Bankruptcy law challenges the United Arab Emirates

2017 ◽  
Keyword(s):  
United Arab Emirates ◽  
Financial Institutions ◽  
Foreign Investment ◽  
Direct Investment ◽  
Arab Countries ◽  
Bankruptcy Law ◽  
2008 Financial Crisis ◽  
Content Type ◽  
Oil Sector ◽  
The 2008 Financial Crisis

Subject Legislation on insolvency in the United Arab Emirates. Significance The long-awaited federal bankruptcy law came into effect on December 29, three months after its publication. The 2008 financial crisis highlighted the need to adopt comprehensive insolvency legislation, after many debtors fled the country to avoid penal consequences -- including time in prison -- when their businesses crashed. However, despite low oil prices it was not until 2016 that steps to formalise the bankruptcy law were expedited, with the aim of promoting foreign investment and business development. Impacts Foreign direct investment in the non-oil sector will increase. Some financial institutions could be slow to take account of the new legislation. Other Gulf Arab countries may look to the UAE bankruptcy law as a model.

Does foreign direct investment influence R&D activity in the host country? Evidence from Vietnam

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Van Ha ◽  
Mark J. Holmes ◽  
Gazi Hassan
Keyword(s):  
Foreign Direct Investment ◽  
Foreign Investment ◽  
Direct Investment ◽  
Probit Model ◽  
Innovation Activity ◽  
Heckman Selection Model ◽  
Content Type ◽  
Domestic Firms ◽  
The Impact ◽  
Local Firms

PurposeThis study focuses on the linkages between foreign direct investment and the research and development (R&D) and innovation activity of domestic enterprises in Vietnam.Design/methodology/approachThe Heckman selection model approach is applied to a panel dataset of nearly 7,000 Vietnamese firms for the 2011–2015 study period to investigate the impact of foreign presence on the R&D of local firms through horizontal and vertical linkages. Probit model estimation is employed to examine how foreign investment influences the innovation activity of local companies.FindingsWhile there are a small number of firms carrying out R&D activities in Vietnam, foreign or joint domestic–foreign venture firms are less inclined than domestic firms to undertake R&D. Domestic factors that include capital, labor quality, location and export status of firm have a significant effect on the decision of domestic firms to participate in R&D activity. Only forward linkages and the gross firm output are found to have an impact on the R&D intensity of domestic enterprises, while other factors appear to have no significant influence on how much firms spend on R&D activities.Practical implicationsIn order to promote the R&D activity of domestic firms, policy should focus on (1) the backward linkages between local firms in downstream sectors with their foreign suppliers in upstream sectors, and (2) the internal factors such as labor, capital or location that affect the decisions made by domestic firms.Originality/valueGiven that foreign investment may affect R&D and innovation activity of local firms in host countries, the impact is relatively unexplored for many emerging economies and not so in the case of Vietnam. The availability of a unique survey on Vietnamese firm technology and competitiveness provides the opportunity to address this gap in the literature.

South Sudan faces a bleak development outlook

2021 ◽  
Keyword(s):  
Economic Reform ◽  
Foreign Investment ◽  
Government Revenue ◽  
International Organisations ◽  
Peace Agreement ◽  
Content Type ◽  
South Sudanese ◽  
Basic Services ◽  
Oil Sector ◽  
Development Outlook

Significance A 2018 peace agreement was meant to provide space for economic reform and recovery, but it has failed to deliver this. Moreover, the outlook for improvement remains poor. Impacts Many South Sudanese will remain reliant on international organisations to provide basic services. Corruption and mismanagement will deter foreign investment, including in the oil sector, the main source of government revenue. Despite a formal end to the conflict, persistent insecurity and the risk of further unrest will constrain the recovery.

The role of customers and employees in the buffer effect of corporate social responsibility in times of crisis

2020 ◽  
Vol 46 (7) ◽  
pp. 955-975 ◽  
Author(s):  
Dorra Ellouze
Keyword(s):  
Financial Crisis ◽  
Negative Impact ◽  
Employee Productivity ◽  
Negative Events ◽  
Buffer Effect ◽  
2008 Financial Crisis ◽  
Content Type ◽  
Cooperative Relationships ◽  
The 2008 Financial Crisis

PurposeThe purpose of the paper is to investigate the role of customers and employees in the buffer effect of CSR around the 2008 financial crisis in the European context.Design/methodology/approachUsing a sample of 323 European firms listed in STOXX Europe 600 Index, different models are estimated to test whether the effect of CSR ratings on firms' relationships with their customers and employees could be different during the 2008 financial crisis relative to the pre-crisis and post-crisis periods.FindingsThe paper shows that CSR rating has a significantly negative impact on firms' accounts receivable and a significantly positive effect on employee productivity during the crisis period (from 2007 to 2009). However, there is no significant effect of CSR rating during the non-crisis periods. These results suggest that during negative events, customers are willing to continue supporting high-CSR firms by paying their invoices faster. Furthermore, these firms benefit from higher productivity of their employees who are willing to work harder in periods of uncertainty.Research limitations/implicationsFirms should invest in CSR practices to maintain strong and cooperative relationships with their customers and employees. Also, investors should choose firms engaging in more social capital. Moreover, policymakers should encourage implementing CSR practices which act as an insurance-like protection in times of negative events.Originality/valueThis paper adds to the previous studies by investigating whether the cooperative role of customers and employees can explain the buffer role of CSR around the crisis. Furthermore, it considers companies located in several European countries for a long period (from 2004 to 2012) to compare periods of crisis and non-crisis.

Fading FDI faces increasing challenges in Chile

2016 ◽  
Keyword(s):  
Foreign Direct Investment ◽  
Foreign Investment ◽  
Direct Investment ◽  
Food Industry ◽  
Public Infrastructure ◽  
Sharp Drop ◽  
Content Type ◽  
Investment Promotion ◽  
The Government

Subject The fall in foreign investment last year. Significance The government has launched a new Foreign Investment Promotion Agency (APIE) to buck a sharp drop in foreign direct investment (FDI) last year. Breaking with the country's long-standing sector-agnostic approach, the agency will seek to attract investment to specific sectors, including energy, public infrastructure and the food industry. Impacts A more business-friendly administration in Argentina could potentially divert FDI from Chile. Critics of the new FDI regulation maintain that it will dampen inflows. Efforts to attract investment in food and mining services represent a bid to diversify from mineral exports.

Liberia's next president faces mounting expectations

2017 ◽  
Keyword(s):  
Financial Institutions ◽  
Foreign Investment ◽  
Government Expenditure ◽  
Public Spending ◽  
International Financial Institutions ◽  
Content Type ◽  
Capital Spending ◽  
Election Violence ◽  
Poor Infrastructure

Significance Whoever succeeds outgoing President Ellen Johnson Sirleaf will have to tackle widespread state corruption, cut recurrent government expenditure and boost infrastructure spending to spur economic growth. Impacts Post-election violence could spike if the opposition loses and accuses a partial electoral commission of manipulation. Low capital spending and poor infrastructure will remain a persistent deterrence to long-term private and foreign investment. International financial institutions will pressure the new government to cut public spending. Further delays to a proposed constitutional referendum are likely.

Examining why developers encourage foreign investment in local residential real estate in India

2016 ◽  
Vol 9 (4) ◽  
pp. 580-600
Author(s):  
Alok Tiwari ◽  
Mohammed Aljoufie
Keyword(s):  
Real Estate ◽  
Housing Market ◽  
United Arab Emirates ◽  
Foreign Investment ◽  
Large Population ◽  
Political Stability ◽  
Primary Data ◽  
Residential Real Estate ◽  
Content Type ◽  
Property Developers

Purpose The study aims to explore the role of non-resident Indian (NRI) investors into staggering local housing market and the efforts of developers and regulators to lure such investors. Design/methodology/approach Primary data for this exploratory study were assembled through a Google form-based questionnaire circulated over internet among NRIs residing in Kingdom of Saudi Arabia, USA, Singapore and United Arab Emirates, whereas the secondary data sources include the Government of India policy documents, World Bank data, Reserve Bank of India archives and reports published in reputed financial and others print media sources. Findings Indian housing market is confronted with a demand and supply mismatch at present. While a massive demand lingers at affordable housing segment, on the contrary, millions of housing inventories are also piling up. Consequently, property developers are attempting to lure the large population of NRIs residing at global cities. Study observes that sentimental attachment to the homeland, higher rate of returns, anticipated rental incomes are the major decisive elements. Additionally, growth in infrastructure, world-class amenities offered by developers, conformity to sustainability and political stability is the other critical reasons. Research limitations/implications On first hand, the study outlines a novel kind of foreign investment in Indian local residential real estate that is via NRI channel. Second, non-resident investors might surprise to the property developers and government through a realistic strategic approach. Originality/value Probably, the study is first of its type gazing at NRI investors, as a foreign investor, in the local residential real estate.

scholarly journals Foreign direct investment and the SME sector

2015 ◽  
Vol 21 (1) ◽  
pp. 50-75 ◽  
Author(s):  
Piers Thompson ◽  
Wenyu Zang
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Foreign Firm ◽  
Local Level ◽  
Economic Conditions ◽  
Local Economies ◽  
Content Type ◽  
Foreign Influence ◽  
The 2008 Financial Crisis ◽  
The Relationship

Purpose – Although foreign direct investment and entrepreneurship are potential routes to recovery (Girma and Wakelin, 2001; Lyon et al., 2002), existing literature is divided on the relationship between the two. The purpose of this paper is to examine the influence of foreign investment on the local SME sector after the 2008 financial crisis. Design/methodology/approach – Local authority district data from Great Britain is used to examine the influence of foreign firm employment on the size of the local SME sector as a proportion of all firms, and foreign firm influence on firm births in the locality. In order to control for local geographical, infrastructural and economic conditions regression analysis is used to examine the relationship between foreign business employment and indigenous business activities. Findings – The potential for technological spillovers and spinout activities appears to dominate with firm birth rates higher where there is greater foreign firm employment. However, there is also evidence of crowding out in relation to the existing SME sector, which is found to be reduced in size where foreign influence through employment is greater. Research limitations/implications – The results here indicating a complementarity relationship between foreign influence on employment and firm births is important for policy makers looking to revive struggling local economies. However, the relevant support needs to be in place to maximise the benefit from the supply of new entrepreneurs generated. Originality/value – Unlike many other studies the relationship between the SME sector, firm births and foreign influence is considered at a local level and where economic conditions are more uncertain and economic recovery is less taken for granted. A better understanding of the relationship allows more appropriate policy to be developed in order to aid local economies to recover.

Governmental management by trust communication: German organizational rhetoric in the 2008 financial crisis

2015 ◽  
Vol 23 (1) ◽  
pp. 33-45
Author(s):  
Jan C. L. König ◽  
Klaus-Peter Wiedmann
Keyword(s):  
Financial Crisis ◽  
Quantitative Research ◽  
Organizational Rhetoric ◽  
2008 Financial Crisis ◽  
Content Type ◽  
Rhetorical Action ◽  
The 2008 Financial Crisis ◽  
The Government ◽  
Governmental Management ◽  
Practical Implications

Purpose – The purpose of the authors of this paper is to observe the German Government’s rhetorical communication measurements during the 2008 financial crisis. Design/methodology/approach – The authors compiled approaches of organizational rhetoric and pragma-linguistics first to offer a consistent concept and method for observation and analysis. Later on, they give an overview of the problem of trust and confidence according to Luhmann’s approach and its meaning for crisis rhetoric and marketing and managing approaches. Findings – In the following case study, the authors offer a rhetorical text analysis, combined with a pragmatic perspective of accompanying legal measurements of the government as non-verbal communication. The authors show how the government re-established trust among German consumers and eventually overcame the crisis mainly by rhetorical action. Research limitations/implications – Regarding future crises, the authors suggest that the interaction of trust, financial markets and rhetorical approaches could be better understood. This could include both more quantitative research and qualitative rhetorical approaches. Practical implications – Practical implications clearly show the importance of rhetorical education, especially for crises. This counts for governmental managers, as well as entrepreneurs and spokesmen. Social implications – The authors also revealed the problem of unjustified trust which can become dangerous for social welfare, even if it is only produced by misleading communication. This problem can only be solved by a careful public regulation. Originality/value – Finally, the authors could describe the importance of effective language and communication as a tool for the German Government in the financial crisis in 2008. It can be also described as an example for decision-makers in similar situations.

scholarly journals ANALYZING THE TFP PERFORMANCE OF CHINESE INDUSTRIAL ENTERPRISES

2018 ◽  
Vol 63 (05) ◽  
pp. 1263-1284
Author(s):  
KUI-WAI LI
Keyword(s):  
Regression Analysis ◽  
Direct Investment ◽  
Industrial Output ◽  
Factor Productivity ◽  
Domestic Consumption ◽  
2008 Financial Crisis ◽  
Industrial Enterprises ◽  
Product Acceptability ◽  
The 2008 Financial Crisis ◽  
The Impact

After nearly four decades of rapid growth, the China economy is faced with various challenges. The 2008 crisis would have served as the last straw as China experienced falls and volatilities in industrial output, export and foreign direct investment. The new policy focuses on expansion of domestic consumption and rebalancing. Given the unreliability of Chinese products, there is a need to rebuild product acceptability and market confidence. The structure of industrial enterprises, especially the small- and medium-sized enterprises, will play a crucial role in the next phase of development in the China economy. This paper uses the data on Chinese industrial enterprises to estimate the productivity performance of enterprises across regions and industries. The discussion is placed on the impact of the 2008 financial crisis on the China economy and industries enterprises. By using a simple methodology and OLS regression analysis on the estimation of total factor productivity, the empirical results show that SMEs and non-SMEs do perform differently in different industries and across regions, but SMEs suffered more than non-SMEs since the 2008 crisis.

Market orientation in Islamic banks – a qualitative approach

2014 ◽  
Vol 32 (4) ◽  
pp. 495-527 ◽  
Author(s):  
Mostaque Ahmed Zebal ◽  
Hussein M. Saber
Keyword(s):  
Market Orientation ◽  
United Arab Emirates ◽  
Financial Institutions ◽  
Customer Orientation ◽  
Management Training ◽  
Data Matrix ◽  
Research Approach ◽  
Content Type ◽  
Islamic Financial Institutions ◽  
Antecedents And Consequences

Purpose – The purpose of this paper is to explore the nature of market orientation that exists in the Islamic financial institutions. The study further aims at identifying the antecedents and consequences of such market orientation. Design/methodology/approach – Considering the explorative nature, the study uses qualitative research approach, collecting data in words using in-depth interview technique, drawing sample from Islamic financial institutions of both Bangladesh and United Arab Emirates. Data were coded and categorized using inductive reasoning method and similar responses were identified from a prepared data matrix. The results were presented in a narrative way using simple frequency for the agreements and disagreements of respondents considering “street language” without being mediating the meaning of the responses. Findings – A different nature of market orientation called Islamic market orientation has been identified by the results of the study. The study identifies five elements (orientation on Islamic customer, orientation on information, orientation on integration, orientation on competition, and finally orientation on responsiveness) that embody the formation of Islamic market orientation. The study also identifies a different set of antecedents (attitude toward Islamic values, Islamic leadership, risk partaking, inter-relationships, government legislations, and management training) that are responsible for determining the extent of Islamic market orientation. The study further identifies a set of consequences (profitability, customer satisfaction and retention, gaining new customers, increase of employees’ team spirit and satisfaction, service quality improvement, increase of market share, and increase of work efficiency) when market-oriented behavior is being adopted by the Islamic financial institutions. Originality/value – To the best of the knowledge of the authors of this study, the results offer a different kind of market orientation along with its antecedents and consequences which can be considered as completely original and unique.

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