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The purpose of this paper is to investigate the effect of accounting conservatism (as a proxy for financial reporting quality) on the degree of financial leverage. In addition, this paper examines the impact of global diversification (as a proxy for operational complexity) on the relationship between conservatism and financial leverage.

A panel data regression analysis is conducted for the period 2000-2006. The authors utilized a two-way fixed-effects model to control for unobservable firm characteristics and time effects that may influence the firm’s decision to report conservatively.

This paper provides empirical evidence that conservatism is positively associated with the degree of financial leverage, and the influence of conservatism on financial leverage is enhanced by the degree of global diversification.

A major issue in corporate finance is the identification of variables that influence corporate capital structure choices. The evidence presented in this paper reveals that more conservative financial reporting is associated with a higher degree of financial leverage in the firm’s capital structure. This effect increases with the extent of global diversification, indicating that bondholders place a higher value on conservatism when there is more information asymmetry between stakeholders and managers caused by global diversification.

The purpose of this paper is to develop a theory based on transaction cost economics to help explain how firms venturing into different foreign markets should properly formulate and implement contractual governance mechanisms to create greater efficiency, lower costs, and minimize conflict with partners.

Defines and discusses a conceptual framework of the determinants regarding contracts and strategies used to manage conflict in foreign ventures through the integration of foreign venture conflict resolution, contract, and transaction cost economics literature.

Suggests that perceived transaction costs will predict which contractual governance mechanism and which conflict resolution strategy a partner firm will choose when resolving conflict in a foreign venture. Postulates that consistency of conflict resolution strategy with contract type will impact the performance of the foreign venture, and that cultural distance, relative power, and interest alignment will all play a moderating role in this process.

The model demonstrates the necessity of examining how coupling certain conflict resolution strategies and contract types will impact foreign venture performance.

This study aims to present an integrated framework and investigate the enabling roles of governance mechanisms (i.e. contract, interdependence, trust and communication) in the choice of effective conflict resolution strategies (CRS) that in turn facilitate buyer–supplier relationship (BSR) performance.

Using Web-survey, data are collected from 170 Finnish small- and medium-sized enterprises that have key relationships with suppliers. This study uses structural equation modeling to test the research framework and hypotheses of the study.

The results based on empirical evidence demonstrate how the firms’ choice of CRS depends on the governance mechanisms. The problem solving approach is the most preferable choice, while the legalistic approach remains the last resort influenced by different governance mechanisms. Interdependence and trust between firms drive them to compromise while resolving inter-organizational conflicts. The selected strategies by firms may also either reinforce or deteriorate relationship performance.

Supply chain managers should recognize the context in which these choices of CRS are made, as it guides them to anticipate their partner’s behavior as well as influences their strategy choice decisions when coping with conflicts. A trustworthy environment supports in providing a certain level of confidence while interdependency drives firms to compromise. The legalistic strategy can hurt the partner’s feelings and diminish relationship performance.

Conflicts in BSR have become inevitable, but the existing literature is missing evidence on how companies use CRS to enhance relationship performance. Hence, this study differs from those of earlier conflict studies, as it provides a more integrative perspective of buyer–supplier conflict resolution process. This study argues that relationship governance mechanisms can be connected to the choice of effective CRS when tensions arise. Moreover, by assessing the relationship between CRS and relationship performance, this study offers valuable insights to understand that effective strategies enable partners to mutually adapt constructive approaches that facilitate cooperative behavior and accommodate both parties’ interests and needs.

This study aims to measure the level of public awareness about the threat of the emerging coronavirus (COVID-19) pandemic among the Omani population. It also aims to investigate the mediating effect of the Omanis’ attitudes and behaviors with underlying conditions of COVID-19.

A cross-sectional study was conducted to collect data via an online survey of Omani citizens and residents from various geographic areas in Oman, 305 responses were received. SPSS and partial least square-structural equation modeling were used for data analysis.

The study revealed that public awareness regarding the COVID-19 pandemic was significantly influenced by people’s perceived risk, information source and health-related knowledge. Further, preventive behavior during the disease spread has a significant direct and indirect impact on their awareness. However, an insignificant mediation effect of public attitude was found between the source of information and public awareness.

This study is limited by the scarcity of related literature in the Omani context. It is recommended that future research complete an in-depth study of public awareness regarding COVID-19, using other constructs and/or other data collection techniques.

This research will provide governmental health authorities and policymakers with a guideline to establish more efficient pandemic containment strategies to control public behavior toward the COVID-19 pandemic and curb viral prevalence.

This research will help in improving prevention measures against COVID-19 are recommended to be more educated through a more effective mechanism to raise public attitude regarding pandemic prevalence positively.

The originality of this research can be drawn from key findings that indicate that people overall gained knowledge about how to deal with the COVID-19 pandemic and the accuracy of information significantly impacts public awareness.

This paper aims to investigate the impact of audit mechanisms on earnings management (EM) practices in listed Saudi Arabian companies. Specifically, it examines the association between audit committee (AC) characteristics, external audit quality and EM before and after the revision of Saudi Regulations on Corporate Governance (SRCGs) in 2017.

The study analyzes a data set comprising 135 Saudi-listed companies observed from 2013 to 2020. EM practices are measured using the absolute value of discretionary accruals, and external audit quality is assessed by the involvement of BIG 4 auditors. The authors also consider four variables to gauge AC characteristics: independence, size, meeting frequency and expertise. To test the hypotheses, the authors use multivariate regression on panel data.

The findings provide robust evidence regarding the impact of audit mechanisms on EM practices. The presence of accounting and finance experts within the AC is shown to have a substantial and statistically significant effect in reducing EM practices. Similarly, AC independence demonstrates a negative association with EM after the implementation of the SRCGs 2017. However, the study does not uncover any statistically significant impact of AC size and meeting frequency on EM practices. Moreover, the research highlights a noteworthy positive relationship between EM practices and engagement with BIG 4 audit firms before the SRCGs 2017. However, this relationship ceases to exist following the regulatory amendment.

The practical implications of this research are significant for policymakers and companies operating in Saudi Arabia, as well as for practitioners and auditors working in the region. The findings underscore the importance of high-quality auditing work to prevent EM practices and promote transparent financial reporting. The study recommends increasing the number of independent members and financial experts on the AC, as well as rigorous monitoring of AC size and meetings. It also emphasizes the need for compliance with governance regulations to focus on effective monitoring of the AC rather than mere fulfillment of requirements.

The study enhances the existing literature on the effectiveness of ACs and external audit quality in mitigating EM by providing evidence from a unique and Islamic context that has not been extensively studied before. This can help in validating or challenging the findings of previous studies and provide a more comprehensive understanding of the factors that impact EM in different contexts.