• Korean Management Science Review
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• v.25 no.3
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• pp.123-133
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• 2008

We investigate the relationship between ownership structure and firm performance. For this paper, we use the 'donation' figure from the income statement of each firm as a measure of firm Performance lather than short-term financial measure that has been wifely used by previous studies. Our results are consistent with the idea that family ownership is both prevalent and substantial in Korea. More importantly, however, non-family firms are found to give more donations than family firms. This suggests that non-family firms more readily recognize the significance of corporate social responsibility and play an active role in philanthropy.

• The Journal of the Convergence on Culture Technology
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• v.9 no.3
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• pp.19-26
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• 2023

The impact of environmental, social and governance (ESG) performance on investors' decision-making is growing. Investors' focus on the financial performance of firms in the past is expanding to the non-financial performance of the interests of stakeholders surrounding firms. Against this backdrop, this study conducted a panel regression analysis on firms evaluated by Korea Corporate Governance Service to analyze the impact of ESG performance, a firm's non-financial performance, on firm risk. According to the analysis, ESG performance has a negative (-) effect on all three firm risks (systematic risk, unsystematic risk, and total risk), indicating that the stakeholder theory and risk management theory are supported. The implications of this study are: First, ESG reduces not only unsystematic risk but also broad and indiscriminate systematic risk; Second, investors can reduce the risk of their investment portfolio by executing ESG investments; Third, companies can achieve stable financial performance even in adverse circumstances by utilizing the insurance function of ESG management; Lastly, the government can enhance the stability of the financial market while improving the financial soundness of firms through reasonable ESG-related regulations.

• The Journal of Industrial Distribution & Business
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• v.11 no.9
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• pp.25-35
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• 2020

Purpose: The purpose of this study is to investigate how much continuous investment in human capital contributes to increasing labor productivity at not only individual companies but also at the national level, and causes fundamental as well as increases for labor-management conflicts. The current research aimed to empirically demonstrate the importance of human capital investment and furthermore, based on the effect of human resource investment on labor productivity, also re-examine the role of the Labor Commission as well. Research design, data, and methodology: This study was conducted by the Korea Information Service-Financial Accounting System (KIS-FAS) using representative panel data operated by countries to measure whether long-term investment in corporate human resources affects labor productivity. Results: Two distinctive summarized results of the analysis in the Korea Credit Ratings data showed that there was a high positive correlation between corporate human resource investment and economic performance for a ten-year period from 2009 to 2018. Conclusions: The present study concluded that the role of the labor committee should be effectively formed by the labor as a mediation agency and that the role of the mediation committee members should focus more on how to strengthen the human resources management of the union.

• Asia-Pacific Journal of Business
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• v.15 no.2
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• pp.181-205
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• 2024

Purpose - This study aims to examine the direct impact of corporate social responsibility initiatives on firm technological innovation and the moderating effect on the relationship between firm technological innovation and corporate value. Design/methodology/approach - This study collected 13,298 firm-year data by selecting A-share companies listed on the China Shenzhen Stock Exchange and Shanghai Stock Exchange from 2010-2017. This study runs the multivariate regression using random effect generalized least squares (GLS) regression model. Findings - The research results of this study are as follows. First, corporate social responsibility initiatives do not increase the firm technological innovation, but rather reduce it. Second, firm technological innovation generally improves corporate value, whether it is book value or market value. Third, corporate social responsibility initiatives reduce the positive influence of firm technological innovation on corporate value. Research implications or Originality - There may be discussions on whether Chinese patent application data is a good indicator of the innovation of Chinese companies, but previous studies prove that the number of patent applications has a significant correlation with R&D expenditures or financial performance. However, there is a clear limitation in that it is not possible to confirm the result of registration after a patent application, but it is expected that such limitations can be overcome by using patent registration information or detailed citation documents in the future.

• Korean Management Science Review
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• v.32 no.2
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• pp.15-35
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• 2015

Large business groups typically have central firms through which their controlling families establish (or acquire) new firms and maintain control over other member firms. Research on corporate governance has developed metrics to identify those central firms and investigated an impact of the centrality on ownership structure and firm's financial performance. This paper introduces centrality metrics used in social network analysis (SNA) to measure how crucial a role each firm plays in the ownership structure of its business group. Then, the SNA centrality metrics are compared with the metrics developed in corporate governance field. Also, we test the relationship between the SNA centrality metrics and firm's value. Experimental results show that the SNA centrality metrics are closely correlated with the centrality metrics used in corporate governance and are significantly correlated with firm's value.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.11 no.1
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• pp.13-27
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• 2016

Companies strive to have the ability to flexibly respond to environmental changes in modern society with its rapidly changing business environment. That is, companies try to achieve the corporate performance by using a variety of strategies since companies that don't go along with changes in industry are likely to fall behind. Also, the corporate performance is a key element in national competitiveness, and government is willing to support companies to maximize their performance in various ways. This study examines whether there is a difference between corporate strategies and government policies according to the retention and the type of certification of innovation. The company's strategy configuration effort is largely divided into exploration and exploitation of external knowledge, while the government's policy is divided into direct support, indirect support, and financial support. The corporate performance is analyzed using technological performance; innovative perspective and the sales; and the actual corporate performance as proxy variables. As a result, the variable affecting the performance differs according to the retention of certification of innovation. The variable affecting the corporate performance differs according to the type of certification of innovation as well. Therefore, it was found that companies can achieve the corporate performance by considering the situation at hand and the differentiated action strategies depending on the type of certification of innovation.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.4
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• pp.399-408
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• 2022

Corporate governance and innovation have been a hot topic in recent boardroom talks, whether in the trade or manufacturing industries. Governance innovations are highly significant for the survival of the motor vehicle industry like Honda, Nissan, New General Motors, and Toyota. The study chooses the motor vehicle industry which crosses the age of a century and sufficient corroborative support exists with the perspective of distinctive objectives. Using the population of all the automobile companies listed on the Pakistan stock exchange (PSX), we distill automobile companies to evaluate the firm performance using the panel data regression approach. The results show that there is a significant relationship between gender diversity, audit committees, and firm performance. Further, board size also has a positive impact on firm performance. We identify that the governance mechanism of firms found in default of the frequency of audit committee meetings. By considering results, only limited knowledge of finance directors and also very few numbers of female directors are on the board. Empirical findings of this work might be useful for policymakers in attempting to draft a corporate governance framework better able to monitor the financial performance of firms through female directors and also serve as a catalyst for the regulators of electric vehicles.

• Korean Management Science Review
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• v.21 no.2
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• pp.111-122
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• 2004

Measuring performance of corporate information system has become one of the core issues in that development of the information system requires substantial amount of investments and the system works as a crucial leverage to enhance competitive edge. Most of the previous researches for performance of the information system have narrow and limited focus on such as the effect of user satisfaction and productivity. This paper suggests a model to measures the comprehensive performance which is classified as user scope (user involvement and satisfaction), operational scope (task productivity, task innovation, customer satisfaction, management control) and efficiency scope (financial performance), and to represent the relationship among the scopes by the path analysis model. Followings are conclusions from statistical hypothesis test of the model: (i) user involvement through user satisfaction has positive effect on all the performances in the operational scope, (ii) task innovation and customer satisfaction in the operational scope has statistically significant impact on financial performance but task productivity and management control do not. This conclusion indicates that task productivity and management control has the long term effect in nature, and evaluation of the information system has managerial implication when it Is measured in comprehensive performance which includes internal operational performances as well as financial performance.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.19 no.4
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• pp.13-27
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• 2024

The purpose of this study is to analyze whether startup CEOs' self-efficacy and hope have a mediating effect on the relationship between satisfaction with an acceleration program and business performance. While the impact of acceleration programs on business performance has been validated through various studies, this research aims to examine whether differences in business performance, despite participating in the same program, are attributable to the characteristics of the participants. To this end, satisfaction with the acceleration program was set as the independent variable, business performance (financial performance and non-financial performance) as the dependent variable, and self-efficacy and hope among positive psychological capital as the mediating variables. A survey was conducted on startup CEOs who participated in acceleration programs offered by financial public institutions, specifically the Korea Credit Guarantee Fund and the Industrial Bank of Korea, in order to minimize the influence of differences in accelerator competence and program quality. The empirical analysis results indicate that satisfaction with the acceleration program has a positive effect on both the financial and non-financial performance of startups, and hope serves as a mediating factor in this relationship. This study suggests that to improve business performance of startups, policy efforts are needed to activate and enhance the roles of domestic accelerators. Additionally, it proposes that in order to maximize the effectiveness of acceleration programs, detailed components of these programs should be designed to elevate the participants' level of hope.

• Management & Information Systems Review
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• v.36 no.1
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• pp.161-180
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• 2017

This article studies the theory of corporate social responsibility; CSR. By examining the flow of CSR in the Korean market and empirical testing, investigates the relationship between CSR and corporation financial performance (CFP) in Korean enterprises. This paper places emphasis on the change in CSR as a result of globalization and explores the influence of CSR on CFP by using data from 2008 to 2014 of 528 Korean Firms, 1583 time series observations. We found that globalization had a positive influence on Korean CFP and that CSR activities derived from globalization exert a positive influence on CFP. Our findings show that CSR can strengthen the positive influence of globalization on CFP, and the Korean corporations' changing perception of CSR.