life through reinvestment in quality improvement projects. This study examined state variation in civil money penalty enforcement actions for quality of life (QOL) and quality of care (QOC) deficiencies in nursing homes. Research Design and Methods 2015–2016 cross-sectional CASPER nursing home survey data obtained from the CMS QCOR database were used to explore the pattern of enforcement actions for QOL and QOC deficiencies across states. Fixed effects regression models examined relationships between state-level characteristics, quality deficiencies, and enforcement actions imposed by states. Results State enforcement actions resulting in a CMP were more likely for QOC deficiencies (M = 0.143, SD = 0.097) than for QOL deficiencies (M = 0.070, SD = 0.056) and states exhibited variability in imposing enforcement actions. The presence of severe QOC deficiencies resulting in actual resident harm contributed to CMP enforcement actions for both QOL and QOC deficiencies. States with primarily for-profit status providers had more enforcement actions. Discussion and Implications The variability noted in state enforcement for quality deficiencies actions parallels inconsistencies in state regulatory oversight of nursing homes.

Corporate Social Performance and Governance Quality Across the BRICS Countries

2021 ◽  
pp. 41-70
Author(s):  
Sinem Ates
Keyword(s):  
Fixed Effects ◽  
Corporate Social Performance ◽  
Social Performance ◽  
Social Responsibilities ◽  
Brics Countries ◽  
Governance Quality ◽  
Fixed Effects Regression ◽  
Corporate Social ◽  
Positive Effect

This chapter seeks to examine the level of corporate social performance of the BRICS companies and investigate the effect of the country's governance quality on the environmental, social, and governance (ESG) performance of the companies. Analysis of the BRICS companies' ESG scores for 2009 - 2018 indicated that the level of ESG performance in the BRICS countries differs from each other considerably. Overall, results of fixed effects regression analysis revealed that governance quality of countries has a positive effect on ESG scores of companies. Based on these findings, it was suggested to improve governance quality thereby encouraging companies to fulfill their social responsibilities.

On the compliance of the provisions of Article 185.4 of the Criminal Code of the Russian Federation with the laws of corporate governance

2020 ◽  
pp. 503-514
Author(s):  
Nikolay Ryzhenkov
Keyword(s):  
Corporate Governance ◽  
Stock Market ◽  
Russian Federation ◽  
Criminal Law ◽  
Criminal Code ◽  
Systematic Analysis ◽  
Judicial Practice ◽  
The Russian Federation ◽  
Design And Application

Raiding, along with corruption, has long been one of the most pressing problems for domestic business. For incomprehensible reasons, in contrast to the corruption crimes, which received due attention from the legislator and legal scholars, crimes committed in the stock market, after their reckless introduction, have been deprived of attention for almost a decade. At the same time, the most dangerous methods of raider seizures currently do not fall under criminal law prohibitions at all, and the existing prohibitions, in turn, have such a low legal potential that leaving this problem without atten-tion raises serious concerns. We consider the design and application of Article 185.4 of the Criminal Code of the Russian Federation – Obstruction or illegal restriction of the rights of securities holders, intended to become the “flagship” of anti-raiding legislation. Through a systematic analysis of the prescriptions of the criminal law and a few judicial practice, we identify the low quality of criminal law prohibitions included in Article 185.4 of the Criminal Code of the Russian Federation, we establish and substantiate the impossibility of causing damage in the required amount, we prove the lack of practical need for the relevant norm, we formulate a proposal for its exclusion from the text of the criminal law in full.

Corporate governance and the quality of voluntary disclosure: Evidence from medium-sized listed firms

2013 ◽  
Vol 12 (2) ◽  
pp. 144-166 ◽  
Author(s):  
Giovanni Satta ◽  
Francesco Parola ◽  
Giorgia Profumo ◽  
Lara Penco
Keyword(s):  
Corporate Governance ◽  
Voluntary Disclosure ◽  
Listed Firms

scholarly journals Corporate governance: Theories, mechanisms and the case of oil and gas exporting developing countries

2021 ◽  
Vol 18 (3) ◽  
pp. 86-103
Author(s):  
Arash Faizabad ◽  
Mohammad Refakar ◽  
Claudia Champagne
Keyword(s):  
Developing Countries ◽  
Corporate Governance ◽  
Voluntary Disclosure ◽  
Oil And Gas ◽  
Governance Mechanisms ◽  
Governance Practices ◽  
External Governance ◽  
Low Levels ◽  
Conclusion Section

This paper reviews the literature on the quality of corporate governance practices in the oil and gas exporting developing countries (Russia, Venezuela, Nigeria, the MENA, and the GCC countries). We investigate if the internal and external governance mechanisms function efficiently in these countries. The findings of the reviewed literature show that the quality of corporate governance practices in the countries of our focus is not efficient at internal and external levels. Regarding the internal mechanisms, weak governance mechanisms originate from low transparency levels and give rise to poor voluntary disclosure in the firms. However, some internal mechanisms are more efficient in some of these countries as presented in the conclusion section. Regarding the inefficiency of external mechanisms, all the studied countries share common characteristics with respect to weak legal systems, inefficient law enforcement infrastructures, and low levels of protection for properties, investors, and shareholders especially the minority ones

scholarly journals The impact of the corporate governance quality on the dividend policy of companies in the BRICS countries

2021 ◽  
Vol 2 (2) ◽  
pp. 84-106
Author(s):  
Maria Khamidullina ◽  
Svetlana Makarova
Keyword(s):  
Corporate Governance ◽  
Fixed Effects ◽  
Dividend Policy ◽  
Poor Quality ◽  
Public Corporations ◽  
Brics Countries ◽  
Dividend Payments ◽  
Corporate Governance Quality ◽  
The Impact

The article presents the results of a study aimed at determining the nature of the influence of the quality of corporate governance on the dividend policy pursued by companies in the BRICS countries. This relationship is determined based on empirical research on a sample of 122 large public corporations of the BRICS countries (based on 610 observations) for the period from 2015 to 2019. The study uses Tobit, random effects, fixed effects, and OLS. The results of this study show that the quality of corporate governance significantly negatively correlates with dividend payments of companies. This means that companies in the BRICS countries adhere to the dividend substitution model (proposed by La Porta), or, in other words, compensate for the poor quality of corporate governance with high dividend payments. Taking into account the results of the study, in the final part of the article, the main methods of improving the quality of corporate governance are proposed, which can contribute to increasing the value of companies in the BRICS countries.

The role of the board in voluntary disclosure

2018 ◽  
Vol 18 (5) ◽  
pp. 886-910 ◽  
Author(s):  
Giovana Bueno ◽  
Rosilene Marcon ◽  
Andre Leonardo Pruner-da-Silva ◽  
Fabio Ribeirete
Keyword(s):  
Voluntary Disclosure ◽  
Fixed Effects ◽  
Quantitative Research ◽  
Stock Exchange ◽  
Statistical Significance ◽  
Chief Executive ◽  
Content Type ◽  
Theoretical Contribution ◽  
Negative Effect ◽  
Fixed Effects Regression

Purpose Since 2012, the Brazilian Stock Exchange has recommended that listed companies inform them if they have conducted voluntary disclosure. The purpose of this study is to describe the voluntary disclosure by companies listed in the B3 in Brazil and to analyze which characteristics of the board of directors influence this disclosure. Design/methodology/approach The study involves quantitative research using a sample of 285 companies and 575 reports from 2011 to 2014. A fixed-effects regression model with panel data was used for the analysis. Findings The results were statistically significant for gender and duality variables, which confirms the theory that the presence of women as members of the board positively influences voluntary disclosure and that chief executive officer and chairman of the board positions have a negative effect. The age and independence of the board variables did not present statistical significance. Research limitations/implications As a theoretical contribution, the authors aim to complement sustainability, finance and strategy research by using agency theory and measuring the variable of voluntary disclosure and the board, which is rarely studied in this context. Practical implications As social and empirical contributions, a better understanding of this theme in the context of emerging countries, which is the peculiarities of Brazil with little information transparency and well-known corruption scandals, is likely to aid investors. Increased access to company information can help investors better select their investment portfolios and assist in the choice of their board representatives in companies in which they have participation and voting rights. Originality/value The fact that Brazil is an emerging country, where the lack of transparency of information and corruption in these environments stand out the importance of studying the subject of voluntary disclosure in this context. All data were collected manually specifically for this research.

Corporate governance and generalist CEOs: evidence from board size

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pattanaporn Chatjuthamard ◽  
Viput Ongsakul ◽  
Pornsit Jiraporn ◽  
Ali Uyar
Keyword(s):  
Corporate Governance ◽  
Agency Costs ◽  
Fixed Effects ◽  
Governance Mechanism ◽  
Managerial Ability ◽  
Board Size ◽  
Content Type ◽  
Instrumental Variable Analysis ◽  
The Board Of Directors ◽  
Fixed Effects Regression

Purpose The purpose of this study is to contribute to the debate in the literature about generalist CEOs by exploring the effect of board governance on CEO general managerial ability, focusing on one of the most crucial aspects of the board of directors, board size. Prior research shows that smaller boards constitute a more effective governance mechanism and therefore are expected to reduce agency costs. Design/methodology/approach The authors estimate the effect of board size on CEO general managerial ability, using a fixed-effects regression analysis, propensity score matching, as well as an instrumental-variable analysis. These techniques mitigate endogeneity greatly and make the results much more likely to show causality. Findings The results show that firms with smaller board size are more likely to hire generalist CEOs. Specifically, a decline in board size by one standard deviation raises CEO general managerial ability by 15.62%. A lack of diverse experiences in a small board with fewer directors makes it more necessary to hire a CEO with a broad range of professional experiences. Furthermore, the agency costs associated with generalist CEOs are greatly diminished in firms with a smaller board. Hence, firms with a smaller board are more inclined to hire generalist CEOs. Originality/value Although prior research has explored the effects of board size on various corporate outcomes, strategies and policies, this study is the first to investigate the effect of board size on CEO general managerial ability. This study contributes to the literature both in corporate governance and on CEO general managerial ability.

scholarly journals The Link between Board Structure, Audit, and Performance for Corporate Sustainability

2020 ◽  
Vol 12 (20) ◽  
pp. 8408
Author(s):  
Ovidiu-Constantin Bunget ◽  
Dorel Mateș ◽  
Alin-Constantin Dumitrescu ◽  
Oana Bogdan ◽  
Valentin Burcă
Keyword(s):  
Corporate Governance ◽  
Fixed Effects ◽  
Audit Committee ◽  
Stock Exchange ◽  
Corporate Sustainability ◽  
Board Structure ◽  
Social Transformations ◽  
Warsaw Stock Exchange ◽  
Athens Stock Exchange ◽  
The Impact

The economic and social transformations, the bankruptcies recorded, and the financial crisis affecting all economies have increased the interest for the corporate governance concept. Our intention in this paper was to study the impact of corporate governance attributes on performance given the information published by the entities listed on five stock exchanges from Europe, namely the main market from Bucharest Stock Exchange (BSE) in Romania, the Athens Stock Exchange(ATHEX) main market in Greece, Financial Times Stock Exchange 100 Index (FTSE 100) from Great Britain, Spanish Stock Exchange 35 Index (IBEX 35) from Spain, and Warsaw Stock Exchange 20 Index (WIG 20) from Poland, between 2016–2018. Through mathematical modeling and multiple linear regression, we aimed to determine the extent to which corporate governance characteristics, firm characteristics, industry and stock market fixed effects, and random effects influence the performance of 226 entities included in our sample. The empirical findings revealed that CEO duality, the number of non-executive directors and women on board, audit committee, and audit opinion influenced performance measured by the Return on Assets (ROA) and Return on Equity (ROE) indicators. The ideas highlighted and the results obtained in this research contribute to the literature that analyzes the extent to which an effective governance determines the increase in performance, needed for a sustainable development.

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