Macroeconomic uncertainty and cost stickiness: evidence from Vietnam

Purpose This study aims to examine the relationship between macroeconomic uncertainty and cost stickiness in Vietnamese listed companies. Design/methodology/approach The study uses a sample of 3,672 observations from Vietnamese listed companies from 2015 to 2022. The research runs ordinary least squares regressions to test hypotheses. As robustness checks, the study uses additional controls, an alternative measure, entropy balancing and the system generalized method of moments. Findings The study provides empirical evidence that macroeconomic uncertainty is negatively associated with cost stickiness. Additional analyses show that the observed relationship is more pronounced for firms facing lower competition, small firms, firms with low investment and firms with low fixed-asset intensity. The robustness tests consistently support the main results. Practical implications The findings have several important practical implications for policymakers and practitioners. Originality/value To the best of the authors’ knowledge, the research is the first to provide evidence of the relationship between macroeconomic uncertainty and cost stickiness in Vietnam.

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Publication Details

Journal
Journal of financial reporting & accounting
Published
2026-05-22
DOI
https://doi.org/10.1108/jfra-10-2025-0836
Primary Topic
Capital Investment and Risk Analysis
Type
article
Field-Weighted Citation Impact
0.00
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article

Macroeconomic uncertainty and cost stickiness: evidence from Vietnam

Tri Tri Nguyen, Hai Hong Phan, Anh Tu Pham
Journal of financial reporting & accounting
Capital Investment and Risk Analysis
article

Macroeconomic uncertainty and cost stickiness: evidence from Vietnam

Tri Tri Nguyen, Hai Hong Phan, Anh Tu Pham
article en

Abstract

Purpose This study aims to examine the relationship between macroeconomic uncertainty and cost stickiness in Vietnamese listed companies. Design/methodology/approach The study uses a sample of 3,672 observations from Vietnamese listed companies from 2015 to 2022. The research runs ordinary least squares regressions to test hypotheses. As robustness checks, the study uses additional controls, an alternative measure, entropy balancing and the system generalized method of moments. Findings The study provides empirical evidence that macroeconomic uncertainty is negatively associated with cost stickiness. Additional analyses show that the observed relationship is more pronounced for firms facing lower competition, small firms, firms with low investment and firms with low fixed-asset intensity. The robustness tests consistently support the main results. Practical implications The findings have several important practical implications for policymakers and practitioners. Originality/value To the best of the authors’ knowledge, the research is the first to provide evidence of the relationship between macroeconomic uncertainty and cost stickiness in Vietnam.

Journal of financial reporting & accounting
University of Economics Ho Chi Minh City (VN), Industrial University of Ho Chi Minh City (VN), University of Finance - Marketing (VN)
Openalex Percentile: Top 5%
Capital Investment and Risk Analysis
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