South Asian Review of Business and Administrative Studies (SABAS)

An Empirical Investigation of Dividend Policy Determinants in Pakistani Listed Companies: Insights from Agency Theory

Asif Iqbal — Tue, 31 Dec 2024 00:00:00 +0000

This article employs empirical methods to study the reasons affecting the dividend policies of listed companies in Pakistan, revealing findings that contrast with those from foreign studies. While dividend policy is typically used abroad as a tool to mitigate agency costs, in Pakistan, it reflects that the current dividend policy is a product of unresolved agency problems. The unique shareholding structure and governance structure significantly impact the choice of dividend forms. The controlling shareholders of listed companies tend to transfer cash from the listed company through cash dividends; there is wastefulness in retaining funds within the listed companies through stock dividends, which does not maximize shareholder interests. Additionally, the size of the enterprise also significantly affects the choice of dividend form.

Influence of Foreign Direct Investment (FDI) Rates and Remittances on Islamic Financial Institutions Growth and Progress in Developing Economies

Muhammad Saeed Iqbal, Sofi Mohammad Fikri, Asim Masood, Muhammad Umar — Tue, 31 Dec 2024 00:00:00 +0000

This study determined what major macroeconomic factors impacted the growth of the IBs sector in Pakistan. The IBs sector has developed rapidly in recent years, particularly in Pakistan, where it ranks among the top industries in the Islamic world. Two macroeconomic variables were examined to determine whether macroeconomic factors significantly impacted Islamic finance growth: the rate of new empirical theories and the volume of settlements. ARDL model and annual data were used for every variable between (2014-2023) in the study. Based on the long-run ARDL analysis, remittances have a greater impact on Islamic banking growth than foreign direct investment (FDI). Both foreign direct investment and remittances have a significant impact on the long-run development of IBs in Pakistan, with remittances having a greater effect than FDI direct investment. While Islamic and non-Islamic banks compete with each other, their presence in a country provides an adequate structure for rigorously motivated individuals and contributes significantly to its financial sector growth. Remittances provide a more reliable source of funding for Islamic banks, as they are typically less reliant on external borrowing. Additionally, remittances are more likely to be spent on investments that benefit the local economy, whereas FDI benefits foreign investors. All in all, remittances are a significant source of revenue for Islamic banks, as they offer a more immediate and sustainable benefit to the local economy.

Financial Inclusion Index for Pakistan from 2008 to 2022 using Three-Staged PCA Analysis

Muhammad Ammad Ansari — Tue, 31 Dec 2024 00:00:00 +0000

This study estimate Financial Inclusion Index (FI Index) for Pakistan over the period 2008 to 2022 applying three-stage Principal Component Analysis (PCA) technique. Financial inclusion (FI) has emerged as a vital component of sustainable development, aiming to provide access to affordable and functional financial services for all society. It plays a critical role in promoting economic growth, reducing poverty, and advancing financial stability. This research constructs a composite FI index by capturing both traditional and digital dimensions of financial inclusion. It incorporates access and usage components across various financial services. The study employs a multi-dimensional approach. It employs supply-side dimensions such as the number of bank branches, ATMs, and mobile subscriptions. The demand-side variables like account ownership, savings behavior, and mobile payment usage are considered. The PCA method facilitates the construction of separate sub-indices for traditional and digital financial inclusion. These are then combined to create a comprehensive FI index. Findings indicate significant progress in both traditional and digital financial inclusion in Pakistan. Though challenges remain in fully integrating underserved populations. The developed FI index provides insights into the evolution of financial inclusion. It contributes to policymaking aimed at encouraging inclusive financial systems and achieving broader economic development objectives.

From Clicks to Connections: Exploring the Role of Social Media and e-WOM in Shaping Brand Engagement through Total Customer Experience in South Punjab

Hammad Raza Sahu, Danish Mushtaq, Shahzadi Sattar, Haroon Ahmed Chugtai — Tue, 31 Dec 2024 00:00:00 +0000

This study examines the combined effects of social media (SM), electronic word of mouth (e-WOM), and total consumer experience (TCE) on brand engagement.
Considering the S-O-R model as the framework of the study, data was collected from 350 participants from South Punjab using a mix of physical and online surveys. With the use of SPSS and PLS-SEM, the positive impact of SM and eWOM on the BE is exhibited and the role of TCE as a mediator. The vital role of customer experience in manifesting digital intercommunications into extensive brand connections was the highlighted result.The results of this research provide the developing reservoir of research on digital engagement by providing useful data for businesses to foster customer association by the strategic utilization of SM and eWOM. Upcoming studies might need to take in mind multiple kinds of cultural and industrial factors, probe extra mediators and moderators, and use longitudinal and analytical techniques. By contributing applicable strategies for businesses to grip SM and eWOM, this study contributes to expand the body of knowledge on digital engagement. Future studies could investigate these dynamics in different cultural or industrial contexts, investigate additional mediating or moderating constructs, and adopt longitudinal or more intricate analytical techniques to gain a deeper understanding of these relationships.

Impact of Digitalization on Authentic Leadership; A Qualitative Study on Information Technology and Software Industry of Pakistan

Sadia Ashraf, Kamran Azam, Tariq Iqbal Khan — Tue, 31 Dec 2024 00:00:00 +0000

This research is aimed to explore the authenticity of authentic leadership in the digital era in IT and Software Industry. Through qualitative data the study explores the challenges faced by leadership while showcasing their authenticity in online or remote dealings. Through purposive sampling technique, interviews were conducted with 20 experts which were analyzed through thematic analysis. The study identifies key themes that were highlighting the importance of transparency, emotional intelligence and adaptability in leadership. Furthermore, key challenges were identified as misinterpretation, empathetic behavior, trust and security in virtual work environment. This study would have some positive repercussions for leaders and organizations who are doing business in virtual work setting.

Investigation of the Dimensions and Measurement of Compensatory Consumption Behavior at Different Scales

Sidra, Shah Mehmood Wagan — Tue, 31 Dec 2024 00:00:00 +0000

This paper uses a quantitative research method to explore the structural dimensions of compensatory consumption behavior. Based on the compensatory consumption theory and existing research results, the connotation and structure of compensatory consumption behavior are analyzed, and a measurement scale containing five dimensions is developed through exploratory and confirmatory factor analysis. The study shows that compensatory consumption behavior includes five dimensions: symbolic, enhancement, hedonic, emotional recovery, and resilience, with a total of 26 questions. The scale has been tested to have high reliability and validity, providing a powerful tool for evaluating compensatory consumption behavior. Although this study strives to be rigorous in its methodology, there are still some limitations. First, compensatory consumption behavior is diverse and complex. This study only covers some typical dimensions, and more potential dimensions can be further explored in the future. Second, although the sample selection is representative, it is limited by resources and social relationships. Future research can expand the sample source to enhance the universality of the conclusions. Finally, this study focuses on the measurement of compensatory consumption behavior. In the future, it can be combined with specific situations and individual differences of consumers to further explore its occurrence mechanism and market impact.

Evaluating the Effect of Toxic Leadership on Workplace Bullying in the Different Sector of Gujranwala: Mediated-Moderated Model of Employee Silence, Psychological Wellbeing and Employee Voice

Zain Ashfaq, Anam Ashraf, Jamshaid Ahmad — Tue, 31 Dec 2024 00:00:00 +0000

This study investigates the impact of toxic leadership on workplace bullying across multiple sectors in Gujranwala, Pakistan, emphasizing the mediating effects of employee silence and psychological well-being, as well as the moderating function of employee voice. A systematic survey was conducted with 384 employees from various industries, and the data was analyzed using structural equation modeling. The findings show that toxic leadership has a significant impact on workplace bullying, with employee silence and psychological well-being acting as essential mediators. Contrary to predictions, employee voice did not moderate the association between toxic leadership and bullying, implying that the impact of toxic leadership is widespread, regardless of employees' willingness to speak up. These results demonstrate how organizations can reduce workplace bullying and enhance employee well-being by addressing toxic leadership and fostering a positive work environment.