Business and Economics Research Journal

749-760

Authors: Mehmet Cinar, Ndzembanteh Aboubakary Nulambeh

This paper examines the impact of foreign direct investment and trade openness on economic growth for 34 Sub-Saharan African countries. The methodology involves estimating the augmented endogenous growth model using panel data that runs from 2006 to 2015. The coefficients of the estimated REM model are statistically significant with all the signs compatible as expected. Our findings show that all the variables are significant in explaining SSA growth. Specifically, foreign direct investment and trade openness positively impact growth except inflation with a negative effect on growth. This study will assist the policymakers to increase effort towards the creation of favorable business climate that attract more foreign direct investment to SSA and enhance long-term growth.

773-785

Authors: Abdullah Acik, Sadık Ozlen Baser

The aim of this study is to determine the causality between oil production and freight rates in the seaborne oil transportation in the world. The causality with oil prices has been studied more in the literature, but the studies that examine the causality with oil production have been limited. However, the effect of the crude oil production amount on the market is also great. The methods that can detect delayed causality have been utilized unlike the existing literature. While the Baltic Dirty Tanker Index (BDTI) and Baltic Clean Tanker Index (BCTI) variables are used as the measurement for the tanker freight rates, the Bloomberg oil production index variable is used as the production measurement. The data set used in the study consists of 239 monthly observations covering between August 1998 and June 2018. Standard causality analysis developed by Granger (1969) is used for linear causality, and nonparametric tests developed by Hiemstra and Jones (1996) and Diks and Panchenko (2006) are used for nonlinear causality analysis. While linear causality cannot be spotted in the obtained results, nonlinear causality is determined. As a result of the four lagged nonlinear causality analyzes made, the causality is found from the second to the fourth lag for BDTI and from the first to the fourth lag for BCTI. According to these results, while the effect of changes in production is directly reflected in the product tanker market, it is reflected on the dirty tanker market with a delay. It is hoped that these results may be beneficial to developing business strategies and reducing risks for shipowners and charterers in the tanker market.

799-810

Authors: F. Ozlem Alper

It is quite important to determine the factors, as well as their impacts, that cause inflation which is defined as the continuous increase in the general level of prices regarding countries. There is a serious dispute over the determinants of inflation in the literature. Traditional models assert that inflation is a monetary phenomenon and that an independent central bank would provide price stability. Nonetheless, the supporters of the price level’s fiscal theory emphasize that the changes in the general level of prices are caused by the implementation of fiscal policy which is also important for ensuring price stability. In this study, the relationship among budget deficit, money supply, and inflation in Turkey is examined using the Bayer-Hanck Cointegration approach over the period 1971-2016. The analysis results indicate the existence of a long-term relationship between the variables. A 1% increase in both the money supply and the budget deficit would increase inflation by 0.82% and 0.64%, respectively.

825-838

Authors: Nurullah Umarusman

Instead of optimizing a given system, De Novo Programming is a method based on Linear Programming and designs an optimal system in terms of budget constraints. The reorganized resource amounts are utilized at full capacity with De Novo design, which increases the fulfilment levels of goal functions. While classical optimization problems are modelled with precise data, more flexible results are acquired by defining parameters using fuzzy set theory. Flexibility in resource amounts enables especially medium term production planning. As the flexibility in resource amounts reverberates the budget, it is necessary to define the resource amounts to be used at full capacity. With a proposal of a new approach, this study investigates how the optimal production plan of a real business should be carried out based on Fuzzy Multiobjective Linear Programming. The most distinctive feature of the proposed method is that it does not use the concepts of positive and negative ideal solutions; instead, it utilizes the target function values acquired in regards to the upper and lower limits of the budget.

855-870

Authors: Ozge Demiral

Addressing the lack of cross-national and multidimensional research in the relevant literature, this paper examines the relationships between two sources and various predictors of work-family conflict of employees by utilizing a three-year discreet dataset of 23 European countries and Turkey. Stress sources of work-family conflict are proxied by number and inflexibility of working hours whereas their predictors are represented by career advancement opportunity, business internationalization, paid parental leave scheme, governmental family support, and prevalence of employees’ technology use. Additionally, cultural origins of social support are also controlled using both value and regional clusters of national cultures. Results from fixed-effect model estimation reveal that average annual hours worked per employee are negatively related to career advancement opportunity and technology adoption whereas business internationalization and paid parental leave opportunities cause longer working hours. Inflexible working is negatively associated with all variables except for the insignificant impact of technology adoption. The culture was found mattering for work-family conflict but explaining the variations in working hours and inflexible scheduling differently. The study concludes with suggestions for future research and implications based on findings and limitations.

889-900

Authors: Cagla P. Bozoklu

Following the anti-globalization movement, an ideology, which reflects a climate of defiance toward businesses, has spread out to the societies. Thereby, corporates have begun to engage in socially responsible behaviors not only to meet stakeholder expectations, but also to achieve their goal-oriented considerations. This research aims to analyze effects of corporates’ social and environmental responsibility activities on the purchase intentions of stakeholders by integrating the perspectives of obligations. Corporate Reputation Scale was conducted to most important stakeholder groups (customers, employees, rival corporates’ employees and public) by using purposive and random sampling methods. For the reliability measurement, a pre-test was conducted on 112 participants and during the research 680 questionnaires were gathered. Results reveal that the reflections of CSR image can differ according to the market. In the banking market, both making efforts for creating new jobs (economic obligation), taking responsibility on environmental issues (social obligation) and reducing its profits to ensure a clean environment (ethical obligation) are valuable. In the air transportation market social and economic obligations are perceived as significant by stakeholders whereas in the communication market social and ethical obligations are perceived as significant.

911-922

Authors: Cigdem Baskici, Yavuz Ercil

In our study, the networking mechanisms that the Turkish companies use for internationalization is aimed to reveal. For this purpose, a quantitative research has been carried out on small and medium sized companies that have export certificates from Ankara between 01.01.2018-30.03.2018. Findings from 90 companies operating in various sectors reveal that firms mainly benefit from 3 types of networking mechanisms in internationalization. The vast majority of companies (52.2%) use the networks that they strategically formed. This can be interpreted that companies can form network for internationalization actively. The other two widespread networking mechanisms are using social relationships with current acquaintance (23.3%) and business relationships with existing customers/suppliers (13.3%). A little tendency of using networks that could be created with the support of public institutions is determined among the companies. Nevertheless, companies do not use the possible contributions of umbrella organizations in forming networks for internationalization. Although public institutions and umbrella organizations intensively pursue their support for exporting, such a situation can be seen as a result of the fact that companies do not have sufficient knowledge of the support provided. The findings make it possible for companies as the decision makers, and public institutions and professional organizations as policy makers to develop various suggestions.

945-960

Authors: Bulent Ozsacmaci

stract This paper aims to investigate the link between green brand awareness and consumer purchasing intentions in green marketing activities. This is a quantitative based descriptive study in relational model. The gathered data explored the mediating effect of the variables using the partial least squares (PLS) approach for the analysis of structural equation model. A field study was conducted on 387 individuals living in Ankara by using a survey technique. The outcomes of the literature reviews and hypothesis analyzes indicate that consumers’ purchasing behavior is affected by the green awareness of brands and green marketing activities. Also, the results acquired with the PLS method stated that green marketing activities in the retail market products mediates the link between the green brand awareness and the consumer purchasing intention. Besides, consumer’s education level and income situation, partially mediates the relationship between green brand awareness and consumer buying intention. It should be noted that there are many sub-elements which may lead to the change of terms in these relations. Such as, consumer’s brand awareness level and the interest about the benefits and features of the green brand concept are the important indicators. The demographic and psychographic characteristics of the consumers have also contributed to the research in understanding these relationships.

979-993

Authors: Ufuk Selen, Ebru Karas

Welfare Economics in normative economics emphasizes the preference of alternative situations by the society. The social welfare constitutes the main point of welfare economics. In this context, the main purpose of welfare economics, which puts forth what should be, is to provide social welfare at the highest level. It is considered that social welfare will rise to the highest level by providing a society-acceptable balance between efficiency and justice in resource allocation. Although there are many determining factors of social welfare, one of the most important is taxation. Because taxation affects the individual’s socio-economic quality of life through effect of income, substitution, and decision-making, while directly determining the budgetary means of the individual. The purpose of the study in this direction is determined the effect of income tax applied in Turkey on level of social welfare starting from relation between social welfare and taxation. Within the scope of this purpose, evaluations in terms of the effects of Turkish income tax applications on efficiency and justice in resource allocation have been made.