International Journal of Trade and Global Markets (5 papers in press)

Regular Issues

• Dynamic linkages between operational activities and financial performance in Indonesia's railway sector company: PT KAI (Persero)  
  by Didiek Hartantyo, Wimboh Santoso, Djoko Suhardjanto, Irwan Trinugroho 
  Abstract: We aim to investigate the specific operational activities that influence the financial performance of the natural monopoly railway company in Indonesia, namely PT KAI (Persero). We use the vector error correction model (VECM) method to estimate an econometric model using the monthly data from PT KAI (Persero)'s financial report from 2014 to 2023. Our results confirm the principal-agent and X-inefficiency within the company. We found that service management has a long-term relationship with financial performance. We also found that in the short-term, firm size and service management have one-directional relationships with financial performance. Based on these findings, policymakers need to invest in service quality, customer satisfaction, and resource management. It is also important to create competitive incentives and performance-based regulatory frameworks to reduce inefficiencies caused by monopolies and encourage sustainable financial performance in state-owned enterprises.
  Keywords: operational activities; financial performance; railways; VECM; vector error correction model.
  DOI: 10.1504/IJTGM.2026.10080212
   
  
• Foreign direct investment, technological, employment generation and economic growth: new evidence from India  
  by Ravinder Verma, Vandana Arya, Poonam Arya 
  Abstract: This study assesses the moderating effect of technology on repercussions of foreign direct investment (FDI) and domestic investment on economic development and employment in India. The study used annual data from 1991 to 2022 from the WDI. The ARDL approach is applied to observe the long-run cointegrating relation between the variables. The findings of the ARDL bound test reveal that the series are cointegrated in the long run and economic growth is significantly impacted by trade, technology, FDI and domestic investment. Furthermore, whereas domestic investment has short-term negative effects on economic growth, the initial lag values of employment, technology, trade openness, and FDI have large positive effects on growth. Likewise, the interaction effect of FDI and technology has a favourable but negligible long-term impact. The results designate that FDI combined with technology spillovers has a more beneficial impact on India's economy and generates employment more favourable.
  Keywords: FDI; foreign direct investment; ARDL; domestic investment; technology; spillover.
  DOI: 10.1504/IJTGM.2026.10079356
   
  
• Colombia and the CPTPP: a general equilibrium counterfactual of exclusion vs. accession  
  by Daniel Gómez Abella, Catherine Pereira Villa 
  Abstract: This study evaluates the macroeconomic, sectoral, and bilateral trade effects of Colombia's potential accession to the comprehensive and progressive agreement for trans-pacific partnership (CPTPP). While Chile, Mexico, and Peru - Colombia's Pacific Alliance partners - are already members, Colombia remains outside the bloc, raising concerns about preference erosion in the Asia-Pacific region. Using a computable general equilibrium (CGE) model calibrated to the GTAP 11 database, the analysis compares two long-run counterfactual scenarios: CPTPP implementation without Colombia and Colombia's accession to the agreement. The results indicate that exclusion leads to modest declines in exports, output, and welfare due to adverse terms-of-trade effects and resource reallocation toward CPTPP members. In contrast, accession generates substantial gains, including export growth of 4.8%, import expansion of 6.2%, a 1.8% increase in real GDP, and welfare gains of US$5.4 billion. Sectoral effects are broad-based and concentrated in manufacturing and agro-industrial activities.
  Keywords: CGE; computable general equilibrium; global trade analysis project; GTAP; CPTPP; comprehensive and progressive agreement for transpacific partnership; Colombia; trade agreements.
  DOI: 10.1504/IJTGM.2026.10078997
   
  
• The role of hedonic emotions, perceived quality, and product interest in driving perceived status symbol: a stimulus-organism-response approach  
  by Pranay Verma 
  Abstract: This study examines whether individuals perceive decorative rope lights as a status symbol and explores the antecedents influencing such perceived status. Data were collected through surveys conducted among Indian consumers regarding their animosity toward Chinese products. The structural model was analysed using structural equation modelling (SEM), while moderation effects were examined through the PROCESS model. The findings reveal that product interest, perceived product quality, and hedonic emotions jointly act as significant stimuli in developing consumers' perceived status associated with the product. Furthermore, the interaction between low war animosity and high individualism significantly strengthens the relationship between perceived status and repurchase intention. The study contributes to the marketing literature by integrating hedonic emotions, product interest, and product quality within the Stimulus-Organism-Response framework to explain consumers' perception of status symbols. Additionally, it incorporates the perspectives of war animosity and individualism to provide a more comprehensive understanding of consumer behaviour in emerging markets.
  Keywords: war animosity; individualism; hedonic emotions; perceived status symbol (PSS).
  DOI: 10.1504/IJTGM.2026.10079879
   
  
• Do market microstructure dynamics asymmetrically influence Indonesia's Islamic stocks before and during COVID-19? A panel NARDL analysis  
  by Muhammad Rizal, M. Shabri Abd. Majid, Said Musnadi, A. Sakir 
  Abstract: This study analyses whether market maker inventory activity and trading volume generate asymmetric responses in Indonesian Islamic stock prices before and during the COVID-19 pandemic. Using a panel nonlinear autoregressive distributed lag (PNARDL) model and daily transaction data comprising 3480 stock-day observations from 30 Sharia-compliant stocks, the analysis captures both short- and long-term nonlinear price adjustments. Results reveal statistically significant asymmetries: negative shocks to inventory levels and trading volumes have a disproportionately greater adverse impact on stock prices than equivalent positive shocks. Additionally, the observed COVID-19 outbreak window of April-June 2020 is associated with sharper price declines, reflecting heightened market uncertainty and behavioural shifts among investors. These findings extend the literature on market microstructure by showing that liquidity-driven trading activities can asymmetrically influence asset prices, especially in emerging Islamic markets lacking formal market-making frameworks. The study offers practical insights for portfolio diversification, risk management, and regulatory policy in times of financial instability.
  Keywords: COVID-19; Islamic stock price dynamics; market maker inventory; market uncertainty; trading volume.
  DOI: 10.1504/IJTGM.2026.10080031