Insufficient Demand Research Articles

Encuesta a las empresas españolas sobre la evolución de su actividad: cuarto trimestre de 2024

Rationale The Banco de España Business Activity Survey (EBAE) provides highly valuable, real-time information on a broad sample of Spanish firms’ turnover, employment, costs and prices. This helps to diagnose current economic developments. Takeaways •Firms perceive an increase in turnover in 2024 Q4, compared with the decreases in the same quarter of 2022 and 2023. Those located in the Valencia region have reported adverse turnover developments as a result of the impact of the flash floods. •Inflationary pressures have ticked up slightly in Q4, in both the cost of inputs and selling prices. •The percentage of firms affected by higher borrowing costs and insufficient demand has fallen, but economic policy uncertainty and labour shortages remain high. •In a module on advanced technologies, 3% of respondent firms reported a high or moderate use of artificial intelligence (AI) systems and 11% are experimenting with them. For firms not yet using AI, the main barriers are a lack of skilled staff, prohibitive costs and significant uncertainty about the legal ramifications.

The Impact of Export Tax Rebates on Industrial Upgrading: A Literature Review

As China's economy gradually shifts towards a stage of high-quality development, issues such as insufficient demand and overcapacity are becoming increasingly prominent. The development model of extensive economy is no longer sustainable, and the economic operation is facing huge risks and challenges. The adjustment and upgrading of industrial structure has become an inevitable choice. In this context, the export tax rebate policy, as one of the important means to promote foreign trade and industrial upgrading, not only has significant practical value for in-depth exploration and analysis, but also has profound significance for guiding future policy formulation and practice. This article aims to systematically integrate and extract existing research results, deepen the understanding of the mechanism and impact of China's export tax rebate policy in promoting industrial upgrading, and provide some research clues for further research by domestic and foreign scholars.

Comparative Analysis of Business Environment Dynamics in Central and Eastern Europe: A Multi-Criteria Approach

The COVID-19 pandemic has negatively impacted the world economy and global society. However, small- and medium-sized enterprises are among the most vulnerable and affected groups of businesses, and in some cases, life-saving interventions have resulted in serious existential implications. The difficulties of insufficient demand, non-negligible fixed costs, and inadequate financing are unsustainable for many firms. Thus, the main aim of this study is to evaluate the variables influencing business activities, apply macroeconomic variables to compare the business environments in fifteen European countries, and utilize appropriate statistical techniques to confirm the results. Significant differences exist in the business climate across selected European countries, as identified by the TOPSIS method, CPI, and GCI. Low levels of corruption, strong economic stability, and high competitiveness make countries like Germany and Austria attractive for business environments. Estonia is also a leader in technological innovation and low corruption. Conversely, Bulgaria and Romania are struggling with higher levels of corruption and reduced competitiveness, potentially impeding business endeavours. The Visegrad Group countries are in the middle of the spectrum, scoring average to good but with opportunities for improvement in corruption and innovation. Overall, the business climate in these countries is diverse, reflecting their unique economic, political, and social circumstances.

Technology adoption, competitiveness and new market access among SMEs in Ghana: What are the limiting factors?

A total of 300 SMEs including beneficiaries and non-beneficiaries of the Presidential Business Development Support initiative were surveyed in Ghana using structured interview questionnaires. The survey objectives were to (i) investigate the extent of adoption of emerging technologies including the Internet of Things (IoTs), Artificial Intelligence (AI), e-Commerce, Mobile Banking and Social Media among SMEs in Ghana; (ii) identify the main barriers to adoption of emerging technologies; and (iii) explore any association between the level of technology adoption by SMEs and access to new markets. Close to 60% of the beneficiary SMEs had adopted less sophisticated technologies such as social media, mobile banking and e-commerce as compared to 50% adoption among non-beneficiaries. Overall, less than 5% of the SMEs surveyed were using sophisticated technologies such AI and IoTs. This study adopted the Technological-Organizational-Environmental (TOE) framework to identify barriers to technology adoption. The top five barriers to technology adoption by the SMEs identified from this study are: (i) lack of finance, (ii) insufficient government support, (iii) lack of absorptive capability, (iv) insufficient demand and (v) poor technology enabling infrastructure. The beneficiary SMEs had better access to sub-regional (West Africa), regional (Africa) and international markets than the non-beneficiaries. Logit regression results showed that the most significant factors positively influencing technology adoption are Education, Marketing Skills, Human Resource Skills, Gender, Market Opportunities and Financial Improvement. There was a positive but weak correlation between technology adoption and access to new market opportunities.

Aggregate Output Stability: Divergent Perspectives

The main objective of this article was to describe two asymmetric perspectives of the aggregate imbalance approach. Starting from the contrast of the Rational Expectations and Keynesian approaches, we analyze the characterization that the general reserve makes of the causes of inflation and the implications that it has on economic policy decisions. From the rational expectations approach, companies and workers form a kind of coherent group that jointly experiences fluctuations in the prices of their products and faces in unison the problem of signal extraction. On the other hand, the Keynesian approach to effective demand explains price fluctuations in principle as an expression of insufficient demand that generates involuntary unemployment. It was identified that the increase in margins during 2021 sought to pass on to consumers and end users of the goods and services of oligopolistic structures the increase in marginal costs induced by the fall in effective demand; resulting in an effect of price increases on the supply side or cost inflation.

Building the digital age: management of digital transformation in the construction industry

This study aims to deepen the understanding of digital transformation in the construction industry. While studies on digital transformation exist at the industry level, studies at the company level, looking at how companies can proactively manage change, are largely missing. This study addresses this gap by exploring how three companies in the construction industry are navigating and leveraging digital transformation for international growth. Employing a multiple case study methodology and a systemic framework, the research provides insights into the interplay of technological innovation, business development, and ecosystem evolution through company cases. The research synthesizes and details three key barriers to managing digital transformation in the construction sector: (1) fragmentation, (2) insufficient demand from clients, and (3) limited influence of a single actor in the ecosystem, and three key drivers: (1) shift to data-driven industry, (2) targeted technological solutions, and (3) standardization and process modification. This study pairs the barriers and drivers with relevant managerial actions, and dimensional positioning to provide new valuable insights on digital transformation in the construction industry and beyond. The research provides insights both for construction industry companies and researchers seeking to manage digital transformation.

Spatial feasibility prediction of green hydrogen scale-up in China under decarbonization policies: Based on improved diffusion model

Hydrogen production from renewable electrolysis is a suitable transformative technology for driving a cleaner energy mix, mitigating climate change, and achieving sustainable development and has been given the color value definition of "green hydrogen". However, this low-carbon technology is still in its infancy, and the pathways for expanding market supply have not been analyzed. To address the problems of unclear factors influencing the diffusion of green hydrogen technology innovation, unclear technology diffusion laws, and inaccurate predictions of regional green hydrogen production capacity under the goal of decarbonization policy, this work constructs a spatial assessment framework of the feasibility of low-carbon technology development in response to climate change on the basis of the theory of technological innovation systems, the improved technology diffusion model, and the feasibility of climate change spatial concepts to analyze and predict the diffusion law and regional green hydrogen production capacity of hydrogen production by renewable energy under the goal of carbon neutrality. The results of the study on the development of renewable hydrogen technology in China show that it follows the law of diffusion of low-carbon technologies in both the formation and growth stages. The diffusion of green hydrogen technology in the formation stage is slow, and the regional green hydrogen capacity in the near term cannot meet the decarbonization policy target demand in 2030. Before the spatial inflection point of technology diffusion feasibility, the demand-pull of the phase decarbonization policy target dominated the stability and sustainability of the green hydrogen supply market. After the inflection point, the internal growth of technology diffusion plays a key role in market diffusion and ultimately reaches a saturation value under the joint regulation of policy and the market to realize a carbon-neutral target capacity demand in 2060. The uncertainty of diffusion model parameters leads to anomalies in the feasibility space of technology diffusion, and risks such as overcapacity or insufficient demand in some regions may occur. Overall, this work provides a systematic assessment system for analyzing and predicting the pathways and characteristics of expanding renewable hydrogen production in specific regions under decarbonization policy objectives.

Diverse Paths and Challenges of Employment Choices for College Graduates under the Rural Revitalization Strategy

This research focuses on the employment choice issues of college graduates under the background of the rural revitalization strategy. With the in-depth implementation of the rural revitalization strategy, the rural demand for talents is growing, while college graduates are facing employment pressure in cities. The rural revitalization strategy has rich connotations, and talents play a key role in it. The employment of college graduates shows characteristics such as a cold supply and hot demand, and seeking stability in job hunting. Urban-rural differences have a significant impact on their employment. Personal, family, and social factors affect the rural employment choices of college graduates. Under rural revitalization, college graduates can return to their hometowns to serve as village cadres, rural teachers, or start businesses, but they also face challenges such as insufficient demand for jobs, constraints of public opinion, and backward infrastructure. To promote the rural employment of college graduates, the government should strengthen policy guidance and provide support for employment and entrepreneurship; improve the education and training system to enhance the employment ability of graduates; strengthen the construction of social service systems and improve the rural living environment. Future research can focus on the relationship between rural industrial development and the employment of college graduates, the psychology of graduates in rural employment, diversified rural employment models, and the interaction between rural cultural construction and employment.

Managing healthcare innovation activities in Kazakhstan for optimal effectiveness

ABSTRACT The purpose of the article is to substantiate the theoretical, methodological, and conceptual foundations for managing innovative activities in the healthcare system of the Republic of Kazakhstan and develop recommendations aimed at improving its effectiveness in modern conditions. This study employs a mixed-method approach, integrating retrospective analysis, statistical evaluation, and economic analysis to examine trends and performance in healthcare innovation within Kazakhstan. It utilizes dynamic and structural analysis to assess innovation effectiveness and identifies key factors influencing innovative activity through equity participation and ranking methods, underpinning recommendations for improved management practices. This article critically concludes that healthcare innovation in Kazakhstan must address the low effectiveness of current innovative activities, hindered primarily by insufficient demand and funding constraints. The study underscores the essential role of a robust management mechanism focused on resource allocation, service delivery efficiency, and digital technology integration. It highlights the necessity for strategic funding distribution, enhanced international cooperation, and leveraging higher education institutions for innovation drive. The findings advocate for comprehensive strategies to boost innovation’s commercial efficiency and suggest further research on implementing these strategies in the context of Kazakhstan’s unique socioeconomic landscape and healthcare needs. Priority recommendations aimed at improving the efficiency of managing the country’s healthcare innovation activities have been formed. The results obtained in the study can be useful both to the scientific community and to managers at various levels in the healthcare sector.

Dairy-product complex: features of functioning

The goal is to monitor functioning of dairy product complex, including production, management, marketing and economic aspects, on the basis of which the current state and prospects for its development are considered, problems and possible solutions are identified, optimal options for intensifying production processes are shown to increase their efficiency and improving the quality of dairy products. Methods – statistical collection and analysis of data on volumes, productivity levels, consumer demand, prices for dairy products; economic analysis made it possible to study production component, including the study of costs, profits, structure of expenses and income, factors influencing on profitability and competitiveness of dairy enterprises. By familiarizing with technological schemes of the dairy industry, quality level, living conditions of animals, methods of storage and transportation of milk and dairy products were analyzed, and promising directions of production cycle were assessed. Results - recommendations for the effective use of technologies to increase labor productivity and product competitiveness have been prepared. A study of dairy sector of agriculture, which makes a significant contribution to the country’s economy, made it possible to identify problematic segments: high costs, instability of prices for raw materials and products, as well as insufficient demand in foreign trade. It is recommended to develop a strategy for promoting domestic products and meeting the needs of domestic and foreign markets. Conclusions - regular updating of equipment, constant training of personnel and adaptation to changing market requirements are the key to success in increasing the volume of the dairy industry.

Research on emergency transport planning for E-commerce logistics network based on simulated annealing algorithm

In response to the issue of insufficient demand for logistics facilities during holidays or the temporary or permanent closure of logistics facilities due to sudden events such as epidemics, natural disasters, etc., this paper proposes a planning model and solution algorithm based on multi-objective dynamic decision-making to optimize the emergency transport plan and structure of the e-commerce logistics network. Firstly, an LSTM model is utilized to predict the transportation demand for a certain period in the future. Decision variables are introduced to indicate whether to open or close new routes after closing a logistics facility. The objective functions are set to minimize the number of routes with changes in cargo volume, minimize the load imbalance of each route, and minimize the cumulative total of parcels that cannot circulate normally. Considering factors such as normal circulation of parcels, circulation capacity, transportation capacity after opening or closing facilities, and time constraints, a multi-objective planning model is constructed. Finally, the simulated annealing algorithm is employed for solution, obtaining a circulation plan that meets the requirements. Simulation experiment results demonstrate that the model can rapidly and accurately respond to the paralysis of the e-commerce logistics network caused by sudden events, showcasing high efficiency and practical application value.

Aggregated demand-side response in residential distribution areas based on tiered incentive prices

The residential area refers to the power supply area from distribution transformers to the end users that contains multiple types of flexible resources, such as photovoltaics, energy storage, and power users. Focusing on the challenge of insufficient demand response incentives to multiple types of users in residential distribution areas, a tiered incentive price-based demand-side aggregated response method is proposed in this paper. Users in residential distribution areas are classified with an improved k-means clustering method for obtaining typical types of users. Thereafter, initial scores of users are calculated, and their grades are assigned based on their scores. Corresponding tiered incentive prices are designed for different grades. On this basis, a leader–follower game is proposed to obtain the demand response base price, and tiered incentives are provided to users of different grades to increase their enthusiasm for participating in demand response. In the case study, an actual urban residential distribution area is studied. The results show that the proposed user clustering method has an accuracy of 99.8% in classifying users in a residential distribution area. In addition, the proposed method has better performance in terms of improving the benefit of the load aggregator and users in the residential distribution area compared with methods such as potential game, hidden Markov, and Monte Carlo. Specifically, from the results, the benefit of load aggregators is increased by 101.96%, 76.07%, and 112.37%, and the income of the users is increased by 54.51%, 36.94%, and 64.91%.

Аналіз грошових потоків у системі управління фінансово-господарською діяльністю суб’єктів аграрного бізнесу в умовах дисфункції соціально-економічного розвитку

The article is devoted to the analysis of cash flows in the system of management of financial and economic activities of subjects of agrarian business in the context of dysfunction of socioeconomic development. In the process of preparing the article, such general scientific methods as generalization, analysis, synthesis, tabular and monographic, as well as methods of financial analysis were used. According to the results of the study, it is found that in the conditions of dysfunction of socioeconomic development, the following challenges for the financial and economic activities of the subjects of agricultural business are increasing: complication of logistics, decrease in demand, lack of own financial resources, instability of the exchange rate, complexity of planning and forecasting activities. A relatively positive forecast for the profitability of agricultural enterprises in the field of crop production in 2024 is specified. Insufficient demand, labor shortages, the so-called «other factors» (these include the challenges of martial law) are identified as the factors that most hinder agricultural activity. Based on the processing of reporting data of PJSC «Lebedyn Seed Plant», the leading agricultural enterprise of the Cherkasy region, it is determined that 2022 was a kind of «peak» of socioeconomic dysfunction, negatively affecting the indicators of the financial and economic activities of the enterprise. Attention is focused on the fact that in 2023 the enterprise demonstrated a partial improvement in indicators, but the analysis of cash flows allows us to conclude that there is a generally low level of liquidity, which may adversely affect the solvency of this economic entity. Prospects for further research are related to the study of financial management instruments that can be used to improve the efficiency of the financial policy of enterprise. Thus, it is expedient to analyze the possibilities of using financial leverage in order to optimize the structure of equity and debt capital and increase the profitability of activities. The main methodological challenge for the implementation of analytical calculations is the complexity of forecasting performance indicators.

Implementation of Hydrogen as a Green Fuel in Internal Combustion Engines: A Brief Review

Hydrogen has long been recognized as a revolutionary component in the transition to a post-carbon era. However, there is significant debate regarding the exact nature of this future, with some expressing concerns about insufficient demand, while others overlook the limitations of hydrogen. The recent crisis in fossil fuel supply has been driven by the massive and steadily increasing consumption of non-renewable energy due to human daily activities. The development of alternative energy sources to complement or reduce the reliance on conventional non-renewable energy is further motivated by growing concerns over emissions from internal combustion engines. In this context, hydrogen has emerged as a promising solution for use in internal combustion engines to address these challenges. The primary contribution of this review is to provide a comprehensive overview of hydrogen utilization as a fuel in internal combustion engines, specifically examining its application in both spark-ignition (SI) and compression-ignition (CI) engines. The majority of studies indicate that hydrogenenriched fuels significantly enhance engine performance, particularly in terms of thermal efficiency, fuel consumption, and energy utilization.

The important role of intelligent water conservancy in the construction of high-standard farmland

Farmlandis the basis of food production,and also the key and difficult point of agricultural development in China.At present, China’s farmland is generally characterized by small scale, scattered distribution, weak infrastructure, and low level of informatization. High-standard farmland construction is an important policy formulated at the national level to ensure food security and promote agricultural transformation and upgrading. It is based on farmland water conservancy and combines information technology and communication technology with high-standard farmland construction, realizing the whole process of information perception, transmission, and management from field to market. However, China’s farmland water conservancy has problems such as backward irrigation conditions and technology, imperfect supervision and management mechanism, and lack of information professionals. The contradiction between agricultural modernization and high-quality development and insufficient demand for farmland water conservancy has gradually become prominent. Therefore, it is necessary to strengthen the construction of smart water conservancy, and strengthen the use of Internet of Things, cloud computing, big data, artificial intelligence, and other technologies to achieve information sharing and data sharing of high-standard farmland construction, to realize the efficient, accurate, and scientific management of high-standard farmland, and to ensure China’s food security.

ПРОБЛЕМЫ ДОСТУПНОСТИ ФАРМАЦЕВТИЧЕСКОЙ ПОМОЩИ СЕЛЬСКИМ ЖИТЕЛЯМ РЕСПУБЛИКИ СЕВЕРНАЯ ОСЕТИЯ – АЛАНИЯ

One of the main problems in medical and drug care for residents of remote areas are difficulties in obtaining the necessary medicines (LP), the lack of pharmacies and medical organizations. In this regard, the population is forced to go to neighboring settlements, which is associated with additional costs, and the purchase of LP becomes a very expensive process. Another problem is the limited range of the range of medicines and other pharmacy products in remote areas, associated either with insufficient demand or lack of economic feasibility in their supply to distributors. The consequence of this is limited access to the necessary drugs, which can significantly affect the condition of patients. In this study, the problems related to the availability of pharmaceutical care for rural residents of the Republic of North Ossetia – Alania were considered. The factors limiting access to the necessary medicines and medical services for the population of remote areas of the republic are analyzed. In the course of the study, it was found that there are no pharmacy organizations in the territory of the settlements of the Irafsky district at all, and the problem of drug provision for these settlements is solved through paramedic-obstetric centers (FAP) that have a license for pharmaceutical activity. However, the availability of medicines for FAPs does not meet the tasks assigned to them. There is a variation in the number of names of medicines sold by medical professionals, and their number is 32.9-87.5% of the list of medicines recommended for FAPs by the Ministry of Health of the Russian Federation-Alania. The available range of medicines does not correspond to the structure of the most common diseases of residents of rural settlements. In addition, a third of the district's population is deprived of pharmaceutical assistance, since only 9 out of 14 rural settlements have a pharmaceutical license. The study is important for the development of a policy aimed at increasing the availability of pharmaceutical care in the region and ensuring equal healthcare opportunities for all residents of the republic

The pricing strategies behind New Energy Vehicles price war: Taking Tesla and XPeng as examples

With the acceleration of the new energy vehicle industry, many automobile companies have entered the market and formed a competitive situation. Tesla, as the leader of the initial producer of energy storage equipment and new energy vehicles, further lowered the price at the beginning of the year and had a great impact on the price war of new energy vehicles. XPeng, an AI+Internet-based intelligent car manufacturer, followed Tesla’s pace in the price war. However, it can be found that XPeng’s revenue level is not up to expectations after the price reduction, while Tesla’s sales are increasing annually and its market share occupies the forefront. Therefore, the success of Tesla and the pricing strategy factors behind it can help XPeng, an emerging domestic automobile brand, find the current bottleneck and provide an important reference value for future development. This paper analyzes the development status of Tesla and XPeng and three factors affecting prices through case comparison. The study found that Tesla and XPeng differ in managerial decisions and production factors. XPeng has higher supply chain costs, no emerging battery technology, limited brand positioning, and insufficient demand. Hence, changes need to be made to enhance XPeng’s competitiveness.

Research on the International Cooperation of China Russia Higher Education under the Background of the "the Belt and Road"

China Russia higher education cooperation is the top priority of the "the Belt and Road", and has irreplaceable strategic value. However, there are still some challenges in the exchange and cooperation of higher education between China and Russia at present, such as inadequate monitoring mechanisms for educational quality, and insufficient demand for Russian language talents, which have led to a lack of mutual understanding and support in the exchange and cooperation of higher education between the two countries. To this end, it is necessary to fully leverage the functions of market mechanisms, broaden social horizons, and promote educational interaction between both parties; Promote educational exchanges and cooperation between both sides, and improve the level of higher education in China; Efforts will be made to cultivate education professionals with an international perspective and jointly promote the development of educational relations between the two sides.

Designing a stochastic supply chain network: An error-bound-based heuristic

Designing a stochastic supply chain is challenging because demand is often partially observable or unknown in advance. This paper presents an alternative approach to address a three-echelon stochastic supply chain network design with insufficient demand information. We formulate a stochastic mixed-integer program with chance constraints. We identify a lower and upper bound on the value at risk to deal with chance constraints, thus inducing two mixed-integer linear approximations to the stochastic program. We develop a branch-and-price scheme to solve the approximations and a primal heuristic algorithm for initial columns. We then create a heuristic algorithm for solving the original problem by implementing sensitivity analysis and error bound on the approximations. Besides network size, computational experiments find that network design performance depends on aggregate service levels and maximum demand variations. The aggregate behavior of service levels has an inverse impact on the network design performance, while maximum coefficients of demand variations present a positive effect. Computational results reveal that our proposed algorithms perform well compared to normal distributions and a robust optimization formulation. Our models and algorithms suggest a feasible network design tool for handling uncertainties in supply chains.

Manufacturing sector of the economy of North-West Russia: A year of functioning under the conditions of strengthening sanctions

Aim. To study the peculiarities and problems of adaptation of the production sector of the economy of North-West Russia to the strengthening of sanctions pressure.Tasks. To assess the changes in the performance of enterprises of the production sector of the economy of the North-West of Russia in modern economic conditions; to identify the factors that hinder the development of production; to analyze the features of the transformation of supply chains and adaptation of enterprises to the strengthening of sanctions; to assess the financial condition and investment activity of enterprises; to characterize the degree of approval of the managers of enterprises of the implemented economic policy and show the expected directions of state policy.Methods. The methodological and informational basis of the study was provided by questionnaire surveys conducted by the Center for Structural Research and Forecasting of Territorial Development of the Vologda Scientific Center of the Russian Academy of Sciences (VolNTs RAS) in April-May 2022 and 2023.Results. According to official statistics, the deterioration of the economic situation in the North-West of Russia is confirmed by the results of surveys of managers of enterprises in the production sector of the economy. The main factors restraining the development of production are insufficient demand in the domestic market, uncertainty of the economic situation, high prices for production resources and the level of taxation. Due to the deep integration of the economy of the north-west of the country with the economies of unfriendly countries, the transformation of supply chains due to sanctions has affected the majority of enterprises in the region. The change in the configuration of chains is manifested primarily in their spatial reorientation and simplification of interaction directions. The enterprises of the Northwestern Federal District (NWFD) have a significant potential for the realization of the course on the complication of the national economy and strengthening the use of the potential of the domestic market. However, the transition to this trajectory is constrained by the lack of investment resources. The development of the production sector of the economy, according to managers of enterprises, will be promoted by reducing the tax burden, limiting production inflation, supporting domestic solvent demand, as well as strengthening the fight against bureaucracy and corruption.Conclusions. The complication of the geopolitical situation has significantly changed the conditions of functioning of the production sector of the economy of the North-West of Russia, led to the deterioration of the financial performance of enterprises, the decline in some performance indicators of their organizations. Active adaptation activities of enterprises (optimization of production processes, reorientation to new suppliers and consumers, transformation of interaction directions, etc.) with the assistance of the authorities contributed to a significant leveling of the negative consequences of the sanctions pressure and transition to a new development trajectory — to the complication of the national economy and increased use of the domestic market potential.