International Research Journal of Finance and Economics
 Issue 156
 November, 2016
Studying Factors Affecting the Tendency of Consumers to Pay for Purchase of Organic Products: A Case Study of Keshavarzi Bank
Shahram Bandpey and Arash Ghasemi

The present research aims at investigating the tendency of consumers to pay for organic products in 2015. The statistical population of this research contains 450 Keshavarzi Bank staffs in Tehran province and 207 persons were selected from among them by using Jersi Morgan table and a simple random sampling method. Data collection was based on a researcher made questionnaire through which some questions were extracted from standard questionnaires and the rest were devised based on the elements present. The reliability of the questionnaire was calculated by using Cronbach alpha method and it was found to be higher than 0.7 and it was acceptable. Also content validity was used to test the validity of the questionnaire. To do so, the questions were presented to some scholars in the field to be approved. The analysis of the data gained after administering the questionnaires through SPSS software was done in two parts of descriptive and inferential and tests (Kolomogorov-Smirnov test) and one sample t test and Friedmanís test were carried out. Then, 5 hypotheses were investigated and all of them were approved. The research results showed attitudes of Keshavarzi bank staffs in tending to pay for appropriate and acceptable organic products. There has been a positive relationship between the awareness of consumers about healthcare, tendencies to preserve ecology, price, access, and attitudes towards nutrition value of products and the tendency to pay for organic products on the part of the consumers. It is obvious that the higher amounts of awareness of consumers towards the dangers and disadvantages of unhealthy nutrients commonly used in the society will lead to ignorance about purchase and consumption of it and accordingly the tendency to consume organic products will increase. Thus, consumers would be ready to direct their payments towards purchasing organic products.
Keywords: consumersí attitude, organic agricultural products, organic products
Investigating the Role of Social Media in Crisis Management from the Perspective of Crisis Management Experts in Executive Agencies of Shiraz City
Reza Amiri, Hadis Amiri, Mohammad Ali Imani

The purpose of this paper is to examine the role of social media in crisis management from the perspective of the crisis management experts in executive agencies of Shiraz. The descriptive-survey method has been used in this study and this is an applied research in terms of goal. The population of the study includes all the experts in crisis management in the executive agencies of Shiraz in the second half of 2016, who were 235 people and the sample size was determined 140 people using Morgan table. The data collection tool used in this study was a questionnaire with 5-point Likert scale. The Social Network Functions Inventory included training and awareness, observation and monitoring, information seeking, expressive-emotional consideration, integration and network mobilization, self-monitoring and public communication. The crisis management questionnaire consisted of three pre-crisis, crisis, and post-crisis dimensions. Its validity was confirmed by experts and scholars and its reliability was measured 0.85 using Cronbach's alpha coefficient with the help of SPSS statistical software, which indicates high reliability of the research tool. Bivariate regression analysis has been used in this study In order to examine the impact of social media on crisis management. Regression analysis has shown that social media functions have a significant impact on the crisis management dimensions. The media have a significant role in crisis management and control. Although social media are new and have a short life, they have found a more important position in management of the crises including natural disasters than the mass media. Therefore, it is recommended that the positive effects of these media in management of the coming crises be increased by making awareness and clarifying the advantages and disadvantages of social media in the society and by attracting people's attention to the advantages of using it in the electronic era.
Keywords: Social Media, Crisis Management, Executive Agencies of the City Of Shiraz
The Effect of Inefficiency and Excess Cash on Future Performance of the Company (Case Study: Companies Listed in Tehran Stock Exchange)
Obaid Karimi, Azad Khanzadi and Payman Amini

The present study aimed to investigate inefficiency and excess cash on future performance of the companies accepted in Tehran Stock Exchange. For this purpose, 542 companies, which activated in Tehran Stock Exchange from 2010 to 2014 were chosen. Finally, 85 companies as a statistical sample based on omission method were selected so that they had not been lost and their cash had been prepared indirectly. According to the study subject, Pearson correlation and multiple regression were applied to analyze the data. All data were collected based on laboratory methods from companies using Modern RAHAVARD and stock exchange website. All data were submitted to Eviews, SPSS and Excel to statistical analyses. The results showed there was a significant negative relationship between dependent (future performance) and independent (excess cash and inefficiency) variables so that increasing excess cash and inefficiency resulted in reduction of future performance of the companies, which t was recorded as -2.316 (sig=0.049). In addition, companies with high-quality accruals compared to those with low quality accruals hold lower levels of cash.
Keywords: Inefficiency, Excess cash, future performance, Tehran Stock Exchange.
The Relationship between Financial Restrictions and Capital in Companies Listed in Tehran Stock Exchange
Zolaikha Ghasemi and Anvar Khosravi

The present study was conducted to study the relationship between financial restrictions and capital in companies listed in Tehran Stock Exchange. For this purpose, the criterion of Kaplan and Zingales (KZ) for financial limitation was used. The statistical population of the study was 542 companies listed on the Tehran Stock Exchange from 2006 to 2014. After that, 85 companies, which their cash flow has been indirectly prepared, were selected as a statistical sample. All data were submitted to Eviews and Excel to statistical analyses. The results of the study indicated that the changes of dependent variable (company performance) in three independent variables (cash, cash holding and cash changes), in two classes of companies with and without financial restrictions have a significant positive relationship. In addition, changes of company performance in companies without financial restrictions is more than those with financial limitations. The results of hypotheses testing generally confirmed the effects of variables including cash flow, cash holding, and cash changes in enhancing financial performance in both types of company (with and without financial limitations) listed in Tehran Stock Exchange.
Keywords: Financial restrictions, Tehran Stock Exchange, Company performance, Capital.
The Impact of Internal and External Corporate Governance Mechanisms on the Performance of the Listed Firms on Tehran Stock Exchange
Somayeh Saghafi

Continuity of activities in today's markets, considering the rising competition level, requires that managers be more creative in making timely decisions and adopting appropriate controls compared to their competitors. A manager that has a better performance, by having access to long-term competitive advantages such of distinction in the market or price leadership, dominates the market. Today, one of the most important financial issues of firms is measuring their performance because measuring the firmís performance is the basis for many decisions inside and outside the firm. In this study, to estimate the model we have used the data of 143 firms listed on Tehran Stock Exchange, obtained by screening or systematic elimination over the 2005-2014 period. The results show that institutional ownership has a positive impact on firm's financial performance but statistically it is not significant and in estimating the regression coefficient, the ratio of non-executive board members to all the members of the board of directors is negative and statistically significant. The coefficient of Herfindahl-Hirschman Index is positive and it is statistically significant, as increasing the shareholder concentration increases the performance of the firm. The size of the firm has a significant and positive effect on the firmís performance. The results of this thesis reinforce the idea that larger firms have better and more efficient tools to control managers to provide transparent information or the growth of firm's size leads to the establishment of permanent performance standards to control the organization and all of these increase the firm's performance. The effect of leverage is consistent with the agency theory.
Keywords: Corporate Governance, Ownership Concentration, Institutional Ownership, Tobinís Q.
JEL Classification: G21, G30, G32, G34
A Approach By Future Study for Create Cobranding in Constructional Material Cluster Via Method of Roadmapping (Study in the Kurdistan of Iran)
Dr.Kumars Ahmadi and Edris Karimi

This study aims to shaping roadmapping in order to create cobranding in constructional material cluster of Kurdistan province that is a approach by future study. In the last few years, paying attention to small and medium-sized industries and industrial cluster development have been the center of focus inside the country although it seems that implementing cluster development pattern needs fundamental and basic movements in policy maker level .For more competitiveness of the cluster, brand special value is one of the most important marketing principles in the last decade which has been the center of attention for researchers and marketers. Since the cluster share of province constructional material is little in internal marketing and considering potential market in Iraq and in particular Northern areas as a small market for province constructional material producers , creating one cobranding can be an applied strategy to develop and expand internal and external market for constructional material producers in single cluster frame..Considering goal, this research is applied and developing and exploratory-survey in terms of method. Judgmental and nonprobability sampling were used to determine and identify key and effective factors and their relationships as motive or follower using experts` opinions for three road mapping levels including goals , policies, and finally resource levels.
Keywords: future study ,roadmapping, industrial cluster, cobranding. Kurdistan constructional material cluster (KCMC).
Value Relevance of ROE "revisited"
Dalia Ibrahim Mustafa and Alaa Saleh Abdel-Jalil

This study aims to examine the relation between price-to-book ratio (P/B) and return on equity (ROE) and Dupont Equation; net profit margin, asset turnover, equity multiplier, for a sample of firms listed on Amman Stock Exchange in Jordan during the period (2000-2009). Which have been studied several times using Ordinary Least Square (OLS). This study uses different method which is Seemingly Unrelated Regression (SUR). The results came out showing that the results using OLS and SUR are almost consistent of explanatory power as OLS regression models but this does not apply on the coefficients, which means it was not a reason for the low explanatory power of the relationship between the P/B and ROE and its components (NPM, AT and EM), however SUR model and estimates should be more accurate than OLS because of the sample properties. Furthermore, the study examined the effect of two control variables which are firm size and the financial leverage, and the results show the relation is affected positively by the size of the firm, while the financial leverage shows its negative effect on the association between P/B and ROE.
Keywords: Return on Equity; Dupont Equation; Net Profit Margin; Asset Turnover; Equity Multiplier; Price to Book Ratio; Firm Size; Financial Leverage; SUR.
The Contribution of Knowledge and Learning to the Formation of Dynamic Capabiities: a Proposed Framework
Tatiana Marceda Bach, Rodrigo Souza da Costa, Valťria Silva da Fonseca and Heitor Takashi Kato

The aim of this article is to present a conceptual model to enhance understanding of the contribution of learning and organizational knowledge to the formation of dynamic capabilities in organizations. Elements related to learning capability, knowledge articulation, codification of knowledge, use of knowledge, coordination skills, and knowledge generation mechanisms and employment of dynamic capabilities are addressed. Learning and knowledge are increased by the sharing of common elements among organizational actors, creating space to reconfigure actions, practices and routines. This enables the development of dynamic capabilities in organizations. This article contributes to understanding the formation of dynamic capabilities in contexts that involve the exchange of information for learning and the creation of practices and strategies to obtain a competitive advantage through dynamic capabilities.
Keywords: Dynamic Capabilities, Organizational Knowledge, Organizational Learning, Organizational competitiveness.
Changes over Time in the Value Relevance of Earnings, Cash Flows and Book Values: UK Evidence
Wael Mostafa

Previous UK evidence on the value relevance of accounting information over time is scarce. Therefore, this study evaluates whether the value relevance of accounting information has changed over time in UK firms. Specifically, based on UK data, this study examines whether the value relevance of earnings, cash flows and book values has become less value relevant. To examine whether the value relevance of earnings, cash flows and book values has changed over time, we employ a regression of the annual adjusted R2s and response coefficients (of the association between capital market variables and accounting information) on a time trend variable. The value relevance is said to have decreased (increased) over time if the estimated time coefficient is significantly negative (positive). The results show that the value relevance of earnings, cash flows, and earnings and book values together is unchanged over the investigated period. Moreover, the general conclusion of unchanged value relevance over time remains the same for large firms when compared to small firms. These results are robust to controlling for the extremity of earnings and cash flows, and industry sectors. Therefore, the claim of a decline over time in the value relevance of accounting information is not supported by the empirical evidence. Our results show that the value relevance of accounting information is unchanged. This study contributes to the scarce UK research on changes over time in the value relevance of accounting information.
Keywords: Value Relevance, Stock Returns, Stock Prices, Earnings, Cash Flows, Book Values.
Dividend Policy, Corporate Governance and Performance: Islamic Versus Conventional Banks
Nejla Ould Daoud Ellili

In our paper we investigate the potential relations between the dividend policy and the corporate governance mechanisms (measured by the institutional ownership and the board of directors) as well as the impacts of the dividend policy and the corporate governance mechanisms on the corporate performance by differentiating between the Islamic and conventional banks.In our study, we include13banks operating in UAE and traded on Abu Dhabi Stock Exchange (ADX)during 2009-2012. Our sample comprises 10 conventional and 3 Islamic banks. Our empirical results reveal that the corporate governance doesnít have, in general, any impact on the dividend distributed to the shareholders. In addition, the board size and the dividend payout affect negativelyand significantly the banking performance. Our results indicate also that, although the Islamic banks have lower performance, they do pay higher dividends to their shareholders to attract the investors on the financial markets.
Keywords: Institutional Ownership, Board of Directors, Dividend Policy, Banking performance, Non-Linear Equations.