Exploring the moderating role of growth options on the relation between board characteristics and management earnings forecasts

Manuscript Type
Empirical
Research Question/Issue
This study examines whether director independence, reputation, and financial expertise are related to management earnings forecast (MEF) activity. In particular, we examine whether such a relationship is moderated by firms’ growth options.
Research Findings/Insights
Using Australian archival data for 1,928 firm-years between 1999 and 2006, we find several board characteristics have a significant positive relationship with: (1) the likelihood of firms issuing MEFs; (2) their specificity; (3) their accuracy; and (4) a negative relationship with their bias. For (1), (2), and (3) we show that these relationships are accentuated for firms with high growth options.
Theoretical/Academic Implications
While the theory of voluntary disclosure suggests firms will disclose information that is favorable to them or their managers, well-governed firms issue informative MEFs that potentially reduce information asymmetries in capital markets. We extend the prior literature by showing that such a relation is enhanced in the presence of information asymmetry and moral hazard associated with growth options.
Practitioner/Policy Implications
Our results have strategic implications for nomination committees by showing that independent directors and those with strong reputations and financial expertise enhance the governance of high growth firms. We also inform the regulatory debate by showing that good corporate governance enhancing disclosure quality is context-specific – it is not a case of “one size fits all”.

The moderating effects of demographic factors and hukou status on the job satisfaction-subjective well-being relationship in urban China

This study tests the moderating effect of job complexity and social status, proxied by a unique Chinese cultural variable (hukou status), on the relationship between job satisfaction and subjective well-being in urban China. Data on these and a range of demographic variables were collected from 1025 workers in Fujian Province in the People's Republic of China. Results confirm that hukou status does moderate the job satisfaction-subjective well-being relationship in this sample. Several further moderating relationships are also detected. The study adds the empirical literature on job satisfaction and subjective well-being in China and also furthers understanding of the complex relationship between these constructs. © 2011 Taylor & Francis.

Social and physical environmental correlates of adults' weekend sitting time and moderating effects of retirement status and physical health

Emerging research suggests that prolonged sedentary behaviour (SB) is detrimental to health. Changes in SB patterns are likely to occur during particular life stages, for example at retirement age (55-65-year-old). Evidence on socio-ecological SB correlates is scarce and inconsistent in this age group. Moreover, the influence of socio-ecological correlates may vary depending on health and retirement status. This study examined social and environment correlates of overall weekend day sitting among adults at or approaching retirement age, and moderating effects of perceived physical health and retirement status. Baseline data from the Wellbeing, Eating and Exercise for a Long Life study in 2839 Australian adults (55-65-year-old) were analysed. Participants self-reported proximal social factors, neighbourhood social and physical environment, physical health and retirement status. MLwiN multilevel regression analyses were conducted. In the multivariable model, only social support from friends/colleagues to discourage sitting (B = -0.891; p = 0.036) was associated with overall weekend day sitting. No moderation of retirement status, nor physical health were found in the multivariable results. Results from this study suggest the importance of social factors in relation to weekend day sitting among 55-65-year-old adults. Health promotion initiatives in this age group should pay special attention to enhancing social interaction opportunities. Moreover, findings suggest that SB-specific correlates may need to be examined in future research.

The association of puberty and young adolescent alcohol use: do parents have a moderating role?

To explore the extent to which parent-adolescent emotional closeness, family conflict, and parental permissiveness moderate the association of puberty and alcohol use in adolescents (aged 10-14).

Park proximity, quality and recreational physical activity among mid-older aged adults: moderating effects of individual factors and area of residence

The transition from active employment to retirement is a potentially critical period for promoting maintenance or development of recreational physical activity in older age. Park proximity and quality might be important correlates of recreational physical activity in this age group. However, research on park-physical activity relationships among mid-older aged adults is limited and inconclusive. Furthermore, while knowledge of individual moderators of park-physical activity relationships is crucial for tailoring interventions, this knowledge is also limited. We investigated relationships between perceived park proximity, park quality and recreational physical activity among mid-older aged adults. Additionally, we examined the potential moderating effects of gender, education level, retirement status, functional limitations and area of residence on these relationships.

Consumer reactions to corporate social responsibility (CSR) in Thailand: the moderating effect of competitive positioning

Purpose – The purpose of this paper is to understand the business case for corporate social responsibility (CSR) in Thailand by focusing on the consumer-organisational relationship and test the conceptual framework of Du et al. (2007). Design/methodology/approach – A quantitative study was conducted using a mall intercept survey of 184 Thai mobile phone service provider consumers in Bangkok, Thailand. Findings – A CSR emphasised brand is more likely than non-CSR emphasised brands to accrue consumer CSR awareness, positive attitude to company motivations and beliefs in the CSR of that company. Although beliefs are associated with consumers’ greater identification and advocacy behaviours towards the CSR emphasised brand than the non-CSR emphasised brands, they are not associated with loyalty. Practical implications – The paper provides potential guidance for companies to more effectively position and communicate their CSR activities to create differential advantages. Originality/value – Findings of the study demonstrate some support for a business case for CSR in Thailand.

I can see clearly now the moderating effects of role clarity on subordinate responses to ethical leadership

© Emerald Group Publishing Limited. Purpose – Although there is growing research on the relationship between ethical leadership and subordinate work behaviors, limited research has examined the boundary conditions under which ethical leadership is more or less effective. The purpose of this paper is to investigate whether subordinate perceptions of role clarity in their job role influence the relationship between ethical leadership and subordinate work behaviors. Drawing on both social exchange and social learning theories, the authors predict that in contexts where subordinates perceive low levels of role clarity, the relationship between ethical leadership behavior and subordinate helping and deviant behaviors will be weaker. Design/methodology/approach – In total, 239 employees in the Chinese public sector completed surveys across three separate time points. Confirmatory factor analysis and hierarchical regression analysis were used to analyze the data. Findings – Analyses provided support for the hypothesized relationships. When subordinates perceived higher levels of role clarity the positive relationship between ethical leadership and helping behavior was stronger, and the negative relationship between ethical leadership and deviant behavior was stronger. Research limitations/implications – As with all research the findings of this study need to be viewed in light of its limitations. First, the use of data from a single set of respondents opens up the possibility of common method bias. Second, given the study used of a sample of public sector employees from one part of China, there would be value in future research examining whether the findings from the present study are generalizable to other industrial and cultural contexts. Practical implications – This research has a number of practical implications. Given that the authors found a significant positive relationship between ethical leadership and helping behavior, and a significant negative relationship between ethical leadership and deviant behavior, it is crucial for organizations to include ethical training as an essential part of leadership development programs. However, the findings also suggest at the same time as facilitating the development of ethical leadership behaviors amongst supervisory employees, it is important for organizations to also provide employees with clarity over what is expected of them in their jobs, and the means they should employ to facilitate goal achievement. Originality/value – This study responds to recent calls for more research to identify factors which may strengthen or mitigate the influence of ethical leadership in the workplace.

HRM retrenchment practices and firm performance in times of economic downturn: exploring the moderating effects of family involvement in management

A substantial number of studies have indicated a significant negative relationship between human resource management (HRM) retrenchment practices such as downsizing, and firm performance. However, a consideration of the potential effects of business family involvement in management is largely absent from the general employment restructuring literature. Using a sample of 218 Taiwanese publicly listed firms, this study seeks to further our understanding in this area by examining the moderating effects of family involvement in management on the relationship between the adoption of HRM retrenchment practices and firm performance during the period of global economic downturn that erupted in the middle of 2008. Data analysis reveals that HRM retrenchment practices had a negative influence on firm performance, and that the relationship between HRM retrenchment practices and firm performance was negatively and significantly moderated by family involvement in management.

The moderating effect of individual level collectivist values on brand loyalty

In today's dynamic business environment the success of a firm often depends on its ability to create brand loyalty. While there is a large body of research exploring brand loyalty and its antecedents, little has been done to examine how the relationship between these antecedents and brand loyalty is moderated by consumer differences in individual level collectivist values. This understanding is important however as consumers high in individual level collectivist values have been found to make different brand choices than consumers low in individual level collectivist values. We develop and test theory that suggests consumer differences in individual level collectivist values have a significant moderating effect on the relationship between perceived value, perceived quality, brand trust and brand loyalty. The results show that consumers high in individual level collectivist values are significantly more loyal to a focal brand, especially when brand trust and perceived quality are at relatively low levels. © 2014 Elsevier Inc.

The impact of perceived corporate social responsibility on organizational commitment and the moderating role of collectivism and masculinity: evidence from China

This study examines the relationship between employee perceptions of corporate social responsibility practices and their organizational commitment. Hierarchical regression analysis was utilized to analyze survey data on 280 employees from five export-oriented manufacturing firms in China. Employee perceptions of corporate social responsibility practices towards internal stakeholders were found to relate positively to their organizational commitment. In contrast, employee perceptions of corporate social responsibility practices to external stakeholders had a nonsignificant or marginally significant impact on organizational commitment. In addition, the collectivism and masculinity orientations of employees were found to moderate this relationship. These findings provide an insight into how corporate social responsibility practices may be utilized to motivate diverse groups of employees within China-based organizations. © 2013 Taylor & Francis.

Transformational leadership and job involvement in the Middle East: the moderating role of individually held cultural values

This study examines whether individually held cultural values moderate the relationship between transformational leadership behavior of supervisors and the job involvement of subordinates in the Middle Eastern organizational context. Hierarchical regression analysis was used to analyze survey data from 229 employees of 10 organizations in the United Arab Emirates. In line with the findings of studies in Western countries, transformational leadership was found to influence job involvement positively. In addition, the cultural value orientations of individuals were found to moderate this relationship. Collectivism positively influenced the relationship between transformational leadership and job involvement, whereas uncertainty avoidance had a negative effect. These findings provide an insight into how transformational leadership may be used to motivate culturally diverse groups of employees within the Middle East. To enhance job involvement, organizations need to realize that the attitudinal response of subordinates to transformational leadership can depend on their cultural values. This has significant implications regarding the training and effective deployment of transformational leaders within Middle Eastern organizations.

Dual-axis hormonal covariation in adolescence and the moderating influence of prior trauma and aversive maternal parenting

Adversity early in life can disrupt the functioning of the hypothalamic-pituitary-adrenal and hypothalamic-pituitary-gonadal axes and increase risk for negative health outcomes. The interplay between these axes and the environment is complex, and understanding needs to be advanced by the investigation of the multiple hormonal relationships underlying these processes. The current study examined basal hormonal associations between morning levels of cortisol, testosterone, and dehydroepiandrosterone in a cohort of adolescents (mean age 15.56 years). The moderating influence of childhood adversity was also examined, as indexed by self-reported trauma (at mean age 14.91), and observed maternal aggressive parenting (at mean age 12.41). Between-person regressions revealed significant associations between hormones that were moderated by both measures of adversity. In females, all hormones positively covaried, but also interacted with adversity, such that positive covariation was typically only present when levels of trauma and/or aggressive parenting were low. In males, hormonal associations and interactions were less evident; however, interactions were detected for cortisol-testosterone - positively covarying at high levels of aggressive parenting but negatively covarying at low levels - and DHEA-cortisol - similarly positively covarying at high levels of parental aggression. These results demonstrate associations between adrenal and gonadal hormones and the moderating role of adversity, which is likely driven by feedback mechanisms, or cross-talk, between the axes. These findings suggest that hormonal changes may be the pathway through which early life adversity alters physiology and increases health risks, but does so differentially in the sexes; however further study is necessary to establish causation.

Moderating effects of age, gender and education on the associations of perceived neighborhood environment attributes with accelerometer-based physical activity: the IPEN adult study

The study's purpose was to examine age, gender, and education as potential moderators of the associations of perceived neighborhood environment variables with accelerometer-based moderate-to-vigorous physical activity (MVPA). Data were from 7273 adults from 16 sites (11 countries) that were part of a coordinated multi-country cross-sectional study. Age moderated the associations of perceived crime safety, and perceiving no major physical barriers to walking, with MVPA: positive associations were only found in older adults. Perceived land use mix-access was linearly (positive) associated with MVPA in men, and curvilinearly in women. Perceived crime safety was related to MVPA only in women. No moderating relationships were found for education. Overall the associations of adults' perceptions of environmental attributes with MVPA were largely independent of the socio-demographic factors examined. These findings are encouraging, suggesting that efforts to optimize the perceived built and social environment may act in a socially-equitable manner to facilitate MVPA.

Securing sensor networks by moderating frequencies

Security of Wireless Sensor Network (WSN) is a key issue in information security. Most existing security protocols exploit various Mathematical tools to strengthen their security. Some protocols use the details of the geographical location of the nodes. However, to the best authors’ knowledge, none of the existing works exploit the constraints faced by the adversary, specifically, tracing a particular frequency from a large range of unknown frequency channels. The current work uses positional details of the individual nodes. Then the aim is to exploit this weakness of tracing frequencies by assigning a wide range of frequency channels to each node. Experiments using Magneto Optic Sensors reveal that any change of the parametric Faraday’s rotational angle affects the frequency of the Optical waves. This idea can perhaps be generalized for practically deployable sensors (having respective parameters) along with a suitable key management scheme.

Moderating effect of ammonia on particle growth and stability of quasi-monodisperse silver nanoparticles synthesized by the Turkevich method

Fundação de Amparo à Pesquisa do Estado de São Paulo (FAPESP)