Krishna Moorthy, Loh Chun T’ing, Seow Ai Na, Chew Tze Ching, Lee Yuin Loong, Lim Sze Xian and Teoh Wei Ling
This paper aims to study the factors that influence customer loyalty toward the internet service providers in Malaysia. The five factors used are corporate image, perceived…
Abstract
Purpose
This paper aims to study the factors that influence customer loyalty toward the internet service providers in Malaysia. The five factors used are corporate image, perceived quality, perceived value, price fairness and promotion. The mediating variable of this study is customer satisfaction, while customer loyalty is the study variable.
Design/methodology/approach
The primary data collection has been done by distributing survey questionnaires to 338 internet users in Malaysia. The data collected have been analyzed with SAS software.
Findings
The results showed that perceived quality has the strongest influence on customer satisfaction toward internet service providers in Malaysia. However, corporate image has no relationship with customer satisfaction toward internet service providers in Malaysia. Furthermore, customer satisfaction has a significant and positive relationship to customer loyalty toward the internet service providers in Malaysia.
Originality/value
European Customer Satisfaction Index has been adopted and combined with price fairness and promotion as a new research model that other researchers may look into it further. This research may also serve as a guide to internet service providers as they may learn about the underlying factors that affect the satisfaction and loyalty of customers and which factor has the strongest impact.
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Wei Xiong, Tingting Liu, Xu Zhao and Zihan Xiao
This paper explores the association between directors’ and officers’ liability insurance (D&O insurance) and management tone manipulation.
Abstract
Purpose
This paper explores the association between directors’ and officers’ liability insurance (D&O insurance) and management tone manipulation.
Design/methodology/approach
This study uses data from A-share listed non-financial companies from 2009 to 2021 as its sample for empirical tests. In addition, the study relies on text analysis and the construction of models to investigate the relationship between D&O insurance and management tone manipulation.
Findings
The authors find that the purchase of D&O insurance will lead to management tone manipulation in the “management discussion and analysis” part of companies’ annual reports, and operating risk and agent cost are the two paths for the effect. Further analysis shows that having a male CEO and employing high-quality auditors can weaken the positive impact of D&O insurance on tone manipulation.
Originality/value
This paper provides a new approach for studying the literature related to D&O insurance and management behavior, and the findings enrich our understanding of the influencing factors and the mechanism of management tone manipulation, thus revealing policy implications for further standardization of the terms and system of D&O insurance in China.
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Although prior research documents that analysts sometimes herd their forecasts, very few studies investigate how investors’ judgments are influenced by their perceptions of the…
Abstract
Although prior research documents that analysts sometimes herd their forecasts, very few studies investigate how investors’ judgments are influenced by their perceptions of the likelihood of analyst herding. I conduct an experimental study to investigate the conditions under which investors’ assessments of uncertainty about future earnings are influenced by their perceptions of the likelihood of analyst herding. As expected, and consistent with motivated reasoning, the results show that the temporal order of analyst forecasts influences investors’ estimates of the likelihood of analyst herding and investors’ uncertainty judgments when analyst forecasts are preference-inconsistent but not when analyst forecasts are preference-consistent. This study provides a potential explanation for the mixed findings of prior research in regard to investors’ reactions to the likelihood of analyst herding. In addition, this study extends research on investors’ credulity by providing evidence that motivated reasoning and skepticism may serve as a mechanism that contributes to that credulity.
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This paper provides a quantitative review of the literature on the repercussions of idiosyncratic information on firms’ cost of equity (CoE) capital. In total, I review the…
Abstract
This paper provides a quantitative review of the literature on the repercussions of idiosyncratic information on firms’ cost of equity (CoE) capital. In total, I review the results of 113 unique studies examining the CoE effects of information Quantity, Precision and Asymmetry. My results suggest that the association between firm-specific information and CoE is subject to moderate effects. First, the link between Quantity and CoE is moderated by disclosure types and country-level factors in that firms in comparatively weakly regulated countries tend to enjoy up to four times greater CoE benefits from more expansive disclosure—depending on the type of disclosure—than firms in strongly regulated markets. Second, a negative relationship between Precision and CoE is only significant in studies using non-accrual quality proxies for Precision and risk factor-based (RFB)/valuation model-based (VMB) proxies for CoE. Third, almost all VMB studies confirm the positive association between Asymmetry and CoE, but there is notable variation in the conclusions reached when ex post CoE measurers are used.
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Chee-Hua Chin, Tat-Huei Cham, Jill Pei-Wah Ling, Chai Jasmine Bao-Tze and Wei Chiang Chan
With an emphasis on the moderating impact of trust, this study examines determinants influencing the purchase intentions of young consumers in augmented reality (AR) shopping…
Abstract
Purpose
With an emphasis on the moderating impact of trust, this study examines determinants influencing the purchase intentions of young consumers in augmented reality (AR) shopping platforms. This research study aims to pinpoint essential elements, including the enjoyment dimensions (i.e. entertainment, visual appeal and hedonic component) and practicality dimensions [i.e. informativeness, navigation and perceived usefulness (PU)], that are imperative in influencing young consumers’ purchase intentions in AR-based shopping platforms.
Design/methodology/approach
The present study used a quantitative approach grounded in the stimulus-organism-response model and the extended technology acceptance model, which analysed purchase intention among the youth using AR shopping platforms. One hundred seventy-two samples were gathered through self-administered questionnaires and underwent partial least squares structural equation modelling analysis to predict the relationships between the proposed variables.
Findings
The results of the current study suggested the independent variables (e.g. entertainment, visual appeal, informativeness and navigation) had a significant impact on hedonic components and PU. Furthermore, both hedonic components and PU had a significant and positive influence on purchase intention. Nevertheless, it is noteworthy that hedonic components and PU in relation to purchase intention were not moderated by trust.
Originality/value
The developed research framework is significant for understanding the perceptions of shopping behaviour among young consumers in the Borneo region of Malaysia. This is one of the few studies that explored the interplay between enjoyment and practicality’s dimensions on purchase intention via AR shopping platforms in the less explored region of Malaysia. Hence, this study plays a pivotal role in contributing to the existing marketing and technology management literature. Moreover, it holds practical importance for business operators and marketers as it aids in decision-making and strategic planning for the future direction of businesses in the young consumer market.
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Jun Huang, Haijie Mo and Tianshu Zhang
This paper takes the Shanghai-Shenzhen-Hong Kong Stock Connect as a quasi-natural experiment and investigates the impact of capital market liberalization on the corporate debt…
Abstract
Purpose
This paper takes the Shanghai-Shenzhen-Hong Kong Stock Connect as a quasi-natural experiment and investigates the impact of capital market liberalization on the corporate debt maturity structure. It also aims to provide some policy implications for corporate debt financing and further liberalization of the capital market in China.
Design/methodology/approach
Employing the exogenous event of Shanghai-Shenzhen-Hong Kong Stock Connect and using the data of Chinese A-share firms from 2010 to 2020, this study constructs a difference-in-differences model to examine the relationship between capital market liberalization and corporate debt maturity structure. To validate the results, this study performed several robustness tests, including the parallel test, the placebo test, the Heckman two-stage regression and the propensity score matching.
Findings
This paper finds that capital market liberalization has significantly increased the proportion of long-term debt of target firms. Further analyses suggest that the impact of capital market liberalization on the debt maturity structure is more pronounced for firms with lower management ownership and non-Big 4 audit. Channel tests show that capital market liberalization improves firms’ information environment and curbs self-interested management behavior.
Originality/value
This research provides empirical evidence for the consequences of capital market liberalization and enriches the literature on the determinants of corporate debt maturity structure. Further this study makes a reference for regulators and financial institutions to improve corporate financing through the governance role of capital market liberalization.
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Fotini Economou, Konstantinos Gavriilidis, Bartosz Gebka and Vasileios Kallinterakis
The purpose of this paper is to comprehensively review a large and heterogeneous body of academic literature on investors' feedback trading, one of the most popular trading…
Abstract
Purpose
The purpose of this paper is to comprehensively review a large and heterogeneous body of academic literature on investors' feedback trading, one of the most popular trading patterns observed historically in financial markets. Specifically, the authors aim to synthesize the diverse theoretical approaches to feedback trading in order to provide a detailed discussion of its various determinants, and to systematically review the empirical literature across various asset classes to gauge whether their feedback trading entails discernible patterns and the determinants that motivate them.
Design/methodology/approach
Given the high degree of heterogeneity of both theoretical and empirical approaches, the authors adopt a semi-systematic type of approach to review the feedback trading literature, inspired by the RAMESES protocol for meta-narrative reviews. The final sample consists of 243 papers covering diverse asset classes, investor types and geographies.
Findings
The authors find feedback trading to be very widely observed over time and across markets internationally. Institutional investors engage in feedback trading in a herd-like manner, and most noticeably in small domestic stocks and emerging markets. Regulatory changes and financial crises affect the intensity of their feedback trades. Retail investors are mostly contrarian and underperform their institutional counterparts, while the latter's trades can be often motivated by market sentiment.
Originality/value
The authors provide a detailed overview of various possible theoretical determinants, both behavioural and non-behavioural, of feedback trading, as well as a comprehensive overview and synthesis of the empirical literature. The authors also propose a series of possible directions for future research.
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Wendy Ming‐Yen Teoh, Siong Choy Chong, Binshan Lin and Jiat Wei Chua
In view of the promising growth of e‐payment in Malaysia, this study aims to discover the factors influencing perception towards electronic payment (e‐payment) from the Malaysian…
Abstract
Purpose
In view of the promising growth of e‐payment in Malaysia, this study aims to discover the factors influencing perception towards electronic payment (e‐payment) from the Malaysian consumers’ perspective.
Design/methodology/approach
Literature indicates that factors such as benefits, trust, self‐efficacy, ease of use, and security influence consumers’ perception towards e‐payment. A self‐reporting questionnaire was developed and disseminated to 200 respondents, out of which 183 valid responses were considered for further statistical analysis.
Findings
The multiple linear regression results reveal that benefits, self‐efficacy, and ease of use exert significant influences on consumers’ perception towards e‐payment. However, the insignificant results obtained for trust and security warrant further investigation.
Research limitations/implications
This study proposes five factors for measuring consumers’ perception towards e‐payment which is replicable across different economies. However, the small sample size raises the issue of generalizability which future studies should seek to address.
Practical implications
The use of e‐payment by the majority of respondents confirms that there is a great potential for future expansion of such payment devices. The challenge is to ensure that it continues to meet consumers’ expectations which will subsequently lead to its increased adoption and use.
Originality/value
This study has advanced knowledge for it has provided information on the current state of e‐payment acceptance and use, particularly among Malaysians. The significant factors identified are beneficial to the policy maker, banking institutions, online transaction facilities providers, and software developers as they develop strategies directed at increasing e‐payment acceptance and use.
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Mohmed Y. Mohmed Al-Sabaawi, Ali Abdulfattah Alshaher and M.A. Alsalem
Electronic payment (e-payment) systems literature analysis reveals that they are growing in developing countries; however, they are limited in the Arab countries and, more…
Abstract
Purpose
Electronic payment (e-payment) systems literature analysis reveals that they are growing in developing countries; however, they are limited in the Arab countries and, more importantly, scarce in Iraq in particular. Therefore, this paper aims to investigate the factors influencing the intention of users to use e-payment systems in Iraq. Additionally, this study proposes an e-payment adoption model based on technology usage models to identify user trends toward e-payment systems.
Design/methodology/approach
A quantitative approach is adopted to test the proposed model. The proposed model is based on the Unified Theory of Acceptance and Usage of Technology theory. The proposed model is validated using survey data from 339 e-payment system users. Using Amos software, this study used structural equation modeling (SEM), a statistical technique for analyzing factor relationships.
Findings
The findings of the study indicate that performance expectancy, effort expectancy, social influence, facilitating conditions and price saving orientation influence Intention to accept the e-payment system. Similarly, habit, technology security, trust, innovation resistance, psychological empowerment also affect intention to accept an e-payment system. However, hedonic motivation and perceived risk do not affect e-payment system adoption.
Originality/value
The identified factors play a major role in user intentions toward the adoption of e-payment systems for financial transactions and addressing these factors will make e-payment acceptable in the future. The results of this study contribute to assisting governments or e-payment firms and decision-makers in building strategic decisions or policies that will increase the adoption of e-payment by individuals.