Emerging Markets - Science topic

Managing the process of financial, organizational and technological restructuring in an enterprise operating in an industry in an economic crisis caused by the SARS-CoV-2 (Covid-19) pandemic.

I agree

“Seriousness” is an adjective for reference and its main purpose is training and investigation, and since training is a process of acquiring and transferring knowledge, skills as well as capabilities, this requires:

Determine the cognitive bases of the concept.

Defining "serious games" skills with training

Design a model to integrate "serious games" with training

Hi Bakhtear Talukdar ,

Thank you for your response. I will check it at the earliest time possible!

The impact of what is known as the psychology of the financial markets was seen during the initial phase 1 of the pandemic. When in March 2020 the World Health Organization announced the state of a global epidemic, i.e. the state of the SARS-CoV-2 (Covid-19) coronavirus pandemic, then there was a strong sell-off of stocks and commodities on commodity exchanges. The stock market crash resulted from the predominance of investors' fear and uncertainty about the situation in the markets and the economy. The aforementioned crash was characterized by a large amplitude of decline in stock exchange indices, but it was relatively short-lived. The declines in indices were halted as central banks cut interest rates. At that time, the situation in the markets calmed down and the trends were reversed from downward to upward.

Regards,

Dariusz Prokopowicz

The empirical test of the relationship between risk and return as suggested by the CAPM is usually anticipated to fail, or at least to change over time. See, for example, the empirical work of Eugene Fama and Kenneth French:

as well as the empirical work of Michael Jensen, Fischer Black and Myron Scholes:

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=908569.

Nonetheless, it is one of the most important entry models taught in lectures.

Your findings will most likely occur because of the chosen observation period or data series.

When i googled, I found a plethora of research discussing the consumer behaviour of low-income consumers .. But may be sparse studies are done regarding the middle-income consumers .. Other studies examined the relation income, social class, and consumer behaviour.. Here is the link for one research:

Magnitude of international investors, and FDI

Surely we cannot blame everthing on liberalization and deregulation. We cannot have the cake and eat it as well. Libralization and deregulation comes with strengths and weaknesses that we are well aware of. We have enjoyed the positives and the negatives is the outcome of what we went through. A volatile market is better than a flat market. Risk management is key to long-term survival and sustainability of any institution.

Dariusz Prokopowicz initially, the new financial theory suggested that investors psychology have the great impact on securities prices. Investors biases and behavioral pricing models focus on how to deal with such matters in real world. Therefore, we can be conclude that future works could be take in consideration the role of behavioral economics.

you can add on those, political instability, security problems,low purchase power ,etc

Emerging markets will definitely play a future role in exponential manufacturing; this is, however, a matter of entrepreneurial firms and economic freedom.

Mr Gupta. I think, as far as development economics is concerned, there are research gaps everywhere. The areas you have mentioned are among the most popular, and may be one would add to them unemployment income distribution and governance, and there are interesting research gaps in each of them. How about topics related to youth unemployment in southeast Asia, or income distribution and economic growth in Africa. Best of luck.

In addition to Prof Abel Olaleye's comment on cultural belief, I also think the ambiguities/inadequacies involved in the structure of REITs in Nigeria also affect its acceptability and patronage by investors.

Dear Kheepe Lawrence Moremi I am from Jordan. The Jordanian market is classified as an emerging market, according to the market classification index (Agility Logistics). the classification of Jordan market to emerging markets for several factors that are measured (security, services, laws, legislation, wealth distribution, business environment).

Dear Ratnam

In the numerator (market value of assets) emerging market prices are volatile because of great variations temporally in risk and liquidity. In the denominator (replacement cost of assets) emerging markets tend to have high inflation.

Dear Alex,

When Smith's institutional assumptions are combined with his natural and psychological assumptions, we get hitchless growth. You can look up Schumpeter's "History of Economic Thought" on this. If the institutional assumptions are constrained in the direction I indicated, then growth becomes hitched, which makes stationary or sustainable growth, or even decay possibile.

For an individual investment, or investment portfolio, the investor's a priori (perceived) risk measure can be quantitatively captured by their estimate of the beta, standard deviation, semi-variance (lower partial moment), kurtosis, and/or skewness. Another approach is to view the merits of the investment on a risk-adjusted return basis.

The following website is created to offer everyone who is interested in spillover effects the opportunity to start their own investigations. You can apply the procedure of Diebold and Yılmaz (2014) without having any programming skills .

Yes, the genesis of global economic crises be combined with technological revolutions.

John Wilkerson My research is on reverse logistics in SCM and am particularly working on perishable items, using Data Envelopment Analysis for performance evaluation of reverse supply chain management of perishable items.

I shall send you a proposal later, if you so wish.

Thanks

Thank you @Prof. Dr. Janabi, Narjan, and Peter, advise taken. @

There are so many question you can ask...look at papers on RG on the topic.

thats great send me at de201565008@uibe.edu.cn

Dear Researcher

We have authored a research paper given below. This might help you-----

“Inter-linkages between Stock Returns of Emerging Economies: An Empirical Study” published in HSB Research Review, Vol. 8 No.1, Jan- Jun 2014, ISSN: 0976-1179, pp. 14-27 (jointly authored by Bodla, B. S. and Pooja Yadav) .

This paper is available on researchgate.

Dear Abdullah,

The effect of the events such as wars, political instability, policy changes or other kind of events can be tested using structural break analysis. This link may be helpful for you. 

Best wishes,

You may try Morningstar.

Thank you so much for your perspective. My question is in case of wholly owned subsidiary whether a country is imposing local supplier condition. Because under that condition wos becomes difficult and firms would have to go for jv

I think regulators should ensure that listed companies have a minimum float ratio.  The high ownership concentration in many frontier markets means that turnover tends to be very low and this can lead to market inefficiency.

HI,

You may find some ideas in this paper:

Momentum, Reversals, and Fund Manager Overconfidence

Financial management Fall 2016, vol 45 issue 3, (pages 609–639)

Biljana N. Adebambo and Xuemin (Sterling) Yan

Best regards

I would suggest

Acharya, S. (1988). A generalized econometric model and tests of a signalling hypothesis with two discrete signals. The Journal of Finance, 43(2), 413-429.

Intervention that reduces exchange rate volatility, for example, also

reduces the risks of speculation, creating a feedback loop and potentially leading to

high levels of speculation, reserves volatility and intervention costs. These

intervention costs will be especially large when exchange rate movements are

driven by interest rate shocks, although some degree of opaqueness can help to

reduce them.

When discussing about "emergent market" a distinction should be made between markets in the former countries having a socialism regime (see the Central and Eastern European countries) and countries from a former capitalism regimes. In the first case, economies are coming from a state own system and they suffered many changes through different privatization processes. Since I am living in such a country, I would like to remark many differences from the standard strategic thinking in well-developed economies. People should learn first about the competition and competitive advantage and then they should learn about strategic thinking ( by contrast with the deterministic thinking used in socialism planning). In such kind of contexts, it is important to consider the fundamental ideas of strategy design and implementation, but to adapt these models for large corporations and global business to the specific political, social, economical, technological and educational business environment. Also, it is important to consider the cultural environment since decision making process depend on the cultural values in a given country. In conclusion, instead of discussing about "standard strategies" it would be more adequate to discuss about strategic thinking and adapted models of deliberate and emergent strategies to the specific market conditions.

Because of the normalization you get rid off the size: effect Larger countries (in terms of GDP or population) receive higher capital inflows. By looking at relative variables, you can focus on other determinants (long run growth potential, availability of an educated labor force or whatever).

The other issue is that capital flows might be nonstationary. By dividing through GDP, you will probably produce a more stationary variable.

I had a similar problem in my thesis. Go through the ARDL model, it is used when all the variables are not integrated of the same order.

Good Luck.

See if variable is log normal (normal after taking log transformation). In your regression model, make sure:

-Errors are normal

-Errors do not have serial correlation

-No heteroskedasticity

-No autoregressive heteroskedasticity

-Test for granger causality if making causal claim.

Dear Ehsan,

Thank you very much!

Many thanks, Larisa.

Max,

Sharing some perspectives from the emerging market

I'd be interested how you apply your interesting thought to Somalia from whence I have just returned.

For comparable data, best to chevk the statistical databases of International Organisations, such as IMF, WORLD BANK, UN, OECD to name a few.

Dear Besnik

Please see the Leo Dana's books:

1. When Economies Change Hands: A Survey of Entrepreneurship in the Emerging Markets of Europe from the Balkans to the Baltic States

2. When Economies Change Paths: Models of Transition in China, the Central Asian Republics, Myanmar & the Nations of Former Indochine Française

They are great books and are country-based!

Thank you !!

I agree with the preceding views.  There are plusses and minuses at once in this issue.  VC is much needed.  In fact in emerging markets all capital that is invested in businesses are like VC due to the lack of overall transparency, accountability, and responsibility issues.  Further, the treatment of investing shareholder, in this case the VC, will bring in a lot of experience and guidance and direction to the business.  However, by nature they want to cash out when the time comes.  In this case the financial sector infrastructure and the markets will be the outlet.  If there is inadequate enforcement of the rule of law (property rights, transfer, contracts, market access, crony capitalism blues, etc) then the perceived risk are going to be extremely high in that market place.  IPOs will not allow for full pricing of the risks underlying the business venture, and therefore the stock will usually be underpriced, or it will not reach its potential.  THis is a major drawback in investing in emerging markets.  VC formation in the sense of the say US Silicon Valley applications will be enormously risky.  Investors will require very high premiums to enter this market.  THus one possible way out of this is to have a strong market for control and this requires behind the scenes negotiations.  You do not need a financial market for that.  THis is one of the weaknesses of financial liberalization without adequate legal and regulatory frameworks in place, and a strong and liquid capital markets formation.

Dear Carl Robinson

Greetings,

There are many factors may be effect of stock market transition such as economic factors ( GDP , Exchange rate , inflation , unemployment rate .....) and financial factors ( size , debt , liquid , profitability ......) . I think these factors need to test statistical tools and show the results.

Best Regards

As information is the currency of the sharing economy, the slower rate of participation in the sharing economy may be explained by the slower rollout of access-enabling technologies. Institutional bottlenecks and regulatory gridlocks are prevalent. Resulting in heterogeneous access to public media in Asia (2012):

https://www.opensocietyfoundations.org/sites/default/files/production-consumption-20100212.pdf 

Discounting infrastructure challenges and slow rollout, there are cultural obstacles as well. Whether this is a response to the prevailing regulatory climate is unsure. Knowledge sharing in IP intensive firms in the South-East Asian context seems to be hampered by the lack of an "organizational learning environment", where employees are not expected to be "performers":

You will have to spend time understanding the context I which you intent to do business in. PESTEL analysis is always a good start. The leadership requirements (role) must be aligned to the opportunities and challenges identified.  If you do not have the requirements you must either obtain them or appoint and develop leaders to acquire them. You cannot just enter into a turbulent market and think it is "business as usual". Each context requires its own unique strategy.

FISCAL POLICY: The idea that government expenditure would lead to the creation of job, and therefore, per capita income makes sense in theory and may have work for many countries. However, mere increase in government expenditure itself without targeting job creation would not have that effect. The building of roads, power dams, etc. in the US had helped the US eased its way out of recession, but similar effect is difficult to repeat in other countries. Poorly managed fiscal policy generally lead to deficit spending or corruption and the regular Joe and his family do not see a penny of the "trickle down effect" that suppose to come. If tax incentive is use to attract foreign investment to come and invest---and create job, this would be more targeted fiscal policy. generally, the policy would designated a certain territory or industry sector to help ease unemployment through its tax incentive tools. However, fiscal policy alone may not be enough to curve unemployment especially in a case such that of South Africa where unemployment is 25%.

MONETARY POLICY: generally, emerging economies, such as India for example, would use monetary policy to target employment. The rationale is that if the interest is low, companies would borrow money to expand and the expansion leads to job creation. Low interest also help stimulate spending. The combined effect is to fuel the economy and reduce unemployment. South Africa has 25% unemployment and a large labor pool of unskilled workers; both fiscal and monetary policy tools could be used if carefully crafted and implemented.

UNSKILLED LABOR FORCE: This input factor should be exploited. Thirty years ago, the ASEAN countries were unskilled labor region. It attracted labor intensive manufacturing, such as textile manufacturing for export to the advanced economies. In time, the economy grew and employed people. Today, the ASEAN moves up a notch to semi-skilled and skilled manufacturing assembly. South Africa, having its own deep sea port and strategically located in the continent of a large market and well connected to the outside world--could use the large pool of unskilled labor to its advantage. Tax incentive (fiscal policy) and labor interest rate (monetary policy) may be used to attract FDI inflow and relieve the current job market stagnation.

In addition to my point above, you will observe that Adjustment to new political environment as an issue for SMEs in sub-Saharan Africa.  Another challenge for innovation is clusterism.  Many scholars identify that SMEs compete for the same small market and over congested market.  In simple terms, this builds into SMEs in Africa south the Sahara operating in clustered industrial markets. 

Reference suggestion - Parker, R.L, Riopelle, R and Steel, W.F 1995. Small enterprises Adjusting to Liberasation in Five African countries. World Bank Discussion Papers Africa Technical Department Series

Yoshino, Y 2011. Industrial Clusters and micro and small enterprises in Africa: from survival to growth

   

Thanks so much for your responses and should any one come across how to deal with endogeneity, it will be appreciated too. I tend to think that the consequences we arrive at by some of these methods could also be inclusive of other factors other than Corporate governance codes.

Best

Erick

Thanks Tiia

You can have a look at this book, too: http://www.klausmeyer.co.uk/publications/2011_peng_meyer_International_Business_preface.pdf

From that file you'll see which topics are often taught at such courses. Enjoy your module!