scholarly journals The Impact of Innovation Strategy on the Financial, Social and Environmental Performance

2021 ◽  
Vol 1 (1) ◽  
pp. 33-39
Author(s):  
Hamid Saremi ◽  
Masoud Mahmoudi ◽  
Mojtaba Soltaninezhad ◽  
Mohammad Hosseinpour
Keyword(s):  
Financial Performance ◽  
Environmental Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Social Performance ◽  
Point Of View ◽  
Innovation Strategy ◽  
Management Tools ◽  
Social And Environmental Performance ◽  
The Impact

The core purpose of this study is to investigate the effect of innovation strategy on financial, social and environmental performance of companies listed on the Tehran Stock Exchange (TSE). The information used is from 129 companies listed on TSE in different industries between 2011 and 2018 (1032 observations). In order to analyze the data, a multivariate regression test was used. The results showed a positive and significant relationship between innovation strategy on financial performance and environmental performance. Also, the relationship between innovation strategy and social performance has a positive but insignificant. Innovation tools are also among the few management tools that can have a positive impact on both financial performance and the company's environmental performance. In this research, an attempt has been made to look at the idea of innovation from a financial point of view, and its results in the long run indicate the right choice of management to invest in the company's research and development unit.

scholarly journals The Impact of Innovation Strategy on the Financial, Social and Environmental Performance

2021 ◽  
pp. 33-39
Author(s):  
Hamid Saremi ◽  
◽  
Masoud Mahmoudi ◽  
Mojtaba Soltaninezhad ◽  
Mohammad Hosseinpourh ◽  
...  
Keyword(s):  
Financial Performance ◽  
Environmental Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Social Performance ◽  
Point Of View ◽  
Innovation Strategy ◽  
Management Tools ◽  
Social And Environmental Performance ◽  
The Impact

The core purpose of this study is to investigate the effect of innovation strategy on financial, social and environmental performance of companies listed on the Tehran Stock Exchange (TSE). The information used is from 129 companies listed on TSE in different industries between 2011 and 2018 (1032 observations). In order to analyze the data, a multivariate regression test was used. The results showed a positive and significant relationship between innovation strategy on financial performance and environmental performance. Also, the relationship between innovation strategy and social performance has a positive but insignificant. Innovation tools are also among the few management tools that can have a positive impact on both financial performance and the company’s environmental performance. In this research, an attempt has been made to look at the idea of innovation from a financial point of view, and its results in the long run indicate the right choice of management to invest in the company’s research and development unit.

The impact of environmental performance on capital structure and firm performance: the case of Turkey

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ismail Kalash
Keyword(s):  
Capital Structure ◽  
Financial Performance ◽  
Stock Returns ◽  
Environmental Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Ordinary Least Squares ◽  
Content Type ◽  
The Impact ◽  
The Capital Structure

Purpose The purpose of this study is to investigate the effect of environmental performance on the capital structure and financial performance of Turkish listed firms. Design/methodology/approach This study used data of 49 firms listed on Istanbul Stock Exchange during the period between 2014 and 2019, resulting in 205 firm-year observations. The environmental performance data were drawn from the carbon disclosure project Turkey climate change reports. Ordinary least squares and binary logistic regression models were used to examine whether environmental performance impacts the capital structure and financial performance. Findings The findings of this research revealed that environmental performance significantly positively affects the firm leverage. Findings also showed that environmental performance has a significantly positive impact on return on assets, operating profitability and return on equity, but no significant impact on stock returns. Practical implications Given the increased borrowing costs for Turkish firms after the 2018 currency crisis in Turkey, the findings of this study are very important as they enable managers of Turkish firms to make better decisions related to capital structure and to understand the role of environmental performance in reducing the cost of debt and enhancing financial performance. Originality/value To the author’s knowledge, this research is the first to investigate the effect of environmental performance on capital structure in the Turkish context, and is one of few that explained how environmental performance affects the financial performance of Turkish firms.

Corporate Governance Mechanism on Financial Performance (Evidence from the Indonesia’s Listed State-owned Enterprises)

2021 ◽  
Vol 1 (1) ◽  
pp. 24-34
Author(s):  
Anak Agung Kompiyang Ratih Maldini ◽  
Pananda Pasaribu ◽  
Christian Haposan Pangaribuan
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Governance Structure ◽  
Board Independence ◽  
Governance Mechanism ◽  
Good Corporate Governance ◽  
Corporate Governance Mechanism ◽  
The Impact

Objective – This study aims to find the impact of privatization, which proxied by good corporate governance toward the financial performance of SOEs in Indonesia. Methodology – This study used 16 privatized SOEs that are listed in Indonesia Stock Exchange and also 16 privatized non-SOEs as the comparison. The data is collected from the year 2014 to 2018 and analyzed by using multiple regression panel data. Findings – This study found that director size and board independence have a positive impact toward SOEs financial performance. The director size and board independences have a positive significant impact toward the SOEs financial performance while the privatized non-SOEs is not significantly affected Novelty – This study examines proper governance structure in SOEs and non-SOEs, thus providing new insights about good corporate governance regulation in the Indonesian context.

scholarly journals Impact of Corporate Social Performance on Financial Performance: Case of Firms Listed on the Stock Exchange of Casablanca

2020 ◽  
Vol 2 (1) ◽  
pp. p51
Author(s):  
Lamia Jamel ◽  
Monia Ben Ltaifa ◽  
Ahmed K Elnagar ◽  
Abdelkader Derbali
Keyword(s):  
Financial Performance ◽  
Corporate Social Performance ◽  
Stock Exchange ◽  
Social Performance ◽  
Causal Link ◽  
Return On Equity ◽  
Linear Effect ◽  
Non Linear ◽  
Corporate Social ◽  
The Impact

This paper examines empirically the impact of corporate social performance (CSP) on financial performance (FP). The study relates to a panel of 32 firms listed on the Stock Exchange of Casablanca during the period of study from 2011 to 2017. The empirical findings obtained, by linear regressions on panel data, clearly find the lack of impact of the corporate social performance on the financial performance measured by the Return on Investment (ROI), Return on Equity (ROE) and Earnings Per Share (EPS) ratios. The influence of corporate social performance on financial performance is statistically insignificant. The financial performance of firms classified or not socially efficient are almost identical. Finally, the results obtained clearly show the absence of this causal link between corporate social performance (CSP) on financial performance (FP), which confirms the research hypothesis. Finally, since the relationship between these two performances could be non-linear, we can deepen this article using econometric methods that can analyze the non-linear effect such as quantile regression and the regime-change model.

scholarly journals The Impact of Corporate Social Responsibility on the Financial Performance of Listed Companies in Thailand

2021 ◽  
Vol 13 (16) ◽  
pp. 8920
Author(s):  
Muttanachai Suttipun ◽  
Pankaewta Lakkanawanit ◽  
Trairong Swatdikun ◽  
Wilawan Dungtripop
Keyword(s):  
Financial Performance ◽  
Negative Impact ◽  
Positive Impact ◽  
Stock Exchange ◽  
Panel Data Analysis ◽  
Descriptive Analysis ◽  
Listed Companies ◽  
Annual Reports ◽  
Corporate Social ◽  
The Impact

This study aims to: (1) investigate the amount of corporate social and environmental responsibility (CSR) spending, awards, and activities of listed companies in the Stock Exchange of Thailand (SET) and in the Market for Alternative Investment (MAI); (2) test the impact of CSR spending, awards, and financial performance activities; and (3) examine the amount of CSR spending, awards, and activities between companies with and without a CSR committee. The sample included all the listed companies in the resource industry from the SET and the MAI. The data were collected from the companies’ annual reports from 2015 to 2019. Descriptive analysis, an independent-sample t-test, a correlation matrix, and an unbalanced panel data analysis were used to analyze the data. The average level of spending per activity was 2.2964 million baht. There were, on average, 2.1741 awards and 11.4178 activities during the studied period. Moreover, there was a significant negative impact of CSR spending, and a positive impact of CSR awards and activities, on corporate financial performance. Finally, there was a significantly different amount of CSR spending, awards, and activities between the companies with and without a CSR committee. The findings of this study demonstrate that legitimacy theory can be used to explain the benefit of CSR to Thai-listed companies, although CSR is still a voluntary corporate responsibility in Thailand.

scholarly journals Female Directors, Family Ownership and Firm Performance in Jordan

2019 ◽  
Vol 11 (1) ◽  
pp. 206 ◽  
Author(s):  
Zaid Saidat ◽  
Claire Seaman ◽  
Mauricio Silva ◽  
Lara Al-Haddad ◽  
Zyad Marashdeh
Keyword(s):  
Firm Performance ◽  
Financial Performance ◽  
Family Firms ◽  
Negative Impact ◽  
Positive Impact ◽  
Stock Exchange ◽  
Least Square ◽  
Public Firms ◽  
Female Directors ◽  
The Impact

This study examines the impact of female directors on the financial performance of family and non-family Jordanian firms. A sample of 103 Jordanian public firms listed on Amman Stock Exchange for the time period 2009-2015 was selected. The study had a quantitative approach and used a panel data methodology. The data analysis was conducted using Ordinary Least Square Regression. ROA and Tobin’s Q were deployed as measurement of financial performance. The appointment of female directors does not have any significant impact on the financial performance of family firms. However, with regard to non-family firms, female directors appeared to have a negative impact on the performance of these firms. The impact of female directors on family firm performance merits further research in the context of different countries and cultures. Appointments based on qualifications and expertise is more likely to have a positive impact. Jordan is an under-researched area where the impact of female directors on the firm performance would merit further research. Differentiating between the impact of female directors on family and non-family firms would also merit further research, especially in the context of the conditions under which they are appointed.

scholarly journals Empirical Analysis of Corporate Sustainability Performance: Linkage of Japanese Firms' Environmental and Economic Performance

2017 ◽  
Vol 3 (2) ◽  
Author(s):  
K. Gnanaweera ◽  
N. Kunori
Keyword(s):  
Financial Performance ◽  
Observational Data ◽  
Firm Size ◽  
Environmental Performance ◽  
Stock Exchange ◽  
Corporate Sustainability ◽  
Japanese Firms ◽  
Tokyo Stock Exchange ◽  
The Impact ◽  
The Relationship

The linkage between Corporate Environmental Performance (CEP) and Corporate Financial Performance (CFP) has been a long-standing debate since all previous efforts achieved inconsistent results. The current study therefore attempts to present the relationship between corporations’ environmental and financial performance to explore the notion of Corporate Social Responsibility (CSR) in a developed nation. This case derives empirical observational data from corporate sustainability reports and integrated annual reports of Japanese firms. The sample is comprised of observational data of a total of 85 Japanese corporations from 2008 to 2014. The selected firms are listed on the Tokyo Stock Exchange in the first section of the market division and are categorized under various industrial sectors. The effort of the current study has revealed that corporate environmental measurements have different effects on financial performance. The evidence was less strong in evaluating the impact level of all variables except firm size (total assets). Three hypotheses (H1, H2, and H3) were developed for further evaluation of the effect of financial indicators on environmental performance. H1 was accepted since environmental performance has a significant impact on firm size. However, the rejected H2 and H3 state that environmental performance has no significant impact on financial leverage and profitability, due to the weak relationship or insignificant outcome, i.e. in the profitability measurement, only Return on Sales (ROS) showed positive correlation between particular CEP variables, but the coefficient of determination (R2 value) does not support the ROS contribution for every model in the study. The other two profitability ratios (return on assets and return on equity) have less contribution. Both the relationship between environmental performance and financial performance according to R2 values and the relationship between CEP and CFP are broad spectrums that yet to be explored.KeywordsCorporate, Environmental, Financial, Sustainability, Tokyo Stock Exchange

scholarly journals Pengaruh Sustainability Report dan Foreign Investment Terhadap Financial Performance

SKETSA BISNIS ◽  
2019 ◽  
Vol 6 (1) ◽  
pp. 43-58
Author(s):  
Renwi Noviantini
Keyword(s):  
Financial Performance ◽  
Economic Performance ◽  
Environmental Performance ◽  
Sampling Method ◽  
Stock Exchange ◽  
Social Performance ◽  
Foreign Ownership ◽  
Sustainability Report ◽  
Research Show ◽  
Selection Of

English Sustainability is a crucial issue for corporate world today. In Indonesian sustainability report research trends are increasing as well as the increasing of companies that publish sustainability report. The aim of this study is to determine the effect of the sustainability report disclosure (Which difined as economic performance disclosure, environmental performance disclosure and social performance disclosure) and foreign ownership to financial performance (ROA).The population of this research is the LQ 45 listed on the Indonesia Stock Exchange and consistently publish the annual report and sustainability report in 2013-2015. The selection of this sample uses purposive sampling method. They are 17 companies with total 51 samples of research. Data is analyzed by using classic assumption test and multiple linear regression. The results of this research show that the economic performance disclosure and social performance disclosure have significant effect to financial performance (ROA). While the environmental performance disclosure and foreign ownership have no significant effect to financial performance (ROA). Keywords: Economic Performance Disclosure, Environmental Performance Disclosure, Social Performance Disclosure, Foreign Ownership, Financial Performance (ROA). Indonesia Sustainability merupakan isu krusial bagi dunia usaha saat ini. Di Indonesia tren penelitian sustainability report semakin meningkat seiring dengan meningkatnya jumlah perusahaan yang mempublikasikan sustainability report. Penelitian ini bertujuan untuk mengetahui pengaruh sustainability report (yang didimensikan sebagai pengungkapan kinerja ekonomi, pengungkapan kinerja lingkungan, dan pengungkapan kinerja sosial) dan kepemilikan asing terhadap kinerja keuangan. Populasi dalam penelitian ini adalah perusahaan LQ 45 yang terdaftar di Bursa Efek Indonesia dan konsisten mempublikasikan laporan tahunan dan sustainability report pada tahun 2013-2015. Pemilihan sampel ini menggunakan metode purpose sampling. Sebanyak 17 perusahaan dengan total 51 sampel penelitian. Analisis datadalam penelitian ini menggunakan regresi linear berganda.Hasil penelitian ini menunjukkan bahwa pengungkapan kinerja ekonomi dan kinerja sosial berpengaruh signifikan terhadap kinerja keuangan (ROA). Sedangkan pengungkapan kinerja lingkungan dan kepemilikan asing tidak berpengaruh signifikan terhadap kinerja keuangan (ROA). Kata Kunci: Pengungkapan Kinerja Ekonomi, Pengungkapan Kinerja Lingkungan, Pengungkapan Kinerja Sosial, Kepemilikan Asing, Kinerja Keuangan (ROA).

scholarly journals The Impact of Economic Indicators on Financial Performance of Non-financial Firms on Ghana Stock Exchange

2020 ◽  
pp. 151-169
Author(s):  
Mary Donkor ◽  
Yusheng Kong ◽  
Stephen Kwadwo Antwi ◽  
Mohammed Musah ◽  
Florence Appiah Twum
Keyword(s):  
Financial Performance ◽  
Inflation Rate ◽  
Positive Impact ◽  
Stock Exchange ◽  
Economic Indicators ◽  
Company Size ◽  
Sales Growth ◽  
Financial Firms ◽  
Ghana Stock Exchange ◽  
The Impact

Financial performance is one of the basic indicators that investors and creditors check in accessing the performance of firms. The purpose of this paper is to empirically examine the impact of economic indicators on financial performance of quoted non-financial firms on the Ghana Stock Exchange (GSE). The study focuses on the impact of RealGDP, Exchange rate, Inflation, Unemployment and Interest rate as determinant of economic indicators whereas Sales growth, Company size, Leverage and Efficiency from firms specific are used as controlled variables in checking the effect of these indicators on financial performance of these firms. ROA and ROE were used as proxies for financial performance of the listed firms. The study employed a panel data of 21 listed non-financial firms from the period of 2008 to 2017. The result revealed that Real GDP and inflation have significant positive impact on ROE. On the contrarily, economic indicators used for this study showed no level of significance with ROA. Company size recorded positive and negative significant impact on ROA and ROE respectively, sales growth and efficiency were statistically significant with ROA. The study recommends government and regulatory authorities to come out with good policies that will help boost the economic activities in the country and drop inflation rate since they have the tendency of affecting non-financial firms’ performance. Moreover, management must ensure full utilization of its internal resources by focusing on diversification and expansion since company size, efficiency and sales growth affect the return on assets and equity of firms. In addition, management should warily consider inflation rate when making financial decision due to its impact on financial performance.

scholarly journals Model Triple Bottom Menuju Kinerja Keuangan

2021 ◽  
Vol 7 (2) ◽  
pp. 166-179
Author(s):  
Hermanto Hermanto
Keyword(s):  
Economic Performance ◽  
Environmental Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Social Performance ◽  
Linear Regression Analysis ◽  
Multiple Linear Regression Analysis ◽  
Annual Reports ◽  
Return On Assets ◽  
Independent Variable

The study conducted to identify effect of Sustainability Report, Environmental Performance-GRI200, Economic Performance-GRI300, and Social Performance-GRI400 related to Return on Assets in organizations included in the ASSRAT nominations for 2017-2019 both together and individually. Judgment sampling sampling method. The sample of this research is 20 corporate entities included in the ASSRAT nomination and registered on the Indonesia Stock Exchange (IDX) with a sample of 60 data. The type of data is secondary from sources of financial information and annual reports. Multiple linear regression analysis method. The findings of this study are based on the results of the f test, the independent variable has a simultaneous effect on Return on Assets. Partially Environmental Performance- GRI 200 and Economic Performance- GRI 300 have a positive impact on Return on Assets, Companies that are included in the ASSRAT nomination pay more attention to aspects of the company's Economic Performance so that the old Corporate Relations paradigm is still adopted by companies that are nominated by ASSRAT. Companies in the ASSRAT nomination do not only pay attention to profits but also pay attention to aspects of environmental performance so that they can improve the company's image in the eyes of stakeholders.

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