Large Corporations Research Articles

Expectations and concerns regarding medical advertisements via large commercial medical platform advertising companies: a legal perspective

Advertising in the medical and legal fields, which are among Korea's leading professions, has increasingly utilized major advertising platforms such as LawTalk and UNNI—two of the most prominent and contentious platforms in their respective fields. While it is generally unproblematic for professionals like lawyers and doctors to promote public interest through advertising on these commercial platforms, the creation of a profit-driven structure has the potential to undermine their professional ecosystems. This article explores the issues associated with advertising in the medical field through large commercial platforms, drawing on notable examples from the legal and medical fields in Korea. Specifically, we analyze two of the most popular yet controversial platforms in these sectors, LawTalk and UNNI. In Korea, the format and method of advertising are legal as long as they do not involve referring or soliciting clients, thereby making platform advertising lawful when used solely for that purpose. Nevertheless, it is crucial to prevent medical advertising platforms from establishing market monopolies by skirting various profit regulations and laws. In response to these concerns, the Korean Bar Association has prohibited all advertisements by platform companies. The medical community should closely examine the rationale and process behind this decision. Given the significant social influence of large corporate platforms and the unique social responsibilities of the medical and legal professions, future platform advertising should be subject to distinct legal and institutional regulations that differ from those applied to general services.

A Critical Analysis of the Corporate Alternative Minimum Tax

ABSTRACT The corporate alternative minimum tax, enacted as part of the 2022 Inflation Reduction Act, intends to impose a minimum level of taxation on profitable large corporations using financial statement income as a tax base. Although both alternative tax bases and the usage of financial statement income in taxes have a long history in the United States, the tax represents a substantial change in the current corporate tax law. Although the corporate alternative minimum tax is predicted to raise billions of dollars from a small subset of the largest corporations, its design raises concerns about long-term efficacy. In this article, we summarize the development of the corporate alternative minimum tax in light of its historical predecessors and compare its design against accepted standards of good tax policy, ultimately identifying multiple inadequacies in its construction and implementation. We conclude by making policy recommendations. JEL Classifications: H21; H25; K34.

Improving user security during a call

The recent development of mobile networks has led to the emergence of new threats and methods of implementing existing ones. Phishing attacks, including robocalls, are causing record losses to both individual users and large corporations. At the same time, existing countermeasures cannot provide protection against such attacks because most existing solutions focus on device authentication, whereas user authentication does not occur during a call. Another problem with mobile networks is that there is no point-to-point encryption, i.e., the speech is encrypted only on the segment from the subscriber to the base station. The subject of study in this article is the process of ensuring user security during a call. The purpose of this study is to develop a model of mutual user authentication and end-to-end data encryption in a mobile network during a call. The main objectives are the protection of users from spoofing and vishing and the proposal of a protection method by implementing mutual authentication of users during a call without storing confidential information on the side of a "trusted third party". Method of secure key exchange and end-to-end encryption during a call in the mobile network was proposed. It prevents the interception of calls by the operator for circuit-switched and packet networks. The methods used are mathematical modelling, ontological approach, and multi-criteria optimization models. Because of this research, an algorithm for mutual authentication of users is proposed by introducing biometric authentication methods and modifying the sequence of messages during a call. The proposed approach can be implemented for CS-call and VoLTE/VoWiFi calls. A call cannot be received without user biometric authentication; such as ear pattern or bone conduction methods. Modified SETUP and CONNECT ACK messages are used to inform the other party about the user verification result. This prevents user spoofing, call masquerading, and robocalls. A combination of the proposed asymmetric encryption, a short authentication string, and hashes of previous calls provides a higher level of confidentiality, integrity, and additional resistance to man-in-the-middle attacks. Conclusions. The scientific novelty of the obtained results is the integration of the above methods into the sequence of call flow messages for providing mutual authentication, end-to-end encryption, and counteraction to the number of network attacks. The proposed methods allow one level to increase the provision of services of privacy and observation groups and can be implemented in the software part of user equipment.

Globalization and its Effect on the National Economy: The Albanian Case

Globalization is a widely discussed phenomenon that involves the free flow of goods, services, capital, and people across the world. It is mainly focused on economic and cultural aspects, among others. Globalization can be considered as a trend towards increasing of the interdependence and integration among the countries and regions of the globe. Globalization affects us all and leads a radical change in the human’s lives all over the planet, in the relations between them as well as in culture and other aspects related to institutions. So globalization increases incomes but simultaneously increases social inequalities, leaving some countries and groups of people behind. To put it simply, globalization can rapidly enrich a small group of capable individuals while impoverishing the larger population. This ultimately leads to a decline in living standards across the world. Globalization has both positive and negative sides, globalization also produces winners and losers, both between countries and within them, so there are losses and the lost, but the supporters of globalization do not accept this fact. In conditions when the economies are converging and that this phenomenon is generally acceptable, national governments should look forward to pay attention to the growth of domestic capital the pursuit of international financial reforms with the aim of making it possible to find solutions to help losses and the lost. National governments should have social protection policies on the top of their agenda as well as programs that will help as much as possible in the correcting of the unequal distribution, to help different groups in need. Labor migration is a negative phenomenon that caused by the globalization and damages the economy of small countries in transition as people capable of working move to developed countries for a better life than what they leave in their country of origin. The main indicators of the globalization of the national economy are producing for world markets, being part of the global financial markets, as well as foreign direct investments. Globalization is inevitable, under these conditions the duty of the national governments is to face of the pressure that leads to the subordination of the local economy to the global one. Globalization facilitates the connection of different parts of the world, reducing borders and allowing national economies to cater to global tastes. The decreased transportation costs also contribute to the intermingling of the global and local aspects, ultimately leading to the unification of regions. About globalism, there are currents for and against, while the opponents of globalism as well as those who call globalization the cause of poverty and inequality have not drawn up any alternative model for economic growth and development throughout the globe. Small countries like Albania require large international corporations or companies to invest in them to achieve comprehensive economic development, reduce unemployment, and increase well-being. Financial institutions like the World Bank and the International Monetary Fund also play a crucial role in this process. Received: 25 December 2023 / Accepted: 25 February 2024 / Published: 23 April 2024

Transitioning to Agile Organizational Structures: A Contingency Theory Approach in the Financial Sector

The primary objective of this investigation is to explore the key factors within a large corporation that facilitate the transition from a conventional hierarchical organizational structure to a more agile one. Although there are studies in the literature on the different agile organizational structures, there are no clear guidelines for a large company to transform to an agile framework. This study employs contingency theory as its framework and specifically focuses on the financial sector to identify both opportunities and challenges encountered during this transformation process. Qualitative research methods were employed, involving an analysis of five case studies in which managers served as respondents. This research contributes to the identification of a model as a guideline for the transformation of the organizational structure towards agility that can provide valuable information for companies undergoing such a transformation. The managers surveyed provided their experience and the competencies of their profiles were validated, in addition to the application of the Delphi method to obtain more objective information. The findings underscore that large companies should refrain from adopting a completely flat hierarchical structure. Moreover, there exists a set of strategic-level elements that serve as a guiding framework for the transformation process. Furthermore, it is essential to acknowledge that the transformation process itself does not follow a one-size-fits-all approach; rather, it is contingent upon the unique context of each individual case, and it is also a cultural challenge.

Due diligence of transnational companies in India

Due diligence is the minimum framework for responsibility and reparation for damages in matters of human rights that may arise during and after the production processes of companies have been carried out. In other words, an alternate strategy for encouraging businesses to voluntarily engage with the externalities that their operations may create. This paper aims to evaluate the notion of due diligence in international corporations situated in India using a qualitative case study technique. In this regard, due diligence and its guiding principles are defined to assess the transparency and management responsibility of international companies in India. Then, cases related to positive and negative aspects of due diligence in this Asian country are presented. Finally, conclusions are given. The results lead to the conclusion that even though India is a desirable destination for international investments in industries like electronics, fashion, IT, finance, and the automotive sector, foreign firms have not yet demonstrated that they have complied with due diligence requirements. The most vulnerable population continues to be subjected to cycles of poverty, slavery, and mistreatment because some of the jobs paid by large corporations represent the only means of economic subsistence.

AI patenting and employment: evidence from the world’s top R&D investors

For assessing the overall impact of Artificial Intelligence (AI), it is crucial to continuously monitor large corporations. This paper delves into the examination of 42 corporations that rank among the world's largest investors in R&D, accounting for over one-third of AI patents globally. The focus is on their post-patenting performance, specifically in terms of employment changes, and comparing it with the outcomes of 42 similar companies operating in the same sectors. The latter also recorded substantial levels of R&D expenditures but were not significantly involved in AI patenting. The key findings reveal that, in the medium – and high-tech manufacturing sectors, companies with the highest proportions of AI patents incurred in employment reductions. Conversely, IT services companies experienced substantial employment growth. Along with tentative explanations of these findings, advantages, limitations, and possible developments of this type of analysis are illustrated in the concluding section.

Palestinian diplomacy and communication in latin america case Brazil

Diplomacy and soft power relations with worldwide countries have been and continue to be ambitious for an official Palestinian institution. Political and diplomatic outreach, media communication, and opening relations and embassies with countries and regimes increase legitimacy and convey the message to decision-makers. In Latin America, before the digital connectivity boom, letters and speeches helped build public opinion in favor of the recognition of the Palestinian State. Today, Palestinians are increasingly seeking diplomatic and media communication with the international community to gain support for their full sovereignty, the end of apartheid, settlements, and the recovery of rights. Along with institutional relations, new technologies—although under the control of large corporations—have been exploited by Palestinians to break the siege and allow communication as an extension of diplomatic efforts. This article intends to highlight the role of Palestinian diplomatic relations and media communication between them and the Brazilian government, aiming for political recognition of Palestine. To this end, the research adopts two methodological procedures: literature review and content analysis, based on in-depth interviews. Seven people who worked in the Palestinian diplomatic corps in Brazil were interviewed, including ambassadors and media figures who contributed to diplomatic communication and appeared in the Brazilian media to gain recognition.

A Values-Complementarity Model of Social Movement Influence on Entrepreneurship

Social movements have long held noteworthy effects on organizations and industries by deliberately seeking to alter firms’ actions to align with the movements’ values. In the present research, we examine the possibility of nondeliberative effects of social movements on entrepreneurial activities. We posit that social movements elevate values that enhance market conditions and encourage entrepreneurship in unexpected ways. We examine this values-complementarity process in the context of the 2011 Occupy Wall Street movement. Although the movement intended to delegitimize large corporations, we find evidence that it also had the complementary effect of increasing small-scale, people-centered, and community-oriented values. As such, this enhanced congruent forms of entrepreneurship. We find consistent effects of Occupy on startup growth across a range of industries. Moreover, using brewing as an illustrative setting, we identify distinctive emergent themes confirming the shift and alignment of microbreweries toward stronger community values after Occupy protests. We discuss implications for the social movement and organization literatures.

Effects of Supportive Leadership Behaviors on Employee Satisfaction, Engagement, and Performance: An Experimental Field Investigation

We conduct a field experiment in a large corporation to investigate the effects of supportive leadership behaviors on employee satisfaction, engagement, and performance. Treated leaders receive a brief training promoting leadership behaviors that encourage, assure, and value employee efforts. Our experimental design allows us to observe leaders and employees in a subsequent meeting. We find that the leadership training affects the leaders’ supportive behaviors and thereby increases employees’ self-reported satisfaction and engagement during the meeting by 0.28 and 0.18 standard deviations, respectively. The effect on team performance is 0.13 standard deviations but is not significant. This paper was accepted by Marie Claire Villeval, behavioral economics and decision analysis. Funding: This work was supported by Norges Forskningsråd [Grant 325398]. Supplemental Material: The online appendix and data files are available at https://doi.org/10.1287/mnsc.2022.02170 .

The State of Supplier Diversity Initiatives by Large Corporations: The New Sustainable Supply Chain?

We describe the state of supplier diversity efforts by large corporations from an international perspective. We examine data for the companies in the 2020 and 2022 Fortune Global 500 and find that corporate definitions of diversity are dynamic and vary across regions. Furthermore, while supplier diversity efforts are not yet widespread, these initiatives are increasingly common, especially in the form of references to diversity in companies’ supplier codes of conduct. Companies in North America and in certain economic sectors, such as the financial and healthcare sectors, are more likely to have such efforts in place. Based on our data, companies that report on their internal diversity and companies that have other forms of supplier sustainability initiatives are also more likely to have supplier diversity initiatives. We argue further that supplier diversity efforts will follow a trajectory similar to other supplier sustainability efforts. Finally, we suggest possible avenues for future research on supplier diversity.

China Railway Construction Corporation (CRCC) and African Development

To talk about Africa’s economic development without referring to infrastructure investments made by large Chinese corporations would be to deny the changes in international cooperation between the countries of the Global South. An economic and political project of the People’s Republic of China, whose strength base has been a Big Government and Big Bank accompanied by economic and financial reforms and a long-term imperial vision, the central hypothesis in Hyman Minsky’s work that underlines the importance of public companies and the exercise of a monetary and fiscal policy focused on employment creation with a significant expansion of capital exports. The Great International Financial Crisis (GIFC) strengthened under the Belt and Road Initiative (BRI) along with a social reproduction process of the State capital with a long-term global vision explains the great Chinese corporations. In this essay, we will demonstrate the positioning and growth of large Chinese corporations, interrelated with profound economic and financial reforms in China since the 1980s. Firstly, the focus will be the investments of China Railway Construction Corporation (CRCC) globally; secondly, there will be a brief account of the investment projects on the African continent; lastly, we will pay particular attention to the institutional investors participating in the CRCC.

Intellectual Property Rights, Global Inequalities, and Secular Stagnation

ABSTRACT Intellectual property rights have played an increasingly important role in the global economy since the 1994 TRIPS Agreement. The nature of this role has since come under the spotlights: do intellectual property rights foster innovation or rent seeking? Do they promote knowledge diffusion and development, or do they skew global competition in favor of Western economies? This article explores some of the most striking developments that recently occurred in the world economy, namely, the rise of inequalities and the emergence of the secular stagnation, in the light of the intellectual property rights debate. This article contends that income inequalities, both between and within countries, are partially driven by monopoly rents accumulated by a minority of large Western corporations (inequality between countries) and redistributed to a minority of employees (within countries). In both cases, the imbalance of profit and wage distribution may be contributing to global slow growth by depressing investments and consumption, ushering in an era of secular stagnation, thereby explaining some of the current trends in the global economy.

International entrepreneurship: Insights from Laos, Cambodia, and Vietnam

The discipline of International Entrepreneurship (IE) conceptually rests upon the foundations of entrepreneurship and international business – with theory typically derived from larger corporations and mature markets. Through comparison between IE in emerging and mature contexts, and individual and corporate entrepreneurship, distinctive features of individual IE in emerging markets are identified. A series of case studies conducted in Laos, Cambodia, and Vietnam document how incremental innovation underpins IE; how foreignness helps IEs spot opportunities (unrecognized by locals); how simple bureaucracies (commonly found in emerging markets) invigorate IE; how startups in emerging environments embody assimilation (larger international corporations cannot match) – and how this assimilation (combined with being small and nimble) enables IEs to thrive within ambiguity and institutional voids. Most importantly, this study challenges the applicability of institutional and transaction cost theory to explain market entry modes of individual IEs in emerging markets. Contrary to conventional wisdom, institutional voids were not found to deter these IEs. Rather, these IEs’ primary concerns relate to pro-business dispositions among authorities, simple bureaucracies, and uncomplicated investment climates.

The impact of investor sentiment on stock liquidity of listed companies in China

Researchers have scrutinized the link between investor sentiment and stock market liquidity globally, yet few have delved into this dynamic in emerging markets, especially China. Utilizing a sample of 1,839 publicly listed companies in China from 2010 to 2019, this study applies firm- and year-fixed-effects models to explore the nexus between investor sentiment and stock illiquidity, employing the Amihud measure for stock illiquidity assessment. The outcomes of these fixed-effect regressions illustrate a significantly positive relationship between investor sentiment and stock liquidity in the Chinese market. The positive link is more evident in scenarios characterized by high firm leverage, rapid revenue growth, larger corporations, greater institutional ownership, higher stock volatility, and lower book-to-market ratios. Intriguingly, this analysis incorporates the quadratic term of investor sentiment to examine the potential for a nonlinear dynamic between stock illiquidity and investor sentiment. The findings elucidate that the effect of investor sentiment on stock liquidity diminishes at elevated levels of sentiment, revealing a nonlinear inverse U-shaped relationship. The positive correlation between investor sentiment and stock liquidity persists across the three divisions of the Chinese Shenzhen Stock Exchange and remains robust using alternative liquidity measures, such as Roll’s impact and zeros impact. Addressing causality concerns, current investor sentiment appears to influence subsequent liquidity levels. These results provide valuable perspectives for policymakers, business executives, and investors in the stock market. Acknowledgment This research was funded by the Department of Education of Zhejiang Province General Program [Y202353438], the Wenzhou Association for Science and Technology—Service and Technology Innovation Program [jczc0254], the Wenzhou-Kean University Student Partnering with Faculty Research Program [WKUSPF2023004], and the Wenzhou-Kean University International Collaborative Research Program [ICRP2023002].

Multiple Large Shareholders, Identity, and Corporate Tax Avoidance

AbstractIn recent years, the variation in firms' tax-avoidance behavior has attracted a lot of attention, both theoretically and empirically. This study investigates the governance role of multiple large shareholders in firms' tax-avoidance behavior, using a sample of Chinese state-controlled listed firms over the period 2004–2016. We find that the ownership stake of a firm's largest shareholder is negatively associated with tax avoidance among state-controlled firms. Second, other large non-state shareholders negatively affect tax avoidance of state-controlled firms. The former effect is particularly strong when the local government is the controlling shareholder. Finally, differences in institutional quality influence the largest shareholder's tendency to engage in tax avoidance in state-controlled firms. For state-controlled firms, a better institutional environment elicits more tax avoidance and thus curtails minority-investor expropriation.

Can digital transformation reduce corporate illegality?

AbstractThe advent of the digital economy has ushered in unprecedented opportunities for corporate development. Utilizing a comprehensive data set comprising Chinese listed companies spanning the period 2011–2020, this study empirically examines the impact of digital transformation on corporate illegality. The findings reveal a significant reduction in corporate illegality attributable to digital transformation. This empirical result retains its significance even when subjected to a battery of robustness tests. In terms of the underlying mechanisms, this paper conjecture that digital transformation reduces the internal and external information asymmetry, thereby curbing corporate illegality. Further heterogeneous analysis shows that digital transformation is more effective among corporates with higher agency cost (state‐owned or large corporates) or corporates located in regions with lower degree of marketization level. These heterogeneous effects provide supportive evidence to the above conjecture. The implications of this study extend the boundaries of digital transformation research and furnish novel and actionable insights into the prevention of corporate illegality.

Stepping on Toes? Role Dynamics between Journalists and Lobbyists Regarding Big Tech’s Accountability Agenda

The expanding political role of Big Tech(nology) corporations has triggered concerns about the role of the media in holding corporate power to account. This study provides a comprehensive understanding of role dynamics between journalists and lobbyists toward the agenda for Big Tech’s responsibilities. Based on semi-structured interviews with European journalists ( n = 15) and lobbyists representing large technology corporations ( n = 15), we use professional role perceptions as a heuristic for examining the relationship of both actor groups in tandem. Journalists, who report an overlap of audience-focused with passive watchdog role ideals geared toward legislative accountability, interact with lobbyists, who assert a more concrete and active role perception. Journalists cautiously appropriate their normative watchdog role in accordance with the ideals of detachment and balance to maintain their own media legitimacy and access to an oligopolistic information environment. Remaining strategically sovereign over information, lobbyists perceive a strong mandate to establish Big Tech as a relevant stakeholder in the agenda on their regulatory accountability, but in mid of a perceived techlash, the majority of corporations avoid public attention. Both actor groups’ limited and off-the-record interaction reflects a defensive corporate stance, keeping their negotiation of Big Tech’s accountability off-stage. The technological and regulatory complexity of the information environment might render these corporations unfit for soft regulation by news media. We discuss implications for their co-dependence in the context of fast technological advancement and disruption of (corporate) mediatization processes.

비즈니스 트리즈를 활용한 식품제조업체 성과 향상 방안에 관한 연구

This study was conducted using business TRIZ to develop strategies for the continuous growth, development, and performance improvement of 6th industry certified food manufacturing companies located in the Gyeongbuk region. For this purpose, a survey was conducted targeting 6th industry certified companies in Gyeongsangbuk-do, through which the problems faced by food manufacturing companies and their causes were identified. Based on these problems and causes, key tasks were established, and core issues were derived. Subsequently, these core issues and causes were matched with business TRIZ parameters and applied to a matrix to derive solutions. Based on these solutions, specific measures for improving the performance of 6th industry certified food manufacturers in the Gyeongbuk region were proposed. Firstly, there is a need to expand the organic and eco-friendly product lines and diversify the product lineup to cater to different consumer segments. Secondly, establishing a consumer review and feedback system is crucial, and it is important to improve and re-launch products based on the feedback obtained. Thirdly, launching new products in colors based on market trend analysis and developing product packaging designs that reflect regional characteristics are necessary. Fourthly, expanding product sales through collaboration and joint marketing with local enterprises, as well as partnerships with large franchise corporations, is essential. Lastly, the development of mobile applications for product ordering and promotion, along with promoting and boosting sales through temporary stores, is intended to foster the development of 6th industry food manufacturers in the Gyeongbuk region.

한국과 대만 상장기업의 ESG 활동이 경영 성과에 미치는 영향에 관한 탐색적 연구

This study investigates the impact of Environmental, Social, and Governance (ESG) management on the performance of listed companies in Korea and Taiwan, aiming to derive strategic implications for businesses in these nations. Korea and Taiwan, recognized as advanced economies in Asia due to their rapid post-World War II economic growth, exhibit distinct differences in ESG implementation strategies. Through the analysis of data from companies in both countries, this empirical research employs Tobin’s q ratio as the metric for assessing business performance. The findings indicate that, in contrast to Korea—where government policies and the initiatives of large corporations significantly foster ESG management practices—Taiwan displays a lower propensity towards ESG adoption, attributed to the predominance of small and medium-sized enterprises and specific geographical characteristics. This paper demonstrates the influence of ESG management on a firm’s long-term success and market competitiveness, proposing it as a viable strategy for value creation. By revealing the correlation between ESG practices and business performance, the study provides practical insights for the formulation of policies concerning ESG management, investment, and strategic planning.