Serbian Journal of Management

Algorithms for assessing the qualitative and quantitative risks of lending to small and medium-sized businesses based on Fuzzy calculus

Sergey Sveshnikov, Victor Bocharnikov, Tatjana Uvarova, Petr Kovalchuk — Wed, 10 Apr 2024 00:00:00 +0200

Today, crisis conditions in the economy and finance require high-quality risk assessment. In the article, the authors propose two algorithms for assessing the projects lending risks (PLRs) to small and medium-sized businesses. To assess qualitative PLRs, we proposed to use a hierarchical system of criteria, in which the importance of the criteria is described using the Sugeno fuzzy measure, and the generalized estimate of the qualitative risk is calculated using the Sugeno fuzzy integral. To evaluate quantitative PLRs, we proposed to use the characteristics of fuzzy numbers that describe the project effectiveness criteria and have an arbitrary-form membership function. In addition, to describe quantitative risks, we proposed to use the risk-function of a fuzzy number, which reflects not only the size of possible losses, but also the possibility of their occurrence. This allows you to comprehensively and objectively assess the level of risks. We have demonstrated and discussed this algorithms on the example of preparing data for making a decision on lending to a project for the production of corn syrup in Ukraine.

Assessing the spillover of shocks from the oil market to the stock market of different industry sectors in America - a quantile regression approach

Sanja Bakić — Tue, 07 May 2024 00:00:00 +0200

The research problem of this paper examines the impact of Brent oil price shocks on stock returns of nine companies from the US market, operating in three different industrial sectors. The observation period covers 2015 to 2023. The research process involves determining the impact of shock transmission using a quantile regression approach. The results show that most of the evaluated quantile parameters are highly statistically significant, i.e. with more than 99% probability. The estimated quantile parameters have the property of being able to observe the spillover effects of shocks in different states of the economy, such as recession, normal state and expansion. The research results suggest that the spillover of shocks from the Brent oil market is most pronounced in the automotive industry sector, that is, in the companies that are most dependent on oil for energy. The significance of the research is reflected in the lack of existing research that deals with the impact of the most important commodity in the world on the prices of company shares with the application of this methodology, which is also a contribution to science. Finally, the results of this research are very relevant for making investment decisions for economic policy makers, investors and company management.

A bibliometric and thematic review of green marketing and green consumer behavior research from 2000 to 2022

Sulabh Agarwal, Richa Singh Dubey — Mon, 11 Mar 2024 00:00:00 +0100

Overconsumption habits of consumers have led to the exhaustion of resources at the blazing rate which causes damage to the environment. Green marketing evolved as an important medium to satisfy human wants with minimum negative impact on the eco system. Thus, many researches been conducted in the area of green marketing over the last two decades. However, the discussion of its impact on consumer behavioural context is still having deficit of systematic and thorough bibliometric research. This paper aiming to consolidate the standard research on green marketing by bibliometric study of published papers and articles during last 22 years from 2000 to 2022. In addition, the results show evolving trends of keywords, productive and impactful countries, organizations or institutions, authors, research articles and journals; international collaborations and authorship patterns on green marketing and its impact on consumer behavior. During the study period, a gradual increase in the research on green marketing is observed which has surmounted after Covid 19 spread. A total of 482 articles that were published in 216 journals, books, conference proceedings, etc catalogued in renowned index namely, Scopus and WOS (Web of Science) for this period were identified and analysed using bibliometric technique. Future researches may cover other databases for more comprehensive analysis.

SMEs digitalization readiness in supporting Sharia fintech: framework development using quadruple perceives in fuzzy analytical hierarchy process (FUZZY AHP)

Mahyarni Mahyarni, Okfalisa Okfalisa — Tue, 12 Mar 2024 00:00:00 +0100

The role of Quadruple Helix in promoting the development of digitizing SMEs highlights the significant contribution of Sharia fintech as a new challenge to sustainably and creatively face the Covid-19 disruption. This paper developed a framework of SME's Digitalization Readiness in Supporting Sharia Fintech to scrutinize the quadruple Helix perceptions and the success of digitalization. Furthermore, a Fuzzy-AHP approach is applied to analyze the significant weight of Quadruple Helix interaction and distinguish between universities, industry, communities, and government. This creates the basis of a sustainable corporate sector through the consideration of Information Technology (IT), economy, and Sharia within business activity, transaction, marketing, management, micro- environment, and macro-environment, circumscribed into 24 sub-indicators. This study found that university academicians view business activity as the most significant indication for gauging the digitization readiness of small and medium-sized enterprises (SMEs) based on Sharia fintech. It is followed by marketing, transaction, management, micro, and macro environment. Meanwhile, the other sectors including industry, communities, and government discerned marketing as the deliberation of the SMEs' Sharia-based success digitalization. This framework stimulates and synergizes an integrated works, innovation, economic growth, productivity, technology, knowledge, and skills of Quadruple Helix roles in facing the competitive advantages of digital era with concerning on the Sharia values. The prioritized analysis and recommendation from this framework admit as a guidance tool for Quadruple Helix in decision making and strategic policies in achieving the success of the digital transformation.

Value relevance of managed earnings in Indian firms: an impact analysis of IFRS convergence using dynamic panel models

Lorraine Rayelle Gomes, Juao C. Costa — Fri, 19 Apr 2024 00:00:00 +0200

The study explores the relationship between earnings management and value relevance of accounting information of Indian listed firms by investigating three different modes of earnings management – total, short-term and long-term discretionary accruals. Additionally, the study investigates the impact of the converged International Financial Reporting Standards (IFRS), known as Indian Accounting Standards (IndAS), on earnings management which in turn influences value relevance. This study is the first in India to analyse the differential effects of short-term and long-term earnings management on value relevance and to address the endogeneity issue in the price value relevance model through dynamic panel modelling while controlling for the use of the IndAS. The study finds a significant effect of both short-term and long-term accruals management on value relevance and a positive influence of IndAS on the relationship between earnings management and firm value

Does time matter? Impact of financial decision-making abilities on financial choices mediated by time perspective

Imtiaz Arif, Lubna Khan, Nida Irshad — Tue, 02 Apr 2024 00:00:00 +0200

The aim of this paper is to examine the relationship between financial decision-making ability and financial choices, and also to check the mediating role of time perspective in this relationship. Financial decision-making ability is composed of two factors: financial behavior (FB) and financial literacy (FL). Whereas, three financial choices are used, which are: investment, savings, and consumption. Using structural equation modeling (SEM), the sample of 380 participants was used to analyze the results. The findings indicate that both financial literacy and financial behavior significantly increase the investment and choices of individuals, while financial behavior also increase consumption. In addition, study found that different factors of time perspective also mediate the relationship between financial decision-making ability and financial choices. The paper concludes with significant policy implications.

Applying attitude theory to determine user security approaches

Kata Rebeka Szűcs, Andrea Tick, Regina Zsuzsanna Reicher — Tue, 13 Feb 2024 00:00:00 +0100

Mobile phones and internet form a crucial part of modern life, which raises important questions, such as security, data protection and privacy. Countless studies examine what influences users' approaches towards security. The attitude theory gives the basic background to the present study through which the topics of cyber safety and security, data protection and privacy are examined. The three components of attitude, which served as the three pillars of the applied survey, are: (1) the cognitive component (belief and knowledge), (2) the affective component (feelings) and (3) the behavioural component (the effect of the attitude on the users’ behaviour). Self-reported security knowledge and feelings about security were assessed, out of which three factors were formed using EFA. The security behaviour of each factor was examined to determine the consistency of the responses. Moreover, the three factors helped to identify three separate clusters. As a conclusion it can be stated that the theory of attitudes can help understanding user security behaviour better. Finally, future research directions are suggested.

Еffects of sectoral structure of foreign direct investment on economic development: the case of Еuropean developing countries

Danijela Despotović, Miloš Dimitrijević, Marko Savićević — Tue, 26 Mar 2024 00:00:00 +0100

The inflow of foreign capital from multinational companies from all over the world, in the form of foreign direct investments (FDI), intensified economic dynamics and contributed to the improvement of macroeconomic performance. In certain economic sectors and activities, FDI has become the carrier of economic growth, encouraged by intensive processes of deindustrialization and reindustrialization. Namely, FDI can have both positive and negative impact on economic growth and development. This depends on the ability of the economic sectors to overcome the negative effects of FDI in a certain period of time, which can only be achieved if the sectors are export-oriented and introduce new technologies into their operations, thereby increasing productivity and competitiveness. Ordinary Least Squares (OLS) panel regression showed this was not the case in the primary and secondary sectors in the countries of Central and Eastern Europe (CEE) and the Western Balkans (WBs), which are still predominantly labor-intensive and therefore have a negative impact on economic development. As opposed to the agricultural and industrial sectors, the services, under the influence of technological progress, is profiled as a capital-intensive sector with a statistically significant positive impact on economic growth and development.

Managing operational risk in banks during times of instability

Jelena Sobanova, Marina Kudinska — Wed, 28 Feb 2024 00:00:00 +0100

Operational risk management for banks is becoming more important every year and getting more crucial during times of instability. According to the research, most of the banks were not prepared for COVID-19-pandemic and had to review operational risk procedures immediately to secure their businesses in working from home environment. The War in Ukraine nowadays also influenced operational risk management in banks significantly. The aim of the paper is to understand the operational risk management challenges in banks during times of uncertainty, to highlight the operational risk management weaknesses when working remotely during pandemic or other unpredictable circumstances and to find out potential operational risk management solutions for banks. By gathering and analysing survey data from the finance sector's workforce and empirical evidence, the research is aimed to identify the gaps in managing operational risk in banks during times of instability, making the subject current and relevant. Factors influencing operational risk management form the basis of the qualitative method used in this study. The key findings and results are that banks must re-evaluate their business continuity planning strategies and reinforce their remote working policies, to adjust the controls that exist and enhance the processes that don't have any controls at all with the focus on transaction processing

The role and factors impacting virtual human resource management capacity to build remote teams' reliability and retention

Lucie Depoo, Aimee Hermida — Mon, 11 Mar 2024 00:00:00 +0100

The paper investigates the impact of virtual human resource management techniques on the effectiveness of remote teams and employee’s retention to the organization. The paper provides relevant and new information on virtual teams given the transformational impact resulting from the COVID pandemic. Data was gathered from 323 managers working with virtual teams formed a base for this study across the globe using an anonymous survey. Data was analysed by two-dimensional statistics. The findings revealed that the implementation of the VHRM has led to high productivity, effectiveness and retention capacity of employees as they learn to adapt to the technological changes. Results demonstrate that adequate effort and resources invested in VHRM, human resource managers can identify and implement work efficient solutions, investing in new technology/tools for virtual teams (48%), improving communications (52%), and offering new upskilling opportunities for employees, that maximize employee output. Based on the results, remote team effectiveness is not directly affected by virtual work and mainly relates to the career possibilities as well as improved communication combined with professional development. Improvement is tied to integration of Artificial Intelligence, which significantly improve efficiency and workflows, awarding performance and supporting growth.

The influence of corporate characteristics on CSR reporting in Serbia

Ivana Markovic, Marina Janković Perić, Biljana Rabasović — Tue, 13 Feb 2024 00:00:00 +0100

The trend that increasingly places importance on environmental protection, ethical behavior towards all relevant stakeholders, and community involvement puts the business practices of large companies and the consequences that business has on society as a whole under the public’s supervision. For this reason, corporate social responsibility disclosures are constantly gaining importance and attracting the attention of the professional and academic public. The aim of the study is to examine the influence of corporate characteristics (ownership structure, age, and size) on CSR reporting on a sample of corporations whose shares are listed on the Belgrade Stock Exchange in the regulated part of the market in the time period from 2017 to 2021. Panel regression analysis was used to test the hypotheses. The results of the survey indicate that the concentration of ownership and the age of corporations have a statistically significant negative impact, while the size of the corporation has a statistically significant positive impact on reporting on corporate social responsibility in the Republic of Serbia.

Еxploring frugal innovation’s contribution on the manufacturing companies: an in-depth systematic review

José Morelos Gómez, Diana Vargas Franco, Gisselle Romero Sánchez — Thu, 16 Nov 2023 00:00:00 +0100

In this paper, a systematic review of the literature was carried out in order to identify the contributions of frugal innovation in the manufacturing sector. The above, with the objective of knowing these innovations, highlighting the relevance and its contribution to this sector within the global emerging markets. The PRISMA method was used to perform meta-analysis of the theoretical, scientific and practical contributions of goods and services resulting from the frugal philosophy in the emerging manufacturing sector. To achieve the objectives of this research, three indexed databases of high scientific quality and visibility were considered: Scopus, Ebscohost and Science Direct in the period 2010-2020, with a search equation defined by keywords and exclusion and inclusion criteria, in which a first search of 15079 articles was obtained. As a result of the final filtering process, 52 documents were obtained that allowed the identification of these innovations, their classification, description, frugal, social and economic contribution in the benefited communities. This paper provides relevant findings related to the contribution of future perspectives of similar studies and empirical evidence of frugal operational processes (products) that drive the competitiveness of manufacturing firms.