• The Journal of Economics, Marketing and Management
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• v.4 no.4
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• pp.17-24
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• 2016

The purpose of the present study is to investigate the relationship between Management bonuses and earnings stability of the listed companies on the Tehran Stock Exchange (TSE). The population includes 94 firms selected through systematic sampling. The data is collected from the audited financial statements of the firms provided by TSE's website from 2009 to 2016. The results of multiple linear regression analysis show that there is a significant relationship between Management bonuses and earnings stability. The aim of this study primarily investigating the relationship between earnings stability and management bonus. In the case of this target, the next goal of this research is to develop a proposal for legislation in the domain of capital market, students and faculty as well as accounting information users provide research interests. Observations show many companies despite the decline in profitability, bonus managers to continually pay. Increase in listed companies Stock Exchange as well as the importance of communication between earnings quality and bonus managers in Financial Accounting the authors created an incentive to research about this relationship do. The results of this research could be the development of literature done in the past. Thus, more knowledge about the issue of sustainability and its relation to bonus managers the users of accounting information, accounting courses provide students and faculty.

• Korea Trade Review
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• v.46 no.1
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• pp.23-38
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• 2021

This paper investigated the preference change of payment terms in international trade along with counteroffer or first offer conditions of the other parties. Studies on trade payment terms have mainly focused on payment term determination factors such as firm size, product price level, country credit rate, etc. We tried to find other factors affecting payment terms choice, during the negotiation process. We applied behavioral economics theories such as 'Status Quo Bias' and 'Anchoring effect' to build our research model. To prove the existence of the above effects, we proceeded with field experiments to the exporting companies in Alibaba.com. Both 'Status Quo Bias' and 'Anchoring effect' were found in the field experiment. Most of the exporting companies preferred traditional payment methods to new payment methods. And an initial request for a low advance payment ratio led to a lower advance payment ratio. Also, the experience of using new payment methods could diminish status quo bias. This paper applied behavioral economics theories and field experiment methodology to the payment term studies in international trades. These attempts could contribute to expanding the diversity of methodology and scope of international trade studies.

• Asia-Pacific Journal of Business
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• v.14 no.3
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• pp.205-219
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• 2023

Purpose - This study examines the effect of corporate debt characteristics on the relationship between anti-takeover provision and the cost of debt. Design/methodology/approach - The study analyzes a sample of non-financial firms listed on the stock market with December fiscal year-end from 2011 to 2018. Debt default risk (debt size, liquidity ratio, interest coverage ratio, loss occurrence) and the issuance of bonds are utilized as measures of corporate debt characteristics. Findings - First, it is observed that creditors of firms with anti-takeover provision demand higher returns as the debt default risk of these firms increases. Second, for firms issuing bonds, it is found that bondholders in companies with anti-takeover provision also seek higher returns. Research implications or Originality - This study contributes by demonstrating that the effect of anti-takeover provision on creditors can vary depending on corporate debt characteristics. Particularly, the study highlights the importance of a firm's debt default risk and creditor distinction (bondholders vs. regular creditors) as significant factors that may influence perceptions of anti-takeover provision.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.14 no.6
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• pp.59-76
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• 2019

Most technology-based entrepreneurship(TBE) go through an process of decline or disappear without overcoming the valley of death(VoD). The purpose of this study is to identify the growth dimension of TBE and to test the influence of firms activities on firms growth over time. This study identified the two-dimensional growth dimension divided by size and profit through exploratory factor analysis(EFA) of a number of growth indicators. Then, we defined the discrete state of growth firm in four states, divided by size and profit, and five states, including the closure of business. Multi-nomial logit model is used to predict the effect of TBE activities on a discrete state of growth firm(size×profit, closure of business) based on multiple independent variables. The independent variables are based on five representative firms activities: employment, marketing, R&D, financial activities, and general management activities. The growth stage of TBE over time has been categorized into three stages: early stage, middle stage, and late stage of business, taking into account the main periods during which the survival rate of startups sharply decreases. The analytical data of this study was based on the secondary data of the start-up supporting companies of government and public institutions. The subjects of analysis were TBE within 10 years. As a result of the empirical analysis, the employment and marketing activities of TBE show that early and mid-term activities had an effect on the state of firms growth. However, if there is a difference, employment activities have both positive and negative effects, while marketing activities have only a positive effect on size and profit growth. And besides, R&D activities, financial activities, and general management activities throughout the entire process of firms growth were found to be firms activities that have both positive and negative effects on firms growth. In addition, the age of the founder, the firms' industry, and the geographic location of the firms, which are general characteristics of the company, were found to have a distinctive effect on the growth status of the firms according to the growth stage.

• Journal of Internet Computing and Services
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• v.14 no.6
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• pp.95-105
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• 2013

Recently, SME's Collaboration activities have become one of a vital factor for sustaining competitive edge. This is because of the rapidly changing and competitive market environment, and also to leverage performance by overcoming obstacles of having limited internal resources. Discussing about the effects and relationships of the firm's collaboration activities and its outputs are not new. However, as ICT and various technologies have been diffused into the traditional industries, boundaries and practice capabilities within the industries are becoming ambiguous. Thus contents of the products/services and their development methods are also go and come over the industries. Although many researchers suggested the relations of SME's collaboration activities and innovation performances, most of the previous literatures are focusing on broad perspectives of firm's environmental factors rather than considering various SME's idiosyncrasy factors such as their major product and customer types at once. Therefore, the purpose of this paper is to analyze how SME(Small Medium Enterprise)'s external collaboration activities by their idiosyncrasy act as an input to types of innovation performance. In order to analyze collaboration effects in detail, we defined factors that can represent the SME's business environment - Perceived importance of using external resources, Perceived importance of external partnership, Collaboration and Collaboration levels of Major Product types, Customer types and lastly the Firm Sizes. We have also specifically divided the performance of innovation types as product innovation and process innovation based on existing research. In this study, the empirical analysis is based on Probit Regression Model to observe the correlations with the impact of each SME's business environment and their activities. For the empirical data, 497 samples were collected which, this sample data was extracted from the 'Korean Open Innovation Survey' performed by ETRI(Korean Electronics Telecommunications Research Institute) in 2010. As a result, empirical test results indicated that the impact of collaboration varies depend on the innovation types (Product and Process Innovation). The Impact of the collaboration level for the product innovation tend to be more effective when SMEs are developing for a final product, targeting on for individual customers (B2C). But on the other hand, the analysis result of the Process innovation tend to be higher than the product innovation, when SMEs are developing raw materials for their partners or to other firms targeting on for manufacturing industries(B2B). Also perceived importance of using external resources has effected to both product and process innovation performance. But Perceived importance of external partnership was statistically insignificant. Interesting finding was that the service product has negative effects on for the process innovation performance. And Relationship between size of the firms and their external collaboration activities with their performance of the innovations indicated that the bigger firms(over 100 of employees) tend to have better for both product and process innovations. Finally, implications of the results can be suggested as performance of innovation can be varied depends on firm's unique business idiosyncrasy as well as levels of external collaboration activities. The Implication of this research can be considered for firms in selecting an appropriate strategy as well as for policy makers.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.22 no.6
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• pp.283-290
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• 2021

Survival analysis was used to determine whether there are differences in the impact of trade payables on business failure according to the size of the company. A total of 41,781 firms from 1999 to 2019 were analyzed. The analysis period was divided into the entire period and before and after the financial crisis. The trade payable ratio is a proxy variable. The increase in trade payables over the entire period increases the possibility of business failure of Small and Medium Enterprises (SMEs). However, in large firms, a significant relationship between the increase in the trade payable ratio and the possibility of corporate failure could not be confirmed. Second, in SMEs during the sub-periods of 1999-2007 and 2009-2019, it was found that an increase in trade payables acts as a factor that increases the possibility of corporate failure. However, in large corporations, the increase in trade payables in the period from 2009 to 2019 has been shown to reduce the rate of failure. An increase in trade payables is recognized as the active development of business activities or the active use of interest-free debt. Therefore, it was confirmed that the impact of trade payables on corporate failure differs depending on the size of the company.

• Management & Information Systems Review
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• v.29 no.4
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• pp.333-357
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• 2010

Purposes of this paper are to investigate whether managers' compensation is sticky as accounting performance(ROA) vary or not and explore further what factors influence the managers' compensation stickiness. To empirically study the stickiness of managers' compensation, we used the financial data from manufacturing firms lised in the Korea Stock Exchange(1,000 firm-year data for 4 years). The results are as follows : First, managers' compensation is sticky with respect to change in accounting performance. That is, the increase in managers' compensation as accounting performance increases is greater than the decrease in managers' compensation in respect to equivalent decrease in accounting performance. Second, the degree of managers' compensation stickiness increases when managers have influence and contribution to firm value. Specifically, the degree of stickiness is positively associated with investment opportunity set, intangible assets' value, uncertainty of firms' operating environment, complexity of organizational hierarchy. But firms' size reversely impacts on the degree of managers' compensation stickiness.

• Journal of Distribution Science
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• v.15 no.8
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• pp.47-54
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• 2017

Purpose - According to agency theory, managers have incentives to adjust firm revenues to meet earnings expectations or delay bad news disclosure because of performance-based compensation and their reputation in the market. When the bad news accumulates, stock prices fail to reflect all available information. Thus, market prices of stocks are higher than their intrinsic value. After all, bad news crosses the tipping point, it comes out all at once. That results in stock crashes. Auditors can decrease stock crash risk by reducing agency costs through their informational role. Especially, stock price crash risk is expected to be lower for firms adopting high-quality audits. We focus on distribution and service industry to examine the relation between audit quality and stock price crash risk. Industry specialization and auditor size are used as proxies for auditor quality. Research design, data and methodology - Our sample contains distribution and service industry firms listed in KOSPI and KOSDAQ during a period of 2004-2011. We use a logistic regression to test whether auditor quality influences crash risk. Auditor quality was measured by industry specialist auditor and Big4 / non-Big4 dichotomy. Following the approach in prior researches, we use firm-specific weekly returns to measure crash risk. Firms experiencing at least one stock price crash in a specific week during year are classified as the high risk group. Results - The result of analyzing 429 companies in distribution and service industry is summarized as follows: Above all, it is shown that higher audit quality has a significant negative(-) effect on the crash risk. Crash risk is alleviated for firms audited by industry specialist auditors and Big 4 audit firms. Therefore, our results show that hypotheses are supported. Conclusions - This study is very meaningful as the first study which investigated the effects of high audit quality on stock price crash risk. We provide evidence that high-quality auditors reduce stock price crash risk. Our finding implies that the risk of extreme losses can be reduced through screening of high-quality auditors. Therefore investors and regulators may utilize our findings in their investment and rule making decisions.

• Conservation Science in Museum
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• v.2
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• pp.77-82
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• 2000

The purpose of this study is to evaluate the effect of ART-SORB which is commonly used in museums and galleries at home and abroad including National Museum of Korea, so as to collect useful information to control micro-environment. Experiment was conducted in air-tight condition in order to evaluate only the effect of ART-SORB excluding any influence from outside factors. A certain amount of ART-SORB considering the case size and ART-SORB in cassette type were used to evaluate the humidity controlling capability. The result showed that target humidity was reached in 10~17 hours in case of using corresponding amount of ART-SORB to the cubic volume and in 5~6 hours in case of excessive use of cassette type ART-SORB. And it also showed that humidity can be controlled in the range of RH 50~70%. In addition, ART-SORB was excellent at raising humidity at low humidity and poor at high humidity. Therefore, ART-SORB turned out to be an effective humidity buffer for controlling micro-environment of such artifacts as wooden ware, lacquer ware and paintings, which require high humidity. However, unfortunately, there are some difficulties in applying this result to real condition, given the fact that this study was conducted under firm air-tight case. Therefore, ART-SORB can be fully effective only in firm air-tight case.

• Management & Information Systems Review
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• v.29 no.1
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• pp.25-47
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• 2010

Over the past 20 years new and small firms have been identified as significant components of economic strategies for job and wealth creation. Implicit in these strategies has been the search for policies which will increase the supply of new firms, and will encourage established firms' growth. Yet the majority firms spend the whole of their economic life within the small firm sector. The aim of this paper is to suggest a multidimensional approach to the understanding of the comparative characteristics of the small firm by providing evidence as to the factors which describe firms of different sizes, regions and industries. And I discuss in the context of policy options for regional economic development in Korea. The results from the analyses are summarized as follows. The size of the small firms in the sample measured in terms of both number of employees and sales revenue are characterized by regions, export performance and R&D. There is also some indication that growing firms may develop more complex environment. These results are based upon a multi-dimensional analysis of the strategic profile of a sample of small firms using KIS. From this observation of the firms during the data collection period, this is a conclusion that I find intuitively appealing.