International Journal of Trade and Global Markets (15 papers in press)
Analysis Sharia tourism as resource of finance public sector in Indonesia use total quality service
by Puji Astutik, Lathifa Hapsari
Profitability and Efficiency of the Croatian Banking Sector
by August Cesarec, Alen Stojanovi?, Anita Pavkovi?
Abstract: Profitability and efficiency of the banking sector significantly contributes to the economic growth and stability. The aim of this paper is to calculate, analyse and discuss profitability and efficiency of the banking sector in the Republic of Croatia for the period 2004
Keywords: Croatia; bank efficiency; bank profitability; bank size.
Performance of active and passive management of Slovak's pension funds in return-risk space
by Martin Dluho
Abstract: The goal of the paper is to quantify the performance of actively and passively managed pension funds within the second pension management pillar in Slovakia during the period 2012
Keywords: second pension pillar; mean-variance analysis; active and passive management.
Distributional Effects of Foreign Direct Investment on Poverty: The Case of Vietnam
by Ngoc Quang Ngo
Abstract: In this paper, we examine the impacts of foreign direct investment (FDI) on poverty reduction in Vietnam. The influences of FDI on the poor can be categorised into two types
Keywords: distributional effects; Driscoll-Kraay; FDI; growth effects; international trade; mediation bootstrapping test; poverty; productivity; regional level; spillover effects; Vietnam.
Examining Agricultural Export Returns from Midwestern States
by Anil Giri, Sankalp Sharma, Kyle Lovercamp, Iuliia Protopop, John Tiner
Abstract: Most job losses in the United States (US) prior to and after the great recession were manufacturing related jobs as domestic producers decided to shift production to offshore locations. This also included export-oriented jobs. Almost 6% of total US exports comprise agricultural products. We therefore, investigate if agricultural exports increase median household income and decreased unemployment rate using a sophisticated simultaneous equation model. The results show that for Midwestern states an increase in animal and plant exports increased the median household income albeit minimally for majority of the states. We also empirically verify that an increase in the unemployment rate results in a decrease in median household income.
Keywords: US Ag Exports; Midwest; Median Household Income.
Importance of Financial Ratios for Predicting Stock Price Trends: Evidence from the Visegrad Group
by Tomá Praák, Daniel Stavárek
Abstract: This study examines the effect of primary microeconomic factors on the stock prices of select financial and energy industry companies listed and traded on the Central European Exchanges (Budapest Stock Exchange, Prague Stock Exchange, Bratislava Stock Exchange, or Warsaw Stock Exchange). Microeconomic factors are based on the financial situations at various companies. Financial ratios, gained from the financial statements of the individual companies, are used for the analysis. In general, the paper confirmed that profitability and debt ratios are the most important business factors from the perspective of the impact on stock prices. The existence of the relationship between stock prices and financial ratios is tested with the generalised method of moments (GMM) during the period of 2006 to 2016.
Keywords: microeconomic factors; financial ratios; rentability; debt ratios; stock prices; Visegrad Group; GMM.
New approach to operational risk measurement in banks
by Ewa Dziwok
Abstract: Greater globalisation and an increasing role of financial markets have a significant impact on the banking industry and the operational risk management (ORM) process. The Basel Committee on Banking Supervision (BCBS) started to underline the importance of operational risk category and the capital requirements for the losses connected with operational risk (Basel II). Last financial crisis, which had enormous impact on financial markets caused the implementation of Basel III norms concerning regulatory capital requirements. The aim of this paper is to compare and assess different approaches for modelling an operational risk: the basic indicator approach (BIA) and the standardised approach (TSA), including its variant
Keywords: financial institutions; operational risk measurement; risk; financial regulations.
Does Idiosyncratic Return Volatility Capture Information or Noise?
by ANTONIO CERQUEIRA, CLAUDIA PEREIRA
Abstract: This paper examines the cross-sectional association between earnings quality and firm-specific return volatility for a sample of UK firms listed in the London Stock Exchange. Identifying the determinants of idiosyncratic volatility has been a topical issue since the Campbell et al. (2001) study which documents a noticeable increase in average firm-level volatility across time. Using panel data, we find that poor information environments resulting from poor earnings quality are associated with higher firm-specific return volatility. This finding is consistent with the noise-based approach of firm-specific return volatility. In addition, we provide empirical evidence that such association becomes stronger after combining accruals quality and the dispersion in analysts forecasts to describe a poor information environment. These findings are likely to contribute to the debate on whether firm-specific return volatility captures more firm-specific information being impounded in stock prices or essentially reflects noise.
Keywords: Keywords: Idiosyncratic Volatility; Earnings quality; Accruals Quality.
Are banks in financial conglomerates more profitable than other commercial banks?: Evidence of banking sectors in Visegrad countries
by Iveta Pale?ková
Abstract: The aim of this paper is to estimate whether banks that belong to financial conglomerates are more profitable than other banks in the banking sector in the Visegrad countries. In line with the aim of the paper, the research question is as follows: Are there differences in profitability between banks that belong to a financial conglomerate and other banks in the banking industry in the Visegrad countries? We investigated banks from four financial conglomerates and estimated the profitability of commercial banks in the Visegrad countries. We found that the profitability of the banking sector in the Visegrad countries was low. Using a matching method, we found that there were significant differences between banks that belong to a financial conglomerate and other banks in the banking sector. Commercial banks that belong to a financial conglomerate were more profitable than other banks in the banking sectors in the Visegrad countries.
Keywords: return on assets; return on equity; net interest margin; cost to income ratio; banking sector; financial conglomerate; propensity score matching; Visegrad countries.
The role of Entrepreneurial Orientation in intervening the relationship between Social Media Usage and Performance Enhancement of exporter SMEs in Indonesia
by YONG DIRGIATMO, Zarifa Abdullah, Raja Haslinda Raja Mohd Ali
Abstract: The purpose of this paper is to investigate whether the entrepreneurial orientation (EO) provides a mediation effect on the relationship between the use of social media and both financial and non financial performance enhancement of exporter SMEs in Indonesia. The EO refers to the three dimensions initiated by Miller (1983), namely Innovation, risk-taking, and pro-activeness. While the use of social media by SMEs related to marketing support, customer relations and information accessibility (Parveen et al., 2016). A quantitative approach is used for 75 exporter SMEs located in Central Java Province, Indonesia. Data is collected through direct interview by 8 surveyors. The findings showed that only innovativeness provides mediation effect on the relationship between social media usage and exporter SMEs performance, both financially and non-financially. The implications of these findings indicate that by creative and innovative design, Indonesian SME products have been accepted and capable to compete in the international market.
Keywords: Exporter SMEs; social media; entrepreneurial orientation; firm performance.
Empirical analysis of export performance and economic growth: the case of Macedonia
by Darko Lazarov
Abstract: The main aim of the paper is to investigate the export structure of Macedonian economy at product level and to analyse the impact of export sophistication on economic growth. The results show that Macedonian export has recorded a significant positive trend in the last two decades, but the export structure is still highly concentrated (the top 10 products have nearly half of the total countrys export) and it is composed from products with relatively low complexity level (garments, basic metals, agricultural products). Additionally, the estimated results based on vector autoregression (VAR) model and Granger causality test demonstrate positive and statistically significant causal relationship between export sophistication and economic growth for the period 1995
Keywords: Economic growth; export sophistication; VAR model; Republic of Macedonia.
Special Issue on: Exploring Socio-Economic Dimensions of Business Strategies Interdisciplinary Approaches
Growth and business development: promoting new talent within SME fashion design and adding value to the economy in Bangladesh - characteristics, opportunities and barriers to growth
by Lynne Hammond, Saiqa Anne Qureshi, Maher Anjum
Special Issue on: Interdisciplinary Research on International Market Strategies and Performance
Performance evaluation of Philippine mutual funds via the Modigliani and Modigliani measure
by Catherine Kalayaan S. Almonte
Are food prices affected by crude oil price: causality investigation
by Saleh Mothana Obadi, Matej Korček
The current assessment of foreign direct investment in the Middle East and North African Region
by Ritab Al-Khouri