Buyback behavior of initial public offering firms

We examine the motives behind the share repurchase decisions of initial public offering (IPO) firms by studying the stock and operating performance after the IPO date. We find that IPO firms that announce repurchases within 3 years of IPO dates exhibit poorer long-run abnormal operating performance than other IPO firms. These IPO firms also experience poorer stock return performance and downward analyst forecast revisions. Moreover, these firms show intensive insider selling transactions after the IPO date. These results for IPO announcing repurchase firms are consistent with the misleading hypothesis, which suggests that these IPO firms mislead investors by announcing repurchases as false signals.     

Media coverage,board structure and CEO compensation: Evidence from Taiwan

This paper investigates the relationship between CEO cash compensation and media coverage of firms, analyst forecasts and board structure using data from the Taiwan Stock Exchange. We find that, other things being equal, CEO cash compensation is much higher for firms with greater media coverage, firms with more positive news, firms with more analyst forecasts, and firms with larger institutional holdings. There is little evidence that board size and board independence affect CEO cash compensation, and CEO duality is negatively associated with CEO cash compensation     

Investigating critical organizational factors toward sustainability index: Insights from the Taiwanese electronics industry

To improve sustainable practices and attract investors, companies in emerging markets have increasingly embraced strategies for inclusion in rapidly expanding sustainability indices. However, most early studies on socially responsible investment or sustainability investment have only focused on exploring the relationship between corporate sustainability and firm value. Moreover, little has been done to explore the practices of emerging market companies for engaging with a sustainability index. To address this research gap, we employed the decision-making trial and evaluation laboratory (DEMATEL) method to identify critical factors that influence the inclusion of emerging market companies in the Dow Jones Sustainability Index (DJSI). Five critical factors and best practices were identified based on the analysis of seven Taiwanese electronics companies that have been listed in the DJSI for several consecutive years. Our results provide insights on the critical factors and best practices that reinforce the sustainable practices of emerging market companies for inclusion in the DJSI. This study also contributes to the literature by investigating the engagement of emerging market companies with the DJSI.     

Artistic intervention,intellectual capital,and service innovation: a case study of a Taiwan’s hotel

This study adopts the perspective of artistic intervention to argue that art is a catalyst. Interdisciplinary cooperation between artists and managers prompts artists to enter the corporate world, intervening in organizational routines and operations and thereby promoting service innovation. This paper, which also adopts the perspective of intellectual capital (IC), explores the characteristics of IC management through an in-depth case study of a successful art-focused Taiwanese hotel that has adopted long-term artistic intervention. The results show the importance of analyzing IC as a stock of resources. Hotel managers must emphasize the importance of managing the physical and the intangible resources, and both embedded in employees and processes of hotels. The relationship of a hotel with its external stakeholders and customers are particularly good sources for improving IC and promoting service innovation. This paper has management implications for the artistic interventions of the studied hotel and recommends future research directions.     

Company name fluency and acquisition target analysis

This paper investigates the impact of company name fluency on acquisitions. We hypothesize that a company's name fluency, used by potential acquirers as a mental shortcut, influences not only its visibility to investors but also the level of interest from potential acquirers, increasing the company's acquisition probability. After correcting for endogeneity, company name fluency is positively associated with both the probability of being an acquisition target and an acquisition premium. Reasons for a higher acquisition premium for targets with higher name fluency are identified as reduced need to hire top-tier investment banks and higher synergy.     

Voluntary disclosure and corporate innovation

Review of Quantitative Finance and Accounting - We examine whether a firm’s voluntary disclosures, proxied by management earnings forecasts, affect its innovation activity. A firm making more...