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Political Risk, Volume of FDI, and Ownership Strategy: Contextual Analysis of African Markets
Abubakari Zakari,
Joyce Francisca Addo,
Marian Maclean,
Kakraba Ben Komla,
Wang Min,
Abubakari Iddrisu
Issue:
Volume 11, Issue 2, April 2022
Pages:
54-64
Received:
22 January 2022
Accepted:
21 February 2022
Published:
15 March 2022
Abstract: This research examines the relationship between political risk and the volume of FDI activity and ownership strategy of foreign firms in Africa. Our study employs panel regression models to examine 2,360 FDIs into four low political risk and five high political risk African countries during the period 2010-2017. This data represents FDIs from the top 10 countries with the most investments in Africa (UNCTAD, 2018). We find that there is a progressive increase in the volume of FDI activity by multinationals in high political risk countries, even though low political risk countries remain the preferred FDI destinations. We also find that joint venture (JV) is the preferred ownership strategy by foreign multinationals in high political risk African countries. The preferred ownership strategy in this research helps firms mitigate potential hostile government policies such as expropriations. This research contributes both theoretically and empirically to enrich the political economy and international business literature.
Abstract: This research examines the relationship between political risk and the volume of FDI activity and ownership strategy of foreign firms in Africa. Our study employs panel regression models to examine 2,360 FDIs into four low political risk and five high political risk African countries during the period 2010-2017. This data represents FDIs from the t...
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Status of Rural Household Poverty in West Hararge Zone: In Case of Some Selected Woredas, Oromia, Ethiopia
Tamiru Gabusho Ayana,
Nasir Ahmed,
Abdela Ahmed,
Jemal Ahmed
Issue:
Volume 11, Issue 2, April 2022
Pages:
65-74
Received:
18 February 2022
Accepted:
14 March 2022
Published:
23 March 2022
Abstract: This study was conducted in a rural area of West Hararghe zone to evaluate the status of household rural poverty. To undertake this study, both primary and secondary data were used. The data was collected from 375 sample households for the study purpose. In doing so, the maximum likelihood estimation method of the logit model was applied to estimate the logit regression model. The study used consumption expenditure as an indicator of welfare in general and the cost of basic needs approach in particular to classify households as poor and non-poor. The result of this study shows in the study area the proportion of people who are stated under the poverty line is 52.8 percent from the surveyed households. The incidence of poverty among the sampled households is 23.8% and 13.54% for the poverty gap, and poverty severity index respectively. In line with, poverty alleviation policies that are based on this identified status should be key ingredients of poverty reduction strategy and targeted groups should involve in development efforts that could address the identified problem to minimize the rate of increased poverty severity from rural areas of West Hararge zone.
Abstract: This study was conducted in a rural area of West Hararghe zone to evaluate the status of household rural poverty. To undertake this study, both primary and secondary data were used. The data was collected from 375 sample households for the study purpose. In doing so, the maximum likelihood estimation method of the logit model was applied to estimat...
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Research on Marketing Strategy Based on Consumer Behavior—Taking S Company as an Example
Guangpeng Zhao,
Yuan Ding,
Chen Wen,
Shasha Cao
Issue:
Volume 11, Issue 2, April 2022
Pages:
75-80
Received:
18 April 2022
Accepted:
Published:
20 April 2022
Abstract: The snack food industry has developed rapidly in China in recent years. As the market's demand for snack food is increasing, the output has also increased rapidly. However, the snack food industry started late in China, the production capacity and production level of snack food enterprises need to be improved, and there is a certain homogenization of snack food. Faced the snack food market that compete intensively, it is necessary for snack food companies to arm themselves with marketing theories to formulate marketing strategies, and improve their market competitiveness. In paper, company S is taken as the research object, combining the marketing environment and the company's sales status, Consumer Behavior Theory and marketing theory are adopted, empirical analysis and statistics on the obtained relevant data were carried out, and safeguard measures suitable for company S's marketing strategy from the perspective of 4C marketing theory was proposed, including strategies to meet consumer needs, to reduce consumer costs, to provide shopping convenience, and to improve effective communication with consumers. In this way, the company S can obtain a longer-term development in the fierce market competition, and at the same time, it can guide the enterprises similar to the company S to formulate effective marketing activities in line with their own development.
Abstract: The snack food industry has developed rapidly in China in recent years. As the market's demand for snack food is increasing, the output has also increased rapidly. However, the snack food industry started late in China, the production capacity and production level of snack food enterprises need to be improved, and there is a certain homogenization ...
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Detecting an Existence of Bubble Price in Indonesian Islamic Stock
Aula Ahmad Hafidh Saiful Fikri,
Hadri Kusuma,
Sunaryati
Issue:
Volume 11, Issue 2, April 2022
Pages:
81-90
Received:
21 March 2022
Accepted:
9 April 2022
Published:
20 April 2022
Abstract: Purpose –The implementation of the Islamic capital market in Indonesia applies the principles of Islamic capital participation that meets the principles of sharia i.e. non-bubble stock. Screening of Islamic companies through methods applied by authority agencies with certain prerequisites actually cannot avoid speculative actions that represent with bubble price. This research intended to detect the existence of bubble price in the Indonesian Islamic Stock Index. This very useful for society that the grouping of an asset was not enough to get an Islamic principe. The current model or tools to analyse and detect the existence of bubble, the application of those method in Islamic assets was not avalibale. In order to appropriate with Islamic principes, the Islamic assets are not allowed contain bubble. This paper introduce that those principes establish or not using this paper analysis. An econometrical model as well as an equation, according to monthly data, Indonesian Islamic Stock Index (IDXS) variable analysed by Right Tail Augmented Dickey Fuller (RTADF) approach. This tool very useful to detect and date-stamping of bubble with more accurately than other tools. The results shows that Indonesian Islamic stock market contain or existing the price of bubble, even Islamic stock with any prohibition and selective instrument can not avoid from bubble phenomenon. The stock may exhibit sharia value, but if the market play the role, so that these value may fallen away.
Abstract: Purpose –The implementation of the Islamic capital market in Indonesia applies the principles of Islamic capital participation that meets the principles of sharia i.e. non-bubble stock. Screening of Islamic companies through methods applied by authority agencies with certain prerequisites actually cannot avoid speculative actions that represent wit...
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Population Ageing, Asset Prices and Paying Ability: A Study Based on Urban Private Housing Prices in China
Issue:
Volume 11, Issue 2, April 2022
Pages:
91-101
Received:
31 March 2022
Accepted:
19 April 2022
Published:
28 April 2022
Abstract: Population ageing and asset price issues, especially with regard to housing, exert a major impact on sustainable development. Since China entered the remit of an ageing society in 2001, the proportion of its elderly population has been rising. In the same period, the country’s real estate market experienced a rapid rise in house prices following the monetisation reform. Many large cities have experienced waiting lists for the purchase of private housing, and working-class groups not being able to afford it. This has become a social phenomenon in China. This study takes the social reality of China as the main research object, investigates the influencing mechanism of the ageing population structure on the residential commercial housing market, and locates paying ability, ageing, and private housing prices within the same framework. The study found that paying ability can be regarded as a regulating variable between ageing and private housing prices; consequently, a panel threshold effect model was constructed empirically to analyse the non-linear effects of ageing on private housing prices. The results show that when residents’ payment levels differ, the effect of ageing on the price of private housing also varies. Finally, by combining the 17-year panel data of 30 provinces and cities in China, it was found that all of the eastern regions of China crossed the threshold in 2010, and that all of the central and western regions crossed the threshold in 2011. At present, therefore, ageing can be said to be exerting an active impact on housing prices in China. To effectively curb the excessive rise in housing prices, the corresponding housing supply policy should be formulated from the perspective of improving the supply of housing to meet demand and the intergenerational transfer of the elderly population.
Abstract: Population ageing and asset price issues, especially with regard to housing, exert a major impact on sustainable development. Since China entered the remit of an ageing society in 2001, the proportion of its elderly population has been rising. In the same period, the country’s real estate market experienced a rapid rise in house prices following th...
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