Trading Environment Research Articles

Research on Bilingual Teaching Optimization and Innovation of International Business Negotiation Based on OBE

As China’s influence in the international market grows and the global economic and trade environment becomes increasingly severe, it is urgent to cultivate-level and versatile international business negotiation talents. This paper, based on the OBE (Outcome-Based Education) concept, points out the problems in the bilingual teaching of international business negotiation, such as students’ lack of initiative in learning, the lack of suitable bilingual teaching materials, the disconnection between theory and practice bilingual teaching of international business negotiation, and oversimplified evaluation systems. It also proposes solutions such as bringing front-line personnel into the classroom, the CPBL + ESP model, and the PIP teaching evaluation model, to meet the current market employment needs.

Data-driven Strategies for Reducing Shipper Fallout in Changing Trade Environments

Global trade environments are complex and constantly changing, creating significant challenges for the actual shippers and leading to what has been called “shipper fallout”, which means that the shippers experience disruptions, inefficiencies or fail to meet what is required in trading. This review paper discusses data-driven approaches as the way to solve the problem of shippers’ churn, stressing on flexibility of such solution in the conditions of shifts in trade environments. Thus, by adopting big data analytics to analyze historical data, and developing optimized predictive models, as well as monitoring executive systems, Christopher, M., & Peck, H. (2004) companies can increase the effectiveness of their decisions, supply chain robustness, and lower the likelihood of fallout. This paper also measures the primary obstacles, that are the data integration, data security and the legal demands, as well as future works on this subject.

Impact of Innovation and Trade Participation on Economic Growth Among Selected African Countries

This study examines the impact of innovation and trade participation on economic growth among selected African countries from 1996 to 2021. This study applied nonstationary heterogeneous panel models utilizing pooled mean group estimators, mean group estimators and dynamic fixed effects estimators. Based on the results of the Hausman test, the PMG estimator was considered for the data analysis. The study revealed the significant role of industrial design, patents, trademarks, research and development, exports, and balanced trade policies in driving long-term economic growth in Africa. The synergies between innovation and trade participation are studied, emphasizing their amplified impact on economic growth. The study suggests practical policy recommendations for the selected African countries, urging governments to establish innovation ecosystems, encourage investments in design, strengthen intellectual property protection, prioritize infrastructure development, and develop balanced trade policies. Focusing on SMEs, offering incentives for research and development, and establishing trade promotion agencies are also recommended to create a conducive environment for innovation, trade, and sustained economic growth.

The Role of Ethics in Business Decision Making: A Study of Moral Philosophy in the Context of Economic Globalization

This study explores the critical role of ethics in business decision-making within the framework of moral philosophy, focusing on the challenges posed by economic globalization. Employing a qualitative approach through literature review and library research, the article delves into the integration of ethical considerations in corporate strategies to address the multifaceted dilemmas that arise in a globalized economy. The research highlights how moral philosophy provides a foundational framework for evaluating business practices, ensuring alignment with universal ethical principles while accommodating cultural diversity. Key themes include the impact of utilitarianism, deontology, and virtue ethics in shaping corporate policies, particularly in navigating complex global trade environments and stakeholder expectations. Findings suggest that ethical decision-making fosters trust, promotes long-term sustainability, and mitigates risks associated with unethical practices, such as reputational damage and legal penalties. The study underscores the importance of embedding ethical frameworks into corporate governance structures to address evolving challenges like labor exploitation, environmental degradation, and socio-economic inequality. Additionally, it emphasizes the role of ethical leadership in cultivating organizational cultures that prioritize integrity and accountability. The article concludes by advocating for interdisciplinary approaches combining ethics, economics, and sociology to refine decision-making frameworks suited to a globalized world. By integrating theoretical insights and practical implications, this study contributes to advancing the discourse on ethics in international business practices.

Social trading platforms vs. mutual funds: herding tendencies and portfolio risks

This paper compares herding behavior between mutual funds and social trading platforms, where retail investors manage others' money, and examines its implications for risk co-movements. Utilizing unique social trading data alongside mutual fund data, we find that social trading portfolio managers exhibit less herding than mutual fund managers according to a transaction-based herding measure. However, a market-based herding measure reveals no significant difference in herding behavior, highlighting a limitation in the robustness of the transaction-based approach. We discuss factors influencing herding behavior in the social trading environment, suggesting higher overconfidence in social trading as a key factor. From an investor perspective, herding behavior can align portfolios, increasing the likelihood of common crisis events. Although we do not find a statistically significant relationship between the degree of herding and the likelihood of joint crisis events, our findings indicate that social trading portfolios have a 5.63 percentage point lower likelihood of joint crisis events compared to mutual funds.

Multi-Agent Reinforcement Learning for High-Frequency Trading Strategy Optimization

This study presents a novel multi-agent reinforcement learning (MARL) framework for optimizing high-frequency trading strategies. The proposed approach leverages the StarCraft Multi-Agent Challenge (SMAC) environment, adapted for financial markets, to simulate complex trading scenarios. We implement a Value Decomposition Network (VDN) architecture combined with the Multi-Agent Proximal Policy Optimization (MAPPO) algorithm to coordinate multiple trading agents. The framework is evaluated using high-frequency limit order book data from the FI-2010 dataset, augmented with derived features to capture market microstructure dynamics. Experimental results demonstrate that our MARL-based strategy significantly outperforms traditional algorithmic trading approaches and single-agent reinforcement learning models. The strategy achieves a Sharpe ratio of 2.87 and a maximum drawdown of 12.3%, showcasing superior risk-adjusted returns and robust risk management. Comparative analysis reveals a 9.8% improvement in annualized returns over a single-agent Deep Q-Network approach. Furthermore, the implementation of our strategy shows a positive impact on market quality metrics, including a 2.3% decrease in effective spread and a 15% reduction in price impact. These findings suggest that the proposed MARL framework not only enhances trading performance but also contributes to market stability and efficiency in high-frequency trading environments.

Limitations of and proposals for L/C application of optional on-board B/L under the IncotermsⓇ2020 FCA rules

PurposeThis study examines the limitations of the practical application of letter of credit transactions requiring an on-board bill of lading under the FCA and presents opinions on the practical use of FCA-ruled bills of lading for letter of credit transactions.Design/methodology/approachIt is very significant that the IncotermsⓇ2020 FCA rules have added new content regarding the optional description of the on-board bill of lading. However, even if the seller has received the on-board bill of lading, there is a limitation in that the bank may not judge the presented documents as a consistent presentation for payment. Identifying these limitations and suggesting solutions are very important for future international commerce transactions. This study is conducted in the following order. First, we review the UCP regulations that banks apply to confirm the consistency of transportation documents in letter of credit transactions. Second, we confirm the limitations in applying the selective description of the on-board bill of lading newly established in the FCA rules proposed by the ICC to letter of credit transactions. Lastly, necessary opinions are presented on how the buying and selling parties can properly utilize the Incoterms in letter of credit transactions.FindingsThe establishment of the ICC’s Incoterms 2020 FCA rule’s on-board bill of lading option regulation is intended to resolve merchants’ inconvenience caused by the document screening standards of banks that ignore changes in the trade environment such as the emergence of containers and maintain traditional ship trading practices. It can be interpreted. However, there are still problems with the presentation of on-board bills of lading under FCA rules, and there are also problems with practices between merchants and banks. Existing prior research is limited to dealing with the problems of using FOB rules in container transportation and the limitations of the onboard bill of lading option provisions of FCA rules. The Fourth Industrial Revolution has also affected trade, ushering in the digital era. Trade platforms developed with new technologies are either under development or being prepared for commercialization.Originality/valueThis study reaffirmed the main implications covered in previous studies and proposed the use of multimodal transport documents rather than bills of lading as an alternative to problems that may arise in letter of credit transactions that require on-board bills of lading under FCA rules. Above all, it presented opinions on changes in banks’ practices that require on-board bills of lading in letter of credit transactions, which are inconsistent with the mainstream container-based intermodal transportation.

AI-Powered Autonomous Trading: Enhancing Market Efficiency Through Predictive Analytics

Abstract: In the realm of financial markets, AI-powered autonomous trading systems are revolutionizing the way trades are executed and decisions are made. This paper presents a formal approach to developing an AI-powered trading system aimed at enhancing market efficiency through predictive analytics. The proposed system integrates machine learning algorithms, including deep learning and reinforcement learning, to analyze vast amounts of historical and real-time market data. Emphasis is placed on improving decision-making speed, accuracy, and risk management through techniques such as algorithmic trading, automated portfolio management, and sentiment analysis. The result is a robust, efficient, and scalable trading system that outperforms traditional models in terms of profitability, adaptability, and computational efficiency in high-frequency trading environments

TPAAS: Trustworthy privacy-preserving anonymous authentication scheme for online trading environment.

In recent years with the improvement of information communication technology (ICT) and wireless communication, Online Trading Environment (OTE) has become a popular E-commerce platform to connect sellers and buyers in an efficient way. As, OTE's are increasing in a wider range, the authentication and verification of entities in OTE network becomes a challenging task. Although, some authentication schemes exist in OTE's, they have flaws such as account creation delays, authentication delays, communication cost and user privacy. In this work, a trustworthy and secure anonymous authentication scheme is proposed to prevent malicious users to enter into the OTE network. In addition, our proposed scheme provides conditional privacy to users until they maintain a genuine relationship with other entities without compromising. If any dispute occurs, then the system will revoke the access of that particular entity. Moreover, the security and performance analysis in this work concludes that our scheme ensures a secure interface to provide sustainable trading experience to users by taking less computation cost and communication delay when compared to other existing authentication schemes.

General Exceptions in the Digital Trade Environment: Challenges and Reforms under Article 20 of GATT and Article 14 of GATS

With the rapid development trend of digital trade today, this article introduces the legal interpretation of Article 20 of GATT and Article 14 of GATS. Firstly, it explains the application standards of this provision in the WTO. Secondly, it combines existing judgments and digital trade laws issued by international organizations to explain the current situation and shortcomings of the application of digital trade in the provision. The article also discusses how digital trade dynamics such as data flow, privacy concerns, and cross-border service delivery complicate the application of these established trade rules. Finally, the article proposes a series of recommendations aimed at refining the interpretation and development of trade laws to better accommodate the unique demands of the digital economy. These suggestions include the need for clearer definitions of key terms within the GATT articles, the establishment of a more robust framework for digital trade within the WTO, and the promotion of international cooperation to create harmonized standards that facilitate digital trade while protecting consumer and national interests. Through these measures, the article advocates for a more adaptive and forward-looking approach by the WTO to ensure that global trade regulations keep pace with technological advancements and market transformations.

Socially responsible investment and fund performance: The moderating roles of mutual funds' operating environments

Mutual fund managers are increasingly inclined to demonstrate their social responsibility (SR) by adopting SR standards and integrating SR funds into investment portfolios. However, a debated question is whether the net effect of SR integration on fund performance is positive. This study proposes an inverted U-shaped relationship between SR integration and fund performance based on the trade-off between the benefits and costs associated with SR integration from the perspectives of legitimacy theory and transaction cost economics. We further hypothesise that this relationship is moderated by mutual funds' trading and regulatory environments. Our results from a sample of 1145 Chinese mutual funds support that fund performance improves with SR integration at low SR integration intensities but deteriorates as the integration increases from a medium level to a high level. Moreover, this inverted U-shaped relationship is weakened by market uncertainty but strengthened by the implementation of government-mandated SR disclosure. Our study provides practical guidance for investors, fund managers, and policymakers in striking a balance between financial performance and social responsibility.

투자심리와 주식 유동성 간의 관계

This paper empirically investigates the relation of investors' sentiment and stock liquidity. Particularly, this research explores whether investors' sentiment is related to stock liquidity and whether the level of individual trading and information environment in each firm affects the relation. Three hypotheses were drawn and tested. To test the hypotheses, stock prices and relevant data of firms listed on Korea Exchange(KRX) were put together, and the hypotheses were studied by panel and Fama-MacBeth regressions. This research discovers that investor sentiment has positive effects on stock liquidity. Further, this study finds that the level of individual trading and the level of information environment increases the positive relation between investors' sentiment and stock liquidity. This work finds individual trading and information has a certain role in the relationship between investors sentiment and stock liquidity. The findings suggest that increased investor sentiment may cause noise trading to increase. In addition, firms with more uninformed trading may have a more liquid stock market.

Impact of the digital trade on lowering carbon emissions in 46 countries

Digital trade, as one of the vanguards of the global technological revolution and industrial transformation, empowers low-carbon economic cooperation on a global scale. This study based on panel data from 2007 to 2021 of 46 countries with varied development levels, constructed a multi-dimensional indicator system from six aspects: trade potential, digital infrastructure, digital innovation, digital skills and security, scale of digital trade, and digital trade environment, aim to measure the development level of digital trade and explore its impact on carbon emissions, followed by a heterogeneity analysis. The research results indicate that there are significant differences in the development levels of digital trade among countries with different economic strengths. Countries with stronger economic power and larger trade scales have a higher level of digital trade development, while less developed regions lag in digital trade. As the level of digital trade development increases, the impact of digital trade on carbon emissions will also change. Overall, digital trade exhibits a pronounced low-carbon effect, while its impact varies among countries with different development levels.

Trademarks in the Digital Age: The Current Challenges and Legal Protections

Abstract: In today's highly dynamic and rapidly evolving digital society, trade marks are experiencing profound transformations, presenting unique opportunities for trade mark owners to reach a broader and more diverse audience, thereby significantly enhancing brand visibility and recognition. However, these advancements also bring forth potential challenges, particularly directly related to trade mark rights infringement. Consequently, this dissertation delves deeply into the typical and recurrent conflicts that inevitably arise in relation to trade marks within the digital sphere by assessing the dilemma of existing representative cases, concluding that the central disputes existed. Additionally, it undertakes an in-depth exploration of the existing legal frameworks that govern this domain. Finally, this emphasizes the need for stronger international regulation of trademark rights across digital platforms. It is important to have the support of all parties involved in commercial actions to maintain a harmonious trading environment in the digital world while respecting the rights of trademark owners and maximizing profits from this flexible context.

Can Trade Policy Uncertainty Drive Green Innovation? Empirical Evidence From the US–China Trade War

ABSTRACTChina's rapid economic growth in recent years has coincided with heightened environmental regulations and an upsurge in greenhouse gas emissions, necessitating a greater emphasis on green innovation to mitigate environmental risks. Concurrently, the US–China trade war has elevated trade policy uncertainty (TPU). This study uses the TPU surge from the trade war as a quasi‐natural experiment, employing text analysis of annual reports to assess firms' TPU perceptions. Using a difference‐in‐differences method, we find that increased TPU significantly hinders green innovation. Firms' responses vary with environmental advantages, regulation levels, and government subsidies. Mechanisms include reduced environmental investment, decreased executive attention to environmental issues, and corporate social responsibility. These findings underscore the importance of a stable trading environment for promoting green innovation.

Quantum-Inspired AI for Optimized High-Frequency Trading

This article explores the transformative role of quantum-inspired AI in optimizing financial practices, particularly within high-frequency trading (HFT) in the financial sector. As HFT operates in an environment of rapid transactions and significant market volatility, the need for advanced optimization techniques becomes paramount. Quantum-inspired algorithms leverage principles from quantum mechanics, such as superposition and tunneling, to enhance various aspects of trading strategies. These algorithms enable rapid optimization of asset allocation, real-time trade execution, and proactive fraud detection, effectively addressing the challenges posed by traditional financial models. By facilitating simultaneous evaluation of multiple strategies and enabling real-time analysis of complex trading patterns, quantum-inspired AI significantly improves decision-making speed and accuracy. The financial implications of this advancement are profound, leading to higher profitability, improved market integrity, and enhanced trust among market participants. Ultimately, integrating quantum-inspired AI in finance represents a crucial step towards harnessing cutting-edge technology to reshape trading dynamics, paving the way for innovative strategies that can adapt to the evolving landscape of financial markets. This study underscores the potential of quantum-inspired AI to redefine operational efficiency in finance, ensuring competitiveness in an increasingly complex trading environment.

Examining trade strategies in Europe and Ukraine: Navigating challenges and building economic strength

Today, the global community operates within an integrated global economic system. Against the backdrop of globalised integration of the socio-economic sphere, international trade is positioned as a significant factor in the intensification of economic development. In this context, trade strategies can create new opportunities or risks for the national economy. This article aims to conduct a comparative analysis of the trade strategies of the European Union (EU) and Ukraine in the context of potential advantages and related challenges for economic resilience. The study finds that international trade helps to mitigate the limitations of national resource potential and the narrowness of the domestic market, intensifies the potential for innovative industrialisation, and accelerates economic growth. The specifics of forming the modern concept of international trade development in the context of the European community and Ukraine are identified. The main principles of modern trade strategies are considered, their strengths and weaknesses are analysed, and directions for improvement are highlighted. The impact of trade strategies on the level of economic resilience is examined. It is substantiated that a high level of competition in the global market requires the adaptability of producers’ trade strategies and the formation of appropriate structures to coordinate the functioning of the external economic relations infrastructure complex. The main success factors of a trading strategy when entering new markets are highlighted, including preliminary research of local legislation requirements and market dynamics, the development of adaptive marketing strategies, and effective management of customs processes. Active participation in the international trade environment has proven to open additional opportunities for realising economic potential. At the same time, it is necessary to specify the development strategy to ensure long-term competitive advantages.

A study of electricity sales offer strategies applicable to the participation of multi-energy generators in short- and medium-term markets

Due to the increasing proportion of renewable energy, a multi-layered and multi-timescale energy market has emerged in many countries such as China. In the meanwhile, power generation companies must develop more intelligent and dynamic offer strategies to adapt to today's intricate energy trading. Because of the difficulty in describing the dynamic trading environment caused by the uncertainty of renewable energy, previous studies have not fully explored the offer strategy especially in both short-term and medium-term electricity markets. In response to this challenge, this research introduces a novel biding strategy framework leveraging a Asynchronous Advantage Actor-Critic (A3C) algorithm, which can effectively address the decision making in dynamic and uncertain energy markets. The framework focuses on intra-monthly transaction clearing mechanisms with the aim of optimally enhancing earnings. The research formulates an offer model both for thermal and renewable power generation enterprises, which is applicable to medium-term monthly and intra-monthly trading. The study then validates this framework through three distinct analyses: the returns of various bid methods under standard scenarios, the offer strategies return of power generation companies with diverse cost profiles, and the impact of varying renewable energy proportions. The multi-angle simulations confirm that the model presented in this paper offers a scientific basis for the development of offer strategies for power generation companies and enable power generating firms to effectively adopt to the current power market.

Russia-China relationship in the context of the war in Ukraine: Bonding Over Shared Ideology or Western Sanctions

In the face of the Russia-Ukraine war, Russia’s trade and economic potentials have been limited and restricted mostly due to the imposition of sanctions. Consequently, a bond between Russia and China has developed, putting aside their former disagreements and disputes. This goes together with the fact that both countries face a shared adversary from the US and the West, which has worked in pulling them closer to each other. Amidst the dynamic environment of worldwide trade, the economic collaboration and strategic alignment between China and Russia stand out as a crucial axis. This article investigates the interdependency and asymmetries of their bilateral partnership and how they have shaped their global trade relation. Furthermore, it also analyzes the historical background of Sino-Russian connections, emphasizing significant milestones and policy changes that have influenced their present economic interconnection. It analyses the problem areas of their relation and whether this bonding will withstand future changes in the global order.

Analyzing Common Trade Risks Faced by Tanzanian Traders in International Transactions: A Case Study of Dar es Salaam Importers and Exporters

International trade is fraught with inherent risks that can significantly impact the efficiency and success of cross-border transactions. Tanzanian importers and exporters, particularly those navigating the complexities of the Dar es Salaam port, face challenges such as shipment delays, vague contract terms, and financial disputes. This study delves into how the strategic application of International Commercial Terms (Incoterms) serves as a powerful risk management tool, offering clarity and structure to international trade agreements. Utilizing a descriptive research design, we surveyed 96 traders and conducted in-depth interviews to capture their experiences with trade risks and their understanding of Incoterms. The findings reveal a widespread gap in formal training on Incoterms, leading to frequent logistical issues and contractual ambiguities that could otherwise be mitigated. This research highlights the urgent need for targeted educational programs to enhance traders’ knowledge of Incoterms and improve the overall efficiency of Tanzania’s trade environment. By embracing these standardized terms, Tanzanian traders can transform risks into opportunities, positioning themselves as key players in the global trade ecosystem. The study concludes with actionable strategies for improving Incoterm adoption and presents a roadmap for strengthening Tanzania’s competitive edge in international commerce.