Clute Institute: Journals
Not a member yet
9714 research outputs found
Sort by
Evaluating Options For The Regulation Of Payday Loans
Full text linkThis study discusses regulatory options that federal and state legislatures might consider for the payday loan industry. These options include outright prohibition; restricting the implicit annual percentage interest rate; limiting the amount per loan; limiting the number of concurrent loans; setting lower and upper limits on contract length; and defining the waiting period between loans. While other studies examining the payday loan industry have relied on user survey data or data from a specific lender, this study utilizes data collected by the administrative agent for all payday loan activity in several states, including Florida, Illinois, and Oklahoma. A comparison of key empirical results derived from the differing regulatory environments in these states provides guidance to those who consider imposing further regulation. The current regulatory constraints have resulted in a relatively low default rate, a high rate of loan denial, and a troubling industry reliance on the frequent borrower. An analytical framework is suggested for understanding the motivations of the low and high frequency borrowers
Efficient Market Hypothesis And Stock Market Anomalies: Empirical Evidence In Four European Countries
Full text linkThe stock market efficiency is the idea that equity prices of listed companies reveal all the data regarding the company value (Fama, 1965). In this way, there isn’t possible to make additional returns. However, evidence against the Efficient Market Hypothesis is growing. Researchers studied Calendar Anomalies (CAs) that characterised financial markets. These CAs contradict the efficient hypothesis. This research studies some of the most important market anomalies in France, Germany, Italy and Spain stock exchange indexes in the first decade of new millennium (2001-2010). In this study, to verify the distribution of the returns and their auto correlation, we use statistical methods: the GARCH model and the OLS regression. The analysis doesn’t show strong proof of comprehensive Calendar Anomalies. Some of these effects are country-specific. Furthermore, these country-anomalies are instable in the first decade of new millennium, and this result demonstrates some doubt on the significance of CAs
The Effects Of Foreign Strategic Investors On Pricing Of Wealth Management Products Of Commercial Banks In China: Does Ownership Structure Matter?
Full text linkAllowing foreign strategic investors (FSIs) to hold minority stake in Chinese banks is very important for China’s banking. Based on data of 221 commercial banks from 2007 to 2015, we use difference in differences (DID) and propensity score matching (PSM) to investigate the effects of shareholding of FSIs on pricing of wealth management products (WMPs) for banks in China from single product view and every bank view. Besides, we further investigate the effects of bank ownership on above relationship. We find that FSIs’ acquisitions significantly enhance the expected rate of return of WMPs on both levels, however decrease the deviation of return of WMPs on single product level but have no evident effects on bank level. Finally, we find that the impact of acquisitions from foreign banks depend on Chinese banks’ ownership structure. Specifically, the effects of FSIs’ acquisitions on pricing of WMPs are positive for state-owned banks (SOBs), while are negative for city commercial banks
Labor Productivity In Emerging Markets: Evidence From Brazil, China, India, And Russia (BRIC)
Full text linkDespite the great amount of attention to emerging markets, much still remains unknown about firm performance in emerging economies. To fill this gap, this study aims to investigate factors that influence labor productivity of firms in Brazil, China, India, and Russia (BRIC countries). This study focuses on features of business environments of emerging markets such as informality, corruption, foreign ownership, and external audit. Using a cross-national sample of 8,885 firms from the World Bank Enterprise Surveys dataset, we find that informality is negatively associated with labor productivity, while corruption and external audit are positively related to labor productivity. Implications will be discussed
Student Trade Missions: An Experiential Learning Opportunity
Full text linkIn response to the criticisms addressed to business schools, teaching formulas that foster experiential learning are increasingly being put forward. The Missions Commerciales de l’Université Laval (MCUL- Université Laval Trade Missions) is a training program designed to foster experiential learning. This program extends over an entire academic year in which students are required to find and fulfill an international development mandate on behalf of a business. The objective of this study is to investigate the extent to which participation in such a business consulting project enables students to acquire new skills and modify certain attitudes. Our results show that student participation in an international trade mission has a considerable impact on the acquisition of professional skills and competencies, as well as the development of personality traits and attitudes. Through this experience, students build confidence, develop a sense of initiative and learn to identify business opportunities and adapt quickly. It allows them to sharpen their sales skills and techniques while learning to represent a business. Having completed a trade mission also appears to improve student employability
A Field Study: An Examination Of Managers’ Situational Leadership Styles
Full text linkThe present study explored the applicable situational leadership styles of experienced military managers attending an advanced leadership educational program. While attending this program, these managers were requested to reveal the results of their situational leadership self-assessment in which they participated. A total of 620 managers agreed to reveal their results, and descriptive statistics were conducted to determine the findings of their situational leadership self-assessments. The study research results revealed two situational leadership styles were predominating: (Telling and Participating). The findings of research study have significant implications for managers when leading individuals and teams for organizational success. These findings also may contribute to better understanding of the situational leadership styles which characterize managers when leading people and team members. Additionally, the findings of this study also have implications for teaching situational leadership skills in a variety of settings to include educational leadership programs such as the one reported here
A Generic Model Of Predicting Probability Of Success-Distress Of An Organization: A Logistic Regression Analysis
Full text linkMany bankruptcy prediction models have been created over the years using a mix of variables derived mostly from accrual-based accounting statements and were industry specific. The primary issue with using a model comprised of accrual-based variables is that firm management can manipulate different components and make the balance sheet and income statement misleading (Wanuga 2006). Thus, firms appear financially healthy yet unable to meet the day-to-day cash flow needs of the firm; these financial issues are less likely to be hidden in the cash flow statement (Sharma 2001). In this study, we use a binary regression model with theoretically supported variables obtained from the cash flow statement to forecast firm success versus distress. Of particular interest, we examine firms representing 85 industries using firm data during and immediately following the greatest recession in United States history (Fieldhouse 2014; Lee 2014). The model is generic in the sense that it can be used to predict the probability of success-distress of any entity using the three major financial statements. We find that the overall model correctly classifies organizations 90.290 percent of the time
The Effect Of Ownership Structure On Future Stock Price Crash Risk: Korean Evidence
Full text linkThis paper examines the effect of ownership structure on firm-specific stock price crash risk using listed firm (KOSPI) data in Korea. Prior literatures suggest that corporate governance has an impact on the level of disclosure and the quality. Managers may stockpile negative information about the company, but when such accumulated bad news crosses a threshold, the negative information suddenly becomes publicly available and a stock price crash is observed (Hutton, Marcus, & Tehranian 2009). Prior studies have documented the determinants of future stock price crash risk (Jin & Myer 2006; Hutton et al. 2009; Kim, Li, & Zhang 2011; Hamm, Li, & Ng 2013; Xu, Jiang, Chan, & Yi 2013; Jo, Moon, & Choi 2015; Kim & Zhang 2016). However, it is hard to find the papers about corporate ownership and future stock price crash risk at the term of determinants of the risk. Compare to some financially advanced countries where ownership and management are effectively separated, there is no clear distinction between ownership and management in Korea. Using the percentage of managerial ownership and that of foreign ownership as proxies for ownership structure and measures for future stock price crash risk which was used by Callen and Fang (2013, 2015) and Kim and Zhang (2016), we conducted an empirical analysis examining the link between corporate ownership structure and companies’ subsequent stock price crash risk.
We collect 4,294 firm-year observations listed on Korean market from 2002 to 2015, and we use the measures of firm-specific stock price crash risk based on Callen and Fang (2013, 2015) to examine the relation between corporate ownership structure and subsequent stock price crash risk.
From the empirical tests, the percentage of managerial ownership is negatively associated with future stock price crash risk. It implies that managerial ownership increases to align the interests of shareholders and managers, it could alleviate the agency problem between them (Jensen & Meckling 1976), helping to resolve information asymmetry and prevent bad news from being withheld, ultimately lowering future stock price crash risk. In addition, we find that higher foreign ownership significantly weakens the negative relation between the percentage of managerial ownership and future stock price crash risk. We interpret this results that the negative side of foreign ownership failed to effectively reduce agency costs, weakening the negative correlation between managerial ownership and future stock price crash risk.
Our study may shed some light on the understanding of the ownership structure as a determinant of future stock price crash risk to firms and investors who want to handle crash risk in the stock market
Strategy: What Universities Can Learn From Corporate Success Stories
Full text linkThis paper identifies the need to view strategic management and implementation with new insights from entrepreneurs and researchers who have attained and studied successful enterprises. The backdrop is the rate of disruption taking place all over the U.S. as well as globally. The objective is to understand major changes to garner ideas for more effective decision-making at universities. Case studies, articles in scholarly journals, and newspaper reports are the data used for the study. Technology, teamwork, and culture are pivotal in the intrinsic role they play in the new era of competition
They’re Monstrous! Teaching Flashed Face Distortion To Improve Speaking Apprehension
Full text linkResearchers have long established that people who believe they are attractive have higher self-esteem (Aronson & Linder, 1965). Recent studies show that students with higher self-esteem have less speaking apprehension (Elfering & Grebner, 2012). Teachers in higher education can help students rethink their attractiveness in an attempt to help boost their self-esteem through an in-class activity that demonstrates Flashed Face Distortion Effect. This improved self-appraisal can reduce speaking apprehension in any class that includes a public presentation element. This interpretive qualitative research presents a novel single-class activity that can be useful in any course that includes a public presentation element. The objective of the activity is to lower student speaking apprehension when they publically present