• Asia Marketing Journal
• /
• 제15권3호
• /
• pp.141-157
• /
• 2013

Managing customers based on customer equity (CE) has emerged as the most effective way of doing business because of its ability to foster profitable customer relationship management (CRM) through appropriate marketing activities. Most research studies provide conceptual and empirical evidence of the positive link between CE and firm performance. However, regarding this possibility, it has been suggested by some researchers that this link may not hold true for other firms with different firmographic factors, such as firm growth rate, size, and resources. As previous research emphasizes that marketing managers should implement a strategy based on their unique business environment, our study addresses this issue by extending the framework to a different industry setting to investigate the impact of CE on firm performance. We develop a model for examining the relationship between the firm's estimated CE and firm performance by each time period using a distributed lagged model. Then, we investigate the effect of CE on the firm's profitability using a regression analysis. Finally, even though CRM is in increasing demand and firms are focusing on the customer as an asset, we conclude that there is a limited condition for this positive effect of CE. When the life cycle was divided by growth rate, CE was shown to have a distinctive effect on profit. In the case of a high-growth stage, the effect of CE on profit is positive because of its potential customer base, whereas the effect is not significant in a low-growth stage. That is, when the business environment is saturated and the firms are no longer competing in the market, CRM may not be effective. In other words, a long-term performance orientation may not be as effective as previously believed. This research contributes to the previous literature, providing a counterintuitive suggestion that firm managers should be cautious about implementing a CRM strategy and should allocate resources properly in terms of their resource capabilities and ability depending on their situation.

• The Journal of Asian Finance, Economics and Business
• /
• 제7권3호
• /
• pp.63-72
• /
• 2020

The study aims to investigate the impact level of earnings quality on firm value. The study has used data with 3,910 observations at listed firms on Vietnam Stock Exchange for the period from 2010 to 2018, and GLS regression analysis is employed in this research. Earnings quality is measured in the aspects of earnings management, earnings persistence, and timeliness of profitability. This study also considers a number of controlled variables that positively influence the firm's value such as firm size, fixed asset investment rate and dividend payout ratio. The results show that earnings quality is positively associated with firm value with having statistical significance. In contrast, some determinants negatively influence firm value such as financial leverage, ratio of market value to book value, and revenue growth. Determinants of firm size, the rate of investment in fixed assets, the rate of dividend payment positively affect the firm value. In contrast, determinants of financial leverage, revenue growth rate and market value to book value ratio are inversely related to firm value according to economic value, Tobin's Q or Price. Based on the findings, some recommendations are proposed for investors, management and policy makers as well in the context of emerging countries including Vietnam.

• East Asian Economic Review
• /
• 제23권2호
• /
• pp.169-202
• /
• 2019

Productivity in agriculture or services has long been understood as playing an important role in the growth of manufacturing. In this paper we present a general equilibrium model in which manufacturing growth is stimulated by non-manufacturing sectors that provides goods used in both research and final consumption. The model permits the evaluation of two policy options for stimulating manufacturing growth: (1) a country imports more non-manufacturing goods from a foreign country with higher productivity and (2) a country increases productivity of domestic non-manufacturing. We find that both policies improve welfare of the economy, but depending on the policy the manufacturing sector responses differently. Specifically, employment and value-added in manufacturing increase with policy (1), but contract with policy (2). Therefore, specialization of the import non-manufactured goods helps explain why some Asian economies experience rapid growth in the manufacturing sector without progress in other sectors.

• International Journal of Costume and Fashion
• /
• 제5권1호
• /
• pp.75-89
• /
• 2005

The purpose of this study is to empirically ascertain how the fitness between marketing strategy each firm chooses and environment facing each firm affects the performance of firms measured by the growth rate of market share and the growth rate of profit/sales ratio. In doing so, firms are divided into three groups. With regard to the marketing strategy, firms are classified into three groups based on marketing strategy type; prospector, analyzer, and defender. The main result of this study are as follows: First, responding firms are classified into prospector, analyzer, and defender following Miles & Snow's marketing strategy types. This classification is made using a self typing method and further confirmed by a factor analysis using a number of variables relating marketing objectives and marketing mix. Second, the results show that there are significant differences across marketing strategies in the performance measures of the growth rate of market share and profit/sales ratio. It seems, however, that there is no straight forward relationship between the marketing strategy and the performance measures. This strongly implies that the type of marketing strategy to be adopted by each firm should depend on the environment facing each firm. Third, the result indicates that the growth rate of market share tends to depend only on the marketing strategy type regardless of sufficiency and variation of environment, but profit/sales ratio tends to depend on the fitness between marketing strategy type and environment. It implies that a firm should adopt different marketing strategies for different environment characteristics, in order to enhance the efficiency of resources used reflected in the profit/sales ratio.

• 산업융합연구
• /
• 제14권1호
• /
• pp.15-25
• /
• 2016

A technopark is an industrial and technological complex where personal, material and technological resources, scattered to businesses, academic institutions, research facilities and governments are gathered into a single place. Technopark's role is facets. The aim of this study is to offer new policy services for firms by utilizing the exploratory methodology for Chungnam Technopark's performance for three year (2011 ~2013). Through the findings, this study suggests that policy support for firm's growth in Chung Nam Region have been effective and fruitful in terms of total sale and increase of employees. But, technological performance measured by patents has not enough to catch the innovation. Chungnam Technopark should be more focused on technological policy supports including R&D as well as commercialization. Ultimately in order to have sustainabilities for own firm's growth, firms should keep going on ceaseless create the new technological performance. In that sense, for regional specific industry Technopark's role has been critical for not only firm's current growth but firm's innovation competency.

• The Journal of Asian Finance, Economics and Business
• /
• 제9권6호
• /
• pp.297-302
• /
• 2022

The current study examines the relationship between inventory management efficiency and financial performance in Saudi Arabian companies. The study collected data from the companies listed on Tadawul (a Saudi Arabian stock exchange) during the period starting from 2016 and ending in 2020. The study uses pooled regression model by incorporating Return on Assets (ROA) and Inventory Turnover Ratio (ITR) as a performance measurement variable and inventory conversion period as an inventory management variable to report the results. The results show a positive and significant association between inventory management and firms' financial growth measured in terms of Return on Assets (ROA). Further, the study reports a positive and significant association between the inventory conversion period and inventory turnover (ITR). This shows that managing inventory efficiently shall positively impact the firm's performance. The other variables, such as debt ratio and gross profit, are positively related to ROA and negatively correlated with ITR. The firm growth is positively associated with both the dependent variables. The results suggest that the management of inventory in Saudi Arabian firms is efficient. Further, the firm size is positively associated with ROA and ITR. This shows a nexus between inventory management efficiency and firms' financial growth in Saudi Arabian companies.

• The Journal of Asian Finance, Economics and Business
• /
• 제9권6호
• /
• pp.325-329
• /
• 2022

Enterprises play an increasingly important role in economic development in each country. Effective businesses will make the economies of countries also become efficient and develop. Enterprises play a role in creating jobs, improving labor productivity, and connecting foreign trade and import-export activities. The study aims to evaluate the factors affecting the profitability of small and medium enterprises in Hanoi by using a study of 210 enterprises in the area as well as advanced econometric regression analysis. The research results show that firm size and human capital have no impact on business performance. However, older firms are likely to have higher firm performance, and conversely, younger firms have lower firm performance. The research also confirms that the growth of businesses often has higher firm performance than low-growth ones. Furthermore, a firm with greater value is also more likely to stimulate business performance than lower its value, and this effect is the largest among the analyzed factors. Finally, the study also has some recommendations for the Vietnamese government to develop small and medium enterprises. Specifically, the government needs to create an open mechanism for the start-up movement and create a favorable financial mechanism for small and medium-sized enterprises to be able to access.

• 산업경영시스템학회지
• /
• 제9권14호
• /
• pp.49-58
• /
• 1986

Those facts I have studied on the theoretical characteristics of stock price earning ratio related with firm evaluation are as followings. First, I have investigated stock valuation analysis under certainty in view of Miller's, Modigliani's and Linter's theories in Chapter Ⅱ, and it is found that stock valuation under uncertainty to which the basic model of MM theory and the concept of capitalization ratio are applied is the same output, as in the case under certainty. And I have examined the stock valuation of growth corporations in which net investment, total capitals and operating profits are expected. Second, I have reexamined the fact that stock price profits are the erotical indices of firm valuation and the firm valuation on the basis of stock price earning ratio in Chapter III. As a whole, I have surveyed the stock price earning ratio theory of the growth stocks and there have been found some problems as such scholars as Malkiel and others have suggested focusing on the stock price structure of growth stocks. To conclude, there must be incessant efforts for the study of security analysis to make it develop ideally.

• 재무관리연구
• /
• 제26권3호
• /
• pp.1-29
• /
• 2009

전환사채는 주식과 채권의 성격을 모두 가지고 있기 때문에 주주와 채권자 모두의 이해관계와 관련되어 있을 수 있다. 그럼에도 불구하고 기존연구는 전환사채 발행과 주주의 부와의 연관성에만 주로 초점을 맞추어 왔다. 따라서 본 연구는 전환사채 발행의 공시효과가 주주는 물론 나아가서 채권자의 부에 어떠한 영향을 미치는지를 살펴본다. 또한 이들 부의 변화를 발행기업의 특성-특히 기업의 성장성-과 연관하여 살펴봄으로써, 전환사채 발행유인과 관련된 기존가설을 재검증하고자 한다. 먼저 실증분석 결과를 보면, 전환사채 발행공시일 전후의 주가반응은 대부분의 국내 논문의 결과들처럼 유의하지 않았지만, 채권가격은 코스닥기업의 경우에 유의적으로 상승하였다. 이는 주주의 부는 전반적으로 변하지 않는 반면에 채권자의 부는 코스닥기업의 경우에 증가한다는 것을 의미하여, 전환사채는 주식보다 정도는 덜 하지만 기업가치가 과대평가되었을 때 발행되기 때문에 발행기업의 주가가 하락한다는 외국의 연구결과들을 역시 지지하지 않는다. 다음으로, 주주와 채권자의 부의 변화에 영향을 미치는 기업특성변수들에 대한 회귀분석결과, 장부가/시장가비율이 낮아 성장성이 높을수록 주주와 채권자의 부가 모두 증가하였다. 또한 신용등급은 채권자의 부와 양(+)의, 기업규모는 채권자의 부와 음(-)의 상관관계가 있는 것으로 나타났다. 특히 성장성이 높은 기업이 전환사채를 발행하는 경우에 주주와 채권자의 부는 비례적으로 증가하였다. 이들 결과는 전환사채의 발행유인으로 성장성이 높은 기업이 부채의 대리인비용을 줄이기 위함이라고 하는 기존의 국내외 연구결과를 지지하는 것으로 보인다.

• The Journal of Asian Finance, Economics and Business
• /
• 제10권2호
• /
• pp.163-174
• /
• 2023

This study aims to investigate the effect of the composition of the board and ownership structure on a firm's value in Jordanian firms. Specifically, it aims to determine the effect of board size, (CEO) duality, and family, foreign, institutional, and government ownership on a firm's value. An ordinary least square regression (OLS) was employed to examine the study hypotheses in a sample of 35 Jordanian industrial firms (175 firm-year observation) for a period of five years from 2016-2020. As measured by Tobin's Q (Q ratio) and market-to-book (MB ratio) for Jordanian industrial firms listed on Amman Stock Exchange (ASE). The result found that foreign ownership, institutional ownership, and family ownership have a significant and positive effect on firm value. By contrast, government ownership does not have a significant effect on firm value. With respect to board composition (CEO duality and board size), the study results found no evidence to support the effect of board composition on firm value. The study recommended the concerned authorities with several recommendations, most notably: taking the necessary measures to ensure the continuity and growth of family businesses because of their positive impact on the value of the company and economic growth, spreading awareness about how governance protects the interests of investors.