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This study aims to examine how capital structure influences earnings management for firms in the Saudi market, which is influenced by an Islamic environment that discourages excessive borrowing.

This study uses a data set that covers the period from 2013 to 2020 for firms listed on the Saudi Stock Exchange (Tadawul) and uses panel data regression models to test the impact of capital structure on earnings management.

The empirical results reveal that earnings manipulation is less common among firms that have less debt, which implies that firms in the Saudi market face high scrutiny to maintain lower leverage to meet the investment requirements of stakeholders based on religious status, which in turn reduces information asymmetry and constrains opportunistic behaviour in managing earnings.

This study provides insights for regulators, investors, and managers on the role of religion in shaping capital structure and monitoring financial reporting practices. This study recognises that firms’ decision-making can be explained by non-economic motives, such as religion, which can serve as a less costly external mechanism to alleviate agency costs compared to other economic motives.

This study contributes to the literature by exploring how capital structure and earnings management relate to a distinctive and unique Islamic context that remains largely unexamined. This context allows us to investigate this issue by examining how the Islamic environment, which is not driven by economic or legal reasons, affects managers’ choices of capital structure and earnings management. This study reveals how a strong religious setting can shape firms’ choices regarding capital structure and financial reporting practices.

Mental health is not simply the absence of psychological problems any more than physical health is the absence of disease. This chapter explores various aspects of optimal mental health and wellbeing among college students. It examines the question of what is required for college students to both feel their best and function at or near their highest levels. It also discusses the characteristics of peak mental health, including its transient nature. Predictive factors such as exercise, diet, sleep and social connection will be explored. Regarding the features of optimal wellbeing, the following variables are described: integrity, values, mindfulness, self-compassion, flow and resilience. These variables are considered in an integrated fashion as components, as well as byproducts, of wellness. Hettler’s multidimensional model of wellness is presented at the outset of the chapter, followed by Keyes’ theory of flourishing.

We expand the recent literature on the dynamics of capital structure decisions by investigating the impact of national culture on firms' optimal debt ratios and their dynamic re-adjustment process. To this end, we aim at estimating firm-specific speeds of leverage adjustment, allowing for heterogeneous dynamics in firms' capital structure.

We use dynamic panel data estimators to analyze the impact of cultural factors on the dynamics of debt ratios.

We show that national culture affects the optimal level of leverage and the dynamic rebalancing of debt ratios, both directly and indirectly, by altering the effect of firm characteristics and macroeconomic factors on firms' financing behavior. Firms converge faster towards the optimal leverage in countries with a stronger attitude to conform with the norm, while they are slower where there is a higher propensity to intellectual autonomy. A higher risk aversion and long-run propensity induce over-levered firms to reduce leverage faster, making the adjustment process strongly asymmetric. Moreover, national culture also produces indirect effects by mitigating the impact of asymmetric information on capital structure decisions. Indeed, firms in more individualistic countries display a lower speed of adjustment and a stronger effect of firm characteristics associated with higher agency costs. On the contrary, firms in countries with a higher tendency to conform to social norms, less individualistic and more long-term oriented have a higher adjustment speed and appear to suffer less from agency issues. Our results therefore highlight how national culture affects agency problems within firms, thus suggesting the adoption of country-specific corporate governance provisions accounting for the effects of local cultural traits on managers' behavior.

We expand the capital structure and governance literature by showing how cultural traits impact on the dynamics of debt ratios. In particular, we show how cultural traits may mitigate or exacerbate the role of agency issues on firms' behavior, hence suggesting that cultural factors may interact with governance rules in shaping firms' decisions. Therefore, our work highlights how policy-makers should include cultural aspects when defining regulation concerning corporate governance.

This chapter provides an overview of prominent theories about areas in which college students develop and how they do so, as well as factors that hinder students’ growth. Although there are a multitude of theories about college student development, such as those that describe students’ moral or cognitive growth, this chapter will focus on theories that are most closely related to students’ mental health and wellbeing. The seven domains in which college students grow, according to Chickering, are reviewed first, followed by Sanford’s theory that posits that college students need a proper balance of challenge and support to develop. Next, the chapter explores Baxter Magolda’s theory of self-authorship, which proposes that college students are responsible for becoming adults by actively narrating their own beliefs, identities and relationships. The chapter concludes by examining various models of cultural identity development. Although these models are not specific to college students, virtually all students will develop their identities along one or more cultural dimensions before they graduate. Models of ethnic identity development, White racial consciousness and faith development are presented in detail.

The paper aims to investigate the importance of leadership – distributed leadership (DL) – for the relationship between organizational learning (OL) and business sustainability (BS).

Extensive literature research was carried out to investigate the relationship among leadership, OL and BS. Two theoretical frameworks of the relationship among DL, OL and BS were formulated and tested on the basis of the empirical studies conducted in 694 Polish and Danish companies. The moderated multiple regression and mediation analysis were used.

In-depth, critical literature analysis has shown that the theoretical foundation of the relationship between leadership and BS is limited and not empirically verified. However, the empirical study has revealed a positive, statistically significant effect of DL on both OL and BS and the mediating role of OL on the relationship between DL and BS (a partial and complimentary mediation).

It would be valuable to simultaneously consider other leadership types (beyond DL) in terms of their impact on OL and BS. Additionally, due to the nature of BS challenges and the specificity of DL, other factors influencing BS should be included for a more profound understanding of the relationships under investigation. Finally, additional contextual factors need to be taken into account.

To the best of the authors’ knowledge, the paper is one of the first studies that present the relationship between OL and BS with reference to factors influencing BS, i.e. leadership. The value of the paper is the development of two alternative models of the relationship among DL, OL and BS and their verification through large-scale empirical cross-country research. Furthermore, the results obtained in the course of the research open up new research directions with respect to the development of the concept of sustainable leadership and deepen the knowledge of the relationship between leadership types and OL.

This chapter explores the impact of Entrepreneurial Orientation (EO), Sustainable Orientation (SO), and Human Resource Orientation (HRO) – the key dimensions of the strategic posture known as Humane Entrepreneurship – on the success of 142 equity crowdfunding campaigns hosted on the US-based platform WeFunder. Utilizing text analysis in conjunction with fuzzy set qualitative comparative analysis, a configurational research method, the study identifies diverse combinations of these dimensions that lead to successful funding outcomes. The analysis, encompassing both minimum and maximum funding targets and supplemented by robustness tests, indicates that successful equity crowdfunding campaigns are characterized by pitches displaying high levels of autonomy, innovativeness, proactiveness, and risk-taking, with a lesser focus on competitive aggressiveness. It is also observed that campaigns emphasizing HRO consistently achieve their fundraising goals, independent of the funding target set. Notably, a startup’s SO does not seem to significantly influence campaign success within the equity crowdfunding context.

Does societal trust influence short-term financial management? Recent papers uncover the importance of societal trust for financial management in specific countries and large firms. Our paper aims to provide a comprehensive analysis of the impact of societal trust on short-term financial policies of SMEs, namely working capital management and cash holdings.

We rely on a sample of 14,711 privately owned medium-sized manufacturing firms from 26 European countries with a sample period between 2014 and 2020. For estimation, we use pooled OLS and hierarchical linear models and control for several firm-specific and country-specific known determinants of short-term financial management. Moreover, our results are robust to the specific measurement of trust, financial constraints, and corruption.

We show a positive relationship between trust and working capital requirements investment and a negative relationship between trust and the level of cash holdings. Moreover, we show that trust attenuates the negative impact of being a financially constrained firm and the positive impact of national perceptions of corruption. Finally, in higher trustworthy environments, firms operate with relatively higher inventories and relatively lower trade credit granted and obtained.

Results suggest that policies supporting societal trust may also foster business development and that when dealing with clients or suppliers from different trustworthy environments, firms may have to adapt their business models to incorporate trust differences between business environments.

Firstly, the comprehensive analysis of the impact of trust on working capital management and cash holdings while controlling for different firm-level and country-level known determinants of short-term financial management. Secondly, it addresses a European sample of unquoted, medium-sized firms. Thirdly, it studies the combined effect of trust and financial constraints and trust and corruption.

This study aims to explore the strategies corporations use in engaging stakeholders to sustain healthy corporate partnerships and create value for the corporate entity and the society in which they operate and their influence on the corporate manager’s cognitive abilities and decision-making.

The authors used an interpretive research approach leveraging the strengths of qualitative method of content analysis and comparative and critical analyses to report the results. Interpretive methods incorporate social theories and standpoints that view reality as the social construction of understandable events in the context of organizational communication.

The findings of this study suggest that corporations are assumed to follow and execute the principles of engaging stakeholders to achieve corporate social responsibility (CSR) claiming to manage a sustainable and responsible business practices that recognize local cultures, human rights and protect the environment. However, little attention has been paid to the cognitive reasoning of the individuals responsible for CSR and corporate sustainability (CS) as opposed to the growing concerns about strategies corporations use in engaging stakeholders to sustain healthy corporate partnerships and create value – especially the processes that take place during engagement and decision-making including cognitive offloading.

Stakeholder engagement requires practical approaches that enable corporations and individuals charged with decision-making responsibilities to understand, respond and fulfill their CSRs. To achieve CSRs, corporations and managers responsible for relevant decision-making would need to involve stakeholders in social performance planning, as social reporting/auditing has long been advocating for preventing managerial biasness, groupthink and increased information dissemination via detailed reporting practices toward more collaborative stakeholder relationships. Thus, it is crucial for corporations to implement enhanced stakeholder and managerial decision-making strategies such as integrative approaches to achieve balance in the trio elements of sustainability as well as the growing use of paradox perspective to understand the nature of the tensions being sought to balance and, in the process, provide opportunity for a better evaluation of complex sustainability issues for innovative approach to resolving them. While cognitive decision-making is at play, in practice, managers tasked with making decisions must ensure the most effective stakeholder engagement strategies that are transparent and inclusive are used.

The main contribution of this study is its argument regarding the tools corporations use in engaging key stakeholders and the cognitive reasoning of the individuals responsible for CSR and CS. The study further contributes to interpreting the integrative approach to achieving balance in the trio elements of sustainability as well as the growing use of paradox perspective to understand the nature of the tensions being sought to balance and, in the process, provide an opportunity for a better evaluation of complex sustainability issues for an innovative approach to resolving them.

This study revisits the relationship between environmental, social and governance (ESG) activities and firm performance. More importantly, it tests whether this relationship is moderated by critical yet underexplored factors such as stakeholder engagement, financial constraints, and religiosity.

A wide range of estimation techniques, including pooled ordinary least squares (OLS), fixed effects, system generalized method of moments (GMM) and propensity score matching-difference-in-differences (PSM-DiD), are employed to investigate such issues in a large sample of firms from 31 countries.

ESG performance has a positive and significant impact on firm performance. While stakeholder engagement positively moderates this relationship, financial constraints and religiosity negatively moderate it. Interestingly, this positive linkage is driven by environmental and social performance rather than governance performance.

Firms should proactively engage in ESG initiatives and consider the intervening influences of stakeholder engagement, financial constraints and religiosity in making decisions to invest in ESG activities. Furthermore, our findings can help policymakers understand the financial consequences of ESG practices, which can be helpful in designing new policies to further promote corporate engagement in ESG practices.

First, our research findings help reconcile the long-standing debate about the value impact of ESG. Second, our paper investigates relatively new aspects of the ESG-firm performance relationship. Third, our study offers more insight into the ESG literature by showing that not all ESG dimensions equally impact firm performance.