Foreign Investment in Brazilian Public Offerings: The Role of Board Composition

Recently, foreigners have been responsible for negotiating more than half of the shares issued by the companies listed in the Brazilian Stock Market. In order to understand the characteristics of companies that influence the increase of international financing, the aim of this article was to investigate the relation between foreign investment in public offerings and board composition. We examine data of 183 Brazilian IPOs and subsequent offerings from 2004–2016 using OLS regression. The empirical result suggested that companies that have a foreign director as a board member and are in a special listing segment of B3—bound by rules of corporate governance—tend to attract more foreign investment. This means that foreigners are sensitive to good corporate governance practices when financing Brazilian firms’ IPOs or that issue new shares. Our findings imply that improvements in the corporate governance practice of companies could increase their ability to raise foreign capital.

RESUMERecientemente, más de la mitad de las acciones emitidas por las empresas cotizadas en la Bolsa de Valores brasileña fueron negociadas por extranjeros. El objeto de este estudio consistió en investigar la relación existente entre las inversiones extranjeras en las ofertas públicas y la composición de sus juntas directivas, para entender las características de las empresas que contribuyen a aumentar el financiamiento internacional. Utilizando la regresión de mínimos cuadrados ordinarios dinámicos (MCOD, OLS en inglés), examinamos datos de la Oferta Pública Inicial Brasileña 183 (IPO) así como ofertas subsiguientes del período 2004-2016. El resultado empírico obtenido sugiere que las empresas cuya junta directiva tiene como miembro un director extranjero y constan en un segmento de cotización especial (B3), sujeto a normas de gobernanza corporativa, suelen atraer más inversiones extranjeras. Esto implica que, al financiarlas, los extranjeros son más susceptibles a que las empresas brasileñas que abren su capital o emiten nuevas acciones, usen buenas prácticas de gobernanza corporativa. Nuestros hallazgos sugieren que la implementación de mejoras en las prácticas de gobernanza corporativa de las empresas puede aumentar su financiamiento internacional.

RESUMORecentemente os estrangeiros passaram a ser responsáveis pela negociação de mais da metade das ações emitidas pelas empresas listadas na Bolsa de Valores brasileira. Para entender as características das empresas que influenciam o aumento do financiamento internacional, o presente trabalho tem como objetivo o estudo da relação entre o investimento estrangeiro nas ofertas públicas e a composição das diretorias. Examinamos dados de 183 IPOs (Oferta Pública Inicial) e de ofertas subsequentes, de 2004 a 2016, usando a regressão MQO (OLS na sigla em inglês). O resultado empírico sugere que as empresas que têm um diretor estrangeiro na diretoria e que estão no segmento de listagem especial da B3—sujeitas às normas de governança corporativa—tendem a atrair mais investimentos. Isso significa que os estrangeiros estão alerta quanto às boas práticas de governança ao considerar empresas brasileiras que abrem o capital ou que emitem ações novas. Os nossos achados sugerem que melhorias nas práticas de governança corporativa das empresas podem elevar o financiamento internacional das empresas.     

Awards: A strategic management perspective

Research summary : Awards are a valuable strategic resource. Motivation theory and the emerging body of empirical literature suggest that awards can have a significant effect on employee motivation and corporate performance, though not always in the intended direction. Awards can also destroy value. The organizational award literature has so far largely neglected this important issue. We develop a synthesis of the dimensions critical for successful award bestowals, and analyze under which conditions awards generate firm‐specific value that is sustained and difficult for competitors to imitate. The process of value creation and capture is contingent on the given firm's organizational characteristics and nature of production. The article concludes by laying out empirical implications. JEL codes: M52, M54, J24, J30. Managerial summary : Awards are widely used in the corporate sector. They fundamentally differ from monetary incentives, which risk crowding out employees' intrinsic motivation. Among the variety of awards, two general types can be distinguished: confirmatory awards based on explicit, pre‐determined performance criteria, and discretionary awards, which rely on broad performance evaluations and may be used ex post to honor outstanding performance. Appropriately designed and adjusted to the specific firm's characteristics, awards enhance employees' motivation and corporate performance. They express recognition and support their recipients' perceived competence and social status. Awards help to retain valuable employees and to establish role models. However, awards may also backfire, for instance, when they provoke envy among coworkers. We propose when awards risk destroying value and when they are particularly useful. Copyright © 2015 John Wiley & Sons, Ltd.     

Von pragmatischen Post-Docs und progressiven PraktikernAbout Pragmatic Post-docs and Progressive Practitioners

Scientific journals are a key factor for the integration of a research discipline. For their integrative capacity it is mainly important how members of a discipline use these journals as readers and authors and how they assess them. To gain more insight into this topic, all members of the German Society for Journalism and Communication Science (DGPuK) were asked to take part in an online survey during the summer of 2015. Object of this survey were the three journals Publizistik, Medien & Kommunikationswissenschaft and Studies in Communication | Media. Participants were asked about the utilization of those journals, their fulfillment of general expectations towards journals in German communication science as well as about publication behavior and expectations towards the publication process. Using a cluster analysis, participants were split in five different groups, discriminant in terms of expectations, assessments and forms of utilization. Results show that the analyzed journals still do not use their full potential to create long-term commitment, especially among younger academics.     

Is the cryptocurrency market a hedge against stock market risk? A Wavelet and GARCH approach

This study analyses six major cryptocurrencies and four global stock markets to explore the role of cryptocurrencies as a hedge, safe haven, and diversifier in stock markets. The study employs ADCC-GARCH and Wavelet Coherence Technique, using daily data from 4 January 2017 to 28 February 2023. The study has found that stock returns and unstable cryptocurrency returns have high volatility persistence in the long run. Besides, while unstable digital currencies (Bitcoin, Ethereum, Binance Coin, and Dogecoin) serve as a hedge during stable economic periods, they have not been a hedge during economic turmoil in the stock markets. Conversely, stablecoins (Tether and USD Coin) have been shown to have acted as a hedge during normal economic times and have offered a safe haven during economic downturns. Except for Tether, all cryptocurrencies' diversification capacity is time-varying. In stable economic conditions, they serve as diversifiers, but during turmoil, they do not. However, Tether serves as a diversifier regardless of the financial situation. Finally, the present investigation is expected to offer crucial information on hedge, safe haven and diversification for quasi-investors.     

Staying in touch while at work: Relationships between personal social media use at work and work-nonwork balance and creativity

Abstract

Personal social media use at work is usually deemed counterproductive work behaviour reducing employee productivity. However, we hypothesized that it may actually help employees to coordinate work and nonwork demands, which should in turn increase work-related creativity. We used ecological momentary assessment across one working day with up to ten hourly measurements on 337 white-collar workers to measure personal social media use, work-nonwork balance and creativity, resulting in a total of 2244 hourly measurements. Multilevel modelling revealed that personal social media use was associated with better work-nonwork balance, but with lower levels of creativity between- and within-persons. Work-nonwork balance did not mediate the relationship between personal social media use and creativity. More research is needed to understand why employees use social media at work for personal purposes and how this affects their well-being and job performance.     

Identifying and ranking novel indicators of MSMEs innovation potential

ABSTRACT

The aim of this paper is to present the research on the identification and ranking of innovation potential indicators of micro, small and medium enterprises (MSMEs). The main innovation management challenge is to recognise and measure factors that enable innovations. In that sense, the key 6 criteria and 41 indicators that describe innovation potential of MSMEs have been identified, based on expert judgment and the selected literature review in the field of innovation and entrepreneurship. Next, the rank of every indicator based on an expert’s assessment was determined by using Fuzzy AHP approach. A case study was conducted for Serbian MSMEs. The holistic approach, applied in this research for the identification of the innovation potential criteria and indicators, represents novelty and contribution to the literature. The presented procedure of the innovation potential indicators selection and ranking could be used as a bench-marking tool, to help managers to improve innovation capacity of the company.     

Functions of units,scales and quantitative data: Fundamental differences in numerical traceability between sciences

Quality & Quantity - Quantitative data are generated differently. To justify inferences about real-world phenomena and establish secured knowledge bases, however, quantitative data generation...     

Noah's Ark is full of common species attractive to humans: The case of boid snakes in zoos

As the fate of endangered species may largely depend on human decisions, we analyzed the effect of species attractiveness to humans on conservation efforts devoted to captive breeding. Our respondents were asked to rank photographs of 56 species of boas and pythons according to perceived attractiveness. Surprisingly, attractiveness, body size and, marginally, also taxonomic uniqueness of the species were the only significant predictors of the size of zoo population. On the other hand, variables putatively associated with species rarity (inclusion in the Red List or protection by international law, geographic range size, and commercial price) had no effect. The range size was, however, positively correlated with attractiveness. As the perceived attractiveness affects at least some components of the conservation effort, it should not be further neglected but should be routinely included into conservation reasoning.     

Age matters: How developmental stages of adulthood affect customer reaction to complaint handling efforts

This research examines how age moderates the impact of justice perception (i.e., distributive, procedural, and interactional justice) on post-complaint satisfaction. By tracking the three justice dimensions' effect sizes across different ages, we identify four developmental stages of adulthood, which are separated by five-year transition periods. The stages are young (18–27 years of age), early (33–43), middle (49–57), and late adulthood (≥63). The moderation results show that the impact of distributive justice on satisfaction peaks in middle adulthood and the effect of procedural justice in early adulthood. Finally, the effect of interactional justice dips in early adulthood. Managerial and theoretical implications are discussed.