Sector Entities Research Articles

A Comprehensive Approach to Bankruptcy Risk Evaluation in the Financial Industry

The study presents a comprehensive approach to examining the potential risk of bankruptcies in financial sector organizations. This investigation explores 20 financial sector entities and evaluates their fiscal history from 2000 to 2018. The developed model assesses the chance of these companies going bankrupt by analyzing indicators like liquidity, profitability, debt composition, and operational effectiveness. These metrics are contrasted to regulatory requirements and assessed as having low, moderate, or elevated risk repercussions, ultimately contributing to an overall threat rating. Additionally, the model has a unique algorithm that compensates for excessive debt levels, strengthening the reliability of the risk appraisal grade. This straightforward instrument illustrates the demand to incorporate a variety of financial health indicators. According to the findings, excessive amounts of debt have a detrimental influence on profitability, leading to decreased stock returns and a greater probability of bankruptcy. These findings have practical implications for investors and stakeholders, providing insightful information to help inform decision-making, especially during periods of economic unpredictability such as pandemics. Furthermore, they encourage the enhancement of financial market efficiency.

Analysis of Risk Factors and Gaps in Government Risk Allocation with Private Investor Risk Perceptions in the Toll Road Sector Using the PPP Scheme in Indonesia

Infrastructure development has an important role in a country's economic growth. Based on the 2020-2024 APBN plan, the total budget requirement for providing infrastructure is IDR. 2,058tn, where the government budget is 30% of the portion of budgeted funding needs. Due to the need for infrastructure development, the government initiated Government Cooperation with Business Entities (KPBU) in various infrastructure sector to accelerate infrastructure development in Indonesia, including toll road. This research was conducted to investigate identified risks along with risk mapping analysis to find out whether there is a gap in risk allocation between the government and private investors in implementing toll road PPPs in Indonesia. The method of this research is a qualitative study with data collection methods through interviews and questionnaires. From the research conducted, it is known that there are 7 (Seven) risk categories with 17 (Seventeen) risk events that are considered important by private investors. From the research conducted, it is known that there are 11 risk allocations that are appropriate and 6 allocations that are not in accordance with the risk perception of private investors in the toll road sector with the PPP scheme in Indonesia, namely the risk of differences in interest on land bailout loans, increases in construction costs, the risk of inflation rates and interest rates, the risk of rate adjustments being lower than projected, the risk of general regulatory (and tax) changes and the risk of political force majeure.

Pengaruh Ukuran Perusahaan Dan Pertumbuhan Penjualan Terhadap Financial Distress

The research aims to test and analyze the influence of company size and sales growth on financial distress. Financial distress is a situation where a company can experience bankruptcy because it cannot fulfill its obligations and has small profits. Research population of banking sector entities for the 2019 – 2020 period listed on the Indonesian Stock Exchange. The non-probability sampling technique used a purposive sampling method with a total of 29 companies. The data analysis technique used is multiple regression analysis. The research results show that the sales growth variable has a significant effect on financial distress, meaning that management involvement and sales growth greatly influence financial distress. Company size has no effect on financial distress.

Особливості розвитку експортно-імпортної діяльності суб’єктів господарювання державного сектора економіки

Economic entities in the public sector, among other enterprises, play a key role in the resumption of export-import activities, as they have significant resources and can ensure the coordination and implementation of strategic measures in crucial sectors of the economy, thus contributing to the rapid recovery and stabilization of the country’s economic development. The aim of the article is to systematize the attributes of features of the development of export-import activities of economic entities in the public sector of the economy. The study examines the key aspects that characterize the export-import activities of economic entities in the public sector of the economy, in particular, the political context, State financial support, legal regulation and regulatory control. Special attention is paid to the strategic nature of the activities of economic entities in the public sector of the economy and their role in the implementation of the State-controlled programs and ensuring national security. The main benefits and financial mechanisms of the State support, which contribute to the effective implementation of export-import operations, have been defined. Further direction of development of this study is envisaged in carrying out an analysis of the efficiency of the State-controlled programs to support export-import activities, assessing the efficiency of foreign economic activity of economic entities in the public sector of the economy and determining the impact of international economic agreements on the development of export-import activities.

Impact of artificial intelligence on aeronautics: An industry-wide review

Curiously, there are few contributions in the scientific literature on the subject of artificial intelligence (AI) and its impact on aeronautics. However, many communications and reports have been published by aeronautic companies about their applications of AI technologies. This article makes an industry-wide review of AI in aeronautics using a three-step sequential approach: (i) a review of AI and its concepts to define and develop a conceptual map; (ii) a selection of 100 use cases from aeronautics companies that use AI technologies (e.g., Airbus, Boeing, Air France, Safran, EasyJet, Dassault Aviation, Altair); and (iii) an analysis of the use cases using the topics defined in the conceptual map. The main results describe a rising interest in the integration of AI technologies by entities in the aeronautic sector. Moreover, the results from the use cases show that the most recurrent technologies are big data analytics, autonomous intelligent systems, predictive analytics, machine learning, and robotics. Another finding is related to the several benefits that motivate companies to integrate AI technologies into their industrial and operational processes. The most frequent benefits include customer satisfaction, saving time, safety and security, cost reduction, better decision making, solving complex problems, and ensuring optimisation and efficiency. It also appears that the performance of companies is positively impacted by using these AI technologies. Such impacts span all operational departments including marketing, where these technologies help satisfy customer needs; the industrial and operational area, which is provided with quality products; and where productivity and economic performance are optimised for more efficiency.

РROSPECTS OF THE DEVELOPMENT OF SMALL BUSINESS IN AGRICULTURE

Small business is characterized by a flexible mechanism of adaptation to the changing conditions of the market environment in the economy, as well as non-economic influencing factors, etc. In the conditions of Ukraine, the permanent military threat of the russian federation can be attributed to the latter, which changes the conditions for the functioning of small business entities in agriculture, since the satisfaction of the population's primary needs for food and the employment of labor in rural areas depend on it. The subject of research covers the theoretical and practical principles of the development of small business entities in the agrarian sector of the economy. The purpose of research is to substantiate the directions of prospective development of small business entities in agriculture based on the analysis of indicators of their economic activity in recent years. Research methods: abstract-logical; monographic; statistical and economic, systematic approach, etc. The essence of all subjects of small entrepreneurship in agriculture is summarized and defined on the basis of the organizational, legal and social and economic principles of their development; perspective directions for the production of less capital-intensive and more labor-intensive types of agricultural products by small business entities are substantiated, taking into account their current economic condition; directions for supporting the development of small agrobusiness in rural communities and the transformation of part of rural households into farming and other types of small business entities thanks to organizational and financial and material support at the level of territorial communities have been determined. Organizational and financial and material support for the development of small agribusiness entities will ensure a decrease in unemployment, an increase in added value, labor productivity, labor income in the agrarian sector of the economy, and will contribute to the development of rural areas and communities. Practical implementation: the formation of agrarian and regional policy for the development of the economy and territorial communities, the process of developing projects of state and local programs for the development of the agrarian sector of the economy and rural areas.

СОЦІАЛЬНА ВІДПОВІДАЛЬНІСТЬ АГРОБІЗНЕСУ ТА ESG ПРАКТИКА ЯК СПОСОБИ ДОСЯГНЕННЯ ЦІЛЕЙ СТАЛОГО РОЗВИТКУ

The need to solve the problems of sustainable development and gain strategic competitive advantages has led to the active dissemination of socially responsible business initiatives. This is also highly relevant for the agri-food sector, the role of which is vital for the global tasks of sustainability and the national economy of Ukraine. The article examines the main essential features of social responsibility of business and modern ESG practice in the example of the agricultural sector. Studies have shown that corporate social responsibility (CSR and ESG) is an example of a modern sustainable management business model with standard features. Both models aim to raise the level of corporate culture and achieve sustainable development goals. At the same time, the key feature of corporate social responsibility is its qualitative dimension, while the characteristic feature of ESG is qualitative assessment. ESG management practice is one of the priorities for Ukraine's agricultural business. It creates opportunities to achieve competitive advantages in attracting additional financial flows necessary for the sustainable development of agriculture and rural areas. The strategic bonuses formed for agricultural companies by using the principles of CSR and ESG in practice are defined. Among the main ones are: building up the image capital of agricultural companies; increasing market share; rapid and effective response to climate change risks and other environmental and social business risks; improving the understanding of future business development opportunities and finding effective mechanisms for their use; increasing the level of investment attractiveness of business. The key indicators for assessing the ESG rating in the context of three factors are studied: economic, social, and managerial. The current trends and social responsibility problems of Ukraine's agrarian business are analyzed. It is determined that voluntary, socially responsible initiatives take place mainly in large-scale agricultural companies. The potential possibilities of the influence of ESG practice on the financial results of agrarian formations are determined. The main promising directions and tools of CSR and ESG in the activities of business entities in the agricultural sector are outlined.

Impact of Corruption on the Application of International Trade Law in Nigeria

Corruption has long been a persistent challenge in Nigeria, influencing various sectors, including governance, public administration, and trade. This study investigates how corruption undermines the effective implementation of international trade laws and regulations, leading to inefficiencies, trade distortions, and weakened enforcement mechanisms. The research draws on qualitative and quantitative data to analyze the specific ways in which corrupt practices affect customs procedures, trade facilitation, and the overall regulatory framework. It explores how corruption among government officials, law enforcement agencies, and private sector entities compromises trade integrity, increases transaction costs, and deters foreign investment. The paper highlights the broader implications of corruption on Nigeria’s trade relationships and its ability to comply with international trade obligations. Ultimately, the study ended by providing policy recommendations to enhance transparency, strengthen institutional capacity, and promote good governance in order to improve the effective application of international trade law in Nigeria.

Agriculture Residue based Electric Power Generation

The foundation of a country’s sustainable economic development rests on the availability of an ample supply of electrical energy. To remain competitive on the global stage, India must ensure the provision of sufficient electricity infrastructure to fuel its economic progress. Achieving developed nation status necessitates extending electricity access to every corner of the country. India, being primarily an agrarian nation, possesses abundant agricultural waste resources. This wealth of agricultural waste presents a valuable opportunity for electricity generation. Notably, agricultural husk emerges as a promising raw material for electricity generation, provided it undergoes proper and systematic processing. This endeavor aims to introduce the concept of electricity generation from agricultural husk, with a particular focus on rural areas in India. Agricultural husk-based small and medium power plants offer a pragmatic solution for generating and distributing electricity to underserved rural communities. Within this paper, we delve into the availability of agricultural husk resources in India, explore various feasibility studies, and elucidate the principal processes for generating electricity from rice husk. The overarching goal is to support India’s journey towards future development. This paper serves as a valuable resource for both governmental and private sector entities interested in establishing agricultural husk-based power plants in rural India. Ultimately, we aspire for this document to serve as a practical guideline for addressing the substantial electricity demand prevalent in India’s rural areas.

Public-Private Partnerships in Strengthening Cybersecurity for International Trade: Examining the Role of Collaborative Efforts Between Governments and Private Sector Entities in Crafting and Enforcing Robust Cybersecurity Measures for Global Trade

Public-Private Partnerships in Strengthening Cybersecurity for International Trade: Examining the Role of Collaborative Efforts Between Governments and Private Sector Entities in Crafting and Enforcing Robust Cybersecurity Measures for Global Trade

Community Engagement in Solid Waste Management: An In-Depth Analysis of Household Participation and Practices in Chelstone Township in Lusaka, Zambia

The study investigated the efficacy of community engagement in solid waste management in Chelstone Township, with a focus on household involvement and participation. Understanding the extent of community participation in solid waste management is critical for improving waste management systems and developing sustainable practices in local communities. Chelstone Township, Lusaka Province, Zambia, presented an attractive backdrop for investigating community engagement in solid waste management due to its unique blend of social, economic, cultural, and political elements. Chelstone’s population is diversified, with a mix of indigenous residents and migrants from other regions of Zambia, living in both informal settlements and more affluent residential neighborhoods. To examine the level of community engagement in solid waste management in Chelstone Township, the researchers used a mixed-method approach that included both qualitative and quantitative methodologies. The study found that community involvement in solid waste management was only partially effective, owing to a lack of household participation in decision-making procedures. According to the findings, community engagement in solid waste management was predominantly routed through councilors, resulting in insufficient representation of households in planning and decision-making. Community-based enterprises (CBEs) also demonstrated a lack of household engagement. The study identified obstacles such as waste politicization, a lack of information, distance collection places, unreliable collection services, and issues with openness and accountability in cash allocation. The outcomes of the study highlight the importance of increased education efforts to encourage community participation in garbage management. To supplement local government initiatives, effective engagement of stakeholders such as community organizations, NGOs, and commercial sector entities is advised. The study recommends incorporating community people in solid waste management planning, decision-making, and implementation.

Public private partnerships in peatland management: A design for sustainable practices

This research endeavors to craft a pioneering peatland management model rooted in the principles of public-private partnership within Riau Province. Employing a descriptive qualitative research method, we conducted data collection through a multifaceted approach, encompassing interviews, comprehensive literature analysis, and secondary data sources. Our data analysis methodology employed an interactive model inspired by the dynamics of collaborative governance, as proposed by Emerson and Nabatchi. The outcomes of this study underscore a recurrent stumbling block in Riau’s peatland management: the paucity of active and robust collaboration between the government and the private sector. While the government functions within its defined boundaries, the private sector often devises programs that align with the interests of specific interest groups. This frequently results in program overlap, partial initiatives, and incidental strategies. Furthermore, the prevailing disconnect between government and private sector entities raises concerns about the future implementation of sustainable practices in peatland management.

Антикорупційний аудит: поняття, види та елементи

The prosperity of corruption, especially during the war, is one of the threats to Ukraine's national security, political stability and economy. International audit practice shows that anti-corruption audit is an effective tool for combating corruption and financial fraud. The article aims to distinguish the concepts of anti-corruption audit and anti-corruption compliance, to disclose the types of anti-corruption audit and its elements, and to determine the place and role of anti-corruption compliance in detecting and preventing manifestations of illegal corruption actions. Based on the analysis of the essence, two types of anti-corruption audit are distinguished: internal and external, which makes it possible to determine their differences and areas of application. In scientific literature, anti-corruption audit is often equated with anti-corruption compliance, which, in our opinion, is a component of internal anti-corruption audit. This conclusion follows from the general interpretation provided by the International Compliance Association and from the ideology of compliance, which involves compliance with the internal policies and procedures of the business entity. The elements of an anti-corruption audit are defined based on the provisions of international normative acts, the specifics and requirements of the activities of international organizations; however, for Ukrainian practice, it is appropriate to distinguish its main and additional elements based on the specifics of the activities of business entities and public sector entities. The main elements are mandatory for private and public sector entities, and additional ones depend on the field of activity and the level of corruption risks in the surrounding environment. The interpretation of the term anti-corruption audit proposed in the article, the definition of its differences from anti-corruption compliance and the identification of its structural components will contribute to constructing an effective system of combating fraudulent and corruption schemes in the private and public sectors of the Ukrainian economy.

Analysis of Cooling Loads and their Effects on Energy Costs for an Integrated Insulating Materials-Based Direct Iron Processing Plant

This study discusses the surge in energy consumption in the Caribbean region over the past decade, notably in Trinidad, where per capita consumption exceeds 6500 kWh. In response to rising electricity tariffs, energy sector entities are implementing conservation initiatives. The study focuses on a Direct Reduced Iron (DRI) plant in Trinidad's Point Lisas Industrial Estate, specifically examining alternatives to conventional air conditioning in a DRI processing laboratory. Various insulating materials were simulated using CHVAC software and evaluated against a 5-ton air-conditioning unit using the CLTD method. Analysis reveals standalone use of insulating systems in the laboratory is impractical due to orientation, location, and internal heat loads, necessitating a hybrid cooling system. Economically viable configurations involve a 3-ton A/C unit paired with PVC, foam, or fibreglass walls and ceilings. Despite higher initial costs, configurations with a 3-ton unit offer savings in maintenance and electricity. Findings extend beyond the laboratory, potentially influencing passive cooling material adoption and active cooling load reduction in other contexts, thus promoting sustainable energy practices.

Public oversight and performance measurement in public sector entities

Public oversight and performance measurement in public sector entities

РЕГУЛЯТИВНЫЕ ПРИНЦИПЫ ХАРАКТЕРА ПРАКТИКОПРИМЕНЕНИЯРАЗЛИЧНЫХ ПОДХОДОВ К ПРИНЯТИЮ УПРАВЛЕНЧЕСКИХ РЕШЕНИЙ

In the process of implementing business activities, business sector entities are in a situation of permanent search and making optimal decisions in terms of business management. Which actualizes questions about the content of various approaches to managerial decision-making in the en-terprise. The article considers the features of decision-making directions in management, the key char-acteristics of significant elements of the management decision-making process in relation to certain prin-ciples of economic activity. The role of factorial influence in the directions of groups of factors is deter-mined, reasonable conclusions are made.

Capital Budgeting Implementation by Public Sector Construction Firms in Tanzania’s Housebuilding Industry: An Exploratory Study

This exploratory study investigates the implementation of capital budgeting practices (CBP) by selected public sector construction firms (PSCF) in Tanzania. This investigation seeks to assess the extent, to which such practices are used for effective investment decision-making, with a particular focus on the country’s housebuilding sector. A case study research design was adopted to collect data from five Tanzanian PSCF, serving as cases through a mix of questionnaires, interviews and document reviews. The emergent data was analysed using thematic analysis. An appreciable level of CBP implementation was observed in all the cases. The internal rate of return (IRR), net present value (NPV) and payback period (PBP) capital budgeting techniques (CBT) were observed to be mostly used by these PSCF, while sensitivity analysis was widely deployed for risk mitigation. The influence of top management in decision- making, political influence and lack of advanced software were some of the implementation challenges identified. The findings contribute to the elucidation of CBP implementation praxis in the public sector organisation context in developing countries, as it relates to the housebuilding industry in Tanzania’s unexplored context. The study proves to be a valuable resource for public sector entities in developing countries intent for facilitating effective investment decision-making about infrastructure procurement and it contributes to improving knowledge of CBP implementation, consideration of risk mitigation factors and post-project implementation audits by public sector firms.

Exploring Cutting-Edge Approaches to Reduce Africa's Carbon Footprint through Innovative Technology Dissemination

This paper investigates the possibility of revolutionizing Africa's carbon footprint through innovative technology dissemination strategies for GHG emission reduction. It highlights the importance of harnessing renewable energy sources to mitigate climate change and promote sustainable development in Africa. This paper also examined several technology diffusion theories in order to unleash Africa's climate-smart potential by tying them to the recommended techniques for dealing with technological diffusion concerns. These theories varied from diffusion of innovation theory to planned behaviour theory. By analysing these theories, it was found that the most appropriate technology diffusion theory for the assessment of innovative technology dissemination strategies for GHG emission reduction in Africa would be the Diffusion of Innovations Theory. This is due to the theory's emphasis on the dissemination and adoption of new ideas, technologies, or innovations by people or groups within a social system. It would give useful insights into the variables influencing the adoption and dissemination of novel technology for reducing GHG emissions in Africa. The paper also discusses the challenges and barriers faced in the diffusion of renewable energy technologies across the continent while proposing innovative strategies to overcome these obstacles and unlock Africa's untapped climate-smart potential. These strategies include promoting policy and regulatory frameworks that incentivize investment in renewable energy, fostering partnerships between governments, private sector entities, and international organizations to support technology transfer and capacity building, and implementing financial mechanisms such as green bonds and carbon pricing to mobilize funding for renewable energy projects. These proposed strategies were also used to develop seven policies required for innovative technology dissemination strategies for GHG emission reduction in Africa. These policies aim to address the unique challenges faced by African countries in adopting and implementing innovative technologies for GHG emission reduction. By focusing on capacity building, financial incentives, and knowledge sharing, these strategies seek to promote the widespread adoption of sustainable technologies across the continent. They emphasize the importance of collaboration between governments, private sector entities, and international organizations to ensure the successful implementation and long-term sustainability of these policies.

Analysis of the Effectiveness of the One Pesantren One Product (OPOP) Program in Supporting the Economic Empowerment of Islamic Boarding Schools in Belitung Regency

The One Pesantren One Product (OPOP) program aims to foster self-reliance within the community, including Islamic boarding schools, students, and the public. Its goal is to enable economic and social independence, enhancing skills, production technology, distribution, and marketing through innovative and strategic approaches. The program is designed to support Islamic boarding schools in achieving self-sufficiency and as a catalyst for tourism development in the region. Belitung Regency hosts several longstanding Islamic boarding schools, predating the establishment of the Bangka Belitung Islands Province. Through the OPOP Program, these institutions are envisioned to play a significant role in the region’s tourism development, contributing to economic growth. This research seeks to describe and analyze the effectiveness of the OPOP Program in supporting the economic empowerment of Islamic boarding schools in Belitung Regency. Conducted over a year, the research employs a descriptive qualitative method, utilizing purposive sampling techniques to select data sources, including Islamic boarding school administrators, teachers, and students. Data collection methods encompass interviews, observations, and documentary studies. The findings reveal that the Islamic boarding school cooperatives function as business units directly subordinate to the schools, akin to other commercial entities. Enhancement efforts are identified in marketing strategies, training initiatives, and internships. Media assistance and engagement with religious community organizations are essential for effective marketing. At the same time, collaboration with governmental and private sector entities is crucial for training and internship programs, ensuring alignment between participants’ business domains and their internship placements.

PUBLIC SECTOR WAGE PREMIUM IN POLAND: A HUMAN CAPITAL APPROACH

Aim: The aim of the article is to estimate the value of the public sector wage premium. It is an important issue both in the area of wage management in an organization and labor market performance. Methods: The research method is based on measuring the rates of return on human capital in the public and private sectors. It assumes that human capital is a function of the cost of living, education, and work experience. The average value of human capital was calculated in a model sample of employees in the public, private, and total sectors in each of the analyzed periods. In order to calculate the rate of return, its value was compared with the average wage in each of the sectors. Results: The results indicate the existence of a small average negative public sector wage premium in Poland. However, in some periods, the observed wage gap widens signifi­cantly, reducing the wage competitiveness of the public sector. The results of measuring the return on human capital of employees of both sectors is about 8% per year. Conclusions: The paper’s findings can be used to optimize the wage policy and analyze wage competitiveness in public sector entities. The paper contributes to the sector wage differentials literature by developing an original methodology based on a human capital rate of return and also contributes to the research paradigm on normative return on capital. Findings in the second field are consistent with the concept of an 8% economic constant of potential growth.