Foundation University Journal of Business & Economics

Impact of Credit and Systematic Risk on Firms Value: Moderating Role of Corporate Governance Quality and Political Stability in Asian Developing Markets

Munawar Hussain, Bushra Zulfiqar — Sun, 15 Feb 2026 00:00:00 +0000

The aim of this study is to examine the impact of credit and systematic risk on firm value, moderating role of
political stability and corporate governance quality across the Asian developing markets for non-financial
listed firms. The dependent variable is firm value measured by using Tobin’s Q model, ROA and stock return.
The data was collected for listed firms across the developing markets. Major sources of data were FSA, BSA
and annual reports of firms. Study used stratified simple random sampling technique. The time-period of study
was 2013- 2022. Finally, credit risk (CR) reported negative significant impact on firm value in context of
Pakistan, Bangladesh, Nepal, Jordan, Sri Lanka and Iraq but positive significant in Turkey. In contrast,
systematic risk demonstrated a positive and significant relationship with firm value. Moderating role of
political stability in relationship of systematic risk on firm value positive significant in Pakistan, Bangladesh,
Bahrain, Sri Lanka, Jordan, Iraq and Turkey except Nepal reported negative significant. Contrary, political
stability negatively moderated the relationship of credit risk is negative significant. Furthermore, in context
of Pakistan and Bahrain, Iraq and Turkey corporate governance quality (CGQ) probability for CGQ-SR
positive significant. It is stated that CGQ positive significantly moderates the impact of systematic risk on firm
value in these markets. Contrary, Bangladesh, Sri Lanka, Jordan and Nepal reported insignificant moderation
by CGQ due to lower quality and deficiencies. Finally, CGQ negatively moderated the relationship of credit
risk and firms value in context of Pakistan, Bangladesh, Bahrain, Nepal, and Iraq, but positive significant
moderated in Turkey, contrary insignificant only in Jordan and Sri Lanka. Study is implacable for researchers,
investors and policy makers, the Govt. and managers of relevant sectors/firms. In future the study can be
extended by making sensitivity and sectoral analysis for the determinants of firm value in different economic
recessions.

Holistic Nature of Occupational Health, Safety, and Environment towards Disaster Risk Management in Pakistan with Moderation Effect of Green Management

Adnan Shahzad, Muhammad Naeem Shahzad, Mirza Nasir Jahan Mehdi — Wed, 25 Mar 2026 00:00:00 +0000

Environmental green practice supports the world convergence through reducing ecological
hazards. Occupational health focuses on protecting and enhancing the physical, mental, as well
as social well-being of workers in various sectors. The integration of occupational health, safety,
and environment practices with disaster risk management at a holistic level is important in the
reduction of risks and for sustainable development, particularly in disaster-vulnerable countries
such as Pakistan. This study is oriented to examine the expected effect of Occupational Health,
Safety, and Environment towards Disasters Risk Management in Pakistan with Moderation Effect
Green Management. The cross-section data for the period of 2001-2024 related to green
management, Environment, health and safety, has been collected from official reports &
databases, and reports of National Disaster Management Authority, Pakistan Environmental
Protection Agency, Occupational Safety & Health Administration, International Labor
Organization, United Nations Environment Program, World Health Organization, State Bank of
Pakistan, and United Nations Development Program. After checking the different diagnostics
tests, calculating the descriptive statistics, and deliberating the Cross Section Pearson’s
correlation, it was ensured the long-term effect of green management, Environment, health and
safety through different Techniques including the ARDL Bound Test and VECM in the E-Views.
The empirically calculated findings declare that Noise & Air Quality, Workplace Culture,
Biological & Physical Hazards, Climatic Green and Environmental Projects, and Casualty Level,
affect insignificantly towards disaster Risk Management while rest of the factors affect
significantly on the disaster Risk Management, which leads to meet the maximum objectives of this
study. The significant results proclaim the empirical allegiance of all the study factors towards
disaster risk management. The insignificant findings instigate the policy makers to reappraise the
green considerations and flaws in promoting the green innovations must be controlled by some
concrete green policies and green investment awareness programs. By and large, the lenient low
green management cost can boost the green projects in the long run to protect the environment,
solve the health issues and safety aspects overall.

Impact of Workplace Ostracism on Organizational Citizenship Behavior: The Mediating Role of Job Performance and The Moderating Role of Perceived Organizational Support

Dr. Saira Aziz, Muhammad Haris ul Mahasbi — Wed, 25 Mar 2026 00:00:00 +0000

This study investigates the mediating role of job performance in the relationship between
workplace ostracism and organizational citizenship behaviour (OCB). It also examines the
moderating effect of perceived organizational support (POS) on the relationship between job
performance and OCB. Using a cross-sectional design, quantitative data was collected through
questionnaires from 250 mid-level managers in Pakistan's automotive assembly sector. Statistical
analysis using PLS-SEM revealed that workplace ostracism has a significant negative influence
on job performance (? = -0.527), while job performance has a significant positive influence on
OCB (? = 0.278). The findings confirm that job performance significantly mediates the negative
effects of workplace ostracism on OCB. However, the moderating role of perceived organizational
support was not statistically supported. These results provide key insights for managers and
policymakers, emphasizing the need for inclusive policies to combat workplace ostracism, which
can in turn enhance employee performance and foster positive citizenship behaviours within
organizations.

Unpacking Financial Reporting Quality by Using MSCORE Model: Micro and Macro Insights

Asad ur Rehman, Dr. Aijaz Mustafa Hashmi, Dr. Ishtiaq Ahmed — Wed, 25 Mar 2026 00:00:00 +0000

The reliability of financial reporting is the cornerstone of confidence between enterprises and their stakeholders. Ensuring the generation of high-quality financial reports is crucial for companies. Users of financial statements want high-quality financial information to make informed decisions. It is essential to analyze the key aspects influencing the transparency and credibility of financial reports. This study evaluates the effects of macroeconomic and microeconomic factors on the quality of financial reporting. The macroeconomic factors are economic policy uncertainty (EPU) and inflation. Corporate governance mechanisms and financial distress are classified as microeconomic factors. This study employs the M-Score model, incorporating specific and total accruals, to identify earnings management. This analysis utilizes data from non-financial firms listed on the Pakistan Stock Exchange (PSX) spanning 2013 to 2024. The study will assist regulators in ensuring the quality of financial reporting. Companies can improve the transparency of accounting information for the public and shareholders, enabling informed investment decisions. This study indicated that enterprises experiencing significant economic policy uncertainty and financial difficulty should prioritize their financial statements to mitigate earnings management. Furthermore, companies must implement a robust corporate governance framework to mitigate earnings management and enhance the transparency and trustworthiness of financial reporting.

Does Consumer Regret Have an Impact on Negative WOM? The Role of Brand Hate and Brand Loyalty

Wed, 25 Mar 2026 00:00:00 +0000

This study examines the relationship between consumer internal negative emotions and their
external negative emotions, brand loyalty, and negative word-of-mouth. We look at how brand
hate that consumer experience while selecting a mobile network provider is affected by
consumer regret. Using the suggested model, the influence of brand loyalty and brand hate on
negative word-of-mouth is also investigated. 361 users of a mobile network provider in
Pakistan participated in our online poll. We used structural equation modeling to examine the
data. The findings demonstrate that brand hate, an outwardly unpleasant feeling, is positively
influenced by consumer regret, a negative inside emotion. Brand loyalty and negative WOM
are both favorably and adversely impacted by consumer regret. The findings also showed that
although brand hate had a favorable impact on consumers spread of negative information,
brand loyalty does not affect negative word-of-mouth.

Fintech-Based Financial Inclusion and Risk-Taking Behaviour of Financial Institutions: Evidence from South Asia

Sobia Parveen , Dr. Muhammad Asif , Arshad Khan — Sun, 15 Feb 2026 00:00:00 +0000

Fintech innovations enhance the financial system's stability and mitigate key stakeholders' risk propensity. However,
a requirement persists for additional empirical evidence to validate the significant impact of fintech-based financial
inclusion (FinFI) on the risk-taking tendencies of financial institutions (FIs) active in South Asian nations and the
considerable differences in the relationship between fintech-based financial inclusion and the risk-taking behavior
of financial institutions among the different countries in South Asia. While extensive research regarding fintech,
financial inclusion, and financial institutions exists in various regions worldwide, there is a notable scarcity of studies
focusing on South Asian countries such as Pakistan, India, Bangladesh, Nepal, and Sri Lanka. This study aims to
bridge this gap by investigating fintech-based financial inclusion and the risk-taking behavior of financial institutions
in South Asian countries over twelve years spanning from 2011 to 2022. The data collection process employed the
convenience sampling method. However, other countries like Bhutan, Afghanistan, and Maldives are not included in
the study population due to a lack of data. Additionally, we have utilized datasets from reputable sources, including
the World Development Indicators, Global Financial Development, and Global Financial Inclusion databases for
quantitative data collection. Panel data analysis is a statistical methodology used to examine and analyze the dataset
of multiple entities observed over several periods. We evaluated the FinFI and analyzed its impact on mitigating risk
taking behavior among financial institutions. The reliability of our results has been confirmed through a
comprehensive series of rigorous tests for robustness. The results of the analysis have proved that Fintech-based
financial inclusion significantly impacts the risk-taking behavior of financial institutions regarding debit card
ownership and debit card usage but insignificantly impacts with reference to mobile money accounts in South Asia.
Moreover, the analysis proved that fintech-based financial inclusion positively impacts the risk-taking behavior of
financial institutions, and there are significant differences in the relationship between fintech-based financial
inclusion and the risk-taking behavior of financial institutions among the different countries in South Asia.