Journal of Applied Business and Economics

Salespeople’s Work-Orientation Preference: An Exploratory Attributional Analysis of Intrinsic/Extrinsic Motivation

2024-05-15T03:02:47-04:00

Salespeople have different work attitude toward teamwork. Some of them value communication and coordination between team members, whereas others enjoy working on their own. It is believed that the discrepancies in work attitude derives from the different attribution styles, that is, whether people attribute failure outcomes to the external environment (e.g., lack of organizational support, unstable task situation, etc.) or to internal factors (e.g., self-ability, personal skills, consciousness, etc.). In addition, intrinsic/extrinsic motivation also comes into play during the formation of work-orientation preference. Using an attributional perspective, this article examines how different attribution styles influence the development of varying work attitude (team-orientation vs. self-orientation). Self-determination theory is also employed to explain the moderation role of intrinsic/extrinsic motivations.

The Intervening Influence of Internal Controls on the Relationship Between Board Practices and Performance of Government Owned Entities in Kenya

2024-05-15T03:07:21-04:00

There is a growing public debate on the role of boards in government-owned entities due to poor performance, corporate scandals, and increased corruption. Good board practices and internal controls, including enterprise risk management, are crucial for enhancing performance. Research findings on their impact have been contradictory. However, improving transparency, accountability, and adherence to governance frameworks can positively influence performance. Addressing governance issues is crucial to mitigate resource mismanagement and corruption, leading to better overall performance. The objective was to determine relationships among board practices, internal controls, and government-owned entities’ performance. Data was collected from 153 properly completed questionnaires out of the 157 returned, representing 65.38% of the entire population of 234 government-owned entities. The findings established that internal controls positively and significantly intervened in the relationship between board practices and performance. Implementing good board practices and internal controls promotes accountability and transparency, leading to enhanced organizational performance. Government-owned entities should prioritize implementing effective board practices and internal controls to enhance their overall performance.

Green Marketing or Greenwashing: How Consumers Evaluate Environmental Ads

2024-05-15T03:26:12-04:00

Over the past few years, there has been a significant increase in the number of cases related to greenwashing. This research investigates how consumers develop green skepticism to react to greenwashing practices. In two studies, we demonstrate that environmental ads (either vague or specific ads) are more effective in persuading weak-attitude consumers resulting in lower green skepticism than strong-attitude consumers. In contrast, strong-attitude consumers exhibit a backfiring behavior when presented with vague ads, evidenced by their higher level of green skepticism and lower WTP for products featured in the ads. More interestingly, specific ads are effective among strong-attitude consumers, lowering their green skepticism and increasing their WTP. Our research has theoretical and managerial implications for green marketing communication.

A Critical Analysis of the Small Business and Startup Community in the U.S. State of Maine: A Sustainable Way Forward

2024-05-15T03:35:03-04:00

This study is a student-faculty research collaboration that examines the landscape in which small business owners, startups and entrepreneurs operate within the U.S. State of Maine with the aim of bringing invaluable insight and creating awareness. Supporting small business is a salient topic for local economic development councils, governments, and agencies. A survey was conducted and distributed to small business owners and entrepreneurs to gather their perspectives and opinions. One finding is that there are significant gaps in awareness with regards to support entities and their associated programs in general. Another finding is that survivorship bias has a large presence in the data collected previously by other agencies as well as by the data collected by the study. Finally, sustainable recommendations are suggested which, when implemented by the state of Maine as well as by municipalities, counties, or regional development boards, governments, and business support organizations, will increase the efficacy of existing policy and create a more cohesive, diverse, equitable, inclusive, resilient, and robust small business, startup, and entrepreneurship community.

New Required Characteristics for Entrepreneurs Trans-COVID-19 Vis-a-Vis Pre-COVID-19

2024-05-15T03:38:57-04:00

This qualitative systematic study analyzes the entrepreneur concept and its transformation during the COVID-19 pandemic. The study reports the results of a metasearch of keywords such as entrepreneurial traits, entrepreneur’s characteristics, business adaptations due to COVID-19, COVID-19 protocols, management responses to COVID-19, and entrepreneurship during COVID-19, among others. It has fulfilled the objective of confirming the presence of an adaptation and transformation process of the skill set and traits of a successful entrepreneur Trans-COVID-19 vis-a-vis Pre-COVID-19. Prevalent characteristics during the COVID-19 pandemic include adaptability, technological knowledge, creativity, innovation, ability to network, and creating new relationships. These characteristics suggest avenues for further investigation. Research opportunity lies in examining potential shifts in strategic orientations that may arise from the post-traumatic effects on organizations due to the profound changes brought about by the COVID-19 pandemic. Furthermore, the recognition of these new traits and shifts in managerial paradigms during the Trans-COVID-19 period raises significant questions about potential changes in academic processes aimed at developing future entrepreneurs.

A Practical Approach to Incorporating ESG Risk Into Equity Valuation

2024-05-15T03:43:41-04:00

The rise in the capital allocated and investor focus attributed to ESG investing over the past several years has been significant. However, the current literature is not settled regarding the value that ESG risk measures and reporting has on investments and valuations. If this risk is essential, then this risk should be incorporated to account for the presence or the lack of ESG-related risk in valuation models. However, with the relative newness and difficulty of quantifying ESG risk, there is little practical guidance on incorporating this risk into valuation estimates. We provide evidence that ESG-related risk scores are positively associated with the cost of equity. Building upon that result, we operationalize the positive relationship to adjust the cost of equity in free cash flow to equity valuation models. Firms with higher ESG risk have a higher required return, while firms with lower ESG risk have a lower discount rate. Our approach is a practical guide for investors and analysts to account for ESG risk adjustments in valuation models.

Financial Reporting Transparency and the Cost of Equity: Evidence From Newly Listed Firms

2024-05-15T03:49:53-04:00

This paper explores the economic effects of financial reporting transparency of newly listed firms and outcomes associated with enhanced disclosure and financial reporting activities. We find a negative correlation between financial reporting transparency and information asymmetry in newly listed firms during their first five years of public trading. Further, we find a significant positive link between perceived business risk and implied cost of equity for these new public companies. Furthermore, we find a positive association between financial reporting transparency and the cost of equity. Our study helps to extend the research on the consequences of increased disclosures of newly listed firms.

Resilience Amidst Adversity: A Qualitative Exploration of Black Entrepreneurs in South Metro Atlanta

2024-05-15T03:57:37-04:00

In this qualitative study, we explore the resilience and innovation of Black entrepreneurs in South Metro Atlanta amidst systemic financial constraints and racial discrimination. Our investigation reveals not only the obstacles these business owners face but also their strategic responses to such challenges, especially during the tumultuous times of the COVID-19 pandemic. Highlighting the indispensable role of community support and the necessity for inclusive policies, our findings offer actionable insights for fostering an environment where African American businesses can thrive. This study serves as a roadmap for policymakers, stakeholders, and scholars to understand and support the dynamic landscape of Black entrepreneurship.