cometadata/datacite-titles-descriptions-related-identifiers huggingface dataset:
DOI: 10.6084/m9.figshare.14326833.v1
title: The influence of Information Management Capability on Companies’ Sustainable Competitive Advantage: A Multiple-Case Study of Brazilian Market-Leading Companies

description: Abstract Purpose: The aim of this study is to assess the influence of Information Management Capability (IMC) on Companies’ Sustainable Competitive Advantage (SCA) based on the qualitative approach. Design/methodology/approach: This study presents results of a multiple-case study carried out in three leading companies in their sector in Brazil (a credit union, a fashion retailer, and a furniture manufacturer). Findings: The results point towards a series of connections between Information System capacities (information management and integration) and organizational capacities (flexibility, reconfigurations, and agility), which were observed through content analysis applied to the inter-occurrence of intermediate categories of these capacities. Originality/value: The strategic impact of information technology resources and capacities remains a source of controversy in the literature. This study contributes to the literature on Information Systems Management and Sustainable Competitive Advantage (SCA). These are influenced by resources and abilities related to information rather than just technological resources.
DOI: 10.6084/m9.figshare.14326835
title: The effects of easy and difficult business relationship evaluations on purchase intentions

description: Abstract Purpose: This research aims to investigate the different impacts of easy (fluency) and difficult (disfluency) business relationship evaluations on future purchase intentions. In addition, it seeks to investigate the mediating role of confidence in these evaluations and present a new form of fluency manipulation performed directly by satisfaction evaluations. Design/methodology/approach: This research includes a first experiment with a 3 (fluency: easy vs difficult vs control) x 2 (hypothetical scenario of satisfaction vs dissatisfaction) factorial design, using 180 undergraduate students, and a second single factor experiment (fluency: easy vs difficult vs control) with 326 consumers evaluating their financial services provider. Both used a between-subject design with the individuals being randomly distributed between the scenarios. Findings: Dissatisfied consumers who perceived ease in evaluating commercial relationships have increased confidence in these evaluations, negatively influencing their purchase intentions. Meanwhile, satisfied consumers are generally overconfident, being equally affected by perceived difficulty or ease due to a direct bias from the evaluation, which increases purchase intentions. Originality/value: The results demonstrate that fluency (perceived ease or difficulty) depends on the valence of the evaluations, directly affecting (positive valence) or indirectly affecting (negative valence) subsequent decisions. We also present a new, faster, and more practical way to manipulate fluency. Furthermore, we raise some ethical questions as these effects result in biased decisions.
DOI: 10.6084/m9.figshare.14326833
title: The influence of Information Management Capability on Companies’ Sustainable Competitive Advantage: A Multiple-Case Study of Brazilian Market-Leading Companies

description: Abstract Purpose: The aim of this study is to assess the influence of Information Management Capability (IMC) on Companies’ Sustainable Competitive Advantage (SCA) based on the qualitative approach. Design/methodology/approach: This study presents results of a multiple-case study carried out in three leading companies in their sector in Brazil (a credit union, a fashion retailer, and a furniture manufacturer). Findings: The results point towards a series of connections between Information System capacities (information management and integration) and organizational capacities (flexibility, reconfigurations, and agility), which were observed through content analysis applied to the inter-occurrence of intermediate categories of these capacities. Originality/value: The strategic impact of information technology resources and capacities remains a source of controversy in the literature. This study contributes to the literature on Information Systems Management and Sustainable Competitive Advantage (SCA). These are influenced by resources and abilities related to information rather than just technological resources.
DOI: 10.6084/m9.figshare.14326838
title: Determinants of Delays in Corporate Reorganizations

description: Abstract Purpose: Firms and creditors may delay certain decisions in corporate reorganizations because of actions that require coordination. This paper investigates delays in voting on reorganization plans during claimholder general meetings in Brazil. Design/methodology/approach: Using a sample of 120 hand-collected reorganization plans, we present descriptive and regression (OLS, Poisson, negative binomial, and quantile) analyses to show the primary characteristics of delayed votes. Findings: Our results revealed that a high concentration of debt among the different classes of claimholders appeared to be related to fewer delays. Moreover, a higher number of banks and secured creditors with claims in the reorganization appeared to be positively correlated with delays. Finally, we argue that reorganization plans that require additional time to reach a vote are related to divestment proposals. Originality/value: There is still a lack of empirical results based on evaluations of multiple creditor characteristics and the reorganization proposals presented in firms’ reorganization plans. This is the first paper in Brazil to explore how conflicts of interest among different classes of creditors may relate to delays. Our paper contributes to the literature developed by Gilson (1990), Gilson et al. (1990), Brown et al. (1993), Franks and Tourus (1994), Helwege (1999), Ayotte and Morrison (2009), Ponticelli (2012), and Ivashina et al. (2015) regarding the characteristics of delaying reorganization plan votes during restructuring cases. We corroborate the results obtained by previous papers and provide an analysis of the role played by each class of claimholder in delaying plan votes for Brazilian firms
DOI: 10.6084/m9.figshare.14326838.v1
title: Determinants of Delays in Corporate Reorganizations

description: Abstract Purpose: Firms and creditors may delay certain decisions in corporate reorganizations because of actions that require coordination. This paper investigates delays in voting on reorganization plans during claimholder general meetings in Brazil. Design/methodology/approach: Using a sample of 120 hand-collected reorganization plans, we present descriptive and regression (OLS, Poisson, negative binomial, and quantile) analyses to show the primary characteristics of delayed votes. Findings: Our results revealed that a high concentration of debt among the different classes of claimholders appeared to be related to fewer delays. Moreover, a higher number of banks and secured creditors with claims in the reorganization appeared to be positively correlated with delays. Finally, we argue that reorganization plans that require additional time to reach a vote are related to divestment proposals. Originality/value: There is still a lack of empirical results based on evaluations of multiple creditor characteristics and the reorganization proposals presented in firms’ reorganization plans. This is the first paper in Brazil to explore how conflicts of interest among different classes of creditors may relate to delays. Our paper contributes to the literature developed by Gilson (1990), Gilson et al. (1990), Brown et al. (1993), Franks and Tourus (1994), Helwege (1999), Ayotte and Morrison (2009), Ponticelli (2012), and Ivashina et al. (2015) regarding the characteristics of delaying reorganization plan votes during restructuring cases. We corroborate the results obtained by previous papers and provide an analysis of the role played by each class of claimholder in delaying plan votes for Brazilian firms
DOI: 10.6084/m9.figshare.14326839
title: The Usefulness of Operating Cash Flow for Predicting Business Bankruptcy in Medium-Sized Firms

description: Abstract Purpose: This paper proposes using operating cash flow (OCF) as an instrument to determine a firm’s likelihood of bankruptcy. It presents a new model capable of predicting business failure based on data derived from financial statements. Design/methodology/approach: In this study, logit analysis was employed because of its frequently-cited conceptual advantages relative to multiple discriminant analysis. Through the logistic regression, we identified an integrated function for several ratios, which is useful when assessing whether a firm can be classified as solvent or insolvent in the future. The sample consists of Spanish medium-sized enterprises (MEs) included in the SABI. Findings: We identified an integrated function for several ratios, including information derived from cash flow statements, which is useful when assessing whether a firm can be classified as solvent or insolvent in the future. The analysis suggests the usefulness of taking into account information provided by cash flow statements when making decisions regarding lending to firms and, also, in relation to the acceptable level of leverage that can be assumed by a firm. Originality/value: The model is capable of predicting the probability that a medium-sized firm might have financial problems three years before this occurs, increasing the capacity to take corrective measures.
DOI: 10.6084/m9.figshare.14326839.v1
title: The Usefulness of Operating Cash Flow for Predicting Business Bankruptcy in Medium-Sized Firms

description: Abstract Purpose: This paper proposes using operating cash flow (OCF) as an instrument to determine a firm’s likelihood of bankruptcy. It presents a new model capable of predicting business failure based on data derived from financial statements. Design/methodology/approach: In this study, logit analysis was employed because of its frequently-cited conceptual advantages relative to multiple discriminant analysis. Through the logistic regression, we identified an integrated function for several ratios, which is useful when assessing whether a firm can be classified as solvent or insolvent in the future. The sample consists of Spanish medium-sized enterprises (MEs) included in the SABI. Findings: We identified an integrated function for several ratios, including information derived from cash flow statements, which is useful when assessing whether a firm can be classified as solvent or insolvent in the future. The analysis suggests the usefulness of taking into account information provided by cash flow statements when making decisions regarding lending to firms and, also, in relation to the acceptable level of leverage that can be assumed by a firm. Originality/value: The model is capable of predicting the probability that a medium-sized firm might have financial problems three years before this occurs, increasing the capacity to take corrective measures.
DOI: 10.6084/m9.figshare.14326841.v1
title: The role of banking supervision in credit risk disclosures and loan loss provisions

description: Abstract Purpose: The aim of this paper is to analyse the effect of the level of supervisory power on the level of disclosure of loan loss provisions and on the use of this item for income smoothing purposes. Design/methodology/approach: Our sample includes 60 European banks from 15 countries, covering the period between 2012 and 2015. We use an index based on the measure of supervisory power and we estimate three regression models in order to investigate the role of banking supervision in credit risk disclosure and in the use of loan loss provisions for income smoothing purposes. Findings: The results show that banks from countries with a higher level of supervisory power disclose more information about loan loss provisions. However, banks from countries with a higher level of supervisory power only disclose more information regarding Pillar 3 and not IFRS 7. Additionally, we conclude that managerial discretion is lower in banks domiciled in countries with high enforcement. Originality/value: This study is useful for bank supervisors as it raises awareness about their influence on the disclosure of impairment losses on financial assets, and for users of financial statements as insights are provided about the relationship between supervisory power and income smoothing.
DOI: 10.6084/m9.figshare.14326841
title: The role of banking supervision in credit risk disclosures and loan loss provisions

description: Abstract Purpose: The aim of this paper is to analyse the effect of the level of supervisory power on the level of disclosure of loan loss provisions and on the use of this item for income smoothing purposes. Design/methodology/approach: Our sample includes 60 European banks from 15 countries, covering the period between 2012 and 2015. We use an index based on the measure of supervisory power and we estimate three regression models in order to investigate the role of banking supervision in credit risk disclosure and in the use of loan loss provisions for income smoothing purposes. Findings: The results show that banks from countries with a higher level of supervisory power disclose more information about loan loss provisions. However, banks from countries with a higher level of supervisory power only disclose more information regarding Pillar 3 and not IFRS 7. Additionally, we conclude that managerial discretion is lower in banks domiciled in countries with high enforcement. Originality/value: This study is useful for bank supervisors as it raises awareness about their influence on the disclosure of impairment losses on financial assets, and for users of financial statements as insights are provided about the relationship between supervisory power and income smoothing.
DOI: 10.6084/m9.figshare.14326844
title: Corporate Financial Distress and Reorganization: A Survey of Theoretical and Empirical Contributions

description: Abstract Purpose: This paper presents both a theoretical and empirical review of the bankruptcy and reorganization literature. We point out the main articles developed in the field and present a group of studies carried out after the approval of the new bankruptcy law in Brazil. Design/methodology/approach: This paper provides a survey of the literature on bankruptcy and corporate reorganization. We investigate classic and recent papers in the field and present the results of some Brazilian studies that consider the announcement of the Brazilian bankruptcy law in 2005. Findings: We show that information asymmetry, coordination problems, and heterogeneity between creditors are pivotal to the resolution of financial distress. Moreover, the choice of restructuring is made according to the least-cost alternative. We discuss the practical implications of the literature by analyzing three cases of reorganization in Brazil and reveal that the complexity of each case can drive the decision to approve or reject the reorganization plan. Originality/value: We investigate the evolution of the bankruptcy and reorganization literature and provide a survey that explores both the international and Brazilian literature.
DOI: 10.6084/m9.figshare.14326844.v1
title: Corporate Financial Distress and Reorganization: A Survey of Theoretical and Empirical Contributions

description: Abstract Purpose: This paper presents both a theoretical and empirical review of the bankruptcy and reorganization literature. We point out the main articles developed in the field and present a group of studies carried out after the approval of the new bankruptcy law in Brazil. Design/methodology/approach: This paper provides a survey of the literature on bankruptcy and corporate reorganization. We investigate classic and recent papers in the field and present the results of some Brazilian studies that consider the announcement of the Brazilian bankruptcy law in 2005. Findings: We show that information asymmetry, coordination problems, and heterogeneity between creditors are pivotal to the resolution of financial distress. Moreover, the choice of restructuring is made according to the least-cost alternative. We discuss the practical implications of the literature by analyzing three cases of reorganization in Brazil and reveal that the complexity of each case can drive the decision to approve or reject the reorganization plan. Originality/value: We investigate the evolution of the bankruptcy and reorganization literature and provide a survey that explores both the international and Brazilian literature.
DOI: 10.6084/m9.figshare.14326842.v1
title: Economic and financial determinants of bankrupcy: evidence from Ecuador’s private banks and the impact of dollarization on financial fragility

description: Abstract Purpose: An econometric model is established to explain bankruptcy in Ecuadorian banks. The utility of combining macroeconomic, financial, and idiosyncratic determinants to explain bankruptcy is empirically demonstrated. Design/methodology/approach: The cross-sectional analysis includes 24 banks between 1996 and 2016. Bankruptcy is considered as a rare event. Findings: Even in adverse macroeconomic conditions, the main factor explaining bankruptcy is lax administration. Also, those banks with higher levels of indebtedness with respect to their capital levels are more susceptible to bankruptcy. Higher levels of spread and lower inflation are associated with lower levels of bankruptcy. Ceteris paribus, after dollarization the bankruptcy probability decreases and the effective management of each bank becomes a relevant factor to explain bankruptcy. Originality/value: Different determinants are combined in order to produce predictive models with practical value and macro-dependent dynamics that are relevant for stress tests. There is empirical evidence that the change in the monetary system has helped to stabilize the financial system. The problem of having a small sample and rare events is evident and adequately addressed.
DOI: 10.6084/m9.figshare.14326842
title: Economic and financial determinants of bankrupcy: evidence from Ecuador’s private banks and the impact of dollarization on financial fragility

description: Abstract Purpose: An econometric model is established to explain bankruptcy in Ecuadorian banks. The utility of combining macroeconomic, financial, and idiosyncratic determinants to explain bankruptcy is empirically demonstrated. Design/methodology/approach: The cross-sectional analysis includes 24 banks between 1996 and 2016. Bankruptcy is considered as a rare event. Findings: Even in adverse macroeconomic conditions, the main factor explaining bankruptcy is lax administration. Also, those banks with higher levels of indebtedness with respect to their capital levels are more susceptible to bankruptcy. Higher levels of spread and lower inflation are associated with lower levels of bankruptcy. Ceteris paribus, after dollarization the bankruptcy probability decreases and the effective management of each bank becomes a relevant factor to explain bankruptcy. Originality/value: Different determinants are combined in order to produce predictive models with practical value and macro-dependent dynamics that are relevant for stress tests. There is empirical evidence that the change in the monetary system has helped to stabilize the financial system. The problem of having a small sample and rare events is evident and adequately addressed.
DOI: 10.6084/m9.figshare.14326847
title: Endogeneity in panel data regressions: methodological guidance for corporate finance researchers

description: Abstract Purpose: To describe the use of specific lags (and/or temporal differences) of the original regressors as instrumental variables in a succinct and practical way, showing, by means of a theoretical discussion illustrated by an original simulation exercise, how combining these with adequate modeling of firm and time fixed effects can address not only the dynamic endogeneity problem, but also those derived from the presence of omitted variables, measurement errors, and simultaneity between dependent and independent variables. Design/methodology/approach: Monte Carlo simulation Findings: The traditional OLS, RE, and FE estimators may be inconsistent in the presence of endogeneity problems that are quite plausible in the context of corporate finance. On the other hand, the estimation methods for panel data based on GMM that use assumptions of sequential exogeneity of the regressors present alternatives that are capable of effectively overcoming all the problems listed (provided these assumptions are valid) even if the researcher does not have good instrumental variables that are external to the model Originality/value: The paper discusses and illustrates a greater number of endogeneity problems, showing how they are addressed by different estimators for panel data, using less technical and more accessible language for researchers not yet initiated in the intricacies of estimating dynamic models for panel data.
DOI: 10.6084/m9.figshare.14326847.v1
title: Endogeneity in panel data regressions: methodological guidance for corporate finance researchers

description: Abstract Purpose: To describe the use of specific lags (and/or temporal differences) of the original regressors as instrumental variables in a succinct and practical way, showing, by means of a theoretical discussion illustrated by an original simulation exercise, how combining these with adequate modeling of firm and time fixed effects can address not only the dynamic endogeneity problem, but also those derived from the presence of omitted variables, measurement errors, and simultaneity between dependent and independent variables. Design/methodology/approach: Monte Carlo simulation Findings: The traditional OLS, RE, and FE estimators may be inconsistent in the presence of endogeneity problems that are quite plausible in the context of corporate finance. On the other hand, the estimation methods for panel data based on GMM that use assumptions of sequential exogeneity of the regressors present alternatives that are capable of effectively overcoming all the problems listed (provided these assumptions are valid) even if the researcher does not have good instrumental variables that are external to the model Originality/value: The paper discusses and illustrates a greater number of endogeneity problems, showing how they are addressed by different estimators for panel data, using less technical and more accessible language for researchers not yet initiated in the intricacies of estimating dynamic models for panel data.
DOI: 10.6084/m9.figshare.14326848
title: Financial Illiteracy and customer credit history

description: Abstract Purpose: We study how financial illiteracy affects the probability of a derogatory mark on the customer’s credit history. Design/methodology/approach: We use the National Survey on Financial Inclusion in Brazil together with information on financial instrument usage and spending provided by the head of the household. To estimate the impact of financial illiteracy on the probability of a derogatory mark we use a logistic model to compute the odds ratio. Findings: Our main result is that financially illiterate individuals have between 57% and 143% more chance of having a derogatory mark. We find that age, income, expenses, and retirement positively affect the probability of a derogatory mark, while marriage has a negative impact. Gender does not have any impact over the probability of derogatory mark. Originality/value: The study uses a new proxy for financial illiteracy and correlates it to the investment and debt decisions of a family using a unique dataset.