• The Journal of Asian Finance, Economics and Business
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• 제7권10호
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• pp.1-8
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• 2020

The objective of the study is to investigate the effect of growth opportunities on capital structure and dividend policy in Indonesia. The study employs panel data of companies listed on Indonesia Stock Exchange that distribute dividends from 2007 to 2017. Fixed and random effect regression models are used. Findings based on growth opportunities on capital structure and dividend policy in Indonesia are in line with the existing theory (i.e., contracting theory). Growth opportunities have a significant negative correlation with debt ratio and dividend yield, which suggests that firms with high growth opportunities are discouraged to generate debt to resolve underinvestment and asset-substitution problem. Firms with more investment opportunities tend to adopt a low dividend payout policy because the cash flows will be used up for investment. The positive impact of firm size on leverage is due to the low bankruptcy risk and cost of a large company. Profitability has a positive impact on the dividend policy because profitable companies can reserve larger free cash flows and, thus, pay higher dividends. The positive influence of ownership on leverage is interpreted by the unwillingness of majority stockholders to commit to equity financing in order to avoid reducing the ownership and preserve control of the company.

• The Journal of Asian Finance, Economics and Business
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• 제8권5호
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• pp.689-695
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• 2021

In the current technology-driven era, Small and medium enterprises (SMEs) have been deemed as one of the leading and prominent drivers of sustainable economic progress in emerging and developing economies such as in the Bangladesh context. Hence, it is of significance to understand what might fuel accelerating performance of SME business as increased SME performance will bring about more sustainability and strong development of SME sector within the country, through which more employment is anticipated to be generated. Therefore, the current study examines the impact of three factors: risk-taking, innovativeness, and proactiveness on SME performance in Bangladesh. The study has gathered data from SME entities in Dhaka city of Bangladesh, by applying a non-probability sampling strategy. 250 SME owners were contacted to act as respondents and finally, 180 SME owners fully completed the survey questionnaire, indicating that the final sample size is n=180. SPSS is used as a purpose of testing the hypotheses by considering a 5% significance level as acceptance criteria of the hypothesis. Hierarchical regression analysis was run to understand the impact of control variables and independent variables on SME performance and found that age of business, risk-taking, innovativeness, and proactiveness have an important impact on SME performance in Bangladesh.

• 산경연구논집
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• 제12권11호
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• pp.9-16
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• 2021

Purpose: Carbon emissions have now become a major concern around the world, especially for the government and private sector. Unfortunately, in Indonesia, disclosure related to company carbon emissions is still done voluntarily. This research aims to provide empirical evidence on the effect of environmental performance, carbon emission disclosure, and carbon emission intensity on the cost of equity capital. Research design, data, and methodology: This research uses secondary data with a sample consisting of Indonesia companies that are sensitive to the environment and listed on the Indonesia Stock Exchange in 2017-2019. The analytical tool used in this research was multiple regression models. Result: The study found a carbon emission disclosure had a significant positive effect on the cost of equity capital. Carbon emission intensity and company size had a significant negative effect on the cost of equity capital. Meanwhile, environmental performance did not have a significant effect on the cost of equity capital. Conclusion: Therefore, the results of this research are expected to provide feedback to the company's stakeholders that environmental performance and carbon emissions are some of the points seen by investors in making investment decisions.

• The Journal of Asian Finance, Economics and Business
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• 제9권10호
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• pp.85-96
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• 2022

CEO duality and its impact on firm performance represent one of the most contentious issues in both academia and business. This study, therefore, aims to examine the moderating role of CEO duality in the relationship between intellectual capital Efficiency (human, structural, relational, Capital Employed, and Innovation) and firm performance (earnings per share and Tobin's Q) among Jordanian companies. The study sample consists of services listed companies on Amman Stock Exchange. The study used panel data for the period 2014-2018 with a sample size of 230 observations. SPSS software was used to analyze the collected data. The regression results indicate a significant relationship between, IC and firm performance. When CEO Duality is incorporated into the model as a moderator, there is an increase in the R² by 7.9%. The findings from this study expand the theoretical underpinning of corporate governance research by identifying the performance implications of CEO duality within the Jordanian context. It also contributes significantly to the literature review about the current status of the practices taken in the intellectual capital components efficiency among companies listed on the Amman Stock Exchange. Findings from this study also provide contributions to the concerned policymakers such as the Ministry of Finance, Securities Commission, and Amman Stock Exchange in Jordan, to improve the current policies related to intellectual capital efficiency.

• The Journal of Asian Finance, Economics and Business
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• 제8권3호
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• pp.833-843
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• 2021

This research examines the impact of audit quality on the extent to which firm-specific information is integrated with a firm's share price - which is determined inversely using stock price synchronicity. The study sample consists of non-financial companies listed on the Amman Stock Exchange i.e., the Jordanian Stock Market, from 2014-2018. After examining 810 firm-year observations from Jordanian industrial companies listed on the ASE, during the study period, we find that the companies using one of the BIG4 audit firms for auditing have less synchronous and more informative stock prices, suggesting high-quality audit improved governance and reduce information asymmetry between firms' insiders and investors which enhances the capitalization of firm's specific information into the stock price, thus less synchronous and more informative stock return. The findings remain consistent over 2 separate measurements of stock price synchronicity (Market and Industry model and Market Model) and show robustness for fixed effect tests. Our multivariate regression results are also robust after controlling for a number of features at the firm level with potential associations with stock price synchronicity. These include the firm size, leverage, return on assets (ROA), and market to book value (MBV).

• The Journal of Asian Finance, Economics and Business
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• 제9권6호
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• pp.195-206
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• 2022

The purpose of this paper is to examine how loyalty programs designed by retail stores affect customer retention. The present study is one of the few empirical studies finding the role of different loyalty programs that help to build customer retention. The study also seeks to explore the moderation role of customer perceived value between intrinsic motivation - customer retention and extrinsic motivation - customer retention. The researchers employed a quantitative research design to collect data from the 350 respondents who purchased goods from the retail chain/departmental stores in Bangladesh. The collected data are then analyzed using structural equation modeling. The result of their findings indicated that the size of the organizational reward has a positive effect on intrinsic and extrinsic motivation; further extrinsic motivation has a significant relation to customer retention. Surprisingly, no support was found for the positive impact of intrinsic motivation on customer retention. Customer perceived value (CPV) is critical as a moderator in building client retention, which improves the positive association between extrinsic motivation and customer retention. CPV, on the other hand, was found to mitigate the negative link between intrinsic motivation and client retention.

• 한국프랜차이즈경영연구
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• 제13권1호
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• pp.19-33
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• 2022

Purpose: Based on the resource-based view and the competitive advantage theory, the study views marketing capabilities (product, pricing, delivery/inventory, and promotional support) as sources of competitive advantage (differentiation advantage and low-cost advantage) and examines their impacts on competitive advantage, which in turn, will influence non-business and business performance. Research design, data and methodology: Data were collected from 149 representatives of franchising companies in South Korea and analyzed with SmartPLS 3.3.7. Results: First, promotional support and product have a significant impact on differentiation advantage. Second, pricing and promotional support have a significant impact on low-cost advantage. Third, differentiation advantage has an influence on non-financial and financial business performance. Fourth, low-cost advantage has an impact on non-financial performance but has no significant direct impact on financial performance. Fifth, non-financial performance is related to financial performance. Finally, the result of IPMA shows that importance and performance values of exogeneous variables are different depending on firm size. Conclusions: The findings suggest that franchisors should focus on different marketing capabilities depending on their strategic focus and objectives. Finally, the findings based on an IPMA suggest that small companies perceive low-cost advantage as important, while their counterparts do not. Several theoretical and managerial implications are offered.

• The Journal of Asian Finance, Economics and Business
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• 제10권2호
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• pp.123-133
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• 2023

The COVID-19 pandemic has impacted the restaurant business adversely. The restaurant business is essential for Thailand's economy as it generates high income and a high employment rate. This study aimed to determine the relationships between restaurant businesses. Furthermore, it examined the problems encountered during COVID-19 and measures already implemented and planned. The research is intended to resolve these issues. We collected data from 136 people who worked in restaurants in Bangkok, Thailand, via telephone interviews. The data was analyzed by descriptive statistics and correspondence analysis using SPSS. The findings of this analysis indicate that all restaurants, irrespective of their size, face problems, though their planned and remedial actions are different. One finding was that medium restaurants face more financial problems and increased costs than others. They are countering this challenge through measures such as applying for loans and transitioning into a "non-restaurant" business. Nevertheless, typical medium restaurants have not engaged in extensive planning for the future. Based on a fact-finding survey, we considered appropriate short- and long-term measures suitable for micro, small and medium restaurants. In addition, our study's findings will help policymakers and practitioners identify strategies for responding to the COVID-19 outbreak and other future crises.

• 유통과학연구
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• 제20권9호
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• pp.23-28
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• 2022

Purpose: Research on banking sustainability plays an important role in helping banks understand the level of risk in different types of companies. Therefore, this study was conducted to determine the factors affecting the sustainability of Joint Stock Commercia l Banks in Vietnam. Research design, data and methodology: The following theories, the factors affecting the bank's sustainability include: Business model diversification (income diversification), bank size, loan ratio, and net interest margin. Data was collected from Joint Stock Commercial banks in Vietnam from 2015 to 2019. With GLS model on panel data with banks listed on Vietnam stock exchange. Results: The analysis results show that net interest income has a positive impact on the sustainable business results of banks through the rate of return on total assets (ROA). The non-interest income hasn't impact on bank stability. From this result, there aren't positive signs of income diversification in banks. At the same time, with the obtained results, the study also provides a policy implication for banks. Conclusions: The study also provides some policy implications to improve the bank stability. Diversifying income in banks is necessary, but how to make it influential banks has not yet been done. Therefore, the adjustments in non-interest business activities need to be carefully considered by banks.

• The Journal of Asian Finance, Economics and Business
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• 제9권3호
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• pp.77-82
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• 2022

In Bangladesh, developing students' entrepreneurial intentions have received a lot of attention because of the country's current employment predicament and shifting labor market. Entrepreneurs play a critical part in a country's economic development. This study aims to examine the impact of creativity and innovation on students' intentions toward online entrepreneurship in Bangladesh. The participants in this study were Bangladeshi university students. Based on pre-tested constructs, a survey questionnaire was created. Convenience sampling, which is a common type of non-probability sampling, was used to choose participants for the sample. A total of 150 students from the public university took part in the survey, with 120 replies being accepted as complete, resulting in an 80 percent response rate. Hence, the sample size is 120. Internal consistency was determined using Cronbach's alpha, while correlation and hypothesis tests were analyzed using SPSS version 26.0. The results reveal that creativity and innovation have a statistically significant and positive impact on students' intentions to engage in online entrepreneurship. These two independent factors explained 75% of the variance in intention to engage in online entrepreneurship, resulting in empirical findings and solid information in the present body of knowledge. The study concludes with a conclusion and research implications for the future.