Development Of Regional Institutions Research Articles

Convergence to IFRS, accounting quality, and the role of regional institutions: evidence from China

PurposeThe purpose of this paper is to examine the relationship between regional institution and accounting quality.Design/methodology/approachThis study investigates whether and to what extent the convergence to International Financial Reporting Standards (IFRS) improves Chinese firms’ accounting quality. It also examines the role regional institutions play in this process. The focus is on two aspects of accounting quality: the accrual aggressiveness and the timely loss recognition. Specifically, the study tests: whether the convergence to IFRS significantly lowers the accrual aggressiveness proxied by the magnitude of discretionary accruals (DA); whether the convergence to IFRS significantly enhances the timely loss recognition proxied by the likelihood of reporting large negative net income; and whether the effects of convergence to IFRS on accounting quality vary with the quality of regional institutions.FindingsThe findings show that convergence to IFRS generally was accompanied by increases in DA and decreases in timely loss recognition for Chinese firms. Further analysis on the development of regional institutions reveals that both changes in accrual aggressiveness and timely loss recognition are more pronounced for firms located in regions with a lower level of development in the legal environment.Originality/valueThis study contributes to the accounting literature in several ways. First, it extends the accounting literature regarding institutional factors by examining the association between regional institutions and accounting quality. Second, by adopting a within-country setting, the study avoids such problems of cross-country comparisons as confounding factors caused by country-specific accounting rules and regulations, differences in infrastructure and culture, and other potential endogeneity problems (Chan et al., 2010). Third, the attention paid to the European and US application of IFRS overshadows the application and effects of IFRS in emerging markets. By examining China, the world largest emerging economy in the process of economic transition, this study sheds light on the effect of convergence to IFRS on accounting quality for emerging or transitional economies.

Implementasi Kebijakan Pengembangan Pariwisata di Pulau Lombok

Lombok is one of the islands of West Nusa Tenggara province with enormous tourism potential, from nature, beaches and culture. So that if this is developed properly it will bring prosperity to the Lombok people in particular and NTB in general. Tourism development policies have not been widely felt to bring effects to welfare to the community. The purpose of this study is to provide an overview of policies and implementation of tourism development policies on tourism on the island of Lombok. Data was collected by observation and interviews. From these data, then analyzed descriptively qualitatively, the data formed becomes a description that describes a situation or event described. Based on the results of the analysis of tourism development policies in Lombok island, it is inseparable from the four tourism pillars contained in regional regulations, namely tourism, marketing, industry and institutional development. The implementation of the policy has not maximally affected the welfare of the people on the island of Lombok, and has even caused new problems in the lower classes.

MODERN TOOLS FOR THE ENSURING OF THE NATIONAL MODEL OF THE �GREEN� ECONOMY ECO DEVELOPMENT

MODERN TOOLS FOR THE ENSURING OF THE NATIONAL MODEL OF THE �GREEN� ECONOMY ECO DEVELOPMENT

Institutions, firm resources and the foreign establishment mode choices of Chinese firms: The moderating role of home regional institutional development

Although the foreign establishment mode choices of emerging market enterprises (i.e. the choice between mergers and acquisitions and greenfield investment) are attracting increasing research attention within international business, there is limited understanding of the firm-specific resources and institutional conditions under which intra-national institutional differences might affect foreign establishment mode choices. This paper helps to bridge this gap by investigating how home regional institutional developments influence firms' foreign establishment mode choices, the moderating impact of firms' international experiences, and the institutional qualities of host countries on this relationship. Using primary data from a large survey conducted in China and secondary data from public sources, our results show that a firm's international experience and the institutional quality of the host country moderates the effects of home regional institutional development on establishment mode choices by mitigating the liabilities of foreignness and the reliance on home institutions inherent to emerging market enterprises.

The roles of macro and micro institutions in corporate social responsibility (CSR)

PurposeFirms’ corporate social responsibility (CSR) behaviour is embedded in the institutional context. Under this logic, the purpose of this paper is to investigate the institutional antecedents of CSR, especially how two sub-national institutions – regional institutional development and industry dynamism – and their interactions affect firms’ CSR.Design/methodology/approachThe sample consists of 608 Chinese listed firms, with 2,694 observations made from 2009 to 2014. The data were collected from two sources. The CSR information was acquired from the CSR rating agency Rankins CSR Ratings, and the financial data from the China Stock Market and Accounting Research database. Panel ordinary least squares regression was used to test the hypotheses.FindingsThe empirical results indicate that firms located in advanced regional institutions and more dynamic industries are more likely to engage in CSR. Moreover, macro institution, termed as regional institutional development, positively moderates the relationship between micro institution in terms of industry dynamism and CSR.Originality/valueOverlooking how the institutional environment influences CSR decisions limits understanding of firms’ CSR activities. This paper offers an institutional explanation of CSR and, in particular, investigates different levels of sub-national institutions and their interaction.

The role of regional development institutions in enhancing the innovation potential of the constituent entities of the Russian Federation

The role of regional development institutions in enhancing the innovation potential of the constituent entities of the Russian Federation

The Role of Higher Education Institutions in Fostering Industry Clusters in Peripheral Regions: Strategies, Actors and Outcomes

Despite new empirical insights on the topic, the role of the universities in regional development is far from clear. Some regions with strong universities manage to benefit from technological spillovers, while others fail to develop strong industry–university connections, which leaves the research potential of the university largely unutilized. This paper investigates the role played by universities in the development of industrial clusters in two peripheral regions in Norway and the Czech Republic. In so doing, we contrast between a more and a less successful case scenario shedding light on key contextual factors, including the importance attributed to top-down versus bottom-up approaches. The paper contributes with new empirical insights on the role of higher education institutions in regional cluster development.

Sea Harvest: Back(fish)bone in Saldanha Bay’s local and regional economy?

The fishing industry is the socio-economic base of coastal towns in the West Coast region of South Africa. Regional development focussed on Saldanha Bay is locked into a tight relationship between the Port (oil, gas and iron ore), the local government and two industrial sectors, namely steel and maritime fishing. This paper examines the role Sea Harvest Corporation (Pty) Ltd has played in the evolution and development (socio-economic transformation) of the Greater Saldanha Bay region. 1 First, the literature on the roles of institutions in regional development in general and fishing in particular is reviewed. Second, the state of fish resources at global, national and local levels is discussed to provide the wider context. Third, a mixed-method approach is used in a case study of Saldanha Bay’s deep-sea trawling industry where the evolution of Sea Harvest as a company in the Greater Saldanha Bay region and its role in the region’s development are treated. Sea Harvest is shown to play an important role in the local and regional economies – where more than 2000 permanent jobs have been sustained over the last 10 years and at least 25% of all households in the Greater Saldanha Bay region have benefitted from involvement with the company. Last, some lessons from this highly specific case study are shared.

The Competitive Dynamics between Domestic and Foreign Firms in an Emerging Market

In this study, we investigate how the local density of privately owned domestic firms (POEs) affects foreign subsidiary (FOE) exit in an emerging market. From the inter-population ecology perspective, we propose that the local density of POEs will have a U-shape relationship on FOE exit. Such relationship would be flatter in a region with better institutional development. We further build on the community ecology literature to propose that the effect will be stronger when POEs have prior collective actions to legitimize the market based identity and when FOEs have strong ability to draw identity from POEs. Using a panel dataset on manufacturing firms in China from 1998-2005, we find support for our hypotheses. We find the local density of POEs has a U-shape relationship on the FOE exit. The U-shape is flatter when the regional institutional development is high. In addition, the U-shape is steeper when the POEs have higher levels of intangible asset intensity and export intensity and when the FOEs have hig...

From Entrepreneurial Aspirations to Founding a Business: The Case of Russian Students

The formulation of entrepreneurial aspirations represents one of the key stages of the entrepreneurial process. In practice, however, not every declared intention is eventually translated into a viable enterprise, creating the phenomenon of the intention-action gap. This study is based upon the key principles of embeddedness perspective and the theory of planned behavior, considering a variety of factors that are able to increase or diminish the probability of an actual shift from entrepreneurial intentions to concrete start-up activities. These factors include the presence of a family business, support from a university entrepreneurial environment, and the level of development of regional entrepreneurial institutions. An analysis of data on 4,484 students from 32 Russian universities gathered over the course of the international project, the Global University Entrepreneurial Spirit Students’ Survey (GUESSS), in 2013-2014 revealed a negative correlation between a family business and the probability of a potential entrepreneur’s shift from entrepreneurial aspirations to the actual creation of a start-up enterprise. The development of regional entrepreneurial institutions, on the other hand, exhibits a positive link.

Institutional Thickness Revisited

abstractOver the last two decades, the notion of institutional thickness has become a key reference for a large body of work that has sought to provide profound insights into the link between institutions and regional development. However, only few attempts have been made to reassess the concept, to improve its methodology, and to reflect on its empirical application. The aim of this article is to revise the original concept of institutional thickness. We draw on and seek to contribute to current work in economic geography and related disciplines on the role of organizations and institutions in regional development. We identify some crucial limitations and provide suggestions for how they can be addressed. It is argued that much can be gained by (1) explicitly elaborating on the relation between the organizational and institutional dimensions of thickness, (2) moving beyond overly static views on thickness, (3) developing a multiscalar approach to thickness, and (4) identifying features for assessing thickness in absolute and relative terms.

What drives outward FDI from emerging economies? The interplay between exploration orientation and home‐country institutional changes

AbstractWe examine how home‐country government involvement and institutional environments interact with the exploration orientation of emerging market firms (EMFs) and how these interrelationships affect the outward foreign direct investment (FDI) behaviours of EMFs. By using a unique data set of Chinese firms, we find that exploration orientation has a positive effect on the outward FDI propensity and outward FDI intensity of Chinese firms. The findings further demonstrate that government support can enhance the independent effects of exploration orientation on outward FDI propensity and outward FDI intensity, but such effects will weaken when a high degree of state ownership exists within these firms. No evidence is found that regional institutional development moderates the effect of exploration orientation on outward FDI behaviours. Copyright © 2017 ASAC. Published by John Wiley & Sons, Ltd.

Regional higher education institutions in regional leadership and development

ABSTRACTRegional higher education institutions in regional leadership and development. Regional Studies. This paper analyses the evolution, the embeddedness in regional structures and the contribution to leadership of Estonian regional higher education institutions. The conceptual framework combines institutional and complexity leadership theories to create a typology of regional higher education institutions. The empirical material is based on interviews and survey data. It seems that in order to be successful, regional higher education institutions and their leaders have to act not only as educators but also as proactive institutional entrepreneurs, shaping regional strategies and institutional development as well as national policies.

ATTRACTING FOREIGN DIRECT INVESTMENTS: THE CASE OF LATGALE REGION

Recent theoretical and empirical studies show that foreign direct investment (FDI) is crucial for sustainable development of countries and regions. The various discussions among the regional development institutions in Latvia on the importance of improving the environment for successful attraction of foreign investments have been initiated, as well as new strategic initiatives are in the process of development. The aim of the paper is to analyse the latest trends of inward FDI flows in Latvia and Latgale region in the context of global FDI trends. To attain the aim, the global FDI trends, the inward FDI flows in Latvia and Latgale region, as well strategic framework of Latgale region for attracting FDI were analysed.

U.S. Medical Support in a Developing World Health System - a Partnership Made in Africa for a "New Normal" Strategy.

The United States Government (USG) is deeply interested in political stability and economic prosperity within each of the sovereign states of Africa. Part of the “whole-ofgovernment approach,” the Department of Defense (DoD) is responsible for lines of effort that place uniformed service members and U.S. Embassy officials at risk. Current USG missions on the African continent typically involve small travelling contact teams, special operators, and diplomatic missions without robust medical support. Beyond Self Aid and Buddy Care (SABC) and unit medics, there is no capacity to support U.S. assets during the golden hour of trauma. Civilian and military assets are integrated with variable success on an ad hoc basis (e.g., Theater Patient Movement Requirement Center coordinates with International SOS, as needed, to arrange medical evacuation by the most effective means possible, usually a civilian aircraft). Those unstable for evacuation are transported to the nearest medical facility where service members and diplomats receive the best care available, which may be different from the standard of care available in other countries. Despite historical precedence and known risks, the USG does not have a robust response capability for medical crisis that involves USG representatives on the African continent. Many proposals exist to push specific medical capabilities closer to U.S. personnel in Africa, but few use evidencebased tactics aligned to strategic end-state objectives. The tactical capabilities proven to save lives and reduce the burden of disease are clear: personnel protective equipment (e.g., body armor and tourniquets), SABC, tactical combat casualty care, casualty evacuation, forward access to trauma surgery, reliable blood bank and laboratory support, evidencebased critical care, and robust medical evacuation. We propose a strategy to assist development of African regional training institutions to teach, train, evaluate, and maintain these specific evidence-based tactical medical capabilities. In this strategy, host nation (HN) training institutions selected based on willingness, regional consensus, and funding legitimacy would draw medics from the region to complete standardized training at a center of excellence, staffed and led by HN medics to serve both the health security objectives of the USG, the training requirements of all partners, and the health care objectives of the HN. The end-state objective directly supports U.S. Africa Command Lines of Effort and a whole-of-government approach to Global Health Engagement. Measurable outcomes based upon this strategy must directly support desired end states, and should include: HN medics graduated from mandatory training, HN medic performance during training exercises, time-distance from U.S. Embassy to accessible Role 2 care, reliable access to accredited blood bank, sustainable information technologies to support unimpeded access to medical subspecialist consultation, incorporation of Millennium Development Goals or the future Sustainable Development Goals, access to 5,000-foot runway and helipad, flexible and integrated AE routes, and HN certified as United Nation/African Union interoperable combat medics with civilian health care credentials. In the initial effort of this Global Health Engagement strategy, HN personnel assigned to military or civilian units responsible for disaster response will receive tactical training based on HN and partner requirements. One training source is the Defense Institute for Medical Operations with extant courses categorized as Health Systems Management, Disaster Management and Consequence Management, Public Health and Force Health Protection, and Patient Transport and Evacuation. Unique courses offer by DoD include the following: SABC, Combat Casualty Care Course, and tactical combat casualty care. Department of State, DoD, and U.S. Agency for International Development (USAID) have the capacity to train Basic Life Support, Advanced Cardiac Life Support, Pre-Hospital Trauma Life Support, Advanced Trauma Life Support, and Advanced Life Support in Obstetrics. Indeed, such training is currently happening in African nations with train-the-trainer follow-up with external instructors. However, African International Health Specialist Team USAFE/AFAFRICA SGXD Unit 3050, Box 170 Ramstein, APO AE 09094-0170. The views expressed are those of the authors and do not reflect the official policy or position of the U.S. Africa Command, the U.S. Air Force, the Department of Defense, or the U.S. Government. doi: 10.7205/MILMED-D-15-00413

Re-engaging with spatial economic development: The recent experience of regional and local economic development in South Africa

Local and regional development trajectories across the global north and south exhibit both convergent and divergent tendencies (Barca et al., 2012; Nel and Rogerson, 2009; Pike et al., 2014; Reddy and Wallis, 2012; Rogerson and Rogerson, 2010). One of the distinctive features of SouthAfrica’s development pathway in the post-apartheid era has been the reinvigorated embrace of regional and local development policy and interventions. This characteristic exemplifies the broader argument internationally that there has been ‘renewed emphasis upon the region as the locus for economic, social and political action and the roles of institutions in local and regional development’ (Pike et al., 2006: 130). Spatially based economic interventions have had a long and contested history in South Africa where support for marketbased interventions have sat uncomfortably alongside the direct pursuit of political objectives and of attempts to use economic support measures to achieve social and political outcomes. After Second World War and until the democratic transition of the early 1990s, Keynesian state thinking was used to justify the apartheid’s states efforts to divide and separately develop and economically support different parts of the country and different areas within cities on racially segregated lines. Parallel efforts included import-substituting industrialisation and a growth point strategy targeted to both develop the country’s peripheral areas and to offer national economic development opportunities for the racial reserves which had been established (Bell, 1987; Nel, 1999; Tomlinson and Addleson, 1987; Wellings and Black, 1986a, 1986b). After the 1994 political transition, there was an initial reluctance to engage in spatial interventions which were seen as being tainted by associations with apartheid planning (Oranje, 2010). Nevertheless, a number of spatially targeted interventions were applied

Governance Structure and Related Party Loan Guarantees: The Case of Chinese Family Business Groups

ABSTRACTLoan guarantees to related parties by affiliated subsidiaries within family controlled pyramids form a means by which the controlling family expropriates value from minority shareholders. The controlling family, however, will attempt to escape blame for the behavior. Using a sample of 1785 listed Chinese firms affiliated with family-controlled business groups, we explore how family governance structure affects the use of related party loan guarantees. As hypothesized, we find that affiliates with non-family chairmen, but with family directors or senior executives, issue larger volumes of loan guarantees to related parties, whereas affiliates with family chairmen and those with non-family interlocking chairmen do not. The behavior is moderated by regional institutional development.

Germany Unlocking Trade and Customs Potential in Africa

Aid for Trade is an initiative that assists developing and, in particular, least-developed countries to integrate into the multilateral trading system by boosting their capacity to export goods and services. It encourages developing and least-developed countries’ governments and donors to recognise the role that trade can play in enhancing economic growth and development. According to the World Trade Organization (WTO), since the initiative was launched in 2005 in Hong Kong, Aid for Trade commitments from donors — governments, international and regional development institutions — reached USD41.5 billion in 2011, up 57 per cent from 2005. The initiative is an example of the WTO’s mandate to achieve ‘coherence in global economic policymaking’. Aid for Trade is particularly important for Africa as it has the highest number of least-developed countries facing a myriad of supply-side trade-related infrastructure challenges which constrains their ability to engage in international trade. This paper seeks to highlight the significant contribution that Germany has made to bolstering trade and customs capacity in Africa, particularly in the regions of Economic Community of West African States (ECOWAS), East African Community (EAC) and South African Development Community (SADC).

Regional Development Trends and the Regional Development Institutions in the Visegrad Countries - Enabling or Hindering Institutional Environment?

International online peer-reviewed open-access journal offers a possibility for the international community of professionals working in the fields of regional and rural development or tourism to exchange their ideas and research results or practical achievements as it publishes results of both theoretical and applied research in these fields.

Regional Development Institutions in Russia

The purpose of the article is to analyze the creation of development institutions in Russia over the period 2005-2013 and the assessment of the impact of regional development institutions on regional economic space of Russia. Systems approach, analytic method and correlation analysis were used in the study. 83 subjects of the Russian Federation of 8 federal districts are included in the analysis. The article examines the dynamics of creation and features of spatial distribution of regional development institutions in Russia. The subjects of the Russian Federation which are leaders in the quality of development institutions and the volume of attracted funds through them into the economy are identified. The efficiency of regional development institutions is determined through the assessment of their impact on economic growth in the federal districts and in Russia as a whole. The overall impact of all regional development institutions on regional economy in Russia is identified. The role of such regional institutions as regional funds for SME support, regional venture capital funds, development corporations, mortgage funds, special economic zones in the development of regional economies is explored. DOI: 10.5901/mjss.2015.v6n3s5p107