The Effect of Agency Costs on the Speed of Stock Price Adjustment: Evidence of Tehran Stock Exchange

The investigation of the effects of agency costs on the firms’ performance and investors’ decision is very important. The purpose of this study is to evaluate the effect of agency costs on the speediness of stock price adjustment. To measure the agency costs, three variables of the ratios of operating costs to sales, asset turnover, and the interaction between growth opportunities and free cash flows were used and to measure the speed of stock price adjustment, Hou and Moskowitz method was applied. The population of this research consists of firms listed in Tehran Stock Exchange. The study used data from the years 2008 to 2014 for 130 companies. To analyze the data and test the hypothesis, correlation and regression method is used. The results indicate that the ratio of operating costs to sales significantly affect the speed of stock price adjustment. However, no significant effect of the asset turnover and the interaction between growth opportunities and free cash flows on the speediness of stock price adjustment was seen

The Impacts of Financial Structure on Financial Performance of Banks listed in Tehran Stock Exchange: An Empirical Application

Financial structure is a combination of debt and equity and regards as one of the most important issues in banking industry. The purpose of financial structure decision is to create an appropriate combination of financing resources to minimize the cost of capital and thus maximize the company's market value. This study investigates the impacts of banks financial structure on their Returns (ROA and ROE). In addition, it investigates the moderating roles of corporate governance, financial constraints, capital intensity and size. This research is an applied descriptive correlational research. To test the hypotheses, unbalanced panel data is used. The financial data extracted from “Rah Avarde Novin" software and the database of "Tadbir Pardaz" company. The statistical population includes all banks listed on Tehran Stock Exchange during the years 2009 to 2016. The results indicate a positive significant impacts of financial structure and the banks’ ROA and ROE. Moreover, the results show that capital intensity and the size significantly moderate the relation between financial structure with ROA and ROE

Toward understanding conflicts between customers and employees’ perceptions and expectations: Evidence of Iranian bank

This paper aims to determine influence factors affecting bank service quality, calculate the relative importance of factors from viewpoints of bank customers and employees, and examine the gaps in customers and employees’ perceptions and expectations of the quality of bank services. Accordingly, an empirical investigation was conducted in one of Iranian leading banks (Bank‐e‐Refah). For data collection, an adjusted SERVQUAL questionnaire was developed and distributed among 385 customers and 305 employees. The results show significant difference between customers and employees viewpoints. Understanding the gaps helped bank managers to develop more effective customer‐oriented service plans and employees’ training and development programs. First Publish Online: 14 Oct 201

An Expert System to Evaluate the Impacts of Health, Safety, and Environment System Implementation on Firms’ Financial Performance Using Analytic Network Process and Promethee Techniques

Sustainability involves balancing the environment, equity, and economy, with a focus on the green or low-carbon economy. Four strategic targets for a green economy encompass green management, green production, green lifestyle, and green technologies. Adopting a green economy poses challenges for companies, necessitating innovative systems like green supply chain management, smart homes, and health-safety-environment systems. Companies' concern about financial effectiveness drives the need for investments in these systems, as financial performance is critical for survival and growth. This study investigates the influence of health-safety-environment practices on a firm's financial performance. By determining key health-safety-environment indicators and financial metrics, the research gathered insights through 97 questionnaires, which were completed by experts from four Iranian companies. The collected data was analyzed employing the analytic network process and Promethee techniques, enabling a robust evaluation of the relationship between HSE practices and financial performance. Finally, an expert system was designed based on decision matrices to provide suitable financial indicators derived from HSE data. Linking HSE practices to financial performance enhances overall effectiveness and sustainability, guiding businesses in making informed decisions while respecting growth, success, environmental issues, and finally low carbon economy.   Received: 27 July 2023 | Revised: 25 September 2023 | Accepted: 13 October 2023   Conflicts of Interest The authors declare that they have no conflicts of interest to this work

Knowledge Management and Learning Organization: Analyzing the Role of Knowledge and Experience Documentation

This paper aims at designing a path for the creation and preservation of learning organization through knowledge management process. Knowledge management process includes knowledge creation, knowledge documentation, knowledge dissemination, and knowledge application elements. The basic idea of this paper is that documentation step (including knowledge storing, valuation, coding and classification) plays a key role in knowledge management process and has substantial effects on the creation of learning organizations and the improvement of organizational performance

APPRAISING THE EFFECTIVENESS OF GP IN INCORPORATING THE DECISION MAKER(DM)'S PREFERENCES

Abstract There are several difficulties with GP. This paper is an appraisement to the effectiveness of GP in incorporating DM's preferences and explains some fundamental relationships among the different approaches of incorporating. Since each approach has its own way and properties, we integrate the approaches by a unique classification. We explain why and how inappropriate approximation of nonlinear functions may lead to missing information about DM's preferences and how we can minimize the lost information in GP. Finally, an effective and interactive procedure with a numerical example is suggested in order to help analysts in defining the DM's preference functions more effectively. 1

Empirical investigation of the ability of sensitivity of stock prices to earnings news in predicting earnings management and management forecast errors

This paper presents an evidence that a firm’s Sensitivity of Stock Price to Earnings News (SSPEN), as measured by surplus stock demand over its supply, affects on incentives to manage earnings and, in turn, Management Forecast Errors (MFE). In particular, we find a tendency for firms rated a Sell (Buy) to engage more (less) frequently in extreme, income-decreasing Earnings Management (EM), indicating that they have relatively stronger (weaker) incentives to create accounting reserves especially in the form of earnings baths than other firms. In contrast, firms rated a Buy (Sell) are more (less) likely to engage in earnings management that leaves reported earnings equal to or slightly higher than management forecasts. The result of empirical evidence from Iranian firms in Tehran Stock Exchange (TSE) showing the existence of a meaningful relationship between SSPEN and EM. Generally, SSPEN can be used to predict EM and Forecast Errors (FEs)

Comparative Study of Transparency and Disclosure Indices In Developing and Developed Countries

Many studies have been developed on transparency and disclosure indices around the world. These studies use the indices to measure the transparency of corporate information. This has led to a wide variety of information transparency indicators in different countries. The purpose of this study is to compare the components and dimensions of information transparency indices in different countries. In addition, the study will examine the comprehensiveness of the indices and classify the researches conducted in this field into two groups of developed and developing countries. Analysis of Variance has been used to compare the extent of transparency and disclosure indices in the two groups. In addition, after a broad conceptual matrix of 773 items of disclosure, 27 information groups were detected. Analysis of Variance was used to compare the usage of these groups in the developing and the developed countries indices. In addition, U-‌Man Whitney test were used to compare the disclosure level of the companies in the developed and the developing countries. The review of 63 studies conducted between 1971 and 2012 on 8075 firm-years in 32 countries indicate that although the developing countries use broader measures of transparency and disclosure, disclosure level is higher in developed countries. In addition, the findings reveal that the developed countries spend more attention on disclosing their goals and strategies, expansion plans, and industrial environments. However, the developing countries focus on disclosure of Information in types of risk management, corporate governance and ethical, social and environmental issues