The purpose of this study is to examine and answer the following research questions: how does the US electronic industry perform from an intellectual capital (IC) perspective…
Abstract
Purpose
The purpose of this study is to examine and answer the following research questions: how does the US electronic industry perform from an intellectual capital (IC) perspective? What is the relationship between IC and company market value in the US electronic industry? This study investigated the relationship between IC and company market value in the US Standard & Poor's 500 (US S&P 500) publicly traded electronic companies from 1996 to 2005.
Design/methodology/approach
The Ohlson model theory was reviewed and to form the research models. Secondary data were retrieved from S&P's Compustat for quantitative analysis.
Findings
When applying multiple regression technique to the research hypotheses, there emerges a positive relationship between IC and market value of the company. Apparently, US electronic companies are knowledge intensive and utilize IC to create their market capitalization.
Originality/value
This is one of the first empirical researches that quantitatively examine the market value of US S&P's 500 electronic companies from IC perspective in the long‐term.
Details
Keywords
Ting-Ling Lin, Heng-Yih Liu, Chi-Jui Huang and Yu-Chiung Chen
This paper aims to examine the effect of ownership structure and board gender diversity on charitable donations for a group of listed electronics companies in Taiwan.
Abstract
Purpose
This paper aims to examine the effect of ownership structure and board gender diversity on charitable donations for a group of listed electronics companies in Taiwan.
Design/methodology/approach
Using linear regression analysis, this paper analyses the ownership structure, board gender diversity and charitable donations of 380 Taiwanese electronics companies (2011-2013).
Findings
While domestic institutional investors, such as domestic mutual funds and corporate investors, take more of agency logic view, it negatively impacts on charitable donations. However, the empirical findings of this paper indicate that board gender diversity with the critical number of female directors was positively related to charitable donation. Thus, it is clear that female directors reaching critical numbers were taking more of a stakeholder view of institutional logic, emphasizing the balance of interests of internal and external stakeholders.
Research limitations/implications
This paper is limited to selected Taiwanese electronics companies over a two-year time frame, and charitable donations are the only proxy of corporate social responsibility (CSR) activity. The paper suggests that, as predicted by stakeholder theory and critical mass theory, companies with boards composed of at least three female directors make higher charitable donations.
Practical implications
This paper indicates that female directors on the board should have more voices on the board regarding the necessity and importance of CSR.
Originality/value
The paper contributes to existing literature by looking into the effects of ownership structure and board gender diversity on charitable donations.
Details
Keywords
Chih-Pin Lin, Chi-Jui Huang, Hsin-Mei Lin and Cheng-Min Chuang
Country of origin has profound effects on consumer behavior; yet few studies have examined an antecedent of these effects: why some countries enjoy a positive image while others…
Abstract
Purpose
Country of origin has profound effects on consumer behavior; yet few studies have examined an antecedent of these effects: why some countries enjoy a positive image while others suffer a negative one. Developing an institutional theory of country image, the authors argue that weak legal institutions at the country level increase firm opportunistic behavior that expropriates consumers and decrease the product quality of local brands, thus decreasing the country’s image regarding its products and brands.
Design/methodology/approach
This study measures country image for products and brands using the number of valuable brands (i.e. brands included in the top 500 brands from 2008 to 2016) in a particular home country. Data concerning the rule of law in each country come from the World Bank, and data on the efficiency of countries’ judicial systems comes from Djankov et al. (2007). We also collect patent data from the US Patent and Trade Office, national culture from Hofstede Insights and GDP and GDP per capita from the World Bank as control variables. Panel Poisson regression, Tobit regression and truncated regression are used in the analyses.
Findings
Supporting the institutional theory of country image, both the rule of law and efficiency of the judicial systems show positive and significant effects on country image, even when economy size (GDP), degree of economic development (GDP per capita), level of technology and skill (patents) and culture are controlled.
Practical implications
To improve their country’s image and the brand value of local firms, policymakers should strive to strengthen legal institutions aimed at punishing firm opportunistic behavior in their countries.
Originality/value
Previous research on the country-of-origin effect has not yet appreciated the role of legal institutions in developing the construct of country image.