•Combination of a country’s economic, financial and sustainable factors.•This combination leads to opportunity-driven entrepreneurship.•The fsQCA methodology has been used in order to examine the ...relations with the analysed variable.
There are two main reasons when entrepreneurs decide to start a new venture: opportunity and necessity. Opportunity-driven entrepreneurship is expected to provide a stronger long-term positive impact than necessity-driven entrepreneurship. This study aimed to identify the combinations of the economic and sustainable development factors of countries that may be related to opportunity-driven entrepreneurship. In order to identify the combinations of the Sustainable Development and Economic aspects influencing opportunity-driven entrepreneurship, we analysed the data for 2017 from 57 countries. For this purpose, we conducted a cross-national analysis using the fsQCA methodology, which has proved suitable for small-sized datasets. Data were retrieved from four databases: Global Entrepreneurship Monitor, Country Risk Score, World Bank Database, and Sustainable Development Goals Index. Thus to analyse opportunity-driven entrepreneurial motivation, we considered economic and financial aspects jointly with social and gender equality, education, responsible production, innovation and infrastructure indicators.
•The impact of host country risk on a firm’s ownership strategy is moderated by formal and informal institutions in the firm’s home country.•Institutional constraints on home-country policymakers ...positively moderate the country risk–ownership strategy (CR–OS) relationship.•Risk-taking tendencies in the home country positively moderate the CR-OS relationship.•This relationship is negatively moderated by the joint effect of institutional constraints and risk-taking tendencies.•The agenda for future theory development in international business is proposed according to these findings.
Empirical evidence for the relationship between host country risk and a firm’s ownership level in its foreign entry strategy is inconclusive. We revisit this relationship by integrating the internalisation logic with an institution-based view to examine the moderating effects of formal and informal institutions in the home country. By meta-analysing 64 empirical studies involving 52,229 ownership decisions on foreign market entry, this study gives support to theoretical arguments that the focal relationship is positively moderated by institutional constraints on policymakers and risk-taking tendencies in the home country but is negatively moderated by the joint effect of these two institutional factors. These findings shed new light on the literature of host country risk and foreign ownership strategy. Besides describing the implications of the findings for theory and practice, we discuss the agenda for future theory development in international business.
To identify the combinations of the economic and social aspects related to female entrepreneurship in OECD countries, we carried out a cross-national analysis of female entrepreneurship using fsQCA ...methodology. We analyzed 2015 data from 29 OECD countries, covering different geographical areas. Data were retrieved from three databases (Global Entrepreneurship Monitor, Country Risk Score, and Glass Ceiling Index) and the relationship between entrepreneurship by gender and the conditions in a country were studied, especially those socially related to gender under female labor working conditions. The results show that the combination of good country risk score conditions and the low presence of women in power positions is related to high female entrepreneurship and low gender labor-force gap. By contrast, low female entrepreneurship is reached through a combination of high gender labor-force and wage gaps.
Rapid and dynamic perception of risks in countries along the “Belt and Road” is of great practical significance for the construction of the “Belt and Road”. The current measurements of country risk ...are divided into two categories: multi-factor analysis and systematic risk modeling based on capital asset pricing theory. There are problems such as time lag in data updates and inadequate completeness. Risk perception based on big data has the characteristics of wide sources, high timeliness, multiple dimensions, and full coverage, and it can capture potential risk variations earlier and faster. In this study, based on the global media big data GDELT, it is found that the risks of the countries along the “Belt and Road” are mainly focused on politics, military risks, energy trade, terrorism, power struggles, etc. West Asia and North Africa region are at the core of the risk reports in the network of countries mentioned, with the Central and Eastern Europe and Central Asia region playing the role of "bridge" nodes. In the “country-topic risk” heterogeneous information network, when the risk topic similarity was set to 0.7, the country risk clustering effect is the best. Syria had always been at high risk. The risk of countries in West Asia and North Africa, such as Afghanistan, Iran, Israel, and Lebanon is also at high risk but slightly fluctuated from year to year. The research results show that the classification of national risks by media big data has strong consistency with existing national risk ratings, so this article proposes to use media big data to enhance the risk perception capabilities of countries along the “Belt and Road”.
Interpreting energy poverty in respect of lack of accessibility, availability, and affordability of energy resources, this study aims to explore the macroeconomic determinants of multidimensional ...energy poverty in China over the 2005Q1-2019Q4 period. Three weighted and one unweighted energy poverty indices are constructed to measure the incidence of energy poverty in China using relevant energy-related indicators that capture the accessibility, availability, and affordability dimensions of energy poverty. The overall results indicate that a 1% rise in the degrees of fiscal decentralization and country risks aggravates the energy poverty situation in the long run by reducing the energy poverty indices at most by 0.05% and 0.03%, respectively. In contrast, positive shocks to the levels of economic growth, renewable energy share, and technological innovation by 1% are evidenced to be associated with declines in the energy poverty indices in the long run at most by 0.43%, 0.18%, and 0.06%, respectively. Besides, the marginal impacts of these variables are seen to be comparatively larger for the composite energy poverty indices that emphasize more on the accessibility dimension of energy poverty in China. Based on these findings, greening the fiscal decentralization policies, lowering country risks, promoting economic growth, stimulating higher renewable energy use, and financing technological innovation are recommended for mitigating the incidence of energy poverty in China. These policies are also expected to assist China in partially achieving the Sustainable Development Goals agenda of the United Nations and enable the nation to attain its 2060 carbon neutrality target.
•Nexus among fiscal decentralization and energy poverty has been examined.•Role of Composite risk and technological innovation is explored for energy poverty.•Data for China is used from 2005Q1-2019Q4.•Higher level of fiscal decentralization and country risks aggravate the energy poverty.•Growth, renewable energy and technological innovation mitigate energy poverty.
Determinants of Import in ASEAN Economic Community Yuliadi, Imamudin; Basuki, Agus Tri; Ayuningtyaswati, Delya
International Journal of Professional Business Review,
01/2024, Volume:
9, Issue:
1
Journal Article
Peer reviewed
Open access
Introduction: Imports are an important component of economic development in developing countries, including in the ASEAN Economic Community.
Purpose: The aims of this study to analyze the ...determinants of import in ASEAN Economic Community.
Methodology/Approach: The research method used is panel data analysis from 2010-2019. The research variables include imports as the dependent variable and export variables, exchange rates, population, inflation, GDP and interest rates as independent variables. This study is to analyze the determinants of imports in the economies of ASEAN community countries starting from the results of the Chow test and Hausmen test which compare the static and dynamic fixed effect panel data analysis models.
Findings: The results of this study indicate that imports for ASEAN economic community are influenced by the variables of exports, FDI and population. The results of this study also show that imports for ASEAN economic community are a necessity to support their economic development.
Originality/Value/Implication: The conclusion and recommendation from this research is that imports are an important component in economic development in ASEAN economic community, so it is necessary to have an integrated policy among ASEAN economic community to build economic cooperation to reduce economic dependence from outside. ASEAN economic community need to improve economic efficiency and international competitiveness to encourage exports of flagship products in international markets.
This study explores the impacts of country risks on the relationship between energy consumption and financial development for 79 countries. By using the panel smooth transition regression model, this ...study finds non-linear relationships between variables - that is, the relationships differ in higher and lower risk environments. We show that banking sector development has larger impacts on energy consumption than does stock market development. The results of the full sample show under the stable country risk environments that financial development could help to reduce energy consumptions. Lastly, the results offer that different types of financial development and country risk environments have varying impacts on energy consumption in OECD and non-OECD countries.
•Explore the impacts of country risks on the energy-finance nexus.•Use the panel smooth transition regression model.•The relationships between variables differ in higher and lower risk environments.•Banking sector development has larger impacts on energy consumption than does stock market development.•Under the stable country risk environments financial development could help to reduce energy consumptions.
Risk in international business and its mitigation Cavusgil, S. Tamer; Deligonul, Seyda; Ghauri, Pervez N. ...
Journal of world business : JWB,
February 2020, 2020-02-00, Volume:
55, Issue:
2
Journal Article
Peer reviewed
Open access
•Country risk is an imminent and growing derivative of internationalization.•We examine the concept and nature of country risk in international business.•We examine the contextual nature of risk and ...firm sensitivity to risk events.•We discuss conceptual and empirical challenges of risk in international business.•We discuss country risk mitigation and the role of regulation.
While risk mitigation and management preparedness of MNEs have escalated to the top of the corporate agenda, international business literature is lacking pertinent conceptual and empirical studies. As an opener to this special issue, we offer several perspectives on country risk and its mitigation. We discuss conceptual and empirical challenges in researching risk in international business. We conclude with a commentary on the six papers included in this special issue on international business risk.
This research empirically explores the economic-, tourism-, and country risk ratings-induced Environmental Kuznets Curve (EKC) hypothesis by employing ecological footprints (EFs) as indicators of ...international environmental degradation. To account for distributional heterogeneities across countries as well as possible asymmetric relationships among variables, we apply a quantile regression approach by using panel data from 123 countries spanning 1992–2016. Our findings partially support that income, tourism, and country risk EKCs (i.e., inverted U-shape relation) exist in grazing land and forest land, signifying that these 2 types of land are sacrificed (increased) and then shift toward enhancing more environmental protection lifestyles as GDP, tourism revenues, and country risk ratings further rise. Conversely, U-shape relations generally exist in carbon-absorption land, cropland, and fishing ground, implying that growths of tourism, GDP, and country risk ratings have shifted from enhancing more environmentally protective policies to encouraging EF-consuming lifestyles for these EF components. In addition, we uncover that income development is largely responsible for increases in EF, while tourism generally and salient decreases forest land and grazing land. We also confirm the income EKC hypothesis in European countries. Tourism increases (reduces) fishing ground at lower (higher) fishing quantiles, suggesting the asymmetric impacts of tourism across different quantiles. The political risk rating shows a mostly positive impact on EF than those of economic and financial risk ratings, denoting the important impact of a country’s political rating on environment degradation. Overall, the findings herein advocate the need for analysis that considers heterogeneities across countries, different EF quantiles, and different EF components in the tourism-, economic-, and country risk-induced EKC estimations.
This study examined the impact of country-risk factors on bank stock returns in the Middle East and North Africa (MENA) region countries. It also investigated whether Islamic banks differed from ...conventional banks and whether oil rent significantly moderated the risk-returns nexus. Using data from 137 banks from 2011 to 2019 and the 2S-GMM method showed that returns reacted positively to low risk. Islamic banks scored higher returns than conventional banks except with financial risk and democratic accountability, and the risk-returns nexus depended on oil. The results suggested that MENA countries should further enhance political stability and economic resilience and upgrade socioeconomic conditions.
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