Wen-Ting Lin and Kuei-Yang Cheng
The purpose of this paper is to examine the effects of the compensation level and the gap between the chief executive officer (CEO) and the top management team (TMT) with respect…
Abstract
Purpose
The purpose of this paper is to examine the effects of the compensation level and the gap between the chief executive officer (CEO) and the top management team (TMT) with respect to the rhythm of firm internationalization.
Design/methodology/approach
The approach takes the form of an empirical analysis. The authors use longitudinal data (1997-2006) of a sample of 345 publicly-listed firms in Taiwan.
Findings
The results show that higher CEO compensation will lead to regular foreign expansion. The CEO–TMT compensation gap has a curvilinear effect on the rhythm of firm internationalization.
Research limitations/implications
These findings highlight that the compensation structure has a significant influence on a firm ' s internationalization strategy. This research contributes to the literature linking strategic human resource management and corporate strategy in terms of firm internationalization.
Practical implications
When firms consider regular foreign expansion, the compensation committee should design a high total compensation level and appropriate the compensation gap between the CEO and TMT members.
Originality/value
This study sheds light on how the compensation of the upper echelons determines whether the internationalization rhythm is regular or irregular. Moreover, the study examines how internal contingencies, such as performance, moderate the relationship between the upper echelons’ compensation and the internationalization rhythm.
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Abbas J. Ali, Monle Lee, Yi‐Ching Hsieh and Krish Krishnan
Individualism collectivism measures, along with decision styles, are examined in Taiwan. About 600 questionnaires were distributed directly to employees with managerial positions…
Abstract
Individualism collectivism measures, along with decision styles, are examined in Taiwan. About 600 questionnaires were distributed directly to employees with managerial positions in private, public, and mixed enter prises in the capital, Taipei. In general, Taiwanese were found to be more collectivist than individualistic. Participants displayed a strong preference for consultative and participative styles and determined that these two styles were the most effective in practice. Further more, participants indicated that their immediate supervisors were mostly consultative and autocratic.
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Ncamsile Ashley Nkambule, Wei-Kang Wang, Irene Wei Kiong Ting and Wen-Min Lu
The main purpose of this study is to empirically investigate the impact of intellectual capital efficiency on US multinational software companies' performance from 2012 to 2016 by…
Abstract
Purpose
The main purpose of this study is to empirically investigate the impact of intellectual capital efficiency on US multinational software companies' performance from 2012 to 2016 by applying data envelopment analysis (DEA).
Design/methodology/approach
It adopts a new slacks-based measure (SBM) to obtain a more accurate performance estimation and rank between companies. Regression analysis is used to test the overall IC and each of its elements (Human Capital, Innovation Capital, Process Capital and Customer Capital).
Findings
The univariate result shows that multinational companies are more efficient than non-multinational companies. However, the regression result shows that multinationality can hardly explain the firm efficiency of software firms. Another interesting finding is that intellectual capital has a positive and significant impact on software firm performance in the US human capital influences firm efficiency directly. However, when human capital is combined with the other elements of IC, the contribution of human capital becomes less significant. This is because people may think that innovation capital, process capital and customer capital can replace human capital, but it is not. In short, human capital may affect firm efficiency through other elements of IC (innovation capital, process capital and customer capital) as it is the base of other elements.
Research limitations/implications
The results show that multinational companies have higher efficiency scores than non-multinational companies. In addition, Intellectual capital has a positive and significant impact on software firm performance in the US human capital influences firm efficiency directly. However, when human capital is combined with the other elements of IC, the contribution of human capital becomes less significant. This is because people may think that innovation capital, process capital and customer capital can replace human capital, but it is not. In short, human capital may affect firm efficiency through other elements of IC (innovation capital, process capital and customer capital) as it is the base of other elements.
Practical implications
Overall, the study highlights the needs of having intellectual capital and its elements (Human Capital, Innovation Capital, Process Capital and Customer Capital) to increase firm efficiency.
Originality/value
First, the authors use a more comprehensive elements of IC, which are human capital, innovation capital, process capital and customer capital for a better IC measurement. Second, this study makes the first attempt using the DSBM model via DEA to examine the operating efficiency of US multinational software firms.
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This study investigates the behaviour of family firms, family management and family ownership regarding their socioemotional wealth (Corporate Social Responsibility (CSR)) during…
Abstract
Purpose
This study investigates the behaviour of family firms, family management and family ownership regarding their socioemotional wealth (Corporate Social Responsibility (CSR)) during the COVID-19 pandemic and according to their slack resources availability.
Design/methodology/approach
This study employs a multiple regression analysis to analyse 245 firm-year observations from 2020 to 2021.
Findings
Family firms have a negative effect on CSR, as do family management and family ownership. Slack resources (both absorbed and unabsorbed) reduce the negative effect of family firms (and family ownership) on CSR. Unabsorbed slack resources reduce the negative effect of family management on CSR and absorbed slack resources increase the negative effect of family management on CSR. The results are robust with various measurements of slack resources. Extra analyses reveal that family commissioner has no effect on CSR.
Originality/value
To the best of the author’s knowledge, this is the first empirical study to analyse the impact of COVID-19 on the preservation of socioemotional wealth in family firms. This study proves the theoretical argument of prior studies that the preservation of socioemotional wealth in family firms during the COVID-19 pandemic depends on their financial condition. The study also proves that there are different attitudes among family ownership, family management and family firms concerning the use of slack resources for socioemotional wealth preservation that have not been analysed by previous research.