Christopher Gan, Baiding Hu, Cindy Gao, Betty Kao and David A. Cohen
This paper seeks to investigate the impact of socioeconomic factors of homebuyers such as gender, age, marital status, education, economic status and race on home ownership and…
Abstract
Purpose
This paper seeks to investigate the impact of socioeconomic factors of homebuyers such as gender, age, marital status, education, economic status and race on home ownership and loan decisions in urban China.
Design/methodology/approach
This paper employs logistic regression to investigate the socioeconomic factors affecting the consumers' house purchase decision in urban China and the factors affecting the housing loan application.
Findings
Using a structured questionnaire to collect relevant data from household residents (both homeowners and non-home owners) in Nanjing in 2010, the findings document that male respondents who are non-minorities and have higher levels of education are more likely to purchase a house. The results also show that race, educational attainment, size of household and credit card ownership are significantly related to rejection for a housing loan.
Research limitations/implications
The findings in this paper provide homebuyers with a better understanding of factors affecting the housing loans and their decision to purchase a house. Homebuyers can accurately assess their financial ability and improve the use of their credit to purchase a house. In addition, Chinese homebuyers should be encouraged to save since savings serve as a step in building their credit worthiness; therefore, their accessibility to housing loans can be improved and the rate of homeownership will be increased as well.
Originality/value
This research would benefit both lender and borrowers. The research findings provide banks with a better understanding of homebuyers' characteristics that influence their accessibilities to housing loans. Homeownership requires affordable housing financing. Banks should consider repackaging their home loan products to make them more attractive to those with limited means. Such products should focus on making loans more affordable in real terms. First-time homebuyers are almost always young and earn low incomes.
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Christopher Gan, Zhaohua Li, Weizhuo Wang and Betty Kao
This paper aims to investigate the determinants of default mortgage in China and the factors affecting the mortgage amount granted by Chinese banks.
Abstract
Purpose
This paper aims to investigate the determinants of default mortgage in China and the factors affecting the mortgage amount granted by Chinese banks.
Design/methodology/approach
This paper employs the credit scoring model to investigate the determinants of default mortgage in China and the factors affecting the mortgage amount granted by Chinese banks.
Findings
Using a proprietary dataset from branches of the Construction Bank of China containing information on all mortgages offered to borrowers from 2004 to 2009 1st quarter, the paper documents that borrower rating, mortgage rate and mortgage duration are significantly related to default rate and mortgage amount. These findings suggest that Chinese banks' mortgage lending are based on commercial basis. This helps to reduce the likelihood of a real estate bubble in China.
Research limitations/implications
The findings in this paper argued that a good credit scoring model has the ability to detect bad loans; this could help the bank to reduce the loan losses from loan default. Consequently, it can improve the profitability and the financial stability of the bank.
Originality/value
This research would benefit both lender and borrowers. Lenders can apply an objective evaluation technique with a standard process and criteria to appraise their customer's credit risks and creditworthiness. A good credit risk management tool can effectively control risk selection, manage credit losses, evaluate new loan programs, improve loan approval processing time, and ensure that existing credit criteria are sound and consistently applied.
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The purpose of this study is to investigate the motives for granting additional remuneration to majority managers in Tunisian limited liability companies. The theoretical…
Abstract
Purpose
The purpose of this study is to investigate the motives for granting additional remuneration to majority managers in Tunisian limited liability companies. The theoretical explanation is based on the tax avoidance hypothesis on the one hand and on the conflict of interests hypothesis on the other hand.
Design/methodology/approach
The sample used consists of 48 Tunisian limited liability companies throughout the period ranging from 2015 to 2020. The authors use the panel data with the generalized method of moments (GMM) estimate in first difference.
Findings
The results provide evidence of a positive relationship between the accounting performance of the company and the granting of additional remuneration to majority managers, alongside their share in profits. What is more, there is a positive relationship between the change in the company's accounting results and the granting of additional remuneration to majority managers, alongside their share in profits. Likewise, the tax avoidance carried out by the firm is positively and significantly correlated with the granting of additional remuneration to majority managers, alongside their share in profits.
Practical implications
The results may help corporations consider their future growth opportunities. This is in a context where the approach to tax avoidance and conflict of interests occupies a central place in the assessment of the granting of additional remuneration to majority managers, alongside their share in profits.
Originality/value
This article is motivated by the low number of works in the context of granting additional remuneration to majority managers, alongside their share in profits. It makes a substantial contribution to the academic literature through adding to the limited body of research on tax avoidance and conflict of interests in a corporate context.
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Kiyohiko Ito and Elizabeth L. Rose
As companies grow and increase the number of products they have on offer, they generally change and adapt their organizational structures, in order to arrange their resources and…
Abstract
As companies grow and increase the number of products they have on offer, they generally change and adapt their organizational structures, in order to arrange their resources and product mix in ways that will create value. We analyze various corporate structures that have been adopted by U.S., European, and Japanese companies, in the context of the resource‐based view of the firm. These corporate structures include functional, divisional, conglomerate diversification, core competence‐based diversification, and keiretsu. We also identify an emerging structure. This recent development is a network of alliances, aimed at pursuing economies of scale, scope, and speed.
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L.J. Yao, T.H.Y. Kam and S.H. Chan
The paper seeks to investigate how culture, attitudes and barriers affect knowledge sharing in a Hong Kong government department.
Abstract
Purpose
The paper seeks to investigate how culture, attitudes and barriers affect knowledge sharing in a Hong Kong government department.
Design/methodology/approach
Interviews and survey instruments were used to collect data for qualitative analysis.
Findings
Knowledge management and knowledge sharing were welcome ideas in the Hong Kong government department. Informal and tacit knowledge sharing took place but the Chinese culture remained as a barrier to knowledge sharing.
Research limitations/implications
As this is a study of one government department in one particular country, the findings may not be sufficiently generalizable.
Practical implications
Senior management in the public administration sector should be made more aware of what knowledge management can do to help improve organizational efficiency and effectiveness.
Originality/value
The study is an in‐depth analysis of one large government department's use of knowledge management, which has not been studied before. This study and its findings contribute significantly to the knowledge of how culture will affect knowledge management in the public administration sector.
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Dian Agustia, Sendy Dwi Haryanto, Yani Permatasari and Putu Nidia Midiantari
This research aims to provide evidence that firms that create product innovations (PROINVs) can improve the performance of firms in Indonesia. And then this research also provides…
Abstract
Purpose
This research aims to provide evidence that firms that create product innovations (PROINVs) can improve the performance of firms in Indonesia. And then this research also provides evidence that firms with high technological capabilities can moderate the impact of PROINV on firm performance in Indonesia.
Design/methodology/approach
Based on the firm that disclosure research and development expenditures, the number of samples in this study is 261 annual reports for the period 2015–2020. Researchers used an estimate of Moderation Regression Analysis (MRA) with STATA 14.0.
Findings
The results showed that PROINV significantly affected firm performance, while technology capabilities (TECHCAP) did not. Then TECHCAP can moderate the impact of PROINV on the performance firm. This research showed that TECHCAP are pure moderation, whereas TECHCAP can weaken the impact of PROINV on firm performance.
Research limitations/implications
This research can provide empirical results that firms in Indonesia must adapt to meet the needs of society in creating PROINVs and technological innovations to maintain a sustainable national economy. And then, this research provides the understanding that high TECHCAP can create sustainable PROINVs that can affect firm performance.
Originality/value
The novelty in this study researchers added variable moderation of technological capabilities to the model of the effect of PROINV on firm performance. A firm with high technological capabilities will be balanced with good research and development activities to create a long-term and sustainable firm orientation.
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A. Kassab, E. Divo, J. Heidmann, E. Steinthorsson and F. Rodriguez
We report on the progress in the development and application of a coupled boundary element/finite volume method temperature‐forward/flux‐back algorithm developed to solve…
Abstract
We report on the progress in the development and application of a coupled boundary element/finite volume method temperature‐forward/flux‐back algorithm developed to solve conjugate heat transfer arising in 3D film‐cooled turbine blades. We adopt a loosely coupled strategy where each set of field equations is solved to provide boundary conditions for the other. Iteration is carried out until interfacial continuity of temperature and heat flux is enforced. The NASA‐Glenn explicit finite volume Navier‐Stokes code Glenn‐HT is coupled to a 3D BEM steady‐state heat conduction solver. Results from a CHT simulation of a 3D film‐cooled blade section are compared with those obtained from the standard two temperature model, revealing that a significant difference in the level and distribution of metal temperatures is found between the two. Finally, current developments of an iterative strategy accommodating large numbers of unknowns by a domain decomposition approach is presented. An iterative scheme is developed along with a physically‐based initial guess and a coarse grid solution to provide a good starting point for the iteration. Results from a 3D simulation show the process that converges efficiently and offers substantial computational and storage savings.
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Nina Preschitschek, Helen Niemann, Jens Leker and Martin G. Moehrle
The convergence of industries exposes the involved firms to various challenges. In such a setting, a firm's response time becomes key to its future success. Hence, different…
Abstract
Purpose
The convergence of industries exposes the involved firms to various challenges. In such a setting, a firm's response time becomes key to its future success. Hence, different approaches to anticipating convergence have been developed in the recent past. So far, especially IPC co-classification patent analyses have been successfully applied in different industry settings to anticipate convergence on a broader industry/technology level. Here, the aim is to develop a concept to anticipate convergence even in small samples, simultaneously providing more detailed information on its origin and direction.
Design/methodology/approach
The authors assigned 326 US-patents on phytosterols to four different technological fields and measured the semantic similarity of the patents from the different technological fields. Finally, they compared these results to those of an IPC co-classification analysis of the same patent sample.
Findings
An increasing semantic similarity of food and pharmaceutical patents and personal care and pharmaceutical patents over time could be regarded as an indicator of convergence. The IPC co-classification analyses proved to be unsuitable for finding evidence for convergence here.
Originality/value
Semantic analyses provide the opportunity to analyze convergence processes in greater detail, even if only limited data are available. However, IPC co-classification analyses are still relevant in analyzing large amounts of data. The appropriateness of the semantic similarity approach requires verification, e.g. by applying it to other convergence settings.
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Martin H. Kunc, Maria Cleofe Giorgino and Federico Barnabè
According to the “strategic focus and future orientation” principle of the integrated reporting (<IR>) framework, <IR> should provide information useful to support investors in…
Abstract
Purpose
According to the “strategic focus and future orientation” principle of the integrated reporting (<IR>) framework, <IR> should provide information useful to support investors in assessing the future financial performance of organizations. This study aims to support the operationalization of this function by improving the forward-looking orientation of the integrated report.
Design/methodology/approach
Basing on the backward- and forward-looking disclosure in <IR> and the dynamic resource-based view (DRBV), this study develops an explorative case study building a quantitative simulation model based on an integrated report.
Findings
This study provides useful insights into how operationalizing the <IR> “future orientation” and obtaining more quantitative information on the organization’s capacity to create value in the future by applying DRBV and quantitative simulation modeling.
Research limitations/implications
The article presents one case study to explore the method suggested to improve the <IR> forward-looking orientation. Additional case studies applying the same research design should be certainly useful to refine the method.
Practical implications
Supporting the <IR> forward-looking orientation, this study provides additional information for the decision-making process of investors, thus contributing to the efficient and productive allocation of capital.
Originality/value
Few studies have investigated forward-looking information in integrated reports, highlighting the existence of an “information gap” referred to such disclosure. Overcoming these previous results, the study provides useful insights on how to improve the <IR> forward-looking orientation.
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Chinho Lin, Yu-Wen Chiu, Wen-Chieh Chen and Shu-Fang Ting
The aim of this article is to construct a performance evaluation framework that can be employed in companies to enhance their business operations and strengthen their financial…
Abstract
Purpose
The aim of this article is to construct a performance evaluation framework that can be employed in companies to enhance their business operations and strengthen their financial advantage in the current environment. To validate the approach, a case example has been included to assess the practicality and validity of this approach when applied in a real environment.
Design/methodology/approach
This study focuses on an important part of the strategic planning process: internal scrutiny and environmental (external) scanning, in which an evaluation of company performance is divided into two stages by using network DEA and the cross-efficiency approach. In addition, this article employs Miles and Snow's typology for classifying the strategies used by companies.
Findings
The analytical results show that the proposed framework can be useful for companies seeking to evaluate which strategies may be the most appropriate, based on Miles and Snow's typology, to effectively reallocate limited resources.
Research limitations/implications
The evaluation in this study only uses financial data and does not take other nonfinancial indicators into consideration.
Originality/value
This research provides value by classifying each company included in the study in terms of its capability and financial efficiency according to Miles and Snow's system of strategy classification. Second, an internal and external performance measuring framework is constructed. Finally, some propositions for top management are provided by analyzing the financial advantages of using a performance evaluation framework that can help top management make decisions more objectively.