Practical Implications Research Articles

Rumor has it: CEO gender and response to organizational denials.

The ambiguous credibility of online allegations can pose a significant threat to an organization's reputation, relationships with stakeholders, and future performance. As a result, addressing false or misleading allegations has emerged as an important priority among corporate executives. In this research, we examine how CEO gender influences the effectiveness of different types of denial responses in the wake of rumor crises. We find that, after reading damaging allegations about an organization, consumers react more favorably to denials issued by male versus female CEOs. We argue that this is attributable to the dominance that characterizes denial responses, which results in a greater (negative) expectancy violation for female (vs. male) CEOs issuing such statements. Such violations result in lower trust in, and less willingness to do business with, organizations led by women (vs. men) who issue a denial response. We show that these relationships are moderated by increased prescriptive agency (i.e., clarified denials) and the attribution of the response (i.e., to the CEO vs. organization). Taken together, our findings have implications for theory on agentic characteristics, crisis communication, and female leadership, as well as practical implications for how all organizations can adopt more effective crisis responses. (PsycInfo Database Record (c) 2024 APA, all rights reserved).

Shear performance and failure mechanism of socket CFST column-beam connection with UHPC grouting

Prefabrication assembly technology has been widely recognized due to its rapid construction, minimal environmental impact, and superior quality of precast components. The reliability and construction convenience of the connection joints of precast components are particularly important. In this paper, a novel Ultra High-Performance Concrete (UHPC)-filled concrete-filled steel tube (CFST) socket connection (UCSC) was proposed for the column-beam connection. To explore the shear behavior and shear load transfer mechanism of UCSC joints, four direct shear experiments were conducted in terms of different parameters (socket depth, presence of studs). Meanwhile, ABAQUS was used to perform a systematic parametric analysis (socket length, embedded length, outer diameter of CFST, thickness of steel tube). The results indicated that the shear performance of UCSC joints was significantly influenced by both the socket depth and the outer diameter of CFST. The proposed finite element model (FEM) can predict the load-displacement relationships of UCSC joints with a maximum peak load error of 2.3 %. Combining the experimental results and numerical results, a simplified calculation model was formulated to accurately estimate the shear bearing capacity of UCSC joints, and was verified by numerical and experimental results with a maximum error of 8.6 %. The research results have practical implications for the preliminary design of UCSC joints to avoid non-ideal failure mode.

Wavefront rotator with near-zero mean polarization change

A K-mirror is a device that rotates the wavefront of an incident optical field. It has recently gained prominence over the Dove prism, another commonly used wavefront rotator, due to the fact that while a K-mirror has several controls for adjusting the internal reflections, a Dove prism is made of a single glass element with no additional control. Thus, one can obtain much lower angular deviations of transmitting wavefronts using a K-mirror than with a Dove prism. However, the accompanying polarization changes in the transmitted field due to rotation persist even in the commercially available K-mirrors. A recent theoretical work [Appl. Opt. 61, 8302 (2022)APOPAI0003-693510.1364/AO.472543] shows that it is possible to optimize the base angle of a K-mirror for a given refractive index such that the accompanying polarization changes are minimum. In contrast, we show in this paper that by optimizing the refractive index it is possible to design a K-mirror at any given base angle and with any given value for the mean polarization change, including near-zero values. Furthermore, we experimentally demonstrate a K-mirror with an order-of-magnitude lower mean polarization change than that of the commercially available K-mirrors. This can have important practical implications for OAM-based applications that require precise wavefront rotation control.

“Hireability” prospects for known bystander reporters of sexual harassment: Moral character, agreeableness, and gender effects

SummaryBystander intervention has been promoted across organizations to combat sexual harassment and its deleterious effects. However, the career consequences of bystander reporters (e.g., their hireability prospects inside and outside the organization)—those who report sexual harassment on behalf of coworkers—are not well understood. Based on the social identity and person perception literatures, which suggest that recruiters are motivated to hire candidates with attributes helpful to the organization (perceived moral character and agreeableness), we proposed that candidates' history of reporting sexual harassment on behalf of a victim leads to perceived high moral character but low agreeableness, which subsequently have countervailing effects on hireability of these known reporters. We found support across three experimental studies using realistic hiring decision‐making tasks and various employee samples. Based on the social identity literature, we further argued that perceptions and hireability of the known reporters depend on recruiter and candidate genders. In Study 2 and Study 3, we consistently found that the positive effect of reporting on perceptions of candidate moral character was weaker when the recruiter was male (vs. female) but we found mixed results for candidate gender effects. Theoretical and practical implications of these results are discussed.

The role of scenarios in paradoxes

This paper fills a gap in the existing metaphilosophical research on paradoxes by focusing on the role of scenarios. Typical philosophical paradoxes contain a scenario description whose contribution to paradoxes remains unexplored. I argue that scenarios are examples or instantiations of the abstract schema of paradoxes. As such, scenarios contribute to paradoxes on two levels. First, they make the argument more concrete, thus enhancing the dialectical force of paradoxes and facilitating their understanding, especially for non-experts. This function is external to the paradox itself, but has important practical implications for the use of paradoxes and their effect on philosophical debates, and it contributes to explaining why philosophical paradoxes are usually introduced by a scenario. Second, and more crucially, scenarios are essential to the epistemic dimension of paradoxes. By definition, paradoxes have two necessary components: the argumentative structure and the plausibility/implausibility of the premises/conclusion. By providing examples of the abstract schema, scenarios contribute to making the premises plausible. In particular, scenarios are the source of plausibility and justification for those premises that contain an empirically grounded assertion of existence. Examples of such paradoxes are the Sorites paradox, the Lottery paradox, and the Grue paradox. Contrary to the dialectical role, the epistemic function of scenarios is indispensable, as it connects paradoxes to the real world and underscores their significance in specific debates.

The Opioid Epidemic and Faith-Based Responses in Southern Appalachia, USA: An Exploration of Factors for Successful Cross-Sector Collaboration.

This study aimed to identify factors for successful cross-sector collaboration with faith-based responses to the opioid epidemic in southern Appalachia. In-depth interviews were conducted with representatives from organizations responding to the opioid epidemic (N = 25) and persons who have experienced opioid dependency (N = 11). Stakeholders perceived that collaboration is hindered by stigma, poor communication, and conflicting medical and spiritual approaches to opioid dependency. Collaborations are facilitated by cultivating compassion and trust, sharing information along relational lines, and discerning shared commitments while respecting different approaches. The study concludes with theoretical and practical implications for both religious leaders and potential cross-sector collaborators.

Look Who’s Talking Now: The Effects of Pre-recorded and AI-generated Synthetic Brand Voices on Brand Anthropomorphism and Brand Equity

Technological innovations, including artificial intelligence (AI), are progressively being integrated into marketing and branding. However, the novel nature of these technologies often shrouds their potential benefits and associated risks. This holds also true for the implementation of AI in the domain of brand voices. Brand voices may play a crucial role in fostering human-like brand perception (brand anthropomorphism), potentially offering competitive advantages for companies. However, the integration of AI in shaping brand voices in an advertising context remains a relatively unexplored area. This study addresses this gap by examining the impact of pre-recorded and AI-generated synthetic brand voices on brand anthropomorphism and brand equity. Conducted through a 3 × 2 online experiment the study shows that both pre-recorded and synthetic brand voices positively influence brand anthropomorphism. Additionally, brand anthropomorphism emerges as a strong mediator between brand voices and brand equity. Notably, the positive effects persist even when the synthetic brand voice is disclosed as being AI-generated. Theoretical and practical implications of these findings are derived.

News media consumption and support for counter-terrorism measures: the role of hatred and fear

ABSTRACT Media are a key social agent shaping society’s responses to measures implemented in the fight against terrorism. We argue that emotions elicited by media narratives on terrorist attacks are decisive to understand the link between the news media consumption and citizens’ support for military intervention in the Middle East, as well as for security measures in the home country. In two studies conducted after the Brussels attacks (N = 250) and the Barcelona attacks (N = 633), we tested the explanatory role of emotions – specifically fear and hatred – in the association between media narratives and these two outcomes. The results of both studies show that hatred explained the positive relationship between news media consumption and support for military intervention, and to a lesser degree, agreement with security measures. In contrast, the positive relationship between news media consumption and agreement with security measures was explained by fear. This research underscores the need to consider how emotions are utilized in media discourse. We discuss practical implications of our findings for promoting ethical journalism.

Explaining the gift-giving intentions of live-streaming audiences through social presence: the perspective of interactive marketing

PurposeLive streaming has become an extremely popular form of online service and allows live audiences to give virtual gifts or money to their favorite streamers. This study aims to investigate the impact of the audience's multidimensional social presence on their attitudes toward live streamers and intentions to give money or gifts to streamers, based on the interactive marketing perspective. This study considers live audiences' gift-giving intentions by integrating the theory of multidimensional social presence, which includes awareness, cognitive social presence and affective social interaction, and the theory of reasoned action (TRA).Design/methodology/approachThis study invited audiences who had watched live streaming from several popular live-streaming platforms to respond to a web questionnaire. The unit of analysis was at the individual level. This study applied the purposive sampling technique for data collection. A sample of 258 eligible responses to the online survey was analyzed using SPSS software and the causal relationships between the measurement variables of this research model were verified through structural equation modeling.FindingsThe results indicate that the audiences' awareness of participating in live streaming enhanced their cognitive and affective social presence, which positively affected their attitudes toward live streamers. These attitudes had a further significant effect on their gift-giving intentions. Cognitive social presence and affective social presence were found to play significant mediating roles in the relationship between awareness and attitudes toward live streamers.Originality/valueThis study examines audiences' intention to give gifts to their favorite live streamers, based on the interactive marketing perspective. The interactive relationship between live streamers and online audiences is developed by audience members through the process of inner psychological transformation, which is measured through the multidimensional construct of social presence. This occurs through a mutual influence relationship in which awareness simultaneously influences cognitive social presence and affective social presence, and cognitive social presence impacts affective social presence.Research limitations/implicationsThe study contributes three noteworthy findings to the theory development through the integrated perspective of the TRA and the theory of social presence. (1) Exploring the influence of belief factors on internal psychological responses and intention in live streaming to expand an innovative application of the TRA. (2) Adopting the multidimensional social presence can help researchers more clearly describe various live-streaming situations and extend the research scope of the social presence theory to live-streaming interactive marketing strategies. (3) From the perspective of live-streamer marketing, this study broadens the research fields of electronic commerce and interactive marketing.Practical implicationsThis study provides four practical implications for platform managers and live streamers. (1) To induce favorable attitudes toward live streamers, live streamers initiate various interactive activities sequentially to establish a social presence with the audience. (2) Live streamers should devote themselves to forming a joyful atmosphere for their followers, as this will trigger audiences' affective social presence to generate positive attitudes and increase followers' intentions. (3) To attract and retain young followers, live streamers must devise interesting content and provide fresh services. (4) Platform managers must create useful widgets to assist live streamers in managing their channels and followers.Social implicationsBuilding friendly real-time interaction between the live streamer and the audience is an important task in live streaming and further influences the income of the live streamer and the platform. The study provides an effective approach to building friendly real-time interaction for the live streamer and manager of live-streaming electronic commerce through the interactive marketing perspective. The approach can help the live streamer manage nice communication with their audience and obtain virtual money and gift-giving from the audience.

Coordinative Europeanization as a response to crisis: what lessons from the RRF for future EU cohesion policy?

AbstractA considerable amount of literature has been devoted to analysing the genesis, rationale and modus operandi of the NGEU and RRF. However, not much attention has been paid to the practical implications of the RRF, and potential lesson-drawing, for established EU policies. EU cohesion policy is particularly salient in this respect, given the RRF’s general objective of contributing to economic, social and territorial cohesion and the current discussions about the RRF serving as a model for future cohesion policy, to improve the policy’s effectiveness, rationalise spending in view of future enlargements and better tie EU funding with reforms. Starting with a comparison between the delivery arrangements of EU cohesion policy and of the RRF, the study identifies and tests four expectations about their timing and absorption, possible displacement effects, administrative burden, and the impacts to be achieved, and tackles the following research questions: is it realistic to expect the RRF and cohesion policy to work synergistically, given the diversity in their delivery arrangements? Is the RRF proving sufficiently effective and simple, to represent a good model for future EU cohesion policy? Could the coordinative Europeanization that is typical of the RRF be a viable decision-making and implementation mode beyond emergency?

The Impact of Public Art Installations on Urban Recreation Spaces

Purpose: This study sought to examine the impact of public art installations on urban recreation sports. Methodology: The study adopted a desktop research methodology. Desk research refers to secondary data or that which can be collected without fieldwork. Desk research is basically involved in collecting data from existing resources hence it is often considered a low cost technique as compared to field research, as the main cost is involved in executive’s time, telephone charges and directories. Thus, the study relied on already published studies, reports and statistics. This secondary data was easily accessed through the online journals and library. Findings: The findings reveal that there exists a contextual and methodological gap relating to public art installations on urban recreation sports. Preliminary empirical review revealed that public art installations significantly enhanced the aesthetic appeal, social cohesion, cultural vibrancy, and economic vitality of urban recreation spaces. Through a comprehensive analysis of literature and empirical studies, it was found that artworks such as sculptures, murals, and interactive installations transformed urban environments into dynamic and engaging settings, fostering a sense of place and community identity. Moreover, public art installations promoted social interaction, community engagement, and economic activity, attracting visitors and stimulating commercial development. The study emphasized the importance of sustainable and inclusive approaches to public art planning and programming to maximize its positive impact on urban environments. Unique Contribution to Theory, Practice and Policy: Environmental Psychology theory, Placemaking theory and Cultural Ecosysem Services theory may be used to anchor future studies on public art installations. The study suggested further research to deepen theoretical understanding and interdisciplinary frameworks for analyzing the role of public art. Practical implications included integrating public art into placemaking strategies, prioritizing community engagement, and adopting sustainable practices. Policy recommendations called for supportive frameworks, resource allocation, and awareness-building efforts to promote the social, cultural, and economic benefits of public art. Additionally, the study emphasized the importance of evaluation, community capacity building, and professional development to strengthen the implementation and impact of public art initiatives in urban recreation spaces.

The Experiences of International Researchers in Japanese Companies: A Graduate Capital Perspective

Purpose This study investigates the motivations, contributions, and challenges faced by international researchers employed at Japanese companies. It utilizes Tomlinson's Graduate Capital Model to gain insight into their experiences. Design/Approach/Methods This study employs Tomlinson's Graduate Capital Model as an analytical framework to analyze data from semi-structured interviews with 15 international researchers, focusing on their experiences and perspectives. Findings The study indicates that international researchers' motivations to work in Japanese companies include professional advancement, the research environment, academic opportunities, economic factors, and cultural elements. Language proficiency in Japanese and English significantly influences career choice and mobility. The post-COVID era impacts their mobility, with funding availability, institutional support, and policy changes playing critical roles. In addition, this study highlights the need for holistic support, multilingualism, and multicultural integration among Japanese companies to enhance their competitiveness in the global talent market. Originality/Value This study fills a significant gap by offering a deeper understanding of the experiences of international researchers in Japanese companies, and by delivering insight and practical implications for policy considerations and talent management strategies in a rapidly evolving and increasingly globalized labor market.

The value of work for doctors in Pakistan: towards a framework for ensuring decent work

ABSTRACT The critical frontline work of doctors in Pakistan was overlooked and undervalued by the government, hospitals, and the public during the COVID-19 pandemic. Media reports and studies highlight that public sector doctors in Pakistan facing new societal, professional, and organisational challenges, compounding to the inherent demands of work potentially leading to its undervaluation. This study, explores how the work of doctors is (under)valued in Pakistan’s public sector hospitals, and how this aligns to the underpinnings of decent work. 27 semi structured in-depth interviews were conducted with doctors in Pakistan’s public sector hospitals. We found that serving others, recognition and appreciation, and professional learning and development were valuable aspects, while flaws in the healthcare system, issues from patients and public, poor work environment, a lack of essential health facilities, and physical and mental health challenges associated with work were considered factors which undervalue the work for doctors. Drawing on the intersect between the concept of decent work and psychology of working theory, we establish a value framework for decent work that aligns with its psychological and sociological dimensions. Based on the findings we offer policy and practice implications ensuring the provision of decent work to public sector doctors in Pakistan.

Attitudes and Behaviors Around Preventative Measures Against Malaria During Pregnancy in The Luwero District of Uganda

Background: In Uganda, the rate of malaria in pregnancy ranges from 8.9-50% depending on the level of transmission within the region. It is estimated that malaria may contribute to 8-14% of low birth weight, 3-8% of infant mortality, and 3-15% of maternal anemia. There is limited information on the attitudes and behaviors of pregnant women related to malaria prevention-health impacts for the child, including infant and maternal death. Methods: A cross-sectional study was conducted in June of 2023. A structured interview was used to collect data on demographics, attitudes, and preventative behaviors related to malaria during pregnancy. Interviews conducted in participants’ homes took approximately 50 minutes. Descriptive statistics were run for demographic data. Chi-squared test and Pearson Product Moment Correlation with a significance level set at p < 0.05 were conducted to test relationships between variables of interest. Results: Data were collected from 63 women with a mean age of 37. All women had at least one pregnancy resulting in a live birth. Almost one-third of women (31.7%, n = 20) reported getting malaria during their most recent pregnancy. Most respondents (82%, n = 52) received prenatal care and 87.3% (n = 55) used at least one prevention measure against malaria during their last pregnancy. For the participants that reported not protecting themselves (12.7%, n = 8) it was found to be statistically significant in preventing malaria (χ2 = 9.744, p = .008). Bed net use was found significant in preventing malaria during pregnancy (χ2 = 7.113, p = .029) and SP/Fansidar (χ2 = 46.534, p = < .001) during their most recent pregnancy. Receiving prenatal care was found to be significant (χ2 = 24.186, p = <.001). Education level was also found to be significant in to whether women received prenatal care (χ2 = 14.634, p = .023) and in the attitudes that pregnant women should receive malaria treatment during pregnancy (χ2 = 17.084, p = .009). Conclusion: This study sheds light on the attitudes and behaviors surrounding preventative measures against malaria during pregnancy among a sample of women in rural Uganda. The study emphasizes the need for targeted health campaigns to promote bed net use, addressing barriers to IPTp implementation, and advocacy for improved policy change and antenatal care attendance. Improving access to prenatal care services, particularly in rural communities, is needed to keep women and children healthy. Implications for Practice: Recognizing the challenges related to policy implementation, there is a pressing need to advocate for policies that support effective prevention strategies during pregnancy. Advocacy efforts should be directed towards improved policy implementation and encouraging regular antenatal care visits.

An Analysis of Chip Formation and Hole Circularity in Drilling Applications: An Aircraft Components Perspective

Drilling plays a critical role in the production of precise holes for aircraft components. However, drilling aluminum alloys poses challenges, leading to poor hole quality and potential defects in the airframe structure. This study focused on investigating chip formation, hole circularity, and drilling parameters, specifically feed rate and spindle speed. Dry drilling trials are conducted using high-speed steel drill bits and the Al6061-T6 alloy. The CIMCO MDC-MAX software is employed to monitor machine performance and accumulate comprehensive data. The study investigates the effect of varying feed rates on hole circularity, chip development, and chip thickness. Findings indicate that higher feed rates result in increased circularity error and chip thickness. The circularity graph shows inconsistencies due to workpiece vibration during drilling. Chip thickness rises with the feed rate, particularly with an increased number of drilled holes, attributed to factors such as tool rubbing and improper cutting. Additionally, the study highlights the correlation between machine performance and product quality. The CIMCO MDC-MAX data reveals that a feed rate of 0.260 mm/rev corresponds to high machine performance and low circularity. Conversely, Drill 6, operating at a feed rate of 0.230 mm/rev, exhibits poor machine performance and higher average circularity. The research enhances understanding of chip formation and hole circularity in drilling applications for aircraft components. The results emphasize the importance of optimizing drilling parameters to achieve superior hole quality. Practical implications are provided for enhancing the drilling process in aerospace manufacturing.

Accessibility of Halal Certification Bodies in Australia: A Website Content Analysis

ABSTRACT The increasing Muslim population and growing demands for Halal products have necessitated a corresponding growth in Halal certification. While Muslim-majority countries typically practice centralized Halal certification governance, non-Muslim countries, including Australia, have their own unique Halal certification body systems. The Australian Government recognizes 24 Halal certification bodies. Previous studies have primarily focused on the general requirements for certification. In contrast, our study takes a unique and novel approach, attempting to understand each body’s system and accessibility from the point of view of customers and food producers. This novel approach should pique the interest of our audience, as it offers a fresh perspective on a well-studied topic. We implemented website content analyses through website searches and comparative analysis to identify information that can assist Halal product consumers and certification applicants. While most bodies have established guidelines for Halal certification, several areas remain unclear, with no procedures to aid consumers and producers in checking and applying for certifications. Our study identifies these areas for improvement, with the goal of enhancing information accessibility and marketability of these bodies to assist consumers and applicants in obtaining proper guidance on Halal certification. This research is not just theoretical, but it has practical implications that can significantly improve the Halal certification process in Australia, making it more accessible and marketable. This reassurance of practical application should instill confidence in the audience about the relevance and usefulness of the study.

The Impact of Monitoring on Reseller Slackness: The Mediating Role of Channel Conflict

ABSTRACT Purpose The purpose of this study is to examine how monitoring influences reseller slackness. We try to answer the following: (1) How do monitoring (behavior monitoring and output monitoring affect reseller slackness? (2) What is the mechanism by which monitoring affects reseller slackness? Methodology/approach The study proposed a theoretical framework using behavior monitoring, output monitoring, and channel conflict as the antecedents, as well as reseller slackness as a consequence. To validate the model, we collected data from resellers across multiple industries in China and analyzed data from 222 valid responses using multiple regression methods. Findings Supplier behavior monitoring decreases reseller slackness, whereas supplier output monitoring increases it. In addition, channel conflict mediates the impact of monitoring on reseller slackness. Research implications Based on the expectation that the partnership will grow in the long term, both partners should minimize channel conflict, and resellers need to curb their slack behavior. While output monitoring can give resellers more freedom to make decisions, this study shows that output monitoring can exacerbate inter-firm conflict and promote reseller slackness. Therefore, managers should be cautious about using output monitoring strategies for reseller slackness management. Practical implications Our findings suggest that behavior monitoring can mitigate channel conflict and reduce reseller slackness. However, output monitoring can facilitate channel conflict, promoting reseller slackness. As a result of these findings, suppliers can better manage reseller slackness by understanding the effects of different types of monitoring. Originality/value This study makes two contributions to existing literature. Firstly, it empirically examines the role of behavior and output monitoring on reseller slackness, thus enriching the existing literature on reseller slackness. Secondly, it further clarifies the specific pathways through which monitoring affects reseller slackness and lays the foundation for future research on managing it.

Introduction: Regional inequality and political discontent in Europe

ABSTRACT What is the relationship between regional inequality and political discontent in Europe? This special issue addresses this question by studying the influence of the subnational context. Specifically, it examines the impact of unequal social conditions and economic growth on political discontent with national and international politics, as expressed in political behaviour, public opinion and policy preferences. This introduction outlines a research agenda that establishes the context of the special issue. It explains the key concepts of interest, summarises significant empirical trends, outlines explanatory models and discusses methodological challenges. In addition to establishing the research agenda that serves as the analytical framework, this introduction also presents the core findings of the special issue and discusses broader implications for future research and practice.

Main and interactive effects of discrimination, parent racial/ethnic socialization, and internalizing symptomology on BIPOC teens' ethnic-racial identity.

Research suggests that BIPOC (Black, Indigenous, People of Color) adolescents have the best developmental outcomes when strong, positive ethnic-racial identity (ERI) is acknowledged and embraced. This study investigated whether discrimination, internalizing symptomology, parent socialization, and/or interactions of these variables were associated with adolescent ERI, specifically in exploration, resolution, and affirmation, to illuminate nuanced ways BIPOC youth can achieve positive ERI. Recruited from third-party research panels, surveyed participants were adolescents (Mage = 15.28; 51.6% male) of diverse ethnic/racial groups and socioeconomic backgrounds from all regions of the United States. Overall, results showed that there were four significant main effects on ERI: a negative relation between internalizing symptomology and exploration, a positive relation between parent socialization and exploration, a positive relation between parent socialization and resolution, and a negative relation between internalizing symptomology and affirmation. There were also two significant interactive effects such that (1) discrimination had a stronger negative relation with affirmation under condition of high internalizing, and (2) parent socialization had a stronger positive relation with affirmation under condition of high internalizing. Results show development of ERI in adolescence is subject to multiple, interactive influences. Main and interactive effects highlight the contextual role that mental health implicates for youth of color. Implications for parents and practitioners are discussed.

The mediating role of corporate borrowings in the nexus between financial inclusion and performance of ICT firms: new insights from Vietnam

ABSTRACT This paper examines the effect of financial inclusion on firm performance and whether corporate borrowings serve as an effective channel of the impact. In doing so, we use principal component analysis to calculate a financial inclusion index for Vietnam. We then conduct mediation analysis on this index and a large panel of Vietnamese firms in information and communication technology sector from 2008 to 2018. Empirical results indicate a negative influence of financial inclusion on firms’ return on assets. More importantly, corporate borrowings significantly mediate this relationship. In particular, financial inclusion increases corporate borrowings, which then affects return on assets. Although corporate borrowings are positively associated with firm sales, they reduce return on assets and net profit margin of firms. The findings are robust to different estimation methods and inclusion of control variables. They convey important policy implications for governments, academic researchers, and industry practitioners wishing to design programmes and policies to help firms obtain the financial resources necessary for their development.