ISSN: 1813-0534






Volume 6 No.4 December 2010 Edition

International Labour Migration, Remittances and Poverty Alleviation in The Philippines

Angelito B. Acupan
Strategy, Policy and Communications Office, Small Business Guarantee and Finance Corporation, the Philippines
Frank W. Agbola
Newcastle Business School, Faculty of Business and Law, The University of Newcastle,Australia


Over the last two decades, international migration has grown rapidly, mainly due to
globalisation of economic activity and its ensuing effect on international labour migration.These recent episodes of rising international migration and remittance flows present challenges to both developed and developing countries. With US$16.4 billion in official remittances in 2008, the Philippines stand prominent as one of the major remittance-receiving and labour-exporting countries in the world. This paper provides critical review of migration policy reform in the Philippines and assesses the impacts of remittances on the Philippine economy.

Keywords: International migration, remittances, poverty alleviation, Philippines



The Use of Community Service Project to Teach Leadership and Team-Building in The Asian Context

Gilbert Tan, Singapore Management University, Singapore


This paper discusses the theoretical foundations of utilizing Community Service Project(CSP) or service-learning to teach Leadership and Team-Building. It examines the students’ reactions to this innovative method of instruction. This is done through conducting a content analysis of students’ learning journals, in which students reflect on their CSP learning experiences. Two themes emerged from the data: (a) variety of learning experiences, and (b) impact of CSP experience. The data suggested that students derived a variety of learning experiences from the CSP. In addition, there were attitudinal and learning impacts associated with the CSP experiences. The paper also outlines some practical guidelines for successful implementation of CSP or service-learning as a pedagogical method.


Tips on Teaching at Sanda University Shanghai-Pudong, People’s Republic of China

Ralph Gallay, Ph.D.
Rider University, Lawrenceville, NJ, USA


Rider University in New Jersey, USA and Sanda University in Pudong, People’s Republic of China share a joint program in Business. Rider faculty travel to China to teach and Sanda students visit the USA to engage in and complete both undergraduate and graduate degrees in Business Administration. In May and June of 2005 the author, an Associate Professor of Marketing, taught two sections of Marketing Principles in English, in the Global Business program at Sanda University, Shanghai-Pudong, PRC. He recounts here, several of his own experiences to facilitate similar or related activities of others.



Impact of Training Methods on Training Effectiveness: Evidence from Foundation Training Course, BPATC in Bangladesh

Md. Zohurul Islam,
Bangladesh Public Administration Training Center, Dhaka
PhD Candidate,School of Management,AIT, Thailand


The main intention of this study is to find out the relationship of different training methods used in Foundation Training Course to develop entry level Civil Servant for the better functioning of the government instrument to provide goods and services to the citizen. Purposive sampling method has been taken 45th Foundation Training Course (FTC) with 243 respondent were interviewed with a structured questionnaire at the end of the course. This study has found that there was a high significant correlation between the training methods, and have positive impact on effectiveness of FTC objective. In this study, dependent and independent variables have association and have impact on training effectiveness. Principal Component VARIMAX rotation extracted factors are confirmed with regression model. Regression results showed that training methods have impact on training effectiveness. But all the methods have not significant impact on training effectiveness. This widely used method will give a new way of attention to the faculty members of BPATC for redesigning the training method for delivering lecture. This study did not look other courses training method held in BPATC training program.



Management and Business Implications of Knowledge Management and Organisational Learning

Professor Chris Rowley & Dr Irene Hon-fun Poon
Centre for Research in Asian Management, City University, London, UKHEAD Foundation, Singapore


The importance and development of knowledge and its consequent use and management, including with organisations that ‘learn’, are ever more important and topical managerial and business areas. Given this, here we look at types of knowledge development and management as well as organisational learning and cultures. We also examine the components in a system of knowledge management. We then move onto the linked area of organisational learning. Practical implications for organisational structure and human resource management are detailed. These developments have critical implications for organisations and management. We highlight some of these with real life examples from the Chinese financial sector. This analysis will provide useful ways of thinking, frameworks and examples of use to managers, businesses and organisations generally.


Leadership Competence & Identity:The Role of Formative, Situated-Experiences

Prof Kurt April, PhD,University of Cape Town,Cape Town ,South Africa
Pieter Vermeulen,Neeley School of Business, Texas Christian University,USA
Dr. Eddie Blass, EdD ,Schol of education,University of Hertfordshire,UK


Many studies in the management discipline have focused either on what it takes to be a business leader (normative) or what business leaders do (empirical), but little is known about the development of business leadership competence. The contribution of this paper lies in its use of life-stories of highly accomplished business leaders as data, and its dynamic design,focusing on life-long competency development. This paper proposes that highly accomplished business leaders encounter specific ‘formative events’, engendering learning to- learn agility, throughout their careers that play central roles in the development of their social identities, and their capacities to deal with change through the use of narrative analysis methodology and clustering techniques. The paper concludes that leadership competence of successful business leaders is developed through the occurrence of formative events that enable them to define their sense of identity, build their capacity to deal with change, and become agile in their ability to learn.
Keywords:Formative events; leadership competence; identity; reflective practitioners; learning



Predictor Variables of Transformational Leadership (TL) Tendency

Wong Kee-Luen, Ng Shwu-Shing and Julian Teh Hong-Leong, Universiti Tunku Abdul
Rahman, Malaysia


In recent years, much research was conducted on transformational leadership (TL) with the objectives of understanding the underlying causes and outcomes of transformation leadership. These interests are due to the importance of TL research as TL has been accredited with superior organizational success (Avolio, Waldman & Yammarino, 1991;Barling et al., 1996; Boerner & Streit, 2005). This paper examines the TL phenomenon and with support of primary data collected from Malaysian managers, argues that the appropriate personality traits that can be used to predict TL tendency in business managers are Extroversion, Emotional Stability, and Openness to Experience of the Big Five Personality Model. This implies that Human Resource (HR) practitioners attempting to recruit new transformational leaders should look for these three important personality traits during the interview and selection process.

Keywords: transformational leadership, transactional leadership, personality, organizational success, Big Five Personality Model.

The Impact of Networking on Business Performance: A Case Study of Malaysian SMEs

Ali Salman Saleh ,Swinburne University of Technology,Australia
Charles Harvie,Faculty of Commerce,University of Wollongong,Australia


Business networking, including the sharing of knowledge and exchange of information, and its impact on business performance has received significant recent attention in the literature, but there is scant literature analysing the relationship between business networking and business performance within the context of business constraints. In this paper the authors argue that the impact of business networking on business performance should, most appropriately, be examined within such a context. Numerous measures are developed in the paper aimed at capturing the extent and nature of business networking, business performance, and business constraints in the context, specifically, of small and medium enterprises. Then, using exploratory factor analysis and multiple regression techniques, data from 150 Malaysian SMEs reveal that networking has a positive and significant impact on business performance, while other perceived business constraints are found to be negatively and significantly linked to business performance. The results presented suggest that measures adopted by policy makers aimed at enhancing business networking and reducing perceived business constraints will have significantly beneficial effects upon the business performance of SMEs.
JEL classification: M10, M13
Keywords: networking, business constraints, performance, factor analysis, regression.



Sexual Harassment and Job Performance

Michael Richard, MBA, Graduate Student, Cameron University ,USA
Ali Soylu, Ph.D., School of Business,,Cameron University, School of Business,USA


This paper will examine sexual harassment within the workplace. The definition of
sexual harassment is considered. Further, the general effects of sexual arassment—such as,but not limited to, mental, physical and emotional — is discussed. Sexual harassment affectsthe job performance of both males and females within the workplace. These effects and the effects on team job performance are reviewed. Finally, this paper discusses methods undertaking by organizations or employers to deter sexual harassment in the workplace. In conclusion recommendations and measures that enhance or foster a healthy and productive work environment are examined.

Keywords: Sexual harassment, Job performance, Workplace, Organization.


The Current and Future States of LIFO and Available Opportunities

Peter Harris, CFA, CPA. New York Institute of Technology, USA


The Last in First out Method (LIFO) is presently under severe scrutiny from the financial community, which may soon culminate in its repeal as an acceptable accounting method. There are pressures from the SEC in conjunction with the International Financial Accounting Standards Board to standardize accounting standards worldwide. In addition,there is political pressure imposed by the US Obama administration to raise additional revenues. Both groups strongly oppose LIFO, raising a strong possibility that’s its complete elimination as an accounting method will occur by as early as 2014. The author presents the present and future status of LIFO and the reasons of its imminent repeal in the near future. Assuming that this will occur, the author presents some tax opportunities available to the taxpayer in this transition period.


Information Technology, CAAT’s and the External Audit

Hashanah Ismail and Khian- Kim Lim
Universiti Putra Malaysia


This paper reports on a study of how IT affects the audit process. Based on responses received from Malaysian practicing auditors, the study finds that IT enhances the efficiency more than the effectiveness of audit. CAAT’s are used as mandated by auditing standards but only audit software is extensively used as opposed to test data. The results have implications on audit risk and training of future accountants.

Keywords: CAAT’s, audit software, test data, audit risk

Is Implied Volatility Sensitive to The Choice of Currency Options Maturity Period?

Ariful Hoque
School of Accounting, Economics and Finance
University of Southern Queensland, Australia


Implied volatility (IV) is widely used in pricing options because traders believe that IV is the best predictor of exchange rate volatility. The Philadelphia Stock Exchange offers a continuous series of strike price options that can expire on more than one maturity date. This leads to the question of whether IV is also sensitive to the choice of the options maturity period. To examine this question, this study first chooses two types of options based on the maturity period: (1) within-month-maturity options with expiration period ranges from one day to one month; and (2) next-month-maturity options with an expiration period varying from one month to two months. The IV for within-month-maturity options (WMIV) and next month- maturity options (NMIV) are estimated. Second, the realized volatility (RV) over the remaining life of the options is constructed from the daily return of exchange rate volatility. The RV for the within-month-maturity options expiration period (WMRV) and the next month-
maturity options expiration period (NMRV) is computed. Finally, graphical and
statistical approaches are employed to assess the ability of WMIV and NMIV to explain WMRV and NMRV, respectively. The test results argue that the options with two maturities provide the IV with different characteristics. The analysis also shows that NMIV is superior to WMIV for explaining exchange rate volatility. Therefore, we assert that IV is sensitive to the choice of options maturity period. This novel approach can be used to select the options maturity period for the best IV estimation outcome.
JEL classifications: G13, G17
Keywords:Currency options, implied volatility, realized volatility, MATLAB, within-month-maturity options, next-month-maturity options

Purchasing Power Parity during the Floating Exchange Rate Regime: Some Empirical Evidence from Sri Lanka

Guneratne B Wickremasinghe
School of Accounting and Centre for Strategic Economic Studies
Victoria University,Australia


This paper examines the validity of purchasing power parity (PPP) for Sri Lanka during the floating exchange rate regime. Exchange rates for four currencies (Indian rupee, Japanese yen, UK pound and US dollar) against the Sri Lankan rupee are used in the empirical analysis. Making a departure from most previous studies, univariate unit root tests with better size and power properties and panel unit root tests are used to examine the PPP. The results of these tests refute the validity of PPP for Sri Lanka. These results have implications for government policy makers, finance managers and corporate foreign exchange dealers.
JEL Classifications: F31; C32; C22; F0
Keywords:Purchasing power parity, Japanese yen, panel unit root tests, real exchange rates, Sri Lanka

Insurance Company Stock Returns Behavior towards Market Risk and Interest Rate Risk

Zaidi Isa and Rubayah Yakob, National University of Malaysia, Malaysia


The purpose of this study is to investigate the influence of market risk and interest rate risk on the stock return of insurance companies listed in Malaysian stock exchange. The sensitivity of the stock returns towards the systematic risks is compared across all insurance companies by employing SUR specification. This system approach is more appropriate since it can take into consideration the contemporaneous correlation that may exist in different equation. The results revealed that the stock returns react positively towards market movements but not interest rate risk. Joint hypotheses of equality of parameter being estimated proved that the effect of market risk is not equal across firms. This indicates that different companies have different exposure towards the market movements. This is due to the fact that each company has different portfolio allocation. Greater investment link products offered by the company will lead to greater sensitivity on the market movements. Moreover,
companies that offer non-life products will have less impact since most of its products are not related to market.


Analyzing Servqual Dimensions in Increasing Customer Satisfaction: A Comparative Study Between Hotel And Resort in Melaka

Raja Roslan Raja Abd. Rahman
Abu Bakar Mohd Yusuf
Ahmad Hidayat Ahmad Ridzuan
Kalthom Husain
Juan Rizal Sa’ari
Universiti Teknikal Malaysia Melaka (UTeM)


The role of service quality in the success of hotel businesses cannot be denied. It is vital for the hotel managers to have a good understanding on what exactly the customers want. Furthermore there also had been concerns that service quality dimensions may differ from one country to another. Hence this study intends to analyze the service quality dimensions in increasing customer satisfaction by conducting comparative study between 3 star hotels and resorts in Melaka to identify which service quality dimensions are significant in both type of establishment, to identify whether there are any differences regarding the perceived dimensions and to find out which dimensions are the best predictor of overall service quality. Probability sampling techniques were used to collect data from the modified SERVQUAL instruments.SPSS 16.0 for Windows was employed for the data analysis. Descriptive analysis such as means, standard deviation and frequencies are calculated. Reliability issues are tested and dimensionality of the scale is confirmed through an exploratory factor analysis. Finally,regression models were developed and analyzed for both type of establishments. Factor analysis confirmed the five-dimensional structure of SERVQUAL both in hotel and resort category; however, some of the dimensions found and their components were different from the original SERVQUAL. Results of regression analysis revealed that four dimensions were significant in determining overall service quality in hotel category while only one dimension were significant in determining overall service quality in resort category. The study concluded that identifying the perceptions of customers, the dimensions of service quality, and their relative importance for customers for each specific segment of the hotel industry would definitely help managers in the challenge of increasing customer satisfaction.

Keywords : Analyzing, servqual dimensions, increasing, customer satisfaction


The Relationship among Shopping Experience, Perceived Value,and Satisfaction: A Case of Mainland China Tourists

Wei-Fang Chen, Department of Tourism and Leisure Management, Ling Tung University, Taiwan,
Dr. Su-Ling Wu (corresponding author),Department of Leisure Management, Yu Da University of Business, Taiwan


Thanks to mainland China’s free travel policy and rapid economic development, Chinese people are travelling more, and the countries they visit can stand to benefit significantly. Not long ago, the Taiwan government opened its door to mainland Chinese tourists and shoppers. These Chinese tourists’ huge potential spending is and could be a great opportunity for Taiwan’s tourism industry . This study aims to explore the shopping experiences of mainland Chinese tourists in Taiwan and to explore the relationship among their shopping experiences, perceived value, and satisfaction. Hopefully, this study’s results will help Taiwan’s travel industry in arranging travel and preparing marketing strategic planning for mainland Chinese
tourists, especially in tourist-souvenirs related sectors.The object of the survey was mainland Chinese tourists at Sun Moon Lake National Scenic Area. They were randomly chosen, and given 328 valid questionnaires collected with a return rate of 72.89%.

The results of this survey indicated that the occupation, one of demographic factors, was shown to have significant difference on the shopping experience, especially in the following three dimensions: sensory experience, emotion, and related experience. The relationship among satisfaction, perceive value(especially), and shopping experience was shown to be significantly positive, The result also showed that the higher the five dimensions of shopping experience and perceived value were, the higher their satisfaction was.

Keywords: Mainland China Tourists; Shopping Experience; Perceived Value; Satisfaction


The Mediating Effects of Brand Trust on Customer Satisfaction and Brand Loyalty in Taiwan Cosmetic Users

Huery Ren Yeh, Shih Chien University, Kaohsiung, Taiwan
Ling Zhong Lin, Shih Chien University, Kaohsiung, Taiwan
Chia Wen Chen, Graduate Student, Nanhau University, Taiwan


The purpose of the study aims at the discussion of the effects among customer
satisfaction, brand trust, brand affect and brand loyalty. In addition, the study uses brand trust and brand affect as mediators to analyze the relationship between customer satisfaction and brand loyalty. The research subjects are female consumers who ever used cosmetics, and they are asked to respond the questionnaire on understanding the differences and influences among customer perceived value, brand trust, brand affect and brand loyalty of cosmetics usage. The results reveals that (a) customer satisfaction, brand trust, brand affect and brand loyalty have a significant relationship among each other, (b) customer satisfaction will affect brand loyalty through the mediation effect of brand trust and (c) customer satisfaction will influence brand loyalty through the mediation effect of brand affect.

Keywords: Customer Satisfaction, Brand Trust, Brand Affect, Brand Loyalty


The Impact of Social Media on Service Quality

Nancy L. Russo, Northern Illinois University, USA


Today services are the fastest growing component of the world’s economy. As the role of services in the global economy grows, so does the importance of service quality. Higher perceived service quality has been shown to have a potential impact on a firm’s financial and strategic performance through its relationship to consumer behavioral intentions. Whereas technology has changed the way many services are delivered, the central importance of service quality endures. This paper uses the popular Gaps Model of Service Quality and determinants of perceived service quality represented in the SERVQUAL measure to examine the ways in which social media technologies can be used to improve service quality.



Development of the International Sports Event Viewers’ Sponsor Psychological Dimension Scale

Chun-chang Yen , Department of Technology Management, Chung Hua
Meng-yuan Sung, Office of Physical Education, National Chin-Yi University of Technology,Taiwan
Chih-ching Chang,Center for Physical Education, Mingdao University,Taiwan
Shiv-ching Lin, Office of Physical Education, National Pingtung University of Science and Technology,Taiwan
Yu-Cheng Lee,Professor, Department of Technology Management, Chung Hua University,Taiwan


This study constructed the sponsor’s psychological dimension model of international
sports event viewers with lifestyle-related theories to develop an effective and reliable scale.With the onsite viewers of the opening and closing ceremonies of the World Games Kaohsiung 2009 as the population, a total of 524 valid copies of the questionnaire were recovered. The results of data analysis with confirmatory factor analysis (CFA) in the structural equation model (SEM) show that the scale developed is a correlated factors model. It has good internal reliability consistency and construct validity. A further analysis with the item response theory (IRT) also shows that the survey has good reliability and validity and the distribution of item parameters and respondent’s psychological dimension fits well. Therefore, the results of this study show that the viewer’s sport appreciation style scale is a first-order, multi-factor model containing 11 factors. These factors include self style, lifestyle, social style, perfectionism style, brand awareness style, novelty and fashion awareness style, leisure enjoying style, social interactive style, image perception, buying intent and perceptive preference.

Keywords: Lifestyle, behavior decision, World Games, sports event sponsor



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ISSN: 1813-0534