• Korean small business review
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• v.31 no.4
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• pp.67-93
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• 2009

The purpose of this paper is to explore the relations between financial constraints and dividend smoothing of innovative small and medium sized enterprises(SMEs) listed on Korea Securities Market and Kosdaq Market of Korea Exchange. The innovative SMEs is defined as the firms with high level of R&D intensity which is measured by (R&D investment/total sales) ratio, according to Chauvin and Hirschey (1993). The R&D investment plays an important role as the innovative driver that can increase the future growth opportunity and profitability of the firms. Therefore, the R&D investment have large, positive, and consistent influences on the market value of the firm. In this point of view, we expect that the innovative SMEs can adjust dividend payment faster than the noninnovative SMEs, on the ground of their future growth opportunity and profitability. And also, we expect that the financial unconstrained firms can adjust dividend payment faster than the financial constrained firms, on the ground of their financing ability of investment funds through the market accessibility. Aivazian et al.(2006) exert that the financial unconstrained firms with the high accessibility to capital market can adjust dividend payment faster than the financial constrained firms. We collect the sample firms among the total SMEs listed on Korea Securities Market and Kosdaq Market of Korea Exchange during the periods from January 1999 to December 2007 from the KIS Value Library database. The total number of firm-year observations of the total sample firms throughout the entire period is 5,544, the number of firm-year observations of the dividend firms is 2,919, and the number of firm-year observations of the non-dividend firms is 2,625. About 53%(or 2,919) of these total 5,544 observations involve firms that make a dividend payment. The dividend firms are divided into two groups according to the R&D intensity, such as the innovative SMEs with larger than median of R&D intensity and the noninnovative SMEs with smaller than median of R&D intensity. The number of firm-year observations of the innovative SMEs is 1,506, and the number of firm-year observations of the noninnovative SMEs is 1,413. Furthermore, the innovative SMEs are divided into two groups according to level of financial constraints, such as the financial unconstrained firms and the financial constrained firms. The number of firm-year observations of the former is 894, and the number of firm-year observations of the latter is 612. Although all available firm-year observations of the dividend firms are collected, deletions are made in the case of financial industries such as banks, securities company, insurance company, and other financial services company, because their capital structure and business style are widely different from the general manufacturing firms. The stock repurchase was involved in dividend payment because Grullon and Michaely (2002) examined the substitution hypothesis between dividends and stock repurchases. However, our data structure is an unbalanced panel data since there is no requirement that the firm-year observations data are all available for each firms during the entire periods from January 1999 to December 2007 from the KIS Value Library database. We firstly estimate the classic Lintner(1956) dividend adjustment model, where the decision to smooth dividend or to adopt a residual dividend policy depends on financial constraints measured by market accessibility. Lintner model indicates that firms maintain stable and long run target payout ratio, and that firms adjust partially the gap between current payout rato and target payout ratio each year. In the Lintner model, dependent variable is the current dividend per share(DPS_t), and independent variables are the past dividend per share(DPS_t-1) and the current earnings per share(EPS_t). We hypothesized that firms adjust partially the gap between the current dividend per share(DPS_t) and the target payout ratio(Ω) each year, when the past dividend per share(DPS_t-1) deviate from the target payout ratio(Ω). We secondly estimate the expansion model that extend the Lintner model by including the determinants suggested by the major theories of dividend, namely, residual dividend theory, dividend signaling theory, agency theory, catering theory, and transactions cost theory. In the expansion model, dependent variable is the current dividend per share(DPS_t), explanatory variables are the past dividend per share(DPS_t-1) and the current earnings per share(EPS_t), and control variables are the current capital expenditure ratio(CEA_t), the current leverage ratio(LEV_t), the current operating return on assets(ROA_t), the current business risk(RISK_t), the current trading volume turnover ratio(TURN_t), and the current dividend premium(DPREM_t). In these control variables, CEA_t, LEV_t, and ROA_t are the determinants suggested by the residual dividend theory and the agency theory, ROA_t and RISK_t are the determinants suggested by the dividend signaling theory, TURN_t is the determinant suggested by the transactions cost theory, and DPREM_t is the determinant suggested by the catering theory. Furthermore, we thirdly estimate the Lintner model and the expansion model by using the panel data of the financial unconstrained firms and the financial constrained firms, that are divided into two groups according to level of financial constraints. We expect that the financial unconstrained firms can adjust dividend payment faster than the financial constrained firms, because the former can finance more easily the investment funds through the market accessibility than the latter. We analyzed descriptive statistics such as mean, standard deviation, and median to delete the outliers from the panel data, conducted one way analysis of variance to check up the industry-specfic effects, and conducted difference test of firms characteristic variables between innovative SMEs and noninnovative SMEs as well as difference test of firms characteristic variables between financial unconstrained firms and financial constrained firms. We also conducted the correlation analysis and the variance inflation factors analysis to detect any multicollinearity among the independent variables. Both of the correlation coefficients and the variance inflation factors are roughly low to the extent that may be ignored the multicollinearity among the independent variables. Furthermore, we estimate both of the Lintner model and the expansion model using the panel regression analysis. We firstly test the time-specific effects and the firm-specific effects may be involved in our panel data through the Lagrange multiplier test that was proposed by Breusch and Pagan(1980), and secondly conduct Hausman test to prove that fixed effect model is fitter with our panel data than the random effect model. The main results of this study can be summarized as follows. The determinants suggested by the major theories of dividend, namely, residual dividend theory, dividend signaling theory, agency theory, catering theory, and transactions cost theory explain significantly the dividend policy of the innovative SMEs. Lintner model indicates that firms maintain stable and long run target payout ratio, and that firms adjust partially the gap between the current payout ratio and the target payout ratio each year. In the core variables of Lintner model, the past dividend per share has more effects to dividend smoothing than the current earnings per share. These results suggest that the innovative SMEs maintain stable and long run dividend policy which sustains the past dividend per share level without corporate special reasons. The main results show that dividend adjustment speed of the innovative SMEs is faster than that of the noninnovative SMEs. This means that the innovative SMEs with high level of R&D intensity can adjust dividend payment faster than the noninnovative SMEs, on the ground of their future growth opportunity and profitability. The other main results show that dividend adjustment speed of the financial unconstrained SMEs is faster than that of the financial constrained SMEs. This means that the financial unconstrained firms with high accessibility to capital market can adjust dividend payment faster than the financial constrained firms, on the ground of their financing ability of investment funds through the market accessibility. Futhermore, the other additional results show that dividend adjustment speed of the innovative SMEs classified by the Small and Medium Business Administration is faster than that of the unclassified SMEs. They are linked with various financial policies and services such as credit guaranteed service, policy fund for SMEs, venture investment fund, insurance program, and so on. In conclusion, the past dividend per share and the current earnings per share suggested by the Lintner model explain mainly dividend adjustment speed of the innovative SMEs, and also the financial constraints explain partially. Therefore, if managers can properly understand of the relations between financial constraints and dividend smoothing of innovative SMEs, they can maintain stable and long run dividend policy of the innovative SMEs through dividend smoothing. These are encouraging results for Korea government, that is, the Small and Medium Business Administration as it has implemented many policies to commit to the innovative SMEs. This paper may have a few limitations because it may be only early study about the relations between financial constraints and dividend smoothing of the innovative SMEs. Specifically, this paper may not adequately capture all of the subtle features of the innovative SMEs and the financial unconstrained SMEs. Therefore, we think that it is necessary to expand sample firms and control variables, and use more elaborate analysis methods in the future studies.

• Journal of Venture Innovation
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• v.5 no.4
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• pp.57-74
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• 2022

The purpose of this study is to verify the influence of SME members' motivation and creative working environment on innovative behavior and to see differences according to individual absorptive capacity. As a research method for this, 350 copies were collected by requesting a specialized research company for employees who have worked at SMEs for more than a year, and research models and hypotheses were verified with SPSS 28 and Smart PLS 3. As a result of the study, approach motivation and creative work environment had a positive effect on individual innovation behavior, which showed significant differences according to individual absorptive capacity. The implications of this study are summarized as follows. First, for innovative organizational management in SMEs where human resources are more important than physical resources, SMEs need to provide a creative working environment and motivate members to derive positive innovative behavior. Second, innovation behavior differs depending on personal absorptive capacity, and innovation behavior becomes the subject of corporate growth, indicating that various interests and support are needed to increase personal absorptive capacity along with positive motivation for members.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.10
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• pp.39-48
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• 2022

This research aims to investigate the application of Keynes's theory in Indonesia, particularly in solving unemployment and poverty problems through government spending, economic growth, and human resource capacity. The basic concepts of the Keynesian theory were used as a method, through which government spending was harnessed toward economic growth in reducing unemployment and poverty rate. The analytical materials used were panel data for the 2017-2021 period in Central Java, Indonesia. The analytical methodology used was a multiple regression experimental design in selecting the best model according to Keynes's theory, especially for overcoming formidable problems. The main results showed that large Government spending program is ineffective in encouraging pro-growth, pro-job, pro-poor, and pro-equity development policy strategies. The causes of this failure include the violation of Keynes' assumptions about rationality and the low quality of education investment, which do not encourage productive and innovative entrepreneurship, as well as self-employment opportunities. As a result, government spending, including subsidies and direct financial assistance, used to implement the macroeconomic monetary, unstructured, and fiscal policy system is insufficient to significantly reduce the enormous difficulties. The main research results confirm that human capital capacity is the key to mitigating and reducing unemployment and poverty.

• International Journal of High-Rise Buildings
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• v.5 no.4
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• pp.251-262
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• 2016

Tall Buildings have been one of the most prominent symbols of economic growth for nearly a century. Yet, in the aftermath of the tragedies of September 11, "signature" Tall buildings have become the focus of much debate. The structural systems today are undergoing a major evolution to address the ability of providing flexibility in the design and use of the building together with sustainability (Green) and cost-effective system. This paper describes a new invented structural system, evolutionary structural analysis and design of Tall buildings, which involves the entire analysis process, including conceptual and design stages and comparison with the existing Tall building. This study presents an new innovative structural system, Beehive (Hexagrid), for Tall buildings. The final results are achieved by modeling an 80 story Tall building with the optimized angle and topology of hexagon members by using a computer analysis, ETABS finite element analysis. The objective function of this system is to use one structural system in order to both maximize Eigen frequency for resisting dynamic responses and minimize mean compliance for static responses. Finite element analysis is carried out by using standardized materials. Optimal Hexagrid topologies with the highest stiffness are finally determined to resist both static and dynamic behaviors. Holistic design integration approaches between structures and facades to save energy for environmental control are studied. Innovative design ideas to control structural motion as well as to utilize that motion to harness energy are discussed. Considering abundant emergence of tall buildings all over the world in recent years, the importance of the studies presented in this paper cannot be overemphasized for constructing more sustainable built environments.

• International Journal of Computer Science & Network Security
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• v.21 no.7
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• pp.125-132
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• 2021

Rapid growth of the higher education role in ensuring the socio-economic and innovative development of the national economy in the context of the development of the information society and the knowledge economy is observed. Achieving positive synergistic effects of the higher education development requires proper funding for university education and research. The existing funding models for national higher education systems in a number of developing countries need modernization in accordance with the modern challenges of economic and innovative development. The purpose of the article is to formulate theoretical - methodological and applied foundations for the development and implementation of the integrated model of the higher education financing under the Quadruple Helix concept. At the center of the developed model are the areas of interaction identified by the authors, namely: Personnel, Science, Management, Innovation, Social area. This made it possible to specify the interests of all stakeholders and orient the activities of higher education institutions to the satisfaction of these interests. Effective implementation of the integrated Model of the higher education financing requires increasing the level of investment attractiveness and practical value of university research; activation of innovative development of enterprises; state stimulation of business participation in university research and education; harmonization of current legislation with EU standards. Implementation of the Model will diversify sources of funding for universities, increase their level of economic security and achieve integrated synergies from the interaction of universities, business, government and the public (as the main stakeholders within the Quadruple Helix concept).

• International Journal of Computer Science & Network Security
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• v.24 no.1
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• pp.178-186
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• 2024

While in high-income countries the development of digital technology began in the 1970s, in low- and middle-income countries it began in the 1990s and even after 2005, due to the political regime that constrained economic development and innovation. At the same time, there are no studies of the relationship between technological development and structural changes through innovation in low- and middle-income countries. The article aims to quantify the relationship of the introduction of digital technologies on innovation, structural transformation of low- and middle-income economies. The industrial-agrarian economy of Uzbekistan with an authoritarian regime is in a state of transition to a market economy, while in Ukraine, there are active processes of Europeanization and integration into the EU. Ukraine's economy is commodity-based (the export of raw materials of industries and the agricultural sector in developed countries predominates) and industrial-agrarian. Digital technologies and the service sector are little developed in Uzbekistan. On the other hand, Ukraine has a more developed ICT sector. Uzbekistan is gradually undergoing an innovative and structural transformation of the economy: the productivity of the agricultural, industrial, and service sectors is growing, but the ICT sector is virtually undeveloped. In comparison, in Ukraine, there are no significant structural transformations due to a significant drop in productivity of the industrial sector, with stable growth of productivity of the agricultural sector due to technology and a slight increase in productivity of the service sector. It is revealed that Ukraine and Uzbekistan have undergone structural transformations of the economy in favor of the service sector, while the agricultural and industrial sectors produce less and less. If Uzbekistan remains the industrial-agrarian country with an aggregate share of the added value of these sectors 59% in 2019, Ukraine transits to the post-industrial type of economy where the added value of the service sector in GDP grows (55% compared to agrarian and industrial sectors at 42%).

• Journal of Arbitration Studies
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• v.25 no.1
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• pp.87-105
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• 2015

Intellectual property law is slowly fighting to keep pace with the rapid growth of the fashion industry. Copyright and patent law have proven only minimally effective in fashion, even in the US and other top fashion nations, forcing designers and fashion companies to rely on their trademarks to protect their work. Litigating trademark disputes in the fashion industry presents a host of problems as witnessed in a recent Christian Louboutin case, leading the parties to resort to Alternative Dispute Resolution(ADR) and Online Dispute Resolution(ODR). ADR methods, especially arbitration, are increasingly emerging as substitutes to litigation. Using these methods, the fashion industry (CFDA in the US case) should sincerely consider a self-regulating program in which its members, both fashion designers and corporations alike, can resolve disputes in a manner mutually beneficial to all parties in order to preserve the industry's growth, solidarity, and esteem In particular, for the US fashion industry, the ongoing Innovative Design Protection and Privacy Prevention Act(IDPPPA) anti-counterfeit legislation could have caused a chilling effect against innovation. New designers with no name and less resources who could normally flourish producing inspired-by designs may find themselves subject to copyright infringement legislation since the IDPPPA may expand the protection of established designers and brands with more resources. This fear and its implication could be solved by the fashion industry itself since fashion experts know best how to handle these fast-paced issues arising in the field. Therefore, stakeholders in the fashion industry should commit to protecting innovation within fashion on a long-term basis by establishing a panel handling an ADR process. This can mitigate the uncertainty created by the IDPPPA or any other legislation from elsewhere, which could result in a shying away from experimentation with inspired-by designs.

• Pediatric Gastroenterology, Hepatology & Nutrition
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• v.19 no.2
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• pp.104-109
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• 2016

Purpose: Regurgitation is a common physiological phenomenon in infants. The aim of the present study was to evaluate the efficacy of a new anti-regurgitation (AR) formula (Novalac), thickened with an innovative complex including fibres, on the daily number of regurgitations and to assess its impact on stool consistency and frequency. Methods: Infants younger than five months, presenting at least 5 regurgitations per day were recruited in this trial. The efficacy of the new formula on regurgitation (daily number and Vandenplas score), stool frequency and consistency were assessed at day 14 and 90. Growth data were recorded at each study visit. Results: Ninety babies (mean age $9.6{\pm}5.8weeks$) were included in the full analysis data set. The mean number of regurgitation episodes at inclusion was $7.3{\pm}3.4$. In all infants, regurgitations improved after 2 weeks. The daily number of regurgitations decreased significantly ($-6.3{\pm}3.3$, p<0.001) including in those previously fed a thickened formula ($-6.2{\pm}3.0$, p<0.001). There was no significant change in stool consistency at day 14. After 3 months, 97.5% of infants had formed or soft stools. Growth was appropriate with a slight increase of weight-for-age z-score (from $-0.5{\pm}1.0$ to $-0.1{\pm}0.9$) and no change of weight-for length z-score ($-0.1{\pm}1.1$ to $-0.1{\pm}-1.1$). Conclusion: The new AR formula thickened with an innovative complex is very effective in reducing the daily number of regurgitations without having a negative impact on stools consistency.

• Journal of Technology Innovation
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• v.22 no.3
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• pp.311-332
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• 2014

Recently, there have been an increasing concern for a continuous growth inside the company due to its being complacent about their present business and not taking challenges for innovation. Corporate entrepreneurship is the one that receives an attention as a breakthrough for this growth. Since it has been perceived as an effective means of promoting an innovation, Korean firms have tried to develop innovative products and businesses, reject hierarchical and rigid organizational culture, and settle more flexible and innovative culture through corporate venturing system. In this research, case studies on three Korean firms'corporate venturing system were conducted. It also investigated differences in operation and vitalization of corporate venturing system depending on the type of how it is implemented in the company by analyzing case studies with combining the type of corporate entrepreneursip's realization and the framework for its vitalization.

• Biomolecules & Therapeutics
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• v.26 no.5
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• pp.474-480
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• 2018

Most angiogenesis assays are performed using endothelial cells. However, blood vessels are composed of two cell types: endothelial cells and pericytes. Thus, co-culture of two vascular cells should be employed to evaluate angiogenic properties. Here, we developed an in vitro 3-dimensional angiogenesis assay system using spheroids formed by two human vascular precursors: endothelial colony forming cells (ECFCs) and mesenchymal stem cells (MSCs). ECFCs, MSCs, or ECFCs+MSCs were cultured to form spheroids. Sprout formation from each spheroid was observed for 24 h by real-time cell recorder. Sprout number and length were higher in ECFC+MSC spheroids than ECFC-only spheroids. No sprouts were observed in MSC-only spheroids. Sprout formation by ECFC spheroids was increased by treatment with vascular endothelial growth factor (VEGF) or combination of VEGF and fibroblast growth factor-2 (FGF-2). Interestingly, there was no further increase in sprout formation by ECFC+MSC spheroids in response to VEGF or VEGF+FGF-2, suggesting that MSCs stimulate sprout formation by ECFCs. Immuno-fluorescent labeling technique revealed that MSCs surrounded ECFC-mediated sprout structures. We tested vatalanib, VEGF inhibitor, using ECFC and ECFC+MSC spheroids. Vatalanib significantly inhibited sprout formation in both spheroids. Of note, the $IC_{50}$ of vatalanib in ECFC+MSC spheroids at 24 h was $4.0{\pm}0.40{\mu}M$, which are more correlated with the data of previous animal studies when compared with ECFC spheroids ($0.2{\pm}0.03{\mu}M$). These results suggest that ECFC+MSC spheroids generate physiologically relevant sprout structures composed of two types of vascular cells, and will be an effective pre-clinical in vitro assay model to evaluate pro- or anti-angiogenic property.