Asset Size Research Articles

Bridging ESG and SDGs Clean Air and Water Through CSR Committee: A New Pathway for Sustainability in the Utility Sector

This study aims to bridge Environmental, Social, and Governance (ESG) principles with the Sustainable Development Goals (SDGs), particularly related to clean air and water, through the role of the Corporate Social Responsibility (CSR) committee in the utility sector. As global awareness of climate change rises, utility companies worldwide are adopting ESG strategies to reduce carbon emissions, improve energy efficiency, and manage water resources. This research proposes a new evaluation framework to assess the contribution of utility companies to achieving SDGs focused on air and water quality. Using data from annual reports and Refinitiv LSEG, the study examines the relationship between ESG scores, asset size, debt-to-equity ratio, and the moderating role of CSR committees in achieving SDG goals. Regression analysis results indicate that ESG scores have a significant positive influence on company contributions to achieving SDGs, especially in terms of clean air and water quality. Additionally, the CSR committee acts as an effective moderator in optimizing asset use and managing company debt to meet sustainability goals. This study provides both theoretical and practical contributions to support evidence-based decision-making for more sustainable policies in the utility sector.

Opportunities and Challenges in the Transition to Clean energy of Heilongjiang Energy Sales Company: Basis for Strategic Plan

The study at China Huaneng Group Heilongjiang Energy Sales Company explored the transition to clean energy, focusing on the opportunities and challenges involved. It aimed to understand how the company is adapting to this shift by analyzing current operations and evaluating the feasibility of adopting cleaner energy sources. Surveys were distributed to purposively sampled employees, and data was analyzed using descriptive statistics and mean scores. The study provided a detailed characterization of the company, including its business form, years of operation, scope, and asset size as of 2023. It assessed key operational aspects such as technology, production capacity, facilities, and the cost-benefit of transitioning to clean energy. Strategic recommendations were proposed to enhance the company’s readiness for this transition, outlining specific objectives and strategies for implementation. The findings highlighted the importance of maintaining efficiency in both current operations and the shift to cleaner energy sources. The study offered valuable insights and strategic guidance to help China Huaneng Group Heilongjiang Energy Sales Company successfully navigate the transition to a more sustainable energy model while aligning with its financial goals.

CBDCs, regulated stablecoins and tokenized traditional assets under the Basel Committee rules on cryptoassets

Purpose This paper examines the impact of Central Bank Digital Currencies (CBDCs), regulated stablecoins and tokenized traditional assets on the cryptocurrency market, following the guidelines set by the Basel Committee. This study aims to analyze the implications for secure storage, cross-border transfers and necessary investments. Design/methodology/approach The paper uses a policy analysis approach to assess the potential effects of the Basel Committee’s regulations on CBDCs, regulated stablecoins and tokenized traditional assets. It explores their impact on the cryptoasset market, strategies of central and commercial banks, payment systems and risk management. Findings The adoption of CBDCs, regulated stablecoins and tokenized traditional assets is expected to grow rapidly in the coming years. It raises concerns about secure storage, cross-border transfers and required investments. Central banks are likely to introduce CBDCs and authorize stablecoin issuance, aiming for efficient monetary policies and risk management. Basel III regulations may lead to asset tokenization by banks, reducing asset size and increasing fee-based income. Originality/value This paper provides insights into the potential impact of the Basel Committee's regulations on CBDCs, regulated stablecoins and tokenized traditional assets. It contributes to the understanding of the evolving cryptoasset market and the strategies of central and commercial banks in adopting these technologies. The findings offer valuable information for policymakers, regulators and market participants in navigating the changing landscape of digital assets.

Do creditors punish weak banks? Evidence from Indian urban cooperative banks’ failure

This study empirically assesses two critical hypotheses related to market discipline: (i) Do depositors penalize underperforming banks by withdrawing their deposits? and (ii) Do well-informed peer banks reduce lending to weak banks? Based on the annual standalone balance sheet data of urban cooperative banks in India from 1990 to 2020, our findings suggest that: (i) the behaviour of savings and current depositors is not significantly affected by the bank risk; (ii) the risk-taking behaviour of the banks significantly influences term deposits; and (iii) other informed peer banks and financial institutions do respond to the riskiness of peer banks. Additionally, our research revealed a positive association between the size of assets and the deposit growth rate, indicating that depositors are responsive to the influence of the “too-big-to-fail” phenomenon. Moreover, depositors are sensitive to banks’ non-interest expenditures. Banks with higher non-interest expenditures pay a higher interest rate to retain depositors, thus suggesting the presence of weak market discipline.

Investigating the Effect of Digitalization in Financial Inclusion on the Financial Performance of Deposit Banks in Türkiye

This study investigates the impact of digitalisation in financial inclusion on the financial performance of deposit banks operating in Türkiye between 2010 and 2021. The study's dependent variables are the financial performance indicators, namely the return on assets (ROA) and return on equity (ROE). The number of ATMs and data related to Internet banking are explanatory variables, while asset size, equity ratio, and economic growth are control variables. The analyses conducted using the Two-Step System GMM method reveal that the lagged values of profitability indicators, the number of internet banking customers, financial transactions made through internet banking, equity ratio, asset size, and economic growth have a positive effect on profitability, while the number of ATMs has a negative impact.

Department of Trade and Industry Livelihood Seeding Program- Negosyo Serbisyo Barangay: Insights to Sustainable Policy Directions

The Department of Trade and Industry (DTI) initiated the Livelihood Seeding Program Negosyo Serbisyo Barangay (LSP-NSB) to support Micro, Small, and Medium Enterprises (MSMEs) in disadvantaged areas of the Philippines. This study evaluated the program's progress and challenges faced by identified beneficiaries in Capiz province, aligning their experiences with the five strategic objectives of MSME Development Plan 2017-2022: improved business climate, access to finance, enhanced management and labor capacities, access to technology and innovation, and access to markets. The study offered evidence-based policy recommendations to enhance program efficiency and foster inclusive economic growth. This analyzed respondent and business profiles to recognize program implementation and challenges. It investigated if there is a significant link between implementation status and challenges faced by MSME beneficiaries. A descriptive-mixed method research design was employed, utilizing a validated and reliability-tested researcher-made survey questionnaire translated into the local dialect and conducted to 263 MSME beneficiaries, complemented by Focused Group Discussion, involving DTI implementers, beneficiaries, and barangay officials. Results showed that beneficiaries viewed the program as highly implemented overall, though facing moderate challenges, particularly in the business climate, access to finance, enhanced management and labor capacities, technology and innovation, and market access. Factors like educational attainment, number of dependents, business location, monthly income, and livelihood kit received affected the implementation. Similarly, number of dependents, industry sector, location of business, asset size, monthly income, and livelihood kit received impact challenges. A significant relationship was found between program status and challenges, notably in the business climate and market access.

Capitalization Accounting of Data Factor: Theoretical Mechanism, Methodological Path, and Statistical Measurement

From the perspective of factor input in the production process, this paper puts forward the issue of accounting and capitalization of generalized data output, brings the output of data reprocessing into the scope of statistical accounting, and proposes a systematic evolution chain of data factor forms and the division method of data factor value composition and sources. Then, based on the GDP accounting platform, a three-in-one theoretical framework covering “output-investment-assets” is built for capitalization accounting of data factor, and an accounting path covering “cost → input → output → capital formation → data assets” is designed to improve and highlight the cost accounting method with “value appreciation” as the core. Taking China as an example, its data capital formation and asset size are measured by matching data-intensive industries with data professionals, and by synthesizing data from multiple sources. The rationality and self-consistency of the theoretical and methodological research is verified by the empirical results. This study can provide theoretical reference for bringing the value accounting of data factor into the basic framework of the Systems of National Accounts (SNA). Moreover, its empirical research paradigm can also provide reference for relevant countries to carry out capitalization accounting for data factor (CADF).

Sand or grease effect? The impact of Islamic banking on the social mission of microfinance institutions

PurposeIslamic banking and microfinance institutions (MFIs) share the core objective of serving the underprivileged. This study aims to investigate whether Islamic banking development facilitates (greases) or hinders (sands) the social mission of MFIs.Design/methodology/approachData for 19 countries covering the period 2010–2018 were collected from the World Bank, Bank Focus and International Monetary Funds and analyzed using conventional econometric methods. Endogeneity-corrected techniques and alternative proxies were employed to ensure robust results.FindingsThe study revealed that Islamic banking development (proxied by the size of the Islamic banking assets) weakens the depth of outreach of MFIs (measured by average loan size). In countries with growing Islamic banking, MFIs appear to shift their focus toward wealthier clients, potentially due to market saturation among the poor. This is evidenced by MFIs offering larger loans, suggesting a mission drift toward profit maximization. Therefore, it can be inferred that competition from Islamic banks, to some extent, erodes the social mission of MFIs.Originality/valueThis study is among the few to examine the recent and comprehensive relationship between Islamic banking development and the social mission of MFIs.

Macroeconomic effect of NBFC default shock in India: a four-sector DSGE model

ABSTRACT In this study a four-sector dynamic stochastic general equilibrium model is developed by introducing banks and non-banking financial companies (NBFCs) in a general two-sector real business cycle model in context of Indian economy. Examining the impact of three shocks namely NBFC default shock, productivity shock and investment shock, default of NBFC on its loan does not have any significant impact on aggregate output, consumption and investment. The shock has localized impact on the NBFC sector itself because of its low asset size and weak interconnectedness with the Indian economy. Productivity and investment shock have significant impact on the macroeconomic variables.

Study on the Application of Internal Control in the Management of Urban Commercial Banks

In February 2021, Baoshang Bank, whose total asset size had exceeded 500 billion, exited the stage of history with more than 200 billion in unpayable debts. Now look back on its life, from the clouds fell to the bottom. However, there are traces of its causes. Weak supervision of funds, the organizational structure of the organization is a sham, excessive concentration of equity internal governance failure eventually became the key to its demise. Therefore, this paper will take the current situation of rising non‐ performing loan rate of urban commercial banks as the entry point to discuss the importance of internal governance and make suggestions for the establishment of a sound internal control system in urban commercial banks.

Quality of the Explanatory Notes of Brazilian Federal Professional Councils

Objective: This study aimed to verify whether the audit and organizational factors of the Brazilian Federal Professional Supervisory Councils (CFFPs) influenced the quality of their notes to the financial statements for the year 2021. Method: A bibliographical and documentary study was carried out, with a quantitative, predominantly descriptive approach. Results: The results indicate that auditing, whether internal or external to the entity, improves the quality of the notes to the financial statements (NEs); size, whose proxy is the number of members, and time since incorporation, however, did not significantly affect it. Although this study did not focus on the organizational governance and asset size of CFFPs, the evidence shows that there is a positive and significant correlation between these factors and the quality of the NEs. Contributions: this research can contribute to a better understanding of the relationship between auditing and organizational factors in the quality of accounting information, providing inputs and empirical considerations for the development of more effective public policies aimed at improving the transparency and accountability of these entities.

DETERMINANTS OF PROFITABILITY OF FOOD ENTERPRISES FROM THE TERRITORY OF THE REPUBLIC OF SERBIA

This paper aims to identify, evaluate, and analyze determinants of the profitability of food enterprises from the Republic of Serbia. The paper determines the nature of the relationship between defined determinants and profitability by applying a panel regression model on a sample of 189 small, medium, and large food enterprises from Serbia in the period from 2011 to 2021. The analysis results showed that the profitability of food enterprises is positively influenced by liquidity and sales growth rate. On the other hand, the indebtedness, size, and materiality of assets have a negative impact on the profitability of food enterprises. Of all analyzed variables, only liquidity does not affect profitability at a statistically significant level. The results of the analysis should be added to the fact that smaller food enterprises, with a lower degree of indebtedness and a smaller share of fixed in total assets, achieve a higher degree of profitability.

일본 손해보험산업의 재무성과 분석에 관한 연구

Purpose: This study examines financial performance of the Japanese non-life insurance industry comparing USA and Korean non-life insurance industry by using the A.M. Best’s rating technique. We also aim to contribute to an improved understanding of the relationship between growth, efficiency, profitability, safety, and liquidity in Japanese non-life insurance industry. Research design, data, and methodology: We conduct factor analysis to measure the validity of key variable factors of property-liability insurers in Japan, USA, and Korean for the 2010 to 2019 time period. After factor analysis, we also calculate total score of each non-life insurance industry and compare total scores without weighting value by using principal component analysis. Also, we analyze the relationship among these variables and the interdependence between profitability and safety by using a multiple linear regression analysis. Implications: Three findings are highlighted as follow: First, the correlation coefficient in the Japan general insurance industry represents the linear relationship between variables. It can be seen that profitability has a positive relationship with growth of the premium, asset size of the Japanese non-life insurance industry, and liquidity and it has a negative relationship with safety and efficiency. The highest correlation among the variables occurs between profitability and safety because less profitable insurers are more willings to take risks. Second, there is strong relationship between profitability and safety, which is signifiant at 0.01 level in the Japan general insurance industry. We conclude that insurers with a higher solvency ratio should show a better profitability than other peers. Finally, Japan non-life insurance has good level of efficiency, safety, and liquidity, the growth and profit performance shows the margin(below) of average level, it should improve profitability and growth areas in order to take comparative advantages in a competitive global general insurance industry.

Key Factors Impacting Business Performance an Investigation of Firms in Vietnam

This study examines factors affecting company performance on the Ho Chi Minh Stock Exchange from 2008 to 2020, analyzing internal and external variables, including the Covid-19 pandemic's impact. Using data from 40 firms and macroeconomic indicators, advanced econometric models identify key determinants of Return on Assets (ROA). Findings suggest financial leverage and operating leverage enhance ROA, while asset size and consumer inflation have mixed effects. Industrial production positively correlates with ROA, whereas the pandemic negatively impacts corporate performance. These insights inform strategic management and policy-making for economic resilience.

Influencing Factors of Financing Constraints of Micro and Small Enterprises (MSEs) in China: A Risk Information Conveyance Perspective

Given the phenomenon of “financing is difficult and expensive” for MSEs, this paper empirically investigated the influencing mechanism of the credit demand side characteristics on the financing constraints of MSEs based on the information conveyance perspective. The conclusions show that MSEs in China are severely suffering from financing constraints and 57.17% and 50.00% of MSEs with credit demand have not applied for loans from formal and informal financing channels, respectively. In terms of enterprise characteristics, MSEs have low asset size, short establishment history, weak profitability, and lack of tools such as fixed assets, complete financial management system, professional technicians, and private brands to convey risk information to financing institutions, which are key factors resulting in their financing constraints. In terms of owner characteristics, young owners lack financing experience and convey higher risk information to financing institutions; therefore, owners’ age negatively influences the financing constraints of MSEs. These findings suggest that banks can use big data credit technology as a tool to obtain risk information about MSEs, and the government should implement diversified interventions to improve the information environment in financial markets. These findings provide empirical evidence for banks and governments to address the financing constraints of MSEs.

Current Situation, Problems and Countermeasures Analysis of China's Foreign Exchange Market

China, as the second-largest economy in the world, plays a vital role in the development of FX market. In recent years, China's FX market has been expanding continuously, liquidity has been enhanced, and the exchange rate mechanism has been perfected. However, there are still some problems in the market, such as preventing and controlling the market risk, the irrational structure of participants, and so on. To solve these problems, it is necessary to deepen the opening-up of the financial market, perfect the mechanism of the formation of the exchange rate, enhance the risk prevention and control, optimize the structure of the market participants, and enhance the infrastructure of the foreign exchange market. Therefore, the study of this thesis is of great importance, and it can offer some help to the problems which should be resolved in FX market. This article will analyse the current situation of Chinese FX market, the four existing problems and the corresponding countermeasures. This article discusses some problems in the foreign exchange market: China's FX market has been severely influenced by the increase of interest rate, while China has been in a disadvantageous position in the field of FX operations, the size of assets and the establishment of institutions. The types of FX derivatives in China are less, and the participants in the FX market are unitary, and the investors' acceptance is low.

Project Risk Analysis and Early Warning of Culture and Tourism Group Financial Leasing Company

Under the background of strict regulation, due to the cyclical adjustment of the financial leasing industry, some top companies have maintained a growth trend in asset size and net profit. Internal differentiation has emerged in the financial leasing industry, increasing operational pressure, and a slowing trend in asset size growth. Although the overall pressure on credit quality has eased, downward pressure on asset quality is widespread, and the recovery period for narrowing profit space is still long. With the continuous upgrading and iteration of digitization, intelligence, and specialization, Culture and Tourism Group Financial Leasing Company should strengthen its professional ethics, improve its risk analysis and prediction capabilities, design integrated business guidelines for due diligence information collection and risk analysis, rely on big data to build a leasing asset identification, evaluation, monitoring, and early warning system, and establish a comprehensive, multi angle, and lean risk analysis and early warning mechanism. Through case analysis, problems are identified in a timely manner, and continuous reflection and improvement are made. Business process diagrams are drawn according to different scenarios, crisis warning indicators are set up, and a lean risk management team is formed. Crisis warning signals are continuously tracked and released, and processes and asset quality management are continuously improved. A lean risk control system is established to reduce risk losses and create benefits for the enterprise.

The impact of inflation on bank stability: evidence from the MENA banks

PurposeSerious concerns about the stability of the international financial systems have arisen recently, resulting from the mounting inflation rates and the accompanying procedures to control them. Consequently, this study aims at examining empirically the impact of inflationary pressures/shocks on the stability of banking sectors.Design/methodology/approachThe study adopts a dynamic GMM models and exploits a sample of 188 banks operating in 14 MENA economies, over the period 1999–2021.FindingsThis research finds that high inflation does indeed harm bank financial stability and deteriorates banks credit risk. Furthermore, the examination of the impact of interaction terms between inflation and bank-specific and institutional quality variables shows that better capitalisation levels, higher liquidity buffers, larger asset size, greater market power, foreign ownership and overall political stability, all can counterbalance the impact of inflationary pressures on MENA banks financial stability.Originality/valueIn addition to empirically revealing how inflationary shocks can deteriorate financial stability, the main novelty of this research is examining how the interactions between inflation on one hand, and bank-specific and institutional quality on the other, affect bank stability.

Analyses of Business Attributes and Facebook Utilization: Marketing Insights

Microenterprises have a significant impact on the nation's economic development. Given the current trends in marketing, numerous organizations have adopted social media marketing. This study analyzed Facebook's business attributes and perceived effectiveness as an advertising tool for microenterprises. The researchers employed a descriptive-causal research design through random sampling of 320 registered microenterprises that utilize Facebook as an advertising tool. Findings revealed that participants were mostly under sole proprietorship, having one to three employees with an estimated asset size of less than 1,000,000 pesos and being in operation for one to three years. Customer brand awareness, product promotion, engagement reach, and sales volume were found to be highly effective in the perceived effectiveness of Facebook use. Remarkably, the business profile length of operation showed significant differences in terms of volumes of sales, whereas the number of staff in terms of customer brand awareness, engagement reach, and volume of sales; average asset size in terms of customer brand awareness and product promotion indicated significant differences to the perceived effectiveness of Facebook utilization as an advertising platform. Hence, the researchers recommended that microenterprises focus on targeted advertising, allocating advertising investment, and optimizing Facebook's advertising features.

An analysis of the non-financial motivation system of JSB “Almazergienbank” in order to increase the efficiency of personnel work

This article considers the system of non-financial motivation of personnel of Joint-Stock Commercial Bank “Almazergienbank”, a large regional bank by asset size, registered in the territory of the Republic of Sakha (Yakutia). The key business lines are servicing corporate clients, municipal organizations and projects, attracting deposits and lending to individuals and legal entities. The relevance of this topic is due to the fact that in the conditions of fierce competition between organizations it is necessary to find ways to increase the productivity of employees. Improving the incentive system can be one of such ways. The purpose of the study is to determine the involvement of employees in the system of non-material motivation and to develop recommendations for improving the incentive system in the context of increasing the efficiency of work in the context of competition in the banking market. Intangible incentive, being a significant tool, allows to save resources and at the same time increase productivity and satisfaction of employees. The methodological basis of the research was a survey of bank employees, an analysis of the obtained data and the existing system of nonfinancial incentives. It was revealed that the most popular option for assessing the intangible incentive system among the respondents is the indicator “8”, which indicates incomplete satisfaction with the existing system. As a result of the study, recommendations were developed to improve the personnel incentive system in order to increase the efficiency of work in the competitive conditions of the banking market.