{"title":"Financial risk propensity and investment decisions: An empirical analysis using behavioural biases","authors":"","doi":"10.1016/j.iimb.2024.06.004","DOIUrl":"10.1016/j.iimb.2024.06.004","url":null,"abstract":"<div><div>The study aims to determine the influence of behavioural biases on financial risk propensity. It also attempts to examine the influence of financial risk propensity on investment decisions and the mediational role of financial risk propensity on the relationship between behavioural biases and investment decisions. A survey by questionnaire method is adopted to collect data from 203 respondents using the purposive sampling technique among the investors. The study has found that prospect, herding, and heuristics dimensions of behavioural bias have a significant impact on financial risk propensity, and in turn, financial risk propensity has a significant impact on investment decisions. The results of the study can help to develop more realistic investment valuation models in light of the revised risk-return expectations of investors who act contrary to the traditional concept of rational utility maximisers.</div></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 3","pages":"Pages 213-229"},"PeriodicalIF":1.7,"publicationDate":"2024-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389624000570/pdfft?md5=a2bf07e5b64c86916c5f60cefed3d340&pid=1-s2.0-S0970389624000570-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141511540","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Development of a composite index to measure environmental sustainability in the telecom sector: A comprehensive approach towards carbon emission reduction","authors":"","doi":"10.1016/j.iimb.2024.04.004","DOIUrl":"10.1016/j.iimb.2024.04.004","url":null,"abstract":"<div><div>Telecommunication provides the infrastructure to deliver core services but contributes to extensive CO<sub>2</sub> emissions. To address the problem, this paper introduces environmental sustainability index for the telecom sector to reduce carbon emissions. The present work identifies the most critical factors that reduce carbon emission in a multiple-stage telecom supply chain through an extensive literature review, followed by developing an environmental sustainability index to measure carbon reduction efforts. A detailed survey was conducted among the personnel of the Indian telecom sector to understand the initiatives for carbon emission reduction. The study employed factor analysis and multiple regression to achieve its objectives.</div></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 3","pages":"Pages 239-255"},"PeriodicalIF":1.7,"publicationDate":"2024-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389624000508/pdfft?md5=1ecaa63191ee6a467ea3bc33498cbb27&pid=1-s2.0-S0970389624000508-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140882711","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Classrooms vs screens: Learning outcomes from a business school","authors":"","doi":"10.1016/j.iimb.2024.05.003","DOIUrl":"10.1016/j.iimb.2024.05.003","url":null,"abstract":"<div><div>This paper examines the impact of substituting regular classroom programmes with online classes on students’ academic performance. We compared the change in the delivery mechanism of preparatory courses for two consecutive Master of Business Administration (MBA) batches in one of the top business schools in India. While the first batch studied in a face-to-face classroom setting, the second batch was taught two subjects in an online format, while the third subject continued to be offered in the face-to-face classroom setting. Using a difference-in-difference estimation, we found that the students' performance declined in both the subjects offered online, with the average performance declining by 4.95% and 8.4% in Economics and Accounting, respectively. However, no decline in performance was noted in the third subject of Quantitative Methods, offered in a face-to-face classroom setting. Further, we found a larger drop in scores for students with the lowest academic ability. Our results indicate that a shift to online courses should be accompanied by well-designed pedagogical and curriculum changes to ensure substantive learning, especially for academically weaker students.</div></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 3","pages":"Pages 202-212"},"PeriodicalIF":1.7,"publicationDate":"2024-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389624000533/pdfft?md5=ed3655a7993c1cc10397420a051cac3b&pid=1-s2.0-S0970389624000533-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141399363","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"An examination of the Indian small-cap cycle in relation to the U.S. market","authors":"Avirup Hazra , Parthajit Kayal , Moinak Maiti","doi":"10.1016/j.iimb.2024.03.008","DOIUrl":"10.1016/j.iimb.2024.03.008","url":null,"abstract":"<div><p>The present study examines the Indian small-cap cycle between April 2011 and March 2022. The ordinary least squares (OLS) estimate shows that investors can benefit from investing in the Nifty Small-Cap 100 index by following a proper exponential moving average strategy. The study findings also highlighted that among macroeconomic factors, ‘term spread’ might influence the Nifty Small-Cap 100 index returns (NIFSC100R). The daily returns of the Russell 2000 index, the relative change in international crude oil prices (RCO), and the relative change in the exchange rate between USD and INR (RUSDINR) show no statistically significant impact on NIFSC100R.</p></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 2","pages":"Pages 126-136"},"PeriodicalIF":1.7,"publicationDate":"2024-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389624000144/pdfft?md5=dda77594cc53b4d212deaf58b5271620&pid=1-s2.0-S0970389624000144-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140407348","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Adoption of artificial intelligence in financial services: The case of robo-advisors in India","authors":"Shumaila Fatima, Madhumita Chakraborty","doi":"10.1016/j.iimb.2024.04.002","DOIUrl":"10.1016/j.iimb.2024.04.002","url":null,"abstract":"<div><p>Robo-advisors are still in their nascent stages of use, and this technology has yet to find wider acceptance with investors. Our study extends the domain of technology acceptance to robo-advisors by identifying the drivers of investor adoption. Investment decisions carry high risks; thus, there is a greater need to understand investor behaviour to adopt robo-advisors. Trust, anxiety, performance expectancy, and preference for human advisors are used as variables to predict investors’ intentions. PLS-SEM is employed to examine the data with a sample size of 445 investors. Results suggest that all these variables play a significant role in determining the behavioural intention of investors towards the adoption of robo-advisors.</p></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 2","pages":"Pages 113-125"},"PeriodicalIF":1.7,"publicationDate":"2024-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S097038962400048X/pdfft?md5=b0ffbb4034b8b4de1c912396889b8fde&pid=1-s2.0-S097038962400048X-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140763362","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Investigating the effect of organisational values on sustainable practices and the moderating role of family influence in Indian SMEs","authors":"Subrata Mitra","doi":"10.1016/j.iimb.2023.04.001","DOIUrl":"10.1016/j.iimb.2023.04.001","url":null,"abstract":"<div><p>In this paper, we investigate the effect of organisational values/culture on sustainable practices in Indian SMEs, and observe that organisational values/culture positively affect waste disposal/recycling, and employee-related social practices. Further, employee-related social practices act as a mediating variable between organisational values/culture, and firms’ environmental and community-related social practices. We also examine the moderating role of family influence and observe that for family SMEs, the effects of organisational values/culture on waste disposal/recycling, and employee-related social practices are stronger than those for non-family SMEs. The paper concludes by highlighting the implications and limitations of the study, and possible directions for future research.</p></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 2","pages":"Pages 99-112"},"PeriodicalIF":1.7,"publicationDate":"2024-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389623000289/pdfft?md5=2320e362f1214c28e4e710a05e0b8ef9&pid=1-s2.0-S0970389623000289-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42719766","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Does investor base affect the firm-level ex-ante cost of equity capital?","authors":"Jains P Chacko , Lakshmi Padmakumari","doi":"10.1016/j.iimb.2024.04.003","DOIUrl":"10.1016/j.iimb.2024.04.003","url":null,"abstract":"<div><p>This research investigates how investor base affects the cost of equity capital (COE) in Indian companies, particularly in market conditions with weak investor protection and increased ownership concentration by promoters and families. Using ordinary least squares (OLS), panel fixed effects, and two-step system generalised method of moments (GMM) analysis on data spanning from 2016 to 2021, we discovered that a dispersed ownership structure is linked to a higher ex-ante COE. Our findings indicate that companies with dispersed shareholders have less motivation to monitor managers, which leads to the expropriation of minority shareholders and results in higher COE.</p></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 2","pages":"Pages 146-156"},"PeriodicalIF":1.7,"publicationDate":"2024-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389624000491/pdfft?md5=c385a61cc508bff9cc0e39f55b06e0fa&pid=1-s2.0-S0970389624000491-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140772911","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Douglas da Rosa München , Herbert Kimura , Eduardo Kazuo Kayo
{"title":"Which banks’ business operations are more risky? The impact of leverage on Brazilian financial institutions","authors":"Douglas da Rosa München , Herbert Kimura , Eduardo Kazuo Kayo","doi":"10.1016/j.iimb.2024.03.005","DOIUrl":"10.1016/j.iimb.2024.03.005","url":null,"abstract":"<div><p>We analyse the effect of leverage components and banks’ ‘business model channels’ on risk-taking for Brazilian banks. Using a detailed dataset from the Brazilian financial system, the results show that the measurement of leverage components is relevant for determining banks’ risk. We highlight two important findings. First, we provide novel insights for the design of a generalised method of moments (GMM) estimation using external instruments. Second, the derivative and on-balance-sheet operations are risky for investment and foreign banks. These results provide important information for banking supervision and regulation and bring new insights regarding banks’ leverage behaviour.</p></div>","PeriodicalId":46337,"journal":{"name":"IIMB Management Review","volume":"36 2","pages":"Pages 157-170"},"PeriodicalIF":1.7,"publicationDate":"2024-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0970389624000119/pdfft?md5=e087e34bf2c266b0f414ac518412bdd3&pid=1-s2.0-S0970389624000119-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140276727","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}