Pub Date : 2018-05-22DOI: 10.1504/IJGSB.2018.091831
Ruhanita Maelah, Nor Hadza Nor Yadzid
Small and medium enterprises (SMEs) play an important role in the economic development of Malaysia as they represent 99.2% of businesses in this country. This study attempts to determine the relationship between budgetary control tightness and organisational performance with corporate culture as the moderating variable among SMEs in Malaysia. The study found that budgetary control tightness has positive relationship with performance. Further tests found that budgetary control tightness resulted in low performance for consensual, entrepreneurial and competitive cultures. As for bureaucratic culture, budgetary control tightness does not result in high organisational performance. Practically, the study highlights to the management the importance of budgetary control and corporate culture on performance. Theoretically, this study contributes in the areas of accounting and management control system, especially in the scope of SMEs. Limitations of the study include the regional scope of study and its focus on existing corporate culture.
{"title":"Budgetary control, corporate culture and performance of small and medium enterprises (SMEs) in Malaysia","authors":"Ruhanita Maelah, Nor Hadza Nor Yadzid","doi":"10.1504/IJGSB.2018.091831","DOIUrl":"https://doi.org/10.1504/IJGSB.2018.091831","url":null,"abstract":"Small and medium enterprises (SMEs) play an important role in the economic development of Malaysia as they represent 99.2% of businesses in this country. This study attempts to determine the relationship between budgetary control tightness and organisational performance with corporate culture as the moderating variable among SMEs in Malaysia. The study found that budgetary control tightness has positive relationship with performance. Further tests found that budgetary control tightness resulted in low performance for consensual, entrepreneurial and competitive cultures. As for bureaucratic culture, budgetary control tightness does not result in high organisational performance. Practically, the study highlights to the management the importance of budgetary control and corporate culture on performance. Theoretically, this study contributes in the areas of accounting and management control system, especially in the scope of SMEs. Limitations of the study include the regional scope of study and its focus on existing corporate culture.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"10 1","pages":"77-99"},"PeriodicalIF":0.0,"publicationDate":"2018-05-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1504/IJGSB.2018.091831","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43317790","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-12-01DOI: 10.1504/IJGSB.2017.10011016
L. Pacheco
The objective of this paper is to empirically examine the relationship between a set of financial variables and export performance. Although many empirical papers studied the impact of financial structure on firms' performance its effect on firms' export performance has been less studied. The primary objective of our paper is to fill that gap, particularly for the case of Portugal, focusing on small and medium enterprises (SMEs), where agency problems and lack of resources could impact more on export performance. Using a panel data methodology and considering a sample of 3164 Portuguese manufacturing SMEs for the period 2011-2014 our results indicate that SMEs with less debt, higher profitability and of greater size tend to present higher export intensity and diversification. This exploratory paper gives a contribution to clarify which are the main financial determinants of an export-oriented firm, which is an important issue not only for managers but for all the stakeholders, particularly policy makers a...
{"title":"Financial structure effects on export intensity and diversification: the case of Portuguese industrial firms","authors":"L. Pacheco","doi":"10.1504/IJGSB.2017.10011016","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10011016","url":null,"abstract":"The objective of this paper is to empirically examine the relationship between a set of financial variables and export performance. Although many empirical papers studied the impact of financial structure on firms' performance its effect on firms' export performance has been less studied. The primary objective of our paper is to fill that gap, particularly for the case of Portugal, focusing on small and medium enterprises (SMEs), where agency problems and lack of resources could impact more on export performance. Using a panel data methodology and considering a sample of 3164 Portuguese manufacturing SMEs for the period 2011-2014 our results indicate that SMEs with less debt, higher profitability and of greater size tend to present higher export intensity and diversification. This exploratory paper gives a contribution to clarify which are the main financial determinants of an export-oriented firm, which is an important issue not only for managers but for all the stakeholders, particularly policy makers a...","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"252"},"PeriodicalIF":0.0,"publicationDate":"2017-12-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44835387","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005753
Jauhari Dahalan, Umar Mohammed
The study employs asymmetric causality to reinvestigate international capital mobility. We simulate critical values based on the leverage bootstrapping and asymmetric causality test. The result reveals that positive shocks in exchange rate causes positive shocks in interest rate in Malaysia. This leads to increase capital inflow into Malaysia. The result further indicates that an increase in exchange rate in Malaysia, Nigeria and South Africa during bad time lowers their capital inflow due to low rate of return to the foreign investors. Furthermore, a decrease in the domestic interest rate in Nigeria influences an increase in the exchange rate during the bad time. This causes fall in the demand for domestic currency from foreigners. The policy implication is that Malaysian policymakers can control capital outflow and encourage inflow during both good and bad times. However, the monetary authorities in Nigeria and South Africa can only control the nations' capital mobility during bad time.
{"title":"Asymmetric causality between exchange rate and interest rate differentials: a test of international capital mobility","authors":"Jauhari Dahalan, Umar Mohammed","doi":"10.1504/IJGSB.2017.10005753","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005753","url":null,"abstract":"The study employs asymmetric causality to reinvestigate international capital mobility. We simulate critical values based on the leverage bootstrapping and asymmetric causality test. The result reveals that positive shocks in exchange rate causes positive shocks in interest rate in Malaysia. This leads to increase capital inflow into Malaysia. The result further indicates that an increase in exchange rate in Malaysia, Nigeria and South Africa during bad time lowers their capital inflow due to low rate of return to the foreign investors. Furthermore, a decrease in the domestic interest rate in Nigeria influences an increase in the exchange rate during the bad time. This causes fall in the demand for domestic currency from foreigners. The policy implication is that Malaysian policymakers can control capital outflow and encourage inflow during both good and bad times. However, the monetary authorities in Nigeria and South Africa can only control the nations' capital mobility during bad time.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"70-79"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42160271","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005751
D. Sulistiawan, F. A. Rudiawarni
This study investigates the ability of accruals as earnings component to explain stock risk and its return. We believe managers use accruals to maximise firms' value through minimising stock risk and maximising stock return. Using Indonesian data, we find a negative relation between total accruals to stock risk, especially for loss and small firms. We also present a positive relation between total accruals to abnormal return, particularly in profit and large firms. Those phenomena indicate that investors use higher accruals to produce lower stock risk and higher abnormal return. This study contributes to market-based accounting research.
{"title":"Do accrual minimise (maximise) stock risk (return)?: evidence from Indonesia","authors":"D. Sulistiawan, F. A. Rudiawarni","doi":"10.1504/IJGSB.2017.10005751","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005751","url":null,"abstract":"This study investigates the ability of accruals as earnings component to explain stock risk and its return. We believe managers use accruals to maximise firms' value through minimising stock risk and maximising stock return. Using Indonesian data, we find a negative relation between total accruals to stock risk, especially for loss and small firms. We also present a positive relation between total accruals to abnormal return, particularly in profit and large firms. Those phenomena indicate that investors use higher accruals to produce lower stock risk and higher abnormal return. This study contributes to market-based accounting research.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"20-28"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44804298","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005775
Noorina Hartati, Rini Dwiyani Hadiwidjaja
This paper re-examines the relationships between intellectual capital, financial performance and market value. The exogenous variables examined include human capital efficiency, structural capital efficiency (SCE) and capital employment efficiency - all used as proxies for intellectual capital (IC). Return on assets (ROA) and market value (MV) are the endogenous variables. The following are the main findings. First, intellectual capital (IC) as represented by human capital and capital efficiency significantly affects financial performance that represented by ROA over the long term, whereas IC as represented by structural capital cannot adapt to changes in the business environments. Second, SCE has failed to moderate the relationship between IC with ROA. Third, IC as represented by human capital, structural capital and capital efficiency significantly affects MV. Finally, SCE is being able to moderate the relationships between IC and MV.
{"title":"Relationships among intellectual capital, financial performance and market value: a case study from Indonesia","authors":"Noorina Hartati, Rini Dwiyani Hadiwidjaja","doi":"10.1504/IJGSB.2017.10005775","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005775","url":null,"abstract":"This paper re-examines the relationships between intellectual capital, financial performance and market value. The exogenous variables examined include human capital efficiency, structural capital efficiency (SCE) and capital employment efficiency - all used as proxies for intellectual capital (IC). Return on assets (ROA) and market value (MV) are the endogenous variables. The following are the main findings. First, intellectual capital (IC) as represented by human capital and capital efficiency significantly affects financial performance that represented by ROA over the long term, whereas IC as represented by structural capital cannot adapt to changes in the business environments. Second, SCE has failed to moderate the relationship between IC with ROA. Third, IC as represented by human capital, structural capital and capital efficiency significantly affects MV. Finally, SCE is being able to moderate the relationships between IC and MV.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"29-45"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41996019","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005754
Arie Pratama
The purpose of this research is to explore and analyse whether Indonesian companies' Annual Reports already disclose matters according to the Integrated Reporting (IR) Framework. This research analyses eight IR components. The research method employed is exploratory descriptive. The population is 493 companies listed on the Indonesian Stock Exchange that issued an Annual Report for the year 2014. The data were collected by browsing reports on the companies' websites and checking for disclosure using a checklist consisting of 55 items. The research uses cluster analysis and shows that, on average, Indonesian companies disclosed 53.81% of the IR components in their Annual Reports. This research also classifies the companies into four clusters, with Cluster 3 having the highest disclosure level, and Cluster 4 the lowest. Clusters 2 and 1 have moderate results, and the majority of companies belong to these clusters.
{"title":"Clustering Indonesian companies' Annual Reports: preliminary assessment of the implementation of integrated reporting by Indonesian listed companies","authors":"Arie Pratama","doi":"10.1504/IJGSB.2017.10005754","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005754","url":null,"abstract":"The purpose of this research is to explore and analyse whether Indonesian companies' Annual Reports already disclose matters according to the Integrated Reporting (IR) Framework. This research analyses eight IR components. The research method employed is exploratory descriptive. The population is 493 companies listed on the Indonesian Stock Exchange that issued an Annual Report for the year 2014. The data were collected by browsing reports on the companies' websites and checking for disclosure using a checklist consisting of 55 items. The research uses cluster analysis and shows that, on average, Indonesian companies disclosed 53.81% of the IR components in their Annual Reports. This research also classifies the companies into four clusters, with Cluster 3 having the highest disclosure level, and Cluster 4 the lowest. Clusters 2 and 1 have moderate results, and the majority of companies belong to these clusters.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"46-54"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43142320","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005758
Siti Nurhidayah Mohd Roslen, Lee Sin Yee, Salizatul Aizah Ibrahim
Recently, there has been increasing global interest and concerns towards sustainable and environmental friendly development among firms and investors. In conjunction to this rising demand, Green Bond market was introduced. In providing general overview on how Green Bond is perceived by shareholders, this study attempts to identify the shareholders' wealth reactions towards Green Bond announcements using multi-country samples. Specifically, we find that shareholders generally react positively a day after the Green Bond announcements were made by issuers. Overall, this study would be useful for future researchers who plan to explore the potential of using multi-country event study methodology and to add more evidence on existing literatures in relation to credit risk valuation for international corporate Green Bonds.
{"title":"Green Bond and shareholders' wealth: a multi-country event study","authors":"Siti Nurhidayah Mohd Roslen, Lee Sin Yee, Salizatul Aizah Ibrahim","doi":"10.1504/IJGSB.2017.10005758","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005758","url":null,"abstract":"Recently, there has been increasing global interest and concerns towards sustainable and environmental friendly development among firms and investors. In conjunction to this rising demand, Green Bond market was introduced. In providing general overview on how Green Bond is perceived by shareholders, this study attempts to identify the shareholders' wealth reactions towards Green Bond announcements using multi-country samples. Specifically, we find that shareholders generally react positively a day after the Green Bond announcements were made by issuers. Overall, this study would be useful for future researchers who plan to explore the potential of using multi-country event study methodology and to add more evidence on existing literatures in relation to credit risk valuation for international corporate Green Bonds.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"61-69"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42597362","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005755
M. Ismail, G. Maskie, D. Aini
The objective of this paper is to examine the role of Islamic banks in the stability of financial system in Indonesia. We perform the empirical exercise into two stages. We first employ confirmatory factor analysis to validate the measures of our financial stability. It is found that the performance indicators of Islamic banks have a substantial contribution to the formation of the micro- and macro-prudential dimensions of financial stability together with the institutional Islamic bank dimension itself. Finally, the regression results show that the three aforementioned dimensions of the financial stability play a significant role in determining the stability of the financial system.
{"title":"The contribution of Islamic bank towards the stability of financial system in Indonesia","authors":"M. Ismail, G. Maskie, D. Aini","doi":"10.1504/IJGSB.2017.10005755","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005755","url":null,"abstract":"The objective of this paper is to examine the role of Islamic banks in the stability of financial system in Indonesia. We perform the empirical exercise into two stages. We first employ confirmatory factor analysis to validate the measures of our financial stability. It is found that the performance indicators of Islamic banks have a substantial contribution to the formation of the micro- and macro-prudential dimensions of financial stability together with the institutional Islamic bank dimension itself. Finally, the regression results show that the three aforementioned dimensions of the financial stability play a significant role in determining the stability of the financial system.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"55-60"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42091741","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-06-26DOI: 10.1504/IJGSB.2017.10005774
H. Medyawati, M. Yunanto
The main reason for investors or potential investors to invest in stocks is to derive maximum returns at minimum risk. One of the many factors determining stock returns from a company's shares consists of the company's financial ratios. The better the level of financial performance of the company, greater is the expectation of increase in its stock prices, and larger the benefit (return) from its shares to investors. The purpose of this study is to assess the impact of four factors, namely price-to-book value (PBV), the current ratio, debt-to-equity ratio (DER) and total assets turnover (TATO) on the level of stock returns in property, real estate and building construction firms listed in the Indonesian Stock Exchange for the period 2011-2014. The sample used in this study consisted of 18 companies, selected through the purposive sampling method. Regression analysis of panel data is the analytical tool used. The results have shown that TATO, DER and PBV influence the stock returns significantly.
{"title":"Factors determining stock returns in property, real estate and construction companies in Indonesia","authors":"H. Medyawati, M. Yunanto","doi":"10.1504/IJGSB.2017.10005774","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10005774","url":null,"abstract":"The main reason for investors or potential investors to invest in stocks is to derive maximum returns at minimum risk. One of the many factors determining stock returns from a company's shares consists of the company's financial ratios. The better the level of financial performance of the company, greater is the expectation of increase in its stock prices, and larger the benefit (return) from its shares to investors. The purpose of this study is to assess the impact of four factors, namely price-to-book value (PBV), the current ratio, debt-to-equity ratio (DER) and total assets turnover (TATO) on the level of stock returns in property, real estate and building construction firms listed in the Indonesian Stock Exchange for the period 2011-2014. The sample used in this study consisted of 18 companies, selected through the purposive sampling method. Regression analysis of panel data is the analytical tool used. The results have shown that TATO, DER and PBV influence the stock returns significantly.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"3-19"},"PeriodicalIF":0.0,"publicationDate":"2017-06-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48873552","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2017-01-01DOI: 10.1504/IJGSB.2017.10010974
B. Francioni, F. Musso, M. Cioppi
This study examines the influence of decision-makers' characteristics, such as biological sex and stereotypical gender roles, on the international decision process within a small- and medium-sized enterprise (SME), with particular attention to the strategic decision-making process (SDMP). We tested our hypotheses on a sample of 188 Italian SMEs using hierarchical multiple regression. The results reveal that women have a greater ability than men to involve the organisation members in making decisions, regardless of the degree of formalisation of the process and the level of decentralisation of the responsibilities within the company. Moreover, as regard stereotypical gender roles, only masculinity showed a relationship with the SDMP dimensions, especially with the levels of formalisation and hierarchical decentralisation of decisions. This paper provides a combination of analyses of biological sex, stereotypical gender roles and SDMP dimensions. It is also one of the few studies of this kind in the field of international strategy.
{"title":"International decision processes within SMEs: the influence of biological sex and stereotypical gender roles","authors":"B. Francioni, F. Musso, M. Cioppi","doi":"10.1504/IJGSB.2017.10010974","DOIUrl":"https://doi.org/10.1504/IJGSB.2017.10010974","url":null,"abstract":"This study examines the influence of decision-makers' characteristics, such as biological sex and stereotypical gender roles, on the international decision process within a small- and medium-sized enterprise (SME), with particular attention to the strategic decision-making process (SDMP). We tested our hypotheses on a sample of 188 Italian SMEs using hierarchical multiple regression. The results reveal that women have a greater ability than men to involve the organisation members in making decisions, regardless of the degree of formalisation of the process and the level of decentralisation of the responsibilities within the company. Moreover, as regard stereotypical gender roles, only masculinity showed a relationship with the SDMP dimensions, especially with the levels of formalisation and hierarchical decentralisation of decisions. This paper provides a combination of analyses of biological sex, stereotypical gender roles and SDMP dimensions. It is also one of the few studies of this kind in the field of international strategy.","PeriodicalId":35412,"journal":{"name":"International Journal of Globalisation and Small Business","volume":"9 1","pages":"203"},"PeriodicalIF":0.0,"publicationDate":"2017-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"66886620","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}