Trust is often posited to substitute for management control in interfirm transactions. However, this raises questions of how trust arises in new relationships, and whether trust that is not based on prior experience transacting together is sufficient to persuade managers to forego investments in...

In this study, we report two 2 x 2 between-subjects experiments which investigate the effect of strategic relevance of reported sustainability information and its assurance on nonprofessional investors' investment decisions. The first experiment manipulates strategic relevance of reported...

Bonus banks are multi-year performance plans for deferring bonus payments and enhancing pay-for-performance by facilitating downward corrections of bonuses. This paper examines the incentive properties of bonus bank schemes based on performance measures as proposed in the literature. To attain...

Using eye-tracking technology, we examine whether the information processing patterns of nonprofessional investors with a directional investment preference are affected by performance information presented based on either a focus on stakeholders (stakeholder format) or on strategic goals...