{"title":"IS FINANCIAL ACCOUNT OF BALANCE OF PAYMENTS SUSTAINABLE?","authors":"Hui Theng Nga, T. Tang","doi":"10.51200/lbibf.v17i1.1906","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1906","url":null,"abstract":"This study aims to investigate the sustainability of financial account balance of Balance of Payments (BoP) with global evidence. The sample covers 117 countries with quarterly observations ranging between 1945 and 2016. This study employs Augmented Dickey-Fuller (ADF) unit root tests with structural break. The empirical results suggest all of the sampled countries, except for China have their sustainable financial account balances. This finding is important from the policy perspective that the capital account liberalization, and macroeconomic policies are favourable in the long-run.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"134309104","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"EXCHANGE RATE VOLATILITY, REAL TOTAL EXPORTS AND SUB-CATEGORIES OF REAL TOTAL EXPORTS BY STANDARD INTERNATIONAL TRADE CODE (SITC) OF MALAYSIA","authors":"Wong Hock Tsen","doi":"10.51200/lbibf.v17i1.1907","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1907","url":null,"abstract":"This study examines the impact of exchange rate volatility on Malaysia’s real total exports and sub-categories of Malaysia’s real total exports by standard international trade code (SITC). Exchange rate volatility is estimated by the stochastic volatility with moving average (SVMA) model. The conventional and partially asymmetric autoregressive distributed lag (ARDL) models are used in the estimation. Exchange rate volatility is found to have significant impact on real total exports and some sub-categories of real total exports in the short run and long run. The impact of exchange rate volatility on exports can be negative or positive and is different for sub-categories of real total exports. The partially asymmetric ARDL model shows that positive exchange rate volatility or negative exchange rate volatility tends to have positive or negative impact on exports. Generally, exchange rate volatility can be harmful to Malaysia’s exports.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"64 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"134511530","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"SHAREHOLDER ACTIVISM AND ITS EFFECTIVENESS: THE CONCEPTUAL PROCESS MODEL","authors":"Maizatul A. Musa, Shahril E. Ismaila","doi":"10.51200/lbibf.v17i1.1917","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1917","url":null,"abstract":"The shareholders have changed their approach with regards to the monitoring of their investments nowadays. They have become more involved with the companies in their investment portfolios. Perturbed by many corporate scandals, the shareholders are now adopting responsible investing as their common investment approach. Thus, this has made shareholder activism on the rise. This phenomenon has attracted many corporate governance scholars and policy makers. Through relational investing method, such as private meetings and negotiations shareholder activism flourishes. Shareholder activism is purported as one of the corporate governance issues that the management and the board of directors have to seriously take into consideration while implementing corporate governance practices in their establishments. Based on the shareholder activism literature review, the essential components are identified, thus, the suggested factors are integrated into shareholder activism overall process of shareholder activism in order to gain its effectiveness. Shareholder activism will be more effective if the two parties involved in the process aware of their corporate governance roles and the roles are being assimilated into the suggested model. The factors have been identified in the corporate governance literature, specifically on shareholder activism and the conceptual process model has been developed to model the interactions of the all the factors during shareholder activism takes place. The action in the process is an integral of determining the success of shareholder activism in influencing the behaviour of the targeted companies. This paper suggests the use of external consultants and the right channel and follow-ups as additional factors to the process model in ensuring the effectiveness of shareholder activism.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"44 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"134529300","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Quazi M Ahmed, Iftekhar Amin Chowdhury, Lim Yi Huey
{"title":"THE EFFECT OF GLOBALIZATION ON ASEAN COUNTRIES","authors":"Quazi M Ahmed, Iftekhar Amin Chowdhury, Lim Yi Huey","doi":"10.51200/lbibf.v17i1.1918","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1918","url":null,"abstract":"Globalization is a method of interaction of developing the global economy among all the countries of the world. It is the integration of economies with all the economies of the world. Globalization is seen as facilitating increasing flows of capital, goods, services, and ideas among the countries, thus contributing to their high economic growth in the past decades. The purpose of this study is to investigate the effects of globalization in ASEAN countries. In the area of international relations, globalization changing nations and borders of Southeast Asia through increased regional cooperation in the formation of the Association of Southeast Asian Nations (ASEAN). The establishment of ASEAN as one of the most highly-integrated regional organizations is the reflection of the process of globalization. This study proved that globalization contributed some benefits for ASEAN countries such as the development of education and health system, employment opportunities, employment growth, technology information, and competitive advantage. With the current economic situation that is going on all over the world, it is of utmost importance that countries are exposed to globalization and free trade. The benefits of these can bring about positive changes in countries, not only in ASEAN but all over the world.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"2 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122290513","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"STOCK PRICE AND MACROECONOMIC VARIABLES: AN EMPIRICAL ANALYSIS OF MALAYSIA AND HONG KONG SECTORAL STOCK INDICES","authors":"Pui Man Sun, H. Wong","doi":"10.51200/lbibf.v17i1.1920","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1920","url":null,"abstract":"This study employs the autoregressive distributed lag (ARDL) bounds testing approach to investigate the relationship between sectoral stock indices and selected macroeconomic variables (overnight interbank interest rate, consumer price index (CPI), money supply M1, exchange rate and industrial production index (IPI)) in Malaysia and Hong Kong for the period of May 2000 to June 2017. The S&P 500 index is also included to capture its influence on these stock markets. The procedures performed include the unit root test, ARDL bounds test for cointegration, estimations of long-run coefficients and error correction model (ECM). For Bursa Malaysia, the results reveal that the sectoral indices of Finance, Property, Technology, Construction, Industrial Product, Plantation, Trading/Services and Consumer Product are cointegrated with the macroeconomic variables. For Hong Kong Stock Exchange (SEHK), the findings confirm the existence of cointegration between the stock index and macroeconomic variables only for the Finance, Properties and Construction, Information and Technology, Industrials, Materials, Consumer Goods and Conglomerates sectors. The magnitude and significance of the macroeconomic variables’ influences vary across sectors and are different between the two stock markets. Specifically, the long run influence of macroeconomic variables on sectoral stock indices is in overall more significant in Malaysia than in Hong Kong, suggesting that the SEHK is more efficient with respect to the influence of macroeconomic information.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"24 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"116429467","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"MARKET COMPETITION AND FINANCIAL STABILITY: THE CASE FOR TAKAFUL (ISLAMIC INSURANCE) MARKET","authors":"Cheong Sue Sim, A. Hassan","doi":"10.51200/lbibf.v17i1.1912","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1912","url":null,"abstract":"The Takaful market has been growing substantially since its initiation and has begun gaining traction across the globe. Nevertheless, recent pressures for consolidation may bring about significant implications upon market competition, as well as economic and financial performances. As such, this study highlights the recent financial market failures and discusses the ambiguous link between competition and stability. Additionally, this study emphasizes the significance of competition in affecting the stability of Takaful operators to reinforce the comprehension of Takaful market behavior. This study provides important policy implications for regulators, investors, and other market participants to promote the progress of the Takaful sector.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"3 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130817496","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Ng Yin Kuan, L. Fei, Fong Chee Yang, Kuek Thiam Yong, Lim Yoong Hing, Peter Tan Sin Howe, Nurliyana Maludin
{"title":"WHY INNOVATE IN MARKETING? A CASE OF POSH NAIL SPA","authors":"Ng Yin Kuan, L. Fei, Fong Chee Yang, Kuek Thiam Yong, Lim Yoong Hing, Peter Tan Sin Howe, Nurliyana Maludin","doi":"10.51200/lbibf.v17i1.1913","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1913","url":null,"abstract":"Manicures and pedicures are gaining market popularity in Malaysia. The evolution in beauty and personal care industry offers more opportunity for small businesses in marketing personal care and cosmetics products. There is an increasing number of nail salons providing manicures and pedicures services as well as nail art in the city; mostly in middle to high-end shopping malls, business centres or standalone nail salon in commercial shop lots. The consumers are mostly influenced by heavy advertising, for instance advent of K-pop and K-drama, marketing activities and growing trends of chasing beauty. The beauty industry or more specifically the nail care segment is highly fragmented due to various customers with different needs and wants pertaining to service levels, product categories and pricing. Hence, innovative marketing will become an important tool to success. The conventional marketing strategies are no longer effective as the businesses are propelled by the advancement of technology and change in social factors. The departure of conventional marketing strategies is necessary for the vendor to open new market segment and to increase sales. This study will explore the innovative marketing strategies in nail salon through case study method. The study also aims to discover on how the vendor overcome the challenges faced in this industry. The discussion will review the new approaches used as a new marketing idea brought in by the business.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"3 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"124909553","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"UNDERSTANDING CONSUMERS’ INTENTION TO USE ONLINE PROPERTY WEBSITES: A CONCEPTUAL MODEL","authors":"Mui Ling Dyana Chang, N. Mohd Suki","doi":"10.51200/lbibf.v17i1.1919","DOIUrl":"https://doi.org/10.51200/lbibf.v17i1.1919","url":null,"abstract":"The property industry has played a significant part in the growth of the national economy. However, minimal research has been accomplished regarding the study of consumers’ intention to use online property websites, particularly in developing countries. Furthermore, little is known about the underlying factors that influence the consumers in the property industry’s intention to use online property websites. Therefore, it is the aim of the study to understand the elements that induce consumers’ intention to use the online property websites by employing the technology acceptance model (TAM) as the theoretical model (Mardikyan et al., 2012). The model comprises three independent variables, namely the perceived ease of use, perceived usefulness, and perceived trustworthiness, while a consumers’ intention to use the online property websites is chosen as the dependent variable. These variables and their association with each other are not only explored, but in future research, they will be empirically tested.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130038825","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"USER SATISFACTION OF E-HOMESTAY PORTALS IN MALAYSIA","authors":"Rizal Hamid, Hanudin Amin, Soffri Yussof, Ku Chen Jung, Suddin Lada, Syed Nasirin Syed Zainol","doi":"10.51200/lbibf.v16i.1638","DOIUrl":"https://doi.org/10.51200/lbibf.v16i.1638","url":null,"abstract":"The Internet has significantly improved the quality of consumers’ decision when making online bookings for homestays which is an emerging segment of hospitality in Malaysia. Drawing from DeLone and McLean’s Theory of Information System Success, this study examines the effects of information quality, system quality, and electronic service quality on user’s satisfaction of e-homestay portals. Data were collected from homestay lodgers (N=187) in Malaysia. The study reports that the antecedents of information quality, system quality and electronic service quality positively correlates with user’s satisfaction. These results provide better understanding for the service providers to better plan their homestay portals to meet the expectation of potential users. The present study also highlights the significance of homestays lodging for the hospitality and tourism industry in Malaysia. Limitations of the study and future works are noted and discussed","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"260 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-11-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132328484","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"THE IMPACT OF HUMAN CAPITAL INVESTMENT TOWARDS LABOUR PRODUCTIVITY: EVIDENCE FROM MALAYSIA","authors":"Suzillah Sidek, Hayat Khan","doi":"10.51200/lbibf.v16i.1639","DOIUrl":"https://doi.org/10.51200/lbibf.v16i.1639","url":null,"abstract":"The economic value of education, in terms of its contribution to social and private returns (Psacharopoulos, 1994), motivates individuals and countries to invest in the education industry. One of the social returns of human capital investment is an increase in productivity that leads to economic growth. This paper studies the contribution of human capital investment towards productivity. In particular, we quantify contribution of different levels of education to productivity growth at industry level in Malaysia during 2005 to 2012. The Arellano-Bond (1991) approach that uses the longitudinal data, produces efficient and reliable estimates in our case. We find that at aggregate level, primary, secondary, and tertiary education levels are all important in terms of its contribution to productivity. The more specific industry analysis however shows that primary education does not play a significant role in productive industries, whereas it is as important as any other level of education in low productive industries. We also study the impact of National Higher Education Strategic Plan (NHESP) 2007 policy during our sample period on productivity growth and subsequent policy change in 2009 due to change in the regime.","PeriodicalId":163324,"journal":{"name":"Labuan Bulletin of International Business and Finance (LBIBF)","volume":"31 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-11-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"126808787","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}