Journal of Entrepreneurship, Business and Economics

40-58

Authors: Bhargav Pandya

The paper aims at analyzing the impact of financial leverage on market value added in the context of companies listed on Bombay Stock Exchange and provide empirical evidence. The study covers 197 companies classified as A group companies listed on the Bombay Stock Exchange. The study period ranges from 2010 to 2014. Univariate linear regression and multiple regression analysis are used to test the relationship between measures of financial leverage and market value added. The results show that interest cover is the most significant predictor of market value added by companies listed on Bombay Stock Exchange. Univariately, debt equity ratio and debt ratios are found to be statistically significant in explaining variation in market value added of the sample companies. But when taken together, they are not significantly related to market value added of sample companies. The research was restricted to only those companies which are classified as A group companies on Bombay Stock Exchange. The study relied on Market Value Added as a measure of value creation. Other measures like, Economic Value Added, Created Shareholder Value, Total Shareholder Return could also be used to gauge the impact of financial leverage on the shareholder value creation. The study identifies interest cover as the most significant predictor of change in Market Value Added. Financial managers will thus be motivated to maintain higher interest cover to ensure higher value creation for their shareholders. Research paper

94–129

Authors: Amran Awang, Shazwani Amran, Mohamad Niza Md Nor, Ima Ilyani Ibrahim, Mohd Fazly Mohd Razali

This study focuses on the intervention of attitude towards entrepreneurship, participation in entrepreneurial education, perceived behavioral control (PBC) and subjective norm on the relationship between students’ grade and individual entrepreneurial orientation (EO) in influencing students’ entrepreneurial intention (EI). The paper verifies theory of planned behavior (TPB) explaining a public university students in Malaysia. Empirical evidence was derived from a quantitative approach based on a cross sectional study among 202 students. Hypothesis testing utilizes multiple regression analysis verifing the direct and mediated relationships. The study suggests that students grade, individual EO comprises of proactive personality and risk taking propensity were proven important in explaining attitude towards entrepreneurship, participation in entrepreneurship education, PBC and subjective norm. On the other hand, individual EO, PBC and subjective norm directly explained EI. Subsequently, PBC and subjective norm proved as significant mediators in individual EO and EI relationships. The results shall aid the university management in formulating their curriculum and programs that fit students’ priorities in shaping their future undertaking as an entrepreneur. Malaysian public policy regarding higher education should consider some mindset reformation required in higher learning institutions’ entrepreneurship curriculum in the country. Annual budget for higher learning institutions’ entrepreneurship programs shall be allocated accordingly after considering the results of the study. Research paper

150-162

Authors: Samira Bakhtiari

Development sociology is an attractive field of research, as well as an interesting philosophical debate which a series of well known philosophers have concentrated upon, such as Marx, Durkheim, and Weber. Faced with an impasse, historians and other social scientists set out on a novel journey to examine different aspects of this concept. Thus, this paper tries to elaborate the concept, to review the history, to discuss the main topics in mainstream research, and finally to make policy recommendations based on the discussions. Research paper

182–200

Authors: Ayat Hosseini, Ali Otarkhani, Sajad Shokouhyar

IT industry especially the software industry is of the growing industries in the world which has grown considerably in recent years. In such circumstances, there will be some companies which want to differentiate themselves from competitors and create a unique and favorable position in the minds of their own enterprise customers; one way to create a sustainable competitive advantage in these markets that already has been less discussed is the creation of brand equity. Thus, the aim of this study is to evaluate brand equity in software companies that Chargon Company was selected. The statistical population included managers of Chargon’s subsidiary companies and their users that given the unlimited society, Cochrane formula has been used in unlimited population to determine sample size. Due to the minimal amount of sample that is 386 questionnaires, 500 questionnaires were distributed in the population. Structural equation modeling approach and SmartPLS.2 were used to analyzing collected data. The results show that emotional variables affect value on brand equity is 0.64. Also functional variables affect value on brand equity is 0.89.market behavior variable plays a positive mediating role between emotional variables and brand equity. On the other hand market behavior plays a negative mediating role between emotional variables and brand equity. Considering t-values higher than 1.96, the significance of relationships obtained is confirmed in 95% confidence level. Research paper

22-44

Authors: Susilo Toto Raharjo, Mudiantono, Mirwan Perdhana

Enterprise Resource Planning (ERP) is an integrated application software for widespread use in the organization. The aim of this study is to determine factors that affect the successful implementation of ERP in Small and Medium Enterprises (SMEs) in Central Java in order to build competitive advantage and increase marketing performance. To test the 9 hypothesis, this study utilized data from 107 SMEs in Central Java. The results revealed that variable hardware and software selection have the greatest influence toward the successful implementation in Small and Medium Enterprises. It is suggested that SMEs should gain knowledge and solidify its business process reengineering before implementing ERP. Research paper

73–84

Authors: Pedro Antonio Balaguer

A multitude of studies have demonstrated that entrepreneurial competence is not only required to start an enterprise but it is a key lifelong learning competence relevant for the labour market. The recent communications of the European Commission however underlines the need for more entrepreneurship education in Europe. The following paper describes a novel approach to training of entrepreneurial skills, which has been developed by the European funded project Linking Education and Business (LEB) (www.oai.ie/linking-education-business.php). The project team, which consists of VET schools and enterprises, focuses on the new dynamics of society, which is demanding not only individuals with critical thinking and ethics training to contribute to sustainable development, but also with strong capabilities to survive in an increasingly demanding job market. The gap between the labor market and the education system generates controversy among experts about how to fix it, being necessary to try to solve the above deficiencies and respond to the new challenges of the production system in a new economic and social contexts. Research paper

108–127

Authors: Dinh Tran Ngoc Huy

Using a one factor model, this paperwork estimates the impacts of the size of firms’ competitors in the manufacturing material industry on the market risk level, measured by equity and asset beta, of 99 listed companies in this category. This study identified that the risk dispersion level in this sample study could be minimized in case the competitor size doubles (measured by equity beta var of 0,293). Beside, the empirical research findings show us that asset beta max value increases from 1,162 to 1,445 when the size of competitor doubles. Last but not least, most of beta values are acceptable except a few exceptional cases. Ultimately, this paper illustrates calculated results that might give proper recommendations to relevant governments and institutions in re-evaluating their policies during and after the financial crisis 2007-2011. Research paper

148–163

Authors: Ensieh Moradi

The main aim of the present study is the analysis of the relationship between Emotional Intelligence and responsibility; thus, regarding the applied purpose and the data collection method, this study is a quantitative and non-experimental research; and in terms of conduction is descriptive of correlational type. The target population of this study comprises the entire female intelligent and ordinary students of Tehran who are enrolled at high school. The selected sample of this study is 220 students divided into 110 intelligent students and 110 ordinary students. The instrument of the study is the standard Daniel Goleman’s EI model questionnaires and Wright et al.’s (2008) PSQR standard questionnaire. The findings indicated that there is a meaningful discrepancy between intelligent and ordinary students’ EI and responsibility. Research paper

16–40

Authors: Mirza Hassan Hosseini, Mohammad Mahmoudi Meymand, Sanaz Heidarvand

This research aims to examine the patient's satisfaction from service quality in Bahrami Hospital considering the CRM model. Generally, six variables of "Physician-Patient Relation", "Nurse-Patient Relation", "Staff-Patient Relation", "Hospital Accountability", "Meeting Patient's Requirements", and "Specialized Performance of the Physicians" have been analyzed in order to measure the impacts of the variables on patient's satisfaction in Bahrami Hospital of Tehran. The statistical population of the research contained the patients (children) who were hospitalized in the Bahrami Children Hospital and/or the parents who were the children's companies. Also, sample size was calculated 196 people based on the Cochran's Formula. This study is an applicable research with a descriptive survey methodology so that the main tool for data gathering is questionnaire. In addition, the Cronbach's Alpha Coefficient for the questionnaire was calculated 0.812 based upon SPSS software. Analyzing the data by SPSS software revealed that all variables except "specialized performance of the physicians" had a significant relation with patient's satisfaction. Since the hospital was a training-based medical center, the Pearson correlation coefficient for the variable "specialized performance of the physicians" was calculated 0.137; meanwhile, the meaningfulness amount was obtained 0.056 which is more than the standard limit. Therefore, the aforesaid variable does not have a significant relation with patient's satisfaction. Research paper

65-85

Authors: Kelik Hastjarjo

Strategic Real Estate Development (Strategic RED) is the contemporary framework that integrate both Resorce-based View (RBV) and Industrial Organization (IO) paradigm. Strategic RED have many complex variables and indicators, to test the hypotheses need a mix method, combination of QUANTITATIVE and qualitative methods, because the results of the first quantitative study needs to be deepened with qualitative study. The research design using sequential explanatory strategy, This model of combination research give more higher weight to the use of quantitative research methods. This mixed sequential explanatory design first examined the relationships between environment riks, core competence, competitive strategy, competitive advantage, and organizational performance. 200 real estate companies will asked the hypotheses and analyze with partial least square technique in the quantitative design. In a second phase of the study, further exploration of result of relationships between contributing variables was explored through qualitative semi-structured interviews with CEO, Senior Manager, and Expertist in real estate development. Interviews were recorded, transcribed, and then analyzed for themes. Conceptual paper

110–120

Authors: Ali Maleki

Entrepreneurial finance is the study of value and resource allocation, applied to new ventures. This could be done in several ways, and each way includes several points to be taken into account. This paper tries to scrutinize the existing techniques and to investigate entrepreneurial financial planning. Finally, the paper concludes with some concluding remarks to extend the domain. Conceptual paper

31–49

Authors: SYED AZHAR

This study investigated the relationship impact of liquidity and Management Efficiency on profitability of selected power distribution utilities in India. The study consist a sample of 23 power distribution utilities operating in India for the period of 2006 until 2013. Therefore the total panel (balanced) observations are 207. The work type structured is unbalanced data with annual frequency. The return on capital employed is used as a measure for profitability explaining dependent variable, whereas a current ratio, quick ratio, absolute cash ratio, debtor turnover ratio, creditor turnover ratio, collection efficiency, interest coverage ratio are representing independent variable. Statistical tools such as correlation and Generalized Least Squares (GLS) regression are applied. Debtor’s turnover ratio, collection efficiency and interest coverage ratio show a significant impact while quick ratio, absolute liquid ratio and creditor’s turnover ratio show an insignificant impact on profitability of selected sample utilities. Research paper

81–104

Authors: Jacob Chege Ng'ang'a

To promote growth manufacturing industry in Kenya, the government must address various challenges that include low level of investment. But this first require that the policy makers to have understanding of firm’s investment behavior to inform possible policy interventions. This paper uses modest panel data analysis to explain how interest rate, firm size, cash flow, uncertainty and locality of a firm impact on firm’s investment in Kenya. The study finds that the cash flow has a significant influence on investment and relatively smaller firms invest proporionally more than larger firms. The study thus recommends policy shift towards stimulating investment in small firms, relative to large firms and rolling out financing models to build capacity in emerging firms. Research paper

10–25

Authors: Saber Khosravi, Mahnaz Ahmadi, Mahtab Barazandeh

Purpose- Just before the approval of the Bayh dole Act, universities and colleges in the United States of America were used to be associations with the main aim focused on research and education and they could not imagine taking other missions. The approval of this act gave universities the right to submit and take advantage of their research results and academic achievements as intellectual properties which were done by governmental budget. Still over fifty years the Bayh dole Act is considered as the most inspiring act and significant factor in salient development of innovation and its consequent national productivity in the 1990s economy of America. With the encouraging economic and financial outcomes, many other countries like Iran got enthusiastic to authorize and implement the same act. Although Islamic Republic of Iran with developing economy has approved similar academic commercialization rules, they were not successful in practice. Consequently they could not result to similar effects of the Bayh dole Act such as the mutation in development of academic innovation or the commercialization of knowledge base products in universities and, apparently they could not even increase the transfer technology offices (TTO) or the number of university patents and products either. Design/methodology/approach- This article first introduces the background and the contexts of the Bayh dole passage in America and then explains the Act’s main outcomes in America’s innovation and academic commercialization system. Also it takes a brief look at the similar rules and regulations in other countries including Singapore, China and India. Findings- Moreover, this article contains the comparative study of these regulations and related acts in other countries, especially in America, and their similarities and differences. Finally, by interviewing the Iranian inventors and experts, the defect of internal acts, factors and reasons of their disappointed implementation are illustrated. Research paper

45–81

Authors: Gunjan Kumar

Purpose- Entrepreneurs propose; institutions facilitate; markets decide; knowledge grows and development occurs. This process of development with growth of knowledge through institutions and entrepreneurship may be of interest for many. But the topic ‘Institutions and Entrepreneurship’ overlaps several areas of research, and therefore works are fragmented. Design/methodology/approach- The paper pulls together these various strains of research. Various theoretical and empirical studies have been discussed related to this but are of course not exhaustive. Findings- The contributions of both the classical and modern literatures are equally important in understanding the two related and valuable concepts of Institutions and Entrepreneurship. Identifying the variables through which the mechanism of Institutions affect the quantity and quality of Entrepreneurship of a region are crucial. The paper advocates the study of Institutions in a cluster; in a general framework rather than in isolation. The efficiency of an institutional set up hinges on the various complementary elements and therefore there is a need of coherence among all related variables to deliver a unified and mutually reinforcing environment. Research paper

98–120

Authors: Mohammad Javad JamehBozorgi, Seyed Hadi Hashemi Dashtaki

Purpose- This study explores the self-gifting customer behavior of entrepreneurs across two cultures, Eastern and Western of districts of Iran, and identifies the motivations and feelings associated with the self-gifting practice. Design/methodology/approach- The research includes a literature review of feelings and motivations in the buying context, culture and the importance of cross-cultural studies in the consumer behavior context, and the concept of self-gifting and its evolution. An empirical research undertaken to explore the feelings and motivations for self-gifting among consumers from six different providences divided in an equal numerical manner to represent the two different cultures. The findings of this qualitative research are analyzed by categorizing the responses into five dimensions or themes which have been identified as most relevant. This was followed by a cross-cultural comparison for each of the previously identified themes. Findings- With the exception of two interviewees who by the nature of their job pay attention to advertisements the rest of the respondents ignored any commercial in this respect. Taking into consideration the findings that motives and feelings vary across cultures it can be suggested that ads that try to encourage a self-gifting behavior in Eastern provinces should not follow solely the Western approach. In contrast with the Western individual prioritization, Eastern people are group-oriented thus a self-gift is meant to be shared. Research limitations/implications- In order to avoid any cultural mistake and a low target rate of response self-gifting message customization is advisable. For instance, in West durable and expensive products can be advertised as self-gifts while in the East consumable products and products suitable for sharing can benefit from self-gift-oriented messages. In contrast, experiential self-gifts such as trips can be marketed in a similar way in both East and West. Due to the lack of financial support and time constraints the interviews were not preceded by a complete series of pilot studies. In addition to this, the qualitative analysis as such is vulnerable from the point of view of generalisability, validity and reliability. The interpretivist research philosophy adopted that focuses on the uniqueness of the individuals can also be considered a barrier towards absolute generalisability. Thus, no universal application of the studies’ results has been assumed. However, the study gives some useful insights into the nature of self-gifting behavior across the division East-West and as such provides material for future research on the topic. Research paper