Analysis of Capital Relationships and Financial Statement Disclosures on the Net Profit Margin of Insurance Companies

The survey results on disclosure of financial statements, there were managers who did not disclose their intangible assets. Judging from the development of financial accounting standards No. 19 which states that not many companies have disclosed it. The phenomenon develops along with these standards. The research objective is to assess the intellectuals of this standard. The purpose of this study is to analyze capital relations and disclosure of financial statements on the margin on net income. The objects of this research are eleven insurance business units. Collecting data from reference books and journals as well as financial statement. Analysis of the data used with the help of partial tests and concurrent testing. Based on the processed data, relationship capital has no impact on margins. Meanwhile, disclosure of financial statements has an impact on net income. And the results together have an effect on the margins on net income.

How to build employees' relationship capital through different enterprise social media platform use: the moderating role of innovation culture

PurposeThe purpose of the present study is to build a research model to study how the use of different enterprise social media platforms affects employees' relationship capital, and the moderating role of innovation culture is also examined.Design/methodology/approachStructural equation modeling was performed to test the research model and hypotheses. Surveys were conducted in an electronic commerce company in China that uses different social media platforms, generating 301 valid responses for analysis.FindingsFirst, private social media used for work-related purposes can contribute to employees' relationship capital, and public social media QQ used for work-related purposes can contribute to employees' communication quality. WeChat used for social-related purposes has a positive effect on employees' information exchange. Second, innovation culture acts as a positive moderator between work-related media use and employees' information exchange, while innovation culture acts as a negative moderator between social-related WeChat use and employees' information exchange. Third, innovation culture acts as a positive moderator between work-related QQ use and employees' trust, while innovation culture acts as a negative moderator between social-related QQ use and employees' trust.Originality/valueFirst, this paper contributes to the information system (IS) social media literature by studying the effect of the use of different enterprise social media platforms used for different purposes on employees' relationship capital. Second, the authors contribute to relationship capital theory by clarifying that use of public and private social media platforms for social- and work-related purposes is an important driver of the formation of employees' relational capital. Third, the present study also contributes to enterprise social media literature by confirming that innovation culture acts as a different moderator between use of different enterprise social media platforms and employees' relationship capital.

ENVIRONMENT TURBULENCE EFFECT ON THE DYNAMICS OF INTELLECTUAL CAPITAL ACCUMULATION AND AMBIDEXTROUS INNOVATION

The aim of this paper is to study the influence of the environment on the link between intellectual capital and ambidextrous innovation. The environment has been considered taking into account the technological turbulence and the market turbulence. Using a questionnaire survey approach, data were obtained from 155 directors representing Tunisian SMEs. Two main theoretical implications were highlighted. The first is the extent of the intellectual capital contribution, with its human, organizational and relational components, to the reading of the ambidextrous innovation within the organization. The second is the moderating role of environmental turbulence. From a practical side, the study tried to reap the intellectual capital benefits and the intermediate effect of environmental turbulence to improve the manager’s yields in term of innovation. Interestingly, results show that human capital affects ambidextrous innovation. It influences radical innovation more than incremental innovation. Relationship capital promotes only incremental innovation. Organizational capital influences ambidextrous innovation. Its effect on incremental innovation is greater than on radical innovation. Both technological and market turbulences moderate negatively the human capital effect on incremental innovation. Counter to our expectations, however, environmental turbulence does not moderate the interrelationships selectively between relational capital, organizational capital and ambidextrous innovation. The present study is one of the few studies conducted in Tunisia investigating the field of intellectual capital and the first studying its effect on the ambidextrous innovation in a turbulent environment.

Theoretical Foundations of the Relationship Management Mid-Range Theory

In this chapter the domain of relationship management (RM) is discussed and the notion of the RM mid-range theory is introduced. The first section highlights the socio-economic duality of RM and presents the core characteristics of the RM business model. The diversity of partly overlapping relational constructs is commented on, and a uniform semantic programme for RM is proposed that links the notion of relationship capital and three RM dimensions: structural, psychological and behavioral. In the second section, the role of mid-range theories in linking macro and micro theoretical levels is presented. The theoretical boundaries (the content) of the envisioned RM mid-range theory are outlined, which link the RM business model, the key relational activities and approaches, and business performance. A hypothetical system of theories for competitive advantage is drafted, where the general theory level is occupied by the Resource-Advantage Theory of Competition followed by the upper mid-range theory level; where the RM mid-range theory is placed, completed by the specific market type mid-range theory level; and where network-based and market-based relational theories are positioned.

The Relationship Between Capital Structure and Performance in Islamic Rural Bank (BPRS): Evidence Indonesia

The capital structure is important for financial institutions including Sharia Rural Bank (BPRS). However, BPRS has a problem that is the limited capital owned so that it affects performance. The main objective of this paper is to investigate the relationship capital structure and performance of the Islamic Rural Banks (BPRS) in Indonesia. The study using panel data regression to measure the capital structure on performance. The research sample used 164 BPRS that operate in 33 provinces from 2010 until 2017. The results show that capital structure affects DER (debt to equity ratio) and DAR (debt to asset ratio), but negatively affects ETA (equity to total Asset ratio). These findings indicate that there is an increase in the capital structure of the performance of the BPRS in Indonesia. Hence, bank managers must reach a trade-off between the advantages and disadvantages of creating liquidity, and consider the negative relationship between liquidity creation and bank performance when making decisions.

Integrated Reporting: It‟s Impact on Value Creation

Corporate reporting provides the comprehensive picture of an organisation’s performance and position to the stakeholders. In the recent years, corporate reporting has seen a major changes and it has evolved from the financial reporting to the integrated reporting (IR). IR is a corporate reporting reform practised recently by many big companies all over the world. In a precise way, IR has combined the financial report and sustainability report, thus making it more integrated and transparent. Integrated report focuses on the six capitals in a broad way and their value creation for the company over the years. This article has examined many recent research articles to find out the research progress in the area of IR. Analysis of data of 12 companies in six sectors has been made to analyse the value creation of these companies in six capitals. It is observed that the score of reporting for human capital, social and relationship capital, and financial capital was better as compared to intellectual capital, manufacturing capital and natural capital.

Human Capital, Social Capital, and Farmers’ Credit Availability in China: Based on the Analysis of the Ordered Probit and PSM Models

Rural credit is very important to the increase of farmers’ income and the development of rural economy, and it has attracted wide attention from scholars. Many scholars have paid attention to the impact of social capital on farmers’ credit availability, but the research conclusions have not yet been unified. In addition, human capital is also one of the important factors that scholars pay attention to. However, the research mainly focuses on farmer education and pays less attention to their health. Based on the China Household Income Project (CHIP2013) database, we evaluated the impact of human capital (education and health of farmers) and social capital on the credit availability of farmers. To ensure the robustness of our results, we used both the ordered probit model and the propensity score matching (PSM) model to carry out the estimations. Therefore, the study not only improves the research framework of the impact of human capital on farmers’ credit availability, but also uses a more accurate method to estimate the net impact of social capital on farmers’ credit availability. The results showed that, firstly, in terms of human capital, farmers’ educational and health levels have a significant positive impact on their formal credit availability, but no significant impact on their informal credit availability. In particular, farmers with a high school education or above are more likely to obtain a formal loan. Secondly, in terms of social capital, interpersonal relationship capital and political relationship capital are beneficial for farmers obtaining loans from formal and informal channels. Organizational relationship capital only has a more significant positive impact on the informal credit availability of farmers. These results imply that formal financial institutions not only pay attention to farmers’ human capital but also their social capital to reduce the risk of lending. However, informal lenders, that is, relatives or friends, pay more attention to the social capital of farmers.

Exploring the Impact of Organizational Implants of a Manufacturing Company on Service Innovation in the context of big data: A case study of XI’AN SHAANGU POWER

Service innovation has become an important way for manufacturing companies to obtain and maintain their competitive advantages. Organizational implants have been proven to enhance service innovation in manufacturing companies, while the rise of big data offers new opportunities for it. This study aims to explore the impact path from organizational implants of a manufacturing company to service innovation in the context of big data with the application of Single Case Study Method, and XI’AN SHAANGU POWER is selected as research object. The findings are suggested as follows: (1) There are two ways of organizational implants to achieve service innovation for manufactures. One is employee implants, and the other is device implants. (2) Employee implants can create relationship capital, and device implants can generate data resources. (3) Relationship capital has a direct and indirect positive impact on service innovation through professional knowledge acquisition and customer demands mining. (4) Data resources have an indirect positive impact on service innovation through customer demands mining and product technology upgrading.