International Market Research Articles

Cointegration and causality relationship of Indian stock market with selected world markets.

Background: The purpose of this study is to explore the trends and causes of established and emerging nations' stock market integration with India. The National Stock Exchange (NSE) indices act as a counterweight to international market indices. This study investigates the sustained interest of foreign investors in the Indian stock market in the wake of capital market reforms, as well as whether it moves in tandem with other markets in Asia and the United States. Methods: Our study examined the possibility of cross-country cointegration between the largest economies and indices around the world using multiple financial econometric models, such as Augmented Dickey-Fuller, Unit Root, Correlation, and Johansen Cointegration. Results: The findings of this study significantly support the notion that Indian and international financial markets are highly integrated. Vector error correction model indicates that the Indian market (NSE) is highly cointegrated with the US market (National Association of Securities Dealers Automated Quotations) and increased volatility signifies global contagion. Conclusion: A cursory examination of the data reveals distinct investment and portfolio diversification options for global investors. This could assist regulators in formulating more effective rules regarding price discovery processes.

Desain UI/UX Rakabu Furniture Sebagai Media Promosi

Indonesia has large potential forestry resources. This potential creates higher competition in the furniture industry. One of the local furniture companies is Rakabu Furniture. This company produces furniture and processes wood, which has entered the international market. Besides, Rakabu Furniture only promotes products through exhibitions, so it has not been able to expand its market. The solution to this problem is creating a User Interface (UI) / User Experience (UX) design on the web as an effort to expand the market and design an ordering system that is easier and more efficient. Rakabu Furniture's UI/UX design emphasizes the company's image to produce an attractive design that is in line with the company's vision and mission. The design method used qualitative methods by collecting data and interviewing the informant from Rakabu Furniture. The results show that a UI/UX website design aims to understand the message from Rakabu Furniture as a promotional medium for new companies and is supported by several other media.Keywords: Design, User Interface (UI), User Experience (UX), Rakabu Furniture, PromotionalMedia.

Transforming construction with innovation in logistics

Marked by rapid urbanization and intense competition, the construction industry faces crucial challenges in addressing urban sustainability. Despite the crucial role of innovations, the construction sector has historically grappled with significant limitations in terms of innovation and productivity, remaining less digitized compared to other industries. The urgent need to accelerate innovation and reduce costs is highlighted by the association between globalization and technological development, underscoring the importance of solutions like Construfrete. With a projected notable growth of 85% in the international construction market by 2030, driven by artificial intelligence and digitization, the urgency of technological adoption in the sector is evident. Construfrete, specifically designed to meet the needs of the Bahia market, aims to optimize the transportation of materials and equipment, enhancing connections between drivers and construction entities. This methodology ensures the app is competitive and responsive, facilitating more efficient and environmentally conscious logistics. Ultimately, Construfrete not only addresses the logistical demands of construction but also boosts efficiency, benefiting drivers, customers, and the local economy in Bahia.

CPTPP State-Owned Enterprise Rules and Our Countermeasures

State-owned enterprises (soes) play an important role in the global economy. Some developed countries believe that because of the state nature of SOES, SOES enjoy more privileges and unfair competitive advantages than private enterprises, including government subsidies and regulatory incentives, so that their market competitiveness and overall strength are strong. In order to get rid of the “Official business” advantage of state-owned enterprises, promote the equal competition between state-owned enterprises and private enterprises, and reduce the concern of state-owned enterprises, the rules of our state-owned enterprises are gradually formed. For the first time in the international market, CPTPP specifically regulates the rules of state-owned enterprises. Compared with other free trade agreements, cPTPP's SOE rules are characterized by stronger competition neutrality rules, wider scope of application, more non-commercial aid rules and higher transparency. In the context of China's imminent accession to CPTPP, this paper analyzes the regulation of our state-owned enterprises that have signed the free trade agreement, and finds that the number of state-owned enterprises to be regulated in the free trade agreement is small and the level of regulation is low. Therefore, we must actively negotiate the new issues of state-owned enterprises and actively participate in the construction of international rules of state-owned enterprises. For the CPTPP high-level SOE rules negotiation, we should follow China's national conditions, study the introduction of ownership-neutral competition-neutral principle as the core, and further deepen the reform of state-owned enterprises, state-owned enterprises to standardize the way of subsidies.

Pemetaan Moluska Komoditas Ekspor dan Impor Melalui Balai Besar KIPM Jakarta I

Indonesia has high biodiversity and it has the opportunity to expand as fisheries business in the international commodity market. The research aims to analyze the diversity of mollusk species, map the distribution, and analyze the sustainability of these commodities in the Indonesian export and import markets. The research conducted at the Jakarta I Fish Quarantine Center for Quality Control and Safety of Fishery Products (BBKIPM) on January to February 2023. The data used comes from data available at BBKIPM Jakarta 1 on 2021 to 2022 periods. The method used is descriptive quantitative analysis. The results showed that mollusk commodities traded in exports were more diverse than imported mollusks. The most commodity classes are pelecypod (35 species), gastropods (12 species) and cephalopods (12 species). The total number of exported mollusk commodities (4,823,969.879 kg) is higher than imports (7,281.04 kg) on 2021 to 2022 periods. Mollusk exports from Indonesia spread to 44 countries on 2021 to 2022 periods. Meanwhile, mollusk imports to Indonesia only came from 2 countries (2021) and either from 1 country (2022).

Modeling the response of sesame (Sesamum indicum L.) to different soil fertility levels under rain-fed conditions in the semi-arid areas of western Tigray, Ethiopia

Sesame, a crucial oilseed crop in Ethiopia, ranks second only to coffee in its importance as an exported agricultural commodity. However, inadequate soil fertility management has hampered its productivity despite its substantial international market demand. Hence, this study was conducted to model the response of sesame to different nitrogen fertilizer levels using the AquaCrop model, and to assess the capability of the model as a decision-support tool for optimizing soil fertility management strategies in the study area. The experiment was laid out in a randomized complete block design, consisting of four nitrogen fertilizer rates (0, 23, 46, and 69 kg/ha nitrogen) and three distinct sesame varieties (Setit-1, Setit-2, and Humera-1). Over the course of the three cropping seasons, data on soil physical and chemical properties, crop growth, yield and yield components were collected for each treatment. Evaluation of model performance relied upon established metrics of coefficient of determination (R2), root mean square error (RMSE), normalized root mean square error (N-RMSE), model efficiency (E), and degree of agreement (D). Analysis of results revealed the AquaCrop model appropriately calibrated for simulation of soil water content, showing R2 values ranging from 0.92 to 0.98, RMSE values varying from 6.5 to 13.9 mm, E values from 0.78 to 0.94, and D values from 0.95 to 0.99. Similarly, simulation outputs for aboveground biomass (AB) demonstrated good accuracy of the model, with R2 values varying from 0.92 to 0.98, RMSE values ranging from 0.33 to 0.54 tons/ha, and D values from 0.9 to 0.98. Notable accuracy was also observed in the simulation of canopy cover (CC), revealing R2 values between 0.95 and 0.99, and RMSE values ranging from 5.3 to 8.6 %. In conclusion, this study substantiates the successful calibration and validation of the AquaCrop model for predicting sesame response to diverse nitrogen fertilizer levels. The performance of the model in predicting soil water content, CC, AB, and yield highlights its potential as a valuable tool for optimizing soil fertility management and enhancing sesame cultivation practices in Ethiopia.

ARE FUND MANAGERS SKILLED OR IS IT SIMPLY LUCK? A CASE OF ENERGY MUTUAL FUNDS

Fund managers often tout that the performance of the funds they manage is due to their wisdom and management skills. The success in convincing the investors to this notion enables them to claim a higher salary and perks for themselves and charge a hefty or premium fee from the investors for the company they work for. However, changes in government policies, as well as in domestic and international market conditions, often influence the performance of the funds they manage. Suppose investors are not aware of this phenomenon. In that case, they may end up unnecessarily paying a hefty fee to the fund managers and investing in the wrong stock or mutual fund thereby suffering a loss in terms of the return on investment and capital loss. So, the investors must know whether the performance of any funds is due to the wisdom or skills of the fund managers or simply due to some exogenous factors beyond their control, which, in this study, we call luck. In this study, we apply the so-called Fama and French's bootstrap simulation method to determine whether the observed value of alpha – a measure of the fund’s performance – is due to fund managers’ skill or simply luck using data on monthly returns of the fifteen Equity Energy mutual funds from January 2024 through June 2019. This method involves computing a distribution of t(alpha) estimates of actual fund returns and comparing it to the performance of a cloned population of lucky funds with their true alphas set to zero. If actual funds produce higher values of t (alpha)s than the cloned population of lucky funds, then fund managers do have the skill. This distinction between skill and luck is crucial, as funds can do well or poorly by luck. Our study shows that funds can produce extreme alpha values just by luck, even if the fund's true alpha is zero. This implies that long-term investors are better off holding market portfolio ETFs and earning market return rather than paying more in fees and overall costs in attempts to beat the market. JEL classification: G1

Delving into the Architecture of International B2B Relationship Marketing During the COVID-19 Pandemic: From Business Convergence to Partnership Effectiveness

ABSTRACT Purpose The study seeks to address the influence of different facets of business-to-business (B2B) relationship marketing on internationalization effectiveness, by taking into account the turbulent environment generated by the COVID-19 pandemic. The focus falls on the factors that generate, frame, catalyze, sustain and strengthen international business relationships between managers from organizations with converging interests. Methodology B2B relationship marketing in the international arena is analyzed by means of various angles such as business convergence, business context, interpersonal compatibility, business credibility and network interconnections as availed by the “new normal” triggered by the COVID-19 pandemic. A questionnaire-based survey with 158 business owners and managers from European industrial companies was carried out during November 2023 to investigate the configuration and dynamics of B2B relationship marketing in the unprecedented and systemic COVID-19 crisis. Data was analyzed via structural equation modeling using SmartPLS 4. Findings The findings showed that while business convergence remains a strong influencer of all the other relational dimensions, the restrictions and limitations engendered by the pandemic have also altered international B2B relationship marketing to such an extent that the only significant factor for internationalization effectiveness relies on business networking. Research and practical implications The study has both theoretical and practical implications, bringing forward a topical perspective on international B2B relationships during COVID-19 disruptions and their impact on the effectiveness of international operations. Originality The study advances a phenomenological view of the unprecedented changes and their influences on the overseas operations of SMEs in a particular field. It complements and adds to the literature by stressing a more articulated relationship-centric architecture, which probed relevance during the pandemic.

National climate legislation and policymaking and energy security: International evidence

With the shift towards low-carbon economies, energy security has emerged as an increasingly vital concern for governments worldwide, particularly in recent years, because of ongoing conflicts and increased volatility in the international energy market. Both laws and policies are essential tools for mitigating climate change challenges; however, its role in energy security remains unexplored. Drawing on climate-related legislative activities in 127 countries from 2000 to 2021, this study examines the short- and long-term impact of climate laws and policies on energy security performance (ESP). The empirical results demonstrate that both recent and longstanding climate laws and policies have enhanced the national ESP on a global scale. Furthermore, we find that laws outperform policies regarding energy security improvement. Additional analyses indicate that the impact of climate laws and policies on ESP is more effective across high- and upper-middle-income countries, and less effective in low-income countries, especially those in Africa. Our findings highlight the significance of climate legislative efforts and provide important implications for global governments in securing their green transition.

Shift-share of the international market for energy forest products

The increase in fossil fuel prices and the growing demand for clean energy has encouraged the consumption of forest biomass for energy around the world. The distribution of production factors for forest products is not homogeneous across space and the specific market characteristics of each country influence the bioenergy potential. Thus, this article analyzed the structural-differential composition (shift-share) of the international market for energy forest products (EFP) between 2000 and 2020. The data are available from the Food and Agriculture Organization. The EFP consists of firewood, charcoal, wood chips, wood waste, pellets and other agglomerates. Conducted a standard structural-differential analysis (shift-share) over the period 2000–2020, then extended it by applying the Esteban-Marquillas variation. North America, Australia and Europe led in terms of the share of countries with positive effects. Charcoal and firewood were the products most used in energy production. The countries with the greatest positive structural effect were the United States (16 × 106), Canada (7 × 106), Japan (7 × 106), Finland (6 × 106), and France (5 × 106). The countries with the greatest positive differential effect were Myanmar (38 × 106), China (36 × 106), Ghana (20 × 106), Ethiopia (20 × 106), and Congo (18 × 106). From 2000–2020, 29 countries demonstrated a specialized competitive advantage (SCA), 51 countries demonstrated a non-specialized competitive advantage (NSCA), 39 countries demonstrated a non-specialized disadvantage (NSD) and 48 countries demonstrated a specialized competitive disadvantage (SCD). With these results it was possible to note that the increase in oil, gas and electricity prices has encouraged the consumption of EFPs worldwide. Hybrid industries (oil/gas/pellets) increased forest biomass consumption in the period 2000–2020. The dynamics of EFP consumption worldwide have been driven by increased demand from competitive and specialized countries.

An assessment of employee discern for internal marketing strategies in software export companies

The enormous progression of the communication and technology sector in post economic transformation, specifically in software and service exports, has had an impact on India's economic growth. Companies in the software business are constantly driven to deliver better service as customer expectations continue to rise. For success in the marketplace, businesses must integrate their offerings and differentiate themselves. The research intends to assess employees' insights into internal marketing strategies deployed by software export companies that serve customers and evaluate the effect of employees’ demographics on the company's internal marketing initiatives. The results reveal that the respondents have a significant impression of the eight identified dimensions related to internal marketing strategies, and the demographics also show a significant association with the internal marketing initiatives of software export companies. The outcomes of the research could assist management in strengthening their internal marketing processes and developing key initiatives to better serve customers.

DIGITALIZATION AS A FACTOR OF COMPETITIVENESS IN THE SINGLE INTERNATIONAL DIGITAL MARKET

The article deals with topical issues related to the creation of a single international digital market. The conditions under which the industrial complex of Ukraine should function in the near future are under the influence of globalization. The most influential factors of these processes are digital transformation, pandemic and military conflicts. Brief information on the essence of these processes is provided. It is noted that digitalization is carried out within the framework of economic policy, which in the EU is aimed at creating a single international digital market. The characteristic features of this process are given. The creation of a single digital market is one of the main prospects and challenges of our time. Digitization has created a world without borders, and its implementation requires a new form of management based on its specific properties. This process requires solving a number of practical and political issues in the economic and trade relations of the international community. Ignoring these processes, or biased assessment in approaches to their implementation can lead to catastrophic consequences in ensuring the competitiveness of individual enterprises, regions and the entire country. It is noted that the problem of regulating the single digital market is to ensure the possibility for the single market to work in the digital world in the same way as in the analog one. This means ensuring better access for consumers and companies to electronic goods and services throughout the EU, as well as creating conditions for the development of digital networks and services and maximizing the growth potential of the EU's digital economy.

Case Study Manufacture of Cotton Polo Shirts and Jumpers

Objective: Explore the manufacturing process of tangüis cotton polo shirts and jumpers from a Peruvian textile company to optimize the process and obtain quality products that can compete in the international market. Theoretical Framework: The forecast demand and forecast control, the required and available capacity of workers and machines for the production process, the aggregate planning of the required workforce, the master production program, and the disaggregation of material requirements with the calculation of the corresponding lead-times. Method: Basic and applied hypothetical case study, transversal and exploratory, non-experimental, where the production process of cotton polo shirts and jumpers is simulated in one year considering their seasonality. Results and Discussion: Proposal for the demand estimation, forecast control, the required and available capacity of workers and machines necessary for the production process, the aggregate planning of the required workforce, the master production program, and the disaggregation of materials with the calculation of the corresponding lead-times. Research Implications: Be able to replicate the case in real situations of companies focused on textile manufacturing to determine their real estimations and propose proposals for continuous improvement. Originality/Value: The contribution to the literature of a case study that can be replicated to the reality of companies oriented to textile manufacturing to optimize their processes and contribute with their proposals for continuous improvement.

Enhancing Canada’s Beef Exports and Competitiveness in the Global Market

Alberta reports the highest revenues among all provinces in beef cattle ranching and farming,but there is still considerable potential to maximize profits by expanding international trade.In 2022, Canada exported 0.78 million head of cattle and 430,000 metric tonnes of beef, for atotal trade value of C$5.2 billion. That same year, Canada ranked eighth globally in the volumeof beef exports, sixth in the value of beef exports and fourth in the aggregate value of live cattleand beef exports.This study aims to provide a policy brief on Canada’s beef and cattle production and exports,and international market access and conditions. Trade barriers are identified and evaluated, andthe implications of non-tariff measures (NTMs) are examined. These include, for example, the banimposed by the European Union and the United Kingdom on the importation of peroxyacetic acid(PAA)-treated and hormone-treated beef, and the United States’ political/legislative attemptsto invoke the mandatory country-of-origin labelling (CoOL) standard for Canada’s beef exports.This study also discusses the benefits and limitations of preferential trade agreements (PTAs) forCanada’s beef exports, such as the Canada-U.S.-Mexico Agreement (CUSMA); the Canada-EUComprehensive Economic and Trade Agreement (CETA); and the Comprehensive and ProgressiveAgreement for Trans-Pacific Partnership (CPTPP). The study concludes by exploring theopportunities to increase Canada’s beef exports and competitiveness in international markets.The analysis indicates that the Canadian cattle/beef sector would benefit from pursuing generalstrategies to increase its competitiveness in foreign markets by promoting its beef, raisingproduction efficiency and reducing production costs, tackling labour shortages, alleviatingregulatory constraints and integrating novel technologies in beef production and processing.The Canadian cattle/beef sector must increase its competitiveness in international markets anddiversify export destinations while maintaining access to the U.S. market. Canada is a major playerglobally, but it needs to increase its competitiveness in, for example, China, Japan, South Korea,Saudi Arabia, Vietnam, Taiwan and the United Arab Emirates as these markets currently relyheavily on beef imports from Australia, Brazil and the U.S., among other countries.It would be critical to encompass strategies tailored to the market characteristics/conditions ofdestination countries, raise the effectiveness of PTAs and stimulate bilateral business/marketingnetworks. This study emphasizes the importance of sustaining market access to the U.S.,enhancing market access to other foreign countries and pursuing pronounced diversificationstrategies in beef exports to mitigate risks and uncertainties in international markets. It alsounderlines the basic requirement of raising competitiveness vis-à-vis other beef-exportingcountries in various international markets. In this context, trade preferences may not necessarilylead to significant increases in Canada’s beef exports to foreign markets when preferential accessis more pronounced for beef exported from other countries. Also, cost reductions should berelatively significant to effectively compete with other beef-exporting countries and realizeincreases in Canada’s beef exports to international markets.

The role of food trade in the European Single Market in the years 2000-2022

The role of food trade in the European Single Market in the years 2000-2022

Parent-Only Balance Sheet Information and Credit Risk Assessments

SYNOPSIS General-purpose financial statements prepared under GAAP are for a consolidated reporting entity—a collection of legal entities that includes the parent and any subsidiaries it controls. This reporting model results in a loss of information about the individual legal entities within the consolidated reporting entity. Our study examines the role of parent-only balance sheet information in assessing the credit risk of the parent when it is a bank holding company. We obtain evidence from three trading platforms: credit default swaps (CDS), outstanding bonds, and new bonds. We find that parent-only leverage is useful for debtholders to assess the parent’s credit risk even after considering consolidated leverage. Moreover, in CDS markets, parent-only leverage is more useful for firms without downstream guarantee than for firms with guarantee and is less useful for firms with a stronger internal capital market. Our study raises the awareness of parent-only financial information for credit risk assessments. Data Availability: All data are available from the identified public sources. JEL Classifications: M2; M4; G3.

MEASURING CONNECTEDNESS AND NETWORK ANALYSIS IN STOCK MARKETS FOR DEVELOPED AND DEVELOPING COUNTRIES

Countries are experiencing a surge in political, economic, and financial integration, consequently shaping international market linkages. Financial crises can rapidly spread between countries, emphasizing the need to monitor and assess stock market connections. This paper investigates the degree of financial market connectedness using daily stock returns from January 1997 to August 2017 for 13 countries, both developed and developing. The connectedness measure of Diebold and Yilmaz (2009-2012) is applied to examine the connectedness of stock market returns and the direction of spillovers for all stock markets. This study also analyzes the dynamic connectedness from the U.S. stock market to all other stock markets. The results indicate that the U.S. stock market is the most influential stock market to the others. The results of the dynamic analysis show that connectedness changes over time, specifically during turmoil periods. Most developed countries are transmitters of return spillover shocks while developing countries are recipients.

Construction and Comparative Analysis of Economic and Trade Cooperation Zones Outside China

China's construction of overseas economic and trade cooperation zones is one of the important measures for the Chinese government to promote opening up and strengthen international cooperation. The Chinese government supports powerful enterprises to carry out various forms of mutually beneficial cooperation abroad, so as to promote the common development with the host country. When Chinese enterprises invest in overseas economic and trade cooperation zones, they will attract more enterprises to invest and set up factories in the host countries, which will increase the employment and tax revenue of the host countries, increase foreign exchange earned through export, improve technological level and promote common economic development. This paper aims to explore the characteristics, models and similarities and differences of China's overseas economic and trade cooperation zone construction with similar mechanisms in other countries through comparative analysis, so as to deeply understand China's role in the global economy. The construction of China's overseas economic and trade cooperation zones will provide important opportunities for Chinese enterprises to expand the international market and improve their international competitiveness, and also make positive contributions to promoting global economic cooperation and development.

Assessing the implications of imported electricity equipment in Indonesia: A comprehensive ECM approach for short-term and long-term analysis

This study aims to explore the implications of imported electrical equipment in Indonesia, analysing both short-term and long-term impacts using a quantitative approach. The research focuses on understanding how various economic factors, such as domestic production, international pricing, national income, and exchange rates, influence the country’s import dynamics in the electrical equipment sector. Employing an Error Correction Model (ECM) for regression analysis, the study utilises time-series data from 2007 to 2021 to delve into the complex interplay of these variables. The methodology involves a comprehensive analysis using the Augmented Dickey-Fuller and Phillips-Perron tests to assess the stationarity of the data. This approach ensures the robustness of the ECM, which is employed to analyse the short-term and long-term effects of the identified variables on electrical equipment imports in Indonesia. The results reveal significant relationships between these economic factors and import levels. In the short term, imports are shown to be sensitive to changes in domestic economic conditions and international market prices, while in the long term, the country’s economic growth, reflected through GDP, emerges as a significant determinant. The findings suggest that Indonesia’s electrical equipment import policies must adapt highly to domestic and international economic changes. In the short term, a responsive approach is required to manage the immediate impacts of market fluctuations. The study highlights the importance of aligning import strategies with broader economic growth and environmental sustainability goals for long-term sustainability. Policymakers are advised to focus on enhancing domestic production capabilities, reducing import dependency, and ensuring that environmental considerations are integral to import policies. This study contributes to understanding import dynamics in a developing country context, offering valuable insights for policymakers and industry stakeholders in shaping strategies for economic growth and sustainability in the electrical equipment sector. The findings underscore the need for a balanced, data-driven approach to managing imports, aligning short-term responses with long-term strategic objectives for Indonesia’s ongoing development and industrial advancement.

Assessment and evolution of socio-environmental management of soybean farms participating in the Agro Plus program in Minas Gerais State, Brazil

The Agro Plus program supports rural producers to comply with legislation and be prepared to meet demands of the international soybean market. This paper sought to analyze the current sustainability conditions of soybean farms in Minas Gerais based on the program checklist. The assessment of property improvements was carried out using data from 70 farms evaluated twice between 2016 and 2020 by the Agro Plus. The correlation between the soybean area cultivated in the season 2021 (ha) and the score for each of the 19 themes assessed by program (in %) was calculated and the t test was applied to verify the significance of the correlations. The program has a positive impact on soybean farms in Minas Gerais and contributes significantly to the management of properties in terms of compliance with current legislation. It enabled improvements in all the topics evaluated, with emphasis on those that were most critical before the farm joined Agro Plus. However, some themes are not suitable for most farms. Risk management at work, employee training, waste management and empty packaging storage and PPE laundry facilities have the lowest averages. Focusing on their indicators on second visits, distributing specific teaching materials and organizing courses on the subject seem interesting alternatives for Agro Plus to promote greater development on farms. There are significant correlations between the size of properties and socio-environmental issues, mainly related to labor issues and waste management on the property.