The moderating role of firm age in the relationship between R&D expenditure and financial performance: Evidence from Chinese and US mining firms

2016 ◽  
Vol 56 ◽  
pp. 122-132 ◽  
Author(s):  
Shuddhasattwa Rafiq ◽  
Ruhul Salim ◽  
Russell Smyth
Keyword(s):  
Financial Performance ◽  
Firm Age ◽  
The Relationship ◽  
Moderating Role

scholarly journals CEO Duality and Financial Performance: Testing the Moderating Role of Firm Age: Evidence from a Developing Economy

2020 ◽  
Vol 12 (3(J)) ◽  
pp. 53-64
Author(s):  
Richard Akisimire ◽  
Ernest Abaho ◽  
Maureen Tweyongyere
Keyword(s):  
Financial Performance ◽  
Performance Testing ◽  
Manufacturing Firms ◽  
Future Research ◽  
Firm Age ◽  
Ceo Duality ◽  
Firm Financial Performance ◽  
The Relationship ◽  
Moderating Role

This paper tests the moderating role of firm age on the relationship between Chief Executive Officer (CEO) duality and financial performance among manufacturing firms in Uganda. A cross section survey was adopted using 78 manufacturing firms in Uganda. Data was analyzed using descriptive statistics, correlation and hierarchical regression. Modgraph software was also used to ascertain the validity of the set hypothesis. Results reveal that whether the CEO doubles as chairman of board or not, this does not significantly affect firm Financial Performance. However, as the firms grow older, the role of CEO-Board Chairman duality phenomenon gains significance in determining financial performance. Therefore, as firms grow in age, the CEOs should not be the same as Board chairpersons if firms have to perform well financially. Since only a single research methodological approach was employed in this study, future research can undertake to use a mixed methods approach to provide more detailed insights. Further, a longitudinal approach can also be employed to study financial performance trends among manufacturing firms over years. Entrepreneurs of these firms should put emphasis on proper segregation of the CEO role and those of the board chairman especially as firms grow in age. A moderating role of firm age on the relationship between CEO duality and financial performance was tested among manufacturing firms; previous studies have tended to test the direct or mediating effects.

Risk management and firm performance: the moderating role of supplier integration

2018 ◽  
Vol 118 (7) ◽  
pp. 1327-1344 ◽  
Author(s):  
Yongyi Shou ◽  
Wenjin Hu ◽  
Mingu Kang ◽  
Ying Li ◽  
Young Won Park
Keyword(s):  
Risk Management ◽  
Financial Performance ◽  
Operational Efficiency ◽  
Operational Performance ◽  
Content Type ◽  
Supplier Integration ◽  
Performance Effects ◽  
The Relationship ◽  
Moderating Role

PurposeThe purpose of this paper is to scrutinize the performance effects of supply chain risk management (SCRM). Besides financial performance, two aspects of operational performance are examined: operational efficiency and flexibility. Moreover, the authors explore the moderating role of supplier integration in the relationship between SCRM and operational performance.Design/methodology/approachA survey-based methodology was adopted. Based on the data from an international survey, this study applied the structural equation modeling and latent moderated structural equations approach to test the hypotheses.FindingsThe results indicate that SCRM positively influences both operational efficiency and flexibility, and has an indirect effect on financial performance. In addition, supplier integration enhances the impact of SCRM on operational flexibility, but does not moderate the relationship between SCRM and operational efficiency.Originality/valueThis study extends the existing literature by providing a comprehensive analysis of the performance effects of SCRM. It also provides managerial insights on both risk management and supplier integration.

scholarly journals Intellectual Capital and Firm Performance of Listed Firms in Nigeria: Moderating Role of Corporate Governance

2021 ◽  
Vol 10 (1) ◽  
pp. 1-12
Author(s):  
Adesanmi Timothy Adegbayibi
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Intellectual Capital ◽  
Investment Strategy ◽  
Governance Mechanism ◽  
Ex Post ◽  
And Performance ◽  
The Relationship ◽  
Moderating Role

The low performance of Nigerian firms despite investment in intellectual capital is a major concern. While studies have shown that corporate governance practices strengthens the subsisting relationship between investment in intellectual capital and performance in the  developed economies, this moderating effect in Nigeria is yet to be adequately explored as research focus is limited to possible effects of intellectual capital and performance. It is against this background, this study investigated the moderating role of corporate governance on the relationship between intellectual capital and performance of listed non-financial companies in Nigeria. The study adopted ex-post facto research design, and data were drawn from the audited annual reports of fifty (50) listed non-financial firms for a period of 2007 to 2017. Multiple regression techniques were employed to test the relationship among the variables. The results of the study revealed that both intellectual capital and corporate governance drive financial performance as the relationship is found significant in all components. The study concluded that corporate governance moderated the effect of investment in intellectual capital on financial performance. The study recommends that Board of directors should adopt measurable corporate governance mechanism which strengthens and helps in investment strategy that increases and improves performance. Also, there is need to entrench corporate governance as a control strategy and impetus towards attaining organization’s goals.

scholarly journals The Temporal Evolution of Proactiveness in Family Firms

2013 ◽  
Vol 27 (1) ◽  
pp. 35-50 ◽  
Author(s):  
Alfredo De Massis ◽  
Francesco Chirico ◽  
Josip Kotlar ◽  
Lucia Naldi
Keyword(s):  
Family Firms ◽  
Temporal Evolution ◽  
Family Members ◽  
Firm Age ◽  
Managerial Control ◽  
Contingency Perspective ◽  
The Family ◽  
The Relationship ◽  
Moderating Role

We extend prior work on proactiveness in family firms by examining the relationship between firm age and proactiveness. Specifically, we propose an S-shaped effect of aging of family firms on proactiveness. Additionally, we provide a contingency perspective by considering the moderating role of the dispersion of managerial control among family members. Using a sample of Swiss family firms, we find that proactiveness first declines, then increases, and finally decreases again as the family firm ages, and that this relationship is steeper when the managerial control is dispersed among multiple family members.

scholarly journals Board Structures and Financial Performance of UK Top Firms: An Investigation of the Moderating Role of the Directors’ Compensation

2015 ◽  
Vol 9 (3) ◽  
pp. 219
Author(s):  
James O. Alabede ◽  
Tony Muff
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Board Composition ◽  
Outside Directors ◽  
Corporate Board ◽  
Financial Compensation ◽  
The Uk ◽  
The Relationship ◽  
Moderating Role

Although several studies have empirically investigated the connection between corporate governance structures and financial performance, evidence from the literature indicates that findings from these studies are inconsistent, hence inconclusive. In this light, some scholars suggest that the inconsistency in the findings could be an indication that there is factor(s) moderating the relationship between the two variables. For this reason, we investigate how corporate board structures relate to financial performance and the effect of directors’ financial compensation on such relationship using samples of the UK top firms. The findings of the study suggest that board composition is positively associated with financial performance (Tobin q). Other than that, the study also indicates that the effect of directors’ financial compensation interacts positively with board composition to influence financial performance. By implication, this finding demonstrates that financial rewards to the outside directors play an inevitable role in influencing the relationship between corporate board and financial performance.

Capital structure, competitive intensity and firm performance: an analysis of Indian pharmaceutical companies

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Neeti Mathur ◽  
Satish Chandra Tiwari ◽  
T. Sita Ramaiah ◽  
Himanshu Mathur
Keyword(s):  
Firm Performance ◽  
Capital Structure ◽  
Financial Performance ◽  
Market Competition ◽  
Competitive Intensity ◽  
Content Type ◽  
Relationship Of ◽  
The Relationship ◽  
Moderating Role

PurposeThis research paper aims to explore the relationship of financial performance and capital structure of Indian pharma firms of BSE 500, the impact of research and development (R&D) expenditure on financial performance and also explore the moderating role of competitive intensity between the existing relationship of capital structure and firm performance.Design/methodology/approachThe balanced panel data of listed pharma firms of BSE 500 are used for the research study, and the present study adopts both the panel and ordinary least square (OLS) estimation techniques to draw the results.FindingsThe results exhibit that the high debt ratio is harmful for the accounting performance of the selected sample of pharma firms of BSE 500. Besides, market competition negatively moderates the relationship between capital structure and firm performance.Research limitations/implicationsThe research findings provide evidence for the policymakers/regulators that the sample firms should discourage the high debt financing in the presence of competitive intensity in the product marketplace.Originality/valueThe core contribution of the current research is to examine impact of R&D expenditure on financial performance and the moderating role of market competition on the relationship of capital structure and firm performance to the best of the authors' knowledge, and no single study has previously explored this relationship in the context of BSE 500 pharma firms.

Entrepreneurial Orientation and Small and Medium-sized Enterprises’ Performance; Does ‘Access to Finance’ Moderate the Relation in Emerging Economies?

2020 ◽  
pp. 097226292095460
Author(s):  
Rizwan Ullah Khan ◽  
Yashar Salamzadeh ◽  
Hiroko Kawamorita ◽  
Gabor Rethi
Keyword(s):  
Financial Performance ◽  
Emerging Economies ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Firm Resources ◽  
Access To Finance ◽  
The Relationship ◽  
Moderating Role ◽  
Structured Questionnaire

The main objective of the underline study is to examine the influence of entrepreneurial orientation (EO) on financial and non-financial performance of small and medium-sized enterprises (SMEs) with the moderating role of access to finance. Because SMEs—due to fair reasons such as lack of resources and lack of managerial skill—are often unable to succeed in their mission, the managers look for much less risky and convenience factors to compete in the market. A variety of factors has been tested but the role of finance in this perspective has received minor attention. Hence, the underline study tested finance as a moderator between firm resources and their performance. To test the model, a structured questionnaire is used to collect data from 326 Pakistani SMEs. Structural equation modelling in AMOS is used to test the hypotheses. Our finding suggests that EO significantly enhances SME’s financial and non-financial performance in emerging economies. On the other hand, access to finance significantly moderates the relationship between EO and SME’s financial performance while it is not significantly moderating between EO and non-financial performance. This research recommends policymakers and practitioners to focus on accessing adequate finance while Small and Medium-sized Enterprises Development Authority encourages banks and financial institutions to facilitates SMEs. Furthermore, the possible implications have been discussed.

scholarly journals Corporate Public Transparency on Financial Performance: The Moderating Role of Political Embeddedness

2019 ◽  
Vol 11 (19) ◽  
pp. 5531 ◽  
Author(s):  
Yuxuan Li ◽  
Xin Miao ◽  
Dequan Zheng ◽  
Yanhong Tang
Keyword(s):  
Financial Performance ◽  
Chief Executive ◽  
Moderating Effect ◽  
Government Official ◽  
Chinese Enterprises ◽  
The Public ◽  
Relationship Of ◽  
The Relationship ◽  
Moderating Role

Corporate public transparency (CPT) is instrumental for companies to establish communications and trust with the public by disclosing and communicating information concerning corporate environmental and social impacts. However, it is still in dispute whether CPT can help promote corporate financial performance (CFP). This paper studied the moderating role of political embeddedness on the relationship between CPT and CFP. We investigate multiple hypotheses about the moderating roles of the political embeddedness including bureaucratic embeddedness (political connections of a chief executive officer (CEO) who was/is a government official or member of political council) and ownership embeddedness (i.e., state-owned enterprises (SOEs)). With the data of 195 observations from top 200 Chinese enterprises ranked by revenue for the years 2014~2016, the results show the following: (1) the relationship of CPT on CFP is moderated by government official and SOE ownership; (2) a negative moderating effect of government official; and (3) a negative moderating effect of SOE ownership. The research implications are further discussed. The findings of this study have practical implications for investors, stakeholders, and regulators.

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