International Journal of Academic Research in Accounting, Finance and Management Sciences

14-32

Authors: Afshin Najafgholi DOUST, Asgar PAKMARAM

The establishment of appropriate corporate governance mechanisms is a basic measure for the efficient use of resources, improvement of accountability, transparency, observance of fairness and the rights of all stakeholders of the company. Each of the intra and inter organizational mechanisms monitor the processes and activities of the company and improve the accountability to achieve the other strategic objectives of the company. One of these mechanisms is the institutional investors and state ownership. The purpose of this study was to evaluate the effect of governmental ownership on the investment decisions of managers in companies listed in Tehran Stock Exchange. In this study, three aspects of managers’ investment decisions including investment policy, dividend policy and financing policy are used. This study in terms of purpose is applied and in terms of methodology is causal and correlational and finally in terms of tense is ex post facto. Target population of the study includes companies listed in Tehran Stock Exchange. By using systematic elimination sampling, 102 companies during 7 years, i.e. 714 firm-years, are included in the statistical population of the study. The study period is from 2008 to 2014. To test the hypotheses, the linear regression model and ordinary least squares method were used. The results show that state ownership has a significant effect on the investment decisions of managers in all dimensions except investment policy so that it has a significant negative impact on managers’ financing policy and in contrast the state ownership has a significant positive impact on dividend policy. Other findings showed that the company's size has a significant positive impact on managers’ decision about dividend policy and financing. Return on assets has a significant positive impact on dividend policy and in contrast the rate of return on assets has a significant positive impact on financing policy. However, no significant impact was observed in the control variables of company’s size and return on assets on the investment decisions of managers. The operating cash flow has a significant positive impact on the investment decisions of managers and has also a significant positive impact on managers’ financing policy but no significant effect was observed on managers’ financing policy.

42-49

Authors: Musibau Akintunde AJAGBE, Olatunji FADEYI, Abimbola ADEGBUYI, Adunola Oluremi OKE, David T. ISIAVWE

This main purpose of this study is to investigate the role of entrepreneurship in building a future for Nigeria. This study examines existing literatures on the model of entrepreneurial action that takes its point of departure in entrepreneurs’ experiences of risk-taking, opportunity identification and the role of self. By focusing on what entrepreneurs experience as relevant aspects of their life worlds, the goal is to attain a better understanding of the drivers and motivations of venture creation and development. The study adopts a descriptive survey, that is, questionnaire based technique to sample opinion and derive answers to the problem identified in the literature review section. The data employed for the study was primary data and secondary data. The primary data were responses gathered from employees through the administration of questionnaires while the secondary data includes the information gathered from journals, textbooks, articles and internet sources. Business owners (i.e. both small and medium enterprises) currently operating within Lagos metropolis were randomly selected to participate in the study. The research instruments used for this study were standardized questionnaire derived from journals that are related to the topic of study and they were formulated based on the variables available in the research topic. The data collected were analyzed using percentages, graphical representations, and pie charts. The findings from this study revealed that there is significant relationship between entrepreneurship development and unemployment reduction in Nigeria. In addition, there is a significant relationship between commercial banks giving preferential treatment to small and medium sized firm’s proprietorship.

58-65

Authors: Andreea-Gabriela BALTAC

t This article highlights the financial analysis of the evolution of a company through the key indicators involved. For this we watched a firm financial evolution of Romania and its main financial over 11 years. The study investigated virtually throughout the entity was based on an analysis of the financial indicators in the period 2004-2014 in Transgaz S.A. The objectives of this analysis are to determine the main financial indicators that lead to obtaining high economic performance. I used this method to analyze data when investigating entity because we wanted to emphasize financial evolution in full economic and financial crisis (2008), the methods for recovery post-crisis analysis of the company's evolution and its future prospects.

71-76

Authors: Ligia PRODAN

The interest of this article is the research of the final consumption in Romania, during 1990-2014. The article analyzes the final consumption correlated with the evolution of households and government consumption. To study the correlation between the three variables, the article suggests using multifactor model to explain the variation in final consumption based on the simultaneous influence of the two indicators mentioned above. In this model the final consumption is considered as a resultative variable and the households and government consumption as factorial variables. Data on a yearly frequency was used covering the period 1990-2014 and to ensure comparability of data we have it deflated, taking as a basis 1990.

83-90

Authors: Maryam Golkhatmi BIDGOLI, Aghdas SAADATI, Amin ASGHARI, Masoomeh SAADATI, Alireza GHODSI, Azam Golkhatmi BIDGOLI

This study, in addition to identifying the different dimensions of organizational justice and discovering the relationship between these dimensions and organizational commitment and staff’s job satisfaction, is closely related to the strength and weakness of justice components. In this descriptive-analytical study, all personnel of Medical Science School of Neyshabur and all its subordinate hospital have been participated consisting 263 subjects. The statistical sample has been gathered in span of two months from June 2014. Questionnaires based on demographic information, Rego and Cunha’s organizational justice, Allen and Meyer’s organizational commitment have been used to gather and deduce data. Finally, data have been analyzed by the advance SPSS software. The outcomes of this analysis reveal that there is a close and significant relationship between organizational justice and organizational commitment; hence, it is suggested that managers to establish organizational justice should encourage employees based on certain criteria of performance management through meritocracy, respecting individuals rights, avoiding discrimination, providing equal opportunities for staff development to create more intimacy and friendship atmosphere and reciprocal respect and relationship between staffs and managers.

100-107

Authors: Bashar Abu KHALAF, Hadeel YASEEN, Ghassan OMET

The primary aim of this paper is to measure competitiveness in the Jordanian banking sector. In addition, this paper examines the competitive dynamics in this sector. Based on panel data analysis and the time period 2000-2014, the estimation results indicate that Jordanian banks operate under monopolistic conditions and this has not changed during the period of the study. Naturally, the findings of this paper have a number of implications. This is based on the literature which argues that bank competition influences, for example, real economic growth, manufacturing productivity growth, and the lending channel of banks.

116-132

Authors: E.O. Marfo, L. Chen, H. Xuhua, H.A. Antwi, E. Yiranbon

This study analyzes the relationship between corporate social responsibility (CSR) and company’s profitability (CP) in Ghana with the utilization of mixed data, obtained from sixteen (16) firms' audited annual report and financial statements between "2005-2014", filed with the Ghana stock Exchange (GSE) and Register General of companies. We use lagged data from the Ghana Investment Promotion Centre(GIPC) to establish the relationship between CP and CSR. In addition 850 questionnaires were administered to the public for CSR level of awareness data. The data collected are being analyzed by the use of Ordinary Least Square (OLS) for the study. Results from the analysis demonstrated that the selected companies have contributed below ten percent of their yearly profit to support social responsibility programmes. The co-efficient of determination of the findings demonstrates the extracts that the logical variable account for changes or varieties in chosen companies’ profits after tax (PAT) are brought about by changes in corporate social responsibility (CSR) in Ghana. It is then prescribes that regulations and laws to commit companies’ to be apparent, satisfactory consideration ought to be given to social accounting regarding social cost and to agree to the establishment of corporate social responsibility.

139-148

Authors: Letitia-Maria ROF, Sorinel CAPUSNEANU

This article highlights the increasing performances as result of implementation stages of the ActivityBased Costing in the companies operating in the energy sector in Romania. There are presented some aspects of the usefulness of applying the Activity-Based Costing in the energy sector and the advantages it offers compared to traditional costing. There are also outlined the steps for applying the Activity-Based Costing and its implementation in the largest hydropower producer in Romania. The article concludes with the implementation results of Activity-Based Costing and the authors’ conclusions on the usefulness of its application for increasing performances within specific energy companies.

158-166

Authors: Saira AJAZ, Babak MEHMOOD

Banking sector in Pakistan has progressed and reached its boom phase but the sector is facing the challenges of turnover. No doubt, several studies are devoted to identify an employee’s intent-to-quit in the banking sector of Pakistan, but most of them have ignored the role of female employees. That’s why the primary objective of the current study is to identify the quit intentions of female bankers in banking sector of Pakistan. Intent to quit (ITQ) has been tested empirically for its association with four dimensions of job satisfaction which are satisfaction with compensation, supervisor’s behavior, co-workers’ behavior and working conditions. Data is collected from the female employees of six commercial banks of Faisalabad, Pakistan by using a structured questionnaire which is adoptive in nature. A total of 230 questionnaire were distributed out of which 200 returned, representing response rate of 87%. The overall model found to be significant and 10% variation in study variable is explained by the predictors. The results of regression & correlation analysis showed that intent-to-quit is negatively and significantly associated with compensation, supervisor’s behavior and co-workers’ behavior. The study has also proposed some valuable recommendations for HR managers and policy makers to retain female workers in banks.

178-182

Authors: Fardin MEHRABIAN, Nehzat ANSARI

Wide offer of life insurance is one of the most important factors in promoting and increasing social welfare level. People are not more familiar about the cultural factors, economical factors and geographical factors in insurance industry. This research investigated three factors such as economical and cultural and geographical factors in Guilan. The research statistical society includes Asia insurances companies in Guilan province. For sample size, we used of random sampling method and sample size is determined 212 numbers. To investigate the validity of study, we used of single dimension method and exploratory factor analysis method and confirmatory factor analysis method. To final assess we used of kronbakh test. Data are used of inferential statistical techniques and structural equations are used of LISREL software and collected data were analyzed by SPSs software. Every three hypotheses have been rewired and approved. On the basis of achieved results, we can say that insurance is an facility not only for future economic losses compensation diverging from incidents with future supple ion but also improves living levels and it helps to develop economic of society and can provide comfort to the members of the community.

17-22

Authors: Sunday C. OKARO, Gloria O. OKAFOR

The purpose of this study is to find out the perception of professional accountants in Nigeria on how some cultural factors affect audit quality. A survey research design was adopted for the study. A questionnaire survey of 108 professional accountants was undertaken. Descriptive statistics were used to analyze the 50 usable responses received. The one sample t-test was used to confirm the significance of the responses. Findings include the fact that some Nigerian accountants receive bribes in the course of duty thus compromising audit quality. Also low litigation culture, slow and tardy judicial process and corruption in the wider Nigerian Society affected adversely audit quality. Our findings have implication for the regulatory authorities as they strive to rein in the monster of audit failures and thus improve audit quality in Nigeria.

32-41

Authors: Mark Kemboi KANDA, Mike Amuhaya IRAVO

The purpose of this study was to determine factors affecting efficiency of supply chain of pharmaceutical products (drugs) to Public Health facilities in 47 Counties of Kenya. The study precisely sought to establish whether: procurement processes, ICT infrastructure, distribution channels and competency of medical staff in supply chain, are factors affecting efficiency of supply chain of pharmaceutical products to Health Centres in Kenya. A population size of 120 employees was targeted in 15 health Centres from which a sample size of 60 was chosen out of the 66 questionnaires distributed, 60 filled and returned. This study used descriptive research design and the data was collected mainly from primary sources such as questionnaires, observation, and interviews. The analytical framework draws upon William’s theory of the mechanism of governance and insights from new institutional economics of institutional changes. The information used in this study is based on the author’s more than 50 questionnaires issued with a variety of stakeholders, including government agencies, health centres and electronic biding platforms providers. The data was analyzed using both qualitative and quantitative techniques. In quantitative analysis pie charts, graphs and tables will be used to present the study findings. This research focuses mostly on proper medical supply chain efficiency to enhance good flow of medical products to foster primary health services in the Country. Technology is key aspect in this study the researcher ought to understand which level of technology is adopted in medical supply chain and how efficient it can be when they adopt this technology and training of the staff towards adaptation of this new technology for efficient service delivery.

53-58

Authors: Shehriyar KHALIL, Liaqat ALI

The study is conducted to research the RMP and procedures pursued by conventional banks functioning in Peshawar region. In the study the risk management (RM) is elected as a dependent variable, whereas Risk assessment (RAs), risk identification (RI), risks monitoring (RMn), risk analysis (RA) and RMP (RMP) are taken independent variables. Data is collected through questionnaires on five Likert Scale. Total number of questionnaire distributed were 120, out of which 102 questionnaires were received with positive response from the banks. As per the regression, we found from the results that risk assessment and analysis, risk analysis and RMP have significant effects, and risk identification and risk monitoring have insignificant effects on RMP. The paper`s findings are limited to RMP`s of conventional bank operating in Peshawar region. This study will of value to those who are interested conventional banking industry.

66-85

Authors: Ala’ Hussein ALBAWWAT, Mohamad Yazis Ali BASAH

This study examines the impact of shariah approved companies on the relationship between corporate governance structure and voluntary disclosure of half-yearly reports in Jordan, focusing on variables that affect voluntary disclosure of the ASE Jordanian listed companies. The dynamic panel system GMM estimation was employed on the data from 72 selected ASE listed companies for the period of 2009-2013, and the results show that a substantial level of voluntary disclosure is demonstrated in high level corporate governance awareness and implementation in Jordan. Specifically, the factors of board compensation, number of shareholders, government ownership and Shariah approved company significantly impact voluntary disclosure. In addition, this study shown that the effect imparted by the presence of audit committee, board size, and block-holder ownership on the level of voluntary disclosure appear to be greater among the Shariah approved companies. Aside from that, voluntary disclosure in the half-yearly reports has potential impact on market capitalization. The findings may provide some implications for research regarding the voluntary disclosure and Shariah approved companies of financial reporting in Jordan.

93-99

Authors: Alina-Georgiana SOLOMON, Sorinel CĂPUŞNEANU

The topic reflects an analysis of Economic and Monetary Union convergence in tax-budgetary system of Romania and Bulgaria. The importance of this theme is underlined by the objective on the integration of the two European Union member states in the Eurozone. In this context, attention was focused on the aspects of the state of completion of budgetary and fiscal convergence. In its realization it is required a strictly coordination of macroeconomic policies, emphasizing structural reforms and ensuring a stable economic environment. Therefore, the main elements used in the analysis of convergence scenarios are budgetary position of Romania and Bulgaria, the evolution of the annual plan for revenue collection and compliance with targets set in the plan year in government spending.

116-126

Authors: Jamal KOUHIAN, Abbas Alimoradi SHARIFABADI

Many of the changes in the value and risk of the companies at the capital market are affected by different and diverse data which are presented to the market by the companies. This paper attempts to examine the risk reaction to the publication of the forecasted profit by the management. The statistics population for this study consists of all companies listed in Tehran Stock Exchange whose related data were available for a period of six years, from 2007 to 2012. This is an implicational and quantitative study intending to test the proposed hypotheses by employing the Multiple Regression method. The research hypotheses have been developed based on the existence of the relationships among three dimensions of the forecasted profit including precision, validity and frequency whit two proxies of risk naming systematic and non-systematic risk. The research results indicated an inverse relationship between validity and frequency of forecasting profits whit non-systematic risk. However no significant relationship could be observed between all dimensions of forecasting profits by the management and the systematic risk.

136-142

Authors: Ali AKBARI, Fardin MEHRABIAN

The aim of this investigation is determining the impression and risk of SMES in developing financial constant in accepted companies in Tehran money exchange. This is a kind of library and analytic-scientific investigation. In this investigation the financial information of 104 accepted companies in Tehran money exchange during 1387 to 1392 were determined. (624 companies every year) for analyzing the results soft wares such as Minitab 16 – Eviews7 and Spss20 were used. The results of the research showed that there is a meaning full and straight relation between SMES and added value. Also there is a meaning ful and reversed relation between risk of SMES and intrinsic value.

151-159

Authors: Elahe Seyed KAVOUSI

In this research after reviewing research literature and analysis of different models in order to transfer technology the phase-gate model was selected that is a process including different gates and phases. Based on this model, the interview framework was prepared for approving model and required date were collected using study of documents and semi-structured interview. After performing interviews and collecting data In this stage, it was determined that in the petroleum industry the phase-gate model is a process including 6 decision making phases and gates in three studied technology transfer projects. Research findings showed that analysis of technology transfer process projects in three studied cases as sample can be suitable solution in order to help managers in study of technology transfer process damages especially in the beginning and planning stage.

165-171

Authors: Odunayo M. OLAREWAJU, Oluwafeyisayo K. ADEYEMI

The aim of this paper is to examine the existence and direction of causality between liquidity and profitability of deposit money banks in Nigeria. Fifteen quoted banks out of the existing nineteen banks were selected for the study. They are; Guarantee Trust bank, Zenith bank, Skye bank, Wema bank, Sterling bank, First City Monument bank, United Bank for Africa, Eco bank, First bank, Access bank, Diamond bank, Unity bank, Fidelity bank, Union bank and IBTC bank. Pairwise Granga Causality test was carried out to determine the presence and direction of causality between banks’ liquidity and profitability. From the finding of this study, at 5% and 10% level of significance, it was revealed that the F-statistics corresponding to the null hypotheses of no causal relationship (both unidirectional and bidirectional) between LODEP (a proxy for liquidity) and ROE (profitability measure) for banks like Guaranty trust bank, Zenith bank, Sterling bank, Diamond bank, IBTC, Unity bank, UBA, Fidelity bank, Wema bank, Union bank, and Eco bank, are too low and as such there is no enough evidence for the rejection of the corresponding null hypotheses. Thus, the result revealed that there is no causal relationship (be it unidirectional or bidirectional) between liquidity and probability of Guaranty trust bank, Zenith bank, Sterling bank, Diamond bank, IBTC, Unity bank, UBA, Fidelity bank, Wema bank, Union bank, and Eco bank. The result also shows that there is a trace of unidirectional causality relationship running from liquidity to profitability for banks like Skye bank, First bank, Access bank and FCMB. Based on the findings and conclusions, the study recommend that the apex bank (Central Bank of Nigeria) should ensure close supervision and monitoring of deposit money banks’ strength and level of liquidity in an attempt to stabilize and strengthen the financial sector of the economy.

185-194

Authors: Kazeem O. SALAAM

We perform detail analysis and review of capital regulation under Basel II including standardised and internal rating based approaches. We consider the parameters required for both approaches. Linkages between Basel II capital regulation and Procyclicality is established and we established the fact that even though procyclicality is inherent in banking sector, Basel II capital regulation has succeeded in exacerbating it particularly during the recent financial and economic crisis. We review the effects of procyclicality on the United Kingdom Bank lending decisions particularly during the economic crisis. This is compared with bank lending decisions pre crisis and post crisis period with a view to having holistic view of the effects. Our review covers main lending classifications in the UK. These include lending to businesses, secured lending to individuals and consumer lending. We conclude that Basel II capital regulation is not the genesis of procyclicality but one of the exacerbating factors. We assent to the fact that procyclicality genesis could be traced to failure of banks to efficiently allocate resources within the economy. Relevance of Basel II in improving risk management within banking sector is also emphasised.

13-18

Authors: Hamid Ravanpak NOODEZH, Salehe MOGHIMI

Nowadays, the effects of human societies have increased on environment due to technological and industrial development. So environment variations could affect human beings like other animal species. Given the importance of environmental costs, one can consider them as a parts of final cost of products or services in business units , so failure to report these costs in financial statements cause to firstly that environmental costs remain hidden and unknown to the management and necessary actions to control them fail to do, and secondly that failure to report environmental costs as a parts of final cost would undermine the most important qualitative characteristic of accounting information namely their reliability. This environmental accounting facilitates environmental costs management and reducing costs through making the relationships between costs and their underlying activities. Researches in recent years led to the criticism about the framework of traditional financial reporting and its ability to provide a complete list of company activities and its accountability. Social and environmental reporting is a tool to account companies against their performance. The reports should provide impartial information which allows beneficiaries to provide a reliable estimation of their social and environmental performance.

27-32

Authors: Basil Senyo DAMANKAH, Olivia Anku-TSEDE, Albert AMANKWAA

Banks are traditionally into the business of mobilizing deposits and making loans. This generates interest income and has been a substantial proportion of bank’s total earnings. Studies have shown that income from the traditional banking business has declined substantially in recent times. This paper examines the state of traditional banking in Ghana by relating interest and noninterest income from the year 2003 - 2012. We found that traditional banking remains strong in Ghana and interest income constitutes a higher proportion of total bank earnings. In recent times however, noninterest income has gained prominence as margin income deposits continue to squeeze.

39-45

Authors: M. ALIAKBARI, B. BANIMAHD, Gh. TALEBNIA, F. Rahnamay ROODPOSHTI

This study attempts to find out the relationship between unconditional accounting conservatism and abnormal operating cash flows in Iranian firms. In this paper, unconditional conservatism is measured by Givoly and Hayen (2002), and abnormal operating cash flows is measured by Dechew and Tang model (2008). The statistical population studied at this research includes firms accepted in Tehran Stock Exchange, and the period of research is the years since 2006 to 2011. The systematic omission method has been used in this research in order to achieve the sample and 858 observations were chosen as the sample for research. Results show a negative relationship between unconditional accounting conservatism and abnormal operating cash flows. The results suggest that firms with upper levels of unconditional accounting conservatism appear to have lower abnormal operating cash flows.

58-71

Authors: afaela BOTELHO, Graça AZEVEDO, Alberto COSTA, Jonas OLIVEIRA

In the new Portuguese accounting frame of reference (Portuguese Accounting Standardization System – Sistema de Normalização Contabilística), the issues related to Property, Plant and Equipment assets are dealt with in the Accounting and Financial Reporting Standard (Norma Contabilística de Relato Financeiro – NCRF) 7 (Property, Plant & Equipment). The present study intends to assess the degree of compliance with the disclosure requirements of this accounting standard by Portuguese unlisted companies. Moreover, it tries to identify the factors that influence their level of disclosure. The financial statements for 2010 and 2011 were content analyzed and a multiple linear regression model was used to assess the motivations for companies to comply with disclosure requirements. Results indicate that older companies with lower levels of foreign activity present higher levels of disclosures. The type of auditing firm is also a factor that influences the level of compliance with NCRF 7.

80-91

Authors: Muammar KHADDAFI

This study aimed to analyze the influence of Debt Default, audit quality and audit opinion on the acceptance of Going Concern Opinion either simultaneously or partially on Manufacturing companies listed in Indonesia Stock Exchange. The data used in this research is secondary data of 68 samples by purposive sampling technique. The method used to analyze the relationship between independent variables and the dependent variable is the logistic regression method. These findings indicate that simultaneous variables Debt Default, audit quality and audit opinion by the F test, jointly affect the acceptance of Going Concern Opinion with a significance of 0.000. While the partial results of the t test, the variable Debt Default, audit quality and audit opinions positive influence on the acceptance of Going Concern Opinion, with a significance level respectively 0.006, 0.022 and 0.004.

103-108

Authors: Adaramola Anthony OLUGBENGA, Obisesan Oluwaseun GRACE

The fundamental objective of this research work is to assess the impact of foreign direct investment on Nigerian capital market development given the role of the later in stimulating the development of the nation’s economy. The study employed ADF unit root test and Johansen co-integration test to analyze the secondary data obtained from Central Bank of Nigeria statistical bulletin from 1970-2010. The absence of co-integration between foreign direct investment and market capitalization informed the resort to OLS regression result which shows that foreign direct investment impact positively and significantly on market capitalization. Since foreign direct investment is a significant determinant. Efforts should be made by government and monetary authority to encourage foreign direct investment into Nigeria. However given the lack of co-integration and low beta weight suggest that emphasis on foreign direct investment as a way of stimulating long run growth in the developing country like Nigeria does not worth the while.

130-136

Authors: Ghada ABBAS

According to the signaling theory, dividend announcements are usually considered as a signal to the investors, about firm’s future performance, that results in stock prices changes. This study attempts to investigate the stock prices response to dividend announcement in the Damascus Securities Exchange. The purpose of the study is to identify whether there are any significant abnormal returns around the public announcement of dividend. An event study methodology is used for an event window of forty days surrounding the announcement day. Research results indicate that most average abnormal returns are statistically insignificant, whereas the cumulative average abnormal returns are statistically significant for the whole event window. The downward drift of the cumulative average abnormal returns six days after the announcement suggests that prices don’t adjust immediately to dividend information. The stock reactions appear within post-event window gradually in response to the dividends announcement.

148-160

Authors: Alfatih Alamin Abdalrahim ELFAKİ, Suleiman Musa Elzain HAMMAD

Study addresses the impact of fair value accounting on the quality of accounting information. The study's main problem in the following question: What is the effect of the application of fair value accounting on the characteristics of accounting information? In order to clarify the effect of the use of fair value on the quality of accounting information. To achieve the objectives of the study were followed inductive and deductive and descriptive approach, where it was in the theoretical side; the study of literature review of relevant fair value accounting And use the inductive approach to the analysis of the problem and identify its components, while a researcher at the deductive approach adopted in the formulation of hypotheses The descriptive approach has been reliable in the field side. Researcher use statistical package for social studies in the questionnaire data analysis. The most important results that have been reached: the fair value contribute to provide useful information to users of financial statements and help them in decisionmaking There is a positive relationship between the application of fair value and the appropriateness of accounting information in decision-making. And also there is a positive relationship between the application of fair value and reliability of accounting information. Which means reliability of users, in addition to the fair value was able to make a fair comparison, both at the enterprise level for a number of periods or with similar enterprises for the same period

171-178

Authors: Zahoor Ahmed WATTOO, Sunia AYUUB, Muhammad Salman SHABBIR, Uzma BALOCH, Humara NASAR

This paper is a critical assessment of role of Micro Financing in providing empowerment and equality to women in Pakistan. Secondary data was used for getting information from documented materials for the paper. It was founded that the loans accessible by MFIs have major effect on the empowerment of women. All over the world women labour force are contributing in economic development and sustainable source of revenue of their household and social community. This study found that after receiving loans, women experienced increased in their household income level so their economic, political, social and household wellbeing has also improved. There is great need of those programs which specifically intended for financial sustainability of women. So Microfinance organizations should increase their support to provide resource to poor women.

190-198

Authors: Lawrence Ehikioya IMOUGHELE, Mohammed ISMAILA

The study examines the impact of exchange rate on non-oil export. We used time series data obtained from CBN for a period of 27 years that is 1986 to 2013. Augmented Dickey-Fuller (ADF) test was used for the unit root test and Johansen’s co-integration test was also conducted to establish short and long run relationships between non-oil exports and independent variables. The result shows three co-integrating equations which establish the existence of long run relationship among the variables. Ordinary Least Square statistical technique was used to assess the determinants of non-oil export in Nigeria. The results show that effective exchange rate, money supply, credit to the private sector and economic performance have a significant impact on the growth of non-oil export in the Nigerian economy and appreciation of exchange rate has negative effect on non-oil export which is consistent with the economic theory. Following this, the study recommended among others that monetary authority should ensure exchange rate stability in order to stem inflationary tendencies in Nigeria which have adverse effect on the growth of non-oil export.

9-15

Authors: Slawomir CZARNIEWSKI

In recent years, new business solutions have appeared based on creative ideas and the ability to use multi-channel communication with clients. Social networks are now not only a necessary complement to communication, but also a source of specific value and inspiration for new methods of obtaining market information. Commercial companies are increasingly recognizing the importance of social networking sites. These companies use these sites for marketing and promotional purposes, as well as to build the image of the organization. This paper presents select aspects of creativity in the digital economy. The purpose of this article is to indicate the sources of creativity in social networks, the social impact of these creative solutions and how they affect the functioning of the economy.

27-43

Authors: Luyali Newton CHANZU, Mouni GEKARA

This study investigated the effects of use of derivatives on financial performance of companies listed in the Nairobi Securities Exchange (NSE). The objectives were; to determine how risk management, efficiency, price stabilization and price discovery in derivatives affect the financial performance of companies in NSE. This study targeted 11 companies that are listed in the NSE trading in the derivative market. Questionnaire was used to collect data from finance officers of the 11 companies listed and NSE officers. The data collected was analyzed by use of descriptive and inferential statistics. Qualitative responses were analyzed using content analysis. A correlation analysis was carried out to determine the performance of the companies listed in the NSE during the pre- and post- adoption of the financial derivatives by these companies. The findings indicated that apart from price stabilization other variables contributed positively to the financial performance of companies listed in NSE.

60-71

Authors: Nadia Sbei TRABELSI, Mohamed TRABELSI

The objective of this paper is to examine the value relevance of accounting information for the banks listed in the Dubai Financial Market (DFM) for the period 2008 - 2013. Empirical tests are based on the return and the price models. Overall, the results show that accounting information is associated with market valuation. The earnings are positive and significantly related to stock prices and stock returns. Moreover results indicate that value relevance of accounting information has changed since 2008 which might raise the effect of the Global Financial Crisis (GFC). Finally, the explanatory power of earnings and equity book value are found to decrease during the recovery period 2011-2013.

79-87

Authors: Slawomir CZARNIEWSKI

The purpose of this work is to show mechanisms shaping attitudes, opinions and behaviors of consumers. Paper shows the impact of the system of communicating specified value on the decision-making process of the consumer. Attention was drawn to system interaction and communication in the context of changes in consumer opinion. The communication process aims to create and strengthen attitudes among buyers, leading to a favorable reception of products / services as well as a change of attitude from neutral to positive – creative. The basis for the preparation of the paper was the conduction of an in-depth and comprehensive study on the effectiveness and efficiency of communicating customer value. This included the analysis of available secondary data from various institutions involved in marketing communications, both in scientific and commercial applications. Reflections contained in the paper do not have definite characteristics and should be treated as an opinion in the discussion.

95-103

Authors: Nizar El OUNI, Faouzi MILED, Manelle LAHDHIRI

Although several studies of theoretical and empirical ones converge on the financial dimension in economic growth, they do not actually provide real common response to the problem of the possible interaction between the real economy and the financial. In fact, the interrelationship between financial development and economic growth arises more acutely and becomes increasingly uncertain to know is that the financial activity that stimulates real or vice versa. Who rightly, Schumpeter argues that: "Financial institutions are required to technological innovation underlying growth" or Robinson says, "Where growth leads; finance follows. »The question posed in this article question then is at the intersection of two areas, namely finance and economics. We will be interested throughout this research to the Tunisian context by using a methodology that is first to apply the test cointegration between the rate of return on equity and the rate of growth in economic activity real. While in second place, we will adopt the technique of error correction (VECM) to be considered in order to understand the dynamics between the variables studied in the short and long term. Finally, the causality test will be the third step of our methodology to detect the direction and magnitude of the causal relationship between the two spheres studied.

126-135

Authors: Slawomir CZARNIEWSKI

Lack of knowledge or skills is the cause of the gap of knowledge and skills, or the asymmetry of knowledge between client and vendor (service provider). That gap may be filled to a large extent through the process of communicating specified values and benefits to the customer and/or worker. This process should, however, be effective and efficient. The process of communicating customer value not only provides buyers with awareness of what products and services they can buy, but also of the benefits of the purchase for them. The goal of the study is to find out whether, in fact, the communication methods used by the Polish Post deliver a sufficient amount of information to workers, who are the most important element of the internal environment, respectfully. In this work, analysis was performed on the effectiveness of communication activities undertaken by the company in terms of services provided and image achieved. An important issue is the appropriate, effective process of communicating value for employees. The results of the research and analyses can be used by managers of the audited company, as well as by the management of other enterprises providing services of a similar nature.

143-152

Authors: Muhammad Naveed ASLAM

After 2008 world economic crises, banks and other financial institutes move towards Islamic financing not only in Muslims countries but also in non-Muslim countries of the world. In view of this, some micro financial institutions also introduce Islamic micro financing products in Pakistan. The present study was conducted to analyze the role of Islamic microfinance to alleviate poverty in Pakistan its impacts, people satisfaction level and assess the future of it in Pakistan. An Empirical approach has been adopted due to lack of knowledge to clients about products, technical terms, lack of time, and we come to know the changing improvement in the eyes of those people who directly involve in this system. Questionnaire was used as a tool for data collection. The qualitative data was quantified and chi-square test was applied to test the association of attributes by 5% level of significance. Our analysis concluded that Islamic microfinance playing an important role to improve the living standard, per capita income, awareness level (Educational level), ethical values, profitability, sustainability, infrastructure position, employment level in the society, helpful to control the inflation and unequal distribution of wealth. People are more interested due to religious prospective and prohibition of riba in Islam as well as in Christianity but there should be proper regularity authority to control over it in order to get fruitful results through an implementable model.

166-175

Authors: Ileana – Sorina RAKOS, Andreea ANTOHE

The present article intends to highlight the importance of the impact of the economic activities on the environment, and of its integration in the decisional and financial system of the national economic entities. During the last decade, a new challenge has appeared for the professional accountant, namely that of the environmental accounting, meant to maximize life quality. Environmental accounting is a global concept, and, from the perspective of the impact of the economic activity on the environment, the authors consider the environmental cost as the essential instrument providing the information volume and quality necessary to the managers on different hierarchic levels of an economic entity for the assessment, identification, analysis and recording of the impact produced by the economic activity on the environment, and the use of such information in the financial and decisional process of the economic entity. Within this context, we intend to show the effect of the activities carried out by the Romanian economic entities on the environment, by means of the environmental cost. Having as a starting point the stage of the researches carried out in the literature regarding the environmental cost, made by different experts, we intend to prove the opportunity of knowing the current, future and potential environmental costs which, actually, represent the starting point, both in the achievement of the objectives of reducing the environmental expenses, and in the intensification of the processes of recovery and improvement of the financial and environmental performances. Thus, the environmental cost may be considered as the essential instrument in the identification, recording, analysis and assessment of the impact produced by the economic activities on the environment. At the same time, the environmental cost is what warns the manager on the mode of generation of profit or loss from the activity carried out by the economic entity - resulted both from the current activity, and from that of the financial exercise. Also, the environmental cost is the instrument providing us with a clear and real picture on the mode in which the environmental factors influence the activity of the economic entity.

191-204

Authors: Widia ASTUTY

This study aims to test the effect of participatory budgeting and procedural fairness on the manager's commitment and performance either have simultaneous or partial effect. The method of the research used was a survey method that conducted at the pawnshop in North Sumatra with the respondents of the managers in branch offices. The data used is primary data by collecting data through questionnaires. The analysis method used is descriptive-analytical verification. The effect model analyzed by using a structural equation model to analyze the pattern of causal relationships between variables and determine the direct, indirect and total effect of some variables. The results showed that participatory budgeting and procedural fairness simultaneously have a significant and positive effect on the manager’s commitment; participatory budgeting has a significant and positive effect on the manager’s commitment; procedural fairness has a significant and positive effect on the manager’s commitment; participatory budgeting, procedural fairness and manager’s commitment simultaneously has a significant and positive effect on the manager’s performance; the effect of participatory budgeting has a significant and positive effect on the manager’s performance; the procedural fairness has a significant and positive effect on the manager’s performance; the manager’s commitment has a significant and positive effect on the manager’s performance.

210-220

Authors: Gehan A. MOUSA

This research examines the association between accounting conservatism and cash dividends of listed firms in the Kingdom of Bahrain. It has addressed two questions. First, does accounting conservatism actually work? Second, can accounting conservatism influence cash dividends of firms in the Kingdom of Bahrain? The findings of this study support the hypothesis that accounting conservatism plays an important role in reducing cash dividends and managing agency conflicts. It documents a significant negative association between accounting conservatism and cash dividends of Bahraini Firms.

228-248

Authors: Paul Munene MUIRURI

Capital Markets have become an integral part of the Kenyan economy. The manner in which securities are priced in the capital market has attracted the attention of many researchers for long. This study sought to investigate the effects of estimating of Systematic risk in equity stocks of the various sectors of the Nairobi Securities Exchange (NSE. The study will be of benefit to both policy makers and investors to identify the specific factors affecting stock prices. To the investors it will provide useful and adequate information an understanding on the relationship between risk and return as a key piece in building ones investment philosophy. To the market regulators to establish the NSE performance against investors’ perception of risks and returns and hence develop ways of building investors’ confidence, the policy makers to review and strengthening of the legal and regulatory framework. The paper examines the merged 12 sector equity securities of the companies listed at the market into 4sector namely Agricultural; Commercial and Services; Finance and Investment and Manufacturing and Allied sectors. This study Capital Asset Pricing Model (CAPM) of Sharpe (1964) to vis-à-vis the market returns. Monthly basis secondary data from the period January 2009 through December 2012 was used model the study from Stocks of the various sectors of the NSE. A simple regression model approach was used where stock was taken as dependent variable while systematic risk as independent variable and used. The study found out that there were effects market sector betas and returns. Second there is a relationship between systematic risk and stock market return in sectors because systematic risk and stock market return exhibits a strong negative autocorrelation, indicating that the stock market return is a function of more variable than systematic risk. The study rejects the first null hypothesis for all the four sectors and finds that beta is a statistically significant indicator of market risk for those sectors. The study also found out that agricultural sector was most risky sector with the highest volatility while the Finance and Investment sector is the least risky during the study period. Industrial and allied as well as the finance and investment sectors had less volatile returns than the overall NSE. From the findings of sectors studied it can be concluded that the various equity in NSE each of the have unique factors that influence market risk relative to the all the companies listed at the NSE.

263-271

Authors: Basil Senyo DAMANKAH, Olivia ANKU-TSEDE, Albert AMANKWAA

Banks in recent times have changed their focus from depending heavily on interest income to generating revenue from fee generating activities. This paper identifies and discusses some factors common with banks that engage in non-interest earning activities in Ghana. It was found that smaller banks are more involved in non-interest earning activities, relative to their larger counterparts. Higher interest income, customer deposits, exposure to risk and liquidity are also found to be common factors among banks in Ghana that concentrate more non-interest income generation. The Central Bank’s Prime rates also affect banking operations and is positively related to bank’s engagement in nontraditional activities. These results have implications for bank regulators, who must institute regulations toward harmonizing the various sources of bank income as against likely exposures to risk.

280-289

Authors: Shrikant Krupasindhu PANIGRAHI, Yuserrie ZAINUDDIN, Azzlina AZIZAN

This study investigates the importance of economic value added for the shareholders wealth maximization. Economic value added (EVA) is a value based performance measurement tool that inclines the agency conflict issues between managers and shareholders. Using a sample of 28 construction public listed companies in main board of Bursa Malaysia and using panel data with fixed effects during the period of 2003 to 2012, the findings of the study revealed that there is a positive and significant relationship between EVA and shareholder’s wealth maximization. The more the managers produce EVA, the more shareholders’ wealth maximization will be created. The finding shows significant support for EVA, but EVA was not reported by the companies and is not been used by investors for their investment decisions. Thus it is recommended for the managers to focus more attention to the criteria of EVA in evaluating shareholder’s value.

297-306

Authors: Zam Zuriyati MOHAMAD, Hatijah Mohamed SALLEH, Nur Diyana ISMAIL, Ibrahim Tamby CHEK

The purpose of this study is to determine the level of quality of Non-Financial Information disclosure in Malaysia. Non-Financial Information disclosure in this study refers to Corporate Social Responsibility disclosure, Intellectual Capital disclosure, Risk Management disclosure and Corporate Governance disclosure. This study also aims to examine the influence of quality of Non-Financial Information on firm’s profitability. It further identifies which Non Financial Information disclosure has the highest influence on firm’s profitability. Data was collected from 100 selected annual reports of Public Listed Companies by using random sampling technique and was analyzed by using Multiple Linear Regression. Two ratios have been used to measure the firms’ profitability. This study reveals mixed finding on the influence of Non-Financial and firms’ profitability. The results show that Corporate Governance disclosure has the highest influence on firm’s profitability. This study provides useful insight to the authorities on the level of quality of Non-Financial Information and this information enables them to focus on areas that need improvement. This study also gives a better understanding to the users of annual reports on the influence of Non-Financial Information disclosure on firm’s profitability.

317-325

Authors: Ghada ABBAS

The majority of empirical literature on random walk behavior has interested on developed and emerging markets. However, few studies have been carried out to test the randomness of returns series on less developed markets. Damascus securities exchange is a young and nascent market in the Middle Eastern, started its operations in 2009; therefore, there is no empirical evidence testing the validity of random walk process. This paper examines whether daily stock returns on Damascus Securities Exchange follow a random walk for the period of 2009 to 2014. This study applies two parametric tests namely serial-correlation test and variance ratio test, and two non -parametric tests, i.e. runs test and BDS test. It is found that daily returns do not confirm to a random walk during the period under examination. This result is consistent in both parametric and nonparametric tests. The broad conclusion emerging from this study is that price returns might be predictable; hence, it is possible for investors to earn higher return than average by using historical successive prices.

333-339

Authors: Bahman Nikkhah BOROUJENI, Mohsen ASGARI

One of the major goals of governments for improving economic conditions is to transfer the ownership of companies to the private sector. Applying Robins questionnaire, this research aimed to investigate the structure of National Iranian Copper Industries Company (NICICO) before and after privatization. The statistical population included directors of National Iranian Copper Company. Components of the company's structure were organizational centralization, formality, and complexity. Also, paired t-test was applied to analyze the data during the pre- and post-privatization periods. The results showed the significant change in the structure of NICICO before and after privatization; these changes had an incremental trend in terms of complexity and centralization; however, formality index was reduced after privatization.

21-27

Authors: Hamid Reza VAKILIFARD, Nassim SHAHMORADI

Given economical conditions being dominated in Iran and recent changes in domestic industries, the attention given by different groups, specifically by investors and financial analysts, to the status of enterprises and especially their efficiency has been multiplied. The managers, on the other hand, are also looking to improve their position in the competitive scene. The purpose of this study is to investigate the relationship between free cash flow, return on equity, and factors affecting it. A sample of 84 companies listed in Tehran Stock Exchange was selected through classified random sampling which were investigated for 8 years. Chow and Hausman test were used to specify the statistical methods; finally, results of the regression models indicated a strong relationship between free cash flow and return on equity. Although companies' stable or unstable profitability does not affect this relationship, it can adversely influence efficiency.

36-40

Authors: Jamshid Jafari DARABJERDI, Tahereh Kakoo JOYBARY

The purpose of this research is to study the effect of financing methods on profitability level of food industry companies quoted in Tehran stock exchange. Time period of this research is 2007-2011, and a number of 37 food industry companies were chosen as sample. Regression analysis and Pearson`s correlation have been used in SPSS 16 software, in order to test the research assumptions. In this research, dividend revenue has been considered as dependent variable, and financing methods inthree dimensions (retained earnings, long-term loan, and short term loan) have been considered as independent variables. The research findings indicate that using loan (long-term loan and short-term loan) leads to increase in dividend revenue in food industry. While, using retained earnings infinancing, has no effect on dividend revenue on mentioned industry.

49-62

Authors: Samuel Nduati KARIUKI, Charles Guandaru KAMAU

The purpose of this study was to investigate factors influencing corporate capital structure in private firms in Kenya. Although the capital structure issue has received substantial attention, it is noteworthy that most of the empirical work done focuses on data derived from developed economies that have many institutional similarities and their applicability in developing markets such as Kenya is not documented. Yet, the maintenance of an optimal capital structure is considered as one area where decision makers can influence the company’s value and risk. Specifically, the objectives of the study were to establish whether growth opportunities, firm size, firm profitability, and asset tangibility influence corporate capital structure. The study adopted a descriptive survey research design. The study population comprised 121 Food and Beverage private manufacturing firms registered with the KAM that are located in Nairobi and surrounding area. A sample of 36 firms was selected for the survey using stratified random sampling technique from which 30 questionnaires were returned. Primary data was sourced through personally administered questionnaires to the CFOs. Data was analyzed using descriptive statistics and inferential statistics. Multiple regression analysis was used to determine the interplay between the independent variables and dependent variable. Based on the findings, the study concludes that growth opportunities positively influence capital structure; firm size negatively influences the capital structure, there is an insignificant negative relationship between firm profitability and the capital structure, and there is insignificant positive interaction between asset tangibility and the capital structure of private firms in Kenya.

80-88

Authors: Edwin QUINN Jr.

The purpose of this study is to exam the complexities of corporate governance and how it has changed as a result of Sarbanes Oxley. The convergence of agency theory, stewardship theory, and stakeholder’s theory are discussed to determine their influence on corporate governance. Best practices are identified for challenges of compensation committees.

97-108

Authors: Eliasu NUHU, Al-Hassan INUSAH, Gasu Rose AMA, Zakaria Mohammed SANO

Agriculture is the major means of livelihood for the rural people of Ghana. It is also the backbone of national economies, the main source of foreign exchange and the most important source of employment. It is not surprising that in the 1980’s the paradigm shifted towards agricultural finance in developing countries. Microfinance became the alternative to the fall-out of government intervention to alleviate poverty through credit support to rural farmers. However, till now, no study has been conducted to ascertain the impact of microfinance on crop production in Ghana. This paper therefore investigates the impact of microfinance on crop production in Ghana with specific reference to the East Mamprusi District (EMD) of Ghana. The paper employed the quantitative method approach. The sample size that was used in the study was hundred (100) respondents who were drawn from the list of farmers in the district who have accessed microfinance. The results show that there is a significant relationship between microfinance and crop production. Also, consistent with the perceptive views of the respondents on the impact of microcredit on crop production, the regression result showed that a GH¢1 increase in microcredit to the farmers would increase crop production by more than one-third (0.314) of a bag. This shows that microcredit has significant impact on crop production.

119-129

Authors: Dragos Stefan OPREA, Elena Valentina TILICA

This study examines the day-of-the-week effect in 18 Post-Communist East European stock markets: Bosnia, Bulgaria, Croatia, Czech Republic, Estonia, Former Yugoslav Republic of Macedonia, Hungary, Kazakhstan, Latvia, Lithuania, Montenegro, Poland, Romania, Russia, Serbia, Slovakia, Slovenia and Ukraine, over the period January 2005 to March 2014. The results indicate the presence of day-of-the-week effect in Bosnia, Bulgaria, Croatia, Latvia, Serbia and Slovenia even after we incorporate in the analysis the market risk, proxied by the return on the Dow Jones Global Total Stock Market Index.

138-143

Authors: Gabriel - Cristian CONSTANTINESCU

The mediator can play an active role in creating the ethical framework in the conflict mediation. A pyramidal hierarchy of ethics principles in mediation is proposed: mediator’s ethics/legality and morality of the negotiation subject/ethics in the communication between negotiators/ethics of the procedures, techniques and tactics of negotiation. Exercising a triple role (personal example of ethics, generator of negotiation ethics rules, guarantor of minimal ethical framework), the mediators can become the creators of the mediation ethical framework. This ethical framework created by the mediator can be controlled through techniques systematized in a methodology for neutralizing unethical impulses of the negotiators involved in mediation. The proposed method selects a range of possible interventions depending on the orientation of negotiators identified by the mediator - to objective or to relationship. The mediator can use these techniques without exceeding its role of neutral and impartial person. The pro-active attitude of the mediator in the mediation ethical framework construction is identified as the key to reach equitable agreements and the future commitment of the parties.

155-160

Authors: Ioana DORIN, Cristina DIACONESCU, Dan Ioan TOPOR

Dual perspective on the industry makes the approach of industrial activities be different at the world countries level, depending on the ability of each system to accept, to take necessary measures and solve the problems caused by industry. Under pressure triggered by different types of actions, the industry has managed to maintain and even to impose itself in certain areas, despite the fact that the restriction or elimination of certain industries are dominant. The mining industry is a very important force in the global economy, occupying a primary position in the supply chain of resources. Despite this, its role varies and differs greatly, at national level from an economy to another, and it is not properly documented and sometimes even incomprehensible.

173-181

Authors: Masoud JALALIAN, Vahid SAYADI, Nasrollah SHABANKAREH

This study has been applied with the objective of analyzing the factors that may reduce the employees’ motivation in the sample population consisted of employees of Keshavarzi Bank branches in great Tehran. This research is an applied study with the descriptive correlative nature and has been implemented as a field study (survey) and using questionnaire. In this study, stratified random proportional sampling was used for choosing the employees of Keshavarzi Bank in Tehran. Population consists of all employees of Keshavarzi bank, employed in management branch and branches of great Tehran including 1040 persons. Out of them 233 employees were selected by sampling method and based on Cochrane formula. SPSS was used for analysis of data. Results obtained from individual effect of independent variables on dependent variable from the viewpoint of Keshavarzi Bank employees indicates that among organizational factors, psychological factors, knowledge, specialty and job skills, social inductions and organizational judgments, educational factors, managerial factors and organizational experiences have positive and significant association with employees’ demotivation. Summary of the collective effect of independent variables on dependent variable according to multivariate regression indicates that social inspirations and organizational judgments, psychological, managerial, organizational factors, knowledge, specialty and job skills have significant effect on employees’ demotivation. This study is probably the first to propose a reduction in staff motivation is to explore the causes. This study is somewhat different from previous works. Because, most studies have focused increase staff motivation. Some of the findings can be applied in a number of other financial institutions. Today, understanding the factors influencing employee motivation decreasing Is the new way to understand the reason for not reaching the organization's goals.

187-192

Authors: Asrin KARIMI

The aim of this paper is to examine the efficiency of two credit risk modeling (CRM) to predict the credit risk of commercial Iranian banks: (1) Logistic regression model (LRM); (2) Artificial neural networks (ANNs). The calculations have been done by using SPSS and MATLAB software. Number of samples was 316 and 5 dependent variables. The results showed that, artificial neural network is more proper to identify bad customers in commercial bank. The major contribution of this paper is specifying the most important determinants for rating of customers in Iran’s banking sector.

199-205

Authors: Slawomir CZARNIEWSKI

The main task of the modern enterprise is to build strong, sustainable relationships with clients and business partners. Currently, the final version of the company's offer is the result of cooperation across a network of companies forming one set of values for the customer. This applies not only to suppliers and intermediaries, but also to partners of strategic alliances or joint ventures. The value of the offer to the customer depends on the "quality" of these partnerships. A good reputation makes the company attractive to potential partners and facilitates the establishment of cooperation, which allows companies to offer customers a wider range of values than the competition. The aim of this work is to present models and concepts that shape the market and customer relationships. In addition, the advantages and disadvantages of different theoretical concepts are shown by linking them to economic reality.

212-221

Authors: Ali SANAYEI, Hoseyn Rezaei DOLATABAD, Mahboobe Zarei Shams ABADI

Regarding the wave of globalization many concepts and definitions associated with social-economic life of today human have changed. Changes caused by the advent of the internet or generally ICT (Information and Communications Technology) in the lives of individual people in different communities led to the significantly increased rapid dissemination of concepts, modern technologies and new services, among them electronic commerce is an issue of much importance. In the present study the impact of selected internet motives on the success of online shops has been addressed. The self-made survey questionnaire was applied included Likert-scale multiple-choice questions and next to the validity and reliability test 360 numbers of them was distributed between directors of online shops. Among them 348 acceptable responds were returned. According to the research findings, Smartphones, according to, 2nd and 3rd generation of the Internet, search engine optimization, banner advertising, email advertising, advertising through search engines found to have effect on the success of online shops. However, the impact of advertising motives through the Games and RSS reader on the success of Internet shops was not confirmed.