Open Market Research Articles

Audit independence and customer relationship marketing: an ethical conflict or an ethical mutual effect?

Independence in financial auditing is a topic with extensive research, due to the ethical values expected from accountants and the conflicts with agency pressures and commercial interests. However, there is a lack of research on the benefits of ethical behaviors in the dynamic interactions between auditors and clients. This study aims to achieve through a qualitative approach an in-depth understanding of the self-perceived auditor independence and how it intervenes in the relationship with clients. Ten semi-structured interviews with auditors from the five major audit offices in the city of Porto were conducted. The results explore conflicts of interest between auditor independence and customer relationships. However, the findings highlight that improving auditor’s independence allows at the same time the development of a better professional relationship with the client, mitigating the conflicts of interests identified in previous literature. This paper presents a formula in which audit firms can leverage the concept of independence when they promote communication, transparency, and an open market. Regulation and supervision should work in favour for the same goal.

Are institutional innovations helpful in reducing transaction costs? An empirical analysis of agri-based Farmer Producer Companies (FPCs) in Kerala, India

Transaction costs are incurred while conducting a transaction through an exchange in the open market. New institutional economics focuses on transaction costs and the institutions involved in their reduction. This study compares the transaction costs incurred by Farmer Producer Company (FPC) members and non-members in Kerala and identifies the factors affecting these transaction costs. The study revealed no significant difference in the transaction costs incurred by FPC members and non-members. This was mainly due to the significant and higher opportunity cost of time spent on information and decision-making by FPC members compared to non-members, which surpassed the lower costs incurred for selling their farm produce by FPC members compared to non-members. Based on this study, we recommend that FPCs concentrate more on the bottom-up collectivization of individual farmers to form large business organizations that facilitate market access for small and marginal farmers and reduce transaction costs.

Exploring Customer Experience Drivers in Night Markets: Examining the Roles of Product Preference, Service Quality, and Facility Accessibility

This study investigates the critical factors shaping customer experiences in night markets, emphasizing product preferences, quality of services provided, and accessibility of facilities. As integral hubs of cultural exchange, community engagement, and tourism, night markets contribute significantly to local economies and cultural heritage preservation. However, research on customer experience in these dynamic environments remains limited. Using a structured questionnaire, data were collected from 201 night market visitors through a purposive sampling. The study utilized structural equation modeling (SEM) to assess the interconnections between the primary variables. The findings reveal that product preference has a substantial positive impact on customer experience (β = 0.465, p < 0.001) along with service quality (β = 0.209, p < 0.01) and facility accessibility (β = 0.585, p < 0.001). Both service quality and facilities play pivotal roles in shaping customer satisfaction and experiences, either directly or indirectly. The results underscore the importance of tailored product offerings, consistent service quality, and well-maintained facilities for fostering satisfaction and loyalty. This study provides practical insights for vendors by emphasizing the value of understanding customer preferences, ensuring operational efficiency, and enhancing facility provisions. These findings contribute to theoretical frameworks on customer experience, enrich the knowledge base for night market operations, and offer actionable strategies for sustainable market development and customer engagement.

Institutional Environment and Productive Entrepreneurship

In the context of intensifying global competition, productive entrepreneurship plays an important role in industrial upgrading and sustainable economic development. This study explores how the institutional environment affects productive entrepreneurship through different allocation paths. By integrating multiple institutional logics and using PD-QCA (Panel Data fsQCA) methods, we examined data from 76 countries for the period 2012–2022. The results show that institutional complexity provides entrepreneurs with diversified opportunities and resources, but also brings decision-making challenges due to the conflict of institutional factors. We identified three main models: (1) Government-Market Collaborative Model: driven by government support and property rights protection. (2) Market-Led Model: financial support is crucial. (3) Three-Wheel Drive Model: combines property rights protection, market opening, and social norms that promote entrepreneurship. This study contributes to the literature by revealing the multidimensional effects of institutional complexity and provides practical implications for policymakers seeking to promote high-quality entrepreneurial activity. Limitations include the static nature of the data and the need to further explore dynamic institutional interactions over time.

Risk-Averse, Integrated Contract, and Open Market Procurement with Quantity Adjustment Costs

This paper examines the issue cost-effective procurement of a commodity product when its spot (open) market prices are stochastic, contract prices are previously determined, and there are costs associated with adjusting (i.e., switching) the procurement quantities from an alternative. Spot (open) market and contract as sole modes of procurement could present risks of high magnitude and uncertainty of expenses for the buyer. To address these risks, a risk-averse buyer may consider simultaneous use of both alternatives with adjustment of the purchase quantities from both the alternatives over time. Scenarios when the switching costs depend on the relative prices of the two alternatives are considered. The problem being analytically intractable, a mixed method decision model combining analytical and computational techniques to analyze the problem is proposed. The model helps identify expected optimal contract and spot market procurement quantities with respect to unknown spot prices and known contract prices over the planned procurement horizon when procurement quantity adjustment costs are influenced by the spends. The analysis reveals that it is cost-effective to continue purchasing with an existing pattern of procurement from the two alternatives until the contract to spot market price ratio reaches a threshold level and then to change the proportion of quantity purchased from the two alternatives. Using numerical analysis, we illustrate the theoretical and managerial significance of this stickiness to continue with an existing pattern until an adjustment.

Research on the Development Experience of the Dairy Futures Market and Exploring the Feasibility of the Dairy Market in China

With the dairy business across the world increasingly growing, a study of how Europe and the US established their dairy futures markets helps to understand whether they will be viable in China. For both of these regions, there are well-established dairy futures markets that play an important role in price risk management for both producers and buyers. This will help us to anticipate what we might face as challenges or opportunities when we introduce such a market in China. The significance of European and American markets is reflected by the various roles played by dairy futures. It highlights the necessity of strong infrastructure, efficient legal frameworks and regulations, vibrant market participation, and information dissemination that is transparent and efficient. It has been a stabilizing element for transparency in European dairy future markets. Various initiatives introduced by the EU have supported the development, including standardization of contract terms and provision of adequate liquidity. In contrast, the United States has multiple exchanges that trade dairy futures where each exchange trades different kinds of dairy contracts. This variety allows for individualization, but it also hinders uniformity in market operations and limits liquidity. In conclusion, we discuss the significance of developing strong infrastructures, effective legal frameworks, and regulations, encouraging active market participation, as well as ensuring transparency and efficiency in information dissemination. Lastly, through an examination of these European and American experiences coupled with the main ingredients underlying their achievements, we can support China to have a robust dairy industry future market.

The effect of labour tightness on wages at the regional level in Central Europe

I estimate the effect of tightness on wages in Hungary and Slovakia. The Mortensen Pissarides model predicts a positive relationship but the empirical evidence is scarce. I instrument tightness by the distance of a district from the Austrian border, interacted with a dummy that marks the opening of the Austrian labour market to these countries in 2011. I find a positive effect of tightness on wages, which is in line with the conclusion of the models. If tightness increase by 1 per cent than ceteris paribus wages increase by roughly 0.2 per cent both in Hungary and Slovakia as well.

Market Operations are Carried Out by the Trade Service As an Effort to Overcome Inflation and Stability of Staple Food Prices in the Balikpapan City Community

This study analyzes the role of Market Operations carried out by the Balikpapan City Trade Office in an effort to maintain the stability of staple food prices and reduce the impact of inflation. Using a qualitative approach through interviews and observations, this study was conducted to evaluate whether the activity was effective in stabilizing staple food prices and increasing people's purchasing power. This study shows that Market Operations make a significant contribution to the provision of staple food at affordable prices, as well as increasing access for lower-middle class groups. This study suggests the need to increase the frequency and reach of market operations as part of regional economic policies in order to achieve better food security in Balikpapan City.

Development of an Indoor Line Scanning System for Photovoltaic Modules Performance Characterization

Uganda’s interest in using solar energy for various applications began 20 years ago. However, there have been numerous reports by the public over the poor performance of the photovoltaic (PV) modules during their operations. This study determined the performance of selected PV modules openly sold in the Ugandan markets. The low-cost indoor line scanning system developed using locally available materials was used to assess the performance of each of the solar cells in the PV module by determining their photogenerated currents. In addition, the electrical characteristics of the PV modules were determined using the outdoor characterization method, which assumed the actual operation of the PV modules under direct sunlight. From the indoor line scans, the percentage of performing solar cells in the three PV modules of single-crystalline silicon (c-Si), multi-crystalline silicon (mc-Si), and amorphous silicon (a-Si) technologies were determined as 79%, 61%, and 95% respectively. The outdoor characterization results revealed that the c-Si, mc-Si, and a-Si PV modules had measured maximum power outputs of 18.5 W, 19.0 W, and 18.9 W, respectively and these were lower than the rated power values of 20 W. The line scan results had a direct relationship with the measured power output of the PV module, which implied that solar cells mismatch, affected the performance of the PV modules by lowering their performance. This developed testing system is affordable for developing countries with limited testing systems and would in the long run contribute to significant increase in the deployment of PV technology in Uganda since only performing PV modules would be allowed into the open market.

The State Abroad: The Role of Emerging Market SOEs in International Business Dynamics

Purpose: This study examines emerging market State-Owned Multinationals’ (SOEs’) impact on the international business landscape by emphasising their dual role as commercial units and government instruments. Addressing the mainstream frameworks on internationalisation, we uncover the ways these firms navigate the complexities of global trade, thus contributing to the understanding of international business dynamics in the context of global power balances. Design/Methodology/Approach: By making use of a narrative literature review, this research aims to synthesise perspectives from a wide array of academic contributions found in leading international business journals. By examining this literature, the study seeks to integrate theories with findings from recent discussions on the internationalisation of emerging market SOEs. Through this methodological approach, we seek to elucidate the role of these firms in global trade and government dynamics in market operations. Findings: This research shows the increasing role of SOEs in the global market, with the rising protagonist part of emerging markets such as the BRICS countries. These firms play an important role of intersection in the commercial objectives and the geopolitical ambitions of their home country. The interaction between state influence, the institutional contexts in both home and host nation, and strategies both in political and economic terms are important perspectives brought by this research. Research limitation/Implications: The limitations of this research are the reliance on published academic literature, which may not always capture the dynamics of international business and the political scenario and its rapid developments, and the unstructured nature of a narrative literature review. The findings from this research have important implications for policymakers and business managers, as well as for the scholarly literature when understanding the internationalisation of emerging market SOEs.

Stochastic Approaches to Energy Markets: From Stochastic Differential Equations to Mean Field Games and Neural Network Modeling

This review paper examines the current landscape of electricity market modelling, specifically focusing on stochastic approaches, transitioning from Mean Field Games (MFGs) to Neural Network (NN) modelling. The central objective is to scrutinize and synthesize evolving modelling strategies within power systems, facilitating technological advancements in the contemporary electricity market. This paper emphasizes the assessment of model efficacy, particularly in the context of MFG and NN applications. Our findings shed light on the diversity of models, offering practical insights into their strengths and limitations, thereby providing a valuable resource for researchers, policy makers, and industry practitioners. The review guides navigating and leveraging the latest stochastic modelling techniques for enhanced decision making and improved market operations.

The social order of illegal markets in cyberspace: extralegal governance and online gambling in China

How do illegal markets operate in cyberspace? Drawing on interview data, this article examines the organizational structure of China’s illegal online gambling businesses and their use of extralegal governance institutions to marketize services, ensure fair play, enforce compliance, and reduce the risk of prosecution. The article also discusses the impact of China’s intensified efforts to repress illegal markets. It suggests that operators in the illegal online market now prefer to settle gambling debts using ex ante means, such as deposits, rather than ex post mechanisms, such as using interpersonal obligations or violence to enforce debt collection. This research contributes to the literature on extralegal governance, gambling, and illegal markets.

Homo academicus in Transition

Modern universities, especially the ones not belonging to the small elite group from the top of the world ranking lists, but occupying the slippery terrain of the open market of the “economy of knowledge”, are forced to change the traditional, habitual modes of work, principles and values, and are considered obliged to perform as more competitive, responsible, and efficient in the eyes of the society and the world of the new era. Broadly, this is the framework of the explanation of the huge scientific-professional hyperproduction treating the university changes, both in the world context and our domestic one. Here the focus is on the Belgrade University and the modes in which the members of this institution relate to the changes in the socio-economic, political, and cultural context, that influence the development of the local academic community and its “culture”. The paper is the result of the research conducted during 2022 and 2024, based mainly on the interviews with several full professors of the Belgrade University. The aim has been to reach the most authentic insight into the experience of working at this University during the 30-year long period of transition in Serbia. According to the statements of my interviewees, the “Bologna reform” in the widest sense of this term is habitually taken to represent the reference point of the higher education “transition”, according to which we can observe the key changes in this area, directly or indirectly linked to the process of the wider social transition. The vast material was first systematized according to the chronological principle, dividing the process of transition into three decades, where my interlocutors compared the conditions and changes that accompanied and determined the university work. The material was then systematized according to the qualitative principle, singling out the most important changes that the interviewees experienced themselves or observed in their surroundings, in respect to two basic functions of university: teaching and research. The theoretical-methodological postulation of this approach is that the members of an academic community share the so-called “academic culture” and that the characteristics of this culture and the ways it changes (or remains the same) may only be approached by focusing on individuals and the modes in which they change their social actions, interpret and modulate the newly acquired culture, due to the pressures of the changing conditions.

Degradation-infused energy portfolio allocation framework: Risk-averse fair storage participation

This work proposes a novel degradation-infused energy portfolio allocation (DI-EPA) framework for enabling the participation of battery energy storage systems in multi-service electricity markets. The proposed framework attempts to address the challenge of including the rainflow algorithm for cycle counting by directly developing a closed-form of marginal degradation as a function of dispatch decisions. Further, this closed-form degradation profile is embedded into an energy portfolio allocation (EPA) problem designed for making the optimal dispatch decisions for all the batteries together, in a shared economy manner. We term the entity taking these decisions as ‘facilitator’ which works as a link between storage units and market operators. The proposed EPA formulation is quipped with a conditional-value-at-risk (CVaR)-based mechanism to bring risk-averseness against uncertainty in market prices. The proposed DI-EPA problem introduces fairness by dividing the profits into various units using the idea of marginal contribution. Simulation results regarding the accuracy of the closed-form of degradation, effectiveness of CVaR in handling uncertainty within the EPA problem, and fairness in the context of degradation awareness are discussed. Numerical results indicate that the DI-EPA framework improves the net profit of the storage units by considering the effect of degradation in optimal market participation.

Vaccination status, personal and workplace experiences of early career health professionals in the WiSDOM cohort study during the COVID-19 pandemic in South Africa

IntroductionThe knowledge gaps on the experiences of early career health professionals during the COVID-19 pandemic informed this study, which examined their vaccination status, personal and workplace experiences in South Africa.MethodsWits...

The performance of renewable-rich wholesale electricity markets with significant energy storage and flexibility

This work investigates the technical and financial performance of deeply decarbonised wholesale electricity markets with uncertain variable renewable generation (VRG), uncertain demand and different types of flexibility. It first finds that different combinations of power reserves (i.e. power generation capacity) and energy reserves (i.e. energy storage capacity), can achieve adequate system reliability at similar total costs. However, use of only energy reserves never achieved adequate system reliability, and this looks to be a fundamental challenge to the reliability of systems with only energy reserves but no power reserves. Two independent aspects of wholesale market operations are then found to be the main determinants of system reliability: the length of the unit commitment (UC) schedule prior to dispatch and the degree of operational uncertainty of VRG during dispatch.It is then argued that reliable, least cost and efficient wholesale markets with dominant renewables need acceptably low levels of operational uncertainty of VRG, sufficient flexibility in generation and/or demand, and UC schedules that are significantly longer than the longest energy storage durations present. Rather than suggesting that innovation in market design is required, these results therefore suggest that different technical approaches should have important, future roles. These include mitigating the operational uncertainty of VRG via several potential means as well as flexible generation, battery storage of a few hours duration and flexible electrolysis. Long duration energy storage, however, may challenge market performance and all participants’ returns even if it supports system reliability.

Elucidation of the Active Agents in a West African Ground Herbal Medicine Formulation That Elicit Antimalarial Activities in In Vitro and In Vivo Models

Agunmu (ground herbal medicine) is a form of West African traditional medicine consisting of a cocktail of herbs. The goal of this study is to evaluate a formulation of Agunmu made from M. indica, A. repens, E. chlorantha, A. boonei, and B. ferruginea, sold in the open market and commonly used for the treatment of malaria by the locals, for its antimalarial effects and to determine the active principles that may contribute to the antimalarial effect. The ethanolic extract obtained from this formulation (Ag-Iba) was analyzed, using TLC, LC-MS, and Tandem-MS techniques, to determine its phytochemical properties. The extract was tested in vitro against representative bacteria strains, cancer and normal human cell lines, and susceptible (D6) and resistant (W2) Plasmodium falciparum. In subsequent in vivo experiments, graded doses of the extract were used to treat mice infected with chloroquine-susceptible (NK-65) and chloroquine-resistant (ANKA) strains of Plasmodium berghei. Bacteria growth was monitored with a disc diffusion assay, cancer cell viability was determined with MTS assay, and percentage parasitemia and parasite clearance were determined by microscopy. Bound heme content, host mitochondria permeability transition (mPT) pore opening, F0F1-ATPase, and lipid peroxidation were determined via spectrophotometry. Indices of oxidative stress, anti-oxidant activities, toxicity, cell death, and inflammatory responses were obtained using biochemical and ELISA techniques. The histology of the liver and spleen was performed using the standard method. We elucidated the structures of the critical active principles in the extract to be flavonoids: kaempferol, quercetin, myricetin, and their glycosides with little or no detectable levels of the toxic Aristolochic acids that are found in Aristolochia repens, one of the components of the formulation. The extract also showed anti-plasmodial activity in in vitro and in vivo models. Furthermore, the extract dose-dependently decreased mitochondrial dysfunction, cell death, and inflammatory and oxidative damage but increased antioxidant potentials. Presumably, the active principles in the extract work as a combinatorial therapy to elicit potent antimalarial activity. Overall, our study unraveled the active components from a commercial herbal formulation that could be reformulated for antimalarial therapy.

Economic dispatch of microgrid generation-load-storage based on dynamic bi-level game of multiple stakeholders

During the participation of microgrid operators(MGO) and shared energy storage investors(SEI) in electricity market operations, unclear positioning of shared energy storage(SES) in the trading mechanism leads to decision-making limitations and mutual pricing constraints among stakeholders. Therefore, a dynamic bi-level game model based on multiple stakeholders is established in the paper. Considering the full life cycle investment costs, leasing costs, and load peak-shaving ancillary service revenue, establish a net revenue model for SEI. In the upper level, with SEI as leaders and MGO as followers, establishing a master-slave game model for optimizing SES leasing prices, and formulate leasing strategies. In the lower level, with MGO as leaders and cluster users as followers, establishing a master-slave game model for optimizing electricity prices and formulate scheduling strategies. A hybrid multi-strategy improved whale optimization algorithm based on simulated annealing(HSWMO) is proposed, combined with the theory of fixed points to solve the optimization problem of the upper and lower levels until obtaining the optimal solution that converges to a fixed point. Through case analysis, it is verified that the operational mode of SES as a market entity can bring higher economic benefits to multiple stakeholders such as MGO and cluster users. Meanwhile, the analysis from the perspective of SEI examines the optimal capacity investment and payback period for SES, providing effective reference for the comprehensive decision-making of SEI and MGO.

A Matter of Minutes: Unexpected FOMC Communication and Fed Credibility

Abstract Unexpected revelations in the Federal Open Market Committee (FOMC) meeting minutes may provide critical information and hinder the Federal Reserve’s (Fed) credibility. Our analysis explores the impact of unanticipated content on FOMC policy discussions, revealing that more-hawkish-than-expected minutes reduce daily stock market returns by raising the risk premium. We also find a non-linear relationship between the unexpected minutes’ sentiment and the Fed’s credibility: surprise hawkish revelations can worsen credibility, with larger deviations further de-anchoring long-term inflation expectations from the 2 % target. Our findings suggest that the Fed should continue refining its communication strategies to avoid the damage of unexpectedly hawkish minutes in its credibility.

Transmission and Volatility Mechanisms of Mineral and Oil Prices in the Context of Clean Energy Transition: A Global Perspective

The prices that govern the output of producers in specific industries hold great significance, particularly in the context of the renewable energy industry, which is profoundly influenced by the dynamics of critical mineral prices. Oil prices also affect mineral transportation and cost-competitive consumer choices, altering the renewable energy sector. This study examines the global transmission of shocks and volatility spillover effects of essential mineral and oil prices in renewable energy production covering the monthly data from January 1990 to June 2023. We use partial cross-quantilogram (PCQ) and rolling window-based recursive cross-quantilogram (RCQ) methods to address the dataset's non-normal and fat-tailed nature. The PCQ analysis shows that aluminum and copper price shock transmission and volatility spillover effects boost cumulative and decomposed renewable energy generation, particularly solar and wind power, in bullish market conditions with long-term memory. Nickel prices decline in bullish markets with long memory. Interestingly, oil price shock transmission and spillover effects benefit solar and wind energy generation over long time horizons. Thus, this study emphasizes the importance of leveraging mineral prices by determining favorable values and implementing market operations to promote environmental sustainability and sustainable development in the face of oil-based industrial expansion.