How talent capability can shape service analytics capability in the big data environment?

We know very little about how big data-driven service analytics capabilities (SAC) are built in data-driven service organizations and the potential role of talent capability in facilitating overall SAC and the impact of both on firm performance (FPER). Drawing on the dynamic capabilities (DC) approach, this study investigates the link between SAC and FPER examining the mediating role of talent capability and the moderating influence of a firm’s strategic alignment. On the basis of two Delphi studies and survey data from 267 service analysts in the US and France, the findings show that even though SAC are built on technology, talent and information capabilities, their overall impact on firm performance is mediated by the level of talent capability of service analytics managers. The findings also confirm the critical moderating impact of strategic alignment between dynamic talent capability and firm performance in the big data environment.     

Market perceptions of discretionary accruals by debt renegotiating firms during economic downturn

This study addresses how a stock market prices earnings components around a sudden and severe economic downturn. In particular, the study examines the market valuation of discretionary accruals for debt renegotiating Malaysian firms during the Asian financial crisis. Our analysis shows that negative discretionary accruals for debt renegotiating firms are associated with higher market values of equity and are not related to the firms' future earnings. These findings are consistent with investors placing a positive value on the probability that negative accruals increase the likelihood that concessions can be extracted from lenders during renegotiation. In contrast, discretionary accruals for a control sample of non-debt renegotiating firms are not significantly associated with stock prices but are positively associated with future earnings.     

Estimation of parameters of parallelism model with elliptically distributed errors

In this paper we consider some improved estimators of the intercept and slope parameters in a parallelism model with errors belonging to a sub-class of elliptically contoured distributions. We derive the exact bias, MSE matrices and quadratic risk expressions for these estimators. It is shown that the dominance properties of these estimators are the same as under normal theory. Further, it is shown that the shrinkage factor of the Stein estimators is robust with respect to the regression parameters and unknown mixing distributions.     

The negative consequences of school bullying on academic performance and mitigation through female teacher participation: evidence from Ghana

Exploiting data from Ghanaian schools’ eighth grade students collected in 2011, we estimate the causal effects of school bullying on academic achievement and gender-based mitigating approaches by using propensity score matching (PSM) and doubly robust (DR) estimator approach. We find that students victimized by bullying score at least 0.22 standard deviation lower than their peers in a standardized mathematics examination. Meanwhile, we document that the effect of bullying is significantly attenuated in the presence of female teachers in the classroom. These results hold through a set of robustness checks including placebo regressions and matching quality test. We explain the results through gender difference in teaching paradigm and conclude that a feminine management approach in class is required to reduce the effect of bullying.     

Theoretical aspects of trade,risk and growth

An intertemporal model of an open economy incorporating risk in the export price is developed. It is shown how the optimal trajectories for consumption, investment, growth, exports, and resource allocation can be determined using dynamic stochastic programming. The risk sensitivity and time effects of the various trajectories are analyzed for the case of a logarithmic social utility function. Interestingly, the results obtained are not all in conformance with the conventional results of portfolio theory analysis as applied to savings.     

Addressing privacy predicaments in the digital marketplace: A power‐relations perspective

The utilization and governance of the internet and adjacent disruptive technologies have created numerous challenges to ensuring consumer online privacy. This study employs the power–responsibility equilibrium theory to explore emerging online privacy issues in the data‐driven marketplace. This exploratory study, based on semi‐structured interviews, explains why online shopping consumers are increasingly worried about their privacy and why they behave in a manner that could be detrimental to the consumer–vendor relationship. The findings suggest that deficiencies of corporate privacy responsibility and regulatory protection have deprived consumers of privacy empowerment. These deficiencies have also accentuated perceived privacy contract violations to trigger privacy concerns and subsequent defensive responses. We identify enhancement of consumer privacy empowerment and assuagement of privacy contract violations as two separate mechanisms of addressing online privacy issues. We also highlight the importance of addressing power and responsibility dynamics for maintaining a healthy information‐exchange environment.     

Is ‘no news’ really ‘good news’? Country visibility and FDI location choice

In choosing where to invest, firms seek out information on a set of possible locations. Information asymmetries may make country visibility particularly important in decisions to locate investment abroad. We develop a country visibility index based on international news stories in The Economist, and show that broad country visibility is at least as important in attracting foreign direct investment (FDI) as other specific investment promotion activities or proxies for information frictions. Controlling for standard gravity model determinants of FDI, we find that greater visibility of developing countries, in particular lower middle- and low-income countries, increases the investment that they receive from US multinational corporations.     

The effect of board composition and managerial pay on Saudi firm performance

Review of Quantitative Finance and Accounting - Using five empirical methodologies to account for endogeneity issues, this study investigates the effects of board independence and managerial pay on...     

Impact of patient portal behavioral engagement on subsistence consumers' wellbeing

Subsistence consumers, representing almost half the global population, live on low incomes, possess low levels of literacy, and generally experience poor health. Technology is a tool used to facilitate stronger connections between consumers and support services, including for subsistence consumers. Given the unique characterization of subsistence marketplaces, research needs to examine potential associations between subsistence consumers' individual resource integration and wellbeing via their behavioral engagement with technologies. Research is also warranted that investigates the factors that can moderate this association. A 45-day customized patient portal app was delivered via 26 healthcare service providers, resulting in the surveying of 336 subsistence consumers who used the portal. The results indicate positive associations between subsistence consumers' individual resource integration, patient portal behavioral engagement, and wellbeing. They also indicate that these associations are strengthened by service provider's resource support and subjective norms, and weakened by medical mistrust. Theoretical and managerial implications from this study's findings are discussed.     

Audit report lag: the role of auditor type and increased competition in the audit market

This study investigates the effect of auditor type (private vs. state) and increased competition in an audit market on audit report lag (ARL). This is the first study to provide evidence regarding the effect of audit market competition on ARL. Utilising structure–conduct–performance theory, we predict that competition pressures private auditors to be more efficient and to have less reporting lag than state auditors. We also predict that competition among auditors after a liberalisation period forces auditors to be more efficient and to record less ARL than before. We use a unique data set in Iran, whereby the audit market liberalisation (an audit market where services were previously provided primarily by a state entity) has resulted in both state and private auditors simultaneously providing audit services. The findings are consistent with the following hypothesis, that is ARL is shorter for private auditors than it is for state auditors, and ARL decreases as competition increases in the Iranian audit market. Consistent with the structure–conduct–performance theory, the findings suggest that increased competition in the audit market results in higher efficiency, as reflected by a shorter ARL.