Value relevance of accounting information in China pre- and post-2001 accounting reforms

Purpose – This paper aims to investigate whether the accounting reform in China has improved the relevance of China's accounting information. It seeks to investigate the association between earnings and book value of equity to share returns before and after the introduction of the Accounting System for Business Enterprises (ASBE) in 2001 for A- and A&B-share firms.

Design/methodology/approach – The paper employs the return regression model. The pre-ASBE period is designated as 1997 through to 2000, and the post-ASBE period is designated as 2002 through to 2004. All firms listed on the Chinese stock market during the investigation period constitute the sample.

Findings – It is found that accounting information better explains share returns for both A-share firms and A&B-share firms in the post-ASBE period. The paper also finds that the book value of equity for A&B-share firms is incrementally value relevant to that of A-share firms in the post-ASBE period.

Research limitations/implications – Further studies will contribute to understanding how governance mechanisms and liquidity influence the association between accounting information and share returns in the Chinese A-share market.

Practical implications – The findings provide empirical evidence regarding the relevance of accounting information in emerging markets.

Originality/value – The paper contributes to the extant value relevance literature by investigating time periods surrounding the issue of ASBE in 2001 in the Chinese stock market.

Enhancing flexible business training through computer-mediated communication

A previous article in this journal, by the same author, reported on research that indicated that flexible training for business learners in the workplace needed to take account of their need for instructor guidance and direction, and of their preference for learning in affiliative environments with fellow learners and trainers. In this article the use of computer-mediated  communication (CMC) is explored as one training method that can assist with flexible training of this clientele. Some specific strategies for the successful use of CMC are suggested.

Enhancing flexible business training: learners and enterprises

Focuses on flexible training and its implementation in the workplace; examines the barriers for those learners on vocational programmes involved in self-directed independent learning. Discusses ways to develop learners self-direction and to improve learners ability to use and access a wide range of learning media. Highlights the need to establish structures to support learning through flexible training. Puts forward a two-dimensional diagram describing business vocational learner preferences, and outlines three sets of strategies to develop effective enterprise support for flexible training.

Factors associated with breast and cervical cancer screening behaviours

To investigate the factors associated with the use of screening mammography for breast cancer and cervical smear tests for cervical cancer, a theoretical framework was used comprising elements from the Health Belief Model, the Theory of Reasoned Action, and illness representations from the self-regulatory model. Items reflecting older women’s illness representations about cancer and cancer screening were derived from an earlier qualitative study. Using a highly structured interview schedule, telephone interviews were conducted with 1,200 women aged 50-70 years. There were considerable similarities between the factors associated with both mammography and cervical smear test behaviours. The factors associated with screening mammography behaviour were: perceived barriers, perceived benefits, social influence, the illness representations, and marital status. The factors associated with cervical smear test behaviour were: perceived barriers, perceived benefits, emotions as a cause of cancer, feeling frightened of cancer, the illness representations, having a usual general practitioner, and being younger.

The job strain model is enough for managers : no augmentation needed

This paper reports on the results of a study aimed at identifying the relative influence of generic and job-specific stressors experienced by a cohort of Australian managers. The results of a regression analysis revealed that both the generic components of the job strain model (JSM) and job-specific stressors were predictive of the strain experienced by participants. However, when looking at the total amount of variance that is explained by the predictor variables, the combined influence of job demand, job control and social support contributed 98 per cent of the explained variance in job satisfaction and 90 per cent of the variance in psychological health. The large amount of variance explained by the JSM suggests that this model provides an accurate account of the work characteristics that contribute to the strain experienced by managers and no augmentation is needed.

Remembrance of things past? Change, development and paternalism

As part of a retrospective study of effects of organizational change on interpersonal relations, this paper discusses change talk among Australian employees of an American multinational manufacturing enterprise. Interviewees tended to feel pushed into change, discussing its effects in terms of the difficulties of adolescence and earlier experiences of sudden independence. Over time, what had been a simple and firm us and them division in intergroup relations between management and unions/workers had become more fluid and subtle, and perhaps more mature. Interview data are interpreted and then re-interpreted in terms of theories of team development, nostalgia, and paternalism. It is argued that each interpretation makes differing, but complementary, assumptions about the nature of time. If developmental, progressive assumptions of organizational change are relaxed, further attention can be given to theorizing and researching subtleties in talk of the past.

Graduate evaluation of engineering management studies at Deakin University

Australia has long recognised the importance of the inclusion of management studies in undergraduate engineering courses. A survey of recent graduates of the engineering programs at Deakin University was undertaken to evaluate the effectiveness of the management studies in those programs. The survey respondents suggest that those management skills most highly valued by graduates were generic professional practice skills, and that more opportunities to develop these skills in undergraduate studies would be beneficial. Survey respondents suggested the inclusion in the course of more ‘real world’ examples of engineering management.

Australia's venture capital industry : past performance, present structure and future prospects

A brief history of the Australian venture capital (VC) industry to April 2001 precedes critique of the current industry framework. This focuses on two questions: What has history taught us? and How well does the Australian VC industry enable entrepreneurship in the Australian economy? The answers embrace suggestions for better encouragement of entrepreneurship through research-based VC industry enhancement. A positive prognosis is based on a case history. A knowledgeable private citizen significantly influenced the passage of legislation vital to the industry. This success indicates the practical importance that a future program of structured research might have for the development of venture capital and entrepreneurship in Australia.

Regional differences in business start-up rates in Australia : implications for future research and public policy

The Global Entrepreneurship Monitor (GEM) project in Australia provided both data and theoretical framework for this investigation of regional differences in entrepreneurial activity within Australia and the factors that might underlie such differences.

This study found that entrepreneurial activity as measured by participation in business start-ups varied significantly between 11 defined regions of Australia. Factors found to be associated with high start-up activity were personal acquaintance with someone who had recently started a business (strong and statistically significant) and the perception of good opportunities for starting a business locally (indicative only). Participation rate by age range across region varied widely. Sample size precluded more in-depth analysis.

The study indicates a need for a research program designed to produce data and analysis that might be constructively shared by those who wish to foster entrepreneurship in Australia.

Measuring the occupational health and safety performance of construction companies in Australia

Many facility managers are now required to deal directly with small firms engaged in the maintenance, alteration and cleaning of physical infrastructure. Increasingly the performance of small firms reflects on the manager of the facility, and so an understanding of their operation is required. It is mandatory for all firms to provide a safe working environment for their workers and subcontractors. Consequently, occupational health and safety (OHS) is a major issue for companies mainly due to the fear of prosecution. The introduction of Zero Tolerance by the Victorian government WorkCover Authority in 1999 provided even higher OHS safety standards for the construction industry. This has placed an increased burden on construction and maintenance companies especially small firms that are not in a position of financial strength. The size of the company has been found to be a major contributing factor to the OHS performance of construction contractors. This research is based on a benchmarking study of 44 construction companies in Victoria, Australia. The results show that the major factors influencing safety performance were; company size, and management and employee commitment to OHS.

A systematic approach to risk management for construction

Systematic risk management is expecting the unexpected – it is a tool which helps control risks in construction projects. Its objective is to introduce a simple, practical method of identifying, assessing, monitoring and managing risk in an informed and structured way. It provides guidance for implementing a risk control strategy that is appropriate to control construction projects at all levels. This paper will review systematic management approaches to risk. It discusses the allocation of risk and suggests that risk needs to be identified and managed early in the procurement process. In addition, a case study of a small project that was affected by difficult economic circumstances is included to demonstrate the effectiveness of systematic risk management.

Analysis of the value of home automation systems

Smart technology involves the integration of a variety of home systems including lighting, climate control, security etc. to enhance the comfort, convenience and economy of the home for its users. It is currently unknown if homebuyers believe that these systems add value to the home. This study used the market value of home sales and an attitudinal survey of homebuyers, to determine the increased value of homes containing smart technology. The results demonstrated that a significant price premium was paid for the incorporation of the technology into new homes. In addition, the research suggests that the use of this technology is not limited to high-income earners or other demographic stereotypes. Instead it has broad market appeal and the potential to save energy for the community at large.

Auditors' going-concern-modified opinions after 2011 : measuring reporting accuracy

An important change in auditors’ reporting behaviour in the period after the high-profile corporate collapses in 2001 is that auditors were more likely to issue going-concern (GC)-modified audit opinions. Comparing company failure rates subsequent to receiving a first-time going-concern (FTGC)-modified audit opinion in the pre- and post-2001 periods, we find a consistent type 1 error (misclassification) rate (the rate of survival among companies issued an FTGC opinion). Results are indicative of auditors maintaining GC reporting accuracy when comparing the 1995–1996 and 2004–2005 periods. This conclusion is supported after considering the impact of mitigating circumstances surrounding companies that received an FTGC-modified audit report and survived.

Relationships between inventory, sales and service in a retail chain store operation

Effective inventory management is critical to retailing success. Surprisingly, there islittle published empirical research examining relationships between retail inventory, sales andcustomer service. Based on a survey of 101 chain store units, this paper develops and tests aseries of hypotheses about retail inventory. Seventy-five percent of the store owners/managersresponded to the mail survey. As expected, significant positive relationships were found betweeninventory, service and sales. Specifically, support was found for the theory that inventory is afunction of the square root of sales. Also, greater product variety leads to higher inventory, andservice level is an exponential function of inventory. Finally, demand uncertainty was found tohave no apparent effect on inventory levels.