Ownership structure, corporate governance and earnings management in China / Li Honglin

To address the inherent inefficiencies of state-owned enterprises (SOEs), China has adopted partial and gradual privatization reforms and a series of corporate governance reforms, such as introducing independent directors and audit committees, and reestablishing audit firms. These reforms have resulted in the emergence and rise of private-owned enterprises (POEs) and improved the management efficiency of SOEs in China. Driven by the stronger earnings management motivations of POEs and the potentially greater effect of corporate governance in POEs, this study is conducted to examine whether Chinese SOEs perform a lower level of earnings management than Chinese POEs and whether corporate governance mechanisms (i.e. board independence, audit committee independence and external auditor) can moderate the difference in earnings management between them. This study selects 582 A-share companies from the Shanghai Stock Exchange (SHSE) and Shenzhen Stock Exchange (SZSE) from 2015 to 2018. The conceptual framework of the study is deduced based on agency theory and the non-profit goals of SOEs. The results show that SOEs perform a lower level of earnings management than POEs in China. The explanation for this phenomenon is that the non-profit goals of SOEs and the Chinese government long-term protection have relatively alleviated the principal-agent conflicts within SOEs, thereby reducing their motivations to manipulate earnings. Results also show that Big 4 firms can effectively reduce the difference in earnings management between Chinese SOEs and POEs. It is attributed to the more severe principal-agent conflicts within POEs and their stronger motivations to manage earnings. Hence, Big 4 firms are faced with higher constraining effects on the earnings management of POEs. However, the results indicate that board independence and audit committee independence cannot reduce the difference in earnings management between them. The reasons are that independent directors fail to improve the effectiveness of the board and the audit committee in China, and both the functions of independent directors and audit committee overlap with the board of supervisors within Chinese firms. From the theoretical perspectives, this study fills research gaps by illustrating clearly the relationships among ownership structure, corporate governance and earnings management. This study also adds to agency theory by pointing out that the incidence of earnings management and the effectiveness of corporate governance in constraining earnings management vary with the severity of the principal-agent conflicts. Specifically, in firms with more severe principal-agent conflicts, earning management is more likely to occur, and the effectiveness of corporate governance in reducing earnings management is more significant. Besides, the findings of this study give implications to policymakers and market watchdogs that POEs are more likely than SOEs to manipulate earnings. However, this research has several limitations, including the limited timeframe, single research context, failure to consider other potential determinants of independent directors’ performance, and failure to generalize the effectiveness of independent directors in other cases

The roles and functions of metaphors in the Malaysian Education Blueprint / Linggatharani Kesavan

Abstract: The Malaysian Education Blueprint (2013 - 2025) seeks to revamp the entire education system in Malaysia, targeting institutions of learning and the stakeholders via a series of radical changes in policy and governance. Upon scrutiny, it was also found to contain several metaphors that are carefully constructed and layered to deliver the contents to the readers. Metaphors have been identified as an effective linguistic tool that can be used to achieve cognitive, semantic and pragmatic goals effectively. More importantly, they are also found to create or alter realities and evoke powerful emotions. This research applies the Conceptual Metaphor Theory (CMT) developed by Lakoff and Johnson (1980) to explore the metaphorical concepts in the Malaysian Education Blueprint (2013 – 2025). Additionally, Charteris-Black’s (2004) framework of analysing metaphorical data in a corpus was employed to study the functions and the role metaphors play in the document. This research found that the metaphorical concepts in the blueprint were systematically employed to represent complex policies and the changes proposed for the next twelve years in the education system. The document also effectively used metaphors to present the issues and challenges faced by the education system in a more palatable way. Moreover, by using military metaphors, the document was found to conceptualize the seriousness of the government in creating an improved education system for the future by taking on current issues

Moderating role of gender diversity over The NEXUS between board characteristics and earnings management in Malaysia / Tonoy Roy

In a large number of studies, it has been found that accounting manipulation is more prone to exist among the financially distressed companies. The manipulation moves were taken by the top management to portray a rosy picture of the fir

Determinants of user satisfaction and usage intention of e-Filing system in Malaysia / Ashameena Nagaratnam

Purpose – The purpose of this paper is to investigate on the factors that affect the user to filing corporate tax returns using the e-filing system in Malaysia. Design/methodology/approach – The study uses quantitative research approach where questionnaires with close-ended questions were used. In total, 200 questionnaires were distributed and 187 were found usable for data analysis. Analysis of data was done through two types of statistical analysis software which are SPSS and Smart PLS. Structural equation modelling is used to analyse the hypotheses. 11 hypotheses were formulated and tested. Findings – The results shows that service quality and user satisfaction have significant impact on usage intention while trust in technology significantly influenced perceived risk among users.Meanwhile, information quality and trust in government significantly influenced user satisfaction.Based on the three dimensions of IS success model, service quality and information quality were found to have the most consistent and significant influence over user satisfaction and usage intention in adopting the system. The implications are further discussed. Originality/value – This study proposes a framework which constitutes the combination of Information System Success Model (ISSM) theory and Trust theory. This framework is useful since it is able to identify factors that affect users’ adoption of e-filing system

Characterization of spatial-mode properties in few-mode fiber BRAGG gratings and its applications / Muhammad Khairol Annuar Zaini

Recently, few-mode fiber (FMF) has gained much research attention compared to single mode fiber (SMF) due to its capability to overcome the capacity limit. FMF based fiber sensors have many distinctive advantages such as cost efficiency, great sensitivity, and have the ability to employ the spatial dimension for multi-parameter sensing with discrimination capability. In this work, an analytical model has been proposed to investigate the relationship of the resonant wavelength shift of a few-mode FBG (FMFBG) to the axial stress of the FMF. By applying the proposed model, the axial stress of an FMFs was determined. Besides, the polariscopic technique for measuring the reference stress profile of the FMFs has been described. Based on the experimental results, it can be seen that the axial stress in the fiber cladding determined by using the proposed model fits well with the polariscopic measurement. Therefore, the determination of the axial stress of the FMFs was accomplished based on the resonant wavelength shifts during the chemical etching process. Furthermore, a comparative analysis of two different signal processing techniques is carried out to identify the multiple reflection wavelength peaks of the etched FMFBG sensor. Modal effective indices in FMF have been numerically computed to determine the self- and cross-mode coupling resonant wavelengths in FMFBGs. After that, the chemical etching process has been performed to fabricate an etched FMFBG for the investigation of modal sensitivities. For all the acquired spectra both of the techniques such as conventional peak detection (CPD) and digital matched filter (DMF) have been applied to examine the more accurate sensitivity of the sensor for RI and temperature. It has been shown that the DMF gives a better performance in the measurement accuracy as compared to CPD. In addition, a 3×3 order characteristic matrix has been used to suppress the effect of the cross sensitivity issue. Hence it is clear that the etched FMFBG can be used as multi-parameter with enhanced performance by DMF technique. Moreover, based on mode conversion inside FMFBGs an optical delay system is constructed. A pair of FMFBGs are served as selective mode converters. The time delay introduced by the few-mode delay line with different FMF segment lengths has been theoretically and experimentally investigated. It depends on the chosen configuration based on laser operating wavelength of the input pulse stream and the resultant accumulated optical path length in the FMF. Besides, the shift of the relative phase of LP11o and LP11e modes with respect to LP01 when a section of two-mode fiber (TMF) was heated to a different temperature in the range of 26-34˚C is demonstrated. Based on the mode profile recorded at the TMF output, the relative phase has been determine

The moderating roles of ownership concentration and foreign ownership on enterprise risk management and firm performance / Zhang Lan Jun

This study examines the relationship between enterprise risk management, firm performance, and the moderating role of ownership concentration and foreign ownership on the relationship between enterprise risk management and enterprise performance. The study uses 6015 listed firms in the Shanghai Stock Exchange (SSE) and the Shenzhen Stock Exchange (SZSE) from 2016 to 2018. The results indicate that enterprise risk management significantly influences both short-term and long-term firm performance based on multiple regression and panel data analysis. The study also found that ownership concentration positively moderates the relationship between enterprise risk management and both short-term and long-term firm performance. However, foreign ownership is found to moderate the relationship between enterprise risk management only for long-term performance but has no significant effect on short-term performance. The results indicate that firms are advised to implement enterprise risk management to gain a competitive advantage and superior performance. At the same time, paying more attention to ownership concentration and foreign ownership is required

The influence of religion and state ownership on CSR disclosure quality: A case of the pharmaceutical industry in China / Tian Tian

A growing amount of research has identified the importance of the institutional environment in determining the companies’ CSR disclosure (CSRD). This perspective suggests that companies in any society facing both formal and informal institutional constraints that they must follow to gain legitimacy. Hence, this research provides insights into the CSRD quality by considering the vital role of institutional constraints. Specifically, the primary purpose of this research is to investigate the influence of religion, representing an informal institution, on the CSRD quality. Additionally, the study identifies the effect of different religions on the CSRD quality. Further, the study also examines how state ownership, representing a formal institution, moderates the relationship between religion and the CSRD quality. The investigation focuses on the pharmaceutical industry in China, an ancient country where religion has an impact on the life of the society. The country is also the leading producer and consumer in pharmaceutical products. Thus, the decisions (including CSRD) of the pharmaceutical companies have a significant impact on both domestic and international stakeholders. This research is conducted by employing the panel data regression method. The results demonstrate that pharmaceutical companies with the higher CSRD quality are positively correlated with religion, which weakens when the state owns these companies, indicating that state ownership moderates the relationship between religion and the CSRD quality. Further, the findings suggest that Buddhism, Taoism, and Catholicism are found to be positively related to the CSRD quality, whereas Islam and Protestantism are not associated with the CSRD quality. The findings of this research contribute theoretically to understanding the influence of religion and state ownership on the CSRD quality in the pharmaceutical industry in China. Practically, the findings established in this study provide evidence on determinants of the CSRD quality in China’s pharmaceutical companies that can assist various stakeholders (managers of pharmaceutical companies, investors, regulators, and the public) in making relevant economic decisions

High quality single-crystalline aluminum nitride grown using pulsed atomic-layer Epitaxy technique by MOCVD on sapphire substrate / Mohd Nazri Abd Rahman

The unique structural properties and engineering characteristics of nitride-based materials have given them a special position in semiconductor applications. Alloys with a tuned energy bandgap from ultraviolet to infrared wavelengths are possible to be deposited in maintaining the wurtzite crystal structure. However, the aluminum nitride / aluminum gallium nitride (AlN/AlGaN) based hetero-structures for deep-ultraviolet (DUV) emitters as well as AlN-based actuators and piezoelectric sensors are highly inefficient owing to the excessive mismatch in thermal and lattice features between these epilayers with flat c-plane sapphire substrates, resulting in crack formation and high dislocation densities. This thesis mainly focuses on the development of high-quality single-crystalline AlN epilayer at relatively low growth temperature and at standard pressure on c-plane sapphire substrate by metal organic chemical vapor deposition (MOCVD). This thesis mainly covers the examinations of as-deposited AlN films on c-plane sapphire substrates at relatively low growth temperature and standard pressure using pulsed atomic-layer epitaxy (PALE) techniques and evaluates the effects of growth conditions towards the as-deposited PALE AlN films. The results are based on atomic force microscopy (AFM), field emission scanning electron microscopy (FESEM), Raman spectroscopy, photoluminescence (PL) spectroscopy, high-resolution X-ray diffractometer (HR-XRD) and X-ray photoelectron spectroscopy (XPS). For the deposition of AlN films at relatively low growth temperature using PALE growth techniques, it was demonstrated that the optimization of PALE AlN deposition temperature, AlN nucleation layer (NL) growth temperature, number of pulse cycle, and the flow of ammonia (NH3) flux density during deposition have an immense effect towards the growth mechanism and its physical properties. Defects were examined morphologically, structurally and optically in the as-deposited PALE AlN films which then been described in detail. The initial growth conditions were delineated to be crucial for the final quality of the PALE AlN film. A 2-micrometer thick with a near-atomically flat of 0.87 nm root mean square surface roughness and crack-free surface of as-deposited PALE AlN films has well been obtained in the end of this thesis. Additionally, a high crystal quality of as-deposited PALE AlN films was recorded with the lowest threading dislocation density of 1.50 x 107 cm-2 for screw dislocation and 3.70 x 109 cm-2 for mixed-edge dislocation. The mechanism of strain relief was described using the in-plane strain analysis with Raman spectroscopy and correlated with each type of defect that was found in the PALE AlN films. The lowest in-plane stress and strain was recorded at 0.195 GPa and 0.042%, respectively. Moreover, the PL and XPS survey scan revealed the low incorporation of oxygen impurity in the as-deposited PALE AlN films surface. Finally, a crack-free with high crystal quality and atomically-flat surface of AlN template was achieved on c-plane sapphire substrate at relatively low growth temperature and standard pressure using PALE growth techniques via MOCVD. This thesis enclosed the possibility to perform a high quality single-crystalline AlN epilayer grown at relatively low temperature and at standard pressure without the needs of additional ex-situ high-technology instrument as per compared to other research group

Molecular dynamics simulations of DARPins as potential inhibitors against cancer associated protein kinases / Vertika Gautam

Out of all post-translational modifications, Protein phosphorylation is the most common in signal transduction, that occurs through protein kinases. Extracellular Regulated Kinase 2 (ERK2) is a type of protein kinase that undergoes phosphorylation to control various pathological and physiological phenomena. The deregulation of ERK2 often implicated in several types of cancers, for example, pancreatic, lung and breast. The current therapeutic treatment for this type of cancers involves blocking cellular proliferation signals by targeting kinases. However, the drugs developed resistance after prolonged use. Thus, the discovery of alternative ERK2 inhibitors is in need. In the present work, the potential of a class of repeat proteins - Designed Ankyrin Repeat Proteins (DARPins) is studied as ERK2 inhibitors, using computational chemistry approaches. The structural basis of ERK2-DARPin interactions based on molecular dynamic (MD) simulations and role of water molecules in the binding region of the protein-protein complexes was characterized using 3D Reference Interaction Site Model (3D-RISM). The information was then used in designing more DARPin mutants using single point mutations which were subsequently subjected to MD simulations and binding free energy calculations. Two mutants; A443D and S380L, were predicted to perform better than the original sequence (wild-type DARPin) based on the associated energy, the dynamics of global motions, and key residues involved in protein-protein interaction. This study showcases the use of computational chemistry tools in understanding proteinprotein interactions and designing specific inhibitors against cancer-associated protein kinases

Facemask usage and disposal practices from safety and waste perspective / Abirami V. Veeramani

COVID-19 has sparked a worldwide emergency and prompted concerns about waste management due to the excessive face mask waste generated globally. Malaysia records over 10 million face masks binned daily and in average a person spends RM180/year on face masks since the pandemic outbreak. Therefore, this study aims to explore the current issues arising from face mask waste from safety and waste dimension in Malaysia. The main objectives of this study are to identify the face mask usage among Malaysian and provide the best safety and waste practices of face mask. Questionnaire and case study analysis have been conducted to collect the data in this study. The questionnaires were distributed to a random population to understand their current practices in wearing face masks, selection preferences and face mask waste management and knowledge level. The data was analyzed using SPSS analytical tool. The result shows that majority (73.3 %) of the respondent agreed choosing face mask that is comfort and fit to their face. Besides, 77.2% of responded agreed that the level of bacterial filtration efficiency (BFE) is important in mask selection. And, around 90 respondents agreed wearing double mask in public spaces. According to 52.8% respondents, N95 masks are most effective in providing protection against COVID-19. 65% respondents are not satisfied with available information of disposal of face masks. Finally, based on the results obtained through the analysis, a guidance was developed to assist users on end-to-end process to improve their management of face mask. Since many nations considering COVID-19 as an endemic phase and thus existence of face mask may prolong longer in usage, this research will assist in developing enhanced public knowledge on safe use and effective face mask waste management for all level of stakeholders