Showing papers in "International journal trade, economics and finance in 2013"

The Entrepreneurs Characteristic from al-Quran and al-Hadis

Abstract:  Abstract—Entrepreneurship is a part of Islamic economics and businesses. Entrepreneurship is the pursuit of opportunity beyond resources controlled. Prophet Muhammad SAW and his companions are examples of this. There are a lot of Muslims that are successful entrepreneurs in the world and Islam always invites all Muslims to be an innovative and active entrepreneurs. Unfortunately, Muslims have lost their confidence, their characters and souls through the time. This research aims to analyse the characteristic of entrepreneurs from al-Quran and al-Sunah. This research also concludes that Islam is not opposite with entrepreneurship. Islam warmly invites all Muslims to be entrepreneurs in their life by given the rules that should be followed by all Muslims which are derive from al-Quran and al-Hadis.

Factors Influencing Customer Loyalty Toward Online Shopping

Abstract: The significant growth of online shopping makes the competition in this industry become more intense. Maintaining customer loyalty has been recognized as one of the essential factor for business survival and growth. The purpose of this study is to examine empirically the influence of satisfaction, trust and commitment on customer loyalty in online shopping. This paper describes a theoretical model for investigating the influence of satisfaction, trust and commitment on customer loyalty toward online shopping. Based on the theoretical model, hypotheses were formulated. The primary data were collected from the respondents which consists of 300 students. Multiple regression and qualitative analysis were used to test the study hypotheses. The empirical study results revealed that satisfaction, trust and commitment have significant impact on student loyalty toward online shopping.

Intellectual Capital for Innovation Capability: A Conceptual Model for Innovation

Abstract: —This paper presents a wide-range conceptual analysis of intellectual capital in business environment. The primary research objective was to look at intellectual capital with innovation capability and in order to enable the fine-tuning of intellectual capital literature. The role of intellectual capital value drivers focused through organizational motivation into innovation capability. This research has been viewed, first as a contribution to refinement of the existing intellectual capital literature methods with respect to unique characteristics of the industries, and Second, the relationship between intellectual capital and organizational motivation been theoretically inspected. Third, the paper investigates the multidimensional and contingent gradual effect of intellectual capital on innovation capability and firm performance through the mediating role of organizational motivation and moderating role of organizational characteristics. Finally, proposed some hypotheses about the possible conditioning of the impact factor on the intellectual capital, innovation capability and firm performance.

Empowerment of Nigerian Muslim Households through Waqf, Zakat, Sadaqat and Public Funding

Abstract: This study examines the roles and efficiency of waqf properties, zakat, sadaqat, and public funding in transforming and alleviating poverty among the less privileged Nigerian Muslims in particular and Nigerians at large. Many Nigerians are living on less than two dollars per day based on the NAPEP submission in 2013. The majority of Nigerian Muslims are wallowing in abject poverty due to their insufficient and unsustainable means of income. The present situation of some Nigerian Muslims is worsening due to their financial constraints and poverty rate across the Nigeria as a result of uncontrolled corruption confronting the nation and unemployment. The conditions of Nigerian Muslims require urgent improvement financially, educationally, socially and spiritually. In light of this, how can the integration of waqf properties, zakat, sadaqat, and public funding play viable and commendable roles in poverty reduction among Nigerian Muslims. It will further discuss the collected charitable funds that can be used to empower Nigerian Muslim households. The paper concludes with a number of suggestions to remedy the situation and optimize these sources of funding.

Using EAO model to predict the self-employment intentions among the universities' undergraduates in Malaysia

Abstract: The statistics have shown that the market is oversupplied with young and inexperienced graduates as the number of graduates has been increasing over the years. At the same time, the growing funds created to assist small enterprises in Malaysia have steadily increased. Hence, to solve the unemployment issue among graduates, there is a potential to make this self-employment an option for graduates to start on their careers. Entrepreneurial Attitude Orientation (EAO)scale was used to measure the students’ entrepreneurial attitudes. A survey approach was adopted by sending questionnaires to 2000 students of the public and private universities. The results show that personal control, self-esteem and innovation were found to have significant and positive relationships with self-employment intention. Meanwhile achievement was found to have no significant relationship with self-employment intention. These findings provide important insight to promote and produce a positive image of entrepreneurship as a career.

Organizational Culture and Employee Satisfaction: An Exploratory Study

Abstract: —Organizational culture has been considered as one of important core competencies of an organization. The individuals, groups and the organization as a whole are running under its culture although it is almost intangible. This paper attempts to describe organizational culture and to explore the relationship between organizational culture and employee satisfaction under the case of a Chinese family firm. As a side product, a quantitative approach is provided to support managerial decisions on culture changes in order to improve organizational effectiveness.

Alleviation of Poverty among OIC Countries through Sadaqat, Cash Waqf and Public Funding

Abstract: This paper discusses the design of an efficient and optimal cooperation and unity among OIC countries for the integration of waqf properties and sadaqat and public funding as a viable instrument to alleviate poverty rate among Muslims globally. Poverty is rampant and common among Muslims globally and their financial constraints call for urgent, collective and concrete efforts among OIC countries to improve the conditions of poor Muslims regardless of their colour, gender, nationality, and sect since Islam simplifies unity. The study analyses the types and nature of investment that can be invested in with integrated charities such as waqf properties, sadaqat and public funding to create employment in order to reduce the poverty rate in concerned and targeted nation. It will further analyze how the financial status of Muslims can be improved.

Total productive maintenance and manufacturing performance: Does technical complexity in the production process matter?

Abstract: This paper intends to discuss some findings from a study of TPM practices in manufacturing organizations in Malaysia. Total productive maintenance (TPM), a resource-emphasized approach moves the paradigm of maintenance by putting emphasis on total employee involvement in the maintenance activities.We studied the relationship between TPM practices and manufacturing performance. We investigated the moderating effect of the level of technical complexity in the production process in the TPM practices and manufacturing performance relationships as well. Significant relationships were found between TPM practices and cost.We also found the moderating effect of technical complexity in the production process on the relationship between TPM practices and manufacturing performance.

Assessing the current practice of Auditing in Islamic Financial Institutions in Malaysia and Indonesia

Abstract: Drastic development of Islamic financial institutions globally may lead to new expectations of and requirements for accountability, which in turn lead to new demands on the audit function of the institutions. The prohibition of interest and the aspiration of Muslims to make this prohibition a practical reality in their economies, has led to the establishment of a number of Islamic financial institutions around the world. The study examines the scope of the current practice of auditing in Islamic financial institutions using questionnaires survey in Malaysia and Indonesia. As Malaysia has taken drastic initiatives to become the global Islamic finance hub, and Indonesia having its own Shariah Audit manual for IFIs, it would be interesting to study on the development of these two countries in respect of the current scope of shariah audit practice. The findings record that the gap is wider for Indonesia which is in need of the four dimensions for Shariah audit tested in this study. The only gap that exists for Malaysia is in relation to the scope of Shariah auditing. This does not support the hypothesis that since Indonesia has a Shariah audit manual being in place in the country, at least they have a better guidance for the implementation of Shariah auditing. Majority of the respondents are in the opinion that more has to be done for Indonesia in the process of catching up with the development of Islamic finance in Malaysia in particular for this study, the auditing perspective.

Students' Saving Attitude: Does Parents' Background Matter?

Abstract: Parents play important roles in educating their child to behave appropriately in all aspects of life including financial management. The aim of this paper is to identify the influence of parents’ background on savings attitude among students in a Malaysian local university. The findings of the research provide useful information to parents as well as public on the importance of early financial planning exposure toward teenagers, in encouraging savings habit. 2146 questionnaires were distributed among USIM students came from various family background. Apart from bar charts, further analysis is conducted using cross tabulation. The results showed that the higher the levels of education background of parents, the lower the tendency for students to put aside their money for savings. Similarly, the higher the amount of respondents’ household income, the lower is the tendency for students to put aside their money for savings. It seemed that higher level of parents’ education background and higher household income does not contribute more effort for students in fund savings.

The Breadth and Depth of Related Party Transactions Disclosures

Abstract: This paper reviews the existing requirement on related party transactions (RPTs) disclosure in the Malaysian context and discusses issues surrounding such disclosure. As there are two conflicting effects of RPTs, sufficient information should be made available to assist investors in analyzing the risk and return of RPTs. We review prior studies and highlight issues of information disclosure related to RPTs, such as the variations in the level of RPTs disclosure. We propose future research on RPTs to apply content analysis using a voluntary disclosure index to understand more about the breadth and depth of the RPTs information.

Conceptual framework for Shari'ah corporate governance with special focus on Islamic capital market in Malaysia

Abstract: Corporate governance issue emerged with the birth of the corporations. Similarly, the need for Shari’ah corporate governance is given attention by the regulators, industrial players, Shari’ah advisors and researchers with the bloom of Islamic finance. There are limited literature and Shari’ah governance guidelines available for Islamic financial institutions. The existing guidelines are general and they not as specific as conventional guidelines. In addition, there is no Shari’ah governance guideline for Islamic capital market in Malaysia. Therefore, this paper aims to propose conceptual framework for Shari’ah corporate governance with special focus on Islamic capital market by integrating the conventional concepts of governance. We believe that the concept of Islamic accountability, independency, competency and transparency should be the basic foundation in developing the conceptual framework for Shari’ah corporate governance.

Relationship between Commodity Prices and Exchange Rate in Light of Global Financial Crisis: Evidence from Australia

Abstract: This study seeks to identify major factors behind recent fluctuations in Australian dollar. Using quarterly data for over 30 years and cointegration and error correction models, we found that in the long run exchange rate is determined by commodity prices, interest rate and other factors such as Global Financial Crisis. We found two-way Granger causality between exchange rate and commodity prices, but one-way Granger causality from Global Financial Crisis to commodity prices. The implications of our findings is that by providing substantial incentives to Australian producers, the policy makers in Australia can ensure competitive commodity prices and exchange rate. Portfolio managers could also benefit from our findings knowing the mechanism of Global Financial Crisis impacting Australian dollar.

Logistics Development in Malaysia East Coast Region: Infrastructure, Constraints and Challenges

Abstract: This paper examines the current logistics development in the East Coast Region of Peninsular Malaysia. Malaysia as well as other developing countries are still at the moderate stage in developing logistics systems and often face considerable challenges and constraints to provide efficient and effective logistics service. This research is based on survey conducted in the region. The respondents were from the different logistics players and stakeholders. Altogether there were 41 usable questionnaires were analyzed. In general the results reveal logistic players satisfied with the current logistics infrastructures in the region. However, further analysis found organizations that have been operated more than 10 years neither satisfied nor dissatisfied with the current logistics infrastructures. In addition this study found a couple of constraints and challenges in the logistics industry and amongst them were professionalism in supporting the development, skill of manpower and financial issues within organizations deal with logistics.

Efficiency Measurement of Malaysian Agriculture Firms

Abstract: The government's objectives for agricultural sector are to ensure food security, increase export earnings, and to improve productivity and competency. Given its importance role to the economy development, the present study aims to examine the efficiency and productivity level of selected agriculture firms in Malaysia. Precisely, this study will examine the efficiency of agricultural firms in Malaysia over the last 15 years period from 1995 to 2010 by using Data Envelopment Analysis (DEA). The results obtain from this study will help agriculture firms' management and policy makers to determine how successful the agriculture firms is, especially in achieving efficiency and productivity, make efficient production decisions and also to determine areas in which improvement is needed.

Personality traits and customer-oriented behavior in the health tourism hospitals in Malaysia

Abstract: The purpose of this paper is to investigate the relationship between personality traits and customer-oriented behavior in the Malaysian health tourism hospitals. The respondents wereconsisted of nurses inthe 13 health tourism hospitals in Malaysia. Data were collected by using administered on-site questionnaires and the constructs of this study were developed from past researchers with tested validity and reliability.Multiple regressionswere employed to test the relationship between personality traits and customer- oriented behavior.The findings of this study revealed that openness to experience and conscientiousness were significantly and positively related to customer-oriented behavior. These findings may be of help to healthcare managers to select the right candidates for customer-oriented nurses. In the health tourism industry, health tourists are looking for abroad medical facilities not only with experienced and well-trained medical professionals but those that offer high standard of care. Standard of care is related to human perception and preference as how the healthcare services are to be provided. Generally, the healthcare service providers are facing challenges from a rapidly changing operating environment due to the increasing expectations especially onthe healthcare services. In the past, patients were focusing only on the technical dimension and outcome of the medicaltreatment but nowadays, patients are viewing healthcare services from different angles and perspectives. The increased expectation of service delivery is due to the rising consumer affluence and well-informed patients with regard to the standard of care. In light of the rising expectation of patient care, responding to patient needs in an efficient and effective manner is obviously a crucial leverage point to the health tourism hospitals. If the country health tourism would to attain a distinguished position by extending its customer base, health tourism hospitals should make significant leaps in their level of care delivery. In this context, customer-oriented behavior will certainly make a difference and betterment in terms of improving patients' overall experience in the hospitals. This paper discusses the importance of nurses' customer-oriented behavior which is critical to success in gaining patient'spreference and howpersonality traits can influence their customer-oriented behavior.

Gaming Tourism Boom, Foreign Currency Inflows, and Dutch Disease Effects: an Empirical Model for Macau

Abstract: important role in Macau's economy since the 19 th century, 2002 change in local gaming legislation (i.e., gaming liberalization) led Macau to a new gaming tourism era and also to the suspicion of Dutch Disease effects. Therefore, under a framework where 2002 gaming liberalization is regarded as the trigger for the gaming tourism boom in Macau, we econometrically tested the impact of selected GT indicators on the domestic exports of goods and assessed the presence of the Dutch Disease phenomenon in Macau, effectively linking this concept with the territory's economic reality. The understanding of the underlying phenomenon of Macau's economic reality is essential to design a suitable strategy to manage its potential long-run effects. In our view, suffering from the Dutch Disease should only represent a serious economic problem to Macau if the territory loses its gaming privileged position. Therefore, we consider that in order to adequately manage the Dutch Disease potential harmful effects priority should be given to applying the gaming tourism revenues in investments that aim the creation of lasting value in this region and contribute to its sustainable development, such as education and health.

Audit Services Fee, Non-Audit Services and the Reliability of Earnings

Abstract: External auditing is essential due to the belief that it can enhance users' reliability of the financial reports. However, negative perception on auditor's independence decreases investors' reliability on the reports. The purpose of this study is to examine the effects of audit and non-audit fees on earnings response coefficient. Negative perception on auditor's independence concerning the high amount of fees decreases the investors' reliability on audited earnings and thus, results in lower ERCs. Based on 270 listed companies on the Bursa Malaysia in 2011, the OLS regression result shows that investors place lower reliability on earnings audited by highly paid auditors. Investors view high fees as a form of compensation to the auditors. The finding is consistent with earlier perceived studies which had found negative perceptions on high fees.

Access to ICT as moderating factor to women's participation in the labor force: a conceptual framework.

Abstract: This study focuses on the development of the conceptual framework explaining the participation of women in the labor market with a particular interest on the role of Information Communication and Technology (ICT). Various studies have found that women's participation in the labor market can be triggered by the many factors. Almost all studies stated that the involvement of women in the labor force normally is associated with economic, socio-demographic and cultural factors. In this technological age, there is a notion that the ICT also plays an important role in determining a woman's decision to work. ICT enables workers to do their job more efficiently, saving both time and monetary costs. ICT may contribute to women participation in the labor market through provision of better access to job market information. In addition it provides women with greater flexibility by allowing them to work from home. For an organization, the monitoring system for the efficient ICT infrastructure and high accessibility, may allow women doing her job at home. Nonetheless there are challenges remain to be addressed particularly in the case of Malaysia as a great disparity in the accessibility of ICT, especially in rural areas.

A Second-Order Factor Gender-Measurement Invariance Analysis of Financial Exclusion in Ilorin, Nigeria

Abstract: This study examines a measurement invariance of a second-order factor models of financial exclusion among micro-entrepreneurs in Ilorin, Kwara State, Nigeria. Data elicited via a survey questionnaire was analysed using both the Statistical Package for Social Sciences (SPSS) 20.0 and Amos 20.0 software. The study revealed that financial exclusion as a second order factor is indicated by debt phobia, religion, financial complacency, and affordability and eligibility first order factors. Measurement invariance was tested based on gender via a set of hierarchically structured levels: a) configural invariance, b) metric invariance of both the firstorder and second-order models, c) intercepts of both the firstorder and second-order models, and d) residuals of both the first-order and second-order models. The groups were found to be invariant across the models. Moreover, based on t-test at alpha of 0.001, the latent mean difference tests of the second order model indicates no statistically significant difference on a path by path basis along gender divides. This provides a further questioning on the focus on women of financial inclusion programmes