South Asian Journal of Global Business Research

Shaista E. Khilji

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-05-2013-0040

Purpose – The purpose of this article is to offer a recap of the past two years at SAJGBR in terms of its submissions, outline SAJGBR publication criteria and discuss the Editor's future goals with respect to solidifying its reputation as a high‐quality regional journal with a global impact. Design/methodology/approach – The paper reviews the past two years, explains the SAJGBR publication process and criteria, and discusses the Editor's goals and how they will be achieved. Findings – SAJGBR is unique with respect to its focus upon a neglected (but socio‐economically vibrant) region and span across the full spectrum of business discipline. In its two volumes and four issues, it has made significant contributions to creating a repository of knowledge of South Asian business issues, and integrating South Asian perspectives and approaches to international business literatures. Originality/value – The paper reviews the past two years, explains the SAJGBR publication process and criteria, and discusses the Editor's goals and how to achieve them. The Editor makes a plea to all researchers to select South Asia as the context of their studies; and to all authors to undertake rigorous research and carefully evaluate their manuscripts in terms of contribution, attention to context and quality before submitting to SAJGBR .

Pramila Rao

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-10-2012-0120

Purpose – This paper aims to report on the IFSAM (International Federation of Scholarly Associations of Management) 2012 conference, held in Limerick, Ireland, on 26‐30 June 2012. Design/methodology/approach – The paper summarizes the conference, including keynote presentations and conference sessions. Findings – The author concludes that the conference was a very enriching and rewarding experience, and allowed participants and experts every opportunity to create an interpretive environment for learning. Originality/value – This paper provides a detailed report and summary of the IFSAM (International Federation of Scholarly Associations of Management) 2012 conference.

Tsunehiro Otsuki; Keiichiro Honda; John S. Wilson

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-12-2011-0052

Purpose – The purpose of this study is to discuss the progress and challenges of South Asia in trade liberalization and facilitation, and to quantitatively demonstrate the potential benefits of trade facilitation in South Asia. Design/methodology/approach – The quantitative study simulates the trade gains to the region based on the gravity model estimation for 101 world countries. Findings – The gains to the region are estimated to be $31 billion in 2007 and $26 billion in 2010 if South Asia and the “rest of the world” raised levels of trade facilitation halfway to the world average. Of those trade gains, about 80 per cent (in 2007) and 67 per cent (in 2010) of the total gains to South Asia will be generated from South Asia's own efforts. Originality/value – Thus this study demonstrates the importance of trade facilitation as an instrument for expansion of trade both within South Asia and with the rest of the world, as well as policy recommendations regarding the priority area for reform.

Binod Krishna Shrestha; Devi Ram Gnyawali

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-03-2012-0025

Purpose – The purpose of this paper is to examine how managers in Nepalese business organizations and non‐profit non‐government organizations understand and practice strategic management and to what extent such understanding and practices differ from those in western countries. Design/methodology/approach – In‐depth case studies of eight business organizations and non‐government organizations (NGOs) were prepared based on multiple data collection such as interviews and review of reports and the cases were analyzed to identify several themes for discussion of similarities and differences in the views and practices of strategic management. Findings – Managers in Nepal have developed some shared understanding of key aspects of strategic management and practice some important aspects of strategic management; much remains to be done in order for them to develop a clear strategic focus so that they could develop their abilities to compete with global players and to create competitive advantages. Research limitations/implications – This study suggested several avenues for future research for more systematic and data‐driven studies on the roles of international exposure on managers, international partners, national culture and other macro environmental conditions on strategic management practices in Nepal and South Asia. Practical implications – The research findings are useful for managers of business organizations and non‐government organizations to develop their strategies for superior performance in South Asian countries characterized by volatile business environment and resource constraints. Social implications – NGOs which work for social development need to improve their strategic management practices with more rigorous and resilient strategic implementation in Nepal. Originality/value – This research is unique in the context of Nepal and will be useful in similar contexts. The findings contribute to understanding the strategic management practices in a unique culture.

Dilip Kumar; S. Maheswaran

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-08-2012-0104

Purpose – In this paper, the authors aim to investigate the return, volatility and correlation spillover effects between the crude oil market and the various Indian industrial sectors (automobile, financial, service, energy, metal and mining, and commodities sectors) in order to investigate optimal portfolio construction and to estimate risk minimizing hedge ratios. Design/methodology/approach – The authors compare bivariate generalized autoregressive conditional heteroskedasticity models (diagonal, constant conditional correlation and dynamic conditional correlation) with the vector autoregressive model as a conditional mean equation and the vector autoregressive moving average generalized autoregressive conditional heteroskedasticity model as a conditional variance equation with the error terms following the Student's t distribution so as to identify the model that would be appropriate for optimal portfolio construction and to estimate risk minimizing hedge ratios. Findings – The authors’ results indicate that the dynamic conditional correlation bivariate generalized autoregressive conditional heteroskedasticity model is better able to capture time‐dynamics in comparison to other models, based on which the authors find evidence of return and volatility spillover effects from the crude oil market to the Indian industrial sectors. In addition, the authors find that the conditional correlations between the crude oil market and the Indian industrial sectors change dynamically over time and that they reach their highest values during the period of the global financial crisis (2008‐2009). The authors also estimate risk minimizing hedge ratios and oil‐stock optimal portfolio holdings. Originality/value – This paper has empirical originality in investigating the return, volatility and correlation spillover effects from the crude oil market to the various Indian industrial sectors using BVGARCH models with the error terms assumed to follow the Student's t distribution.

Siim Esko; Mindaugas Zeromskis; Juliana Hsuan

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-03-2012-0020

Purpose – This paper aims to investigate the factors a multinational corporation should adapt when doing business at the bottom of the pyramid (BoP) markets. Design/methodology/approach – Based on a systematic literature review on BoP, value chain and innovation, an integrative framework is introduced for analysing business readiness in BoP: organisation, value chain and strategy. Four diverse cases were analysed: GE's reverse innovation project, GrameenPhone, Essilor, and P&G's PuR. Findings – BoP project should be a top‐down supported separate entity with its own strategic processes and financial measurements. Working in the value chain requires diverse thinking in terms of interactivity, partners, setup, and governance. Involving customers and consumers in the innovation process is crucial. The venture also needs to make its offerings accessible, affordable, acceptable, available, and valuable to the customers. A step‐by‐step scale‐up must be followed. Originality/value – The BoP framework can be used as a practical roadmap for companies to analyse the readiness of the business venture and strategy development.

Waqas Ahmed; Khalid Zaman; Sadaf Taj; Rabiah Rustam; Muhammad Waseem; Muhammad Shabir

2013 South Asian Journal of Global Business Research

doi: 10.1108/SAJGBR-05-2011-0010

Purpose – This study aims to examine the relationship between electricity consumption per capita (ELEC) and real per capita income (Y), as the direction of causation of this relationship remains controversial in the existing literature. It also seeks to explore the relationship between energy consumption per capita (ENC) and real per capita income, over a 34‐year period (between 1975 and 2009). Design/methodology/approach – The study uses Johansen cointegration technique to determine the short‐ and long‐run relationship between the variables. The authors also utilize Granger causality test to determine the causal relationship between the selected variables. Findings – The study provides evidence of bi‐directional causality between the electricity consumption per capita and real per capita income on one hand; and energy consumption per capita and real per capita income on the other hand as the direction of causality has significant policy implications. Research limitations/implications – This study does not include all dimensions of the energy growth, but is limited to the three variables which the authors consider to be critical to economic development, including energy consumption, electricity consumption and economic growth. Originality/value – The study uses a sophisticated econometric technique with additional tests of forecasting framework to examine the effect of energy demand on economic growth over a period of the next ten years, i.e. 2010‐2019, in the context of Pakistan. The impulse response describes the reaction of the system as a function of independent variable that parameterizes the dynamic behavior of the system.