Do spin-offs signal an effective restructuring strategy to shareholders? A global study on the short- and long-term performance of parent companies

The disclosure of carbon emissions and the application of Green Accounting in corporate sustainability reports is voluntary. This means that companies have the freedom to disclose the extent of their role in environmental sustainability. This study aims to determine the effect of carbon emission disclosure and Green Accounting on company performance with the SDGS variable as a mediator. The sampling technique uses purposive sampling, which consists of 21 companies. The results of the data analysis concluded that the companies with the highest carbon emissions are companies in the infrastructure sector, the companies that incur the highest environmental costs are companies in the energy sector, carbon emissions disclosure has no effect on company performance, carbon emissions disclosure has no effect on SDGs disclosure, Green Accounting is having a significant impact on company performance, Green Accounting has a significant effect on SDGs disclosure, SDGs have a significant effect on company performance, SDGs are unable to mediate the impact of Green Accounting on company performance, and SDGs are unable to mediate the effect of carbon disclosure on company performance. The results of this study prove that the highest carbon-producing company does not automatically become the most responsible company for environmental management. This study has important implications for companies, the government, and investors in Indonesia. Companies are advised to implement Green Accounting and SDG disclosure as part of a long-term sustainability strategy to improve their financial performance and corporate image. To encourage businesses to be more environmentally friendly, the government needs to make rules and rewards stricter when it comes to lowering carbon emissions. We advise investors to weigh SDG disclosure alongside short-term financial performance when assessing a company's long-term performance.

PurposeThis paper aims to explore how management control systems (MCS) of an operating company (Delta Lanka) of a multinational corporation (MNC) is shaped through the interplay between external institutional influences via global prescriptions stemming from the parent company culture and localisation needs as suited to cultural context of the operating company through the agency of practice level actors.Design/methodology/approachTheoretically, the paper draws upon institutional theory, more specifically the notions of external institutions and agency of practice level actors, while methodologically, it adopts the single-site case study approach under the qualitative tradition.FindingsThe findings suggest that given the complex setting of being encountered with multiple cultural ramifications, MCS of Delta Lanka encompasses compulsory elements instigated by the parent company, and non-compulsory elements as attuned to the realities of the local culture of the operating company. The authors show how imposed practices in the institutional environment by the parent company (homogeneity) interact with agentic aspects of actors in the operating company giving rise to practice variation (heterogeneity) in the adoption of controls at the local level.Practical implicationsThe paper offers insights on how practicing managers in operating companies of MNCs could formulate control systems by striking a balance between multiple cultural considerations (of the parent and operating company). This would be a lesson for managers of other firms (especially MNCs).Originality/valueBy bringing together multitude of cultural dimensions relating to the parent company and operating company into a single study in the area of management control, this paper adds to the burgeoning literature on the interplay between external institutions, agency of actors, culture and MCS. It also contributes to the on-going debate on MCS research taking a post-Hofstede orientation while extending the use of institutional theory in management accounting research in MNCs.

Real estate companies in Kenya play a vital role in promoting economic wellness. However, these companies continue to grapple with performance challenges manifested in inadequate revenue growth and profitability, which deters long-term sustainability. The current research examined the effect of restructuring strategy and performance of real estate companies in Nakuru County, Kenya.Thestudy was guided byAnsoff matrix theory. It adopted a descriptive research design involving a mixed method approach. The unit of analysis was24selected real estate companies registered by the Nakuru County Department of Lands, Physical Planning, Housing, and Urban Development. The unit of observationwas 72 including 24 managing directors, 24 financial managers and 24 sales managers.A census approach wasused adopted. Data was collected using a structured questionnaire and analysis was aided byStatistical Package for Social Sciences (SPSS) version 25.0software. Descriptive and inferential methods were employed in analysis.The results indicateda significant relationship betweenrestructuring strategyand performance (r = 0.561, p < 0.05). Additionally, the coefficient of determination (r² = .315) shows that restructuring strategy explains 31.5% of the variation in performance. The study concludes that restructuring strategy enhances performance, emphasizing the role ofcontinuous strategic adjustments in achievingoptimal results. The study recommends that real estate companies adopt dynamic restructuring frameworks that align resource reconfiguration and strategic agility to drive performance.

Since China was fully connected to the Internet, the local Internet has continued to grow along with its economic strength, and Internet companies such as artificial intelligence, e-commerce, big data, block chain and electronic payment have risen rapidly. In the process of development, Internet enterprises realize the importance of social responsibility and take the initiative to shoulder social responsibility, and make a lot of contributions to the society. The relationship between social responsibility and the financial performance of Internet companies has always been the focus of academic and research discussions. Based on the linear regression model, innovation capability was introduced to explore the boundary conditions between social responsibility and the financial performance of the companies. An empirical study was conducted using a research sample of listed Internet companies in China from 2018 to 2020. The results show that (1) social responsibility of the Internet corporate has a positive effect on short-term financial performance, (2) Internet corporate social responsibility has a positive effect on the long-term financial performance of enterprises, (3) innovation capability weakens the impact of Internet corporate social responsibility on short-term financial performance, and (4) the influence of innovation capability on the long-term financial performance of Internet companies in social responsibility. The research conclusion provides Internet enterprises with social responsibility strategies and evaluation of long-term and short-term financial performance.

Managerial and institutional ownership within companies is becoming increasingly important and commonplace in today's modern era. Therefore, this research investigated the effect of managerial and institutional ownership on the company's financial performance. The method used in this research is a quantitative approach. This research uses a secondary research approach with research objects in the form of manufacturing companies listed on the Indonesia Stock Exchange in the 2017-2021 period. The results of this study indicate that managerial ownership significantly influences the company's financial performance. This is supported by a significance value of 0.000, less than 0.05. Managerial ownership can have a significant positive impact on a company's financial performance because it can increase management's motivation to work harder and pay more attention to the company's long-term performance so that it can provide benefits to the company and shareholders. In addition, the results of this study also show that institutional ownership significantly influences the company's financial performance, indicated by a significance value of 0.025, less than 0.05. Institutional ownership can increase oversight of company management, provide positive signals to the market, and help companies to obtain greater resources.

Introduction: Companies conducting initial public offerings have two main anomalies in stock exchanges around the world, namely underpricing (short-term performance) and poor long-term performance (poor long-run term performance). One of the factors that can provide information on the performance of an initial public offering company is the initiation of dividends, the age of the company, and the reputation of the underwriter. The purpose of this study is to analyze the long-term performance of Indonesian IPOs made during the period from 2012 to 2018. Method: This type of research is quantitative research, and the type of data used is secondary data. The population in this study are all initial public offering companies listed from 2012 to 2018. The sampling technique is non-probability sampling. The data analysis technique used SPSS 24. Result: IPO companies that experienced a positive initial return of 78% consisting of 139 companies, this was an advantage for investors while underpricing for the company while experiencing a negative initial return of 22% consisting of 40 companies. The initiation dividend has a coefficient (B) of -0.023 and a significant value of 0.349, indicating that the initiation dividend has a negative and insignificant effect on the long-term stock performance of IPO companies. The variable age of the company has a coefficient value (B) of 0.001 with a significance value of 0.049 which means that the age of the company has a positive and significant effect on buy and hold abnormal returns. The results of testing the influence of underwriter reputation1, underwriter reputation2, underwriter3 reputation, and underwriter reputation4 have no significant effect on the long-term stock performance of IPO companies. Conclusion: In general, the results of the long-term performance of IPOs in Indonesia from 2012 to 2018 during the three years after the IPO found negative abnormal results.

Introduction: Companies conducting initial public offerings have two main anomalies in stock exchanges around the world, namely underpricing (short-term performance) and poor long-term performance (poor long-run term performance). One of the factors that can provide information on the performance of an initial public offering company is the initiation of dividends, the age of the company, and the reputation of the underwriter. The purpose of this study is to analyze the long-term performance of Indonesian IPOs made during the period from 2012 to 2018. Method: This type of research is quantitative research, and the type of data used is secondary data. The population in this study are all initial public offering companies listed from 2012 to 2018. The sampling technique is non-probability sampling. The data analysis technique used SPSS 24. Result: IPO companies that experienced a positive initial return of 78% consisting of 139 companies, this was an advantage for investors while underpricing for the company while experiencing a negative initial return of 22% consisting of 40 companies. The initiation dividend has a coefficient (B) of -0.023 and a significant value of 0.349, indicating that the initiation dividend has a negative and insignificant effect on the long-term stock performance of IPO companies. The variable age of the company has a coefficient value (B) of 0.001 with a significance value of 0.049 which means that the age of the company has a positive and significant effect on buy and hold abnormal returns. The results of testing the influence of underwriter reputation1, underwriter reputation2, underwriter3 reputation, and underwriter reputation4 have no significant effect on the long-term stock performance of IPO companies. Conclusion: In general, the results of the long-term performance of IPOs in Indonesia from 2012 to 2018 during the three years after the IPO found negative abnormal results.

Seeking research and development (R&D) capacity overseas is fast becoming an important leapfrogging strategy for emerging market enterprises. Combining knowledge‐based and institutional‐based views, this study develops an analytical framework for the impact of overseas and domestic R&D on the innovation performance of parent companies. Using panel data of 185 enterprises in China from 2012 to 2020, we find that overseas R&D significantly improves the innovation performance of the parent company; domestic R&D has a significant promoting effect on the innovation performance of the parent company, also playing a partial mediating role between overseas R&D and innovation performance of the parent company. Regional institutional quality positively moderates the relationship between overseas and domestic R&D. Our study contributes to a deeper understanding of the pathways and mechanisms through which overseas R&D affects emerging‐market firms' innovation performance.

This study aims to analyze the impact of firm value, profitability, and Corporate Social Responsibility (CSR) on company performance, particularly from the perspective of creditors. Firm value is often used to assess a company's ability to manage financial obligations, such as repaying loans to creditors. In this regard, company liquidity becomes an important indicator in determining the extent to which a company can meet its obligations. Additionally, profitability, which measures a company's ability to generate profit, is also considered an important factor in assessing company performance and stability. Previous studies have shown varying results regarding the impact of profitability on firm value, with some studies reporting a positive impact and others a negative one. Corporate Social Responsibility (CSR) also plays a significant role in improving the company's image and facilitating sustainable development, which can contribute to long-term company performance. Based on the research findings and discussions regarding the impact of liquidity, profitability, firm value, and the influence of corporate social responsibility on coal mining companies in Indonesia, this study is expected to provide insights into company performance as seen through DER (Debt to Equity Ratio) and ROA (Return on Assets). This research also aims to provide insights regarding the impact of CSR, which has not yet been able to moderate the effects of liquidity and profitability on firm value. Keywords: Virm Value, Profitability, Debt Policy, Corporate Social Responsibility

Seasoned equity offerings (SEOs) and return of capital (ROC) are activities carried out by listed companies in the capital market. The decision of the company manager to engage in SEOs and ROC is actually in the scope of the agency mechanism. This paper explores the characteristics of SEO and ROC companies and whether SEOs and ROC will affect the company's performance and whether the agency problem will (partially) mediate the impact of SEOs and ROC on company performance. We use the annual data of domestic (Taiwan) listed companies from the Financial Supervisory Commission website and the Taiwan Economic Journal for the 2000–2018 period and adopt the Fama-French three-factor asset pricing model to hierarchical regression analysis to study the mediating role of the agency problem. The empirical results support that SEO companies are mostly in the expansion or growth stage and SEOs reduce company performance, both in the short term and long term. After considering free cash flow, the effect of SEOs on performance declines. The results support that ROC companies are mostly in decline stage and ROC increases long-term company performance. However, free cash flow does not affect the performance of the companies engaging in ROC. This research combines SEO and ROC data, and it is based on the perspective of the agency problem so that we can understand the impact on company performance.

This paper deals with the evaluation of the financial performance and financial position of IT companies in the consolidated group. The sub­ject of the investigation is a consolidated group consisting of a parent com­pany domiciled in Germany and its subsidiary in Slovakia. The article aims to point out the mutual relations within the consolidated group through correlation coefficients. The examined relations are in the area of profitabil­ity, indebtedness, liquidity and some macroeconomic indicators. The paper set out two objectives of the research: 1) within the consolidated group, the mutual relations between the parent company and the subsidiary are not significant; 2) within the consolidated group, the mutual relations between the parent company and the subsidiary are significant. Interesting conclu­sions emerged from the comparison of correlation coefficients.

With the recent introduction of supply chain management (SCM), quality management has extended from within companies to between companies. As a result, supply chain quality management (SCQM) has received increased attention. However, existing SCQM studies only focus on what impact quality control in supply chains have on company performance while virtually no studies examine quality control efficiencies. This paper, therefore, evaluated the SCQM efficiency of a parent company and its partner companies by using Data Envelopment Analysis (DEA) based on the Quality Collaboration Index for Supply Chain Management (QCI-SCM) conducted by the Korean Standards Association for its `Quality Innovation-Based Building and Expansion of Business.` Study results showed that a parent company and its partners showed an overall average efficiency of approximately 80% (parent company 80.37%, partner company 79.05%). By also performing a discriminant analysis based on the calculated efficiency scores using DEA, factors that made companies efficient or inefficient were different between the two groups. In parent companies, efficiency and inefficiency were determined by factors such as communication, infra-structure, support, delivery of quality, and benefit sharing, whereas in partner companies, talent development, infrastructure, crisis management, and delivery of quality were the determining factors. In this paper, we examined the efficiency of SCQM and analyzed them from the perspective of both the parent company and partner companies to offer strategic SCQM insights.

In order to investigate the relations between qualified foreign institutional investors (QFII) holdings and the performance of the A-share listed companies and effectively distinguish between QFIIs’ ability to identify value companies and their ability to enhance company value, this paper empirically examines the relations between QFII holdings and company performance using Chinese annual report data from 2010 to 2012. The results show that QFIIs have strong ability in identifying value companies. However, the effect of QFII holdings on company performance improvement is mainly manifested in the short term, and the long-term effect is insignificant. In the long run, QFIIs may not be considered as “value boosters,” implying that it is unlikely for QFIIs to greatly enhance company value and help the invested companies to improve the level of governance and their long-term performance.

The objectives of this case study are to describe the strategic positioning of the Johnny Carino's1 concept and to enable students to financially evaluate the purchase of a single-site franchise unit. Accordingly, this case begins with the formation of the Johnny Carino's parent company, Fired Up, Inc. Next the parent company's strategy and operations are examined. Finally, the student is guided in an analysis of individual restaurant financial performance.(A teaching note for this case is available from the author upon request).

This article examines the impact of the staffing of foreign subsidiaries of multinational enterprises (MNEs) on the innovation performance of the parent company and the moderating effect of the institutional distance between the host country and the home country. This paper conducts an empirical analysis on the data of 59 mature Chinese MNEs and their 872 overseas subsidiaries over the past 11 years and obtains some interesting results. The results show that the proportion of host country nationals (HCNs) in overseas subsidiaries has a significant positive impact on the innovation performance of the parent company and that it is not a simple linear relationship but rather an inverted U‐shaped relationship. As HCNs increase, the ability to acquire knowledge is increasing, while the ability to integrate knowledge is decreasing. Thus, multiplicative combinations of latent mechanisms result in an inverted U‐shaped relationship. However, the institutional distance between countries negatively moderates the effect of subsidiary HCN proportions on parent company innovation performance. The findings have important practical implications for the multinational innovation strategies of Chinese MNEs and governments.