International Journal of Business and Emerging Markets (7 papers in press)
Causality between Total Factor Productivity and Economic Growth in Mexico, Indonesia, Nigeria and Turkey: A Comparative Analysis
by Tolulope Osinubi
Abstract: The study examines the direction of causality between total factor productivity and economic growth in Mexico, Indonesia, Nigeria and Turkey from 1961 to 2017. Data on Total Factor Productivity and Real Gross Domestic Product are gathered from the Penn World Table, Version 9.1 as proposed by Feenstra, Inklaar and Timmer (2015). The study employs the Granger Causality Test to analyze the collected data. The results show that there is a unidirectional causality that runs from productivity growth to economic growth in Nigeria and from economic growth to productivity growth in Mexico and Indonesia. Contrarily, there is no evidence of causality running either way between economic growth and productivity growth in Turkey.
Keywords: Total Factor Productivity; Economic Growth; MINT countries; Granger Causality Test.
BEYOND MARKET STRATEGIES: POLITICAL AND SOCIAL DYNAMICS OF FIRM STRATEGY AND PERFORMANCE IN SUB-SAHARAN AFRICA
by John Parnell, Edwin Mensah, Derek Oppong
Abstract: This paper investigates factors associated with strategic capabilities, market and non-market strategies (NMS), and performance in Ghana. SmartPLS was utilised to analyse 166 middle and top managers in the Accra-Tema district. Two distinct capability-strategy 'paths' to firm performance were identified. Financial performance was driven by technology and marketing capabilities, cost leadership, and political NMS, while non-financial performance was driven by management and marketing capabilities, differentiation, and social NMS. A firms political involvement leveraged by cost controls and technology improved financial outcomes, while social engagement influenced only non-financial results.
Keywords: Ghana; strategic capabilities; corporate political analysis; competitive strategy; nonmarket strategy; strategic political management; performance.
Financial Leverage and corporate performance: Does the duration of the Debt Ratio Matters?
by Prince Gyimah, Yakubu Abdul-Razak, Kingsley Opoku Appiah
Abstract: This paper examines the relationship between financial leverage and performance of listed firms in an emerging market, Ghana. Specifically, we examine the link between short-term, long-term and total debts on performance. We use data of 190 firm-year observations from 19 listed firms over a period of ten years (2005-2014). Fixed and random effects regression models are used to examine the financial leverage-corporate performance nexus. The result shows that total debt to total assets is negatively related to accounting and market performance. Short-term debt to total assets is also negatively related to return on assets and Tobin's Q but not return on equity. The long-term debt to total assets is negative and insignificantly related to corporate performance. Our contribution is that; short-term debt diminishes shareholder value in the developing economy context.
Keywords: Capital structure; shareholder value; short term debt; long term debt; total debt; Ghana Stock Exchange (GSE).
What Factors Determine PE/VC Investment Decisions in China? An Empirical Study
by Yanbin Tu, Xubo Zhang, Ke Zhong
Abstract: In this study, we investigate the factors that potentially impact PE/VC investment decisions in China during 2002 to 2012. We find that regional economic policy, regional resource condition, targeted enterprise's management and marketing capacity, and withdrawal expectation are the factors that substantially determine PE/VC investment decisions in China. The findings suggest that local governments could play an important role in promoting PE/VC investments. They also suggest that the targeted enterprise can attract PE/VC investments by building a solid management team and boosting its marketing capacity. The withdrawal expectation plays an important role in PE/VC investment decision making as both an independent and an intermediate variable. A high withdrawal expectation rate stimulates more PE/VC investments. Joint efforts of regional government, targeted enterprises, and PE/VC investment firms can help to build a promising withdrawal prospect.
Keywords: PE/VC Investment; Regional Economic Policy; Regional Resource; Enterprises Management; Market Capacity; PE/VC Withdrawal Expectation.
Special Issue on: Business Models in a Digital Age Balancing Competitive and Collaborative Forces
Bridging the Divide with a Chat Window: Why Consumers Prefer Using Live Chat Support on Foreign E-Commerce Sites
by Daniel Brannon, Muhanad Manshad
Abstract: In the present research, we investigate how consumers using a foreign (vs. domestic) e-commerce site (e.g., Alibaba.com, JD.com) prefer to communicate with customer service agents on that site. Our results suggest that consumers using a foreign (vs. domestic) site prefer to communicate with service agents on computer-mediated channels, such as live chat, instead of more traditional and direct channels, such as phone. Driving this effect, consumers on foreign sites have lower expectations of their ability to communicate with service agents. Further, we explore individual differences in uncertainty avoidance as a moderator of this basic effect. Our research contributes to existing literature by looking at the benefits of computer-mediated environments in the context of cross-cultural service encounters.
Keywords: computer-mediated environments; live chat; customer service; cultural congruence.
Gender Differences in Entrepreneurial Attitudes and Intentions: The Case of Brand Dubai
by Gouher Ahmed
Abstract: In this age of economic development and growth, entrepreneurship is regarded as an important factor for the promotion of economic growth, employment, social welfare in gender justice. This study is a study of entrepreneurial intentions of men and women in the developing Emirate of Dubai in the United Arab Emirates, which has special consideration for women, with the help of a sample of women and men numbering 476. Entrepreneurship replete with a number of factors of entrepreneurial attributes, which however may vary over time and space and between genders. They may be universal too, which is established by this study of entrepreneurial men and women of the dynamic Dubai Emirate. Entrepreneurship is associated with risk and uncertainty, but profit is not the only intention of an entrepreneurial career, for men and women, especially the latter. As a result, the sample entrepreneurial class of women and men, emerge as the one with good attitudes of self and social, and not with the intention of just making a profit but also of creative achievement and others. Dubai is endowed by a well- motivated and well-intended, young and educated native and expatriate entrepreneurial class, which calls for policy and physical support from government and all concerned. There is practically no entrepreneurial and enterprise sickness. It is greatly Islamic entrepreneurship.
Keywords: Gender; entrepreneurial; attitudes; intentions; Dubai; UAE.
Factors that affect students' intention and use of technology: an assessment of UTAUT2 in the context of YouTube video forwarding behaviour
by Suresh Acharya, Ganesan P
Abstract: The acceptance and use of technologies such as Social networking sites is an important factor in determining their success. YouTube a Social networking Site is seeing a massive surge in India. YouTube is a very popular website among students who view videos for both fun and pleasure, as well as to seek informative content. This study seeks to understand the behaviour of students enrolled in higher education with regard to YouTube usage. The very act of forwarding content exhibits an implicit approval and credibility of the message. However, the factors affecting a users decision to accept a Social networking site like You Tube and forward the content to users on their networks have received scant attention. To address this gap, a study was undertaken using Unified Theory of Acceptance and Use of Technology 2 (UTAUT2) and testing the factors that influence students acceptance and use of You Tube after altering one of its core construct the Price Value. Also, this research addresses the question whether UTAUT2 is applicable in assessing the frequency of the forwards of videos. A convenience sampling technique was employed in this study, drawn from a population of graduate students enrolled at a Business School in city of Mysuru. Data was collected through a survey questionnaire which was completed by 165 participants. The study found a mixed support for UTAUT2. Performance expectancy, Effort expectancy, Hedonic motivation and Habit were significant determinants of Behavioural Intention. There was no significance found with the use behaviour which is operationalized as frequency of forwards of videos. Gender moderating variables had no significant influence except for Habit on behavioural intention.
Keywords: UTAUT2; You Tube; User generated content; forwarding frequency.