Business Executives Research Articles

The impact of firm-level political risk on ESG practices: Does CEO Duality Matter?

Although prior studies have probed the determinants of corporate environmental, social, and governance (ESG) performance, limited works have deeply explored the role of firm-level political risk (PRISK) in determining ESG ratings and the moderator role of ownership structure on the PRISK–ESG performance nexus. Thus, this work endeavors to fill the gap by probing the impact of PRISK on aggregate corporate ESG performance and its pillars, namely environmental, social, and governance. In particular, the present study explores whether chief executive officer (CEO) duality has a moderating role between PRISK and ESG performance. Our sample focuses on 350 listed nonfinancial companies operating in the Standard and Poor's 500 index and performing both Tobit and Poisson panel data estimation methods between 2005 and 2022. Remarkably, we found that PRISK positively affects corporate ESG performance, supporting legitimacy theory. This indicates that a firm with higher political risk exposure prefers to engage more in ESG activities to gain legitimacy, increase its reputation, and achieve corporate success. Furthermore, the findings underscore that an increase in the level of CEO duality leads to a decrease in the positive effect of PRISK on ESG. The findings are robust after considering the various modifications that suggest significant policy implications for corporate executives and policymakers.

The influence of external factors on corporate strategy and strategies for adaptation in light of the global challenges

This study investigates the influence of external factors on corporate strategy and explores strategies for adaptation in the face of global challenges. The primary objective is to analyze how various external variables including economic conditions, technological advancements, regulatory shifts, and socio-cultural changes affect corporate decision-making and strategic planning. Utilizing a quantitative research methodology, the study involved a structured survey distributed to a sample of 116 corporate executives across diverse industries, allowing for a comprehensive analysis of the data collected. Statistical techniques were employed to identify correlations between the external factors and the strategic adaptations implemented by organizations. The findings reveal that economic fluctuations and rapid technological innovations are the most significant external influences on corporate strategies. Companies that proactively respond to these changes tend to exhibit greater resilience, enhanced market competitiveness, and improved long-term sustainability. The research underscores that organizations that incorporate external insights into their strategic planning are more capable of developing effective responses to evolving challenges. To address these findings, the study offers several recommendations: organizations should enhance their agility by investing in thorough market research and establishing flexible strategic frameworks that can swiftly adapt to external changes. Furthermore, fostering a culture of innovation and continuous learning within the organization is crucial for navigating the complexities of global challenges effectively. By embracing these adaptive strategies, companies not only prepare themselves to confront immediate challenges but also position themselves favorably for future opportunities in a rapidly changing environment. Ultimately, this research contributes valuable insights to the literature on corporate strategy, emphasizing the necessity of understanding external dynamics and implementing adaptive strategies for organizational success in today’s competitive landscape. The study provides a foundation for further exploration into how organizations can strategically navigate external influences while maintaining agility and responsiveness in their operations.

Value Based Conduct Confirmation in BPaaS Configuration

Business Process as a Service (BPaaS) is a cloud-based delivery model that combines business process outsourcing (BPO) with the scalability and flexibility of cloud computing. In BPaaS, organizations outsource specific business processes—such as payroll, customer support, or inventory management—to a cloud service provider. These services are designed for multitenancy, meaning they serve multiple clients simultaneously. By leveraging the cloud, companies gain cost efficiency, access to cutting-edge technologies, and the ability to scale on demand. Essentially, BPaaS streamlines operations, allowing businesses to focus on their core competencies while leaving process management to experts in the cloud. The purpose behind BPaaS is to turn multiple service companies into a corporate process system that can then be provided as its own service to consumers. Naturally, BPaaS providers target common or proven business processes applicable to a broad potential market, or require multiple complex components management. This is attractive for customers, because it offers a cheap, low risk outsource option for integral business activities. Business Process as a Service (BPaaS) is an emerging sort of cloud provider that gives configurable and executable business processes to customers over the internet. As BPaaS is still in early years of research, many open troubles remain managing the configuration of BPaaS builds on regions which include software product strains and configurable commercial enterprise approaches. The problem has concerns to recollect from numerous perspectives, along with the different forms of variable features, constraints among configuration options, and gratifying the necessities supplied by the client. In this method, the system uses temporal logic templates to elicit transactional requirements from customers that the configured carrier ought to adhere to. For formalizing constraints over configuration, feature fashions are used. To manage all these issues at some stage in BPaaS configuration, the system developed a structured approach that applies formal techniques whilst directing customers via specifying transactional necessities and choosing configurable features.

30 Years of Responsible Care in the Czech Republic

Responsible Care is a voluntary health, safety and environmental initiative of the global chemical industry with the main goal of increasing social trust in the industry, execution of responsible business and sustainability. This year marks thirty years since the first Czech chemical companies joined this voluntary initiative and adhere to its rules summarized in the Responsible Care Charter. To date, more than 90 chemical companies have been actively committed to this activity and respect its rules.

Going Green: Effect of green bond issuance on corporate debt financing costs

This paper investigates the influence of green bond (GB) issuance on the credit spread of non-green bonds (NGBs) issued by the same firm. Based on Chinese bond market data from 2013 to 2021, our results show that GB issuers experience a decline in NGB credit spreads after issuing GBs, indicating that “going green” can lower corporate debt financing costs. This beneficial effect is more salient among firms with lower bond liquidity, supporting the “bond liquidity story” that investors anticipate increased bond liquidity following GB issuance and thus charge lower credit spreads. In contrast, we find limited evidence for alternative explanations such as the “default risk story,” “halo effect story,” or “information asymmetry story.” Our research highlights the financial benefits of GB issuance and contributes to related literature on the economic implications of green finance. The findings also offer valuable insights for policymakers and corporate executives seeking to promote sustainable investment.

Prevalence and inequalities of obesity and associated complications in China: A multicentre nationwide survey

ObjectivesObesity is a risk factor for chronic diseases. The prevalence of obesity is rapidly increase and a significant social inequality exists. This study aimed to analyse obesity prevalence and complications in different regions and occupations in China. Study designMulticentre cross-sectional study. MethodsData from 62,893 adults in 10 Chinese provinces were collected in 2022. Measures included body mass index (BMI), metabolic status and complications. Analysis was stratified by gender, age, region and occupation, with results adjusted for age and gender. ResultsThe average BMI was 23.81 ± 3.42 kg/m2, with overweight and obesity prevalence at 34.29 % and 11.24 %, respectively. North China had the highest obesity rate (27.93 %), followed by West (26.64 %), South (25.37 %) and East China (20.06 %). Functionaries (e.g. as civil servants, corporate executives) had higher BMI than employees or intellectual professionals, while workers had higher BMI than farmers. Intellectual professionals had the lowest rates of metabolically healthy obesity (MHO) at 4.90 % and metabolically unhealthy obesity (MUO) at 3.47 %, followed by employees (MHO 6.63 %, MUO 4.45 %) and functionaries (MHO 6.74 %, MUO 4.94 %). Workers had the highest MHO prevalence rate at 8.51 %, while farmers had the highest MUO rate at 6.16 %. Obesity-associated complications were 1.5–3 times more common among obese individuals than those in the normal BMI category, with inequality observed across different occupational groups. ConclusionsIn China, a large number of adults with obesity have poor metabolic health, highlighting the importance of considering metabolic status when addressing obesity-related chronic diseases. Addressing the inequality in obesity rates can inform public health strategies to tackle the increasing problem of obesity and its associated complications in China.

Corpus Analysis: Global Leaders’ Speech

The importance of communication strategies for global CEOs has been recognized. It is believed that their effective messaging to stakeholders and society not only inspires employees but also impacts stock prices and business performance. However, previous research has primarily focused on qualitative studies, such as case studies and interviews. There have been few studies that collected large amounts of speech data from business leaders and analyzed it using reliable methods. This study employs corpus data analysis to examine the issues by analyzing a large amount of linguistic data from speeches of global business executives at the Oxford Union and TED Talks. Using the concordance software AntConc, a keyword analysis was conducted against representative large-scale English corpora to extract keywords frequently used by the global business leaders (p< 0.05). Similarly, a cluster analysis was performed on these characteristic words to investigate specifically how the communication strategies are constructed, how the audience is guided, and how persuasion is achieved. The results indicated that global business leaders effectively use significant communication strategies to achieve their goals.

From waste to wealth: sustainable approaches and novel strategies in the utilisation of food and dairy by‐products – a critical review

SummaryThe correct application of by‐products produced in the food and dairy industries is essential for attaining sustainability goals and minimising waste. By‐products, which used to be viewed as throwaway materials, have lately been recognised as valuable sources. By‐products can have significant nutritional, physiological and economic value. This paper addresses the novel techniques and technologies that have been employed to successfully transform these by‐products into products with value‐added hybrid products; there are also some instances of success mentioned, as well as the trends that will likely have an impact on the sector in the coming years. Through case studies and scientific insights, the reader may discover how businesses and society as a whole can benefit from using by‐products. Overall, the goal of this endeavour is to demonstrate the transformative potential of using food and dairy by‐products and to serve as an avenue of encouragement and knowledge for researchers, business executives and policymakers interested in increasing the value of by‐products in the food and dairy sectors. Despite the fact that there are a few articles on the utilisation of food and dairy by‐products, none of them have employed bibliometric analysis to reach insights. The present study is an exemplary instance of looking into the evolution of publication patterns over time, suggesting the need for additional research in this area.

Technology innovation and sustainable organizational development in the waste management industry

Despite the global success of various sectors in technological innovation to achieve sustainable organizational development, less is applicable in the waste management industry. Therefore, the current research looks at the effects of technological innovation, and landfill resources on sustainable organizational development. Employed a quantitative approach to investigate how technological innovation affects sustainable organizational development in the waste management industry. Self-administered questionnaires of 280 managing directors of waste management firms in Southwest Nigeria participated in the survey. Before data collection, the survey instrument's validity and reliability were carefully evaluated. The study constructs were validated by exploratory factor analysis which produced the final factor structure. One item of Capacity Development 31 was removed and all items Cronbach's alpha valued. While TI one component was 0.840, LF component was 0.766, component 2 was 0.767, CD was 0.788 and SOD 0.848. These show strong internal consistency and reliability using SPSS 26.0 for the analysis. The relationship between technology adoption and sustainable organizational development for operational effectiveness and environmental sustainability is examined in this study using statistical methodologies. These findings lay the groundwork for further research by delivering insightful information about the variables impacting technology innovation and landfill resources to achieve SOD. The suggested theoretical framework attempts to close the gap between technological innovation, landfill resources and sustainable organizational development by mediating the role of capacity development. Existing research in the area mostly concentrated on other sectors leaving the waste management industry isolated. For business executives looking to maximize sustainability through technology innovation, the report offers insightful information. By incorporating more variables into the social exchange theory. This article emphasizes the value of pilot studies for better research design while also addressing the paucity of literature in the industry and providing a new paradigm for SOD.

University-business linkages influence on international business competence: An in-service training perspective

Firms often rely on the skills and mindsets of individual employees and managers rather than on organizational structures and capabilities to execute entrepreneurial activities. These individual-level factors, which may originate from educational and business experiences, also support the development of international business competencies when firms engage in international operations. Accordingly, this study investigates educational collaborations in university-business linkages that influence international business competence at the individual level. Survey data were collected from 489 in-service-trained business executives pursuing (Executive) Master of Business Administration degrees while concurrently holding supervisory and managerial responsibilities in firms in Ghana. Factor analysis revealed four dimensions of educational collaborations in university-business linkages. Results from hypothesis testing, conducted using covariance-based structural equation modeling (CB-SEM), indicate that the diversity and internationality of study content and research dimensions positively and significantly influence these executives' global mindset, entrepreneurial orientation, and international marketing skills in performing foreign business operations. Similarly, interactions with international resource persons positively and significantly influence the executives' global mindset and international marketing skills. However, while participation in international affairs shows positive effects, these are not statistically significant. We discuss these findings and highlight their implications for developing international human capital through a university-business educational collaboration framework useful for executives, business schools, academics, and global higher education development partners.

Artificial intelligence and wealth inequality: A comprehensive empirical exploration of socioeconomic implications

This study introduces a global database on artificial intelligence (AI) capital stock and related AI indicators. Using the data constructed, we investigate the impact of AI and capital stock accumulation on wealth inequality, a dimension not extensively explored in the literature. This study contributes to the growing body of literature on the socioeconomic consequences of AI, with implications for scholars, policymakers, and corporate executives. An innovative database detailing AI capital stock is developed by incorporating data from various sources, including corporate reports, industry databases, and scholarly literature. This novel dataset, focusing on the US, the EU, and Japan from 1995 to 2020, is a critical resource for future investigations. The research methodology is centered on an extended Solow–Swan model, conceptualizing AI as a form of capital that can substitute for or complement traditional forms of labor. A panel-corrected standard errors model is used to analyze the data, accounting for potential cross-sectional dependence and heteroscedasticity. Our findings reveal a positive and statistically significant correlation between AI technology adoption, AI capital stock accumulation, and wealth disparity. The analysis further indicates a complex interaction between income and wealth disparities, suggesting a mutually reinforcing cycle. This study fills a significant gap in the existing literature by offering a novel perspective on the distributional impact of AI. Our results underscore the importance of considering the broader socioeconomic implications of AI, extending beyond considerations of immediate productivity and economic growth. This study offers valuable insights for policy formulation and business decision making, emphasizing the necessity of a comprehensive understanding of the influence of AI on wealth distribution.

Transparency as a Determinant of Financial Performance in State-Owned Commercial Enterprises in Kenya

State-owned commercial enterprises (SOCEs) in Kenya register below-par output in fiscal standards. Many explanations have been proffered for this state of affairs, including competition and fluctuations in the local and global economies. Additionally, it is important to examine how factors internal to these enterprises shape their financial performance. As such, this study aimed to examine the role of transparency as a corporate governance strategy in the fiscal output of state-owned commercial enterprises as anchored by legitimacy theory. Further, the study adopted explanatory research design. It targeted 476 board members and 379 corporate executives from 46 SOCEs in Kenya. The sample size was 295, consisting of 142 corporate executives and 153 board members, who were selected via stratified random sampling. To collect primary data, a questionnaire and document analysis were deployed. Data was analysed using descriptive statistics. Test for relationship between variables was done using covariance-based structural equation modelling (CB-SEM) along with Analysis of Moment Structures (AMOS) software. The study results revealed that transparency (estimate = 1.946, critical ratio = 3.676, p < 0.001) positively and significantly influenced the financial performance of SOCEs. It was thus deduced that transparency was a determinant of SOCEs’ fiscal output in Kenya. Therefore, SOCEs should deploy centralized real-time monitoring of financial performance through dashboards, build data management capacities and adopt business intelligence and data analytics technologies that allow for data driven and intelligence-based decision-making by the SOCEs’ board and corporate executives.

Political Polarization and Finance

We review an empirical literature that studies how political polarization affects financial decisions. We first discuss the degree of partisan segregation in finance and corporate America, the mechanisms through which partisanship may influence financial decisions, and the available data sources used to infer individuals’ partisan leanings. We then describe and discuss the empirical evidence. Our review suggests an economically large and often growing partisan gap in the financial decisions of households, corporate executives, and financial intermediaries. Partisan alignment between individuals explains team and financial relationship formation, with initial evidence suggesting that high levels of partisan homogeneity may be associated with economic costs. We conclude by proposing several promising directions for future research.

The effect of corporate executives’ academic experience on firm financialization — Evidence from listed manufacturing firms in China

This paper studies the impact of corporate executives’ early academic experience on corporate financialization using the data from 2010 to 2019 of A-share listed manufacturing firms on the Shanghai and Shenzhen stock exchanges. The results show that the personal characteristics developed in early academic career experience significantly inhibit their decision-making on corporate financialization. This inhibitory effect is more obvious among the non-state-owned firms and those firms in the regions with a high level of marketization. Meanwhile, this inhibitory effect enhances with the implementation of equity incentive policies for corporate executives, but not with the employee stock ownership plan (ESOPs). The results reveal the value of early academic career experiences of executives in corporate governance.

Japanese Cross-Cultural Management in Indian Business-to-Business Marketing Situations: A Study of Evolving Intra-Asian Differences in Cultural Values

ABSTRACT Purpose Extensive research has been conducted on cross-cultural comparisons between Eastern and Western organizational cultures in major trading domains. However, there is a lack of examination of intra-comparative management nuances within Asian regions. This research paper focuses on the under-explored topic of the values, beliefs, and attitudes (VBAs) that influence the outcomes of East Asian (e.g. Japan) marketing strategies and operations when implemented in South Asian (e.g. India) markets and organizational contexts. The study aims to analyze the impact of VBAs on marketing effectiveness and provide insights for marketers in cross-cultural settings. The article analyzes the customer satisfaction orientation (CSO) of Japanese business executives and draws insights that offer lessons related to cultural VBAs for overall marketing strategy and foreign investors. Methodology/approach The paper employs a social constructivist paradigm and gathers empirical research through multiple interviews. These facilitate novel and normally rare access and insights into Japanese business leaders’ lived experience of CSO in B2B Indian intercultural situations. Findings Interpretivist data analysis reveals several push-pull factors that influence CSO practice. The research identifies shared values such as long-termism and harmony that have the potential to boost CSO as a marketing strategy in India. Research implications The paper develops a conceptualization of cultural VBAs that lead to successful CSO practice in India and is of relevance to foreign investors. Practical implications This study suggests that East Asian marketers should carefully consider the impact of VBAs on their marketing strategies. Our research sheds light on the ongoing discussion on static versus evolving nature of culture and highlights the need to pay attention to cultural change, particularly congruence and confluence in workplace values. Originality The intercultural study contributes to the literature on international marketing strategy by highlighting the nature and importance of understanding traditional and evolving cultural VBAs for appreciating receptivity to adoption and thereby efficacy of home country marketing strategy.

Political sentiment and abnormal accruals

ABSTRACT Firms exhibiting high political sentiment can be desirable for investors as a hedging tool, which increases the demand for their stocks due to the mispricing related to manger’s sentiment and intertemporal hedging demand. A long-short portfolio of firms corresponding to the quintiles of political sentiment has a positive alpha spread. We document a positive relationship between political sentiment and abnormal accruals, which implies that corporate executives who engage in accruals-based earnings management also discuss political risk more frequently during earnings calls. Some managers tend to portray their firms as politically sensitive to mitigate the risks of high accruals. Indeed, our distance-to-default analyses suggest that political sentiment ameliorates the negative effects of high accruals. Double-sorted portfolios on political sentiment and abnormal accruals earn significant positive alphas in the month/quarter of earnings call.

Does banking relationships promote environmental, social, and governance performance? Empirical evidence from A‐share listed firms in China

AbstractThis study investigates the impact of banking relationships on corporate environmental, social, and governance (ESG) performance using data from A‐share listed firms in China from 2009 to 2019. Results show that banking relationships negatively impact corporate ESG performance. Mechanism analysis finds that banking relationships increase agency costs and financial investment, thereby diminishing ESG performance. Corporate executives with banking backgrounds and banks holding firm shares dampen ESG performance, whereas firms holding bank shares do not yield significant impact on ESG performance. Our study also finds that the negative impact of banking relationships on ESG performance is mitigated by analyst attention and supervisory institutional investors.

Protean career orientation: relationship to turnover intentions and moderating roles of current organizational career growth and future organizational career growth

PurposeThis paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.Design/methodology/approachThis briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.FindingsResearchers from China found that the relationship of “protean career orientation” (PCO) to turnover intentions was negative when current organizational career growth (OCG) was high, and it was positive when OCG was low. They also established that future career growth prospects weakened the link between PCO and turnover intentions.Originality/valueThe briefing saves busy executives, strategists and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Competency development opportunities and OCB: the fully mediating role of subjective career success

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings In a study of 353 working professionals in Malaysia, researchers found no significant direct link between perceived opportunities for competency development (POCD) and organizational citizenship behaviors (OCBs). But the authors did establish that subjective career success (SCS) fully mediated this effect. Originality/value The briefing saves busy executives, strategists and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Data science and business value: Insight into the alignment process

We develop a comprehensive business - data science alignment model for deriving business value from data science initiatives, thus assisting business organizations in transforming digitally. With a purposive sample of 13 data science leaders in the capacities of C-level executives, semi-structured interviews were conducted to unfold their data science journey. The study extends the understanding from the business - IT/IS alignment literature to data science initiatives. The alignment dimensions and their components are extracted through the interview transcripts using a general inductive approach. We propose a business - data science alignment model as a dynamic and iterative process in which the data science initiatives are shaped while aligning with intellectual, operational, social, cultural, and societal dimensions to derive business value. The five most relevant components represent each of these alignment dimensions. The study emphasizes the groundwork to be done before investing in data science endeavors by capturing the learnings from the literature and practitioners. With the proposed data science alignment framework, our study offers to craft data science projects by guiding business executives in achieving business value.