Sukkur IBA Journal of Management and Business

Exploring the Impact of Trade Credit and Debt on Systemic Risk in the Presence of Financial Distress and Constraints

Zafar Azam — 2024-11-11

Based on the extreme value and network contagion theories, this study intends to explore the effects of trade credit, and short/long-term debt on the systemic risk of 205 Pakistani non-financial firms over the period from 2005 to 2021. To evaluate the firms’ systemic contribution and vulnerability, we apply two firm-specific measures, the change in conditional value-at-risk (DCOVAR) and marginal expected shortfall (MES). Our findings reveal a significantly positive impact of trade credit, and short/long-term debt on the systemic contribution and vulnerability of these firms. The findings also indicate that the underlying relationship is significantly moderated by financial distress and financial constraints. Understanding how different forms of debt influence systemic risk can guide policymakers in crafting regulations or interventions to promote a healthier financial environment. Regulators may reevaluate the balance between short/long-term debt usages or develop guidelines for managing trade credit effectively to mitigate systemic risk.

The Impulsivity of Gen Z: The Influence of External and Situational Factors in a Traditional Buying Environment

Huma Amir — 2024-11-05

The research assesses the impact of external and situational factors on impulsive buying behavior among Generation Z (Gen Z). Two external factors (EF) (sales promotions /discounts (SP) and store environment (SE)) and two situational factors (SF) (time availability (TA) and money availability (MA)) were studied.The data was analyzed from 201 Gen Z respondents through an online survey. The proposed model examined the direct relationships between EF and IBB and SF and IBB. Two hypotheses were developed and analyzed using SmartPLS-4.The results depicted that EF and SF had a positive significant impact in triggering impulse buying among Gen Z. The study also found that when external and situational factors are considered together (ComE), they have a significant and positive impact on the impulse buying behavior of Gen Z.This study looks at impulse buying behavior of Gen Z in a traditional (brick and mortar) setting which will help marketers target this segment appropriately.

Impact of Corporate Governance on Firm Performance: The Moderating Role of Corporate Social Responsibility

zia ur Rehman — 2024-11-21

The paper aimed to analyze the mediating role of CSR between corporate governance/firm performance relationships. The sample comprised of 761 US listed for which data for the period 2010-2018 was collected from Thompson Reuters ASSET 4, COMPUSTAT, and annual reports. Using 2SLS regression, the findings of the study reveal that the presence of Female board members (FBM) have a significant positive impact on ROA and that CSR does moderate the FBM /firm performance relationship. Financial Institutional Investor’s (FII) also has a strong positive impact on ROA and CSR does moderate the FII/firm performance relationship. These findings are valuable for governmental agencies to encourage CSR due to its positive impact on firm earnings as well as on meeting the social obligations of the firm. These findings can be used as a basis to further liberalize the financial markets considering the positive impact of foreign ownership of firm performance.

Identifying Gaps in Organizational Conflicts: A Path Forward for Research

Dr Faraz Ali Memon — 2024-12-09

Organizational Conflicts are inevitable. It is due to human nature, which contains differences of opinion, establishment of superiority and other related factors. This review highlighted the future research gaps in organizational conflicts. A systematic literature review was conducted using different databases, such as Google Scholar and Scopus. Rayyan, a powerful, cloud-based software, was employed to maximize transparency and provide an in-depth review of existing knowledge. The relevant journal articles and other contributions were considered in identifying research gaps in the existing knowledge. The search parameters were limited to data between 2009 and 2024. This review identified four research gaps. Firstly, the review ignites the need to comprehend the connection between organizational conflicts and other influential variables, e.g., employees' trust and commitment. Secondly, there is less empirical evidence of organizational conflicts in a Pakistani context. Thirdly, most studies on organizational conflicts are either quantitative or limited in addressing an interpretive stance. Lastly, the review emphasized the necessity for more longitudinal studies. Future researchers can further utilize these research gaps and enhance their understanding of organizational conflicts.