Eurasian Journal of Business and Economics

1-11

Authors: Yu HSING

This paper examines the relationship between Hungary’s stock market index and relevant macroeconomic variables. The GARCH model is applied in empirical work. It finds that Hungary’s stock market index has a positive relationship with real GDP, the ratio of the government debt to GDP, the nominal effective exchange rate and the German stock market index, a negative relationship with the real interest rate, the expected inflation rate and the government bond yield in the euro area, and a quadratic relationship with real M2 money supply. It indicates that there is a positive (negative) relationship if real M2 money supply is less (greater) than the critical value of 9,563 billion forints. If the quadratic relationship is not specified and tested, the positive coefficient of real M2 will be insignificant at the 10% level, and we may reach a misleading conclusion that the stock market index is not affected by real M2.

25-51

Authors: Ziyodullo PARPIEV & Kakhramon YUSUPOV

This paper investigates empirically the relationship between household economies of scale and consumption in Uzbekistan. Particular attention is paid to the so-called “zero consumption problem” and Tobit estimator is utilized to deal with the problem. Using the household survey dataset made available recently, we test presence (or lack) of household economies of scale in seven different consumption categories (food, meals out, clothing, education, health, transportation and shelter). We find evidence of strong and positive household economies of scale in consumption of meals out, clothing, education, health, transportation and shelter, while consumption of food fails to indicate this pattern. We also estimate food Engel curve using non-parametric kernel estimates and fail to find the existence of household economies of scale through food consumption data.

53-67

Authors: Ravi KIRAN & Sunita MISHRA

The Pharmaceutical Industry witnessed a change after the formation of World Trade Organization (WTO) in 1995 when India, being a signatory member of WTO, adopted Trade-Related Aspects of Intellectual Property Rights (TRIPS) Agreement. Indian pharmaceutical industry, being a highly fragmented one and dominated mostly by a large number of smaller enterprises, was also apprehensive when TRIPS was included in WTO. In the above backdrop, this paper examines the Impact of TRIPS on Research and Development, Exports and Patenting activity of The Pharmaceutical Industry of India. The results of the study highlight an increase in R & D Expenses, and R& D Intensity of leading Pharmaceutical companies in the Post- TRIPs period. Moreover, the Indian companies have been at the forefront, both in terms of Drug Master Filings (DMF) and abbreviated New Drug Applications (ANDA) filings in post TRIPS period.

81-97

Authors: M.Ozgur GUNGOR & F. Zeynep BILGIN

Organizations of today are aware of the necessity to communicate with customers beyond learning about their satisfaction, loyalty or complaints. The closest way is focusing on customer involvement, a general term used for capturing the responses, advises and ideas of customers in order to better proceed with innovation ideas for product and service development in a competitive market environment. This flow, which is named as “customer’s advisory” by the authors, necessitates openness and capability. Openness requires technological focus along with responsiveness and empathy in organizational culture, creating a positive communication environment. The two variables of the capability construct are frequent and bilateral information sharing. This study was conducted to detect the level of use of these two constructs by various organizations operating in Turkey. The aim was to understand the interest in customer involvement to remain competitive, how “customer’s advisory” was used to collect customer views and responses in order to nurture creativity in innovation processes. Results reflect that organizations proved to be open; responsive to meet expectations, willing to understand the customers, and reflected empathy to encourage creative ideas. Also both variables of the capability construct proved to be strong where well-educated and trained employees help most for understanding the comments of customers. Turkish organizations’ following the customer’s advisory with openness and capability brings a new focus into Customer Relationship Management via feeding a creative process leadership focus to remain competitive.