Corporate Business Research Articles

The impact of business groups on green innovation: evidence from Chinese non-SOE listed companies

This paper examines whether and how non-state-owned enterprise (non-SOE) business groups affect a firm’s green innovation. On the basis of a sample of A-share listed companies on the Shanghai and Shenzhen stock exchanges from 2007 to 2021 and hand-collected business group data, we document a negative association between non-SOE business groups and corporate green innovation. Furthermore, we identify two different mechanisms that may explain this relationship from various perspectives: firms’ motivation for benefit maximization and the ability to lighten government environmental regulations. We also find that this negative correlation is more pronounced in competitive industries and is related to reduced executives' environmental awareness, reduced intensity of environmental regulation, and greater official pressure to promote. Our findings not only help improve the existing literature on business groups and corporate green innovation but also provide empirical evidence that non-SOE business groups can negatively affect corporate green innovation.

Corporate Strategy Development: Insights from Military Strategic Practices

This study examines corporate strategy development through the lens of military strategic practices, highlighting the parallels between military and business approaches. It draws on data from a survey conducted among experienced Czech managers and management students, analysing their use of strategic tools, data preferences, and operational methodologies. Advanced statistical techniques, including Principal Component Analysis (PCA) and cluster analysis, reveal differences in the emphasis placed on macroeconomic indicators and internal processes by managers versus the preference for tools like SWOT and PESTLE among students. Key findings underscore the significance of protecting competitive intelligence and adopting adaptive methodologies to enhance decision-making. The study bridges theory and practice, offering practical recommendations for integrating military-inspired strategies into business education and corporate frameworks.

Small and medium-sized enterprises (SMEs) in Bali: Corporate social responsibility, competitive advantage and its impact on financial performance

Climate-related concerns have drastically made companies realize the need for better environmental regulations and consolidate them in corporate business strategies such as Corporate Social Responsibility (CSR). CSR improves firm performance by valuing the stakeholders' interests and substantially achieving a competitive advantage over competitors. Recognising a firm's competitive advantage in the market indicates performance and might help the company perform better. The objective of this research is to provide concrete proof related to how CSR affects competitive advantage and its effects on company performance, especially financial performance in SMEs in Bali Province. This study uses primary data in the form of questionnaires distributed to SMEs both directly and online. The sample of this research is the manager / owner of SMEs in Bali Province. Data analysis tools using SmartPLS 4.0. The study's findings indicate that CSR has a direct impact on financial performance (SMEs) and CSR indirectly affects the financial performance (SMEs) through competitive advantage. Competitive advantage was found to partially mediate the impact of CSR and financial performance (SMEs). These findings will be used by SME managers in Bali Province in order to enhance the company's financial performance by considering the use of CSR strategies and strengthening competitive advantage. Implementing CSR can help a company become more competitive and separate itself from competitors by providing an innovative product or service. Finally, corporate social responsibility (CSR) can give a company a competitive advantage by strengthening its marketing abilities, which leads to improved performance.

Understanding the Underlying Knowledge Structure in Business Ethics, Governance and Sustainability Research

Given their significant role, this study aims to comprehensively understand the linkages between business ethics, governance, and Sustainability research. The study is focused on knowing the knowledge structure that connects these concepts, identifying the critical areas of focus, and tracking their evolution over time. A comprehensive analysis was conducted on a data set covering 2003 to 2024. Two worldwide repute databases, namely, Scopus and Web of Science (WoS), were used to search scientific publications (Sharma et al. 2023; Sharma et al. 2024). The selection process adhered to the inclusion and exclusion criteria outlined in the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework. The Structural Topic Modeling (STM) approach was employed to group related data segments, revealing underlying patterns and significant content. Specific latent topics such as Experiential learning, corporate governance structure and behavior, Sustainability through energy policy, and Environmental protection acts were identified, which depicted the underlying knowledge areas in this field of study. Future research in business ethics and corporate Sustainability must pay attention to the emerging contextual issues in business contexts and make the future study of business ethics and corporate sustainability move beyond traditional totems and taboos in social ventures, family businesses, start-ups, and SMEs.

An Analysis of The Causes and Impacts of Corporate Mergers in The Logistics Industry: A Case Study of JD Logistics' Acquisition of Deppon Express

This article deeply analyzes the reasons and effects of mergers and acquisitions of enterprises in the logistics industry, and analyzes the mergers and acquisitions of Deppon Express by JD Logistics as a typical case. The article pointed out that in the context of globalization and digitalization, the logistics industry is undergoing profound changes, and the market competition is becoming increasingly fierce. As a leading enterprise in e-commerce logistics, JD Logistics aims to expand the market, enhance competitiveness, achieve resource integration and complementary advantages, and respond to market demand and policy support through the acquisition of Deppon Express. After the merger and acquisition, JD Logistics has significantly improved its logistics network coverage, supply chain service capacity, economic benefits, etc., while Deppon Express has significantly improved its corporate governance, business integration and service efficiency. This merger and acquisition not only enhances the strength of JD Logistics in the large logistics market, but also promotes the concentration of resources and the improvement of service quality in the logistics industry. At the same time, mergers and acquisitions also promote the development of green logistics and show the trend of the logistics industry to sustainable development. Through the case study of the merger and acquisition of Deppon Express by JD Logistics, this article provides valuable experience for the merger and acquisition of enterprises in the logistics industry, and looks forward to the steady development of the logistics industry in the future in resource integration and competitive cooperation.

The Effect of Business Ethics and Corporate Social Responsibility on Business Success: Insights from Wa Township in Ghana

Purpose: Over the years, small businesses have been the backbone of economic growth in many low-middle-income settings. Thus, small firms/small businesses have attempted to develop codes of conduct, which can be used to guide managers when making decisions. This study, therefore, explored business ethics, repurchase and corporate social responsibility within Wa Township. Design/Methodology/ Approach: The study employed the case study approach of both qualitative and quantitative methods. A total of 358 smallholder shop owners were randomly selected to participate in face-to-face interviews. The data were keyed into a Microsoft Excel sheet and cleaned. The data set was then imported into SPSS and analysed using frequencies, proportions and chi-square test of independence. Findings: The results have shown a strong statistical relationship between business ethics and purchase (p=0.000), business ethics and repurchase (p=0.000), business ethics and corporate social responsibility (p=0.000). Practical implications: Small shop owners recognise the central place of ethical behaviours and repurchase and corporate social responsibility on business growth through increased sales. This study therefore recommends investment in growing smallholder business owners’ knowledge about the necessity of business ethics and customer satisfaction.

The Relationship Between Board Gender Diversity and Real Earnings Management in U.S. Companies

In the realm of corporate finance, real earnings management (REM) is crucial for maintaining the transparency and integrity of financial reporting. Unlike accrual-based management, REM involves strategic decisions impacting cash flow and operations, drawing significant attention after the Enron scandal and the Sarbanes-Oxley Act. Recently, the importance of board gender diversity in corporate governance has been increasingly recognized. This study explores the relationship between board gender diversity and REM in U.S. public companies from 2021 to 2023. Using data from BoardEx and Compustat, and employing regression analysis, the research examines how gender diversity influences REM, controlling for variables such as company size and industry type. The findings reveal a significant negative correlation between board gender diversity and REM, indicating that more diverse boards tend to adopt transparent and responsible financial reporting strategies. This study underscores the importance of promoting gender diversity in corporate leadership to enhance ethical and transparent financial reporting, providing valuable insights for corporate governance, policymaking, and business practices.

Rethinking AI Acceptance in Corporate: A Human-Centric Extension of UTAUT

In the business corporate world, artificial intelligence (AI) is becoming a disruptive force. This study explores the intricacies of adopting AI in corporate environments, emphasizing factors that affect both behavioral intentions and real usage patterns. This study, which drew on the Unified Theory of Acceptance and Use of Technology (UTAUT), identified the distinctive features of AI and added new determinants, including perceived humanness, bias, job threat, functionality, transparency, and privacy and security issues. These determinants cover technological, human-centric, and situational aspects which can either catalyze or hinder AI acceptance. Our quantitative research, involving 223 professionals across diverse sectors in Saudi Arabia, expanded the UTAUT model by revealing critical factors driving AI acceptance, including ethics and privacy considerations. Intriguingly, certain latent factors were identified to inversely affect AI application. This research addresses important ethical, security, and operational issues related to AI deployment, while also expanding the theoretical understanding of AI's role in business. Such insights are paramount for decision-makers, practitioners, and academics alike, ensuring the sustainable and responsible incorporation of AI in the business realm.

Determinants of sustainability performance in information technology companies: Cooperation through strategic alliances and business strategies

The rapid progress in information technology has presented both opportunities and challenges for companies, particularly within the IT industry in Indonesia. This study examines the impact of hybrid business strategies and corporate strategic alliances on the sustainability performance of IT companies. Adopting quantitative methods, data were collected from 389 management professionals in IT companies through a structured questionnaire. The analysis employed structural equation modeling (SEM) to assess the relationships between hybrid business strategies, strategic alliances, and sustainability performance. The results indicate that hybrid business strategies positively influence corporate strategic alliances (t-value = 2.243, p-value = 0.025) and positively influence corporate sustainability performance (t-value = 5.294, p-value = 0.000). Additionally, corporate strategic alliances significantly enhance sustainability performance (t-value = 5.603, p-value = 0.000), mediating the relationship between hybrid strategies and sustainability outcomes (t-value = 1.995, p-value = 0.047). The findings emphasize the critical role of strategic alliances in achieving long-term sustainability goals in the IT industry. The study concludes that integrating hybrid business strategies with effective strategic alliances is essential for IT companies to maintain competitiveness and achieve sustainable growth.

NSE: Corporate Governance 
Transgression

This case concerns governance issues faced by a reputed stock exchange in India, the National Stock Exchange (NSE). The failure of governance started from the time of the issuance of co-location licenses in 2010. After a whistle-blower’s letter in 2015 to the regulator, the Securities Exchange Board of India (SEBI), along with a renowned Indian journalist, the scam was uncovered. A forensic audit by Ernst Young confirmed the broker’s preferential licenses given by NSE. The investigation also led to the discovery of other governance issues at the stock exchange, and since then, SEBI dispensed penalties to the accused in February 2022. As of July 2022, SEBI appointed Mr Ashish Chauhan as NSE’s next Chief Executive Officer and Managing Director (CEO and MD). Mr Chauhan was already involved in the formative years of the stock exchange and must think of cleaning up the legacy issues and rebuilding the image of NSE. Management students across various specialisations have a corporate governance and business ethics course. This case can be used to reflect on the independence of the board, the responsibility of the nomination and recruitment committee, stakeholders’ disclosures and the importance of regulatory body intervention at appropriate times.

The nexus between corporate governance, political environments, and firm performance: a comparative study of Ghana and Kenya

Purpose This study aims to examine the effect of political conditions on the relationship between corporate governance and firm performance in two sub-Saharan African (SSA) countries, Ghana and Kenya. Design/methodology/approach This study used a panel data methodology, examining data from a sample of 72 companies (Ghana: 25 and Kenya: 47) from 2018 to 2022. This study used panel quantile regression and the Huber M-estimation robust least squares regression methods. Findings The research reported that larger boards, diversity and ownership concentration do not affect business performance while board independence improves corporate success in both countries. The findings about chief executive officer (CEO) duality were mixed. In Ghana, CEO duality has a positive effect on firm performance, but in Kenya, the study finds that CEO duality hurts firms’ performance. The results found that higher levels of institutional ownership decreased firm performance in both countries. The research found that Ghana’s political environment had a greater impact on corporate governance and business performance nexus than Kenya’s. Research limitations/implications The research is limited to Ghana and Kenya. This study emphasises the necessity for governments in both countries to maintain a stable political environment, implement policies that encourage economic and policy continuity and reduce political uncertainty to improve business conditions. Practical implications This study emphasises the necessity for governments in both countries to maintain a stable political environment, implement policies that encourage economic and policy continuity, and reduce political uncertainty to improve business conditions. Originality/value To the best of the authors’ knowledge, this study is unique because it is the first in SSA to address a research gap by investigating a comparative analysis of the relationship between corporate governance, political environments and firm performance in two distinct countries with different political situations.

Mandatory corporate ESG disclosure and default risk – Evidence from China

Investigating the potential benefits of corporate Environmental, Social and Governance (ESG) disclosure for corporate governace and business resilience is imperative. Using a sample of publicly listed companies in China from 2006 to 2020, this paper uses a difference-in-differences (DID) design to investigate the impact of corporate ESG disclosure on its default risk. We find that corporate ESG information disclosure could significantly reduce default risk. This relationship is mediated through information communication, internal governance and external monitoring mechanisms. This finding is robust to a series of tests, including a parallel trend test, a PSM-DID design, a placebo test and alternative default risk calculations. ESG disclosure does not significantly affect a company's stock return but also significantly reduce its stock price volatility and enhance stock liquidity. We show that corporate engagement and disclosure of ESG activity could promote corporate governance and sustainable development.

Beacons not burdens: Business groups and corporate social performance around the world

AbstractResearch SummaryPrior studies on business groups (BGs) have predominantly focused on the impact of group affiliation on financial performance. In contrast, we argue that BG affiliates will outperform standalone firms in terms of corporate social performance (CSP) and that this effect will be positively moderated by the strength of formal and informal institutions. Moreover, we examine also differences among BGs and hypothesize that diversification and hierarchy of the group will negatively affect the CSP of affiliates. Employing a panel of 4368 firms from 43 countries between 2003 and 2016 and a propensity score matching approach in our regressions, we find robust support for these predictions. Our findings advance two distinct strands of literature on BGs and, respectively, corporate social responsibility.Managerial SummaryBG are a common organizational structure in many countries. Despite this, we still do not know much about them beyond their financial performance. In this study, we focus on examining the impact of BG affiliation on non‐financial performance (i.e., CSP) in the light of growing societal grand challenges. Using an international dataset of several thousands of firms, we find out that BG affiliates exhibit superior CSP results compared to non‐affiliated firms. These positive effects of affiliation are increased in environments with strong formal and informal institutions but reduced within groups that are more diversified and hierarchical. Our findings showcase the importance of BGs in tackling some of today's grand challenges and provide support for more nuanced approaches to study BGs across countries.

Are Good Deeds Rewarded?—The Impact of Traditional Morality and Modern Responsibility on Green Innovation

The essence of intergenerational sustainability emphasizes the necessity of incorporating altruistic thinking and culture. While prior studies primarily examined corporate innovation strategies from a self-interested lens, this paper aims to investigate the drivers of corporate green innovation from an altruistic perspective. Analyzing a sample of Chinese A-share listed companies from 2011 to 2019, we employ both the OLS model and the mediation effect model to explore how traditional morality and modern responsibility impact corporate green innovation, as well as the mechanisms underlying this relationship. Our findings reveal that both traditional morality and modern responsibility significantly enhance corporate green management innovation, with social trust serving as a key mediating factor. Furthermore, traditional morality and modern responsibility play distinctive roles depending on the stage of economic development: traditional morality primarily influences green innovation in the early stages of economic development, whereas modern responsibility becomes more influential as development progresses. This study provides meaningful insights for research and practice in corporate sustainability, business ethics, and innovation strategy.

FORMATION OF STRATEGICALLY-ORIENTED DIRECTIONS FOR THE DEVELOPMENT OF LOGISTICS ORGANIZATIONAL STRUCTURES

The article is devoted to the study of the influence of strategic management in increasing the efficiency and quality of logistics organizational structures. The article considers the classification of management decisions to ensure the effective operation of logistics providers, analyzes the essence of strategic management of organizations, features of corporate strategy, business strategy, and functional strategies. The reasons that make it difficult to transfer the logistics development strategy to lower levels of management have been identified. Theoretical approaches to the process of implementing logistics management strategies in organizational structures are proposed. It was determined that the key idea of the supply chain concept is the transition from functional management to management of cross-functional business processes. The advantages of strategically oriented organizations are highlighted, and it is also substantiated that a balanced system of indicators is effective for solving the problem of related business strategies and directions with the establishment of goals for the efficiency of logistics organizational structures. The four key processes that the Balanced Scorecard relies on to link short-term actions to long-term goals are described. Modern trends in changes in management styles from the management practices of advanced logistics providers are analyzed. The mechanism of application of the Deming cycle and reengineering of business processes is substantiated. It has been proven that effective implementation of the concept of strategic management of the logistics organizational structure is possible only when the organization is strategically oriented.

Unraveling contemporary trends on United Nations sustainable development goals: A new global bibliometric and literature review analysis

AbstractThis review presents a bibliometric performance and systematic literature review of research publications related to the 17 United Nations (UN) sustainable development goals (SDGs) in business studies. The study employs the 2020 revised Preferred Reporting Items for Systematic Reviews and Meta‐Analyses (PRISMA) framework to systematically evaluate and identify 583 articles sourced from esteemed academic databases, including Scopus and Web of Science, as well as seven reputable publishers and digital libraries, for subsequent analysis and synthesis. The identified 583 papers on SDGs, authored by 1610 scholars and published in 207 peer‐reviewed sources, are analyzed using VOSviewer and R Studio software. The analysis reveals the existence of nine independent clusters of SDGs business research: artificial intelligence and digitalization (red cluster), business collaboration (green cluster), corporate sustainability (blue cluster), circular economy and corporate social responsibility (yellow cluster), entrepreneurship and innovation (purple cluster), education for developing countries (aqua‐cluster), climate change and tourism (orange‐cluster), Africa perspectives (brown cluster), and sustainable investment (black cluster). This review highlights the foundation of the business studies debate linked to the advancement of the SDGs after the adoption by the United Nations. Key insights, future research directions and conclusion including implications are discussed.

ESG Risk and Audit Firm Reputation

Purpose: The importance of ESG continues to grow day by day, and ESG risk management has become crucial for corporate sustainability. Understanding ESG risk management is an urgent and crucial issue that cannot be delayed any longer. This study aims to examine the relationship between ESG risk management and audit firms’ reputation. Design/methodology/approach: This study investigates the correlation between the reputational effect of audit firms and ESG risk management, using companies listed on the TWSE and the TPEx in 2023 as the target population. We further develop two research models: first, a regression model (1) to examine whether the brand reputation effects of Big4 and non-Big4 audit firms are associated with corporate ESG risk management scores and set up an Ordered Probit model (2) to investigate how the reputation effect of Big4 and non-Big4 audit firms is related to corporate ESG risk ratings. Finding: The empirical results show that companies audited by the Big 4 audit firms have better ESG risk management performance than those audited by non-Big 4 audit firms, and that companies’ ESG risk management performance varies depending on the specific Big 4 audit firm engaged. Furthermore, the association between ESG risk management performance and the reputation effect of audit firms depends on the firm’s business model and corporate governance structure. The family-owned business model and strong corporate governance environment synergistically enhance the reputation effect of audit firms, thereby contributing to the improvement of ESG risk management performance. Finally, the choice of earnings management strategy affects the relationship between ESG risk management performance and the reputation effect of audit firms. Risk-averse companies that adopt conservative earnings management strategies benefit from the positive impact of the Big 4 audit firm reputation effect on ESG risk management performance. Research limitations/implications: The research limitations of this study stem from the difficulty in accessing ESG information, which constrains the sample size. Originality/value: First, this study provides a comprehensive examination of the ESG risk management performance of listed companies in Taiwan, contributing to a deeper understanding of the current status of ESG strategy development and implementation among Taiwanese companies. Second, by examining corporate ESG risk management, the study explores the impact of audit firms’ reputation on corporate ESG risk management performance. Third, our findings contribute to academic research on ESG issues by incorporating the potential impact of audit firms’ reputation into the analysis.

Corporate Governance and Business Resilience in the Banking Industry

The unstable banking business environment and ethical questions that bedeviled the industry have opened new windows for researchers and policymakers on how best to tackle the menace. But as researchers keep pace on how best banking institutions can remain unperturbed with preparation for future adversities and bearing in mind the shareholders' wealth, the concept of resilience becomes the beacon of hope for managers and directors alike. 139 participants drawn from ten interest-deposit money banks in south-eastern Nigeria were selected for this inquiry. The result of this study demonstrated that corporate governance predicted business resilience positively. It was concluded that corporate governance that is predicated on board independence, board size, board effectiveness, leadership quality, and accountability would strengthen the resilience of interest deposit money banks. This study recommends that managing directors of interest deposit money can leverage corporate governance measures utilized in this study to strengthen the resilience capability of their organisations.

Green Logistics 5.0: a review of sustainability-oriented innovation with foundation models in logistics

PurposeThe paper uses foundation models to integrate the green approach in Logistics 5.0. Such integration is innovative in logistics and leads to a more sustainable and prosperous future. By harnessing the power of foundation models and incorporating sustainable principles, this paper can systematize the logistics industry’s environmental framework, increase its social responsibility and ensure its long-term economic viability.Design/methodology/approachGeneralizing environmental sustainability goals requires a multi-layered innovation approach incorporating corporate philosophy, products, processes and business models. In this paper, this comprehensive approach is not just a strategy but a necessity in the current global context. This paper uses the sustainability-oriented innovation (SOI) method, crucial for achieving explicit environmental, social and economic impacts.FindingsArtificial intelligence, especially foundation models, can contribute to green logistics by optimizing routes, reducing packaging waste, improving warehouse layouts and other functions presented in the paper. At the same time, they can also consider social, economic and governance goals.Research limitations/implicationsArtificial intelligence algorithms present challenges such as high initial investment, regulatory compliance and technological integration.Practical implicationsThe paper contains implications for developing environmentally sustainable logistics, which is currently one of the most significant challenges. The framework presented can apply to logistics companies.Originality/valueThis paper fulfills an identified need to study sustainability in logistics. The framework is entirely original and not present in the literature. It is essential to help design and implement innovative logistics approaches.

Corporate Social Responsibility and Business Ethics: Case Study of TATA Group from India

Corporate Social Responsibility (CSR) has increasingly become a vital component of the global business framework, especially within emerging economies such as India (Maheshwari M et al, 2024). This study delves into the relationship between CSR and business ethics by examining case studies of Indian companies, illustrating how these firms address critical elements of corporate governance and their impact on societal well-being. The analysis of the Tata Group offers an insightful look at how Indian corporations have embraced CSR and ethical practices to improve their brand image, support rural and community development, and foster skill development—all while maintaining long-term business sustainability (Tripathi S. K et al 2024). The study's conclusions highlight the fact that, for Indian businesses, corporate social responsibility (CSR) and business ethics go far beyond simple compliance to become crucial components of strategic business management. In addition to advancing society, businesses that successfully integrate CSR into their operations also strengthen their competitive advantage and long-term sustainability. This case study offers important insights for companies around the world, emphasizing how crucial it is to uphold ethical governance and incorporate social responsibility into corporate objectives.