Investment Environment Research Articles

THE LEGAL MECHANISMS FOR ENCOURAGING INVESTMENT IN ALGERIA UNDER LAW NO. 22-18

Objectives: The primary objective of the Algerian legislator is to create a structured and regulated environment for investments that fosters a positive climate. The focus is on establishing legal frameworks that enhance transparency and ensure equal treatment for both local and foreign investors. This approach is intended to drive growth in the investment sector and to provide a sense of security and stability for investors. Methods: To achieve these goals, the legislator has emphasized the importance of legal and judicial safeguards, grounded in clear and objective principles. These principles are intended to secure the rights of investors while encouraging a fair and consistent regulatory environment. In addition to general legal protections, the framework includes specific fiscal incentives designed to attract investors. Results: One of the significant developments in this area is the amendment of the Investment Promotion Law No. 22-18, which introduced various legislative measures to support investment. These changes encompass a range of guarantees for investors, alongside tax breaks and financial incentives, which collectively create a more appealing investment landscape. Conclusion: The revised legal framework represents a proactive step by the Algerian government to enhance the investment sector. By ensuring legal protections, promoting fiscal benefits, and fostering an equitable environment for all investors, the new law aims to strengthen Algeria’s position as an attractive destination for investment, thereby contributing to economic growth and development.

Show Her the Money

Female-founded businesses struggle to attract private investment but seem to attract more within the sport industry. The purpose of this exploratory study was to examine this discrepancy and determine what factors contribute to private funding of female-owned sport businesses. This study examined 440 female-founded sport-related businesses with a founding date between 2010-2020 from the Crunchbase database. There was $2.21 billion invested into 207 female-founded sport companies during the identified period. Using multiple logistic regression and signaling theory, results of the study suggest that female founders in sport should focus capital acquisition efforts on revenue-generating business models and successfully pitching investors, as this leads to greater funding. Social network analysis indicates that the investing environment for female sport businesses is loosely connected with a potential role for start-up accelerators. This study helps to further understand the investment environment surrounding women-owned businesses in sport.

Research on the reasons and ways that successful entrepreneurs benefit society

Successful entrepreneurs such as Warren Buffett and Jack Ma have built thriving businesses and donated a portion of their earnings to charitable organizations that promote education, health care, and the environment. This paper first theoretically explores how successful business people benefit society by making and spending money. Then, this paper takes Chinese listed companies that have generated positive accounting profits in the past three years as samples to explore the relationship between environmental investment and intangible assets of listed companies and empirically verifies whether CEOs increase CSR investment out of strategic motives. Regression results show that when environmental investment increases by 1%, intangible assets of listed companies increase by 0.053%, indicating that CEOs may benefit others strategically to maximize the wealth of stakeholders and increase profits. Therefore, this paper finally draws the conclusion that successful business people not only make a positive contribution to society but also benefit the whole society. They fulfill their social responsibility by supporting global health, development, and sustainability programs, and the modern economy is critical to incentivizing this philanthropy.

Environmental Regulation, Cost Shifting, and Firms’ Environmental Investment Choice: Evidence from China

Environmental Regulation, Cost Shifting, and Firms’ Environmental Investment Choice: Evidence from China

Carbon Neutral Strategies in the Case of Google Inc: A Case Study of Carbon Offset Mechanisms and Renewable Energy Projects

Abstract: Facing the serious challenge of global climate change, Google Inc. has adopted a series of innovative strategies to reduce its carbon footprint and promote corporate sustainability. This paper provides an in-depth analysis of how Google reduces carbon emissions and promotes sustainable development through a series of innovative measures, including large-scale investment in renewable energy, improving data center efficiency, implementing carbon offset projects, and promoting technological innovation in the field of transportation. These actions demonstrate Google's commitment to environmental protection and provide a model for other companies to follow. The study evaluated the economic feasibility and environmental benefits of Google's strategies through a cost-benefit analysis. The results show that despite technical challenges and market uncertainty, Google's environmental investments can bring significant economic benefits in the long term while having a positive impact on the environment. These strategies help Google achieve its carbon neutrality goals and provide momentum for the global transition to a low-carbon economy. In addition, the study emphasizes the importance of socio-cultural factors in promoting environmental strategies. Google has raised public awareness of climate change and enhanced social support for environmental actions through community involvement and educational programs. These findings reveal the need for companies to adopt environmental protection measures in the context of globalization and provide practical guidance for other organizations to implement sustainable development strategies.

Analysis and Prospects of Business Models in China's Emerging Catering Industry

Abstract: With the improvement of the national economic level and consumption upgrading, the catering industry plays an increasingly important role in daily life. It has become an important indicator to measure the social and economic development of a region and reflects the real situation of the living environment and investment environment of a region. The catering industry and the development of the times are closely related. the catering industry promotes the development of the times to a certain extent. Also, the progress of the times boosts the development of the catering industry, providing opportunities and challenges. This paper focuses on the development status and business model of the emerging catering industry and explores the characteristics of the relevant business model. Combined with the five-year financial statements of the emerging catering giant Haidilao Company, the company's business model is analyzed in depth to find out the factors affecting the company's financial situation. After that, this paper makes a scientific prediction for the future development of the company and puts forward reasonable suggestions.

Can Trade Policy Uncertainty Drive Green Innovation? Empirical Evidence From the US–China Trade War

ABSTRACTChina's rapid economic growth in recent years has coincided with heightened environmental regulations and an upsurge in greenhouse gas emissions, necessitating a greater emphasis on green innovation to mitigate environmental risks. Concurrently, the US–China trade war has elevated trade policy uncertainty (TPU). This study uses the TPU surge from the trade war as a quasi‐natural experiment, employing text analysis of annual reports to assess firms' TPU perceptions. Using a difference‐in‐differences method, we find that increased TPU significantly hinders green innovation. Firms' responses vary with environmental advantages, regulation levels, and government subsidies. Mechanisms include reduced environmental investment, decreased executive attention to environmental issues, and corporate social responsibility. These findings underscore the importance of a stable trading environment for promoting green innovation.

Perception of Women Towards Investment in Different Investment Alternatives

Women are empowered to take active participation in investment activities through financial education and an inclusive investment environment. Several alternatives to investing are available, including mutual funds, real estate, precious metals, savings accounts, and stocks, which offer potential returns through regular income or capital appreciation. Investment alternatives are differentiated by their unique features, risks, returns, and ease of management. Investors, before investing, must take these features into account in relation to their risk tolerance, goals, and time horizon when considering any particular alternative. As women are recognized for making risk-averse investment decisions, their investments are impacted by numerous factors. The primary goal of this study is to understand the investment perception of women towards different investment alternatives. While the main factors influencing investment decisions are return, risk, and liquidity, several other factors specifically influence women investors, such as social and cultural norms, peers, and family members. Primary data was collected through a well-structured questionnaire consisting of Likert scale questions. SPSS software was used for data analysis. The initial results of the survey showed that 70% of the respondents had an average understanding of different investment options, whereas only 5% had high knowledge of different investment alternatives. When it comes to interest in a particular investment, mutual funds are the most preferred alternative. Additionally, 72% of women respondents show a moderate level of risk tolerance among all respondents in the study.

Retraction Note: Measuring technical efficiency associated with environmental investment: does market competition and risk matters in banking sector.

Retraction Note: Measuring technical efficiency associated with environmental investment: does market competition and risk matters in banking sector.

The Effectiveness of The Agricultural Investment Environment in Supporting the Production of Strategic Crops in Iraq for The Period From 2003-2021

Maximizing the effectiveness of the agricultural investment environment for all its basic inputs from the economic and human resources available in Iraq represents a qualitative breakthrough in the production of strategic crops, therefore, the research problem came from the weak production of strategic agricultural crops in Iraq in quantity and quality, due to the ineffectiveness of the agricultural investment environment, as a result of the lack of government support, the deterioration of the infrastructure of the agricultural sector, and a shortage of monetary capital, Finally, the scarcity of water resources, the problem was treated using the analytical method, thus, the research aims to demonstrate the importance of developing the agricultural investment environment and increasing government support and its impact on the production of strategic agricultural crops, the research concluded that Iraq possesses most of the basic inputs to the agricultural investment environment, but it lacks efficient management and optimal use, in addition to climate change, which has helped increase drought and desertification, the research also concluded that agricultural policy in Iraq includes obliging the investor to an agricultural plan in which the cultivated area is determined under the pretext of limited the capacity of the stores and the amount of strategic water storage despite Iraq’s need for strategic crops and thus the state’s attempt to meet the increasing demand for strategic crops t-hrough imports, which makes Iraq subject to the fluctuations of the global market and the depletion of hard currency, the researcher recommends efficient and optimal exploitation of natural, financial and human resources and keeping pace with scientific and technological progress in the production of strategic crops. In conclusion, the research included the deductive approach through the method of analytical description to advance the agricultural investment environment in Iraq. Paper type: Research paper.

Long-run Relationship between Power Consumption and Manufacturing Sector Output in Nigeria

Power remains the engine of growth of every economy while the manufacturing sector remains the key driver of a transformed modern economy. Despite several power sector reforms, Nigeria’s manufacturing sector continued to underperform. This study focused on examining the long-run relationship between power consumption and manufacturing sector output in Nigeria. We estimated an ARDL model based on the bounds-testing approach to cointegration. Our results indicate that manufacturing sector output and electricity consumption are cointegrated and that short-run deviations from equilibrium are corrected up to 83 per cent annually. The result showed that power consumption is positively related to manufacturing sector output. This implies that improved power sector will stimulate manufacturing sector growth. Our result also showed that capital formation, labour force and private sector credit are positively related to the manufacturing sector while the monetary policy rate is negatively related to the manufacturing sector. Given our findings, we recommend that the government should implement a sustainable power sector reform that prioritizes the manufacturing sector. This will stimulate growth, reduce the cost of energy and indirectly reduce price of manufactured products. We equally recommend creating a conducive environment for investment in the manufacturing sector through favourable monetary policy rates to allow manufacturers access to credit.

Artificial intelligence innovation and corporate environmental investment: A contingent view

Existing research has begun to focus on the negative impacts caused by artificial intelligence (AI), but few studies have examined the influence of AI on corporate environmental activities. This study, using 15,779 observations from 3,097 Chinese listed firms from 2008 to 2022, finds that corporate AI innovation has a significant negative impact on CEI. Additionally, we discover that firm size strengthens the negative relationship between AI innovation and CEI, while foreign direct investment (FDI) intensity weakens this negative relationship. This study extends the research on AI in the field of corporate environmentally friendly behavior.

Why do we argue about risk? The invisibility of worldviews in marine decision-making

The paper asks “why are we always arguing about risk?” It explores what drives risk perception in decision-making processes in Aotearoa New Zealand’s marine environment. The research’s holistic framing shows that the prevailing concern with risk and uncertainty (RU) issues in government and managerial settings deflects attention from and hides the background influences of worldviews. After introducing the invisibilities around RU and outlining worldview-based perceptions of risk, the paper turns to an empirical investigation focusing on deep-seabed mining investment in the context of Aotearoa’s Exclusive Economic Zone and Continental Shelf Act (Environmental Effects) 2012. Enacted as part of neoliberal reforms, the Act seeks to reduce environmental degradation in tandem with economic growth. A situated methodology examines a consenting process within this Act as a strategic site to establish expressions of RU and shaping invisibilities. Three key influences are revealed: the positionality of decision-makers, their disciplinary training, and the largely unknown filtering of environmental and economic options that come from 3 worldviews held in Aotearoa (dominant social paradigm, new environmental paradigm, Te Ao Māori). We contend hidden worldviews impact on economy–environment relations and ensuing economic and environmental practices and outcomes. This arises because they underpin and fuel debates around what RU are acceptable and how benefits should be distributed (public vs. private benefits investment decisions, and economy vs. environment). Unless we recognize and understand these hidden influences, we simply cannot work with them. This insight has major implications for how RU ideas might be framed and navigated in emerging policy settings.

Exploring the factors of enabling environments for business investment projects in rural communities: stakeholders’ perspectives

In recent years, the local economic development (LED) planning paradigm has gained widespread acceptance worldwide as a locality-based response to the challenges posed by globalization, devolution, and local-level opportunities and challenges. Noticeably, governments in the Global South are seen to be supporting linkage policies that directly couple profitable growth and investment with redistribution and community development in rural-based localities. To attract potential investors to circulate more resources within the local rural communities, local governments must ensure that the local investment climate (LIC) is functional for business investment. Unlike in urban areas, rural localities, by their nature of periphery location from economic development nodes, prospective business investment projects (BIPs) are often faced with delays and uncertainty. This is mainly because the factors underlying the enabling environments for business investment in rural localities are poorly understood and based on speculation. Against this backdrop, this study therefore set out to explore and unveil the key factors that are fundamental for ensuring a conducive and functional local investment climate (LIC) in rural communities. Through a qualitative case study approach with the application of a conventional content analysis method, performed with coding methods, the study unveiled five key factors presented in a thematic approach. Namely, market and customer needs; government and regulatory support; access to infrastructure and services; land availability and zoning; and participatory community engagement. Understanding these fundamental factors that underpin conducive and operational investment environments is important for viable business decision-making in the feasibility study of investment projects toward LED in rural communities.

The State, Climate Change and Energy Transition in Zimbabwe, 1992–2022

This article examines the legislative, investment and policy environment that the Zimbabwean state is spearheading to transition the country from an overreliance on fossil fuels in response to the drawbacks of climate change. The need for this energy transition has become even more urgent due to decreasing water levels that can no longer sustain the country’s hydroelectric power outputs. A transition to other renewable energy sources and biofuels will lower the country’s carbon emissions. The article observes that while a lack of capital in large part hinders the country’s energy transition to invest in big renewable energy projects, the few small-scale projects underway are very opaque, (occasionally) transient and indistinct to the point of obscuring many potential benefits for the country’s citizens. This article relies on a review of primary material and sources from various repositories and a thorough review of secondary literature. This article was published open access under a CC BY licence: https://creativecommons.org/licences/by/4.0 .

Predictability in Oil and Gas Investment Agreements: Balancing Interests for a Stable Investment Environment, Stanislava Nedeva. 1st Edition. Cheltenham, UK:Edward Elgar publishing. (2024)

Predictability in Oil and Gas Investment Agreements: Balancing Interests for a Stable Investment Environment, Stanislava Nedeva. 1st Edition. Cheltenham, UK:Edward Elgar publishing. (2024)

Responding to green finance with emission reduction and value-added: The role of enterprise environmental investment

Responding to China’s green finance policy with enterprise environmental investment (EEI) constitutes a crucial link in achieving environmental governance objectives, exerting crucial influence on the nation’s green transformation and high-quality development. Taking the pilot policy of China’s Green Finance Reform and Innovation Experimental Zone (GFRP) in 2017 as a quasi-natural experiment, this study systematically evaluates the effect of GFRP policy on the decisions of EEI and further explore whether the investments are used for passive end-of-pipe treatment (EOP) or positive source prevention (SP) by using firm-level data. The results indicate that GFRP policy can significantly promote EEI, and mainly reflected in SP, rather than EOP. Through potential mechanism analysis, it can be concluded that GFRP policy facilitates EEI by alleviating financial constraint, reducing agency cost, and enhancing environmental information disclosure. Heterogeneity analysis suggests that there exists asymmetry in policy effects, with greater impacts in high green finance development areas, low concentration industries and large-scale enterprises. Furthermore, micro-level performance consequences examination reveals that the enterprises’ decision to increase EEI under GFRP policy not only effectively realizes energy conservation and emission reduction but also contribute to facilitating enterprise value, to achieve green transformation. This study holds significant policy implications, providing empirical evidence to policymakers for the refinement and dissemination of green finance policy, and offering valuable insights for enterprise investment and management decisions.

Conceptual model for strengthening international commercial arbitration in promoting cross-border trade and investment in developing economies

International commercial arbitration plays a crucial role in promoting cross-border trade and investment, particularly in developing economies where legal and institutional frameworks may be underdeveloped. This paper proposes a conceptual model aimed at strengthening international commercial arbitration to enhance its effectiveness in supporting cross-border trade and investment in these regions. The model addresses the unique challenges faced by developing economies, such as inadequate legal infrastructure, limited access to expertise, and the reluctance of foreign investors due to perceived risks. It emphasizes the need for capacity building, the harmonization of arbitration laws with international standards, and the creation of supportive legal environments that foster investor confidence. The model proposes the establishment of regional arbitration centers with a focus on developing economies, staffed by experts familiar with local contexts and international best practices. Additionally, it suggests the integration of digital technologies to streamline arbitration processes, reduce costs, and enhance accessibility. Collaboration between international arbitration bodies, governments, and private sectors is also highlighted as a critical component for the success of this model. Furthermore, the model advocates for the development of specialized training programs to build local expertise in arbitration and dispute resolution. By fostering a robust arbitration culture, developing economies can attract and retain foreign investment, thereby contributing to sustainable economic growth. This conceptual model seeks to bridge the gap between global arbitration standards and the specific needs of developing economies. By doing so, it aims to create a more conducive environment for cross-border trade and investment, ultimately contributing to the economic development of these regions. The paper concludes by outlining the potential impact of the model on improving investor confidence, reducing trade barriers, and enhancing the overall attractiveness of developing economies as investment destinations.

AN ANALYSIS OF BEHAVIOURAL FINANCE AND ITS INFLUENCE ON INVESTMENT DECISION

This research delves into the fascinating realm of Behavioural Finance, exploring its significant influence on investment decision-making among residents in India's National Capital Region (NCR). By drawing on insights from relevant studies, this work seeks to uncover the intricate link between human behaviour and financial decision-making within this demographic. The study begins by examining the unique financial behaviours of investors in the region, aiming to identify the key investor profiles that shape the investment environment. As a multidisciplinary field combining elements of psychology, sociology, and finance, Behavioural Finance provides the primary framework for this exploration. The research distinguishes between its micro and macro perspectives: the detailed analysis of individual behavioural traits of investors and the broader identification of inefficiencies in the market. Recognizing the pervasive impact of behavioural biases on investment behaviours and decisions, this study offers an in-depth review of diverse research within the Behavioural Finance domain. It sheds light on how human psychology and social dynamics interact with financial decision-making, highlighting the crucial role of Behavioural Finance in contemporary financial practices. In an era where financial markets are not merely governed by rationality but are also shaped by complex human behaviours, this research offers valuable insights into the dynamics of Behavioural Finance. By illuminating the distinct investment choices, the study aims to deepen our understanding of the factors influencing these decisions, ultimately equipping investors and financial professionals with more informed decision-making strategies.

Fiscal decentralization's impact on carbon emissions and its interactions with environmental regulations, economic development, and industrialization: Evidence from 288 cities in China

Given the global focus on climate change and sustainable development, understanding the impact of China's fiscal decentralization on carbon emissions is essential for supporting green transformation and achieving carbon peaking and neutrality targets. This study examines data from 288 Chinese cities between 2003 and 2021, using fixed effects, moderation effects, and threshold effects models to assess the relationship between fiscal decentralization and carbon emissions, alongside its interaction with environmental regulation, economic development, industrialization, and city hierarchy. The results show that fiscal decentralization significantly aids carbon reduction, but stronger environmental regulations have not effectively slowed emission growth, creating a "green paradox." Relaxed regulations prioritize short-term economic gains, leading to underinvestment and fragmented regulatory efforts, which weaken emissions control. As economic development advances, fiscal decentralization's impact on carbon emissions shifts from positive to negative. Additionally, with increasing industrialization, the negative influence of fiscal decentralization on emission intensity becomes more pronounced. In non-first-tier cities, weak regulatory enforcement and limited autonomy hinder effective carbon reduction policies. To address these issues, the central government should enhance guidance and oversight of local environmental policies, ensure strict enforcement, optimize fiscal resources for environmental investment, and promote green economic transformation. A tailored approach to fiscal decentralization is needed to balance economic growth with environmental protection, achieving mutually beneficial outcomes.