– This paper aims to examine the effectiveness of independent directors based on the perspective of strategic control.
Abstract
Purpose
This paper aims to examine the effectiveness of independent directors based on the perspective of strategic control.
Design/methodology/approach
This is an empirical study carried out between 2007 and 2012 based on a sample of Chinese A-share-listed companies.
Findings
The results indicate that the departure of a CEO provides conditions for the new CEO to become empowered to carry out strategic change. The behavior of a new CEO results in the phenomenon of “a new broom sweeps clean” and increases the scope of strategic change. In addition, the results indicate that the board’s independence negatively moderates the relationship between the CEO’s succession and the scope of strategic change, and that independent directors are effective in supervising risk-taking behavior on the part of the CEO which ultimately results in damaging company performance.
Practical implications
The corporate internal and external supervisory mechanisms should be improved during the process of succession of a new CEO, and the effectiveness of the supervision of board directors should also be strengthened during the implementation of the strategic process of a new CEO.
Originality/value
Previous research on the effectiveness of independent directors mostly focuses on financial control, with a single leap from independent directors to corporate performance, which neglects the strategic control of independent directors. From the micro perspective of the strategic control process as a means of discussing the independent directors’ watchdog role, this paper extends and enriches the research on “the effectiveness of independent directors”.
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Wei'An Li and Da'Ying Yan
This paper makes the first attempt to provide a new analytical framework for research on the evolution of China's corporate governance models. The purpose of this paper is to…
Abstract
Purpose
This paper makes the first attempt to provide a new analytical framework for research on the evolution of China's corporate governance models. The purpose of this paper is to investigate developmental corporate governance mechanisms in China the over past decades from a synthetic and dynamic analytical viewpoint.
Design/methodology/approach
This is a conceptual paper.
Findings
The evolution of corporate governance from an administrative to an economic model in China was not a smooth process and was confronted with various unavoidable institutional and ideological obstacles. Consequently, the transition of governance models has demonstrated the following four salient characteristics: gradualism, dualism, systematization and path dependency.
Originality/value
This paper makes the first attempt to provide a new analytical framework for research on the evolution of China's corporate governance models.
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Wei'an Li, Yekun Xu, Jianbo Niu and Aichao Qiu
The literature on corporate governance has experienced an explosive growth in the past decade and presented some new trends. One purpose of this paper is to make an exploratory…
Abstract
Purpose
The literature on corporate governance has experienced an explosive growth in the past decade and presented some new trends. One purpose of this paper is to make an exploratory survey of this. Since China is a typically emerging and transition economy, another purpose of this paper is to review some domestic studies with an intention to discover the evolution logic of corporate governance practices in China under a complicated and exclusive context, the third purpose is to provide future research directions.
Design/methodology/approach
This paper surveys recent literature in the field of corporate governance, intending to find out the development trends and extract the main line of literature on and practices of Chinese corporate governance.
Findings
In this paper, we find that recent literature on corporate governance provides some new insights into subtle characteristics of governance, governance effects of relational network, political connections, corporate governance evaluation and financial institutions governance. During the past decade, the literature on Chinese corporate governance has referred to some new areas during the transition process from administrative governance to economic governance. In addition to the above, we attempt to put forward an analytical framework and the proposition that Chinese corporate governance is in the transition process from administrative governance to economic governance.
Research limitations/implications
The authors propose some research topics where future studies on corporate governance may prove valuable, especially putting forward an analytical framework which can be used for discussing and analyzing corporate governance in China.
Originality/value
This paper reviews some new trends of literature on corporate governance and makes a contribution to corporate governance studies by providing fruitful directions, extracting the main line and analytical framework for China's mode during the transition process from administrative governance to economic governance.
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Yanwei Zhang, Xinhai Lu, Jinqiu Li and Chaoran Lin
Agricultural science and technology (AST) often need the form of industry-university-research cooperation in successfully completing breakthrough agricultural technology…
Abstract
Purpose
Agricultural science and technology (AST) often need the form of industry-university-research cooperation in successfully completing breakthrough agricultural technology innovations. Therefore, AST industry-university-research cooperation is not only the need of the AST development strategy in China but also the only way for the development of agricultural colleges and universities, agricultural scientific research institutions and agricultural enterprises. Among them, in the process of cooperative breakthrough agricultural technology innovation, the correct selection of partners is the basis for ensuring its effective operation.
Design/methodology/approach
Aiming at the time-series characteristics and information ambiguity of decision information in the dynamic selection process of AST industry-university-research partners, this research introduces the dynamic intuitionistic fuzzy multi-criteria decision-making method of time degree and orthogonal projection. On this basis, field theory is used to construct the cooperative innovation capability field model of the partners, and the threshold for the partners to enter or exit the system is designed to dynamically select and eliminate the partners.
Findings
Results show that this method fully considers the situation of cooperative innovation resources within the AST industry-university-research system and the resource complementarity of candidate partners.
Originality/value
Combined with examples from agricultural scientific research institutions, the applicability and superiority of the model are verified.
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Sudev Dutta, Sudhanshu Dogra and Sumit Sharma
The demand of species monitoring for the benefit of various sectors such as industrial, medicinal and ecological has surged rapidly in the recent past. Therefore, the purpose of…
Abstract
Purpose
The demand of species monitoring for the benefit of various sectors such as industrial, medicinal and ecological has surged rapidly in the recent past. Therefore, the purpose of this paper is to articulate the major developments in synthesizing conductive inks for the structurization of miniaturized as well as disposable or reusable electrochemical equipments.
Design/methodology/approach
This section is not applicable to a review paper.
Findings
Numerous times the need for the use point becomes significant for achieving accurate as well as swift quantification. As an alternate, the wearable and effectual reuseable electrochemical sensors are being practiced. The technique of fabricating devices using conductive inks encompasses novelty, as it provides flexibility in designing the electrodes. The increase in the popularity of inks development is governed by its features of simplicity, reduced cost and waste generation, high production and eco-friendly engineering procedures. Further, the electrochemistry aspects of conductive inks highlighting the importance of their compounds and binders has also been discussed emphasizing on the conductive materials.
Originality/value
This paper is an original review work. This paper will be helpful for manufacturers/researchers from smart wearable textile sector in envisaging innovative developing techniques of sensors as well as biosensors through conductive inks.
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Lazim Abdullah, Herrini Mohd Pouzi and Noor Azzah Awang
This study aims to develop a cause-effect relationship between criteria that contribute to water security using the Intuitionistic Fuzzy-Decision-Making Trial and Evaluation…
Abstract
Purpose
This study aims to develop a cause-effect relationship between criteria that contribute to water security using the Intuitionistic Fuzzy-Decision-Making Trial and Evaluation Laboratory (IF-DEMATEL) method. Differently from the typical DEMATEL which utilizes crisp numbers, this modification introduces intuitionistic fuzzy numbers (IFNs) to enhance judgments in a group decision-making environment. In particular, the linguistic variables used in IF-DEMATEL are defined using the concept of three-tuple of IFNs.
Design/methodology/approach
Data with the linguistic variable “influence” were collected from a group of experts in water security via personal unstructured interviews. Seven water security criteria are considered in this study. Computational software was employed to execute the computational procedures of the IF-DEMATEL method. It is anticipated that by taking into account the hesitation degree of IFNs will reflect the scenario in real life, which could lead to precise decision-making.
Findings
The results show that “Over-Abstraction”, “Saltwater Intrusion” and “Limited Infrastructures” are the cause criteria that contribute to water security. In addition, the relationship map of influence shows that “Water Pollution” and “Rapid Urbanization” are the most vulnerable criteria as these two criteria are most easily affected by other criteria in a unidirectional relation.
Practical implications
It is anticipated that these findings will serve as useful references for water security management and policymakers.
Originality/value
The present study makes a noteworthy contribution to the modification of DEMATEL where three-tuple of intuitionistic fuzzy numbers are considered in the computations. The present study also provides additional evidence with respect to factors that contribute to water security.
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The purpose of study is to overcome the error estimation of standard deviation derived from Expected improvement (EI) criterion. Compared with other popular methods, a…
Abstract
Purpose
The purpose of study is to overcome the error estimation of standard deviation derived from Expected improvement (EI) criterion. Compared with other popular methods, a quantitative model assessment and analysis tool, termed high-dimensional model representation (HDMR), is suggested to be integrated with an EI-assisted sampling strategy.
Design/methodology/approach
To predict standard deviation directly, Kriging is imported. Furthermore, to compensate for the underestimation of error in the Kriging predictor, a Pareto frontier (PF)-EI (PFEI) criterion is also suggested. Compared with other surrogate-assisted optimization methods, the distinctive characteristic of HDMR is to disclose the correlations among component functions. If only low correlation terms are considered, the number of function evaluations for HDMR grows only polynomially with the number of input variables and correlative terms.
Findings
To validate the suggested method, various nonlinear and high-dimensional mathematical functions are tested. The results show the suggested method is potential for solving complicated real engineering problems.
Originality/value
In this study, the authors hope to integrate superiorities of PFEI and HDMR to improve optimization performance.
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Michail Nerantzidis and Anastasios Tsamis
The purpose of this study is to review the prior empirical studies that investigate the corporate governance (CG) determinants and provide a synopsis, and explore the main factors…
Abstract
Purpose
The purpose of this study is to review the prior empirical studies that investigate the corporate governance (CG) determinants and provide a synopsis, and explore the main factors that drive the level of CG disclosure in the Greek context.
Design/methodology/approach
The authors perform an extensive review of the relevant literature and identify 24 papers that use various potential factors. Afterwards, the authors construct two different GC indices to investigate these potentials, and the authors conduct multiple regression analysis to identify and explain these determinants.
Findings
The empirical analysis shows that large Greek listed firms are more likely to disclose more CG information in the CG statement. In addition, the analysis shows statistically significant association with performance-related variables (such as Tobin’s Q and liquidity) and CG-related variables (such as independent members, board meetings and women on board).
Research limitations/implications
The results of the study support theoretical arguments that Greek listed firms disclose CG information not only to fulfill task-related requirements but also to be perceived as social and legitimate.
Originality/value
To the best of the authors’ knowledge, this is the first study that provides a synopsis of the prior literature in CG determinants, while it goes one step further by using the majority of the potential factors that have been used so far. Moreover, this study uses a multi-theoretical framework to address theoretical development, an approach that generates an outline of fruitful directions for future research.
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Jinyu Yang, Bin Liu and Lihua Yuan
This paper comes to the point from the tax competition of local government in investment promotion and capital introduction. This paper aims to empirically examine the internal…
Abstract
Purpose
This paper comes to the point from the tax competition of local government in investment promotion and capital introduction. This paper aims to empirically examine the internal mechanism of enterprises obtaining land resources from local government and its resulting equity investment increase and economic consequences of overinvestment.
Design/methodology/approach
The data of China’s A-share listed companies from 2007 to 2014 were used to test the relationship between the increase in enterprise equity investment and the acquisition of land resources and overinvestment. The descriptive statistics, correlation analysis and least squares linear regression were used to solve the above question.
Findings
One of the reasons for the enterprise equity increase is to obtain scarce land resources. The enterprise acquisition for land resources leads to overinvestment. The equity investment increase from obtaining land resources will further stimulate enterprise group to overinvest.
Research limitations/implications
The authors could not get the actual data of land that subsidiaries have obtained directly. In this research, the authors get the data using consolidated statements and subsidiary statements indirectly.
Practical implications
The results make contributions to the influencing factors and economic consequence of the enterprise investment structural deviation.
Social implications
It provides reference to optimize the “interaction” relationship between government and enterprises.
Originality/value
It identified the “dual-channel” conduction mechanism between land resource acquisition and enterprise overinvestment.
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This paper aims to present the evolution of Chinese business ethics and CSR policy. China currently has business ethics and corporate social responsibility (CSR) concerns…
Abstract
Purpose
This paper aims to present the evolution of Chinese business ethics and CSR policy. China currently has business ethics and corporate social responsibility (CSR) concerns primarily because its economy is in evolution. As the Chinese economy is in transition from the late 1970s from a command–Communist economy to a more hybrid system Beijing model (a system based on a capitalist market controlled through bureaucracy), much has to be understood if one wants to participate in its vast economic potential.
Design/methodology/approach
The study is based on the building of a model that depicts the evolution of business ethics in China as a base for further research.
Findings
With the rapid development of the Chinese economy, opportunities are opening up to Chinese entrepreneurs and connected officials. This has led to money worship and, in some cases, thorough unethical behavior. The uncertain and ever-changing rules of the game generate opportunity for business ethics and CSR problems. This wealth creates temptation and incentives to cut corners to get rich fast. Much research has tried to explain business ethics in China through the understanding of Guanxi (Chinese social network of reciprocal business relations common in Confucian cultures), but in my view, the evolutionary aspect of it is missing to explain the present and future situation. Whereas considerable research has dealt with the growth of Chinese industries in recent years, the key relationship between changes in its economy and shifts in Chinese business ethics has been neglected. This paper presents the evolution of Chinese business ethics and CSR policy.
Originality/value
The paper illustrates the evolution of Chinese business ethics and how one has to adapt if one wants to succeed in its ever evolving and maturing market. A model is presented that can assist in future research in the area.