Asian Journal of Business Ethics最新文献

The current study examines how corporate governance (CG) affects the business performance of state-owned enterprises (SOEs) and non-state-owned enterprises (non-SOEs). The data of 36 listed SOEs and 104 non-SOEs registered on the Indian BSE Dollex 200 has been endorsed for 10 years (2011–2012 to 2020–2021). Both random effects model and fixed effects models are used for analysis. Using regression analysis as a tool to check the impact of the board variables (board attendance, board meetings, board size, board independence and women directors) as CG indicators on firm performance (ROA, ROE and Tobin’s Q), this study reports that CG variables do not have any significant impact on the firm performance of SOEs other than appointment of the independent directors and board attendance. However, CG practices are significantly associated with the corporate performance of non-SOEs other than board meetings. This study provides insight into how CG practices affect SOEs and non-SOEs differently and highlights the importance of ownership pattern in the connection between CG standards and Indian corporate value.

Although there are several conceptions of organizational moral learning (OML), there is a need for more empirical studies. This study aims to provide illustrations of the dynamism of organizational moral learning by spiritual hearts (OML-SH), where OML and organizational immoral learning (OIL) are coupled antagonistically. Two OML-SH initiatives (i.e., the Quality Control Circle program and 100-hour training record system) within Brunei’s public sector are scrutinized to illustrate the dynamic process of OML-SH, spanning individual, group, and organizational levels. From the two exploratory case studies, the purifying mechanism was coined to capture the laminated interplay between the spiritual hearts, group understanding, leadership, organizational intention, structure, culture, and resources to drive OML. In contrast, the corrupting mechanism was also coined as the opposite force to drive toward OIL. From the study, leadership and organizational learning repositories were seen to play essential roles in the purification of the spiritual heart (i.e., individual moral development). Additionally, the spiritually diseased hearts occupying the two extremes of OML and OIL were seen to experience moral ambivalence, which was also not captured in previous studies. The paper concludes with suggestions to manage moral ambivalence for more positive outcomes, drive OML further and impede OIL simultaneously.

This study investigates the role of advantageous comparisons and professional commitment in earning management rationalization. Our study adopted a laboratory between-subject experimental design with 139 accounting students. The results show that advantageous comparisons and professional commitment affect the rationalization of earning management actions. Moreover, compared to participants with high levels of professional commitment, those with low levels of professional commitment view earning management as a more appropriate action when they are engaged in earning management and viewing the egregious example of that action. This finding is important because it explains how personal psychological factors affect the ethical cognitive processes of accountants. This study complements the lack of previous studies and argues that the propensity to compare acts of delinquency depends on an individual's commitment to their profession. We also emphasize the importance of investigating this issue outside of the US context. The results of this study may be helpful to managers, practitioners, academics, and accounting researchers with a better understanding of the potential impact of exposure to earning management practices and an individual’s professional commitment to earning management behaviour. Further, based on this study, all stakeholders may be better positioned to suggest possible remedies and mitigate these behaviours.

From the financial year 2014-15, the Indian corporate sector was made to comply with a newly introduced Sect. 135 (5) by the Companies Act of 2013. The rule required select companies to spend 2% of their average net profits on CSR initiatives. This paper tries to find if the companies have complied with the provision based on data for six financial years starting 2014-15. CSR performance of the top thirty companies forming part of the Bombay Stock Exchange (BSE) Sensex was evaluated and a CSR Spend-to-Obligation (CSR SO) Index was calculated comparing the actual spend vis-à-vis the obligatory requirement. A quantitative and a qualitative methodology were used for the analysis. The quantitative method involved computation of the CSR SO index at various levels. The “quality” of the CSR expenditure was also assessed by speaking to twelve experts from the Corporate to find out if the expenditure was in the right direction. The results show that the aggregate average six-year CSR SO index for the 30 Sensex companies is 0.98, suggesting that companies comply with the requirements of mandatory CSR. Moreover, the experts confirm that CSR spending is in the right spirit and direction. It certainly has a long-term orientation and qualifies as quality spending. A novel CSR-SO index is presented that compares CSR performance by comparing actual CSR spending with obligatory requirements. This index can act as a barometer for CSR performance and facilitate objective evaluation. Additionally, the qualitative assessment of CSR spending shows a holistic approach to evaluating CSR.

Technological innovations, despite their several benefits, may have drawbacks, thus, they need a control mechanism or directional channel. Responsible innovation (RI) has gained popularity in technology-intensive countries as a way to regulate otherwise uncontrollable and radical technological innovations. However, existing RI research lacks a clear theoretical foundation and has not adequately addressed the commercial and performance aspects of innovative products and firms. The current research proposes an empirically testable model for RI by conducting a structured literature review, focusing on the commercial aspect of innovative products and firms’ sustainability performance in the financial, social, and environmental dimensions. The study suggests a link between RI and the resource-based theory of the firm and proposes that RI can be seen as a distinctive competency developed through the firm’s resources and capabilities. The model would help enterprises achieve ethical and social acceptability and improve sustainability performance. Metadata examination of 98 articles yielded insights. The findings and future research directions of this study provide new insights for business strategy and policy.

Are the employees working in different countries and enjoying healthy compensation truly loyal to their organization? Our study attempts to answer this question by examining the role of perception of politics on the affective commitment of expatriates in the Sultanate of Oman. Following the axiom of equity theory, the relationships between the perception of politics (POP) to affective commitment (AC) and Islamic work ethics (IWE) to affective commitment (AC) was tested. The moderating role of Islamic work ethics was also examined in the POP-AC relationship. Responses from 146 employees were collected following a simple random sampling technique. Employees working in different organizations at various managerial levels were approached for data collection. Descriptive statistics, correlation, and regression tests were applied to test hypotheses using SPSS-22.0 and SmartPLS-4. Results confirmed the positive relationship between Islamic work ethics to affective commitment and the negative relationship between perception of politics to affective commitment. Moreover, the negative relationship between the perception of politics with affective commitment was weaker when Islamic work ethics were high. Practical implications of the study are presented based on the results.

This manuscript offers a qualitative exploration aimed at proposing effective strategies for enhancing compliance with and enforcement of labor laws in Bangladesh by diminishing the incentives for non-compliance. The study relies on primary data obtained from statutes, legal decisions, and secondary data sourced from scholarly articles, books, and book chapters, among others. Employing a cost-benefit analysis approach from the employers’ perspective, the study contends that showcasing the superior costs associated with violating labor laws, in comparison to the benefits gained, will incentivize employers to prioritize compliance to safeguard their interests. To this end, the research puts forth eight distinct techniques or mechanisms to curtail the benefits derived from disregarding labor laws. These strategies are thoughtfully organized into two categories, namely “increasing the likelihood of self-enforcement” and “supporting by other actors.” The proposed techniques for enhancing compliance with and enforcement of labor laws in Bangladesh hold significant potential in benefiting key stakeholders, policymakers, and practitioners in the field. Furthermore, the study’s findings carry valuable implications for other developing countries in the South Asian region, given their similar socio-economic and cultural contexts.

Ethical leadership can lead to preparing the ground for employee voice, highlighting employees’ creativity, and encouraging knowledge-sharing behavior in the organization. Thus, this study examines the impact of ethical leadership on organizational identity with the mediating role of employee voice in digital startups. However, previous studies investigating the relationship between ethical leadership and organizational identity disregarded the intervening role of employee voice in this relationship. A cross-sectional design using a sample of 137 managers of digital startups in science parks. Through the PLS3 software, the results show that employees tend to discuss their work-related opinions and concerns more often if they consider their leaders trustworthy, and this can lead to competitive advantage and quick responses to environmental crises. According to the findings of this study, ethical leadership can prepare the ground for employee voice, highlight employees’ creativity, and encourage knowledge-sharing behavior in the organization. Hence, we suggest that leaders demonstrate personal integrity, openly receive employees’ ideas and recommendations, treat employees impartially, and attempt to maximize the benefits to their employees.

A range of emergent studies have explored the idea of a renewed human-centered society, termed “Society 5.0,” and the role therein, of servant leadership. In this regard, in East Asian cultural contexts, existing scholarship does not yet provide sufficient theoretical and practical guidance for intercultural contexts, such as when a predominantly individualistic UK business culture interacts with generally collectivist Japanese culture. This is an important gap because if Society 5.0 is to be realized then a more in-depth intercultural contextual appreciation and understanding are required. The study examines the UK/Japan setting and adopts a social constructivist epistemology and case study approach to illustrate dimensions of servant leadership (DSLs) manifesting in the lived experience of a UK business leader in Japan. Connections to business leader training are drawn and the importance of intercultural dyad specificity is highlighted. The study is also important because recent widespread exposure of various global corporate scandals creates a view that many business leaders care only for themselves or organizational profits, especially in individualistic-orientated societies. This original case study research herein commences the process of developing detailed and focal studies on underpinning drivers and raises hope that ethical behavior, as comprised in the DSLs, can potentially manifest in an individualistic UK/collectivist Japan intercultural dyad context.

The objective of this research is to investigate the effects of corporate governance scores and environmental, social, and governance scores (ESG) on firms’ cost of capital in emerging countries. The sample consists of 800 firm-year observations collected from Thomson Reuters. We analyze the data using panel-corrected standard errors (PCSE) regressions, which correct for heteroskedasticity issues and contemporaneous errors in the data. When moderated with emerging market variable, our findings indicate that in the financial sector, corporate governance and ESG score is negatively associated with cost of capital. Nonetheless, in the nonfinancial sector, no evidence is found on the effect of corporate governance and ESG on cost of capital. Our findings indicate that emerging countries, different institutional, ownership, and legal structural has an effect on corporate governance and ESG implementation.