Mandatory disclosure,greenhouse gas emissions and the cost of equity capital: UK evidence of a U-shaped relationship

This paper examines the effects of disclosing greenhouse gas (GHG) information mandatorily on the cost of equity capital (COC) using a longitudinal unbalanced panel database of the United Kingdom's FTSE 350 firms for the period 2011–2016. We use a nonlinear panel quantile regression (PQR) model to examine the relationship between GHG disclosure (GHGD) and COC in the United Kingdom. This technique was supplemented by conducting a two-step generalised method of moment (GMM) estimation to address any concerns related to the potential existence of endogeneity problems. Our findings suggest that high-level GHGD appeared to be negatively associated with COC up to a certain level, which is known as the turning point; then, any increase in GHGD is likely to increase the COC. This means that the nonlinear association between GHGD and COC is evidenced in our study and takes a U shape. Likewise, our findings are associative of a moderating effect of the 2013 carbon disclosure regulation (CDR) on the GHGD–COC nexus. We argue that mandatory GHGD and GHG risk are linked so that those companies that are associated with higher GHG risk have a tendency to be better disclosers. Consequently, we urge regulators to design GHGD regulations in a way that mirrors corporate environmental risk and leads to a lower COC in order to align the interests of corporations with those of the society at large.     

A hybrid information approach to predict corporate credit risk

This study proposes a hybrid information approach to predict corporate credit risk. In contrast to the previous literature that debates which credit risk model is the best, we pool information from a diverse set of structural and reduced‐form models to produce a model combination based on credit risk prediction. Compared with each single model, the pooled strategies yield consistently lower average risk prediction errors over time. We also find that while the reduced‐form models contribute more in the pooled strategies for speculative‐grade names and longer maturities, the structural models have higher weights for shorter maturities and investment grade names.     

Using Industry-Sponsored Game Nights to Educate About Risk and Insurance

As educators in the field of risk management and insurance, we see know- ledge of risk management and insurance as a core business function. However, some colleagues and students see insurance as cold-call sales or companies with a lot of money that continue to raise their prices. So we have to find ways to make our public aware of the usefulness of risk management and insurance in the business world and in private life and of the opportunities that having such knowledge presents to all business majors and business people. One method that is beginning to show dramatic improvements in at least our students' perceptions of the field and the major involves industry-sponsored game nights. While not an academic endeavor nor strictly risk management education, we believe the idea provides a useful tool for opening students' eyes to the need for knowledge of risk management and insurance and of the opportunities that are available in the insurance industry and its related fields. This article discusses the history of such an event at Appalachian State Univer- sity, the current status of the North Carolina Surplus Lines Association (NCSLA) event, and the benefits of the event.     

The role of planning in achieving indigenous land justice and community goals

This paper suggests that the capacity of indigenous groups to engage effectively in a range of planning activities is crucial to achieving land justice and community goals. This argument is relevant in the face of long-standing tensions between indigenous peoples residing in post-settler societies and nation-states such as Australia, Canada, and New Zealand over questions of land and natural resource use. The paper argues that effective planning is crucial for (i) protecting indigenous interests by engaging the planning activities of the state, (ii) the successful acquisition of lands through legal land claim processes, and (iii) helping indigenous communities achieve their goals by implementing effective community-based planning processes.     

NONPROFIT EMPLOYEES' MACHIAVELLIAN PROPENSITIES

Nonprofit organizations are held to high ethical standards due to their charitable missions serving the common good. Incidents of fiscal mismanagement within the nonprofit sector make it relevant to assay the ethical principles of employees. This study examines the level of Machiavellian propensities of US nonprofit employees. Results indicate Machiavellian propensities do exist in certain nonprofit employees and these employees agree with questionable behavior. Policy makers and oversight agencies may find these results useful in developing corporate governance and accountability measures for nonprofit organizations. Furthermore, board of director members may use these results to monitor employee actions and address management training.     

Ethics in education: A comparative study

This study reports the results of a survey designed to assess the impact of education on the perceptions of ethical beliefs of students. The study examines the beliefs of students from selected colleges in an eastern university. The results indicate that beliefs which students perceive are required to succeed in the university differ among colleges. Business and economics students consistently perceive a greater need for unethical beliefs than students from other colleges. Michael S. Lane is an Associate Professor of Management at West Virginia University. He is the coauthor of Corporate Goal structures and Business students: A Comparative Study of Values, Journal of Business Ethics (1989). Dietrich L. Schaupp is Professor of Management at West Virginia University. He is the coauthor of Pygmalion Effect: An Issue for Business Education and Ethics, Journal of Business Ethics (1988).     

Driving organizational citizenship behaviors and salesperson in-role behavior performance: The role of management control and perceived organizational support

Interest in management control approaches and organizational factors associated with higher levels of salesperson performance is reflected in research streams concerned with behavior-based control strategies and organizational citizenship behaviors (OCBs). This study makes two distinct additions to the literature relating to control, organizational citizenship behaviors and salesperson performance. First, the study distinguishes between salesperson in-role behavior performance and outcome performance to model in-role behavior performance as a mediator between OCB and outcome performance. Second, the work supports sales manager control as an antecedent to OCB. A second model introduces perceived organizational support (POS) as an additional antecedent to salesperson OCB, and more important, as a consequence of sales manager control. This construct has not been included in prior salesperson OCB studies. Results show sales manage control has a stronger impact on OCB through POS, than directly, and POS has a strong impact on salesperson OCB. Nigel F. Piercy (Nigel.Piercy@wbs.ac.uk) is a professor of marketing in the Warwick Business School at the University of Warwick, United Kingdom. He holds a Ph.D. from the University of Wales and a higher doctorate (D.Litt) from Heriot-Watt University, Edinburgh. His current research interests focus on strategic sales and account management. His work has been published in many journals including theJournal of Marketing, theJournal of International Marketing, and theJournal of the Academy of Marketing Science. He is coauthor to David Cravens onStrategic Marketing (8th ed., Irwin/McGraw-Hill, 2006). David W. Cravens (D.Cravens@tcu.edu) holds the Eunice and James L. West Chair of American Enterprise Studies and is a professor of marketing in the M. J. Neeley School of Business at Texas Christian University, Fort Worth, Texas. He has a doctorate in business administration from Indiana University. His areas of specialization include marketing strategy and planning, sales management, and new product planning. His research has been published in a wide range of journals including theJournal of Marketing, theJournal of Marketing Research, the Journal of the Academy of Marketing Science, and theInternational Journal of Marketing. Nikala Lane (Nikala.Lane@wbs.ac.uk) is a senior lecturer in marketing in the Warwick Business School at the University of Warwick, United Kingdom. She holds a Ph.D. from the University of Wales and was previously a senior research associate at Cardiff University. Her research interests are focused on gender and ethics issues in sales and marketing management. Her work has been published widely in the international literature and includes articles in theJournal of Management Studies, theBritish Journal of Management, the Journal of Business Ethics, and theJournal of Personal Selling & Sales Management. Douglas W. Vorhies (dvorhies@bus.olemiss.edu) is an assistant professor of marketing in the School of Business Administration at the University of Mississippi. His primary research interests are in the areas of marketing strategy, marketing resources and capabilities, the links between innovation, strategic market management and performance, and professional selling and sales management. His other work has been published in many journals including theJournal of Marketing, Decision Sciences, theJournal of Product Innovation Management, theEuropean Journal of Marketing, and theJournal of Personal Selling and Sales Management.