International Journal of Business and Globalisation (109 papers in press)
HOW GLOBALISATION AFFECTS SINGAPORES UNIT LABOUR COSTS IN THE MANUFACTURING SECTOR
by Soon Beng Chew
Abstract: Given the pace and scale of how globalisation has transformed our industries and economies, it is then imperative for us to explore if success in such interconnected markets relies solely on sustaining low unit labour costs (ULC) figures. While low ULCs are conventionally equated with constrained wage growth for workers and high labour productivity levels, we sought to explore if there were any alternative approaches to achieving cost competitiveness in Singapore‟s Manufacturing Sector. We conducted a novel estimation study that encompasses ULC‟s true determinants real remuneration growth, capital intensity growth and total factor productivity (TFP) growth building upon Ord
Keywords: Globalisation; Unit Labour Costs; Cost Competitiveness; Remuneration; Capital Intensity; Total Factor Productivity Growth.
TQM Techniques as an Innovative Approach in Sport Organizations Management: Toward a Conceptual Framework
by Gadaf Rexhepi, Veland Ramadani, Vanessa Ratten
Abstract: One of most important aspect that sport organization need to pay attention when it comes to being competitive is the use of total quality management (TQM) techniques. The aim of this paper is to develop a conceptual framework of the use and influence of TQM techniques in the sports organizations performance by providing the relationship between these techniques and overall performance. Our conceptual framework is based on the influence of these techniques: quality circles, benchmarking, continuous improvement (kaizen), empowerment and outsourcing. These techniques contribute to increase the overall quality, increase innovations, increase the employees involvement and loyalty and increase the financial stability of sport organisations.
Keywords: Total quality management; TQM techniques; sport organisation; quality programmes; performance.
Causal Relationship between Leverage and Performance: Exploring Dhaka Stock Exchange (DSE)
by Nabila Nisha, Bikramaditya Ghosh
Abstract: To magnify shareholders returns, managers employ the use of debt in the firms capital structure. However, excessive debt financing can often cause financial distress for the firms. In fact, various debt equity ratio levels may lead to different financial performance when compared for high levered and low levered firms. Thus, the aim of this paper is to examine the cause and effect relationship between financial leverage and financial performance of firms. To pursue the purpose, a purposive sample of 163 non-financial firms listed on the Dhaka Stock Exchange (DSE) was selected to conduct this study. Findings indicate that there was no significant difference in the financial performance between high levered and low levered firms, neither in terms of their size nor growth rates. A negative relationship therefore persists between leverage and performance of such firms. Implications of these findings can provide policy guidelines for managers and directions for any further work in this context.
Keywords: leverage; performance; capital structure; growth rates; firm size; levered firms; Bangladesh
The predictability of Ghana stock returns: Implications of Fundamental Information Analysis
by Isaac Boadi
Abstract: The purpose of this research is to examine the predictability of stock returns by using fundamental information analysis in the Ghana stock market. The study employed the Generalized Methods of Moments (GMM) as the main regression tool using a data spanning from 1997-2009.Findings from this research reveal that fundamental information i.e. selected financial ratios are statistically significant predictor of stock returns (STR) across all the listed firms. Varying relationships are produced when stock returns are decomposed into capital gains and dividend returns during the period under review. This indicates that possibility may exist for this information to be used in an attempt to earn abnormal returns in Ghana stock market.
Keywords: Stock Returns, Fundamental, Predictability, GMM, Ghana
Towards a Circular Economy How Business Model Innovation will help to make the shift
by Patrick Planing
Abstract: The overall aim of this paper is to develop a new conceptual framework for the role of business models in a circular economy. The shift towards a circular economy will be mandatory in order to sustain growth despite the limited amount of resources on our earth. Yet, a fundamental understanding of the business models needed to achieve this goal is still missing. Reviewing existing research as well as professional and for-business publications, the author develops a conceptual model by clustering and abstraction. The first part of this paper demonstrates that, despite wording differences, a predominant agreement on a basic structure for new business models in a circular economy has emerged in the field. The second part develops a conceptual model for the transition towards a circular economy by introducing a hierarchical structure of new business models. By outlining the roadmap towards result-oriented business models, this structure will contribute to a faster transition into a circular economy.
Keywords: Business Model Development; Circular Economy; Business Innovation; Business Model Innovation
Hypernorms Pull Ahead: A Conceptual Framework of Social Medias Impact on the Integrative Social Contracts Theory
by Russell Zwanka
Abstract: Purpose This paper reviews the potential impact of social media on Donaldson and Dunfees Integrative Social Contracts Theory (ISCT), and the necessity of a Corporate Social Responsibility (CSR) policy and Code of Ethics in a global business setting. The conceptual framework is formed through an academic review of each of these four concepts: ISCT, CSR, Codes of Ethics, and social media communication. The idea is that hypernorms, those universal truths in the ISCT, are becoming the leading variable in business ethical decision making; whilst cultural relativism is becoming less relevant, because of the rise of social media communication.
Design/methodology/approach Using academic research to form a conceptual framework around the theory that todays communication speed has caused a need for a slight revision in the ISCT decision steps. We are attempting to develop a link between the impact of social media communication (which was not a major factor when the ISCT was first formed) and the balance between cultural relativism (seen in micro-social norms) and hypernorms (those macro-social norms that transcend all populations) in a global setting.
Findings The literature review has helped form a conceptual framework that will need further research. The theory that social media, which was not a major factor when ISCT was first proposed, has led to a more transparent global operation- one in which a global business may not be able to accept cultural relativism as a reason for making a business decision as may have happened in the past when global communication speed was much slower. It is also postulated that a CSR strategy and Code of Ethics, held for all countries and all employees, could be a preferred way to enable ethical business decisions on a global scale.
Research limitations/implications Because of the conceptual framework approach, the results will need to be tested in an experimental setting, where cultural and moral relativism is heavily decreased in relative importance in decision-making versus a CSR strategy combined with a Code of Ethics universally communicated to all entities of a global business.
Practical implications The paper includes implications for the development of a global ethical decision-making process, including a theory that social media may have caused a need for a change in the ISCT decision-making process. The study proposes that communication changes have led to a transparency, which could potentially render cultural relativism less impactful.
Keywords: corporate social responsibility; code of ethics; integrative social contracts theory; cultural relativism; business ethics
Analysis of going concern modified audit report in Indonesia and Singapore
by Martin Surya Mulyadi
Abstract: Audit report is very useful for both internal and external decision makers as it provides assurance over the financial report which often reflect the going concern ability of a company. Going concern modified audit report is seen as a credible signal from the auditor regarding the financial condition of the company. This research analyses determinants of going concern modified audit report in Indonesia and Singapore. Despite of the difference of these two countries, our findings show similar evidence in both countries. Even though prior studies document that companys characteristics, companys financial performance and auditors characteristics may determine the issuance of going concern modified audit report; these are not evident in our study. Despite of these variables, we find that prior year audit report is a significant determinant of issuance of going concern modified audit report; which supports that this report is a credible signal of companys financial distress.
Keywords: going concern, going concern modified audit report, financial condition, financial distress, Indonesia, Singapore
Internationalisation Modes in the Australian Telecommunications Industry: The Influence of Different Innovation Types
by Maja Basic, Vlajcic Davor, Ivan Novak
Abstract: This paper identifies the influence of product, service and process innovation, radical innovation, competitive intensity and international customer requirements on the firms preferred internationalisation mode. The empirical research was conducted by the means of the questionnaire survey on the Australian telecommunications industry between April and September 2014. The multinomial logistic regression analysed 88 responses with respect to no, non-equity and equity internationalisation modes. The results suggest that: (1) Internationalisation modes vary according to firm age, R&D intensity and international customer requirements. (2) Product innovation and competitive intensity significantly influence firms' preference for equity compared to non-equity internationalisation. (3) Neither service nor process innovations are significant predictors of equity compared to non-equity internationalisation. (4) Radical innovations significantly predict firms preference for no compared to non-equity internationalisation. Pertaining to the transaction cost theory, the analysis showed that product innovations are the most important predictor of firms preference for equity over non-equity internationalisation, and radical innovations bound firms operations to a domestic market.
Keywords: internationalisation mode; equity internationalisation; non-equity internationalisation; product innovation; service innovation; process innovation; radical innovation; competitive intensity; international customer requirements; transaction cost theory; telecommunications industry; Australia.
Exploring the effects of ethnocentrism and country familiarity in consumer preference and brand recognition
by Ana Sousa, Helena Nobre, Minoo Farhangmehr
Abstract: This paper aims to explore the effects of ethnocentrism in consumer preference of domestic versus foreign products. In addition, the paper also aims to explore country-of-origin familiarity in international products/brands recognition. The study departs from the theoretical assumption that country image is a driving factor for brand internationalisation. A quantitative study was carried out on a sample of 177 consumers. Findings suggest that, although country familiarity is an important factor for international brand recognition, consumer product associations are more effective on brand preference and purchase decision. Results also indicate that ethnocentrism seems to act as a barrier for foreign brands, as consumers tend to remember and prefer their own domestic brands.
Keywords: Country image; country-of-origin; domestic products/brands; country familiarity; ethnocentrism; brand internationalisation.
Determinants of high-growth firms during the financial crisis: Evidence from Catalonia
by Nuria Arimany Serrat, Xavier Ferràs Hernández, Petra Nylund, Emma Hitchen
Abstract: This study profiles and provides an economic and financial analysis of high-growth Catalan firms during the period 2008-2013, identified from an objective search using the SABI database. The firms experienced a minimum 10% increase in sales between the years 2010, 2011, 2012 and 2013, a 5% minimum ROA in 2013, and a 2% minimum ROE in 2013. The aim of this study is to profile the Catalan firms with the strongest growth and determine their financial and economic health during the period 2008-2013, identifying sectors and regions which experienced the most growth. The methodology consists of an economic and financial analysis of the short-term balance sheet (with emphasis on liquid assets directly related to the cash flow statement), of the long-term balance sheet, of profit or loss of changes in equity, and collections and payments, in order to reach results and conclusions which enable these firms to position themselves at an economic and financial level, and identify future challenges in order to maintain their competitiveness.
Keywords: High-growth firms; Catalonia; Financial analysis; Economic analysis; Statement of changes in equity analysis; cash flow statement analysis;.
Foreign Monopoly and Local Disappointment in a Small-Scale Tourism Community: The Case of Las Pe
by Carel Roessingh
Abstract: This article describes how small entrepreneurs in the tourism industry of Las Pe
Keywords: Nicaragua; cultural change; local and foreign entrepreneurs; tourism community.
An Empirical Analysis of the Need for Achievement Motivation in Predicting Entrepreneurial Persistence in Bumiputra entrepreneurs in Terengganu, Malaysia.
by Ibrahim Tijjani Sabiu, Abdul Aziz Abdullah, Aziz Amin, Izah Tahir
Abstract: The Malaysian government employed initiatives to stimulate a robust entrepreneurial climate, improved distribution of income and economic growth for the Bumiputras. Though, the governments support had not strengthened their entrepreneurial culture, competitiveness and achievement. Instead, the treatment made the Chinese more persistent, resilient and competitive entrepreneurially. Therefore, this study analysed the correlation between need for achievement motivation and entrepreneurial persistence of Bumiputra entrepreneurs in Malaysia. About 171 questionnaires were self-administered to micro Bumiputra entrepreneurs. The results from the Pearson correlation revealed a positive upward linear relationship between motivation and entrepreneurial persistence with fairly strong correlation. The finding asserted that the Bumiputras would have been energized by need for achievement to strive for success, in order to meet the decades long awaited 30% equity ownership targeted by 2020. And, this target achievement would equally complement the governments efforts with the current Malaysias aspiration to join the developed nations by year 2020.
Keywords: Entrepreneurship; Persistence; Need for Achievement Motivation; Bumiputra; Indigenous people; Indigenous Entrepreneurship.
THE INFLUENCE OF UNIQUE CAPABILITY, FUNCTIONAL STRATEGY ON COMPANY PERFORMANCE OF SHIPBUILDING INDUSTRY IN INDONESIA
by Wahyuddin Bagenda
Abstract: The high market potential of shipyard industry provides a great opportunity for the growth of the industry in Indonesia. Besides the domestic market, the international market also provides opportunities for the shipbuilding company in Indonesia to take part at several international markets. However, the international market share of Indonesian shipbuilding industry tends not to be high, which indicates that the performance of this sector is still low. This is due to problems related with functional strategies and unique capabilities in the industry. Thus, the study aims to investigate the effect of unique capabilities and functional strategy on company performance in the Indonesian shipbuilding industry through causality investigation on 50 shipbuilding companies. Data is tested through PLS models. The findings show that simultaneously and partially unique capabilities and functional strategy affect on company performance. Functional strategy provides more dominant effect than unique capabilities in influencing the company performance.
Keywords: Unique Capabilities; Functional Strategies; Company Performance; Shipping Industry; Indonesia.
The Study of Competitiveness of Tourism in Cape Verde: The Case of Clusters of St. Anthony / S
by Valter Marcos Valter Marcos M. Fortes, Vanessa Ratten, Paulo Barcellos, Cristina Estevão
Abstract: The study of competitiveness has been the centre of attention of many tourism researchers in recent decades.
However, studies focused on empirical validation competitiveness models in the world in general, and in Cape Verde in particular, are still shortfall. In this sense, this research aims to analyse the determinants of competitive advantage of tourism clusters formed by four islands in this country. To this end, it was adopted a methodology that required the use of a semi-structured questionnaire, based on Porter
Keywords: Cape Verde; Competitiveness; Globalisation; Porter´s Diamond Model; Sustainability; Tourism.
What drives trust-performance relationship in SME alliances?
by Rohit Prabhudesai, Ch. V. V. S. N. V. Prasad
Abstract: The aim of this paper is to determine how trust influences SME strategic alliance performance. While strategic alliances provide SMEs with the requisite resources needed for survival and gaining competitive advantage, they are particularly vulnerable to the opportunistic behavior of partners. Presence of trust in such cases mitigates these perceptions and thereby improves alliance performance. However, extant research has suggested that trust-performance link in an alliance is not uniform in all situations and maybe contingent upon other factors. Through the course of this paper, propositions are developed for multiple drivers that influence the trust-SME alliance performance relationship and a conceptual model is provided. By identifying the means by which trust affects the performance of SME alliances, the paper provides important insights for researchers and managers.
Keywords: SME; alliance; alliance failure; SME alliance; SME alliance performance; commitment; cooperation; control.
Participatory meaning-making of environmental and cultural changes in reindeer herding in the northernmost border area of Sweden and Finland
by Élise Lépy, Hannu Heikkinen, Teresa Komu, Simo Sarkki
Abstract: This paper explores the adaptation possibilities of reindeer herding regarding environmental changes at the Northernmost Swedish-Finnish border region. Four herding communities of the K
Keywords: adaptation; cultural resilience; environmental changes; S.
Historic constructions of the early multinational: On power, politics and culture in Pan Am narratives
by Marke Kivijärvi, Albert J. Mills, Jean Helms Mills
Abstract: This paper examines how Pan American World Airways (Pan Am) - an early incarnation of a multi-national enterprise (MNE) - developed its image as an international company. In particular we examine how the company developed and managed potentially conflicting narratives, including the modernizing United States company and the airline of the Americas (specifically South America); the carrier of U.S. national interests and the politically neutral actor serving to unify cultures; the purveyor of exotic experiences and the pioneer of modernism. Through a focus on organizational narratives we reveal the powerful influence of such story telling (through design and serendipity) on images of the peoples and countries where the MNE operates. In contributing to the narrative turn in business history we argue for a relational approach to narrative analysis.
Keywords: Business history; corporate archives; narrative; international business; multinational companies; postcolonialism; airlines; relationalism.
All Around the Mulberry Bush: A Theory of Cyclical Unethical Behaviour
by Jeffrey Overall
Abstract: In the Frankfurt School of Critical Theory, it is suggested that the system of production and consumption in industrialized economies leads to alienation of the workforce. To overcome the negative emotions associated with this, which is believed to be contributing to the mental pathology of society, individuals consume, emotionally. Using this as a theoretical foundation, a cyclical model of unethical behaviour around four constructs, namely: the pressure to perform, unethical behaviour, emotional consumption, and organisational dependence, is developed. Through the propositions offered, the psychological pressure to perform is suggested to cause unethical behaviour. As a result of their unethical behaviour, employees experience negative feelings and to alleviate these, they consume. Through increasing levels of emotional consumption, and subsequent debt, employees become dependent on their employers, which causes additional feelings of pressure to perform at work leading to a cycle of unethical behaviour. The main contribution to knowledge of this research involves the juxtaposition between theories of unethical behaviour and emotional consumption.
Keywords: Agency theory; critical theory; consumer debt; emotional consumption; globalisation; organisational dependence; pressure to perform; social influence theory; unethical behaviour.
Lending facilities versus banking service: unbalanced bank lending to SMEs in China
by Junjie Wu, Jinyu Shu, Jeff Gold, Hong Fang
Abstract: This paper examines gaps in bank lending and services to SMEs in China, the problem of productive SME-bank relationships and the reasons behind these gaps. Specifically it distinguishes between lending facilities and lending services in order to highlight an imbalance in the current banking context for Chinese SMEs. It combines data from Berry (2006) with own matching data in China, drawing on Berger and Udells (2006) conceptual framework of credit availability. This study adopts stylised comparisons with Germany, the UK and the USA, and Hong Kong. The results reveal that China has developed a banking infrastructure which is equivalent to comparable developed countries. However China is deficient with regard to the quality of bank services. The results are discussed in the context of government policies, the financial infrastructure, SME credit availability, and the intricacies of the SME-bank relationship in China.
Keywords: SME financing; bank lending; SME-bank relationship; China.
Japanese corporate governance structure review and 'the logic of Ié'
by Teruo Shinato, Koji Kato
Abstract: In recent years, there have been voices that indicate changes had occurred in the activities model of the Japanese. Where does the problem of Japans corporate governance structure actually lie, and how will the review of governance structure affect the family business of Japan? We would like to look into the meaning of governance structure review from the perspective of corporate management style based on the logic of Ié' that forms the unique cultural background of conventional Japanese corporate setup. In Japanese family business, the family ties that had been instilled naturally and spontaneously till now have to be reconnected while the preparation of corporate governance system is underway. For family business in Japan, what is required now is, as far as corporate governance is concerned, not to play around with the market rules, but to strike a balance in corporate governance aspect that matches the corporate culture of Japan.
Keywords: corporate governance; Japanese society structure; Japanese culture; the logic of Ié'; CSR; family business; trust; family governance; family centred management; Japanese new growth strategy; Japanese governance.
Information and Communication Technology Strategies to Improve International Competitiveness in the Wholesale and Retail Trade Sector
by Mahdi Safa, Seon Levius, Kelly Weeks
Abstract: The study explored the Information and Communication Technology (ICT) strategies that managers of Barbadoss wholesale trade businesses use to improve international competitiveness in Barbados. The resource-based view theory was the conceptual framework for this study. Data collection included semi-structured interviews with 15 business managers, participant observation, and organizational document analysis. Data analysis and methodological triangulation revealed 4 themes that helped to understand the findings within the context of the research question and the purpose of the study. These themes included competitive position and response, internal factors, IT-specific factors, and ICT experiences. Implications of social change include providing business managers with specific knowledge on ICT strategies used to improve international competitiveness in Barbados and an understanding of desirable and undesirable perspectives held regarding these strategies.
Keywords: Information and Communication Technology; International Competitiveness; Wholesale and Retail; Globalization; Organizational Environment; Economic Partnership.
Long term relationship between Population Health, FDI and Economic Growth: New empirical evidence
by K.M. Reenu, Anil Kumar Sharma
Abstract: The present study examines the association between population health, FDI inflows and economic growth (GDP) in India for the period of 1990-2013 by using time series data and applied co-integration and vector error correction (VEC) model. Further, we have tried to find out causal relationship between population health, FDI inflows and GDP by Granger causality test. The findings of the cointegration test show that there is long-run relationship between population health, FDI inflow and GDP. Most interesting findings we have found by granger causality test such as: a) No causal effect of GDP to FDI and uni-directional causal effect of FDI to GDP; b) No causal effect of FDI inflows to population health but population health cause effect to the FDI inflows (unidirectional causal relationship between population health and FDI inflows); c) No causal effect of GDP to population health but population health cause effect to the GDP (unidirectional causal relationship between GDP and population health). Population health (life expectancy) changes effect to the FDI inflow but changes in FDI inflow not also change to the population health in India. Population health encourages the FDI inflow and GDP in India. The paper concludes in following ways: If FDI and GDP will rise then there is no effect on population health in positive and negative way. In contrast, if human capital will increase or decrease then FDI inflow and GDP will go in same direction. The relationship between FDI inflow and GDP is vice-versa in India.
Keywords: Population health; FDI; Economic Growth; cointegration; India.
A profile of social enterprise in Brazil based on theoretical differences from and similarities with American, European, and emerging country perspectives
by Iraci Joao, Alexandre Leoneti, Heitor Santos, Simone Galina
Abstract: The topic of social enterprise (SE) has gained much attention in academic and business discussions, but knowledge concerning SE is still incipient in Brazil. Our objective is to identify the profile of and to verify which of the three SE perspectives Brazilian SE resembles. In total, 730 social organizations were identified in Brazil through the available public data, from which 84 SEs were randomly selected for descriptive statistics collection and analysis using the Binomial Hypotheses Test. The profile adopted in Brazil is unique, with few similarities with the American perspective. The Brazilian SEs have diversified operations, are legally known as companies and have up to 10 employees on average. Our work provides a profile of Brazilian SEs, filling a gap in the literature. It promotes a reflection on the capacity of the emerging country perspective to reflect the reality of the SEs located in developing countries.
Keywords: social business; social enterprise; inclusive business; Brazilian context; portrayal; developing countries; profile; Brazil; American perspective; European perspective; emerging country perspective.
Antecedents of export performance in emerging economies: the case of Turkey
by Murat Parlakgul, Nisan Selekler-Goksen
Abstract: This study investigates the antecedents of export performance in the context of an emerging economy, Turkey, from the perspective of the resource-based view of the firm. Managerial characteristics of education and international experience, and organisational characteristics of size, age, business group affiliation, export credit agency (ECA) supports and technological capacity are conceptualised as resources a firm can utilise to build sustainable competitive advantages and attain superior export performance. The sample involves 72 textile and apparel firms. Data have been collected from archival sources and through a survey, and analysed by using logistic regression. Findings of the study show that managers international experience, ECA supports and R&D spending (one of the facets of technological capacity) are significant resources for improving export performance in the context of emerging economies.
Keywords: export performance; export intensity; antecedents of export performance; export credit agencies; business group affiliation; emerging economies; Turkey; resource based view; textile and apparel industry.
The Effect of Franchisor Characteristics and Host Country Features on the Foreign Entry Mode. Lessons from the Spanish Franchise System
by Veronica Baena
Abstract: Franchisors have many options when seeking to expand their business into foreign countries. Specifically, they can enter new markets via one of four different ways: i) direct franchising, ii) master franchisor; iii) equity joint venture; or iv) direct investment. This paper aims to analyze the factors that determine this entry mode decision. To achieve this goal, its used a quantitative approach applied to a sample of 43 Spanish chains operating in 2,532 outlets across 62 foreign nations. The results show the importance of a number of franchisor characteristics (international experience, brand awareness, and industry type (product versus service), in conjunction with a wide list of host country features (geographical distance, uncertainty avoidance, masculinity, political stability, economic development, unemployment rate and efficiency of contract enforcement), all of which have a driving influence upon the decision of entry mode in international franchising.
Keywords: International Management; Foreign Entry Mode Choice; Direct Franchising; Master Franchising; Joint Venture; Direct Investment.
A review strategy for carrying out an academic literature analysis as part of the problem analysis for an empirical study
by Edward Groenland
Abstract: The article addresses strategies and working methods aimed at carrying out a literature analysis resulting in a problem analysis for an empirical study at the academic level. To that end, first a number of preliminary characteristics of the conceptual model are discussed. Next, basic starting points of the strategy to be pursued, i.e., focus and breadth, are considered. This is followed by a detailed overview of the steps to be taken when scrutinizing academic concepts, and causal relationships. Also, the criteria to be applied when making substantial choices are presented. Finally, with respect to the presentation of the Chapter which contains the literature review, the argumentative structure, tone of voice, and general appeal are considered.rn
Keywords: academic literature; literature analysis; problem analysis; literature review strategy; argumentative structure; literature synopsisrnrn.
Integrating the opportunity development and commercialisation process
by Markku Virtanen, Jarkko Pellikka
Abstract: This paper aims to analyse the integration of opportunity development and the commercialisation process. Previous studies have highlighted the importance of identifying and seizing opportunities, but have provided relatively limited descriptions of the dynamics of the value creation process. This analysis operationalizes previous findings into an integrated framework that focuses on providing a comprehensive view that includes the key concepts, activities and outputs of the opportunity development and commercialisation processes. The results show that the commercialisation process concept can complement the current understanding of business opportunity development through a process-based approach that broadly captures the dynamic nature of value creation elements. In addition, this study suggests that researchers should include expectations and a time dimension in their future analyses and models.
Keywords: Opportunity; commercialisation; opportunity development and commercialisation process; dynamics of opportunity development; value creation.
SME Financing: A Review of the literature
by Isaac Boadi, Gerard Mertens
Abstract: The present study provides a systematic literature review of small and medium-sized enterprises (SMEs) financing. The research strategy is to identify and reveal ambiguities, lacunas and inconsistencies in the literature, and provide a roadmaps for further research. The research framework follows the tenets of the PRISMA Group (2009) and Tranfield et al. (2003) in organizing the systematic literature review. The key word search yielded 72 papers and were analyzed following the assessment of fit for this review with regards to reference list information, research layout and results. Inspite of the contradictory findings, the reviewed articles suggest that SMEs financing deserves further research. Furthermore, the review found and analyses different types of determinants - banks profitability determinants and determinants of banks credit to SMEs. Further empirical research on banks profitability determinants, determinants of banks credit to SMEs and SMEs financing and banks profitability are needed. The detail and all-inclusive review of the body of literatures on SMEs financing on banks profitability is the key value of this paper.
Keywords: SME; Small and medium-sized enterprises; financing; banks and profitability.
Social Bonds: Migration and comparative analysis of remitting behaviour between Pakistani and Indian Diaspora
by Muhammad Zubair, Dieter Bögenhold
Abstract: Migration is a global phenomenon and the role of migration has gained worldwide recognition for its socioeconomic impacts on both, host and home country. According to the literature, one of the most important emanations of migration is the remittances. International migration in the form of remittance mainly plays a lively part in personal and family income residing in the home country. It facilitates the poverty reduction, education improvement, entrepreneurial investments and even the economic evolution of the home state. Globally, India and Pakistan are in the top 10 money receiving countries. This paper provides an overview about migration, and the worldwide remittance flow of immigrants from India and Pakistan to their home countries. We tried to make a nonlinear model by dividing remittance per person with the number of immigrants from India and Pakistan worldwide, also focusing on the ratio of male and female immigrants in the population. Remittance was used as a dependent variable, while year and gender ratio were independent variables. The results showed that remittance changes exponentially over the years, thus rapidly increasing in a last few years. This increase is stronger in the case of India than Pakistan. More interestingly, gender ratio influenced remittance per year showing that same amount of men and women in the immigrant population contributed with more remittance than predominantly male immigrant population.
Keywords: Migration; immigrant; immigration; remittance; gender; finance.
Management Skills of Russian Working Adults
by Natalia Ermasova, Lam D. Nguyen, Dina Clark, Sergey Ermasov
Abstract: The purpose of this paper is to investigate management skills of respondents from Russia, to see if age and gender can be significant factors in their technical, human and conceptual competencies. Using t-test and ANOVA analyses and adopting the skills inventory survey, this research analyzed 527 Russian working adults. Paired t-test and ANOVA methodology were used for hypotheses testing. The findings indicate that that there are significant differences in Russian adults management skills based on age and gender. First of all, Russian working adults appeared to value human skills more than technical and conceptual skills. Second, Russian working males seemed to value all three management skills more than Russian working females. Finally, respondents from the age group of 31-40 years old valued both technical and conceptual skills more than those who came from the age group of 17-25 years old.
Keywords: Age; Gender; Cultural context; Management skills; Russia.
THE IMPACT OF MANAGEMENT ON UNDER-PRICING AT I.P.O. AND SUBSEQUENT INITIAL STOCK TRADING
by Farichah Farichah
Abstract: Can a companys management increase companys income prior to an initial public offering (IPO), for example by hiring an underwriter and an auditor with high reputation? Does this result in under-pricing during the IPO? We study the influence of (a) earnings management, (b) the underwriters reputation, and (c) the auditors reputation on under-pricing and trading volume during the stabilisation period. The theoretical underpinnings of this research include agency theory, signalling theory and cognitive bias theory. The initial hypothesis is tested using an independent samples t-test comparing means. Other hypotheses are tested using ordinary least square regression. We find that prior to the IPO, a companys earnings management and the reputations of the underwriter and auditor do influence under-pricing while earnings management does not. Furthermore, under-pricing increases the trading volume during stabilisation period.
Keywords: Auditor and underwriter reputation; earnings management; price stabilisation and under-pricing.
Role of attitudes in Brazils country brand image
by Janaina De Moura Engracia Giraldi, Vishwas Maheshwari, Fabiana Mariutti, Anastasia Konstantopoulou
Abstract: For past three decades, the academic community has sought to advance the analysis relating to the image of several countries around the world. In relation, several studies have since been published on contemporary relevance of the image of a given country, and its subsequent effects on product evaluations and purchase intentions, among other behavioural outcomes. Nonetheless, despite the importance of the theory of attitude in evaluating the image of a country, the majority of papers in the field has focused on the cognitive component of attitude only, having the other components, affective and conative, not thoroughly being examined. As a result, with an aim to extend our current understanding into the role of attitudes on country brand image, this paper considers the conations more broadly such as, the predisposition for traveling, doing businesses, investing, working in the country, as well as, the willingness for either buying products made in the Brazil or shopping in the Brazil. Additionally, the purpose of this paper is to investigate Brazil's country brand image, based on the three-attitudinal categories "cognitive", "affective", and "conative". The methodological approach taken in this study is a quantitative method via an online survey. The study population consisted of the 427 undergraduate students at foreign institutions partaking agreements with a Brazilian public university. Attitudes were analysed using exploratory factor analysis to correlate potential impact on Brazils' country brand image. The country's image refers to a construct derived from the concept of attitudes, being comprised of cognitive, affective, and conative components. Results of this study indicate that the conative dimension received the highest scores of the respondents implying strong behavioural intentions in relation to Brazil's country brand image. It is also noteworthy that the technical dimension presented a more negative assessment in comparison to all other dimensions of Brazil's image, indicating that such a cognitive element to be adequately developed to highlight better brand assurance.
Keywords: country branding; Brazil; country brand image; country-of-origin; attitudes.
Adoption of "Learning Orientation" by SMEs In India: A Case Study
by Hima Gupta
Abstract: This case talks about the market study conducted by a researcher in Delhi/ National Capital Region (NCR), India to find out the nature and extent of learning orientation prevalent in small and medium sized restaurants. rnThe researcher has explored first generation entrepreneurial setups so that the real essence of business hurdles like gathering finance, getting clearances from government authority etc. can be captured, analysed and presented through this case. To conduct the study, sixty five respondents were chosen for focussed group interview.rnSmall and medium restaurants in India should focus on both customer retention and new customer segment acquisition. Since diversification is not much on their priority list, they die out after a short stint in the market. rnThe case attempts at understanding how strategically these enterprises plan their knowledge building and its dissemination. The case study contributes to understanding of the strategic formulation process of quick service restaurants. This case study discusses first entrepreneur and its definition as existing in the literature, the possible traits required to become a successful entrepreneur and the various school of thoughts associated with entrepreneurs. Further, in continuation of it researcher has attempted to describe the explanatory variables associated with the entrepreneurial activity not only in India but all around the World. With regards to the adoption of learning orientation, the researcher has also taken a view of SMEs existing in India and their practices adopted to run their small scale businesses (especially with respect to quick service restaurants). The researcher has also tried to unleash the strategies adopted by the restaurant owners and the role of learning orientation in terms of making their businesses successful.rn
Keywords: Learning Orientation; entrepreneurial strategies; Information Management system; small and medium restaurants; consumption pattern.
The Role of Internal Audit and Audit Committee in the Implementation of Enterprise Risk Management
by TAKIAH MOHD ISKANDAR, ADIBAH JAMIL, PUAN YATIM, ZURAIDAH MOHD SANUSI
Abstract: The study evaluates the role of internal audit in the implementation of Enterprise Risk Management (ERM). The study examines relationships between the competency, independence, and working priority of internal audit and ERM implementation and moderating effect of audit committee support on the relationships. A survey on listed companies in Malaysia with internal audit units indicates that internal audit independence is significantly related to the implementation of ERM for review and feedbacks. The study finds that internal audit work priority contributes significantly to the ERM implementation at all stages. The support by the audit committee is important in enhancing the effectiveness of internal audit in the ERM implementation particularly for the development of policy and procedures and strategy and follow-up actions. The inclusion of companies which outsource internal audit services to outside parties may enhance the validity and generalizability of results.
Keywords: enterprise risk management; internal audit; audit committee; internal procedure and policy; implementation stages.
ANALYSIS OF THE INFLUENCE OF HUMAN CAPITAL DEVELOPMENT ON FOREIGN INVESTMENT IN BRICS COUNTRIES USING A STATIC PANEL THRESHOLD REGRESSION MODEL
by Kunofiwa Tsaurai
Abstract: The study investigated the threshold level of human capital development that must be reached in order to enhance significant FDI in BRICS countries using Hansens (1999) static panel threshold regression model. Although theory and majority of empirical studies concur that human capital development is an integral part of FDI locational advantages in the host country, recent literature shows that human capital development not only does it needs to be available but it has to reach a certain minimum level before significant FDI can be received by host countries. It is against this backdrop that the author investigated the minimum threshold level of human capital development that enhances significant FDI in BRICS countries. As expected, human capital development was found to have had a positive influence on FDI in BRICS countries. Moreover, levels of human capital development index above or equal the threshold level of 0.57 were found to have had a more positive and significant impact on FDI, consistent with the recent literature. It is therefore prudent for BRICS countries to put in place mechanisms that promote the growth of human capital development in order to benefit from FDI inflows.
Keywords: FDI; Human capital development; Threshold; BRICS.
Can Responsible Innovation be a Moderator of Entrepreneurship? - Learnings from the Debate on Advanced Biotechnology
by Karsten Bolz, Harald König
Abstract: In this article we introduce the concept of Responsible Innovation into entrepreneurship research, present ideas on how to operationalise it, and share notions on operational issues from the debate on advanced biotechnology and the bioeconomy. Therefore, we first examine the role of entrepreneurship as an agent of innovation and connect it to Responsible Innovation. Second, introducing the Prism of Responsible Innovation as a moderator for the entrepreneurial process in converting opportunity into innovation, we propose a theoretical framework of how the concept of Responsible Innovation could be integrated into the entrepreneurial process. Finally, we present insight from the debate on advanced biotechnologies regarding potential operationalisation strategies for Responsible Innovation.
Keywords: responsible innovation; entrepreneurship; entrepreneurial process; sustainability; sustainable development; biotechnology; synthetic biology; collaboration; SME; innovation; stakeholder; ecosystem; opportunity; operationalisation; qualitative analysis.
Exporting Identity: Italians in London During the Long Nineteenth Century
by Robin Palmer
Abstract: We live in a time of increased international migration and asylum seeking. Those involved have become scapegoats for nativists who support parties with promises to restore what they have lost through neoliberalism and globalisation. Neoliberalism may be of recent derivation, but it is derived from the liberalism and laissez-faire capitalism of the Long Nineteenth Century (1750-1914). Then, as now, the masses were pushed to migrate by accelerated population growth and its political and socio-economic correlates. Focusing on London, the paper examines the experience of Italian migrants and asylum seekers in the UK of that period, who drew on the historic Italophilia of the British to advance their careers or causes. Collective reputation, so long as it is positive, can be an important resource for culture entrepreneurs in migrant or refugee settings; it can take a long time to build but once established tends to be resilient and capable of innovative reinterpretation.
Keywords: Italian migration; Italians in London; Long Nineteenth Century; street trades; catering; asylum seekers; culture entrepreneurs.
SME firm characteristics impact on the choice of sources of financing in South-west, Nigeria
by Anthony Abiodun Eniola
Abstract: The purpose of this paper is to study the impact of firm-specific characteristics in the south-west, Nigeria on the choice of the sources of financing of small and medium enterprises (SME). To assess the impact of SME firm characteristics on choice of financing in terms of debt and equity, SEM-PLS and logistic regression are used. Significantly, the findings recommend that age, location, size, measure in terms of employment, sales turnover, expansion, and assets influence the choice of financing of SME in Nigeria. SME basically incline towards internal funding sources over external funding and the older and bigger firm makes less use of debt financing. The study has provided an indication concerning the application of the life cycle proposition. For this reason, the life cycle theory is supported. In extending the existing literature, this paper presented the evidence discussed. The methodological method and the experiential results give a degree of analysis unmatched through the earlier study on Nigeria firms from an academic degree of opinion. In addition, the findings will enlarge the cognition and the perception of SME firm managers. They can influence through valuable information to help them in their choice process with respect to their organisations capital structure during a period when SME financing hassles are increasingly elicited in the Nigeria setting.
Keywords: SME; choice of financing; Nigeria; life cycle; SEM-PLS.
Examining the Relationship between Environmental Regulations and Foreign Direct Investment Level: Evidence from China
by Hadia FakhrEldin, Yomna Elsawy
Abstract: This study examines the relationship between the environmental regulations and the FDI levels in China. The environmental regulation stringency is measured using emissions and other energy consumption. The study is based on the Pollution Haven Hypothesis and adds to it the aspect direction of causality. The main objectives of the study are: to measure the environmental regulatory stringency and to identify the relationship between the application of the environmental restrictions and the level of FDI in China in the period from 1979 - 2013.
The study adopts a quantitative approach; a correlation matrix, a multiple regression model, and granger causality are used first; then a time series multiple regression model is conducted; afterwards the granger causality is applied. The results of the statistical analysis show a negative relationship between environmental regulations and FDI levels and a negative bidirectional causal relationship between the emissions and energy consumption variables and the FDI levels.
Thus, countries aiming at increasing their FDI levels need to consider their environmental regulations. In addition, the study provides useful information to other developing countries which are still in less developed stages, as it can have policy implications on increasing the FDI levels and on the environmental regulations.
Keywords: Foreign Direct Investment; Environmental Regulations; China; International Business.
Explaining the internationalisation pathways of family firms: a qualitative research
by Federica Pascucci, Sara Bartoloni
Abstract: This study aims to gain a deeper understanding of the internationalisation pathways of family firms and to explain the main differences among them through the study of two large firms in the Italian roasting sector. The analysis shows that the internationalisation pathway of these firms differs in a substantial way in regards to all three dimensions of the degree of internationalisation (scale, scope, and time), even if the firms operate in the same industry and have the same size. The three factors that seem to explain fairly well the different internationalisation pathways of the two investigated firms are the mentality of family founder, the firms strategic approach and the place where the firm operates.
Keywords: family firms; degree of internationalisation; pathways; competitive strategy; case study.
Relationship between religious and entrepreneurial values: Views from Ghanaian women entrepreneurs
by Fanny Adams Quagrainie
Abstract: Although literature suggests that religion can influence entrepreneurial values very few studies have actually investigated the effect of religious values which informs entrepreneurial value among women entrepreneurs in developing country like Ghana where religion is a critical part of its life. The aim of this study is to examine the relationship between religious and entrepreneurial values. Drawing on socialization and institutional theory and using a qualitative research approach, 30 women entrepreneurs were purposively selected from three main religious in Ghana. Findings showed that religious values are stronger determinants of entrepreneurial values. These determinants can either benefit or challenged women entrepreneurship. This paper contributes to understanding women entrepreneurial values as socially situated and influenced by religious values.
Keywords: religious values; entrepreneurial value; Ghana; women entrepreneurs; socialization; institutional theory.
Evolution of Network Ties in Social Enterprises: A Governance Perspective
by Swati Panda, Shridhar Dash
Abstract: The objective of this study is to explore, understand and describe the network evolution
process of social enterprises from a governance perspective. Studies have extensively investigated
the development of networks in the commercial entrepreneurship space. However, similar
research on social enterprises, specifically from a governance perspective is still growing. We try
to bridge this gap through an exploratory study of two social ventures in India, with different
organisational structures. Based on the empirical findings, we present a series of propositions
depicting the network characteristics of social enterprises, their governance structures and the
dynamics between them.
Keywords: Contracts; Networks; India; Social Enterprise; Trust.
FDI in Indias Retail Trade
by Leena Ajit Kaushal
Abstract: The paper examines the political stand of holding back 100 per cent FDI in multi brand retail in India on the ground of safeguarding unorganized sector, the Kiranas (mom and pop stores). The study argues that this fear is largely unfounded by highlighting the dual nature of retail sector where foreign retailers operating through super markets cater mainly to the upper income groups with a demand for differentiated products leaving the market for undifferentiated and relatively low price goods to the Kiranas who cater the lower income groups mostly in the rural areas. The study hence proposes that the foreign owned firms in the retail sector are most unlikely to pose a threat to the Kiranas rather they may facilitate the sales of the Kiranas.
Keywords: FDI; Retail; Organised Retail; India; Multibrand retail.
PROPERTY RIGHTS, FOREIGN DIRECT INVESTMENT AND ECONOMIC GROWTH: A COMPARISON OF TWO SOUTHERN AFRICAN COUNTRIES.
by Kunofiwa Tsaurai
Abstract: This study investigated the relationship between property rights, FDI and economic growth in Zambia and Zimbabwe using the ARDL Bounds testing framework with annual time series data from 1985 to 2015. The study observed that there was no long run relationship between either property rights and FDI or property rights and economic growth in both countries. However, a co-integrating relationship between FDI and economic growth was established both in Zambia and Zimbabwe. Granger causality tests revealed a uni-directional causality relationship running from economic growth to FDI in Zambia in the long run whereas economic growth was found to have been positively influenced by FDI in the short run in Zimbabwe. Zambian responsible authorities are encouraged to implement economic growth promotion policies if they intend to increase FDI into the country. The study also urges the Zimbabwe authorities to step up FDI improvement initiatives in order to increase economic growth.
Keywords: Property Rights;FDI;Growth;ARDL;Zambia; Zimbabwe.
Microenterprise Development through Organisational Interventions: A Comparative Study of Holistic and Building Human Capital Approach in India
by Nisha Bharti
Abstract: Microenterprise is recognised as an important tool to achieve the objective of inclusive development. Various approaches have been used to promote microenterprises by various government as well as non-government organisations. Holistic approach and building human capital approaches are two prominent approaches adopted to promote microenterprise. In addition to being the prominent approaches, these two approaches are contrasting in their features too. This study is an attempt to look at the effect of these approaches on promotion of microenterprise. This study adopted case study method. Quantitative as well as qualitative data was collected for the same. Two major organisations adopting this approach in the state of Maharashtra were selected. 90 respondents across two organisations were selected. The study has adopted a descriptive analysis method. Intra and inter case analysis has been carried out. The findings suggested that holistic approach worked with very poor segment of the society whereas, building human capital approach is suitable for people in higher income group, who can afford to invest on their own. As holistic approach was providing all kind of support to their participants, they failed to increase the scale of the business. Because of lack of access to finance, startup rate of microenterprise was less in building human capital approach.
Keywords: Case study; Microenterprise; Building Human capital approach; Holistic approach; Microenterprise Development.
Unlocking the Potential of Outsourcing, the Key: Authentic Leadership as Accelerator of Open Innovation
by Robert Blomme, Xander Lub, Joan De Jong
Abstract: This paper aims to demonstrate the effects of Authentic Leadership on Open Innovation in two different national cultures: Dutch and Indian. An exploratory quantitative research study was held amongst 286 Dutch and 104 Indian coworkers of a financial institution. In this study PLS-SEM was used. It was found that Authentic Leadership has a significant effect on Open Innovation. Moreover, the study showed that significant differences exist in this type of relationship between the Dutch and Indian national cultures. The outcomes of the study may contribute to a further understanding of how authentic leadership affects open innovation in different national cultures. The originality of this study is that it is conducted among ICT-organizations as well in India as the Netherlands in looking for differences in the perception of authentic leadership and its effect on open innovation.
Keywords: Authentic Leadership; Open Innovation; PLS-SEM; Cross-cultural Management.
FACTORS INFLUENCING THE CHOICE OF BOUNDARYLESS CAREERS- A PLS APPROACH
by Kavitha Haldorai, Souji Gopalakrishna Pillai, Arnold Tafadzwa Makawa
Abstract: A boundaryless career model can offer more advantages to the youth as they can interact, have teams or work with people from other organisations as compared to the traditional career. The boundaryless career model helps one to venture into international business despite, their gender. The youths being exposed to diverse culture, new experiences, skills etc., the boundaryless career model can be regarded as the career of choice by the youth. This paper focuses on how the attitude of youth, gender, lack of experience and organisational mobility influences the boundaryless career. Data was collected from 200 students through a self-administered questionnaire. The results signify that the youths are bound to be inclined towards the boundaryless career based on their attitude. Younger people show higher physical career mobility due to lack of experience. Organisation mobility is related to boundaryless career. The moderating effect of gender did not have a significant impact. The main contribution of the study are that it aids Human resources professionals to be aware of contemporary career theories, such as the boundaryless career theory so that they can encourage the future workforce to develop competencies needed to have successful careers.
Keywords: Boundaryless career; Attitude; Organisational mobility; Lack of experience; Gender; Youths.
Employing a Globalisation Model to Study Special Economic Zones in the United States
by Jorge Riveras, Jesus Arteaga-Ortiz, Maria Jose Miranda MArtel
Abstract: This paper examines Special Economic Zones (SEZs) in the United States (U.S.) and their relationships with Globalisation. A globalisation model is employed as a framework for the study with inner domains focusing on economic, political, social, business and physical and outer domains on neighboring country dynamics, trade blocs and global institutions. Since the term globalisation is complex, a system approach using multiple domains to study globalisation and SEZs allows a broad view and facilitates analysis. The study provides a new multidimensional approach to the analysis of SEZs and their relation to globalisation with an ample and multidisciplinary perspective. The findings indicate that significant interactions among the domains exist, supporting the notion that globalisation is multidimensional and showing convergence for expansion and operation of SEZs in the U.S. Current trends indicate possible divergence originating in the political and social domains as a probable deterrent for future SEZs expansion
Keywords: Special Economic Zones; Globalisation; Trade; NAFTA.
The Financing Decision Puzzle of Technology-Based Firms: Evidence from Malaysia
by Hamdan Al-Jaifi, Ahmed Al-Rassas
Abstract: The financing decision among technology-based firms has become a significant issue around the globe, with the core concern to be that such firms may encounter financing limitations that could bar their growth ability. Using 92 technology-based firms observations from 2009-2012 and employing Ordinary Least Square (OLS) regression, this study finds that there is a significant and positive relationship between board of directors effectiveness and capital structure, and there is an inverse significant relationship between information asymmetry and capital structure. This indicates that technology-based firms having a robust board of directors minimize agency conflicts by mandating that managers, use more debts to be consistent with the interest of the shareholders. This is consistent with the agency theory where the obligation of interest payments that stem from the debt use assists in resolving the free cash flow issue. Further, the inverse relationship with information asymmetry shows that technology-based firms go through financing limitations owing to the asymmetric information that prevent their growth and development ability.
Keywords: Technology-based firms; financing decision; information asymmetry; board of directors; Malaysia.
Innovation and Entrepreneurship Bootcamp: A Descriptive Study Assessing the Effectiveness of Entrepreneurship Education
by Sio Hong Tih, Wan Mohd Hirwani Wan Hussain, Nik Mohd Hazrul Nik Hashim
Abstract: This study investigates the impact of an interactive-intensive structured innovation and entrepreneurship bootcamp on MBA students entrepreneurial thinking, innovativeness, teamwork, and entrepreneurial leader confidence. A descriptive study was carried out immediately after the students participated in the bootcamp. It involved 118 postgraduate students newly enrolled in their studies. The results show that most of the participants were highly engaged in the program and gained new skills from the bootcamp although conducted within a relatively short period. Specifically, they felt that the bootcamp enhances their entrepreneurial thinking, inspire them to be more creative, promotes dynamic teamwork, and boosts their confidence as entrepreneurial leaders. In addition, with reference to T-Test results, there were significant improvements in the level of knowledge and skills among the participants before and after attending the bootcamp. This study contributes towards understanding entrepreneurship education in higher learning and provides useful information in designing an effective bootcamp that enhances graduates entrepreneurial thinking and skills, as well as team spirit and self-confidence.
Keywords: Innovation; Entrepreneurial thinking; Interactive learning; MBA students.
Importance and Awareness of Corporate Social Reporting Practices in Banks-An Empirical analysis in Punjab
by Sukhpreet Kaur
Abstract: The study gives an insight about the importance and awareness among the people of Punjab regarding corporate social responsibility practices being undertaken by banks in India. Questionnaire is used to check the awareness level and factor analysis has been applied to study the importance of CSR practices in Punjab. People of Punjab are of the view that if banks would implement CSR, ultimately they will give this burden to their customers only who are dealing with them. Further, CSR performance of banks is not taken into consideration by people while choosing a particular bank for their financial operations. There is not much awareness about the CSR practices of banks in Punjab. Eradicating extreme hunger and poverty is the activity which most of the people (62.2%) think that it is being performed by banks while there is least awareness regarding the activities like reducing child mortality (24%) and combating human immunodeficiency virus (3% only). Eradicating extreme hunger and poverty and promotion of education are the most preferred CSR activities and contribution to funds for socio economic development and SCs and STs and minorities is the least preferred CSR activity.
Keywords: Key words: Corporate Social Responsibility; CSR practices; Companies Act; 2013; CSR Importance; Customer awareness.
Importance of Intellectual Capital in Ranking of Business School of India
by Kanupriya Misra Bakhru
Abstract: Business School ranking are the mark of excellence of business schools, they are not only used by students but are also used by recruiters for placements. With mushrooming of many business schools in India halo attached to the management education has sharply faded. The surveys conducted by main agencies in India for business school ranking were reviewed from which key ingredients for business school ranking parameters were identified and categorized. The Intellectual Capital factor was found an important parameter. The paper describes the rationale and approach for assessing intellectual capital parameter of business school. The list of items considered for evaluation of intellectual capital parameter can be used by Academic Administrators while recruitment, training, performance appraisal and also as a mean for compensation of a business school teacher. This will not only improve the quality of teaching but will also make the business school achieve higher ranking and repute.
Keywords: Business School; Ranking; Intellectual Capital; India; Management Teachers.
ENTREPRENEURSHIP & SME POLICY: SOCIAL AND ECONOMIC DEVELOPMENT PERSPECTIVES
by Iqbal M. Khan
Abstract: This paper promotes public policy inclined towards entrepreneurship, while acknowledging the importance of SME policy as well. It calls for a new paradigm of education. Whereas education is essential, education alone does not reduce poverty, nor does it cause economic development. The social impact comes from empowering entrepreneurship and to be gainfully employed.
Keywords: Policy; Education; Tax evasion; Smuggling; Pakistan.
Management innovation and organizational performance: The mediating role of high performance organization framework
by Ben Honyenuga, Ronald Tuninga, Paul Ghijsen
Abstract: This study investigates the relationship between management innovation and organisational performance with the high performance organisation (HPO) factors of continuous improvement and renewal, workforce quality and long-term orientation as mediators. From a survey among 186 managers of the insurance industry in Ghana and with the use of PLS-SEM, the results show that management innovation appears to have a direct influence on organisational performance but when management innovation is combined with the HPO factors, it generates a synergy to increase organisations to become HPOs in an emerging market context.
Keywords: high performance organisations; HPO framework; management innovation; organisational performance.
Entrepreneurial Intention of Students: A Case of NIT Hamirpur (HP, India)
by Santosh Kumar Sharma
Abstract: The study examines the entrepreneurial intention of students pursuing various professional courses (B. Tech., M.B.A., and B. Arch.) from National Institute of Technology Hamirpur (Himachal Pradesh, India) which is commonly abbreviated as NIT Hamirpur (HP). Drawing on Ajzens theory of planned behaviour (TPB) the study has examined the underlying factor affecting entrepreneurial intention in the selected sample. By employing structured research process and statistical techniques the study divulges the fact that attitude towards entrepreneurship is a critical factor in explaining entrepreneurial intention of students. However, demographical variables like gender and caste are irrelevant in explaining entrepreneurial intention of students. The study concludes that there is lack of awareness among students of NIT Hamirpur regarding various schemes aimed to boost entrepreneurial environment in the country. Implications and further directions have also been discussed.
Keywords: Entrepreneurial intention; Gender; Caste; NIT Hamirpur; Himachal Pradesh; India.
A Conceptual Model of Organisational Innovation in Malaysia
by Raj Kumar, Lee Yen Chaw, Choon Ling Kwek
Abstract: Since innovation is widely regarded as an imperative foundation for competitive advantage in today's vigorously changing environment, organisations need to put high consideration towards the adoption of innovation and consider organisational innovation as part and partial of their strategic plans and daily activities. Based on the literature review, a conceptual model with a set of proposed constructs such as human resource management, social capital and organisational learning mediated by entrepreneurial orientation is analysed. These constructs are adopted in this research to facilitate the adoption and achievement of organisational innovation among the small and medium enterprises (SMEs) in Malaysia. Therefore, the main objective behind this paper is to examine the relationships among the proposed constructs of human resource management, organisational learning, social capital and marketing effect of entrepreneurial orientation towards enhancing organisational innovation in the context of small and medium enterprises in Malaysia.
Keywords: innovation; organisational innovation;human resource management; organisational learning;social capital; entrepreneurial orientation.
Analysis of Corporate Pensions: Do Type and Size of Firm Make a Difference?
by Don Chamberlain, L. Murphy Smith, Wayne Tervo
Abstract: Adequate pensions are important to both individuals and the public interest. Pensions are important to all types of business, whether they are retailers, manufacturers, or service firms. Funding pensions has become a challenge for many companies of all types and sizes. Effectively managing employee compensation, including pensions, is a corporate social responsibility. Ethical guidelines for employee pay can be traced back to ancient times, such as precepts found in biblical passages. The current study seeks to expand understanding of pensions, specifically, to determine if differences are connected to firm type and firm size. Increased understanding may contribute to improved pension management by company managers and lead to more well-suited regulations by policy-makers. Results indicate that firm type is associated with differences in pension benefits paid relative to total assets and to total revenues. At the same time, there were no differences relative to firm size.
Keywords: pensions; corporate accounting; public interest; corporate social responsibility.
The impact of working capital management on the decision of Indian production firms about the amount of dividends
by Amarjit Gill, Harvinder Mand, John Obradovich, Neil Mathur
Abstract: This study examines the impact of working capital management on decisions concerning the extent of distribution of dividends. Results suggest that working capital management plays a role in decisions concerning dividend distribution in the Indian production firms. The findings of this study indicate that cash level has a strong impact on decisions concerning dividend distributions for Indian production firms holding higher cash balances compared with non-dividend paying Indian production firms. This study contributes to the literature on the factors that impact firms decisions concerning the distribution of dividends.
Keywords: Working capital management; the decision about the amount of dividends; cash holding; Indian production firms.
Understanding social entrepreneurship in developing countries A multiple case study from Mexico
by Claudia Nelly Berrones-Flemmig, Oliver Mauroner
Abstract: Given the general typology of social entrepreneurs by Zahra et al. (2009) as well as the complementary typology by Sundaramurthy et al. (2013), the aim of this paper is to contribute to the discussion and the emerging debate on innovation and entrepreneurship in the context of developing countries by analysing patterns of social entrepreneurship in the case of Mexico. Particularly in developing countries, social problems are more likely to be solved from initiatives that come from the citizens themselves. The main motivation of this paper is to explore and understand social entrepreneurship in a developing country to foster them in the more suitable ways and therefore, to make a step forward to solve the social problems. In order to explore the research questions, a multiple case study approach is used, which considers not only the entrepreneur, but also the environment (Dana and Dana, 2005).
Keywords: social entrepreneurship; social innovation; social value creation; emerging countries; developing countries; Mexico; patterns; bricolage; resource constraints; idealism; pragmatism.
Effects of budgetary participation on firm performance of finance businesses in Thailand
by Phaprukbaramee Ussahawanitchakit
Abstract: This study aims at investigating the relationships among budgetary participation, resource utilisation, operational effectiveness, business productivity, and firm performance of finance businesses in Thailand. The samples of the study are 178 finance businesses in Thailand. The results show that budgetary participation has an important impact on resource utilisation and business productivity, but it has no influence on operational effectiveness and firm performance. Likewise, resource utilisation significantly affects operational effectiveness and business productivity while only operational effectiveness is critically related to firm performance, but resource utilisation and business productivity have no effect on firm performance. In this study, budgetary participation becomes a main strategic tool in helping firms drive, explain and determine superior business outcomes in the volatile competitive markets and environments. Accordingly, executives of firms need to support and promote their employees to study and understand the benefits, limitations and implementations of budgetary participation. More successful implementation of budgetary participation is likely to enhance firms to survive and sustain in business operation.
Keywords: budgetary participation; resource utilisation; operational effectiveness; business productivity; firm performance.
Does Higher level of Education Reduce Poverty and Increase Inequality? Evidence from Urban India
by Sabysachi Tripathi
Abstract: By considering Indias 52 large urban agglomerations, this paper finds the relationship between higher level of education and poverty and inequality in urban India. Besides using city level education data from University Grants commission (UGC), the study uses two rounds of National Sample Survey (NSS) unit-level data on consumption expenditure, and employment and unemployment for the year 2011-12. An empirical analysis using OLS regression method has shown that city level education, proxied by city-wise total number of PhD students enrolled in the universities, has a negative impact on city level poverty rate as seen by poverty head-count ratio, poverty gap ratio, and squared poverty gap ratio. On the other hand, city level education has a positive impact on city level inequality. City-wise work force participation rate has a negative effect on city poverty rate. The article suggests that we need appropriate city level policy to promote higher level education for reduction in city level inequality and poverty rate for sustainable urban development in India.
Keywords: Level of higher education; large agglomerations; poverty; inequality and Urban India.
Probing the Menace of Brain Drain in Pakistan: Does Higher Education Matter?
by Haider Mahmood
Abstract: This paper investigates the determinants of brain drain in Pakistan. Brain drain is a burning issue of today in Pakistan, as it augments the major depletion of human capital stock in the country. To explore the determinants of brain drain, we use three types of brain drain: highly qualified migrants, highly skilled migrants and skilled migrants. The empirical results exhibit that GDP per employed labour is stopping brain drain, whereas higher education, globalisation, political rights, GDP per capita, and inflation volatility are increasing brain drain. The study suggests the policy makers in the government of the country to take concrete steps like the absorption of highly skilled people at appropriate places with competitive wages and restoration of peace and security to stop the brain drain from Pakistan.
Keywords: Brain Drain; Higher Education; Globalisation; F2; I2; F6.
Producing good wine just isnt enough: The role of management in building a competitive industry cluster
by Svan Lembke, Lee Cartier
Abstract: The wine industry is a central part of the agricultural products cluster in British Columbia. Findings from a range of applied research projects indicate that the cluster may have hit a glass ceiling in terms of its development. A better understanding of cluster dynamics and management processes is needed to assist the cluster grow beyond its initial wave of success, build more refined decision-making processes and competitive advantage. This takes the research findings and present literature beyond the descriptive style of economic analysis and introduces causality as well as concepts from business strategy to the institutional and the business layers within the cluster. The purpose is to deliver a new direction for rural clusters that are defined by a multitude of small and mid-size firms acting without the influence of large mature multinational corporations and having outgrown the first generation of entrepreneurial cluster leaders.
Keywords: Industry cluster dynamics; wine industry; management processes; comparative advantage; competitive advantage; decision making; rural cluster development; entrepreneurial leadership; demand conditions; rival firms; related industries; factor conditions.
The Impact of Innovation on Firm Performance in the Malaysian Batik Industry
by Normaz Wana Ismail, Noor Haslina Mohamad Akhir, Shivee Ranjanee Kaliappan, Rusmawati Said
Abstract: This paper aims to explore the extent of innovation in the Malaysian batik industry and to analyse the impact of innovation on the batik firms performance. The evolution in the batik industry has brought various innovations to the batik making process, batik products, as well as the marketing and organisational methods. However, some of the batik entrepreneurs maintain the traditional approaches and managed manually. Using face-to-face interview surveys in Kelantan and Terengganu, we found that batik entrepreneurs in the sample have taken some initiatives to undertake innovations, especially in the marketing and batik making process. Results from empirical analysis revealed that only product innovation has a significant impact on batik firms performance. This study offer a new finding for the idea of incorporate all four types of Schumpeterian innovations to analyse its impact on firm performance in batik industry.
Keywords: Batik Industry; Innovation; Malaysian Batik; Firm performance.
Bridging the gap between Internationalisation Theories and de-internationalisation: A review and research framework
by Bernardo Castelloes, Luis Antonio Dib
Abstract: Despite its importance on the overall strategy of firms, de-internationalisation has not received the attention it deserves. This article offers a research framework of how de-internationalisation is addressed within the most prominent internationalisation theories. We begin with an overview of the literature on de-internationalisation and its main definitions. Additionally, a typology of partial/full and defensive/offensive de-internationalisation is proposed. To bridge the gap between internationalisation and de-internationalisation, such typology is used to explain how the Eclectic Paradigm, the Uppsala Model, the Network Theory and the International Entrepreneurship Theory address de-internationalisation. Opportunities for future research and managerial and political implications are also discussed.
Keywords: globalisation; foreign direct investment; FDI; multinationals; market exit; de-internationalisation; foreign divestment; market withdrawal; SMEs internationalisation.
EXPLORING THE DEMOGRAPHIC FACTORS ON PERCEIVED PERFORMANCE RISK AMONG YOUTH TOWARDS ONLINE SHOPPING IN PUNJAB
by Rakhi Bajaj, Pawan Kumar
Abstract: The tremendous growth of internet has accounted for accelerated growth in e tailoring. Online shopping irrespective of its growth marked for small percentage of sale due to perceived risk. The study is designed to examine key components of perceived risk of online shopping among youth of high educational institutes of Punjab. The population consisted of online shoppers of universities of four cities Ludhiana, Jalandhar, Patiala and Amritsar of Punjab. Respondents were selected from different genders, age groups, monthly family income groups and qualifications from these major cities having online shopping experience. A pre structured questionnaire with five point likert rating scale was used to measure these dimensions of perceived risk among online buyers of four cities. Convenience sampling method was used to collect data from sampled respondents. Principal Component analysis revealed four key factors of perceived risk in online buying. Performance risk was found as prime component of perceived risk. Influence of demographic factors on perceived performance risk was studied with the help of F ratio showing their relative significance.
Keywords: Internet; online buyer; perceived risk; dimensions; financial risk; performance risk; time risk; privacy risk; social risk; psychological risk; components.
Persuadability of Celebrity Brand Endorsements: Socio-Economic and Cultural Perspective
by Kim Anne Menezes, Suku Bhaskaran, Itika Yadav
Abstract: The article reviews celebrity endorser traits that influence brand beliefs and attitudes of upwardly mobile young and educated customers in urban India. The study draws information from intercept and electronic surveys, in-depth unstructured interviews of a subset of individuals not captured in the surveys, and content analyses of information transcribed from television advertisements. Findings from these three sources were reviewed, analysed and triangulated. Results reveal that customers in India, unlike those in developed countries where extant studies have predominantly been conducted, have greater proclivity to source attractiveness and source likeability. In contrast to customers in developed countries, source credibility is not important to customers in India. Celibrity endorsements are not highly persuasive in fostering brand beliefs and attitudes but it fosters brand recognition and brand recall. Celebrity traits that are important to target customers and the persuadability of celebrity endorsements are significantly different across market segments and countries.
Keywords: celebrity endorsement; source attractiveness; source likeability; source credibility; persuadability; belief transferance; culture; India.
Corporate Citizenship and Leadership Styles for Sustainable Development: Study in India
by Neena R. Jain, Irfan A. Rizvi
Abstract: Corporations are recognising that building economic growth along with addressing a range of social and ethical needs is imperative to promote sustainable development and all-round prosperity of the business. With the statutory mandate on social spending in India, corporates need to move beyond the fragmented contributions to focusing on inculcating values of global citizenship. Corporate Citizenship is acquiring a central role, one which urges corporates to take a holistic approach to managing their economic, legal, ethical and discretionary responsibilities towards different stakeholders, in order to make a sustainable impact. However, such strategies are largely top driven and there is an inadequate focus on the role that leaders have and their styles that influence percolation and implementation of these decisions at various levels. This study is directed towards understanding the impact of leadership styles on corporate citizenship- an interaction which will lead to sustainable consequences. The paper presents future agenda for understanding the relationship between these critical phenomena based on certain propositions. This study in the Indian context could have relevance to the emerging market economies, especially the South Asian economies.
Keywords: corporate citizenship; stakeholder management; corporate social responsibility; transformational leadership; transactional leadership; India.
Relationship among Gold Price, Exchange Rate and Current Account Deficit-A study in Indian context
by Raman Preet Singh, Nawal Kishor
Abstract: This study attempts to investigate the causal relationship between Gold price, Exchange rate and Current Account Deficit (CAD) on the basis of time series data for fourteen years from 2002 to 2016. In recent days gold has attracted the attention of economists, researchers, policy-makers and common man. There is a general view that recent Current Account Deficit (CAD) is attributed to mainly gold import only as crude oil price has fallen considerably. It is with this backdrop, this article tries to unveil any dynamic, if exist, between gold price and Current Account Deficit (CAD) applying Augmented Dickey Fuller (ADF) Test and Phillips-Perron (PP) Test which are used to test the stationarity of time series data and Block Exogeneity Wald Test to establish the causality relationship among them. On the basis of quarterly observation for the aforesaid period, it has been found that these three variables are stationary of order one and the study further found the existence of bi-directional Granger Causality between Gold price and Current Account Deficit (CAD), which is running from Gold price to CAD and vice-versa. The findings of the study have significant implication for Indias economic policy and facilitate the Government to make strategies to reduce the Current Account Deficit (CAD).
Keywords: Price; Causality; Current Account Deficit; Unit Root Test.
Community risk management by mining MNEs: Managing local communities in Armenian mining
by Jacob Taarup-Esbensen, Suren Movsisyan
Abstract: Using data collected during extensive fieldwork and interviews with local communities, non-governmental organisations and mining multinational enterprises (MNE) managers, we explore how MNEs practice community risk management within the Armenian mining industry. We start by conceptualising local communities as communities of place (CofP), which are directly impacted by mining activities but have few resources available to them, and communities of interest (CofI), which are outsiders with an interest in mining projects and with the resources to create uncertainty about a given project. We argue that community risk can be seen as a precursor to financial, political and cultural risks described in the MNE risk management literature, and that both types of community can expose the mining MNE to risks, either individually or in unison. Our empirical findings also show that mining MNEs focus on mitigating community risks in the initial phases of their project but later, when the impact on the community is perceived to be highest, use fewer resources. Our interpretation is that the objective of the risk management practice is to reduce community risk by committing resources to CofP for as long as there is a possibility that they will form lasting partnerships with CofI, which has the potential to pose a greater threat.
Keywords: community risk; mining MNE; risk management; Armenia; liability of outsidership; communities of place; communities of interest.
Entrepreneurial Motivation: The Impact of Cultural Capital on the Who is motivated
by Warren Lloyd
Abstract: Almost all definitions propose entrepreneurs as especially motivated and talented individuals. Therefore, understanding and explaining the psychological forces within the individual that motivates them is highly desired. This paper is intended to investigate studies on entrepreneurial motivation to identify an effective theory that enables recognizing who could potentially become an entrepreneur, rather than how and why individuals choose to become entrepreneurs. Of the theories discussed, McClellands Achievement Need (n-ach) is accepted as the most apt in this review. It is further noted in this paper that in defining and explaining this need, and its influence on entrepreneurship, an understanding of the impact of an individuals culture, beliefs and attitudes, encompassed in their cultural capital, is required. Primarily by evaluation of literature in this report, strong evidence indicates and supports the distinctive impact of culture on entrepreneurial motivation. In conclusion, a framework is proposed for further study investigating the impact of cultural capital on n-ach in home and immigrant entrepreneur cultural groups.
Keywords: Entrepreneurial Motivation; McClelland Achievement Need Theory; Opportunity & Necessity Entrepreneurship; Entrepreneurial Intent; Cultural Capital; Cultural Groups; Immigrant Entrepreneurship.
The interplay between institutional factors and experience as determinants of employment growth in South African SMEs
by Boris Urban
Abstract: Past studies report that idiosyncrasies in the institutional arrangements of emerging economies contrast with those of developed market economies. The paper empirically examines the influence of the regulatory, normative and cognitive institutional environments on enterprise employment growth in South Africa (SA). Rather than merely testing the institutional and enterprise growth link, a more nuanced approach is adopted to show how the different institutional dimensions interact with experience to increase overall employment growth. 177 SMEs in SA are surveyed, with a focus on the manufacturing sector, as it holds promise of creating jobs. Results support the hypotheses where each of the institutional dimensions as well as experience, explain a significant amount of variance in employment growth. The study has contextual relevance, as SMEs in SA closely monitor changes in regulations as well as societal values towards entrepreneurship, when growing their enterprises.
Keywords: Institutional; regulatory; normative; cognitive; experience; employment growth; job creation; South Africa.
Income Inequality among Entrepreneurs in Ondo State, Nigeria
by Olubukola Ehinmowo, Christian Harrison, Adewale Isaac Olutumise
Abstract: The study examined the income inequality among entrepreneurs in Ondo State, Nigeria using a questionnaire based survey. Multistage sampling technique was used to select the 200 respondents and the data was subjected to descriptive statistics, Lorenz curve, Gini coefficient and Double - Log regression model.
Findings showed that 40% of the respondents spent at most 12 years in school, while hair dressing (43.5%) and fashion designing (31.5%) were the most common enterprises among the respondents. The findings also revealed that majority of the entrepreneurs earned below N200, 000 per annum. The result of the Gini coefficient (0.58) showed that there was income inequality as shown by the Lorenz curve while the regression indicated that gender, family size and number of workers significantly affected the income of the entrepreneurs.
This study is important as it recommends policies targeted at improving income as well as reducing the income inequality of the entrepreneurs.
Keywords: Entrepreneurs; Income inequality; Entrepreneurship; Globalisation; Poverty; Gini coefficient; Double – log regression; Lorenz curve; Developing economies; Africa.
Special Issue on: Continuous Improvements of Business Processes, Expanding Possibilities in the Contemporary Digital Era
Small Business Entrepreneur Resistance of ICT Adoption: A Lesson from Indonesia
by Dwi Suhartanto, Gundur Leo
Abstract: The availability of information and communication technology (ICT) has assisted business organizations to effectively produce and market their products and services in the global market. However, many small businesses have not adopted such technology, especially online stores and websites, to support their business activities. This paper examines small business entrepreneur resistances to adopting online store and website technology. This qualitative study uses The Technology Adoption Model (TAM) as a theoretical basis. Using a sample of 131 small Indonesian business entrepreneurs, this study reveals that perceived lack of usefulness, perceived lack of ease to use, resources, and social influences are resistance factors for entrepreneurs to adopt online stores and websites. Further, among these factors, the perceived lack of usefulness and resources is considered the most substantial resistance factor for the entrepreneur to adopt the technology. This study extends our understanding that TAM is also a useful theory to explain the resistance of adopting the technology. The managerial impact and possible future research is also discussed.
Keywords: small business; entrepreneur; ICT; website; online store; resistance; Indonesia.
Retail Service Quality Scale in the Context of Indonesian Traditional Market
by Moh Farid Najib
Abstract: the Retail Service Quality Scale (RSQS) has been tested extensively in many developed and developing countries. However, the scale has not been tested in traditional market context. This research aims to examine the applicability of the RSQS in the Indonesian traditional market. A survey has conducted toward 400 shoppers in 16 traditional markets around Bandung, Indonesia. The method using cross-validated hierarchically using both first-order and second-order confirmatory factor analysis. The research finds that the RSQS structure is applicable in the Indonesia Traditional Market setting. The result shown that dimension of RSQS correlation between the construct and square variance extracted the seven sub-dimensions that consist of appearance, convenience, promises, inspiring confidence, interaction, problem solving and policy, however, the two dimensions are not valid, namely doing it right and helpfulness.
Keywords: Retail Service Quality Scale; Validation and Factor Analysis.
Towards a Framework for ICT-Based Entrepreneurship Development through Business Incubation Processes:Case Study of a Techno Park
by Lia Yuldinawati, Dodie Tricahyono, Grisna Anggadwita, Dini Alamanda
Abstract: Entrepreneurship has been recognized as a significant driver of national economic development. It is necessary to enhance the development of a productive and competitive entrepreneurship. In particular, information and communication technologies have emerged as valuable business tools for entrepreneurs from various countries. Practically, entrepreneurship-focused technologies have been utilizing scientific knowledge and technology to fulfill market needs. This research is aimed towards providing a framework for the development of entrepreneurship based on ICT with a particular focus on Indonesia as a developing country by exploring business incubation processes within a techno park in the country. The research is conducted by applying a qualitative method. The data are gathered through in-depth interviews based on a purposive sampling by including actors who have been involved in business incubation taken in a techno park in Indonesia. The results show that the Techno Park may have generally had limitations, including its process, tools, a low efficiency and a lack of financial autonomy. Still, the incubation process has been proven to have a role in increasing the work performance of tenants, market expansion, and improving accessibility to funding sources. This research offers theoretical and empirical implications towards the development of business incubation processes in entrepreneurship promotion activity, in which there is a need to involve quadruple-helix actors, i.e. academic, business, government and community.
Keywords: Business incubation; Entrepreneurship development; ICT; Quadruple-helix; Techno park.
The Roles of M2M Technology on the Realization of Bandung Smart City
by Dini Turipanam Alamanda, Fajar Sidiq Adi Prabowo, Shelly Eka Agustina, Lia Yuldinawati, Husni Amani
Abstract: One attempt to address problems in major cities is by implementing the concept of Smart City through the utilizations of information and communication technology, such as Machine-to-Machine (M2M) solutions. This study aims to look at Ridwan Kamils version of M2M programs and provides advice on what have been implemented as well as recommend other possibilities that can be implemented in the city of Bandung. The research method is qualitative descriptive using data from Ridwan Kamils twitter, @ridwankamil, from 16 September 2013 until 31 July 2015. The results of this study show that there were 117 issues raised to Ridwan Kamils twitter with 606 tweets in which Smart Environment is found to have the biggest number of popular issues (8 issues), but the issue of Smart Transportation has the highest number of tweets (176 tweets). Bandung has produced 329 applications and will continue growing to be used in all administrative offices both for public services and the internal performance improvements. The results of this study are expected to be an input for Ridwan Kamil in solving the problems being raised by many netizens via twitter, by implementing effective and target-oriented M2M solutions according to the needs and priorities of the residents of Bandung city in particular and Bandung lovers generally.
Keywords: Smart City; Twitter; Machine-to-Machine; Bandung.
The Influence of Website Design on Customer Online Trust and Perceived Risk towards Purchase Intention: A Case Study of O2O Commerce in Indonesia
by Anggraeni Permatasari, Mayci Kartikowati
Abstract: PT. XYZ is the first example of e-commerce providing an O2O (Online-to-Offline or Offline-to-Online) shopping system in Indonesia. However, PT.XYZ customers still experience trust issues regarding their purchase intention within this new business model. Hence, the aims of the research reported here are to establish to what extent website design influences customer trust in and perceived risk towards purchase intention. The variables applied in this study were website design consisting of information design, visual design and navigation design as independent variables, customer trust and perceived risk as mediator variables, and purchase intention as a dependent variable. The respondents of this research were potential e-commerce customers who have visited PT. XYZs site in Jakarta. Data was gathered by means of a convenience sampling technique applied to participating respondents who numbered 300. This study involved a quantitative approach with the data being processed through an SEM analysis. This study found that both information design and visual design positively influence customer trust, while such customer online trust and purchase intention are impacted negatively by perceived risk. The researcher suggests that new e-commerce ventures should focus on increasing the value of information design and visual design in order to gain customer trust. This approach would reduce perceived risk and increase customer intention to make e-commerce purchases.
Keywords: O2O Commerce; Website Design; Customer Online Trust; Perceived Risk; Purchase Intention.
Designing Internal Audit Process on Infrastructure Project in Indonesia
by Devi Pratami, Ika Arum Puspita, Teddy Sjafrizal
Abstract: This paper communicates the case study of designing internal audit process of an IT infrastructure project. This descriptive study of was started from defining stakeholder roles definition, guideline for the audit process, its business process and analyzing the audit results. The audit design was implemented at an Indonesian government infrastructure project, managed by company X and executed by vendor Y. The audit finds that company Xs decision on the project duration was too underestimate. It resulted in major delay for years and the expected completion would be at the 8th month of 2016.
Keywords: internal audit; project; S curve; estimate; knowledge area.
Slogans as a Strategy to Strengthen Business Strongholds in The Globalisation Era: a Case of Indonesian Multinational Companies
by Iis Nurhayati, Ratih Hasanah, Nia Kurniasih
Abstract: Multinational companies have their own managerial complexity. They have to be able to implement standardized global strategy, but on the other hand they also have to implement local strategy that has been adapted with local cultures. Hence, it is interesting to analyze the linguistics features and positioning variation of their slogans since they communicate the organization culture of the companies: what the slogans communicate and do not communicate. The data were taken from slogans of 20 most admired multinational companies in Indonesia based on Fortune Magazine survey in 2014 that were analyzed according to the linguistics and social sciences, especially the science of marketing communications using Hallidays Functional Grammar approach and the positioning variation of the slogans of the companies based on the needs of the community by using Maslows theory of needs. The result of the study shows that the majority of the slogans is written in English clauses. Based on the mood system and transitivity, of these 20 slogans of multinational corporations in Indonesia, most of the slogans utilize declarative sentences with relational verbs.
Keywords: Slogans; Multinational companies; Mood System; Transitivity; Positioning Variation.
Special Issue on: Emerging South Asia in a Globalised World
India an Emerging Higher Education Hub for South Asian Countries: Globalisation and Internationalisation essential keys for Growth of South Asia
by Kanupriya Misra Bakhru
Abstract: Higher education can form the key that can respond to the changes brought by globalisation for emerging South Asia in terms of sustainable growth, poverty reduction, competitiveness and job creation. Even though South Asia is witnessing an exponential growth, there is a dismal picture of employability and quality of education here. There is a need for change. India being the biggest contributor for growth of South Asia, should take the lead in higher education. India is the most preferred destination for foreign students from South Asian countries, there is a clear opportunity for India to establish an educational hub in India for South Asian Countries. The paper examines the current scenario of higher education in South Asia and particularly in India. Notable trends, internationalisation and the future possibilities that would transform higher education in India and emerge it as an Educational Hub for South Asia have been discussed.
Keywords: Globalisation, Internationalisation, Education Hub, Higher Education, India, South Asia
Special Issue on: Business and Economic Challenges in the Post-Great Recession Global Economy and Business at a Crossroads
Working Capital Management and Firm Profitability: Evidence from Emerging Markets
by Nurlan Orazalin
Abstract: The purpose of this study is to provide empirical evidence on the relationship between working capital management (WCM) and the profitability of top manufacturing firms in two main emerging markets in the Commonwealth Independent States region (CIS). The study employs panel data methodology using data of top manufacturing firms operating in Kazakhstan and Russia over the period 2010-2014. The empirical results show that Kazakh firms, following more aggressive strategies of working capital, exhibit higher profitability than Russian firms. The study also established a linear relationship between profitability and working capital, which indicates the absence of an optimal working capital level that could maximise the profitability of Kazakh and Russian firms. The findings indicate that managers can maximise shareholder value by following more aggressive practises of WCM in transition economies similar to Kazakhstan and Russia.
Keywords: Working capital management; Profitability; Emerging markets; Kazakhstan; Russia.
Special Issue on: Shaping Business Opportunities in Emerging Markets under Global and Local Uncertainties
Pricing Negotiation in Contract Farming
by Yuanita Handayati, Togar Simatupang, Tomy Perdana, Manahan Siallagan
Abstract: An agricultural pricing mechanism achieved through a process of negotiation is superior to cost-based or auction-based pricing in achieving goal congruence and evaluating sub-unit performance. This paper illustrates the negotiation process in defining agricultural prices by considering the emotions of negotiators. The emotions of both buyer and seller are captured to illustrate the impact on the duration, agreed price and result of negotiations. The simulation shows that when both buyer and seller experience heightened emotions, the shortest negotiations are achieved. On the other hand, the most protracted negotiations, which usually culminate in failure, result when both buyer and seller exhibit anger. Moreover, different combinations of emotions on the part of the buyer and seller suggest that stable emotions will produce a mutually acceptable price. Agent-based modelling was used as the methodology to simulate the price negotiation process.
Keywords: Price negotiation; contract farming; emotions; agent-based modelling.
The Entrepreneurial Ecosystem to Foster Competitiveness among Enterprises: A National Level Analysis
by Gandhi Pawitan, Maria Widyarini, Catharina B. Nawangpalupi
Abstract: The launching of the ASEAN Economic Community (AEC) in 2015 opened a regional market of 600 million people. The formation of AEC facilitates the opportunities for entrepreneurs to offer goods and services in the market. This naturally raises challenges for businesses and governments, also tighter competition. This paper aims, first to investigate the relationship between entrepreneurship ecosystems and national competitiveness, in the presence of entrepreneurship activities. Second, identifying the most important pillars of the entrepreneurial ecosystem in fostering competitiveness. The national level data is used from the Global Entrepreneurship Monitor consortium and the World Economic Forum for the year 2015. The partial correlation coefficient and the regression analysis were applied. The results show that the relationship between entrepreneurship ecosystem and national competitiveness is intervened by level of entrepreneurship activities. The R&D transferred as well as the physical and services infrastructures are primary pillars of the ecosystem fostering the national competitiveness.
Keywords: entrepreneurial ecosystem; global competitiveness; partial correlation analysis.
Acculturation to Global Consumer Culture (AGCC) and the Ethnic Identity (EID) of Indonesians in relation to South Korean Culture
by Mustika Sufiati Purwanegara, Nurrani Kusumawati
Abstract: A certain degree of contradiction exists around the belief that Acculturation to Global Consumer Culture (AGCC) has a negative correlation with an individuals Ethnic Identification (EID).Indeed, some observers state that it is possible to be acculturated to global consumer culture without a loss of ethnic identity.The study explores AGCC towards South Korean culture consumption and Ethnic Identification on the part of Indonesians.The research reported here focuses on South Korean culture since an enormous number of that countrys products are consumed by Indonesians.The objective is to gain insight into global companies developing of a strategy to enter the Indonesian market.Questionnaires were distributed to the 349 respondents who participated in the survey.AGCC and EID are negatively correlated to each other.Meanwhile, both AGCC and EID relate to Indonesians consumer behaviour with regard to South Korean culture and the most appropriate strategy for South Korean culture to enter the Indonesian market being standardisation strategy.
Keywords: Acculturation; Ethnic Identification; Acculturation to Global Consumer Culture; South Korea Culture; Consumption Behaviour; Quantitative; One-way ANOVA; Manova; Regression; Indonesian.
A survey of the Responsive and Proactive Market Orientation Research (2005-2015)
by Ngatno Ngatno
Abstract: Since 2004, responsive market orientation (RMO) and proactive market orientation (PMO) have received considerable attention in the marketing literature. Little research provides preliminary and useful information to facilitate good understanding of RMO and PMO. This study presents a comprehensive survey of extant marketing literature using keyword classification from 2005 to 2015. It serves as a tutorial and aims to help the beginner researcher or practitioner to have access to RMO and PMO, including its definitions, applications and problem domains. The contribution of our paper is to provide a means to conceptualize and operationalize the coverage of RMO and PMO. It provides a conceptual framework to organize this vast body of research. Based on the scope of 50 RMO and PMO articles, we find that the number of publications on MO has significantly increased since 2005 with steady growth in recent years. The survey showed an upward trend in studying RMO and PMO-performance relationship similar to the universally trends. The study also found some common variables related to performance, mediators, and moderators within manufacturing and service industries. Finally, it provided a framework to organize the results.
Keywords: responsive market orientation; proactive market orientation; antecedent; consequence; performance.
Managing Alliance Configuration and Dyadic Learning Performance in Coopetition
by Rangga Almahendra, Ria Aulia
Abstract: Firms decide to form global alliances to seek new knowledge and innovation from different sources, even from their competitors. However, the mechanism for managing both cooperation and competition in these knowledge-seeking alliances are much less understood. This research is intended to disentangle the learning race phenomenon in an alliance of two competing companies. We raise questions on how firms could reconcile the dilemma between cooperation and competition and what is the best configuration for an alliance portfolio that contributes to a dyadic learning performance in coopetition. We tested the hypothesis with 680 samples from 136 firms in the biotech industry from 1998-2002. The results supported all the hypotheses as follows: strong ties have an inverted U-shaped effect on SLCG and the technological diversity has a role in reversing the relationship between the strong ties and SLCG which previously was seen as an inverted U-shape, but became U-shaped.
Keywords: Learning race; coopetition; strong ties; technological diversity.
Trust, business, and society in a post-conflict scenario the case of managing workplace practices in Colombia
by Ulf Thoene, Alvaro Turriago-Hoyos
Abstract: Colombia has been plagued by outbreaks of violence for several decades. As a post-conflict scenario emerges, businesses face new challenges and opportunities. Ending the conflict inevitably involves an effort of somehow integrating ex-guerrilla combatants into the formal labour market. Given the high levels of mistrust or fear that Colombians manifestly have towards such individuals and the low levels of educational attainment they have achieved, a thorough debate on the issue of trust on an overall societal level as well as within firms cannot be avoided. Regarding opportunities, the post-conflict scenario opens a window to modernize relations between different groups making up society. The central thesis of this research is that trust has perhaps become more reciprocal than unidirectional or top-down. We provide survey data, and conduct in-depth, semi-structured interviews with business leaders representing four economic sectors.
Keywords: Business for Peace; Colombia; Peacebuilding; Peace through Commerce; Trust; Voice at Work; Workplace Relations.
Special Issue on: Innovations and New Frontiers for International Marketing and Management
Cost of equity capital in small and medium sized private companies Theoretical considerations and empirical and case-studys results concerning SMEs in southwest Germany
by Bernd Britzelmaier
Abstract: Cost-of-capital rates are used for a number of purposes in finance and accounting such as the determination of imputed interest, investment appraisal or value-based management. While stock-listed companies are able to use capital market oriented methods to determine their cost of equity such as CAPM or APT other companies have to follow different approaches. The aim of this paper is to summarize and update research papers published during the last couple of years dealing with the relevance and application of cost of equity in SMEs (Britzelmaier et al 2013; Britzelmaier et al 2014; Britzelmaier et al 2015). After a brief intro-duction the characteristics of SMEs are discussed. A critical overview of fundamentals and common calculation methods of the cost of equity capital is provided. After the literature re-view findings of empirical studies are presented as well as findings of a case study. A conclusion and an outlook are given.
Keywords: cost of capital; SME; CAPM; Germany.
Industrial development in North Africa: a comparative analysis for the period 2004-2012
by Jaime Moll De Alba
Abstract: This article examines the status of industrial development in North Africa during the period 2004-2012. The objective is to find out whether, during a period of relatively significant economic growth of the African continent followed by a global crisis, the industrial sector of the North African region has experienced significant changes which have underpinned its growth. We carry out a comparative analysis with other selected developing regions, based on a set of key indicators relating to the industrial production and trade of manufactured products using internationally comparable datasets for the reference period. Our analysis indicates that the manufacturing base of the region remains weak. We identify two patterns of industrial development within the region: rich natural resource countries, Algeria and Libya, show a meagre manufacturing base and remain dependent on their natural resources. On the other hand, Egypt, Morocco and Tunisia show a larger manufacturing base but their economic growth has stagnated or declined during the reference period. Moreover, North Africa plays a minor role in the global trade of manufacturing products. Our study contributes to understand the status and the patterns of structural transformation of the North African region and proposes recommendations.
Keywords: Industrial development; structural change; manufacturing; trade of manufactures; North Africa.
Communicating Sustainability Practices and Values: A case study approach of a micro-organisation in the UK
by Panayiota Alevizou, Claudia Henninger, Chloe Spinks
Abstract: This article investigates sustainability communication through the lens of integrated marketing communication (IMC) by focusing on one case organisation that sees aspects of sustainability at the heart of its operations. This qualitative inquiry utilises a case study approach and a variety of methodological tools, including in-depth semi- structure interviews and semiotic analysis of online and offline media. Findings highlight although the case organisation seeks to use an IMC approach across their multiple communication channels the same message cannot always be conveyed as, especially social media channels, have restricted formatting settings. As a result the encoded message is confusing and leads to a loss of meaning. Although this research is based on a single case study, it allows for an in-depth investigation of a phenomenon and practical recommendations on how to overcome challenges with online platforms. This research is of value as it investigates IMC in and under researched context micro-organisations, as well as combines it with challenges of effectively broadcasting sustainability messages to an end-consumer.
Keywords: Integrated marketing communications; IMC; micro-organisations; sustainability communication; sustainability.
Investigating Chinese Audience-Consumer Responses towards TV character based Fashion related Social Media Content
by Delia Vazquez, Jenny Cheung, Xiangran Xu
Abstract: Products and brands placed in film media content is acknowledged as an important source of influence in group discussion topics with viewers (Noguti and Russell, 2015). Parasocial relationships are often developed between audiences and their favourite characters (Russell and Stern, 2006), which can influence audiences evaluation and consumption of products/brands placed within a TV series. This study investigates brands placed within the context of a TV series, as TV series have long been identified as a source of peer group discussion with audiences (Noguti and Russell, 2008). TV audience consumer engagement is particularly compelling when TV series feature emotionally empathic characters. This study aims to analyse the effect of social media fashion brand communications with Chinese TV series audiences online purchase behaviour. An online survey (n=150) was conducted to analyse the links connecting parasocial relationships between TV audiences with the characters, and audiences purchase intention and product/brand evaluations. The results indicate that consumers develop parasocial relationships with TV characters that positively affect their social media purchase intentions. These results are significant, as fashion brands and marketeers of all brands seek to find strong emotional connections with their consumers across an increasingly fragmented media landscape. Emotional connections and emotional brand engagement are key to future brand growth; integration within empathic storylines in lifestyle based TV series can be viewed as a vitally effective future marketing tool.
Keywords: Parasocial relationship; Social Media; TV audiences; Fashion; Word of Mouth; Purchase Intention.
NEW TRENDS IN LUXURY GOODS CONSUMPTIONS. A CROSS-CULTURAL ANALYSIS.
by Adriana Calvelli, Chiara Cannavale, Clara Bassano, Elena Laurenza
Abstract: Luxury is a very subjective concept, strictly connected to the values and assumptions people use to orientate their choices and behaviors. Values are concepts or beliefs, which refer to desirable states or behaviors, and are used as standards or criteria to select or evaluate behavior and events (Schwartz, 1994). They impact on individuals perceptions and choices, and this happens both at an individual and at a collective level. Our paper investigates the effects of cultural values on the demand of luxury goods, to answer the following questions: Does consumers perception of luxury goods vary across countries? Does culture affect this perception?
Keywords: Luxury goods; luxury perceptions; consumer purchase behavior; culture; materialism; hedonism.
The effects of rebranding on customer-based brand equity
by Marta Blazquez Cano, Kurt Mattich, Claudia Henninger, Eva Helberger
Abstract: The luxury fashion market is predicted to continue to grow rapidly, as millennials are becoming the new luxury consumers. Differentiation from competitors, attracting new consumers, and continuously maintaining brand equity is more challenging than ever, especially for global brands. The purpose of this study is to explore the drivers and process of rebranding and its influence on brand awareness and customer-based brand equity within the luxury fashion market. This study adopts a multi-method qualitative approach, employing semi-structured interviews with practitioners, consumer based focus groups, and semiotics - in order to measure the impact of rebranding processes on customer-based brand equity. The findings outline the most frequent drivers and the crucial steps of a rebranding process for the luxury market. Radical and moderate changes can be made to the brand image and further support customer-based brand equity, yet it is vital to remain true to the original heritage and brands DNA.
Keywords: customer-based brand equity; re-branding; brand knowledge; brand awareness; brand image; brand associations; luxury fashion.
Exploring sustainable behavior in International Footwear Supply Chain Management
by Maria Vincenza Ciasulllo, Silvio Cardinali, Silvia Cosimato
Abstract: The fashion industry is commonly considered to be unsustainable, being responsible for several economic, social and environmental burdens in which companies and their supply chains are involved. Scholars refer to fashion as a cross-sector, grouping companies active in different and highly competitive businesses, such as clothing, accessories, eyewear, jewellery, textiles and footwear. Among these, fashion footwear is still under investigated. Consequently, this study aims at exploring a fashion footwear companys orientation towards sustainability, and the way it affects the configuration and management of its supply chain. More in depth, the paper aims to explore the main drivers of a fashion footwear companys sustainable behaviour and their influence on the emergence of new business opportunities. Findings have revealed the importance of particular capabilities embedded in sustainable behaviour. These capabilities are constantly developed through synergistic actions with employees, suppliers, business clients, consumers and NGOs, which are able in this way to nourish the business sustainability. Sustainable Supply Chain Management (SSCM) orientation has led to a general reshaping of both inbound and outbound supply chains, configuring an integrated supply chain in which a new sustainable business model is configured.
Keywords: fashion industry; sustainable behavior; sustainable supply chain management; SSCM; footwear industry.
Examining Corresponding Project Management and Change Management Roles in Practice
by Katalin Pádár, Zoltán Sebestyén, Béla Pataki
Abstract: Project sponsors and change sponsors, as well as project managers and change agents, are corresponding roles of project management (PM) and change management (CM) on the domain of projects that are also second-order changes (i.e., change projects). However, the number of sources putting this theoretical notion to test is close to none. We examined the knowledge and understanding of practitioners from different fields regarding CM and PM (role) conceptsbased on an international online survey. Our findings point to an observable asymmetry regarding CM-related and PM-related knowledge. Respondents answers varied a lot more when it came to defining changes compared to having to define projects. PM is the better known scientific field and has a more prevalent methodology. Survey results support previous theoretical findings regarding the correspondence of the roles of the 1) change sponsor and project sponsor and the 2) change agent and project manager.
Keywords: project sponsor; change sponsor; change agent; project manager; project management; corresponding roles; project management roles; change management roles.
International Flagship Stores: An exploration of store atmospherics and their influence on purchase behaviour
by Marta Blazquez, Rosy Boardman, Luyu Xu
Abstract: Flagship stores are luxury retailers most prestigious market entry method and serve as impressive representations of their brand image. However, there is a lack of extant research investigating how the holistic experience created in luxury flagship stores has an effect on consumers purchase behaviour. This study aims to fill this gap in the academic literature by using a qualitative methodology to explore how the atmospheric cues in luxury flagship stores influence consumers impressions of the brand and, ultimately, their impulse and non-impulse purchase behaviour. The findings show that atmospheric cues and design features have a significant impact on the perceived brand image and on both impulse and non-impulse purchase behaviour. Furthermore, the results show that the most influential atmospheric cues on purchase behaviour are the customer service provided, followed by the product displays, the layout of the store and the design and experience of the fitting rooms.
Keywords: Flagship stores; store atmospherics; international retail; in-store experience; luxury retailing; purchase behaviour.
Special Issue on: Strategies for Global Competitiveness and Economic Growth
An Evidence of FeldsteinHorioka Puzzle in Selected Asian Economies
by Harwinder Kaur, Vishal Sarin
Abstract: The purpose of the study is to investigate the level of capital mobility in selected economies of Asia by testing the FeldsteinHorioka puzzle. This paper seeks to contribute to the study of relationship between savings and investment in a panel of eight Asian economies namely; China, Japan, India, Hong Kong, Iran, Indonesia, Saudi Arabia, Thailand. Data for investment and savings over the period 1980-2016 has been compiled from the World Development Indicators (WDI) Database 2016. Augmented Dickey Fuller test has been applied to confirm the non-stationarity of data. Then, panel cointegration method has been applied to examine the relationship between savings and investment for selected countries. Further, to estimate the value of β (saving retention coefficient) the study used Fully Modified OLS (FMOLS) and Dynamic OLS (DOLS) techniques. The results shows that saving and investment are co integrated for selected panel and results of FMOLS and DOLS indicate a fall in the value of β after crises, which implies that these economies are becoming open to capital flows after Asian crises. Hence the study confirms the evidence of F-H Puzzle to explain that high correlation between saving and investment implies lower capital mobility.
Keywords: Asian; Capital Mobility; Co-integration; Economies; Feldstein–Horioka; Panel,.
Perception of Advisors regarding behaviour of Investors while selecting Wealth Management Services: an AHP Approach
by Ashish Arora, Rashim Verma
Abstract: Technology and World Wide Web opened the financial management world to larger audience. Traditionally Wealth Management Services (WMS) were perpetuate of very rich, who to preserve and grow wealth needed services of Wealth Managers. Now, a day no one needs to be a multi millionaire to take advantage of WMS. Significant contributing factor for the growth of WMS can be Global increase of wealth, especially India and China given the vigorous boost to the wealth. Also the need of the clients extends far beyond the old stock picking, rather becoming more sophisticated, requiring more exciting products and services. Client globalization with respect to their domicile and wealth management outlook along with new technical possibilities, give Wealth Management industry a new height and become one of the most preferred industry in world. Investors face baffling choices about what to do with their money. Factors like increasing uncertainty and volatility, the growing number of financial products, increasing complexity of available financial products and increasing personal responsibility for retirement planning, have made need of financial advice, a necessity. Having anticipating significant increase in number of High Net Worth (HNW) clients and their diverse investment requirements, Financial intermediaries comprising of Bank Financial Advisers(BFA), Independent Financial Advisers (IFA) and Corporate Financial Advisers (CFA) began offering investment advisory services to HNW under the umbrella of WMS and there is significant change in their investment strategies. Study of Wealth Management Industry has become significant owing to the fact that today‟s competitive environment presenting tremendous challenges and Punjab is totally unexplored area with regard to WMS. In this paper, attempt has been made to identify the key factors influencing the behaviour of investor as perceived by Wealth Managers of Punjab.
Keywords: Wealth Management Services; Analytical Hierarchy Process; Financial Advisers.
Factors leading to adoption of Video on Demand (VOD) service: An Exploratory Study
by Amit Kakkar, Ruchi Kakkar
Abstract: As the wireless and wired internet market is approaching the maturity levels, the subscribers of wireless as well as wired internet services are continuously looking for improved performances and more extensive applications and on the other hand, the wireless service and wired internet providers are continuously fighting for the market share by offering new services and in turn, hoping that the new services will bring higher revenues. Video on demand (VOD) is one such service that is pinned as the next big thing for the telecommunication industry, content development industry and for the entertainment industry from the advertisement and viewership point of view. Video on Demand (VOD)/moving TV service involves providing entertainment content on the smartphones/laptops etc. via wireless networks. This paper is intended to explore the various factors which will encourage the customers to adopt VOD service in Indian context using Exploratory Factor Analysis. The extracted factors will help in understating the psyche of customers and will also help in developing the strategies which can help the companies to make people adopt the VOD services.
Keywords: Online Viewing; Video on Demand; Entertainment; Anytime Viewing; Smartphones; Online Watching; Content Development; EFA.
Tourism led economic growth in India: an application of vector error correction model
by Tushinder Preet Kaur, Pooja Kansra
Abstract: Tourism promotes economic growth in a significant manner. The importance of tourism to economic growth has been widely recognised due to its contribution to employment, balance of payment, Gross Domestic Product (GDP) etc. In the present paper an effort has been made to examine the link between the economic growth, investment and net exports from tourism sector by employing the technique of co-integration and VECM. The resulting co-integrating vectors indicate that there exists a long run relationship between GDP, investment in tourism sector, net exports from tourism and employment generation. Thus, it is one of the important factor affecting the economic growth in India with significant multiplier effect.
Keywords: economic growth; GDP; tourism; employment; investment; net exports; causality; co-integration; domestic spending; FDI.
Assessment Potential of Community Enterprises to Enhance Their Sustainable Competitive Advantage in Thailand.
by Wilailuk Meepracha, Tatri Taiphapoon, Achara Chandrachai, Sukree Sinthupinyo
Abstract: Assessment potential of community enterprise in Thailand is evaluated every year by government agencies. According to review previous literature, there was still not enough research carried out in the fields and not have identifying factors for achieve competitive advantage. It shows that the gap is research. The purpose of this research is to develop criterion to assess the potential of community enterprises and to evaluate them empirically. The methodology used mixed methods, semi-structured Interviews expertise and survey questionnaires. Data was analyzed using confirmatory factor analysis. The results demonstrated 11 factors and 33 indicators to assess and solve operations of the community enterprise, this research identified factors of philosophy of sufficiency economy and sustainability in the criterion as these perspective with become the key activity to achieve competitive advantage. The result can be applied for the community enterprise and will be beneficial for the Royal Thai Government. This study will also benefit to other countries which similar circumstance as Thailand.
Keywords: Assessment; Evaluation; Potential; Community Enterprises; Sustainable; Achievement; Competitive; Advantage.
Work-family conflict and intention to quit: the mediating role of emotional dissonance
by Subhash C. Kundu, Nidhi Gaba
Abstract: The current study was performed to explore the linkages between work-family conflict, emotional dissonance and intention to quit. Primary data drawn from 346 employees belonging to 93 organisations were analyzed to ascertain whether emotional dissonance mediates the relationship between work-family conflict and intention to quit. Multiple regression analysis was carried out to test the stated hypotheses. Based on the results of the data analysis of the study it was found that the work-family conflict had positive significant influence on intention to quit. Further, emotional dissonance is established as a key mediating mechanism between the work-family conflict and intention to quit.
Keywords: Keywords: work-family conflict; family-work conflict; emotional dissonance; intention to quit; India.
Special Issue on: Business and Economic Challenges in the Post-Great Recession Global Economy and Business at a Crossroads
HIGHER EDUCATION: SHOULD OTHER COUNTRIES FOLLOW THE US MODEL?
by Jeffrey Miller
Abstract: Higher education is becoming increasing important if countries want to be competitive in the world economy. While there are a wide variety of ways to organize systems of higher education, The Economist (April, 2015) divides these into two general categories: the US system and the European system. The Economist sees the US system spreading to other countries. In this paper we provide a description of the US system of higher education. The US system has important strengths and weaknesses. Because the US system is so dependent on competitive pressures, it is not appropriate for small countries unless the country opens its higher education system to global competition.
Keywords: higher education; US and European higher education; global competition in higher education.
Education expenditures and human capital: can austerity compromise growth in Portugal?
by Sofia Amaral, Marta Simoes
Abstract: In this study we estimate a trivariate VAR model with public expenditures on education, schooling levels and output and perform cointegration, causality and impulse response analysis for the period 1975-2008 to investigate whether the recent expansion of the Portuguese public education system fostered higher output levels highlighting human capital accumulation as the mechanism that connects the two variables. The data used in this study was retrieved from www.pordata.pt and the necessary calculations were done using the econometric software package GRETL. The results indicate that a change in public expenditures on education has a positive effect on output in Portugal, supporting in this way education spending as an expansionary fiscal policy instrument that can alleviate the downturn in output in the short-term. The long-term role of education spending is however less clear since we were not able to find a long-run equilibrium relationship between our variables.
Keywords: public expenditures on education; human capital; schooling; economic growth; cointegration; causality; impulse response; VAR; Portugal.
Comparative Analysis of Economic Systems Goals: Ranking Approach.
by Alexander Katkov
Abstract: Each economic system has the same mission and the same list of major economic goals but every economic system has its own order of prioritization of these goals. In this article the author first, will select the list of four main economic goals common to every economic system. Then, after the brief analysis of three main economic systems - pure market, pure command, and mixed economies - I will establish a theoretically defined goals ranking orders for pure market and pure command economies. Finally, I will compare an empirically evaluated ranking order of economic goals for a few selected countries with the theoretically defined ranking order. The interpretation of calculated coefficients of correlations could be used for further comparative analysis of economic policies of different countries.
Keywords: Economic systems; comparative analysis; government regulation; ranking correlation.
Monetary Aggregation Theory and Nominal GDP Targeting
by William Barnett, Liting Su
Abstract: We investigate bivariate time series properties of Divisia money and nominal GDP to investigate the viability of recent proposals advocating a role for a Divisia monetary aggregate in nominal GDP targeting. There are two particularly relevant proposals: (1) the proposal by Barnett, Chauvet, and Leiva-Leon (2015) to use a Divisia monetary aggregate as an indicator in the monthly Nowcasting of nominal GDP, as needed in implementation of any nominal GDP targeting policy; and (2) the proposal by Belongia and Ireland (2015) to use a Divisia monetary aggregate as an intermediate target, with nominal GDP being the final target of policy. We run well-known diagnostic tests of bivariate time series properties of the Divisia M2 and nominal GDP stochastic processes. Those tests are for properties that are necessary, but not sufficient, for the conclusions of Belongia and Ireland (2014) and Barnett, Chauvet, and Leiva-Leon (2015). We find no time series properties that would contradict those implied by either of those two approaches.
Keywords: money; aggregation theory; index number theory; Divisia index; Divisia monetary aggregates; nominal GDP targeting.
The role of innovations in fostering economic growth: An empirical analysis for selected CEE countries
by Darko Lazarov, Goce Petreski
Abstract: The main aim of the paper is to investigate whether the innovation performance is a driving force to economic growth in selected CEE countries. To fulfil this goal we use dynamic panel regression approach (system GMM), for the period 2002-2014. The innovation performance is derivate from several indicators (general expenditure on R&D, number of patents, journal articles and scientific publications, as well as royalty payments) by using principle component factor analysis. The estimated results suggest that innovation performance has positive and significant influence on economic growth, indicating that those countries with more efficient innovation system have experienced higher economic growth. Moreover, the paper found the higher magnitude in the impact of innovation performance on economic growth in new EU member state economies, compare to less developed non-EU countries. This indicates that innovations become more important growth determent how the countries are catching-up to developed countries.
Keywords: Economic growth; innovation performance; dynamic panel (GMM) method; CEE countries.
Drivers for eco-innovation: an exploratory study in Spain
by Pilar Portillo-Tarragona, Sabina Scarpellini, Luz María Marín-Vinuesa
Abstract: The authors study the determinants of the behaviour of protection of the innovations through green patents, as an approximation of eco-innovative profile in firms. To this end, a large sample of firms from three regions in Spain is analysed through a binomial logit model. The authors find that age, size and financial performance significantly affect the choice of having green patents as eco-innovative conduct in firms. They also find that the sector of activity and the legal structure of firms are related with the choice of having, or not having, green patents to protect the innovations. Implications are explored for policy makers promoting the green patents registration and for practitioners introducing environmental improvement in the innovation processes.
Keywords: Eco-innovation; Green Patents; Economic-Financial Characteristics; Binomial Logit Model; Corporate finance.