Time Orientation in Languages and Tax Avoidance

Journal of Business Ethics - Studies suggest that when a language requires grammatical marking of future events, speakers prefer immediate payoffs and engage in less future-oriented behavior. If...     

What Do Deviations from Covered Interest Parity and Higher FX Hedging Costs Mean for Asia?

Open Economies Review - Asian countries have high demand for US dollars and are sensitive to US dollar funding costs. An important, but often overlooked, component of these costs is the basis...     

Factors contributing to business actions in response to climate change in Korea

Climate change is a growing problem and has been highlighted as a global issue. Empirical evidence increasingly indicates its obvious potential risks to humans and society. As members of this society, business organizations face greatly diverse climate change-related risks that they must recognize and respond to. However, gaps exist between scientific evidence and the actions of business organizations. Few empirical studies have examined the business organizations’ actions taken in response to climate change in Korea. This paper addresses this critical gap in the climate change literature by examining business organizations’ behaviors and identifying the factors influencing their actions. We employ statistical models to compare corporate climate change actions, and we explain their variations using survey data. The results indicate that despite increasing concerns about climate change, businesses have implemented very limited precautionary mitigation and adaptation actions. In addition, the concerns of the businesses about future climate change impact, organizational capacity (leadership, staff capacity, existence of a relevant division or department), and business size are significant factors with respect to the implementation of climate change actions.     

Non-regular professionals' dual commitment in South Korea: antecedents and consequences

There is a growing concern with whether nonregular professionals are concurrently committed to both the organization and their profession and whether such commitments are beneficial to that organization. This article seeks to investigate the relationship between organizational justice variables and the dual commitment of nonregular professionals via perceived organizational support (POS) and the subsequent effect of the dual commitment on organizational citizen behavior. Hypotheses are developed and then tested through structural equation modeling with data collected from a total of 1143 part-time instructors at South Korean universities. The findings of this study reveal that the perceptions held by nonregular professionals of organizational justice constructs concurrently influence organizational commitment and professional commitment via POS and that both commitments are positively associated with altruistic behavior. The findings advance our understanding of the dual commitment of nonregular professionals and provide universities with managerial implications as to how to manage effectively part-time instructors. Limitations, directions for future research, and conclusions are presented.     

Impact of the Internet on interorganizational relationships

The Internet brings enormous advantages to organizations in the forms of standardization, power of networks, and inexpensive operations. Past decade has seen an increase in cooperative relationships among organizations. Despite the acknowledgment of the impact of the Internet on interorganizational relationships (IORs), there is a paucity of empirical research in this area, particularly for service firms, with regard to their entire life cycle. Using a field-based survey, in cooperation with the Gallup Organization, this study empirically examines some of the effects of the Internet on different stages of the life cycle of IORs. Based on the data collected from 206 firms (majority small service firms with less than 500 employees), results of our study show that the Internet has effected every stage of IOR life cycle, has increased the frequency and opportunities to find new partners, has affected the selection criteria that they use finding to select new partners, has improved the quality of relationships with existing partners, and increased the partnership performance. These effects though were not the same for different types of partnerships. The research found that the Internet has had the greatest effect for medium-level integration types of partnerships, which include non-equity strategic alliances and networks.     

Does income inequality increase marginal propensity to consume?

This article empirically investigates the effects of income inequality on the marginal propensity to consume (MPC), using panel data of 22 OECD countries over the period 1994–2015. We find that MPC increases dramatically as income inequality increases. In subsample analyses, the MPC of a high inequality group is more than twice that of a low inequality group.     

Strategic Quality Decisions under Heterogeneous Resource Endowments

The literature on product competition advocates a differentiation strategy assuming firm homogeneity in resources. However, firm heterogeneity in resource endowments has long been recognized in economics. Merging these two perspectives, we show that the increase in consumer preference for quality leads to firms' aggressive price competition instead of quality differentiation. As consumers look for higher quality, the cost advantage arising from superior resources increases and makes head-to-head competition more profitable than accommodating a less efficient rival. When consumers are highly concerned about quality, even a small resource difference leads a more efficient firm to initiate cutthroat price competition for market dominance.     

The microstructure of Asian equity markets

This study provides an overview of six stock markets in Asia, including Hong Kong, Korea, Malaysia, Singapore, Taiwan, and Thailand. We find that the Asian stock exchanges have adopted numerous new concepts in terms of market structure, trading method, and the clearing and settlement system. As a group, they provide an intersting setting for empirical investigation due to their unique characteristics not found in the stock exchanges in advanced countries.