bluuebunny/crossref_metadata_2025 huggingface dataset:
Fair value accounting implementation challenges in South Africa
Authors: Pandya Anuradha , van Zijl Wayne , Maroun Warren
Published: February 2021

Purpose

The objective of this research is to explore the challenges being encountered when applying and implementing fair value accounting requirements, focusing specifically on the determination of fair value per International Financial Reporting Standards (IFRS) 13: Fair value measurement (IFRS 13) in the South African capital market.

Design/methodology/approach

Data are collected from 20 detailed interviews, primarily with preparers and interpretively analysed to identify how individuals internalise the requirements of IFRS 13 and the challenges associated with its application. The researchers focus specifically on South Africa because of its status as a developing economy and, at the same time, its extensive experience in applying IFRS.

Findings

South African preparers appear reluctant to change from a conventional cost-based measurement approach to one grounded in fair value. Primary concerns include the perceived usefulness of fair value accounting and its conceptual appropriateness, given its perceived de-emphasis of the traditional stewardship role of financial reporting. Related challenges to the application of IFRS 13 include concerns about the cost of determining fair value; the inherent subjectivity of fair value measures and the practical difficulty of calculating fair values when markets are not efficient or where business environments are complex and dynamic where Level 1 inputs are not widely available for all assets and liabilities. These challenges encourage preparers to choose accounting policies, which minimise the use of fair value or apply the provisions of IFRS 13 legalistically.

Research limitations/implications

Data are collected from a group of respondents from a single developing economy. Additional research on the application of IFRS 13 in other developing markets will be required to conclude on the relevance of economic, cultural and social factors for the understanding and implementation of new accounting standards by practitioners.

Practical implications

Standard setters and regulators cannot assume that new accounting standards will be interpreted and applied as intended. Even when compliance with IFRS is mandatory, preparers have considerable discretion when it comes to operationalising accounting prescriptions. Unless the challenges raised by preparers are addressed, misapplication of IFRS is likely to continue.

Originality/value

The research makes an important empirical and practical contribution by providing primary evidence on the operationalisation of IFRS 13 in a novel setting. It complements earlier research which has focused primarily on the conceptual/theoretical dimension and on American and European perspectives.
The likelihood of widespread accounting manipulation within an emerging economy
Authors: Nguyen Lan Anh , O'Connell Brendan , Kend Michael , Thi Pham Van Anh , Vesty Gillian
Published: February 2021

Purpose

The study explores accountants' views of the likelihood of widespread accounting manipulation in the emerging economy, Vietnam. Applying the fraud triangle framework, we examine accountants' responses to management pressure, manipulation opportunities and perceptions of how they rationalize their decisions.

Design/methodology/approach

The study uses an experimental methodology involving 592 Vietnamese accountants as participants. Post-experiment field interviews were conducted with eight highly experienced accountants.

Findings

Our findings indicate that accounting manipulation is perceived to be common in Vietnam. The findings reveal that there is no differentiation between manipulation of accounting transactions with or without management pressure and no differentiation between collective gain or individual gain.

Research limitations/implications

While the study focused on accountants' perceptions of accounting manipulation, these views may change over time. The impact of law reforms and the potential for prosecution under the force of law provisions could alter these perceptions.

Practical implications

The study findings alert regulators, government authorities and auditors of the perceptions and views in relation to accounting manipulation and the potential for fraud in Vietnam. Auditors could use help from forensic specialists to uncover unethical behaviors identified in this study.

Originality/value

The fraud triangle framework is used to shed light on fraud through the examination of accounting manipulation in Vietnam. We contribute to the relevant accounting literature with insights into accountants' motivations toward conducting questionable accounting transactions. The contributions we make draw attention to preconceptions of Asian societies; in particular, accounting actions to motivate collectivist gains. While we shed further light on fraudulent accounting, we conclude that the fraud triangle framework does not necessarily articulate fraud well in relation to accounting manipulation in emerging economies.
The accountability process during the centrality of state institutional logics: a case from an African rural context
Authors: Diab Ahmed
Published: February 2021

Purpose

This study investigates state institutions' influence on corporate accountability and control practices in a rural African context. Exploring the different rationales behind state existence in the context of sugar production in Egypt, this work clarifies how accountability is practised differently in the case of the high centrality of state logics in the business sector.

Design/methodology/approach

Theoretically, the study draws insights from the institutional logics perspective. Following the case study approach, data are collected through interviews, observations and documents.

Findings

The study found that state institutions can play a supportive rather than a mere constraining role in the management, accountability and control processes. Notably, it clarified how state-related institutions were highly central and influential in a way that enabled them to curb the (negative) influences of the community and business institutions. In this context, it is social – rather than functional – accountability which emerges as the central control practice to achieve answerability and enforcement.

Originality/value

Thus, this study's reported findings confirm the role of institutional (political) logics as supportive in society.
How firms' performance mediates the relationship between corporate governance quality and earnings quality?
Authors: Elzahaby Mohammed Adel
Published: February 2021

Purpose

The purpose of this study is to propose an analytical model that investigates both a direct path between corporate governance quality and earnings quality and an indirect path, in which firms' performance is a mediating variable that is influenced by corporate governance quality and that, in turn, influences earnings quality.

Design/methodology/approach

The study employs a structural equation modelling (SEM), to a sample of Egyptian listed firms during 2011–2017, to test the proposed analytical model and to determine the relative importance of both the direct and indirect paths.

Findings

The findings show a statistically significant evidence of both a direct path from corporate governance quality to earnings quality, and an indirect path that is mediated by firms' performance, suggesting that both corporate governance quality and performance have a complementary effect on earnings quality. However, the weight of the evidence favouring the direct path is more important in case of accounting-based performance measures; and the weight of the evidence favouring the indirect path is more important in case of market-based performance measures.

Research limitations/implications

The current study has some limitations. First, the study focuses specifically on one proxy for measuring earnings quality which is the absolute value of discretionary accruals. Other proxies of earnings quality could be examined in future research, such as income smoothing, earnings persistence and timely loss recognition. Another limitation is that only financial performance measures were examined, namely, return on assets, return on equity, price-to-earnings ratio and market-to-book value. Notwithstanding, non-financial performance measures could be investigated in future studies, such as balanced scorecard (BSC). Furthermore, considering cultural, political and legislative differences among countries, the results may not be generalised outside the scope of the current sample (i.e. Egyptian listed firms).

Practical implications

The implications of the findings for both theory and practice are discussed.

Originality/value

This study is distinguished by validating an analytical model that has been overlooked by prior studies. Moreover, it provides a new constructed index for measuring corporate governance quality. Furthermore, it uses a new sophisticated statistical technique, which is SEM, for testing the proposed model.
Evaluating demand forecasting models using multi-criteria decision-making approach
Authors: Badulescu Yvonne , Hameri Ari-Pekka , Cheikhrouhou Naoufel
Published: February 2021

Purpose

Demand forecasting models in companies are often a mix of quantitative models and qualitative methods. As there are so many existing forecasting approaches, many forecasters have difficulty in deciding on which model to select as they may perform “best” in a specific error measure, and not in another. Currently, there is no approach that evaluates different model classes and several interdependent error measures simultaneously, making forecasting model selection particularly difficult when error measures yield conflicting results.

Design/methodology/approach

This paper proposes a novel procedure of multi-criteria evaluation of demand forecasting models, simultaneously considering several error measures and their interdependencies based on a two-stage multi-criteria decision-making approach. Analytical Network Process combined with the Technique for Order of Preference by Similarity to Ideal Solution (ANP-TOPSIS) is developed, evaluated and validated through an implementation case of a plastic bag manufacturer.

Findings

The results show that the approach identifies the best forecasting model when considering many error measures, even in the presence of conflicting error measures. Furthermore, considering the interdependence between error measures is essential to determine their relative importance for the final ranking calculation.

Originality/value

The paper's contribution is a novel multi-criteria approach to evaluate multiclass demand forecasting models and select the best model, considering several interdependent error measures simultaneously, which is lacking in the literature. The work helps structuring decision making in forecasting and avoiding the selection of inappropriate or “worse” forecasting model.
Gender-related discourses in corporate annual reports: an exploratory study on the Bangladeshi companies
Authors: Hossain Dewan Mahboob , Alam Md. Saiful , Mazumder Mohammed Mehadi Masud , Amin Al
Published: February 2021

Purpose

The purpose of this study is to explore the gender-related discourses in the annual reports of the listed companies in Bangladesh.

Design/methodology/approach

To fulfill this objective, a sociological discourse analysis (SDA) of the gender-related texts in the annual reports of Bangladeshi companies (listed in the Dhaka Stock Exchange) was conducted. Sandberg and Holmlund’s (2015) organizational impression management tactics (description, praise, admission, defense and writing styles) was applied as the analytical framework of SDA. The findings of the study were interpreted from a triangulation of two different theories: legitimacy theory and impression management theory.

Findings

The study suggests that the companies in Bangladesh are disclosing gender-related information to a limited extent. They provide some information in relation to equal opportunities, business activities targeted to women and corporate contribution to women’s welfare. Most of these gender-related discourses are rhetorical in nature. The companies used various impression management tactics such as description, praise, positive writing style, vague writing style and emotional writing style.

Research limitations/implications

This study is exploratory in nature and focuses on cross-sectional data. Thus, it does not identify the trend of corporate gender reporting over the years.

Practical implications

At the policy level, the findings revealed a need for reporting guidelines for gender narratives. Although there is a global gender reporting guideline as proposed under global reporting initiative, there is no local guideline in Bangladesh. Our findings suggest that in the absence of proper directives, companies presented facts and figures rhetorically and qualitatively.

Social implications

Our findings provide valuable insights for the companies in assisting the Government of Bangladesh to deal with the prevailing gender inequality and achieved gender-related sustainable development goals. It is argued that the government should take more interest in corporate social responsibility activities (such as promoting gender equality) and introduce legislation and guidelines for social accounting.

Originality/value

This is one of the very few studies that illustrate the corporate gender reporting of a developing economy – Bangladesh. To make a unique contribution to corporate gender disclosure, the study has drawn its analysis from a triangulation of the impression management and the legitimacy perspectives. Also, the use of SDA for annual report analysis has informed the readers about “how” the corporate narratives are presented in the annual reports rather than “what” issues are disclosed as commonly done in content analysis.
Risk-based management control resistance in a context of institutional complexity: evidence from an emerging economy
Authors: Metwally Abdelmoneim Bahyeldin Mohamed , Diab Ahmed
Published: February 2021

Purpose

The purpose of this study is to examine the impact of competing logics on the implementation of risk-based management controls (RBMC) by providing evidence of resistance due to competing logics. Moreover, the study proposes solutions to logic contestation. These solutions may help the company override logic complexity.

Design/methodology/approach

This study draws upon the theory of institutional logics. It adopts an interpretative qualitative research approach and uses the case study method. Data were collected from one of the biggest private sector insurance companies in Egypt through a triangulation of interviews, observations and documents.

Findings

We found that internalised and institutionalised roles and structures – represented by the incumbent corporate and community-related sets of logics – compete and disrupt the emerging enterprise risk management and RBMCs. The newly imposed RBMCs produced heterogenic practices that changed the means of controls at the case company. However, this change was faced by resistance from local employees, as it represented a challenge to the prevailing cultural symbols and norms in their traditional work environment.

Originality/value

This study contributes to the literature by offering new evidence on resistance to Western risk-based management control projects applied in emerging markets. Moreover, it extends the cultural political economy of management accounting and control by illustrating that management accounting in emerging markets is also an operational manifestation of culture, community and location.
How do contingency factors influence the content of balanced scorecards? An empirical study of French intermediate-sized enterprises
Authors: Bouamama Mohamed , Basly Sami , Zian Houda
Published: February 2021

Purpose

Notwithstanding a number of studies that led to the development of different performance measurement systems incorporating contingency factors, very scarce research on the variety of balanced scorecards (BSCs) indicators used in performance management were carried out in France. Accordingly, the purpose of this paper is to investigate if there is a significant relationship between contingency factors and the content of balanced scorecards in terms of the degree of use and a variety of performance indicators.

Design/methodology/approach

In total, 2,580 French intermediate-sized enterprises (ISE) were identified through the Diane Database (Bureau Van Dijck) then contacted by the means of a survey questionnaire that was built online using LimeSurvey software. This study receives 156 complete and usable responses. The research model was tested through multiple regressions and multi-group analyses.

Findings

The results show that ISEs financial managers do not use, to the same extent, all the indicators constituting the four dimensions of BSCs. Therefore, BSCs implemented by French ISEs can be described as “unbalanced”. Furthermore, three contingency factors (computerization, decentralization and market listing) were found to be significantly associated with the variety and degree of use of performance indicators in balanced scorecards. The remaining contingency and control factors did not seem to influence the degree of use and variety of BSCs content.

Practical implications

The findings highlight the importance of developing tools that have the potential to evolve in line with organizational, environmental and technological changes. Furthermore, this paper provides food for thought for financial directors and management controllers as to how to better meet senior management, managers and operational staff information needs.

Originality/value

While there is scarce academic work on BSCs in ISEs, the present research is, to the best of the knowledge, one of the rarest to apply and test a contingency approach on a sample of ISEs.
Impact of external auditor–cloud specialist engagement on cloud auditing challenges
Authors: Taha Alaa A.D. , Ramo Waheed , Alkhaffaf Haetham H. Kasem
Published: February 2021

Purpose

This study aims to investigate the impact of external auditor–cloud specialist engagement on cloud auditing challenges from the perspective of auditors from the Association of Certified Public Accountants in a developing country as an example of Middle East emerging economies.

Design/methodology/approach

A quantitative research design was used to assess the influence of external auditor–cloud specialist engagement on three main cloud auditing challenges (i.e. technology security, regulatory standards and strategy). Data collection was conducted through field and online surveys. A total of 201 (181 male and 20 female) auditors made up a sample of a developing country’s economy. In addition, structural equation modelling was performed to test the proposed hypotheses of the study’s conceptual model.

Findings

The study found a significant effect of external auditor–cloud specialist engagement on overcoming the challenges of cloud auditing. Results showed that using IT specialists helps overcome strategic challenges more than other kinds of challenges, such as technology security and organisational standards.

Practical implications

The findings suggest that efforts to promote cloud auditing in organisations may succeed if the focus is on overcoming cloud auditing challenges and highlighting the external auditor–cloud specialist engagement to enhance job performance.

Originality/value

This study is one of the few studies that analyse the impact of external auditor–cloud specialist engagement on cloud auditing challenges by adopting a quantitative approach from the perspective of auditors from the Iraqi Association of Certified Public Accountants.
Persistent but adaptable – the path dependent development of German cost accounting
Authors: Weber Juergen , Wiegmann Leona
Published: February 2021

Purpose

This paper aims to investigate how and why German cost accounting prevails and develops in German multinational organisations despite the various indications in the literature that it will converge towards an anglophone system over time. To analyse this, the authors draw on the ideas of professional practices (Jarzabkowski et al., 2016) and their path dependency (Schreyögg and Sydow, 2011) as a method theory.

Design/methodology/approach

The authors deploy an exploratory method using multiple case studies to determine similarities and differences between organisations concerning how cost accounting practices developed over time. They conducted interviews with cost accountants, group controllers and managers of German multinational organisations as well as experts from higher education institutions and consultancies.

Findings

This paper shows the path-dependent development of German cost accounting. It identifies self-reinforcing learning and complementary effects that seem to make it inefficient for organisations to deviate from the learned path as well as economic and normative pressures that affect the design of cost accounting systems.

Originality/value

By considering German cost accounting a path-dependent professional practice, this paper illustrates how and why the core of German cost accounting prevails, although organisations make adjustments within the existing structures to respond to the pressures they face. This paper hereby highlights the role of cost accountants in defining (and consequently bringing about or preventing changes to) the design of cost accounting systems.
Marketing capabilities for small and medium enterprises that supply large companies
Authors: Mainardes Emerson Wagner , Cisneiros Gabriela Pessoa de Oliveira , Macedo Carlos Jorge Taborda , Durans Amilson de Araujo
Published: February 2021

Purpose

The purpose of this study is to examine the effect of marketing capabilities on market orientation and sustained competitive advantage from the viewpoint of managers of small and medium-sized enterprises (SMEs) that supply large companies. This paper also analyzes the moderating role of exposure to external turbulence in the relationship between marketing capabilities and sustained competitive advantage, and between marketing capabilities and market orientation for SMEs.

Design/methodology/approach

Based on the literature, this study develops a model to verify the proposed relationships. An online questionnaire collected data from 423 managers of SMEs that supply large companies to test the model. This paper analyzes the proposed model using structural equation modeling with partial least squares.

Findings

According to the surveyed managers, marketing capabilities tend to play a significant role in the market orientation and perceived sustained competitive advantage of SMEs that supply large companies. Better-developed marketing capabilities can strengthen the market orientation of SMEs, helping to achieve and maintain a sustained competitive advantage. They will, thus, attract more clients and minimize their risk, regardless of the environment in which they operate.

Research limitations/implications

This research contributes to marketing theory by highlighting the marketing capabilities of SMEs that supply large companies and demonstrating the importance of such capabilities for their survival.

Originality/value

The study investigated the views of the SME managers that supply large companies about their company’s marketing capabilities. Traditionally, these companies have had little concern for marketing. This research focuses on an emerging market, that is not usually addressed.
The impact of COVID-19 on the standard & poor 500 index sectors: a multivariate generalized autoregressive conditional heteroscedasticity model
Authors: Elhini Maha , Hammam Rasha
Published: February 2021

Purpose

This paper aims to examine the impact of the daily growth rate of COVID-19 cases in the USA (COVIDg), the Federal Fund Rate (FFR) and the trade-weighted US dollar index (USDX) on S&P500 index daily returns and its 11 constituent sectors’ indices for the time period between January 22, 2020, until June 30, 2020.

Design/methodology/approach

The study uses the multivariate generalized autoregressive conditional heteroscedasticity (MGARCH) model to gauge the impacts over the whole period of study, as well as over two sub-periods; first, January 22, 2020, until March 30, 2020, reflecting uncertainty in the US markets and second, from April 1, 2020, until June 30, 2020, reflecting the lockdown.

Findings

Results of the MGARCH model reveal a negative and significant relation between COVIDg and S&P500 index daily returns over the first sub-period and the whole study period in the following sectors, namely, communications, consumer discretionary, consumer staples, health, technology and materials. Yet, COVIDg showed a positive and significant relation with S&P500 index daily returns during the second time period in the following sectors, namely, communication, consumer discretionary, financial, industrial, information technology (IT) and utilities. Besides, USDX showed a negative significant effect on S&P500 index daily returns and on the daily return on each of its 11 constituent sectors over the second sub-period and the whole period. Further, FFR showed a significant effect only in the second sub-period, specifically, a negative effect on the daily return of the financial sector and a positive effect on the daily return of the technology sector index. Nevertheless, FFR had a positive significant effect on the daily return of the utilities sector index for the whole period under study.

Research limitations/implications

The impact of the crisis on the S&P500 index can be assessed only with some limitations owing to available global data and the limited time frame of the lock-down.

Practical implications

The study proposes supporting a smooth, functioning and resilient financial system; increasing fiscal measures by the US Government to increase liquidity on constraints; measures by The Federal Reserve to alleviate US dollar funding shortages; support market integrity; ensure continuous transparency and sharing of information; support the health sector, as well as consumer-based sectors that faced demand shocks and facilitate investments in the technology sector.

Originality/value

The originality of this paper lies in the examination of the impact of the novel COVID-19 pandemic on each of the 11 sectors constituting the S&P500 index separately, reflecting how the main economic sectors formulating the US economy reacted to the shock during the peak time of the pandemic to observe a full picture of the economic consequences amid the pandemic.
Ambient temperature as a moderator of the reactive criminal thinking – violent offending relationship: a multilevel analysis
Authors: Walters Glenn D.
Published: February 2021

Purpose

This study aims to investigate the potential moderating effect of the average annual ambient temperature in 24 European countries on the relationship between criminal thinking (reactive vs proactive) and juvenile offending (violent vs property).

Design/methodology/approach

The average annual ambient temperatures found in 24 European countries were correlated with measures of reactive vs proactive criminal thinking and violent vs property offending in 56,518 students (50.4% female) from the second International Self-Reported Delinquency Study. These data were analyzed using a multilevel model comprising three Level 1 (student) predictors – age, sex and family structure – one Level 2 (country) predictor – ambient temperature – and two outcome measures – a reactive: proactive criminal thinking index (RPI) and a violent: property offending index (VPI).

Findings

The RPI and VPI correlated significantly with the Level 1 predictors, and the annual ambient temperatures from these 24 countries (Level 2 predictor) correlated positively with RPI and VPI and moderated the effect of reactive criminal thinking (RCT) on violent offending.

Practical implications

These findings indicate that ambient temperature correlates with violent/aggressive offending after the effects of property/non-aggressive offending have been controlled and suggest that ambient temperature may moderate the relationship between RCT and violent offending by affecting the decision-making process.

Originality/value

The contribution made by this study to the literature is that it illustrates how a macro-level influence in the form of average annual temperature can impact on micro-level processes in the form of criminal thinking and violent behavior.
Locus of control and entrepreneurial intention: a study in a developing economy
Authors: Arkorful Helen , Hilton Sam Kris
Published: February 2021

Purpose

The purpose of this study is to investigate the influence of locus of control (internal and external) on entrepreneurial intention of final year undergraduate students in Ghana.

Design/methodology/approach

The study adopts descriptive and cross-sectional survey designs. It also employs quantitative approach to collect the data from 300 final year undergraduate students in selected universities in Ghana. The data were analyzed using descriptive statistics, correlation and hierarchical regression techniques.

Findings

The results reveal that there is a positive relationship between locus of control (both internal and external) and entrepreneurial intention. However, it is found that external locus of control has more influence on entrepreneurial intention compared to internal locus of control. In addition, gender has no controlling effect on the relationship between locus of control and entrepreneurial intention.

Practical implications

The findings imply that entrepreneurial course contents should include topics on locus of control that will expose the students to the reality of their environments so as to learn how to take control and create opportunities out of their environments. Again, students should be encouraged and educated on how to build up personality traits such as the need for achievement, innovativeness and risk-taking, since these traits have direct impact on their locus of control which in turn impacts on their entrepreneurial intentions.

Originality/value

This study contributes to entrepreneurship literature by investigating determinants of entrepreneurial intention from a different perspective, and reveals that individuals (regardless of their gender) with external locus of control are more likely to become entrepreneurs in a developing economy.
The evolving path of CSR: toward business and society relationship
Authors: Singh Kuldeep , Misra Madhvendra
Published: February 2021

Purpose

This paper takes a critical look at the meaning of corporate social responsibility (CSR) based on the available literature on the subject matter. As CSR is an evolving concept both in meaning and practice, this study aims to highlight CSR actions of the world's six largest organizations (Google, Twitter, Amazon, Apple, ExxonMobil and Walmart). The purpose of choosing these organizations and their CSR adoption was to examine the business-society relationship and the role of key stakeholders in establishing this association.

Design/methodology/approach

This study examined CSR through the case study approach and provides valuable insights by showing that CSR is a connecting link between business and society. Specifically, the authors took a crucial look at various contentious, often ambiguous definitions, theoretical framework, brief historical development, issues and controversies surrounding it, the role of CSR in community development and summing it up with the future direction and managerial implications.

Findings

This study observed that there are some developmental strategies taking place today which are relevant to the issue at stake, such as: contributing to the world economy, corporations donating or engaging in a wide range of philanthropic gestures now than ever and contributing to the beauty of the society by meeting rising community expectations.

Originality/value

By analyzing the worlds' 6 largest companies' CSR initiatives, this study provides valuable insights by showing that CSR is a connecting link between business and society and is based on win-win collaborations between civil society, business, investors and government. These companies' CSR initiatives have been mostly unexplored in past studies.
The role of finance in inclusive human development in Africa revisited
Authors: Asongu Simplice , Nting Rexon
Published: February 2021

Purpose

This study aims to investigate the direct and indirect linkages between financial development and inclusive human development in African countries.

Design/methodology/approach

The study employs a battery of estimation techniques, notably: two-stage least squares, fixed effects, generalized method of moments and Tobit regressions. The dependent variable is the inequality adjusted human development index. All dimensions of the Financial Development and Structure Database of the World Bank are considered.

Findings

The main finding is that financial dynamics of depth, activity and size improve inclusive human development, whereas the inability of banks to transform mobilized deposits into credit for financial access negatively affects inclusive human development.

Practical implications

Policies should be tailored to improve mechanisms by which credit facilities can be provided to both households and business operators. Surplus liquidity issues resulting from the inability of banks to transform mobilized deposits into credit can be resolved by enhancing the introduction of information sharing offices (like public credit registries and private credit bureaus) that would reduce information asymmetry between lenders and borrowers.

Originality/value

This study complements the extant literature by assessing the nexus between financial development and inclusive human development in Africa.
Examining network characteristic dynamics of kinship-based families on performance within Indonesian SMEs
Authors: Manik Hardo Firmana Given Grace , Indarti Nurul , Lukito-Budi Andy Susilo
Published: February 2021

Purpose

This study aims to examine the moderating effect of firm age and size on the relationship between network characteristics (network centrality, network density and tie strength) and firm performance. This study also aims to investigate the difference in the effect of network characteristics on the firm performance of Javanese and Minang ethnic enterprises.

Design/methodology/approach

An explanatory research design was adopted, which involved a survey in the form of a structured questionnaire of target owners and managers of 34 Javanese ethnic enterprises in North Sumatra, Indonesia and 100 Minang ethnic enterprises in Yogyakarta, Central Java, Jakarta and Bogor, Indonesia. The data is analysed using structural equation modelling.

Findings

The findings of this study confirm resource dependency and social capital theory. Network centrality, network density and tie strength have a significant effect on firm performance. The results also show support for the moderating role of firm age on the relationship between network characteristics and firm performance. The moderating role of firm size is not supported. The comparative test of the influence of the three network characteristics on ethnic enterprise performance confirms that Javanese ethnic enterprises have identity-based networks, while Minang ethnic enterprises use calculative-based networks.

Originality/value

The originality of this study lies in the investigation of the role of family and external partners in the running of ethnic enterprises at start-up and during the growth phase. The definition of “family” is based on a kinship perspective due to the specificity of Asian cultures, particularly in Indonesia. Of the hundreds of tribes in Indonesia, the Javanese and Minang were chosen because both are well-known as entrepreneurial tribes, have unique cultural values and have active migrants to other provinces.
Special economic zones and liberalization avalanches
Authors: Moberg Lotta , Tarko Vlad
Published: February 2021

Purpose

The purpose of this study is to show under what conditions a special economic zone will succeed at spurring development and at sparking broader liberalization.

Design/methodology/approach

The authors use a combination of formal modeling and case studies.

Findings

Most special economic zones fail because of rent-seeking. Successful zones create positive economic and political externalities to other regions. Credible reforms are associated with turning the opposition to the zones into supporters, as a consequence to the positive externalities.

Originality/value

The authors add heterogeneity to the model of political elite dynamics, which leads to significant enhancements of the model and removes the pro-centralization bias of the Blanchard and Shleifer's (2001) model. They also criticize Weingast's federalism model as applied to China. Success of China is explained by a different mechanism, which we put forth in this paper.
A new method to solve fuzzy stochastic finance problem
Authors: Dash Jayanta Kumar , Panda Sumitra , Panda Golak Bihari
Published: February 2021

Purpose

The authors discuss the value of portfolio and Black–Scholes (B–S)-option pricing model in fuzzy environment.

Design/methodology/approach

The B–S option pricing model (OPM) is an important role of an OPM in finance. Here, every decision is taken under uncertainty. Due to randomness or vagueness, these uncertainties may be random or fuzzy or both. As the drift µ, the degree of volatility s, interest rate r, strike price k and other parameters of the value of the portfolio V(t), market price S_0 (t) and call option C(t) are not known exactly, so they are treated as positive fuzzy number. Partial expectation of fuzzy log normal distribution is derived. Also the value of portfolio at any time t and the B–S OPM in fuzzy environment are derived. A numerical example of B–S OPM is illustrated.

Findings

First, the authors are studying some various paper and some stochastic books.

Originality/value

This is a new technique.
Corruption: an impediment to good governance
Authors: Salihu Habeeb Abdulrauf
Published: February 2021

Purpose

This paper aims to contribute to the body of literature that examined the consequences of corruption, particularly on good governance.

Design/methodology/approach

This paper is basically desk research. It relies on previous academic literature on corruption and governance.

Findings

This paper identifies the various ways corruption has hindered the elements of governance and highlights areas where energies towards ensuring good governance and a corruption-free society should be channelled.

Originality/value

The scope of this paper is limited to issues and literature relating to the effects of corruption on governance, particularly in developing countries.
Effective use of blockchain technology for facilities management procurement process
Authors: Gunasekara Hasni Gayathma , Sridarran Pournima , Rajaratnam Dilakshan
Published: February 2021

Purpose

Facilities management (FM) has become a revolutionary profession, which adds value to the built environment. Compared to other industries, the development of the FM industry is at a preliminary stage owing to poor adaptation of digitalisation. Although FM procurement process has improved over time, it is still complex, inefficient and challenging with the lack of digital innovations. Blockchain technology has emerged as a revolutionary digital technology under “Procurement 4.0”. The purpose of this paper is to develop a framework that enables the effective use of blockchain technology for FM procurement process.

Design/methodology/approach

Data collection using interviews was performed in two stages adopting a mono method qualitative methodological choice using case studies and survey strategies. Template analysis and content analysis techniques were used to analyse the collected data.

Findings

Through the findings, main steps in the current FM process were identified. It was revealed, manual procurement has issues related to, efficiency, data security, communication and transparency. Similarly, e-procurement systems also have issues related to data security, poor integration and transparency. FM industry has identified the requirement of transforming into an advanced digitalised technology-based procurement system. This study revealed, blockchain features to overcome these issues and the application of blockchain technology in different steps of the procurement process through the developed framework.

Originality/value

The developed framework offers a solution for the future technological transformation of FM procurement using blockchain technology.
Risk classes of patients diagnosed with substance use disorders in Dutch forensic psychiatric centers
Authors: Schmitter Michele , Vermunt Jeroen , Blaauw Eric , Bogaerts Stefan
Published: February 2021

Purpose

Given the complex association between substance use disorders (SUD), comorbid mental health problems and criminal recidivism in forensic patients, homogenous patient classes can contribute to a refined treatment. This paper aims to construct those classes in forensic patients (N = 286) diagnosed with SUD, unconditionally released between 2004 and 2013 of one of ten Dutch forensic psychiatric centers.

Design/methodology/approach

Retrospective data were derived from electronic patient files. Classes were based on the Dutch risk assessment tool, the Historisch Klinisch Toekomst-Revisie (Historical Clinical Future–Revised [HKT-R]) and identified by means of explorative Latent Class Analysis in Latent Gold version 5.1. In a three-step approach, posterior class memberships were related to external variables (i.e. diagnoses, type of drug and type of offence).

Findings

Four classes were identified that differ in the risk of recidivism, as well as Axis I and II diagnoses and type of drug consumption.

Practical implications

This study informed on the heterogeneity of forensic patients with SUD and identified four homogenous classes that differ in important variables for the treatment approach. Based on these classes, a more refined treatment approach can be developed. Possible treatment approaches are discussed, but future research is needed to provide evidence.

Originality/value

This study is the first to identify classes within forensic patients with SUD and, therefore, sets the first step to develop a tailored treatment approach based on characteristics informative for treatment.
Expatriates at the base-of-the-pyramid. Precarious employment or fortune in a foreign land?
Authors: Holtbrügge Dirk
Published: February 2021

Purpose

International human resource management research has only recently started to recognize the many millions of people who engage with the international labor market as low-skilled self-initiated expatriates. In contrast to company-assigned expatriates, they predominantly come from less-developed countries (often from rural areas) and independently decide to pursue an international career. The aim of this study is apply an expatriate-centered perspective and explore how expatriates at the base of the pyramid perceive the conditions of their international employment.

Design/methodology/approach

The paper is based on a qualitative study among self-initiated expatriates in the tourism and hospitality industry in the United Arab Emirates (UAE).

Findings

Two theoretical categories that reflect the evaluation of expatriate employment were identified, namely the social comparison with friends and family who stayed at home as well as with other expatriates and locals and the temporal comparison to the situation before the expatriation and the prospective situation after the expatriation. Both categories largely differ from the concepts and categories prevalent in the expatriate literature.

Research limitations/implications

The study contributes to the understanding of the temporal and transitory dimensions of expatriation, which have been barely addressed in the academic literature. It shows that self-initiated expatriation often represents a break in the professional and personal biography. It is less perceived as linear continuation of a steadily advancing career path than a restart or springboard to the future. The results are situated in the tourism and hospitality sector in the UAE and cannot be generalized to other countries and industries.

Practical implications

The study emphasizes the relevance of social inclusion, equal opportunities, a safe work environment and a relaxed corporate culture for expatriates at the base of the pyramid.

Originality/value

While research about self-initiated expatriates usually compares them with company-backed assignees, this comparison is not salient in the narratives of the interviewees in this study. Instead, low-skilled self-initiated expatriates predominately compare their current foreign assignment with the situation in their home country. This social comparison reflects their perceived reality of life better than a fictional comparison with highly skilled and company-assigned expatriates that is prevalent in the academic expatriation literature. By emphasizing an expatriate-centered perspective, the study supports and extends Piore's (1979) application of segmented labor market theory.
Capturing toleration on social networks sites using internet-mediated research: June 30th Egyptian revolution case study
Authors: Nagy Noha A. , Tawadros Amira S.N. , Soliman Amal S.
Published: February 2021

Purpose

This paper aims at understanding the dynamics underlying toleration as a complex social phenomenon and its pattern on Facebook during the June 30th revolution in Egypt. Thanks to the huge advances in ICT, internet-mediated research (IMR) has become one of the most prominent research methodologies in social sciences. Discussions on social network sites cannot be neglected in studying the dynamics complex and emerging social phenomena such as changes in public opinion, culture, attitudes and virtues.

Design/methodology/approach

To fulfill this aim, the researchers used web content analysis as a method inside IMR paradigm to analyze the discussions on Tamarrod’s Facebook page in the period from June 30th to July 5th and to examine the emerging overall pattern of toleration.

Findings

The results show indications that toleration is inherent in the Egyptian culture, and that the Egyptian society still keeps its reputation as a highly tolerant society, even in crises periods where tensions are witnessed everywhere. Moreover, the results also show that the web content analysis process proposed in this study is highly reliable and valid.

Originality/value

The importance of the study lies in introducing a computational and empirical approach to analyze web content in a semi-automated way and proving its validity and reliability to study social phenomena such as toleration.