Competitiveness of the CEE Region in the Global Economy. Book of Abstracts

It gives an overview of the papers of the Competitiveness of the CEE Region in the Global Economy conference. This is a document of the 1st AIB-CEE Chapter Conference and the 2nd Working Conference on Competitiveness. AIB-CEE Chapter and CRC joined to organize an international conference. Actually three organizations supported and influenced the academic content of the conference with their missions, commitments and communities.

Global factors affecting women's participation in leadership

This dissertation is a multi-level, cross-cultural study of women in leadership conducted with both macro-society data and individual-level data aggregated to the country level. The research questions are, “What macro and micro forces are hindering or advancing women into business or political leadership?” “How do these forces impact the level of women's involvement in business and political leadership in a particular country?” Data was collected from 10 secondary sources, available for 213 countries, and includes about 300 variables for business leadership (N=115) and political leadership (N=181). To date, most women in leadership research has been Western- or US-based, and little rigorous empirical, multi-level research has been done across countries. The importance of cross-cultural studies on women in leadership stems from the potential to better understand why some countries have more women in positions of both business and political leadership; and the factors that affect women's involvement in such positions in different countries. A “Levels of Women's Participation in Leadership” country model is tested using cluster and discriminant analyses. Results indicate that the factors that affect women?s participation in leadership in countries with fewer women leaders are different from the factors that affect women's participation in countries with high levels of participation. This dissertation proposes that initiatives to increase participation of women in leadership need to consider the relevant factors that significantly affect countries at certain Levels of Women's Participation in Leadership. ^

How employees with different national identities experience a geocentric organizational culture of a global corporation: A phenomenological study

A global corporation values both profitability and social acceptance; its units mutually negotiate governance and represent a highly interdependent network where centers of excellence and high-potential employees are identified regardless of geographic locations. These companies try to build geocentric, or “world oriented” (Marquardt, 1999, p. 20), organizational cultures. Such culture “transcends cultural differences and establishes ‘beacons’ – values and attitudes – that are comprehensive and compelling” (Kets de Vries & Florent-Treacy, 2002, p. 299) for all employees, regardless of their national origins. Creating a geocentric organizational culture involves transforming each employee’s mindset, beliefs, and behaviors so that he/she can become “a world citizen in spite of having a national identity” (Marquardt, 1999, p. 47). The purpose of this phenomenological study was to explore how employees with different national identities experience a geocentric organizational culture of a global corporation. Phenomenological research aims to understand “how people experience some phenomenon—how they perceive it, describe it, feel about it, judge it, remember it, make sense of it, and talk about it with others” (Patton, 2002, p. 104). Twelve participants were selected using criteria, convenience, and snow-ball sampling strategies. A semi-structured interview guide was used to collect data. Data were analyzed inductively, using Moustakas’s (1994) Modification of the Stevick-Colaizzi-Keen Method of Analysis of Phenomenological Data. The participants in this study experienced a geocentric organizational culture of a global corporation as on in which they felt connected, valued, and growing personally and professionally. The participants felt connected to the companies via business goals and social responsibility. The participants felt valued by the company because their creativity was welcomed and they could contribute to the corporation certain unique knowledge of the culture and language of their native countries. The participants felt growing personally and professionally due to the professional development opportunities, cross-cultural awareness, and perspective consciousness. Based on the findings from this study, a model of a geocentric organizational culture of a global corporation: An employee perspective is proposed. Implications for research and practice conclude this study.

Wage matters & globalization: South Florida's low-wage immigrant plant nursery workers and business protectionism in the age of neoliberalism

Ornamental plant production in the State of Florida is an anomaly with respect to current theories of globalization and particularly their explanation of the employment of low-wage, immigrant labor. Those theories dictate that unskilled jobs that do not need to be performed within highly developed countries are outsourced to where labor is cheaper and more flexible. However, the State of Florida remains an important site of ornamental plant production in the US amidst a global economic environment of outsourcing and transnational corporate expansion. This dissertation relies on 50 semi-structured interviews with insiders of the Florida plant nursery industry, focus groups, and participant observation to explain how US trade, labor, and migration policy-making at local levels are not removed from larger global processes taking place in the world since the 1970s. In Florida, elite market players of the plant nursery industry have been able to resist global trends in free trade, operating instead in a protected market. They have done this by appealing to scientific justifications and through arbitrary implementations of neoliberal ideology that keeps small and middle range business alive, while maintaining a seemingly endless supply of marginalized and exploited low-wage, immigrant workers.^

An empirical analysis of the global audit market: International Financial Reporting Standards-related changes and differences within the Big 4 global networks

Ongoing debates within the professional and academic communities have raised a number of questions specific to the international audit market. This dissertation consists of three related essays that address such issues. First, I examine whether the propensity to switch between auditors of different sizes (i.e., Big 4 versus non-Big 4) changes as adoption of International Financial Reporting Standards (IFRS) becomes a more common phenomenon, arguing that smaller auditors have an opportunity to invest in necessary skills and training needed to enter this market. Findings suggest that clients are relatively less (more) likely to switch to (away from) a Big 4 auditor if the client's adoption of IFRS occurs in more recent years. ^ In the second essay, I draw on these inferences and test whether the change in audit fees in the year of IFRS adoption changes over time. As the market becomes less concentrated, larger auditors becomes less able to demand a premium for their services. Consistent with my arguments, results suggest that the change in audit service fees declines over time, although this effect seems concentrated among the Big 4. I also find that this effect is partially attributable to a differential effect of the auditors' experience in pricing audit services related to IFRS based on the period in which adoption occurs. The results of these two essays offer important implications to policy debates on the costs and benefits of IFRS adoption. ^ In the third essay, I differentiate Big 4 auditors into three classifications—Parent firms, Brand Name affiliates, and Local affiliates—and test for differences in audit fee premiums (relative to non-Big 4 auditors) and audit quality. Results suggest that there is significant heterogeneity between the three classifications based on both of these characteristics, which is an important consideration for future research. Overall, this dissertation provides additional insights into a variety of aspects of the global audit market.^

Public-Private Partnership Design for Inclusive Cocoa Global Value Chains in Ghana

Within 10 years, there could be a severe global shortage in the supply of cocoa, according to industry practitioners and other experts. Due to global population growth and the emergence of a growing global middle class, by 2025 the cocoa crop would need to increase by nearly 50 per cent to keep up with projected demand. A potential shortage of supply is a direct threat to the business model of lead firms – including cocoa grinders and processors, chocolate confectioners, and retail distributors. But these international firms – the ones that will suffer the most if there is a shortage of cocoa supply – are helping create the market failure that is stifling sustainability. Functioning as a two-tiered consolidated oligopoly with a combined market share of approximately 89%, these firms enjoy the largest portion of value capture in the cocoa-chocolate global value chain (GVC). The smallholder cocoa producers, conversely, are trapped in low value-add segments of the GVC. In fact, most smallholder farmers survive on less than $1.00 per day per capita, on average in many cocoa exporting countries. In Ghana - the second largest producer of cocoa in the world - the government has accomplished little to help these smallholders upgrade and make cocoa an attractive sector for the next generation to inherit. The result – both in Ghana and around the world – is a lack of sustainability of the supply of cocoa. Demand is already beginning to outstrip supply. As a result of these underlying circumstances, the United States Agency for International Development (USAID) has posed the following policy question: "Under what conditions could USAID, as a development agency, support and enhance potential public-private partnerships in order to improve the bargaining power (and financial wherewithal) of smallholder organizations and farmers in the context of the global value chain for cocoa in Ghana?"

An Economic Analysis of Global Policy Proposals to Prohibit Compensation of Blood Plasma Donors

© 2016 International Journal of the Economics of Business.Human blood plasma and its derivative therapies have been used therapeutically for more than 50 years, after first being widely used to treat injuries during World War II. In certain countries, manufacturers of these therapies – known as plasma-derived medicinal products (PDMPs) – compensate plasma donors, raising healthcare and ethical concerns among some parties. In particular, the World Health Organization has taken a strong advocacy position that compensation for blood donations should be eliminated worldwide. This review evaluates the key economic factors underlying the supply and demand for PDMPs and the evidence pointing to the policy options that are most likely to maintain a reliable supply of life-sustaining therapies. It concludes that compensated plasma donation is important for maintaining adequate and consistent supplies of plasma and limits the risk of under-treatment for the foreseeable future.

China in Global Value Chains: Implications for Industrial Policy and Development

Rapid technological advances and liberal trade regimes permit functional reintegration of dispersed activities into new border-spanning business networks variously referred to as global value chains (GVCs). Given that the gains of a country from GVCs depend on the activities taking place in its jurisdiction and their linkages to global markets, this study starts by providing a descriptive overview of China’s economic structure and trade profile. The first two chapters of this paper demonstrate what significant role GVCs have played in China’s economic growth, evident in enhanced productivity, diversification, and sophistication of China’s exports, and how these economic benefits have propelled China’s emergence as the world’s manufacturing hub in the past two decades. However, benefits from GVC participation – in particular technological learning, knowledge building, and industrial upgrading – are not automatic. What strategies would help Chinese industries engage with GVCs in ways that are deemed sustainable in the long run? What challenges and related opportunities China would face throughout the implementation process? The last two chapters of this paper focus on implications of GVCs for China’s industrial policy and development. Chapter Three examines how China is reorienting its manufacturing sector toward the production of higher value-added goods and expanding its service sector, both domestically and internationally; while Chapter Four provides illustrative policy recommendations on dealing with the positive and negative outcomes triggered by GVCs, within China and beyond the country’s borders. To the end, this study also hopes to shed some light on the lessons and complexities that arise from GVC participation for other developing countries.

Institutions, Innovation, and Grassroots Change: Alternatives to Transnational Governance in the Global South

Transnational governance has been advanced as a viable option for regulating commodities produced in emerging economies—where incapable or unwilling states may undersupply institutions requisite for overseeing supply chains consistent with the quality, safety, environmental, or social standards demanded by the global marketplace. Producers from these jurisdictions, otherwise left with few venues for securing market access and price premiums, ostensibly benefit from whatever pathways transnational actors offer to minimize barriers to entry—including voluntary certification for compliance with a panoply of public and private rules, such as those promulgated by NGOs like the Fair Trade Federation or multinational retailers like Wal-Mart. Yet, such transnational “sustainability” governance may neither be effective nor desirable. Regulatory schemes, like third-party certification, often privilege the interests of primary architects and beneficiaries—private business associations, governments, NGOs, and consumers in the global North—over regulatory targets—producers in the global South. Rather than engaging with the international marketplace via imported and externally-driven schemes, some producer groups are instead challenging existing rules and innovating homegrown institutions. These alternatives to commercialization adopt some institutional characteristics of their transnational counterparts yet deliver benefits in a manner more aligned with the needs of producers. Drawing on original empirical cases from Nicaragua and Mexico, this dissertation examines the role of domestic institutional alternatives to transnational governance in enhancing market access, environmental quality and rural livelihoods within producer communities. Unlike the more technocratic and expert-driven approaches characteristic of mainstream governance efforts, these local regulatory institutions build upon the social capital, indigenous identity, “ancestral” knowledge, and human assets of producer communities as new sources of power and legitimacy in governing agricultural commodities.

Global Factors Affecting Women's Participation in Leadership

This dissertation is a multi-level, cross-cultural study of women in leadership conducted with both macro-society data and individual-level data aggregated to the country level. The research questions are, “What macro and micro forces are hindering or advancing women into business or political leadership?” “How do these forces impact the level of women’s involvement in business and political leadership in a particular country?” Data was collected from 10 secondary sources, available for 213 countries, and includes about 300 variables for business leadership (N=115) and political leadership (N=181). To date, most women in leadership research has been Western- or US- based, and little rigorous empirical, multi-level research has been done across countries. The importance of cross-cultural studies on women in leadership stems from the potential to better understand why some countries have more women in positions of both business and political leadership; and the factors that affect women’s involvement in such positions in different countries. A “Levels of Women’s Participation in Leadership” country model is tested using cluster and discriminant analyses. Results indicate that the factors that affect women’s participation in leadership in countries with fewer women leaders are different from the factors that affect women’s participation in countries with high levels of participation. This dissertation proposes that initiatives to increase participation of women in leadership need to consider the relevant factors that significantly affect countries at certain Levels of Women’s Participation in Leadership.

A Framework to Capture and Share Knowledge Using Storytelling and Video Sharing in Global Product Development

In global engineering enterprises, information and knowledge sharing are critical factors that can determine a project’s success. This statement is widely acknowledged in published literature. However, according to some academics, tacit knowledge is derived from a person’s lifetime of experience, practice, perception and learning, which makes it hard to capture and document in order to be shared. This project investigates if social media tools can be used to improve and enable tacit knowledge sharing within a global engineering enterprise. This paper first provides a brief background of the subject area, followed by an explanation of the industrial investigation, from which the proposed knowledge framework to improve tacit knowledge sharing is presented. This project’s main focus is on the improvement of collaboration and knowledge sharing amongst product development engineers in order to improve the whole product development cycle.

Development of a knowledge sharing framework for improving the testing processes in global product development

As identified by Griffin (1997) and Kahn (2012), manufacturing organisations typically improve their market position by accelerating their product development (PD) cycles. One method for achieving this is to reduce the time taken to design, test and validate new products, so that they can reach the end customer before competition. This paper adds to existing research on PD testing procedures by reporting on an exploratory investigation carried out in a UK-based manufacturing plant. We explore the organisational and managerial factors that contribute to the time spent on testing of new products during development. The investigation consisted of three sections, viz. observations and process modelling, utilisation metrics and a questionnaire-based investigation, from which a proposed framework to improve and reduce the PD time cycle is presented. This research focuses specifically on the improvement of the utilisation of product testing facilities and the links to its main internal stakeholders - PD engineers.

The effectiveness of corporate Web in small and médiumsized business: an analysis of Web Usability

Internet and the Web have changed the way that companies communicate with their publics, improving relations between them. Also providing substantial benefits for organizations. This has led to small and medium enterprises (SMEs) to develop corporate sites to establish relationships with their audiences. This paper, applying the methodology of content analysis, analyzes the main factors and tools that make the Websites usable and intuitive sites that promote better relations between SMEs and their audiences. Also, it has developed an index to measure the effectiveness of Webs from the perspective of usability. The results indicate that the Websites have, in general, appropriate levels of usability.

Anclaje, dinámicas e impactos territoriales de la cadena global de cítricos dulces en el nordeste argentino

El artículo analiza firmas insertas en circuitos globalizados de exportación de frutas frescas, así como la interfase empresas-territorios. Se focaliza en la producción argentina de cítricos dulces y particularmente en un espacio productivo, y se interesa por cómo se traduce la construcción de los circuitos globales en los espacios y actores locales. Para ello, desarrolla una tipología de empresas e indicadores de anclaje y recurre a una combinación de fuentes cuantitativas y cualitativas, con vistas a desentrañar la “caja negra” del comportamiento empresarial. Se concluye que existen diferentes grados de anclaje territorial y combinaciones variables de fijación y movilidad por parte de las empresas. La adopción de una modalidad de agricultura empresarial multilocalizada, orientada al aprovechamiento de las peculiaridades de los diferentes ambientes locales, conduce a la desarticulación de espacios en función de sus características productivas y de sus diversos contextos sociales e institucionales. De esta forma se promueve la conformación de agentes de características flexibles, transformando su reproducción en contingente.