Research on the Impact of Information Security Certification and Concealment onFinancial Performance

With the rapid development of information technology, information security has been gaining attention. The International Organization for Standardization (ISO) has issued international standards and technical reports related to information security, which are gradually being adopted by enterprises. This study analyzes the relationship between information security certification (ISO 27001) and corporate financial performance using data from Chinese publicly listed companies. The study focusses on the impact of corporate decisions such as whether to obtain certification, how long to hold certification, and whether to publicize information regarding certification. The results show that there is a positive correlation between ISO 27001 and financial performance. Moreover, the positive impact of ISO 27001 on financial performance gradually increases with time. In addition, choosing not to publicize ISO 27001 certification can negatively affect enterprise performance.

Research on the Impact of Information Security Certification and Concealment on Financial Performance

With the rapid development of information technology, information security has been gaining attention. The International Organization for Standardization (ISO) has issued international standards and technical reports related to information security, which are gradually being adopted by enterprises. This study analyzes the relationship between information security certification (ISO 27001) and corporate financial performance using data from Chinese publicly listed companies. The study focusses on the impact of corporate decisions such as whether to obtain certification, how long to hold certification, and whether to publicize information regarding certification. The results show that there is a positive correlation between ISO 27001 and financial performance. Moreover, the positive impact of ISO 27001 on financial performance gradually increases with time. In addition, choosing not to publicize ISO 27001 certification can negatively affect enterprise performance.

Corporate Capacity

This chapter examines the ultra vires doctrine, under which the capacity of companies used to be limited by the objects stated in their memorandum. This doctrine could be justified through a concession style argument as well as through contractual analysis. The doctrine, however, proved unsuitable for the operation of commercial organizations. These organizations need flexibility, and the law adapted to the requirements of organizational action and now mandates that all non-charitable companies have unlimited capacity. The chapter then analyses the recent recommendation for companies to set themselves a purpose discouraging them form making the generation of financial return their primary objective. It argues that the programmatic statement of a corporate purpose is likely to bring about only cosmetic changes. If there is a desire for wider aims to be integrated into corporate decisions these would have to be institutionalized. This can be achieved, for example, by identifying a board member to represent these interests on the board.

M&A Movements: An Analysis of Patterns of Indian Trends

Indian industrial landscape had been completely redrawn by the forces of globalization, deregulation and unprecedented technological advancements for the last three decades. Corporate enterprises have responded to the competitive pressures unleashed by these forces through extensive repositioning activities involving corporate restructuring in general and mergers and acquisitions (M&As) in particular. This article has carried out a survey of Indian M&As for different industry groups by creating a database of 1990–2011 to find the presence of M&As waves in India. Empirical construct revealed the trends of Indian M&As for 24 industry groups and identified three distinct waves of M&As. The survey of Indian M&As has revealed that there was a significant reduction of Indian M&As in international deals than domestic deals during the economic recession period (2008–2009). Using VAR and VECM model, it emerged that M&As waves for different sectors of Indian industry move in the same cyclical pattern. Their behaviour, apparently independent corporate decisions, are most likely affected by the conditions of the economy, which may be changed by various macroeconomic factors which are in line with the findings of several other studies. This study contributes towards finding the answer to this question by establishing the underlying common factors that cause the cyclical behaviour in all the M&A waves. This article also establishes the basic interdependence and co-movements between the waves, and how this interdependence changed over time.

ESG Disclosure in an Emerging Market: An Empirical Analysis of the Influence of Board Characteristics and Ownership Structure

In the context of greater demand for corporate transparency, there is a growing pressure on boards to produce and communicate information to their investors and stakeholders. The current literature on integrated reporting shows that the provision of ESG information is a crucial factor that improves corporate governance by reducing agency problems. This issue is also critical in emerging economies, and particularly among Latin American firms. The concentration, opacity, and lack of evidence about ESG disclosure in less developed financial markets provide a promising environment to study the implications of board heterogeneity and ownership structure on strategic corporate decisions such as the disclosure of ESG indicators in developing economies. Using Tobit panel data models, we study how these factors affect the extent of ESG disclosure by Chilean listed firms. Our main results suggest that a board’s independence and gender diversity positively influence the extent of disclosure of ESG indicators. Our evidence helps firms concerned with strengthening their board’s features, investors that require screening firms’ ESG risk factors, and supports regulators’ decisions on setting norms regarding the extent of disclosure of ESG information by firms.

Prospect theory: an analysis of corporate actions and priorities in pandemic crisis

Purpose The purpose of this study is to examine and interpret the findings from different sources on the corporate decisions during COVID-19. Design/methodology/approach The COVID-19 is a new phenomenon; grounded theory research approach is adopted to develop propositions on prospect theory and strategic decisions. The paper examines and interprets the findings from different sources on the corporate decisions during COVID-19. Findings Conventionally, it is believed that innovation brings risks, and individuals preferred certainty over uncertainty, even if the gains under uncertainty were twice as high. But, the results of the study indicate a divergent trend. Under threat perceptions of risks, companies explore significant opportunities and possibilities for organizational growth. Practical implications The study provides a framework to analyze the strategic decisions of corporate enterprises. The decisions replicate value function as concave in a gain situation and convex in a loss realm in times of pandemic crises. Originality/value This paper uses “actions taken” by enterprises offering various solutions in the testing times. The study is multidisciplinary in nature; it analyses the transformation strategic decisions in the context of economic and social dimensions for surviving the pandemic crises. The study provides a foundation for future research, as inferences are based on select examples.

Theoretical and Methodological Foundations for Government Relations Research in Political Science

The rethinking of public policy in response to a rapidly changing world and economic development predetermined the relevance of studying the GR-activities of companies in the 21st century. Due to the fact that business-government relations have an interdisciplinary nature, political scientists need an appropriate methodological toolkit for their thorough study. Most of GR research are narrowly focused, and, as a result, are ineffective, since analyzing GR activities within the framework of one methodological paradigm leaves the consideration of GR as a system and its embeddedness in the political structure behind the scenes. In this regard, the results obtained do not provide either researchers or policymakers with comprehensive information on effective policy-making. The purpose of this article is to try to find a systemic methodology, enabling political scientists to display, describe and analyze GR-activities with the end of putting the findings into practice in order to improve the efficiency of these activities. The author examines the main paradigms and metatheories used by political scientists and argues for synthesizing theoretical and methodological approaches into a unified methodological system for GR research. The author comes to the conclusion that changes in research approaches to political GR research and in the thinking of researchers could potentially help improve the quality and effectiveness of preparing and implementing public and corporate decisions.