• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.93-104
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• 2021

In recent years, there has been a substantial theoretical and empirical study on the role that financial market development has significantly played in promoting economic growth and development in the world. The development of an economy requires the financial industry to be developed. In the context of rapid economic development, global warming has become a serious problem with issues such as rising average temperatures, climate change, rising sea level, and increasing carbon dioxide emissions. This study aims to examine the influence of economic growth, financial development, transportation capacity, and environmental degradation. Using time-series data from 1986 to 2019 and environmental degradation being measured by CO2 emissions, the study employs a quantity of ample unit root tests, the structural break unit root tests, Autoregressive Distributed Lag (ARDL), and cointegration bounds test. The results show that there is a significant long-term cointegration among study variables. Empirical findings also indicate that an increase in per capita GDP and financial development worsens environmental quality whereas transportation capacity and foreign investment can improve environmental quality.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.307-315
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• 2021

The study aims to investigate the relationship between innovation activities and business process performance in higher education institution (hereinafter referred to as "HEI") context. The data was collected using a survey and later analyzed through Partial Least Squares Structural Equation Modelling (PLSSEM) and SmartPLS software. A total of 50 questionnaires were submitted from respondents representing vocational study program management located in Makassar, Indonesia. The findings show that two hypotheses discussed in this study fit the empirical data. Specifically, the results show that there is a positive relationship between innovation activities and business process performance, involving two types of innovation activities, which are exploration activities and exploitation activities, within HEIs. Explorative activity is firmly related to exploitative activity, which furthermore links to business process performance within the HEIs observed. The results confirm that exploration activity can stimulate and lead the HEIs management to generate exploitation activity. For instance, capabilities to absorb knowledge from the external institution may lead this institution to generate advanced academic processes, as well as more efficient and effective managerial processes. The study also signifies ambidexterity capacity, suggesting that it may lead HEIs management to formulate proper strategies in achieving better performance and gaining competitive advantage.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.507-515
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• 2021

Knowledge-Worker Productivity (KWP) has been influenced by Knowledge Management Process (KMP); however, past studies derived inconsistent findings of the relationship between the two variables. Additionally, the effect of KMP on KWP in the context of universities in Sri Lanka has not been adequately studied. Therefore, this present study aims to fill that gap by examining KMP elements' effect, namely knowledge creation, knowledge sharing, and usage on KWP, specifically the timeliness, proficiency, and independence of employees. This study also examines the role of employee engagements (i.e., intellectual, social, and affective) in mediating the effect of KMP on KWP. The questionnaire survey method was utilized to collect data from relevant university employees, i.e., lecturers, senior lecturers, and professors, whereby 264 valid responses were used in the analysis. The associations between KMP, Employee Engagement, and KWP were analyzed using the path analysis and bootstrapping methods. The outcomes demonstrated positive correlations between all three variables. Employee Engagement was shown to have a partial mediating effect on the KMP-KWP association. The general conclusion is that KWP is influenced by its capacity to increase employee engagement via KMP.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.563-570
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• 2021

This study aims at exploring the corporate social responsibility (CSR) practices in the listed companies of Bangladesh. One hundred eighty-two different companies from fifteen different sectors have been selected as a sample. A weighted disclosure index having fifty-two items has been applied to ensure the degree of CSR practices of the sample companies. Each of the content has been assigned a three-scale value starting from zero to two. After that, eight dimensions of CSR are identified from CSR literature and have been evaluated by the predetermined disclosure index. Finally, a composite CSR disclosure (CSRD) score has been computed to measure the extent of CSR practices of the sample companies. The findings of the study reveal a poor CSRD score by the sample companies. Besides, it has been found that the listed companies provide more CSR activities on employee-related issues and community service-related issues while the listed companies provide less information on energy-related CSRD and customer-related CSRD in the context of Bangladesh. The findings of the study imply that the government and the regulatory authority should give more attention to develop a harmonized standards or policies to measure the degree of CSR practices for comparative purposes.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.21-32
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• 2021

This paper aims to investigate the relationship between country-level institutional quality and public debt in the context of Pakistan. The hypotheses of this study were assessed by using the country-level institutional quality data for Pakistan throughout the years from 1996 to 2018. Data came from the World Databank, IMF and Worldwide Governance Indicators databases. For the analysis, ordinary least square, quantile regression and robust regression were employed to assess the factors influencing the public debt. The results of this study indicate that the factors of voice and accountability, regulatory quality, and control of corruption have a positive and significant relationship with public debt, while political stability, government effectiveness, and the rule of law have a negative and significant effect on public debt. Based on the findings, a weak country-level institutional quality poses a substantial market risk as it signals the existence of an unfavorable economic condition that raises public debt. It was also revealed that an improved performance of country-level institutional quality can lead to the improvement of financial market transparency, hence reduce public debt. In contrast to previous studies, the present study will be breaking ground in enhancing public insight regarding the impact of country-level institutional quality on Pakistan's public debt.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.585-593
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• 2021

The service industry has become the driving force of economic development in recent years. With the current fierce competitive situation, competing businesses have continually provided a superior quality of service, and an excellent perceived brand image to gain customer satisfaction and customer loyalty. This study's current purpose is to empirical research the linking between service quality, brand image, customer satisfaction, and customer loyalty. We collect research data from 299 consumers who bought goods at supermarkets in Ho Chi Minh City, Vietnam, using a convenient sampling technique. We proposed the conceptual model from prior studies and considered it in Vietnam's context. PLS-SEM was conducted to test the relationships in the conceptual model. We have estimated the scale's reliability by Cronbach's alpha values and composite reliability values. Moreover, we have evaluated discriminant validity by the Fornell-Larcker standard. The findings showed that service quality positively affects the brand image, customer satisfaction, and customer loyalty. Likewise, the results also confirmed brand image had a positive impact on customer satisfaction and customer loyalty. Moreover, the outcomes also disclosed that customer satisfaction had a positive relationship with customer loyalty. The research suggested implications for managers, limitations, and directions for future research from the above findings.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.595-604
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• 2021

This research aimed to explore the relationship between the challenge and enjoyment dimensions of intrinsic motivation and employee creativity at an individual level. Besides, the study focused on investigating the moderating role of empowering leadership in promoting employee creativity at work. In particular, in the context of Vietnam's electricity industry, the power generation stage faces significant challenges, forcing to innovate and restructure strongly to respond flexibly to the requirements of the electricity market development in Vietnam as well as gradually integrate with other countries in Southeast Asia. The authors used structural equations modeling (SEM) combined with Hayes' moderator variable analysis method (2017) based on primary data. The data included 550 questionnaires from technicians, engineers, and experts directly involved in the operation and production of 36 power generation businesses Vietnam. The results showed the relationship between the enjoyment dimension of intrinsic motivation and employee creativity is not statistically significant, which partly explains the instability of the link between intrinsic motivation and employee creativity. Meanwhile, the challenge dimension is positively associated with employee creativity, but this relationship is more robust in empowering leadership. The study also indicated the challenge dimension of intrinsic motivation is an important predictor of employee creativity.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.479-485
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• 2021

Although corporate social responsibility (CSR) is an extensively studied topic, its determinants in the field of Islamic banking are scarce. In Bangladesh, CSR plays a vital role in gaining customer loyalty and confidence. Therefore, this research aims to identify and analyze the influence of the Shariah Supervisory Board (SSB) and the Shariah Audit Committee (SAC) on CSR adoption in Islamic banks in Bangladesh. The study population is managers and second managers of 160 Islamic bank branches of different commercial banks in Dhaka, Bangladesh. The sampling technique used is convenience sampling where the first available primary data source was used for the research without additional requirements. The study developed a survey questionnaire from examining previous related studies in Islamic banking and CSR context. The final sample size in this research was n = 309, indicating the survey response rate was about 97%. The study used SPSS 23.0 software to interpret the statistical findings, and the findings revealed that support from the SSB and the presence of a strong and effective SAC has a strong correlation with CSR adoption and significantly influence CSR adoption in Islamic banks in Bangladesh. Finally, the study proposes several significant and crucial policy guidelines for Islamic bank branches to adopt CSR activities.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.411-422
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• 2021

Technological adaption and innovative activities foster small and medium enterprises (SMEs) growth, especially women-owned SMEs in Pakistan, However, the impact of technological adaption and innovative activities on SMEs growth in the context of Pakistan has been examined by very researchers. This study aims to identify the effect of technology and open innovation policies on the growth of women-owned SMEs and the present trends and management challenges for successful full implementation of open innovation. The study considered a sample of 693 women enterprises located in different cities in Pakistan. Open innovation is measured through eight innovative practices, reflecting the exploration and exploitation of technology in SMEs. Study findings revealed that women enterprises were involved in several open innovation policies during the last five years. Moreover, the study indicated no significant differences between manufacturing and service SMEs regarding open innovation practices; however, women enterprises are more impressively engaged in open innovation practices. Findings also reveal that women-owned SMEs follow open innovation, mainly for market-related intentions, to compete with competitors and meet customers' demands. Thus, it is suggested that government policy relating to thriving SMEs owned by women should be innovation-oriented. The study contributes to the theoretical and practical implications. Further, the study is helpful for SMEs, researchers, practitioners, and decision-makers.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.119-126
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• 2021

This study is to examine the foreign direct investment (FDI) response to real effective exchange rate volatility in Vietnam by using the vector autoregression model. The research data are quarterly frequency data in the period from 2004:Q1 to 2019:Q2. The data on real effective exchange rate were collected from the statistics of Bruegel (Europe) and FDI data were collected from the International Financial Statistics. The quantitative study was conducted with two steps: (1) measuring exchange rate volatility by the GARCH(1,1) method; and (2) examining the impact of exchange rate volatility on FDI in the context of the global financial crisis. The estimation results show that FDI responded significantly to real exchange rate volatility with the lag of 3 periods at the 5% significance level. The FDI response increased after the exchange rate volatility with the lag of 3 periods, and the impact extended to the lag of 6 periods, and then gradually stabilized. The research findings indicate that FDI in Vietnam responds positively and significantly to exchange rate volatility with the lag of 3 periods. Simultaneously, the negative impact of the global financial crisis in 2008 with the lag of 2 periods leads to a slight decrease in FDI inflows into Vietnam.