Applied Research in Financial Reporting

Applied Research in Financial Reporting

The effect of market competition and cash flows on the relationship between stock dividends and cost stickiness

Document Type : Original Article

Authors
Abdolrasoul Rahmanian Koushkaki 1
Fatemeh Fatahi 2
1 Department of Accounting, Payame Noor University, Tehran, Iran
2 MSc, Department of Accounting, Payame Noor University .Tehran, Iran
10.22034/arfr.2024.217665
Abstract
The aim of the present study is to investigate the effect of market competition and cash flows on the relationship between stock dividends and cost stickiness. The present study is applied and from the methodological perspective, the correlation is of a causal (post-event) type. The statistical population of the study is all companies listed on the Tehran Stock Exchange, and using the systematic exclusion sampling method, 1360 companies were examined as a research sample between 2013 and 2022. The results of testing the research hypotheses showed that stock dividends have an inverse effect on cost stickiness. The interaction of cash flows and dividends is effective on cost stickiness; but the interaction of market competition and dividends does not have an effect on cost stickiness.The results of testing the research hypotheses showed that stock dividends have an inverse effect on cost stickiness. The interaction of cash flows and dividends is effective on cost stickiness; but the interaction of market competition and dividends does not have an effect on cost stickiness.
Keywords
cost stickiness
dividends
cash flows
product market competition

  • Receive Date 10 June 2024
  • Revise Date 27 November 2024
  • Accept Date 12 February 2025