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Article
Publication date: 5 September 2023

Haitian Wei, Rasidah Mohd-Rashid and Chai-Aun Ooi

As a consequence of the proposal of the Carbon Neutral and Carbon Peak policy in 2020, the Chinese Government is paying more attention to developing sustainability performance…

Abstract

Purpose

As a consequence of the proposal of the Carbon Neutral and Carbon Peak policy in 2020, the Chinese Government is paying more attention to developing sustainability performance. This study aims to assess the direct influence of country-level and corporate anti-corruption measures on environmental, social and governance (ESG) and its three dimensions, besides ascertaining the moderating role of firm size.

Design/methodology/approach

This study used the system generalized method of moments on a sample of 820 Chinese listed firms from 2012 to 2021.

Findings

The findings show that country-level and corporate corruption negatively affect ESG performance. Corporate anti-corruption measures have a more pronounced positive influence on the sustainability performance of small firms than large firms due to the limited resources, lower political position and weaker refusal power of small firms.

Research limitations/implications

The study has great implications for governments, corporate boards and ESG rating agencies. Government and corporate boards should mitigate the risks of country-level and corporate corruption to attain sustainable development goals. Rating agencies should add country-level and corporate corruption into the ESG evaluation system.

Originality/value

Some empirical results have proven that anti-corruption measures help reduce the emission of carbon dioxide, but few evidence shows how country-level and corporate corruption affect ESG and its three dimensions.

Details

Journal of Money Laundering Control, vol. 27 no. 3
Type: Research Article
ISSN: 1368-5201

Keywords

Article
Publication date: 26 August 2022

Rasidah Mohd-Rashid, Waqas Mehmood, Chai-Aun Ooi, Siti Zakiah Che Man and Chui Zi Ong

Rule of law is essential in reducing corruption in a country. This study aims to investigate the factors contributing to corruption in 41 of the most competitive countries in the…

Abstract

Purpose

Rule of law is essential in reducing corruption in a country. This study aims to investigate the factors contributing to corruption in 41 of the most competitive countries in the Asia-Pacific region by focusing on judicial effectiveness, property rights and government integrity. The moderating role of regulatory quality was also considered in the attempt to explain the association among rule of law and corruption.

Design/methodology/approach

This study used pooled ordinary least squares regression and generalized method of moments-dynamic panel for the robustness test on data of 41 Asia-Pacific countries spanning from 2013 to 2021.

Findings

Property rights and government integrity were found to be negatively significant in explaining corruption. In contrast, the interaction between rule of law and regulatory quality had a significant positive association with corruption. The findings bring to light Asia-Pacific countries’ need for more effective control of corruption.

Practical implications

The authorities should work towards enhancing the countries’ image as corruption-free nations by creating a stable economic and political environment and preserving macroeconomic stability through strengthened rule of law.

Originality/value

Previous research looked at The Association of Southeast Asian Nations and South Asian countries, but little attention was given to Asia-Pacific countries in examining the relationship between rule of law and corruption.

Details

Journal of Money Laundering Control, vol. 26 no. 5
Type: Research Article
ISSN: 1368-5201

Keywords

Article
Publication date: 13 October 2023

Faraj Salman Alfawareh, Edie Erman Che Johari and Chai-Aun Ooi

This paper aims to investigate the effect of governance mechanisms and firm performance on chief executive officer (CEO) compensation in relation to the Jordanian business…

Abstract

Purpose

This paper aims to investigate the effect of governance mechanisms and firm performance on chief executive officer (CEO) compensation in relation to the Jordanian business environment. This study also examines the moderating role of gender diversity.

Design/methodology/approach

The sample is drawn from the annual reports of 68 Jordanian firms between 2015 and 2019. This paper uses the ordinary least square regression. It also uses the generalised method of moments approach to control any endogeneity issue and analyses the data in depth. In addition, it uses a dynamic model to address concerns regarding causality in the study’s models.

Findings

The results show that governance mechanisms and firm performance have an impact on CEO compensation. Furthermore, the outcomes indicate that gender diversity significantly and positively moderates the association between firm performance and CEO compensation. These findings enhance and support agency theory in the context of Jordan.

Practical implications

The study’s results have significant implications for policymakers, shareholders, investors, academicians and the public in the developing Jordanian market. The findings also support more monitoring and inspection to prevent the occurrence of opportunistic management behaviour and ensure that CEO remuneration packages are appropriately designed.

Originality/value

This study provides a unique understanding by explaining the impact of governance and performance on CEO compensation in a developing country such as Jordan. Besides that, the current study extends prior studies in Jordan significantly.

Details

Journal of Financial Reporting and Accounting, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1985-2517

Keywords

Article
Publication date: 28 November 2023

Faraj Salman Alfawareh, Edie Erman Che Johari and Chai-Aun Ooi

This study investigates the current trends in CEO compensation by applying a bibliometric technique from the Scopus database.

Abstract

Purpose

This study investigates the current trends in CEO compensation by applying a bibliometric technique from the Scopus database.

Design/methodology/approach

The bibliometric analysis examines CEO compensation trends through the Scopus database. Frequency analysis is conducted using Microsoft Excel, while data visualisation is performed using VOSviewer. Finally, citation metrics are carried out using Harzing's Publish or Perish.

Findings

The results reveal that research into CEO compensation has been consistently increasing since 1976. This study identifies the most popular publication trends, the most active institutions, the top funding institutions, annual publication growth, document and source type, publishers, subject area, author co-citations, highly cited articles, top publishing countries, and keyword co-occurrences. Notably, Arizona State University in the United States (US) is the leading institution with the most prominent publications on CEO compensation. The US is the most active country involved in CEO compensation research.

Research limitations/implications

The current research only derived articles from the Scopus database. Nonetheless, the findings provide an in-depth comprehension of the meaning of “CEO compensation” and present the outline of the research trends on the concept, thus significantly facilitating further studies.

Practical implications

The findings can assist researchers in comprehending and classifying the drivers of CEO compensation previously identified and proven in past studies. Additionally, the findings also create opportunities for new researchers to study CEO compensation.

Originality/value

This study is among the pioneering research investigating CEO compensation-related publications and utilising the Scopus database from an international perspective. This study also offers a historical view of CEO remuneration, a summary of the most significant nations, journals, and writers on the topic, and an outline of how CEO remuneration studies have changed over time. These contributions will enable other researchers to focus on this subject.

Details

EuroMed Journal of Business, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1450-2194

Keywords

Article
Publication date: 12 June 2017

Chai-Aun Ooi, Chee-Wooi Hooy and Ahmad Puad Mat Som

The purpose of this paper is to investigate whether board diversity in human capital and social capital effectively mitigates the negative impacts of crises on firm performance.

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Abstract

Purpose

The purpose of this paper is to investigate whether board diversity in human capital and social capital effectively mitigates the negative impacts of crises on firm performance.

Design/methodology/approach

Cross-sectional time series data for 2001-2011 are collected from all the tourism-related public listed firms across four Asian markets. Linear and non-linear effects of board diversity on firm performance are examined.

Findings

This study finds that board diversity in human capital and social capital does not significantly improve firm performance, but it significantly mitigates the negative impacts of crises striking firm performance. The effects of board diversity show difference with sudden and gradual crises. The effects of board diversity show non-linear when tackling sudden crises. Only high levels of board diversity in external network ties are effective to tackle gradual crisis.

Practical implications

The best composition of board capital should depend on the external environment. Only through adopting excessively high board diversity in social capital is suitable when the firms have lower frequency of industry cycle, or prone to the crisis which is likely to sustain. Instead, a moderate level of board diversity in human and social capital is crucial if the firms are always situated in harsh circumstances such as high competition environment, or prone to face industrial bubble.

Originality/value

This study directly investigates board diversity in human capital and social capital, rather than investigating through the proxy of age, gender, ethnicity, etc. This study sheds light on the influence of the board diversity in the crisis periods, the findings are enhanced with the classification of crises into sudden and gradual-onset type.

Details

Managerial Finance, vol. 43 no. 6
Type: Research Article
ISSN: 0307-4358

Keywords

Book part
Publication date: 6 September 2018

Chai-Aun Ooi, Chee Wooi Hooy and Ahmad Puad Mat Som

This study suggests two new diversification strategies, i.e., tourism-related and tourism-unrelated diversifications which are specifically applicable to the hotel firms. This…

Abstract

This study suggests two new diversification strategies, i.e., tourism-related and tourism-unrelated diversifications which are specifically applicable to the hotel firms. This study aims to investigate which diversification strategy has better benefits toward firm performance. This study includes a complete set of public listed firms of the hotel industry from four Asian countries, namely, Hong Kong, Singapore, China, and Malaysia, covering from years 2001 to 2012. Revealing the advantage and disadvantage of both diversification strategies, the empirical evidence regarding its influences on hotel firm performance are investigated in this study. This study finds a nonlinear relationship between degree of diversification and firm performance. Confronting with the volatile earnings when crises strike tourism sector, this study further shows how the crises affect the relationship between tourism-related/unrelated diversification strategy and hotel firm performance.

Details

Advances in Pacific Basin Business, Economics and Finance
Type: Book
ISBN: 978-1-78756-446-6

Keywords

Content available
Book part
Publication date: 6 September 2018

Abstract

Details

Advances in Pacific Basin Business, Economics and Finance
Type: Book
ISBN: 978-1-78756-446-6

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