Resumo em Inglês:

Abstract Purpose This article examines how the institutional work of inducing agents and the dissemination of knowledge among induced immersed actors have influenced adherence to governance standards in Brazilian industrial clusters. Theoretical framework We use institutional theory to frame the relationships between embedded firms through regulatory, normative, and cultural-cognitive pillars and the view of field-level agents engaged in institutional work, who share knowledge to induce adherence to governance standards. Design/methodology/approach We adopted a mixed methods research design, examining 96 companies in three Brazilian industrial clusters. We used WABA analysis to test our model within and between clusters using one-way ANOVA tests, and we tested our hypotheses using correlations identified in t-tests between independent samples and multiple linear regression to build the model. Findings The findings reveal that institutional work affects the dissemination of knowledge at multiple levels, influencing companies' adherence to cluster governance standards. We show that less adherence to new governance standards can be explained by the lack of internalization of disseminated knowledge. The institutional structures that historically existed before the implementation of formal governance prevail over the new ones, since the knowledge disseminated in these clusters tends to maintain current economic and institutional conditions, with little support for the creation of new institutions. Practical & social implications of research Cognitive aspects of the internalization of explicit, effective, and institutional knowledge suggest that its dissemination influences firms’ adherence to the industrial cluster’s governance patterns. Originality/value Little attention has been paid to how knowledge dissemination and institutional work can lead to the creation of and adherence to industrial cluster governance standards; and the dissemination of knowledge is more effective when social relations are included in the analysis model.

Resumo em Inglês:

Abstract Purpose This research aims to investigate the relationship between Chief Executive Officer (CEO) narcissism and earnings management practices in Brazilian listed companies. Theoretical framework Support for the Upper Echelons Theory (UET). Design/methodology/approach Using a panel data regression approach, we analyze a sample of 106 companies listed on the B3 from 2010 to 2019. To assess CEO narcissism, we rely on their statements during quarterly conference calls, while earnings management is measured by estimating discretionary accruals based on the Collins model (2017). Findings The study uncovers a significant positive correlation between CEO narcissism and earnings management, suggesting that narcissistic CEOs manipulate accounting practices for personal gain, driven by their desire for attention and admiration. Furthermore, the analysis reveals that CEO tenure, board presence, company size, and profitability positively influence earnings management, while the Brazilian economic recession negatively impacts it. The research also innovates by introducing a unique method for measuring narcissism. Practical & social implications of research This study contributes to the literature by shedding light on the influence of managers' narcissism, underscoring the importance of considering personality traits when recruiting and supervising executives. Originality/value In terms of originality, this research measures the level of narcissism among CEOs using secondary data, adopting a methodology considered more reliable for the study of personality (Mehl et al., 2006). Additionally, it stands out for incorporating factors that have previously been identified in the international literature, but not yet explored in national studies, and that influence earnings management. These factors include CEOs' demographic characteristics, macroeconomic factors, and CEO duality. Thus, this study contributes to the earnings management and behavioral finance literatures and fills an important research gap regarding elements that may influence unethical practices that are harmful to stakeholders in emerging markets.