An Optimal Control Approach to Portfolio Diversification on Large Cap Stocks Traded in Tokyo Stock Exchange

In this chapter, Markowitz mean-variance approach is proposed for examining the best portfolio diversification strategy within three subperiods which are during the global financial crisis (GFC), post-global financial crisis, and during the non-crisis period. In our approach, we used 10 securities from five different industries to represent a risk-mitigation parameter. In this way, the naive diversification strategy is used to serve as a comparison for the approach used. During the computation process, the correlation matrices revealed that the portfolio risk is not well diversified during non-crisis periods, meanwhile, the variance-covariance matrices indicated that volatility can be minimized during portfolio construction. On this basis, 10 efficient portfolios were constructed and the optimal portfolios were selected in each subperiods based on the risk-averse preference. Performance-wise that optimal portfolio dominated the naïve strategy throughout the three subperiods tested. All the optimal portfolios selected are yielding more returns compared to the naïve portfolio.

Analisis SWOT Sebagai Strategi Meningkatkan Daya Saing Pada Apotek 325 Surabaya

This research was conducted at Apotek 325 which is located on Jl. Demak No. 325, Dupak, Krembangan District, Surabaya City, East Java. The pharmacy has been established since 2000 where a new business strategy is needed to face increasing competitive and increasing complex business competition. The research method used is a descriptive quantitative approach, using the SWOT method and data collection techniques with primary data and secondary data, in which the author's secondary data is through in-depth interviews, documentation and participatory observations relating to the SWOT analysis owned by Apotek 325 Surabaya. After getting the data then the data will be analyzed with SWOT. The results of the research from the SWOT analysis obtained IFAS results with a total score of 2.01 while for EFAS results with a total score of 2.49. From the results of the SWOT diagram, Pharmacy 325 is in quadrant II, namely the Diversification Strategy. The results of the SWOT Matrix Strategy obtained that the SO Strategy was 1.7, the ST Strategy was 2.91, the WO Strategy was 1.59, and the WT Strategy was 2.8.

Corporate Diversification, Ownership, and Solvency in China’s Property-Liability Insurance Companies

Solvency is the premise of the sustainable management of insurance companies. Among factors that affect the solvency of insurance companies, diversification strategy is one that cannot be ignored. To study the impact of diversification on the solvency of property-liability insurance companies and how diversification will influence companies with different ownership, this paper adopts the dynamic panel GMM model and the unbalanced panel data from 2009 to 2015. The analysis is from two dimensions: product diversification and geographic diversification. Empirical study shows that product diversification will increase the solvency of Chinese-funded property-liability insurance companies but reduce the solvency of foreign-funded ones. As for the impact of geographic diversification on solvency, the more geographically diversified the premium income of Chinese-funded property-liability insurance companies are, the lower their solvency will be. However, geographical expansion has no significant solvency-related impact on foreign-funded property-liability insurance companies in China.

Ewolucja bezpieczeństwa energetycznego Polski i Białorusi na międzynarodowym rynku ropy naftowej

Access to energy resources has become one of the main challenges of energy security in the modern world. Due to the growing political instability of countries exporting energy resources, the energy security category should be perceived in a special way. Energy security is expressed, first of all, in stable access to energy resources at an acceptable price. The aim of the article is to determine to what extent the strategy of diversifying the sources of crude oil imports to Poland and Belarus is implemented in practice, and to what extent the implementation of this strategy is conducive to building energy security for both these countries. It seems that despite the similar geological and geographical conditions, as well as the common historical infrastructure heritage, Poland and Belarus shape their energy policy differently. The conducted analysis has an empirical dimension, as the REES index is used to measure the concentration of imports and the short-term risk for the security of crude oil supplies. The article shows that a properly implemented diversification strategy significantly improves the country’s energy security, which is possible due to the use of alternative directions for oil imports to the Russian one.

Does Diversification Strategy Play An Eminent Role In The Current Turbulence Of Digital Economy: A Strategic Approach

Most industry players are dubious whether current digital technology is strongly affecting the long traditional demand and supply economy while scholars believe that companies need to have valuable and unique resources, excellent and agile capabilities, and the capacity of aligning their core competencies to lead the industry and therefore sustaining its competitive advantage. Companies are fighting with the aggressive movements by their competitors in the changing markets and facing very dynamic full of surprises environmental turbulence. We reveal the Environment Serving Organization concept helps companies to be well prepared in advance and applicable at all turbulence levels when the overall economy is at high uncertainty. By exploring diversification based on Ansoff Growth Matrix and using the regression and mediation models, this is one of the first papers that investigates the Environmental Turbulence level as a probable mediator in the intense relationship between diversification strategy and strong firm performance.

Increasing the role of women's farmer groups in Tempursari Village, Candimulyo, Magelang, through a culinary business based on banana and taro processing

Banana and taro are two of the many plants that grow in Tempursari Village. These commodities will have a low selling value if traded directly. As a result, a processed food diversification strategy is required to increase the economic value of these plants, such as processed chips with flavor variants based on the intended target market. The mentoring activity was carried out with the participation of 20 participants, who were representatives from two hamlets. Outreach activities, training, practice, and mentoring are all part of the implementation process. Based on these activities, the outcomes of processed food products, particularly banana chips and taro chips, have the potential to provide an alternative method of increasing the economy by utilizing abundant natural resources.