ISSN: 1813-0534






Volume 12 No 2 August edition 2016


Volume 12*Number 2* AUGUST 2016

ISSN 1813-0534

 1.  Consumer Rights, Consumer Protection and Social Policies: A Case Study in Singapore

Huong Ha

UON Singapore and University of Newcastle, Australia


This paper aims to (i) discuss how social policies in Singapore, such as the Central provident Fund (CPF), can help consumers in Singapore to manage their needs regarding healthcare, housing, retirement, education and investment, and (ii) evaluate such a policy against the eight consumer rights endorsed by the United Nations.This paper is significant as it will examine social policies from an interdisciplinary approach, including business, consumer studies and policy, and from consumers’ view. Positive and negative lessons from Singapore’s experience will provide better insights into how social policies can meet the consumer rights and achieve the set objectives.

Keywords: Consumer protection, consumer rights, social policy, Singapore

2. News Never Lies: Counterfeit Brand Protection Dilemma in The UAE

Kaleel Rahman, RMIT University, Australia


Despite its potential to become one of the world’s prominent economies, the UAE is at a disadvantage due to the high levels of counterfeit trade in almost all of its emirates, creating a dilemma for government, brand owners, and consumers. This paper examines the state of counterfeit trade in the UAE in terms of its prevalence across different industries and the efforts made by various bodies to deter and combat this flourishing trade. Findings reveal that safety-critical goods such as pharmaceuticals and auto parts dominate reports of counterfeiting; luxury fashion is least reported; fines/penalties dominate the deterrent factors, followed by jail terms, raids, and campaigns. The paper recommends that the government, brand owners, and the media should take active responsibility, rather than just framing laws and reporting facts about the counterfeit trade. They need to create mass resistance and should educate the public about the hazards of using counterfeits so that consumers themselves boycott such products, which in turn will stem the growth of the counterfeit trade in the UAE.

Keywords : counterfeit, brand protection, UAE, content analysis

3. Optimal Pricing of Mass Customized Products: Considering Third-Party Logistics Outsourcing Cost

Peng Jiang, Ghi-Feng Yen (Corresponding author), Yi-Chung Hu

Department of Business Administration, Chung Yuan Christian University, Chung Li Dist., Taoyuan City, Taiwan


Recently, with increasingly fierce market competition, manufacturers have to introduce mass customization production. Under the guidance of the core competence theory, many manufacturers will outsource their logistics activities to a professional third-party logistics companies which are good at supply chain management. This paper discusses how the costs of third-party logistics service influence the income of manufacturers and further determines the best price which is expected to maximize the benefits of manufacturers.

Keywords: Manufacturer; Mass customization; Logistics outsourcing cost; Third-party logistics;

Optimal Pricing

4. Payment Delays in Supply Chains: An Empirical Investigation of Packaging Industry in UAE

Dr. Mohammed Laeequddin, General Manager, Al Wasl Water Purification L.L.C., Dubai, UAE.

Dr. Kareem Abdul Waheed, Professor in Marketing, Institute of Management Technology, Dubai, UAE.


In a supply chain, the upstream partners, Small and Medium Enterprises (SMEs) get into pressure of credit sales which adds inefficiencies to supply chain through additional costs and reduced margins. While the large companies who have better financial facilities and lower interest rates still prefer to work with supplier finance. In the process, large companies win and smaller companies lose the benefit of supply chain partnership. This paper empirically validates the hypotheses that explain the factors that affect payment delays by supply chain members. A survey was conducted in UAE packaging industry’s up and down stream of supply chain covering senior managers of 91 companies. The collected data was subjected to hypotheses testing through PLS-SEM using SmartPLS. The findings of the study suggest that the supply chain members delay their payments when there are several alternative sources of supplies and when they face financial constraints.

Keywords:Payment delays, SMEs, Supply chain management, Packaging industry, UAE

5.  Reconceptualising Drought Risk Management in Australian Agriculture

Adewuyi Ayodele, ADEYINKA,Jean-Francois, ROCHECOUSTE1

University of Southern Queensland



In this paper, we considered the risks Australian agriculture is exposed to and the means of managing them. Policy evolution as it relates to drought risk management was analysed and the impediments to the development of market-based options, particularly moral hazard and adverse selection. Weather insurance and revenue-based multi-peril crop insurance were considered as possible options to facilitate response to drought particularly given the anticipated exacerbation of extreme weather. The pros and cons of providing subsidies were also analysed and related to the ongoing drought and debt trend in rural Australia. We concluded that a public-private partnership is essential to the provision of adequate market-based options. At least, the government will have to provide the necessary legal and technological infrastructures required to adequately price these new models of insurance and further research will be required to identify a pareto-optimal alternative to drought risk management in Australia.

Keywords:Agro-insurance, rural policy, drought, regulatory economics, incentives

6. Comparative Analysis of New COSO Impacts on U.S. Listed SMEs and Large Companies in Healthcare Sector

Xing Su, Sin-Huei Ng

Faculty of Business, Communication & Law, INTI International University,

Negeri Sembilan,Malaysia.


This paper comparatively explores different impacts of the New COSO framework on the two types of companies, SMEs and large companies in terms of financial fraud, financial performance and bankruptcy risk. M-SCORE, fifteen financial ratios, Z-SCORE and O-SCORE of 51 SMEs and 50 large companies listed in the healthcare sector of NASDAQ have been calculated to investigate the interaction effects of the New COSO and company size on the financial fraud, financial performance and bankruptcy risk by the aid of statistical analytical method, Two-Way MANOVA. Meanwhile, the roles of the New COSO and company size in the three aspects have been also explored using Paired Samples T-test and Independent Samples T-test, respectively. Consequently, compared to large companies, the New COSO framework has not showed significant statistical impacts on SMEs based on Two-Way MANOVA results. However, Paired Samples T-test has highlighted the significant effects of the New COSO on Debt ratio, Book value per share and O-SCORE. Meanwhile, M-SCORE, Z-SCORE and O-SCORE have respectively presented a declining and increasing trend after the New COSO application. Thus, it has been inferred that the New COSO framework has a positive impact on the latent financial fraud, financial performance and bankruptcy risks.

Keywords: New COSO framework; financial fraud; financial performance; bankruptcy risk.

7. Comparison of Human Resources Management Practices of SMEs in Indonesia and South Korea: Strategic HRM  Perspective

Anil Chandrakumara

University of Wollongong



This paper explores human resource management practices of small and medium enterprises(SMEs) in Indonesia and South Korea. Despite the fact that these countries have been identified as strong emerging economies and the pivotal role SMEs play in this countries, a relatively less attention has been paid to investigate HRM practices of SMEs. This study uses existing empirical research and published data to explore HRM practices of SMEs of the two countries. The analysis of HRM practices is carried out with respect to different perspectives of strategic HRM model. The findings reveals that HRM practices of SMEs in Indonesia and South Korea are associated with universalistic, contingency, resource-based and institutional perspectives of strategic HRM model. The evidence also indicates simultaneous adoption of both convergence and divergence theories of HRM .Theoretical and practical implications of finding are discussed and a direction for future research is provided.

 8. Who Is Active in Active Learning: A Systematic Literature Review of Business Literature

Dr Mauricio Marrone, Dr Murray Taylor and Mara Hammerle,

Macquarie University



Active learning is linked to increased student confidence, motivation and understanding of course concepts. These findings suggest that educators would benefit from understanding how active learning strategies are used in the business and management literature. The purpose of this systematic review is to summarise and critically appraise the result of eleven years of literature. Eighty-five articles were categorised by: (1) active learning strategy, (2) outcome of strategy, (3) discipline, (4) educational level and (5) geographical area. Our findings analyse the wide diversity of active learning strategies and reveal that accounting and management have the most active learning research of the six disciplines. The accounting field tends to emphasise more on student engagement whereas management research focuses more on social aspects and real-world understanding. Our research shows that games and simulations, the most common strategy, are more closely associated with student engagement whereas experiential learning, the second most common strategy, tends to be used for fostering real-world understanding. The paper contributes to business education research by providing an understanding of the current active learning literature, illustrating the different strategies available to educators and highlighting the outcomes of active learning strategies.

9. Improving Quality of Software Product Development Process during Requirement Phase through Quality   Function Deployment(QFD)

Dr. Jitendra Sharma

Professor (Operations), Institute of Management Technology (IMT), Nagpur (MS)



Quality assurance and control has become important for the software companies to gain a cutting edge over their competitors. Quality function deployment model, which has successfully been implemented in traditional products manufacturing processes, has been modified to suit the software industry needs. The modified QFD model is adaptable to any software engineering methodology that converts the requirements of the software industry’s customers into quantifiable values. This paper presents the details of the QFD model as applied to the software industry. The paper presents works of research by various researchers in support of the theory building on which the application of the model is based. As the problems in software design occur during the early stages of the process, this model helps in raising awareness in the software product development cycle (SPDC), so that rectification can be reached within time to save huge losses.

Keywords:Quality, SQFD, SPDC

 10. The Effectiveness of Dynamic Portfolio Insurance Strategies

Ariful Hoque, Murdoch University, Perth,Australia

Frieder Meyer-Bullerdiek, Ostfalia University of Applied Sciences, Germany


The goal of this paper is to study the performance of different dynamic portfolio insurance methodologies for securities in the German market compared to the Buy and Hold strategy, the stock only strategy and the bonds only strategy in different time periods. The portfolio insurance is designed in the light of Constant Proportion Portfolio Insurance (CPPI), Time Invariant Portfolio Protection (TIPP), and a modified version of the Time Invariant Portfolio Protection (TIPP-M) methodologies. The results of the data analysis suggest that – according to the Sortino ratio – In the German market the TIPP strategy leads to the best results and also outperforms the Buy and Hold strategy in all analysed periods.

Keywords: Portfolio Insurance, Constant Proportion Portfolio Insurance, CPPI, Time Invariant Portfolio Protection, TIPP, Buy and Hold Strategy, downside protection, Lower PartialMoments, Sortino ratio

JEL Classification: G11

 11. Impact of Exchange Rates on Indian Stock Market Return – Post Subprime Crisis

Pradip Kumar Mitra, Amit Maurya

Vivekanand Education Society Institute of Management Studies and Research



This paper, using daily data for seven years post subprime crisis (2008-2015) has taken up the issues of linkages between stock return and exchange rate returns. Two composite equity index were chosen as Sensex and Nifty. The four exchange rates selected were USD-INR, EUR-INR, GBP-INR and YEN-INR. The paper tries to understand the causal ordering issues between two markets (Equity market and Foreign Currency Market) by rolling out unit root test and granger causality test. The empirical research provided evidence of time varying causality between the two market returns which is found unidirectional in nature in all the relationships tested.

 12. The Underutilization of Indonesian Corporate Webs to Disclose Corporate Governance Information

Martin Surya Mulyadi; Bond Business School, Australia

Bina Nusantara University, Indonesia


Low quality disclosure practices and lack of transparency are the major criticism of Asian corporations during the 1990s Asian financial crisis. Through corporate governance reform, as a response to this crisis, Asian corporations start addressing their weaknesses. One option to overcome the criticism is the use of corporate webs to provide information to their stakeholders. In developed countries, such as Australia, the UK and the USA, corporate webs are commonly used to provide corporate governance information. Using content analysis based on UNCTAD corporate disclosure benchmark, this research documents that Indonesian corporations still underutilize corporate webs for corporate governance information dissemination. Furthermore, the information being disclosed in corporate webs is not too helpful for reducing information asymmetry as the disclosure regarding financial transparency and auditing practices is still minimum.


13. Intellectual Capital Disclosures Does Social Media Make A Difference? Evidence frm Australia and Indonesia

Yunita Anwar,Deborah Delaney(Corresponding author),Chew Ng,Lanita Winata

Department of Accounting, Finance and Economics

Griffith Business School

Griffith University,Brisbane,



Intellectual capital (IC, hereafter), an intangible asset in accounting, is a combination satisfaction), and (iii) human capital (eg education of employees). Due to its distinctive nature, IC does not meet the asset recogniton rule under AASB 138 Intangible Assets. Researchers in the past have used annual reports to analyse these voluntary disclosures. More recently, company websites have also been used to analyse IC disclosures. In the light of the growing use of social media worldwide (especially the Facebook), this study attempts to ascertain whether there is a difference between what is being disclosed in the annual report and on the Facebook page of the sample companies. Using data extracted from ASX 200 and IDX for 2013, the study finds that Facebook is widely used for IC disclosures relating to external capital while human capital is the most disclosed item in the annual report. The overall findings are consistent between Australia and Indonesia, with differences being identified in the sub-categories of IC. Findings of this study have implications for communication initiatives for both the preparers (ie companies) and stakeholders

 14. Financial Institution System Security Framework : A Solution to Financial Frauds

Dr. Amit Kumar Bhardwaj, Dr. Shalu Bansal

LM Thapar School of Management, Thapar University, Patiala



Fraud is a crime, and is also a civil law violation. Many fraud cases involve complicated financial transactions conducted by 'white collar criminals' such as business professionals with specialized knowledge and criminal intent. More than 36000 website of different countries are suffering from cybercrime, cyber war, cyber espionage and hacktivism every day in October 2014. Prior research indicates that financial fraud is seldom experienced by auditors. As a result, it is doubtful that auditors have a well-developed cognitive model for making fraud risk assessments as part of the audit planning process. In this paper, a financial institution system security (FISS) framework, which describe the threats, attacks and solution for an electronics based financial institution has been proposed. On the basis of proposed framework, it is suggested that the whole transmission process at FIS transmission layer data transmission must take place in secure manner, each user must use their digital signature, and digital certificate of the application, each packet of financial institution system transmission must incorporate the latest technology of encryption, compression and hashing over secure socket layer and secure shell transmission.

 15. Performance Expectations and Aspirations:Corporate Risk Management

Devinaga Rasiah

Faculty of Business

Multimedia University



This study reviews corporate risk management. The corporate risk management is an inbuilt part of good business discipline. Risk Management has traditionally evolved as a professional and technical practice in some of the crucial field such as finance, health and safety, clinical and environmental areas. Burlando (1990) has indicated corporations are normally confronted with a diversity of risks. Shareholders and Stakeholders therefore need this information for their decision making processes of the company. This will help them to plan for corporate risk management in the future. It is important that corporation risk managers and shareholders have this information as it reveals the consistency of the corporation’s risk policies and expected outcomes.

Keywords: Corporate governance, Corporate Risk, Risk Management, management.

 16. Stock Valuation and Accounting Information: An Analysis of Indian Banking Sector

Raithatha Mehul,Indian Institute of Management Indore, India.

Bapat Varadraj,S J Mehta School of Management, Indian Institute of Technology Bombay,India


Using sample of listed Indian banking firms for a period of ten-year (April 2000 to March 2010) we aim to find out relation between stock valuation and accounting information. The relation between average returns and beta is found to be strongly negative which is inconsistent with CAPM model. We find earning price ratio and market beta to be positively related to average return. The study will be useful to investors and analysts. It shows that higher market risk may not always result in higher average returns. The positive earning price effect implies that stocks with higher earnings-price ratio tend to produce higher average returns.

Keywords:Stock Valuation, Banking Sector, CAPM, Leverage, Beta , Accounting information

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ISSN: 1813-0534