THE MOTIVATION BEHIND SUBCONTRACTING RELATIONSHIPS BETWEEN LARGE FIRMS AND SMALL AND MEDIUM ENTERPRISES IN THE MOTOR VEHICLE MANUFACTURING INDUSTRY IN KENYA
►Beatrice Auko Okatch, Elegwa Mukulu and Luke Oyugi

 10.52283/NSWRCA.AJBMR.20110103A03

ABSTRACT
The motivation behind subcontracting relationships in the motor vehicle manufacturing The purpose of this study was to determine internal and external constraints to subcontracting arrangements between large firms and small and medium enterprises (SMEs) in the motor vehicle manufacturing industry in Kenya in order to establish the reasons for the gap in those arrangements. The sector was chosen for the study because of the government’s selection of the sector to promote subcontracting arrangements between small and medium enterprises and large firms in Kenya. Secondly, the sector was chosen because of the complexity of the motor vehicle industry with one motor vehicle comprising about 10,000 component parts, all of which would be difficult for one company to manufacture in-house. The research was mainly qualitative but quantitative data was also used. Content analysis approach was used to analyze the qualitative data and descriptive statistics to analyze the quantitative data. Data was collected from two of the three motor vehicle assembles in Kenya, nine out of thirteen franchise holders and 66 of the 72 component parts suppliers who are mainly small and medium enterprises. The results indicate that the level of subcontracting that takes place in the motor vehicle manufacturing industry is minimal. This is motivated mainly by a desire to remain in the good books of the government. The big enterprises are not willing to buy component parts from local suppliers and especially not local SME suppliers mainly due to the inability of the SMEs to supply quality products to schedule, lack of local suppliers for certain parts, the proliferation of makes and models and competition from imported second hand vehicles from Japan and Europe. The proliferation of makes and models also requires frequent technological changes which both assemblers and SMEs owners find difficult to keep up with. The study recommends that the government should reduce the age of imported second hand vehicles to not more than five years, find a way of compelling the franchise holders and assemblers to buy parts locally and put in place appropriate policies regarding the sector. SMEs should also acquire up to date technology and become more competitive.
Keywords: Motor vehicle assemblers, franchise holders, subcontracting, large firms, Small and medium enterprises.

THE IMPACT OF EXCHANGE RATE, FISCAL DEFICIT AND TERMS OF TRADE ON EXTERNAL DEBT OF PAKISTAN
A Cointegration and Causality Analysis
►Asma Awan, Nabeela Asghar and Hafeez ur Rehman

 10.52283/NSWRCA.AJBMR.20110103A02

ABSTRACT
The massive debt burden of Pakistan calls for a detailed analysis of trends in the foreign debt levels, its causative factors and implications for economic growth. The present study is an attempt to analyze the relationship between external debt and exchange rate, fiscal deficit and deterioration of terms of trade for the period 1974-2008. Using Johansen approach, the study found significant long-run relationship between external debt and exchange rate and deterioration of terms of trade. The results of the study revealed that fiscal deficit had no significant impact on external debt. In the short-run all the variables failed to establish relationship with external debt. However, the existence of long-run causality was observed and three channels of uni-directional causalities were found actively running from (i) fiscal deficit to external debt, (ii) terms of trade to exchange rate, and (iii) fiscal deficit to terms of trade. Diagnostic test confirmed the validity of the model and CUSUM and CUSUMSQ test revealed the stability of the model.
Keywords: Foreign debt, Exchange rate, Fiscal deficit, Terms of trade.

UNDERSTANDING THE EFFECTS OF TECHNOLOGY READINESS, SATISFACTION AND ELECTRONIC WORD-OF-MOUTH ON LOYALTY IN 3C PRODUCTS
►Shih-Chih Chen

 10.52283/NSWRCA.AJBMR.20110103A01

ABSTRACT
This research examines the exogenous antecedents of loyalty in the purchase of 3C products. In the proposed model, we assess how the direct effects of technology readiness, satisfaction, and electronic word-of-mouth on consumers’ loyalty and the indirect effects of technology readiness on loyalty via satisfaction and electronic word-of-mouth. Data was collected via online survey from experienced buyers and users of the leading 3C internet forums in Taiwan. Structural Equation modeling was applied to examine the proposed model. According to the analysis results, loyalty is influenced significantly by technology readiness, satisfaction and electronic word-of-mouth. And, technology readiness has the mediation effects on loyalty via satisfaction and electronic word-of-mouth. Finally, detailed research findings and managerial implications are discussed.
Keywords: Technology Readiness, Satisfaction, Electronic Word-of-mouth, Loyalty

PROSPECTS OF ISLAMIC BANKING: REFLECTIONS FROM PAKISTAN
►Muhammad Akram, Mamoona Rafique and Hassan Mobeen Alam

 10.52283/NSWRCA.AJBMR.20110102A09

ABSTRACT
This study examines the growth and development phases as well as prospects of Islamic banking in Pakistan. The role of Islamic banking is explained with special regards to corporate social responsibility (CSR) as now days this concept is growing vastly. Awareness in public also has been growing and people are moving towards Islamic banking system. As we live in a Muslim country so it is very essential to have some basic knowledge about the Islamic banking. In this paper growth and performance of Islamic banking is discussed and compared among the financial years from 2003 to 2010 in terms of growth parameters like assets, deposits, sources and uses of funds. The performance indicators are also discussed to evaluate the growth and performance of Islamic banking system. In the last eight years, Islamic banking paved with the rapid market share of banking services. Moreover the efforts made by the central bank in Pakistan (SBP) are also remarkable in growth of Islamic banking. By seeing the present growth of Islamic banking, it is anticipated that in near future, Islamic banking with get major share in banking industry in Pakistan.
Keywords: Islamic banking, Pakistan, Riba, Musharaka, Modaraba, Performance.

ROLE OF INSTITUTIONAL MANAGERS IN QUALITY ASSURANCE: REFLECTIONS ON KENYA’S UNIVERSITY EDUCATION
►Gudo Calleb Owino, Oanda Ibrahim Ogachi and Olel Maureen A

 10.52283/NSWRCA.AJBMR.20110102A08

ABSTRACT
Universities are accountable to the stakeholders. To justify their continued existence, the managers of these universities need to guarantee the public that the institutions they lead offer quality teaching, research and community service. The study investigated how effectively university managers have played their role in quality assurance. The results indicated that private universities performed better than public universities in management of quality education. However, public and private universities suffered from interference by political and religious patronage. The other barrier to provision of effective management for quality assurance among Kenyan public and private universities was found to be negative ethnicity and nepotism. Kenyan public universities suffered from insufficient teaching and learning resources and a leadership that did not satisfactorily engage its stakeholders in decision making. It was recommended that managers of the universities should deliberately take short term leadership courses to boost their managerial skills as a significant step towards delivery of quality education. The skills acquired should be sufficient to respond to the challenges of quality education bedeviling the universities.
Keywords: Leadership, Management, Quality Assurance.

CAREER PLANNING AND CAREER MANAGEMENT AS CORRELATES FOR CAREER DEVELOPMENT AND JOB SATISFACTION
A CASE STUDY OF NIGERIAN BANK EMPLOYEES
►Bola Adekola

 10.52283/NSWRCA.AJBMR.20110102A07

ABSTRACT
The notion of empowering human capital to onset creativity and innovation through planning the careers of institutional members using HRM policies and practices to develop different mindsets, skills and competencies with the ultimate aim to provide a range of innovative products and services is attracting attention. This paper explores the link between career planning and career management as antecedents of career development and job satisfaction, and career commitment as its outcome. A sample of 505 employees of a Nigerian Bank revealed the significant link between the variables of career planning and career management, and career development, and in turn, with job satisfaction and career commitment. The paper discusses the implications of these findings for career development.
Keywords: human capital, innovation, HRM, competencies, Nigerian Bank and career management

THE IMPACT OF PERSONALITY AND LEADERSHIP STYLES ON LEADING CHANGE CAPABILITY OF MALAYSIAN MANAGERS
►Ali Hussein Alkahtani Ismael Abu-Jarad Mohamed Sulaiman Davoud Nikbin

 10.52283/NSWRCA.AJBMR.20110102A06

ABSTRACT
This study was conducted to investigate the influence of the Big Five Dimensions of personality of the Malaysian Managers and the leadership styles these managers use on their leading change capabilities. Total sample of 105 managers was used in this study. The results of this study revealed that the Malaysian managers tend to enjoy personalities that are conscious and open to experience. These managers tend to use consultative leadership style. However, they use autocratic, democratic and some of them use laissez-fair, but the respondents of this study scored higher in consultative leadership style. The results of the study showed that Extroversion personality trait as well as involvement leadership style were positively related with Leading Change. Both Openness to Experience and Emotional Stability were significantly and positively correlated with Consultative Leadership Style that the managers use. Involvement Leadership Style was found to be significantly and positively correlated with Leading Change (R2=.38) In conclusion, this study showed a positively significant correlation between personality of managers, their leadership styles and their leading change capabilities.
Keywords: Adopting New Procedures, Leading Change Capability, Leadership Styles, Personality Traits

EXAMINATION OF THE EFFECTS OF COST SHARING POLICY ON SCIENCE AND TECHNOLOGY EDUCATION AND TRAINING IN KENYA NATIONAL POLYTECHNICS
►Mrs. Lorna M. Amuka Maureen A. Olel Frederick .Q. Gravenir

 10.52283/NSWRCA.AJBMR.20110102A05

ABSTRACT
Strengthening equitable gender access to and success in science and technology courses is an essential pre-requisite for Kenya’s economy. The country’s potential for development in agriculture, health and industry is going to depend on a cadre of scientists and technologists from the polytechnics for their services. This study focused on the challenges of access into Kenya national polytechnics. The findings indicate that fewer female students than male students accessed science and technology courses and that the common factor which affected their access was lack of sufficient funds for training. Despite the disparity in access, they were at parity in performance.
Keywords: agriculture, industry, scientists and technologists

THE PERCEIVED ETHICAL BEHAVIOR OF BANKERS: A NORTH AFRICAN PERSPECTIVE
►Wafa M’SALLEM, Olfa BOUHLEL and Mohamed Nabil MZOUGHI

 10.52283/NSWRCA.AJBMR.20110102A04

ABSTRACT
This research aims to examine the impact of the ethical dimension of selling behavior on some marketing relational variables in the banking sector: satisfaction, trust, commitment and loyalty. Structural equations modelling (SEM) is used to assess the simultaneous effects of the predictive variables. An empirical survey confirms the impact of the ethical dimension on the trust. The satisfaction has an effect on the customer trust which influences his commitment and loyalty.

Keywords: Ethic, satisfaction, trust, commitment, loyalty

PROMOTION, SWITCHING BARRIERS, AND LOYALTY
►Gu-Shin Tung, Chiung-Ju Kuo and Yun-Ting Kuo

 10.52283/NSWRCA.AJBMR.20110102A03

ABSTRACT
This paper investigates the causal relationships among promotion effects, switching barriers, and loyalty in the department stores. The relationship between switching barriers and loyalty reveals partially the same results as the switching barriers theory of Jones et al. (2000). The reasons arise from “too often” and “too similar” sales promotion programs of competitive department stores in Taiwan, leading the promotion effects to not contribute to the attractiveness of competitors. The promotion effects have a positive and significant influence on loyalty, which is consistent with the prior literature. Promotion effects are also the most important weight to loyalty in our tested model but it reveals a seeming loyalty, because the loyalty depends on the reward of promotion. The negative relationship between promotion effects and attractiveness of alternative supports the promotion effects, which can lower the attractiveness of competitors, but these similar promotion plans are not attributed to interpersonal relationships.
Keywords: Promotion effects, Switching Barriers, Loyalty

ENHANCING THE SKILLS OF EMPLOYEE TOWARDS SUSTAINABILITY AND GROWTH OF BUSINESS ENTERPRISE: A CASE STUDY WITH SPECIAL REFERENCE TO BHARAT PUMPS AND COMPRESSOR LIMITED (BPCL) ALLAHABAD INDIA
►Rajesh Kumar Shastri and Shilpi Srivastava

 10.52283/NSWRCA.AJBMR.20110101A03

Abstract
Managing successful business enterprise requires human resource skills. Human resource capital is soul of the organization; it is the term which is used to describe the formal system and used as a tool to maximize the productivity and effectiveness of the organization as well as describes the workforce capacity. The mission of employees working in the organization is to acquire, develop and retain talent; and be an excellent contributor to the business enterprises. The field of enterprise development is focused on improving the effectiveness of enterprise as well as the skills of the employees. Enterprises have become increasingly dependent on technical and professional skills of the employees. The increasing number of “technical” position has resulted in changing organizational goal and organizational restructuring; these changes include the need for more cognitive skills as well as greater interpersonal skills. For any organization to perpetuate itself, through growth, there is a basic need for developing its manpower resources. Training helps in the development of skills and also updates the knowledge of the employee. Especially in the rapidly changing society, employee training and development is not only an employee developing activity but also a source to utilize the resources of an organization efficiently, so that it can maintain a viable, knowledgeable workforce and achieve sustainability and growth of the enterprise. Workers’ productivity depends on their skills which help in attaining the growth. It is the magic elixir for the enterprise to sustain in changing environment, especially for ageing advanced economies. A case of Bharat Pump and Compressors Ltd is being used in this paper to explain that skills of employees helps in achieving the milestones of success, perpetual growth and sustainability with the objective to maximize their profits and minimize their risks. In the first section of the paper the necessity of HR skills for achieving sustainability and growth, and objectives of the study will be discussed. The second section will give details of the BPCL that how it involves the approaches for Total Quality Management (TQM) and Total Productive Maintenance (TPM) in order to achieve and sustain a reputation for Quality at a Competitive Cost, in National & International Markets for their products and services through collective involvement of all. And in the last section findings and conclusion will be discussed on the basis of SWOT analysis of the company.

Keywords: Human Resource, Sustainability, Growth, BPCL, Interpersonal Skills

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Prof. Suleyman Degirmen (Ph.D)
Editor-in-Chief
Vice Chancellor, Department of Economics
Sivas Cumhuriyet University
Sivas Cumhuriyet University Rectorate Center/Sivas

 

THEORETICAL ANALYSIS OF FIRM AND MARKET-SPECIFIC PROXIES OF INFORMATION ASYMMETRY ON EQUITY PRICES IN THE STOCK MARKETS
 ►Abosede, A. J. PhD and OSENI, Jimoh Ezekiel

 10.52283/NSWRCA.AJBMR.20110102A01

ABSTRACT
Asset pricing has remained an issue of interest to scholars, investment managers and analysts without borders. Pricing of equities in environments characterized with imperfect information and determining the effect of information asymmetry on the asset have also remained a challenge.   The risk the information uncertainty from the firm poses to the investors and analysts and the risk the information uncertainty from the investment opportunities of the firm poses to the managers need to be measured and incorporated into equity price. This study made an attempt to develop a model from the works of Lowry, Officer and Schwert (2007) and Reber and Fong (2008) for measuring the effect of firm and market-specific proxies of information asymmetry on equity prices in the stock market. The model developed is considered suitable for adoption in developing and emerging economies where information is considered prevalent. In addition to providing a model for measuring the effects of proxies of information asymmetry on equity prices, the study would to literature on the subject of information asymmetry as it relates to equity pricing and stock market.

Keywords: information asymmetry, proxies, capital market, equity pricing, impact.

INTERNATIONAL FINANCIAL REPORTING STANDARDS: A WAY FOR GLOBAL CONSISTENCY
►Ravindra Tripathi and  Ms. Shikha Gupta

 10.52283/NSWRCA.AJBMR.20110101A04

Abstract
The reverberations of Wall Street had to be felt across the global banking system. Last September, the world economy seemed to be hurtling down in a way that had initially raised the spectre of the Great Depression in America of the late 1920s. This is based largely on the performance of stock markets which are supposed to reflect future trends in the real economy. However, such knowledge embedded in the markets can be imperfect, as we have learnt by now. In some ways, the global financial crisis and its fallout are forcing economic agents to acquire new knowledge in regard to what might happen in the future. It was difficult to explain rationally why the stock markets were furiously running up even as company balance sheets were still bleeding. A few years ago, International Financial Reporting Standards (IFRS) were a distant possibility. Today, the reality is far different. We are in a dramatic shift that is fast making IFRS the most widely accepted accounting model in the world. As the business environment becomes increasingly global and companies routinely list on stock exchanges in many countries, the need for consistent worldwide reporting standards intensifies. IFRS clearly addresses this issue; its goal is to create comparable, reliable, and transparent financial statements that will facilitate greater cross-border capital raising, trade and better corporate governance practices. Thus acceptance of IFRS is gaining momentum across the globe. IFRS transition program for any organization will have multi – dimensional effect because of differences which exist between IFRS and Local GAAPs. The objectives of the paper is to highlight the nature of such differences with examples along with analysing the provisions of IFRS, comparative analysis of IFRS with Indian GAAP system, benefits, and major issues in first time adoption of IFRS in Indian companies with the help of case study of Indian corporate.
 
Keywords:  Financial Crisis, International Financial Reporting Standards, Indian GAAP, Convergence, Globalization, Foreign Investment, Transition Period

INTELLECTUAL CAPITAL REPORTING STUDY OF IT-SECTOR CORPORATIONS IN INDIA
►Dr. Madan Lal Bhasin

 10.52283/NSWRCA.AJBMR.20110101A02

Abstract
Intellectual capital (IC) can prove to be a source of competitive advantage for businesses ultimately leading to wealth generation in the long-term. At present, reporting of IC information is done by very few leading corporations purely on a “voluntary” basis. Unfortunately, the omission of IC information may adversely influence the quality of decisions made by shareholders, or lead to material misstatements. India presents an ideal case for the analysis of IC reporting by the IT corporations because the economy has been undergoing rapid transformation.This study attempts to provide an insight into the style of IC reporting done by the top IT-sector corporations in India. In order to survey the recent IC reporting practices, we conducted a study of 16 IT corporations in which “content analysis” was performed on their 2007 to 2009 annual reports. The results of this study confirmed that IC reporting in these corporations is almost negligible, and IC reporting had not received any preference from the mentors of these corporations. A major recommendation for corporations is to develop strategic and tactical initiatives that provide for ‘voluntary’ reporting of IC. These initiatives may initially be used for internal management purposes, but an external stakeholder-focus IC report should be the ultimate long-run goal.

Keywords: Intellectual capital, reporting, Information Technology corporations, India, IC reports.

INTERNATIONAL STUDENTS’ ADJUSTMENT IN HIGHER EDUCATION: RELATION BETWEEN SOCIAL SUPPORT, SELF - EFFICACY, AND SOCIO - CULTURAL ADJUSTMENT
►Yusliza Mohd.Yusoff

 10.52283/NSWRCA.AJBMR.20110101A01

Abstract
This study was aimed at investigating the relationship between social support (Zimet et al., 1988), self - efficacy (Schwarzer & Jerusalem, 1995), and socio - cultural adjustment (Ward & Kennedy, 1999). The sample consisted of 185 international undergraduate students in one of the public higher education institutions in Malaysia. Multiple linear regression analysis was employed to te st the hypotheses. The findings from this study indicated that support from friends and significant others is positively related to all dimensions of socio - cultural adjustment and support from family is positively related to cultural empathy. Self - efficacy is positively related to cultural empathy.

Keywords: social support, self-efficacy, socio-cultural adjustment, international students, Malaysia

THE ESTABLISHMENT AND OPERATION OF ISLAMIC BANKS IN NIGERIA: PERCEPTION STUDY ON THE ROLE OF THE CENTRAL BANK OF NIGERIA
►Mustafa Daud, Ibrahim Mohd Yussof (PhD) and Adewale Abideen (PhD)

 10.52283/NSWRCA.AJBMR.20110102A02

ABSTRACT

Central bank (CB) in any economy is regarded as the Apex bank and the Principal stakeholder in the financial system. This is in view of the role it plays in the control, regulation and supervision of the financial institutions in the economy. Hence, the Central Bank of Nigeria (CBN) is no exception to this unique characteristics and functions. Meanwhile, the emergence of Islamic banking in various Muslim countries has continued to raise the fundamental issue of what role the CB should play in the affairs of Islamic Banks (IBs). Therefore, this study is an attempt to empirically examine the perceptions of Nigerian Muslim Youths in Malaysia on the perceived role expected of the CBN in the establishment and operation of IBs in Nigeria. This study focused on the perceptions of students in three Malaysian universities i.e. Kolej Universiti Insaniah (KUIN), Universiti Utara Malaysia (UUM) and International Islamic University Malaysia (IIUM). The sample of the study was made up of 100 questionnaires of which 85 percent were returned and usable. The data collected were subjected to statistical analysis using the SPSS version 18.0 and One-Sample and Independent-Samples t-Tests were utilized for analyses. The finding revealed that the role of the CBN in the establishment and operation of IBs in Nigeria is of no significance. This finding is however classified as Type II error because it contradicts the known theoretical and empirical evidences in the area of central banking in the world. Other findings hold that the CBN should seriously promote adequate research in IBs, the legal framework of IBs should be further strengthened and that the CBN should collaborate with the Judiciary for the establishment of Shari’ah courts to adjudicate cases on IBs.

Keywords: CBN, Perceptions, Role, Muslim Youths, Islamic Banks