Corporate governance and firm performance in Russia: an empirical study

Using the agency and institutional perspectives, this study advances several hypotheses about the board structure–firm performance relationship within Russia. We tested these hypotheses using survey data. Despite a relatively small sample size, predictions from both theoretical perspectives were supported. Specifically, we found a negative relationship between “informal” CEO duality and firm performance. This finding is noteworthy given the 1996 Russian Federal law which prohibits the CEO from also serving as board chair. Also, we found that the more vigorously the firm pursues a retrenchment strategy, the more negative the relationship between proportion of inside directors and firm performance. Overall, these findings suggest that effective corporate governance may be essential to firm performance in Russia.     

An empirical analysis of online shopping adoption in Beijing,China

The Internet is a global communication medium that is increasingly being used worldwide as an innovative tool for marketing goods and services. At the end of 2010, Internet users in China reached 420 million. However, online shopping in China is not widely practiced and organisations investing in B2C online shopping need to understand the factors that affect Chinese consumers′ online buying behaviour. This research develops a theoretical research model as a framework to identify the key decision factors influencing Chinese consumers′ to shop, or not to shop online. A self-administered questionnaire was used to gather information from 435 respondents in Beijing, China. The empirical analysis identifies and ranks seven important decision factors: perceived risk, consumer resources, service quality, subjective norms, product variety, convenience, and website factors. All of these decision factors impact on Chinese consumers′ adoption of online shopping. Moreover, managerial implications and recommendations are also presented.     

Corporate governance in Russia: a framework for analysis

In the past several years, the Putin government’s goal of joining the World Trade Organization, as well as the critical shortage of investment funds in the country, have been prime levers in raising the importance of corporate governance in Russia. While most research has addressed relatively discrete aspects of the topic, this article provides an integrative framework for analyzing corporate governance in Russia. With large companies as the focus, the framework is particularly appropriate for companies in transitioning economies whose corporate governance systems are still developing. The framework draws on a cultural-embeddedness model as well as agency and stakeholder theories. Propositions for corporate governance in large Russian companies are developed for exploration in future research.     

Corporate governance and returns to emerging economy firm acquisitions in tax havens: An empirical test on Indian firms

Cross‐border acquisitions (CBAs) by emerging economy firms are known to yield positive stockholder returns. A nontrivial fraction of CBAs by emerging economy firms are in tax havens. We argue because of weak corporate governance in emerging economies and the secrecy afforded by tax havens, emerging economy firm CBAs in tax havens yield lower stockholder returns than their CBAs in nontax havens. We also argue the negative effect of tax haven destinations is greater for firms with greater business group ownership and for firms with greater foreign insider ownership. Furthermore, we argue the negative effect of tax haven destinations is mitigated for firms whose stock is actively traded in the market. Empirical tests in a sample of nearly 800 CBAs by Indian firms from 2002 to 2011 support our hypotheses. Our study contributes to a better understanding of stockholder returns to CBAs by emerging economy firms and the influence of corporate governance on these returns.     

Corporate governance in emerging markets: A survey

This paper reviews recent research on corporate governance, with a special focus on emerging markets. It finds that better corporate governance benefit firms through greater access to financing, lower cost of capital, better performance, and more favorable treatment of all stakeholders. Numerous studies show these channels to operate at the level of firms, sectors and countries—with causality increasingly often clearly identified. Evidence also shows that voluntary and market corporate governance mechanisms have less effect when a country's governance system is weak. Importantly, how corporate governance regimes change over time and how this impacts firms are receiving more attention recently. Less evidence is available on the direct links between corporate governance and social and environmental performance. The paper concludes by identifying issues requiring further study, including the special corporate governance issues of banks, and family-owned and state-owned firms, and the nature and determinants of public and private enforcement.     

国有商业银行公司治理的问题分析

建立产权明晰、权责明确、政企分开、管理科学的现代企业制度是我国国有商业银行改革的方向，而良好的公司治理的建立是决定国有商业银行改革成败的核心问题。本文探讨和分析我国国有商业银行公司治理的现状和存在的问题，进而提出完善我国国有商业银行公司治理的建议。     

Risk diversity across restaurants: An empirical analysis

Particular financial characteristics of a restaurant firm may be used to predict whether that company is a good investment risk.     

Corporate governance reform: character‐building structures

This paper argues that corporate governance reformers in Anglo‐American jurisdictions should consider a different approach in their quest for better corporate governance. Traditionally, corporate governance reform has taken a structural approach, tightening the rules around the number of independent directors required on boards and committees and fine‐tuning the definition of independence. However, such an approach has failed to achieve effective corporate governance. Moreover, this approach is informed by the arguably discredited assumption that individuals are rational self‐interest utility maximizers. This conceptual paper questions why corporate governance scholars and regulators remain uncritical of this assumption and suggests an approach to reform inspired by a different view of human nature. Indeed, incorporating an actor‐based approach to reform into existing structures may better achieve effective corporate governance while addressing an unjustified adherence to this flawed assumption.     

An empirical analysis of commodity pricing

Commodity pricing models generally explain the link between commodity prices and stock levels in terms of a stock‐out constraint or a convenience yield. Analysis of this link is provided using monthly London Metals Exchange copper, lead, and zinc prices obtained for the period November 1964 to December 2003. A Markov model, fitted to these data, supports the existence of two distinct pricing regimes while the impact of convenience yields is also identified. © 2006 Wiley Periodicals, Inc. Jrl Fut Mark 26:391–415, 2006     

Productive capabilities: An empirical analysis of their drivers

Recent contributions to the growth and trade literature have argued that the structure of an economy, as measured by its productive capabilities, is a key determinant for inter-country differences in development. Productive capabilities have been shown to be highly predictive of future economic growth, yet the country-level variables associated with them remain relatively unknown. In this paper, we empirically explore what variables are systematically associated with productive capabilities using a model averaging framework that can handle a very large number of potential explanatory variables without the need for arbitrary model selection. In order to estimate our dynamic panel specification, we propose a novel Bayesian averaging of classical estimates procedure based on the simple and efficient bias-corrected least squares dummy variable estimator. Our baseline and robustness analysis consider a large number of variables, sample periods and model priors. We find that there is persistence (as measured by the lagged dependent variable) and that variables, such as commodity terms of trade, energy availability, government consumption, capital per worker, arable land and capital inflows show a strong and robust association with capabilities.     

Ethics perceptions of American Farmers: An empirical analysis

A 123 item survey of ethics perceptions of Farmers had 796 respondents. Of these, 517 (64.9%) felt that farm ethics had gotten worse. A discriminant analysis employed to offer insight into the extent and nature of group differences produced 22 independent variables along with an adequate increase in classification results above expectations due to chance. These variables reflect a division between the outside business and political world and the concerns of farmers. The responses suggest an appreciation by the respondents of the interdependence of their business actions with their neighbors. The results are also suggestive of both an absolute and a relative ethics component. Further research on the relevance of communitarian ethics is suggested.Allen Rappaport is Professor of Finance at the University of Northern Iowa, Cedar Falls, IA. He is a former Managing Editor of the North American Journal of Economics and Finance and current Executive Director of the North American Economics and Finance Association. He has published extensively in Academic Journals.Robert A. Himschoot is currently Real Estate Specialist with the Bureau of Indian Affairs. He was Instructor in Law, Management Department, at the University of Northern Iowa when this paper was written. He has worked in the mediation of Legal Disputes. He resides in Bethel, Alaska.     

Corporate governance: Assessing corporate performance by boardroom attributes

The corporate boardroom, once an inner sanctum where the secret ritual of top-level policymaking takes place, is slowly opening its doors and letting in a bit of sunshine. As the investing public begins to peer into the corporate “kiva,” it will want to know more about board structure and performance. In anticipation, this study provides an assessment model to correlate 15 boardroom attributes, or directorate dimensions, with company performance. As a major conclusion, the study finds that as yet there is no substitute for technical experience and internal managerial expertise. Neither is there an optimal formula. No two firms have identical boardroom dimensions. As the newer dimensions begin to make contributions, this diversity will be even greater. This accentuates the need for more precise measurement of board structure and effectiveness.     

Corporate governance in emerging economies: Understanding the game

Corporations now face the oftentimes daunting task of integrating the interests of multiple stakeholders. The general intent behind this multiple stakeholder focus has been to ensure that corporations operate for the benefit of society as a whole, with corporate governance in the oversight role for all activities. Our research suggests doing business in an emerging economy is confounded by the fact that rules, regulations, and marketplace expectations of the home market do not apply. Due to their evolving nature, the environments in emerging economies are uncertain and complex. Governance is not just an oversight issue related to making the most appropriate decisions. Instead, responsible governance in emerging markets entails governing bodies understanding the characteristics of the unsettled environment in which the company is, or will be, operating. Four major characteristics (demographic trends, technological development, natural resources, and political/legal unease) of emerging economies have led to significant challenges and stormy passage with respect to governance. The continual evolution and understanding of these factors must, of necessity, shape a company's governance process in the developing marketplace.     

Interdependent preferential trade agreement memberships: An empirical analysis

The establishment of a new preferential trade agreement (PTA) or the expansion of an existing one alters the incentives of non-members to participate in a PTA. This can lead to a domino effect whereby non-members join an existing PTA. Or it can lead a pair of countries to establish a new PTA. We examine the determinants of why a pair of countries enters a bilateral PTA. Our emphasis is on (a) the impact of pre-existing PTAs and (b) whether this impact is larger when the members of pre-existing PTAs are on average geographically close to the pair of countries. Using data for 145 countries during 1955–2005, we find evidence that pre-existing PTAs increase the probability that a country-pair will enter a bilateral PTA and that this effect diminishes with distance. The analysis makes use of techniques drawn from spatial econometrics.     

Personal religiousness and ethical judgements: An empirical analysis

It has been acknowledged on numerous occasions that personal religiousness is a potential source of ethical norms, and consequently, an influence in ethical evaluations. An extensive literature review provides little in the way of empirical investigation of this recognized affect. This investigation conceptualizes religiousness as a motivation for ethical action, and discovers significant differences in ethical judgements among respondents categorized by personal religious motivation. Suggestions as to the source of these differences, and the implications which they offer to managers are discussed and supported from the literature.James W. Clark is the Director of the Center for Retailing and assistant professor of marketing at James Madison University. His work has been published in The Journal of Advertising, and the proceedings of The Cutting Edge III and IV, the Southern Marketing Association, The Academy of Marketing Science, and The Decision Sciences Institute. Lyndon E. Dawson, Jr. is professor of marketing at Louisiana Tech University. His work has been published in the Journal of the Academy of Marketing Science, the Journal of Retailing, Psychology and Marketing, and Psychological Reports among others.     

Interdependent preferential trade agreement memberships: An empirical analysis

The establishment of a new preferential trade agreement (PTA) or the expansion of an existing one alters the incentives of non-members to participate in a PTA. This can lead to a domino effect whereby non-members join an existing PTA. Or it can lead a pair of countries to establish a new PTA. We examine the determinants of why a pair of countries enters a bilateral PTA. Our emphasis is on (a) the impact of pre-existing PTAs and (b) whether this impact is larger when the members of pre-existing PTAs are on average geographically close to the pair of countries. Using data for 145 countries during 1955-2005, we find evidence that pre-existing PTAs increase the probability that a country-pair will enter a bilateral PTA and that this effect diminishes with distance. The analysis makes use of techniques drawn from spatial econometrics.     

The benefits of e-business adoption: an empirical study of Swedish SMEs

The global nature of business today and the advances in information and communications technologies have compelled corporations to employ emerging technologies in order to remain competitive. In recent years electronic business has been adopted by many corporations to improve operational efficiency, profitability, and to strengthen their competitive position. This study examines the impact of web-based e-business on the small and medium-size enterprises (SMEs) in Sweden. The analyses of data collected for this study provide valuable information to the executives of manufacturing and service SMEs. The findings show that the SMEs in the sample have benefited from e-business implementation in both operational and performance areas of their organization.