Investment Considerations Research Articles

Unbalanced distribution of income in the conditions of a socio-oriented economy

In global practice, there is a tendency towards uneven distribution of income, and therefore research on many aspects of this topic should be expanded. This study raises the pressing issues of uneven distribution of incomes, which, in turn, creates poverty and social tension among different segments of the population. The purpose of this scientific work is to consider the main reasons for the uneven distribution of income at the end of the 20th and the beginning of the 21st century, which is expressed in the reduction of tax progressivity, the weakening of trade unions, the reduction of competition and monopolisation, globalisation, tax evasion, an ineffective education system, and weak corporate governance laws which allow company management to set unlimited high salaries and much more. To achieve the purpose, the following research methods were used: statistical and economic, abstract and logical, comparative analysis, typological approach, and generalisation. As a result, methods of solving the above-mentioned problems were proposed, including progressive taxation, creation of equal opportunities for obtaining higher education and high-paying work, consideration of state investments in the social sector, creation of means of social mobility, etc. The consequences that uneven income distribution can lead to include political instability, reduced social mobility, crime, low life expectancy, financial instability, economic crisis, etc. This article also includes analytical study of indicators of income distribution equality using the Gini coefficient in different countries. The study represents value for the scientific community and researchers of the issue of income distribution in the conditions of a socially oriented economy

Remittance usage for rural hometown investing in the Philippines: A mixed methods study

This paper analyzes differences in attitudes and strategies for investing and entrepreneurship among families receiving remittances from their overseas emigrants at two rural communities in the Philippines. It examines how these households in the origin country determine how to invest remittances, and the extent to which these decisions are influenced by topographical, socio-economic, political, and cultural factors in their local spatial contexts. How do individual behaviors, along with risk appetite and financial capabilities, interact with such contexts as origin households assess the hazards and likely returns of investing locally? Primary data collected through household surveys in 2018–2019, and a rapid qualitative inquiry methodology, enable us in this mixed methods research to explore the interplay between individual financial behaviors and spatial factors affecting decision making. We can report that migrants’ origin households, and local financial institutions and entrepreneurs, employ relevant costing in reaching economic decisions, and assess favorable and adverse investment considerations explicitly. Remittance-supported economic development in origin communities relies on enhancements in household financial knowledge, and on interventions —through policy and regulation— to sustain and improve the local investment climate. If these conditions are met, households and local investors and entrepreneurs will make productive decisions through this relevant costing strategy and will contribute resources that promote microeconomic development. Relevant costing is thereby vindicated as a valuable concept, in attempts to unravel besetting complexities in the migration–development nexus.

New Energy Enterprises in the Post-epidemic Era of Investment Considerations

Based on the thinking that the Federal Reserve interest rate hike is coming to an end and the risk-free interest rate of the US dollar is getting higher and higher, the investment opportunities of US stocks in the post-epidemic era are in the new energy field. Coal and natural gas have been the top spot for the U. S. energy market for more than 20 years. Now, the energy battlefield is shifting, and in the next decade, renewable energy, especially solar and wind energy, will dominate in the future. In 2022, the capital market ushered in the Federal Reserve's tight monetary policy, and the market value of new energy stocks plunged. However, some scholars believe that if there is no large-scale war in the next decade, the general direction of the capital market investment is new energy, such as the photovoltaic industry, wind power industry and so on. This paper calculates the statistics of 20 listed 20 new energy companies from 2015 to 2021, and analyzes the multiple financial ratios of each company, compare good companies and general performance of the financial ratio of variance and average, using Mahalanobis Distance analysis of investors choose which financial ratio about the choice of good future investment value about the company is of great significance.

Efficient resilience portfolio design in the supply chain with consideration of preparedness and recovery investments

Supply chain (SC) resilience is imperative to cope with disruptions using some preparedness and recovery capabilities such as network redundancy (e.g., backup suppliers) and process flexibility (e.g., capacity agility). These capabilities frame an SC resilience portfolio. Both designing a resilient portfolio and recovering in case of a real disruption require investments. This paper presents a new mathematical model for designing an efficient resilience portfolio in a multi-echelon SC. Through computational and comparative analyses using a real-life case-study, we demonstrate that our model allows increasing resilience at minimal costs by determining an optimal combination of preparedness and recovery investments. Interestingly, the optimal solutions (i.e., efficient resilient SC designs) increase SC efficiency even in business-as-usual scenarios. This result contributes to the literature on transforming resilience from an expensive spend to a value-creation asset. We illustrate our approach using a real-life industrial example that allows for the identification of important relations between disruption duration/magnitude and efficiency of preparedness and recovery strategies. Based on computational, comparative, and case-study analyses, we deduce and generalize managerial implications at the network, supplier, and manufacturer levels. We take an extra step by extrapolating our major findings and generalized managerial implications toward the COVID-19 pandemic setting. The outcome of our research can be instructive for SC managers when deciding on investments in resilient redundancy allocation as a part of preparedness strategy and efficient recovery deployment.

Pre-Feasibility Study of a Multi-Product Biorefinery for the Production of Essential Oils and Biomethane

Rural areas can benefit from the development of biorefineries for the valorization of endogenous feedstocks. In this study, a pre-feasibility assessment of an integrated multi-product biorefinery to produce essential oils and biomethane is carried out considering current technical and economic conditions. The proposed concept is based on the steam distillation of forestry biomass for the extraction of essential oils (2900 L/y) followed by biomethane production via syngas methanation using the spent biomass as feedstock (30.4 kg/h). In parallel, the anaerobic treatment of WWTP sludge (5.3 kg/h) is used to produce additional biomethane for mobile applications. The results show that the intended multi-product biorefinery delivers attractive benefits for investors as described by the calculated financial indicators: NPV of EUR 4342.6, IRR of 18.1%, and PB of 6 years. Overall, the pre-feasibility analysis performed in this study demonstrates that the proposed biorefinery concept is promising and warrants further investment consideration via cost and benefit analysis, ultimately promoting the implementation of multi-product biorefineries across Europe.

Analysis Stock Price Comparison with Price To Book Value (PBV) Method as the Basis for Investment Decisions At Starup Indonesia Company

The research is motivated by the antuasias of the Indonesian people who want to invest today, especially in the era of digitalization, it is so easy to be able to make stock buying and selling transactions. Moreover, it is supported by the rise of starup issuers that have been listed on the Indonesia Stock Exchange. The purpose of this study provides an overview of fundamental stock analysis using the 2021 Price To Book Value (PBV) method in companies with the starup logo in Indonesia as the basis for investment decisions for investors or potential investors. This research method is quantitative descriptive, where there are 9 starup companies that have entered the capital market from 2017-2021. The results of this study show that of all starup issuers there are four issuers, namely PT Yelooo Integra Datanet Tbk., PT Yelooo Integra Datanet Tbk., PT Yelooo Integra Datanet Tbk., and PT Bukalapak.com Tbk. which are still in low stock prices. Meanwhile, the other 5 issuers stated that the stock price was quite expensive. Furthermore, all issuers are eligible as an option to invest, where only the issuer of PT Yelooo Integra Datanet Tbk. has an undervalued position, where the market price is lower than its book value. The rest are in an overvalued position, where the market price is higher than the book value. PBV analysis is one of the fundamental analyses that can be used as a basis for investment considerations, it is expected for investors or potential investors and other researchers to be able to use other analyses such as Price Earning Ratio (PER), Return On Equity (ROE), Devident Payout Ratio (DPR) and others as a basis for making investment decisions, especially in the long term

Measurement of Cost of Capital for Foreign Direct Investment in Pakistan: A Neoclassical Approach

Capital can move inside and outside the boundaries of a country in search of the highest financial return and greatest security for its operation in the host regions. High return from investment is linked with the incentive mechanism offered by the host country in attracting FDI to fill the investment gap and diffusion of other skills. To attract the foreign investors, the successive governments in Pakistan, offered various investment incentives in the form of tax concessions (tax expenditure) and direct expenditure on infrastructural provisions. The taxation policy of Pakistan has great relevance for Transnational Corporation’s (TNC) involvement in production activities. It is perceived to be a significantly influential factor in determining the inflow of foreign investment through the cost of capital and the resulting after tax return. Stimulating foreign investment, mainly through the large TNCs, requires cost minimising devices, which are reflected in fixed cost of a long-term investment project. The cost of fixed assets in such projects depends upon the rate of return, the price of capital goods and, most importantly, the tax treatment of generated income. Foreign investors are generally pursuing two sets of objectives that are related to their decision to invest. First, they prefer for locational advantages like market size, access to raw material and the availability of skilled labour. Secondly, they have their concern with the incentives offered by the host countries through their fiscal policies. These policies attract the investment considerations of the foreign investors. TNCs search the second set of objectives only if the first set is fulfilled.

Technical note on “Inventory management in supply chains with consideration of Logistics, green investment and different carbon emissions policies”

This study presents an extension of the model proposed by Huang et al. (2020), which investigated the effects of carbon policies and green technologies on the integrated inventory management of a two-echelon supply chain with consideration of carbon emissions during the processes of production, transportation, and storage. Specifically, since the inventory policy impacts on the economic and environmental performances of the supply chain, this study proposes a mathematical model for the integrated inventory management of the single-vendor single-buyer supply chain under a consignment stock policy. The aim is, thus, to highlight advantages and disadvantages of the consignment stock agreement with respect to the traditional policy based on the model proposed by Hill (1999). To compare the results, the same three carbon emissions policies are considered: i.e., limited total carbon emissions, carbon taxation, and cap-and-trade. The proposed model can assist firms in determining their optimal inventory policy (i.e., agreement, production quantity, delivery quantity, and green investment amount) with an aim of minimizing the supply chain costs under different carbon emissions policies.

The Formation of a Polycentric City in Transitional China in a Three-Level Analysis Framework: The Case Study of Hangzhou

Given cities’ different development backgrounds, the spatial evolution of each city has a path-dependent development track. Understanding the characteristics of urban spatial structure evolution in contemporary China is essential for sustainable urban development. By establishing a theoretical framework comprising a macro-background, planning tool, and resource allocation, this paper takes Hangzhou as an example to analyze the evolutionary process of the polycentric spatial structure and reveal the formation characteristics of its polycentric urban spatial form. The results show that (1) its institutional background and planning tools are the driving forces behind the formation of the polycentric structure in Hangzhou, i.e., the evolution of the polycentric structure mainly relies on planning guidance and government forces rather than being market-driven. (2) Under the government-led mode of polycentric formation, urban elements, such as education, medical care, transportation, and green space, are still concentrated in the main urban center, while subcenters lack the necessary public facilities and are underdeveloped. (3) The spatial distribution of the population and nightlights also shows the trend of diminishing concentric circles with the main center at the core. Therefore, it is impossible to implement polycentric cities by decentralizing the population and industries alone. The comprehensive consideration of capital investment, production services, and the supply of life service facilities is also required. This empirical study can complement empirical evidence in order to verify the validity of polycentrism as a potential solution that can alleviate the sprawl of central urban areas.

The business-economic energy system modelling tool energyPRO

The transition towards carbon-neutral energy systems requires the identification of solutions that are optimal at a societal level, however, market actors operate under a different logic where each individual investment option is required to show business-economic feasibility. Thus, while there are energy system analysis modelling tools that can help identify optimal transition paths for a given society in general through the minimisation of national or regional energy system costs, there is also a need for modelling tools that take a closer focus on how energy system actors and their investment considerations perceive and are affected by the economic and technical environment. The modelling tool energyPRO is of the latter type developed and evolved over the last decades to assist in the assessment of the feasibility of different energy units in the energy systems, but which can also model larger complex systems. This article presents energyPRO with a focus on its system understanding and general model characteristics and a thorough view into its two optimisation approaches based on analytical programming or mixed integer linear programming. Finally, a comparison with other models as well as a review of its characterisation and application in the academic literature is supplied.

Sprungbrett für den US-Markt

Abstract In the context of the internationalisation and globalisation of the economy, special economic zones are playing an increasingly important role. The economic-historical evaluation of these special economic zones is controversially discussed and fluctuates between a «neo-colonialist exploitation of the Global South» based on low wages and poor working conditions as well as the exploitation of tax havens on the one hand and the emphasis on economic development potentials in these countries on the other. Using the non-representative corporate history case study of the medical technology manufacturer Sartorius, the aim is to ask, based on the motives, expectations and decision-making processes of a company in a specific economic-historical situation between the mid-1970s and mid-1980s, what significance the special economic zone of Puerto Rico had for corporate strategy in this phase. It will be shown that the corporate development and growth of Sartorius at the Goettingen location reached its limits during this period and that alternative investment opportunities were sought, which were found primarily in the world’s largest market for its products: the US market. High customs duties and transport costs ultimately led to considerations of direct investment on the American continent, whereby the investment incentives in the US special economic zone of Puerto Rico, supported by government subsidy programmes of the Federal Republic, offered considerably more advantages than on the mainland. In the case of Sartorius, with regard to the Puerto Rico Special Economic Zone, it is less about the exploitation of «neocolonial exploitation mechanisms» in a region of the Global South than about the use of Puerto Rican as well as Federal Republic investment incentives, which also offered development potential for Puerto Rico itself. Der Beitrag entstand im Kontext der Publikation Sartorius 1870–2020, von Hartmut Berghoff, Christian Kleinschmidt, Stephan H. Lindner, Luitgard Marshall, München 2021. Die spezifische Frage zur Rolle von Puerto Rico im Rahmen der Unternehmensstrategie Sartorius’ konnte dort nur knapp angerissen und nicht in seiner ganzen Komplexität dargestellt werden (135–137) und wird hier ausführlich und quellenbasiert diskutiert.

A Framework for Capacity Expansion Planning in Failure-Prone Flow-Networks via Systemic Risk Analysis

In this article, a capacity expansion framework is proposed for failure-prone flow-networks. A systemic risk measure that quantifies the risk of unsatisfied demand due to cascaded edge failures is considered. To minimize the total cost of additional edge capacities, while keeping the risk of unsatisfied demand below a certain threshold, a general stochastic optimization problem is formulated. The distribution of unsatisfied demand is calculated via Monte-Carlo simulations embodied within a grid search algorithm that identifies the feasible region. Thereafter, the cost-optimal edge capacity expansion plan is computed by a differential evolution algorithm. Contributions of this article are: 1) consideration of both immediate investment and future risk costs of capacity expansion plans; 2) a generic flow-network model that can be tuned for different real-life applications; 3) addressing the stochastic nature of both supply and demand simultaneously within a systemic risk framework; 4) use of eigenvector centrality for edge grouping in systemic risk analysis. An extensive numerical study is performed to investigate the effects of different edge grouping methods, characteristics of stochastic components, and cost parameters on the feasible region and optimal solution. The proposed framework is also demonstrated on a case study adapted from ERCOT 13-bus test system.

Pengaruh Motivasi, Persepsi Return, dan Kemajuan Teknologi Informasi terhadap Pertimbangan Investasi Syariah dengan Perilaku Keuangan sebagai Variabel Moderasi

The growth in the number of Islamic investors has doubled compared to the end of 2020. However, there are still many students who have not allocated their funds to invest, students only save funds in the form of savings. This research aims to determine the effect of motivation, return perception, and advances in information technology in considering investing in the Islamic capital market with financial behavior as a supporter of each variable. The research method in this research uses quantitative research with data collection techniques through the distribution of online questionnaires. This study used a sample of 144 respondents, and analyzed using the Structural Equation Modeling (SEM) technique which is a derivative of the WarpPLS 7.0 application. The results of the analysis in this research state that motivation, perceived returns and advances in information technology have a direct and significant effect. In addition, financial behavior cannot moderate the motivation and perception of return on sharia investment considerations. Financial behavior can moderate the perception of return on investment considerations for state university LPTK students in Indonesia

Localising vaccination services: Qualitative insights on public health and minority group collaborations to co-deliver coronavirus vaccines

Ethnic and religious minorities have been disproportionately affected by the SARS-CoV-2 pandemic and are less likely to accept coronavirus vaccinations. Orthodox (Haredi) Jewish neighbourhoods in England experienced high incidences of SARS-CoV-2 in 2020–21 and measles outbreaks (2018–19) due to suboptimal childhood vaccination coverage. The objective of our study was to explore how the coronavirus vaccination programme (CVP) was co-delivered between public health services and an Orthodox Jewish health organisation.Methods included 28 semi-structured interviews conducted virtually with public health professionals, community welfare and religious representatives, and household members. We examined CVP delivery from the perspectives of those involved in organising services and vaccine beneficiaries. Interview data was contextualised within debates of the CVP in Orthodox (Haredi) Jewish print and social media. Thematic analysis generated five considerations: i) Prior immunisation-related collaboration with public health services carved a role for Jewish health organisations to host and promote coronavirus vaccination sessions, distribute appointments, and administer vaccines ii) Public health services maintained responsibility for training, logistics, and maintaining vaccination records; iii) The localised approach to service delivery promoted vaccination in a minority with historically suboptimal levels of coverage; iv) Co-delivery promoted trust in the CVP, though a minority of participants maintained concerns around safety; v) Provision of CVP information and stakeholders’ response to situated (context-specific) challenges and concerns.Drawing on this example of CVP co-delivery, we propose that a localised approach to delivering immunisation programmes could address service provision gaps in ways that involve trusted community organisations. Localisation of vaccination services can include communication or implementation strategies, but both approaches involve consideration of investment, engagement and coordination, which are not cost-neutral. Localising vaccination services in collaboration with welfare groups raises opportunities for the on-going CVP and other immunisation programmes, and constitutes an opportunity for ethnic and religious minorities to collaborate in safeguarding community health.

Współpraca gminy, inwestora i społeczeństwa w sprawie realizacji inwestycji mieszkaniowej w oparciu o specustawę mieszkaniową – jako przykład stosowania w administrowaniu „teorii dwóch kroków” oraz nieformalnych sposobów działania

The subject of the article are considerations regarding the cooperation between the society, the investor and the commune authorities in determining the legal conditions for the location and implementation of a housing investment Considerations are conducted on the basis of the so-called Special Purpose Flat Construction Act of 5 July 2018. The article presents possible forms of cooperation. Such possibilities exist in several areas, i.e.: when concluding an agreement on social and technical infrastructure, another example is taking into account the voices of the society in discretionary decision on the consent to the location of the investment, and yet another way of cooperation can be considered the creation by the commune of conditions for the application of the provisions of the special act, for example, by changing The Study of Determinants and Trends in Spatial Development findings as necessary. As a result of the considerations, conclusions were formulated regarding informal as well as formal forms of cooperation of the above-mentioned partners in the location and implementation of a housing investment. The article refers to the achievements of German doctrine on this subject.

ANALISIS PENGARUH TANGGUNG JAWAB SOSIAL PERUSAHAAN TERHADAP KINERJA KEUANGAN PADA INDUSTRI MAKANAN DAN MINUMAN INDONESIA

This research was conducted to demonstrate the effectiveness of the implementation of corporate social responsibility by including it as an independent variable in terms of CSR spending, CSR activities, and the acquisition of CSR awards. The dependent variables in the study were financial performance, and the size of the company, the company's risk, and the age of the company were control variables. The sample size of the survey includes 18 food and beverage companies listed on the Indonesia Stock Exchange between 2015 and 2020. Data analysis methods use regular regression analysis tools. The results of this survey show that CSR awards and the age of the company affect business performance. The implications of this research are improving financial performance, building reputations, gaining a competitive advantage, and as a matter of investment consideration should investors need to consider how well the company performs in generating many awards that drive the company's productivity, as well as how long the company has been operating in order to measure the company's ability and experience in disclosing all information, including CSR disclosures.

The effect of sharia share selection based on financial ratio and corporate governance mechanism on the quality of company profit

Purpose - This study aims to obtain empirical evidence regarding the effect of Islamic stock selection based on financial ratios (debt to assets ratio, debt to equity ratio, non-halal income ratio) and corporate governance mechanisms (managerial ownership, independent commissioners, institutional ownership, audit committee) on company earnings quality.Method - The population of this research is all companies that are members of the Indonesian Sharia Stock Index in 2017-2019. The sample selection used purposive sampling method and obtained 67 sample companies. This study uses secondary data with multiple linear regression analysis method.Result - Debt to assets ratio, managerial ownership, institutional ownership, and audit committee have no significant positive effect on earnings quality. The ratio of non-halal income has a negative and significant effect on earnings quality. Meanwhile, the debt to equity ratio and independent commissioners do not have a significant negative effect on earnings quality.Implication - Companies that are members of the Indonesian Sharia Stock Index are expected to be able to improve the quality of their financial reports. On the other hand, investors are expected to find out and study the company's annual report as a material consideration for investment decisions.Originality - The originality of the research is this study intends to develop previous research by examining the selection criteria for sharia shares and corporate governance mechanisms.

Financial Analysis of Startups Company PT. Limatra Innovation of Subang Honey Pineapple Beverage

Background – Pineapple is one of the most popular types of fruit. In addition to delicious fruit, pineapple fruit also has a very high vitamin C content. With a high level of community mobility and practical reasons, many people turn to packaged fruit juice drinks. PT Limatra is a startups company engaged in the trading business that sells various packaged fruit juices, with the product name "NasNas", with the main ingredient being pineapple from the Subang area, West Java. The product is not only original pineapple juice but also has a variety of flavors. As a start-up company, investment considerations are needed, which are useful for making decisions in the short and long term, financial planning is one important aspect for business continuity. Method – Using elements of financial planning, financial statement projections, investment feasibility analysis, and ratios for financial performance analysis. Result – Investment analysis can assist management in making strategic decisions, both short term and long term. Keywords: Investment, Fruit Juice Drink, Financial Analysis, Startups, Financial Modelling, Strategic Financial, Business Plan.

A novel approach to investigate the effects of global warming and exchange rate on the solar power plants

The present study proposes novel approaches to concepts such as risk assessment and investment management in investments in solar power plants. In this context, 11 cities in Turkey have been taken into consideration for solar energy investment. Global warming is also one of the current issues on the World's agenda. The monthly impact of global warming has been investigated for 5 years using a deep learning model, and the effects of global warming on cost have been determined within the scope of this study. Concerning the outputs of the designed deep learning-based temperature-forecasting model, it was observed that the gain values might decrease between 5.98% and 3.74% due to the possible global warming effects in 2025–2030. Also, changes in the US$/TL ratio put solar energy investors in a difficult position. The Turkish government issued a Presidential Decree numbered 3453 on January 30, 2021, to offer a solution to this situation. The profit-loss situation of solar energy investments was investigated with the issued support policy and fixed price-purchasing policy. It has been observed that the fixed price policy is not sustainable and the new support system partially protects the solar energy investor.

Earnings Quality as a link between Corporate Governance Implementation and Firm Performance

ABSTRACT This research finds empirical evidence for the role of earnings quality as a mediator between good corporate governance (GCG) mechanisms and firm performance. The sample is 570 data manufacturing companies listed on the Indonesia Stock Exchange from 2015 to 2019. This research used multiple regression analysis. GCG mechanisms in this study measured by the proportion of independent board of commissioners, audit committee expertise, and frequency of audit committee meetings. The result shows that the proportion of independent board of commissioners and audit committee expertise does not affect earnings quality. On the other hand, institutional ownership and frequency of audit committee meetings affect earnings quality. However, the proportion of independent board of commissioners affects company performance. Institutional ownership, the frequency of audit committee meetings, audit committee expertise in accounting, and earnings quality do not affect company performance. This study provides a basis for investors to see the quality of GCG implementation which is a determinant of earnings quality as an investment consideration.