Open Access Original Research Article

Case Study on Performance Management. A Comprehensive Approach

Xavier Sales, Jordi Carenys

Journal of Economics, Management and Trade, Page 73-88
DOI: 10.9734/BJEMT/2013/2829

Aims: The aim of this article is twofold; analyze a performance management system (PMS) in a holistic manner, and evaluate the goodness of this PMS based in its ability to create the ex ante conditions to achieve organizational objectives.

Study Design: Case study research.

Place and Duration of Study: Field work took place at the premises of the company between January and July 2011.

Methodology: The research relies on deeply conducted case study on a sports retailer and merchandiser using a comprehensive framework to describe its PMS and the connections among the different areas.

Conclusion: Our research contributes to literature by showing how the strength and coherence of the links between the components of the performance management system of the case company was able to create the ex ante conditions that increase the likelihood of achieving organizational objectives. The study shows that weaknesses in one area of the PMS can be, at least partly, compensated for by strengths in other areas.

Open Access Original Research Article

Export - Led Growth or Growth – Driven Exports? Evidence from Nigeria

Santos R. Alimi, Bernard O. Muse

Journal of Economics, Management and Trade, Page 89-100
DOI: 10.9734/BJEMT/2013/2386

Aims: This paper examined the role of export in the economic growth process in Nigeria.

Study Design:  Case Study.

Place and Duration of Study: Nigeria. Time series data ranging from 1970 to 2009.

Methodology: The study employs unit root testing, co-integration analysis and VAR Granger Causality/Exogeneity Wald Tests to analyze annual time series data from Nigeria. The study uses three measures of export namely, Total export, Oil export and Non-Oil export. This enhances the stability and robustness of results.

Results: The unit root test showed that both economic growth and export are integrated of order one, i.e. 1(1). The cointegration test confirmed for model 1 and model 2 (where total exports and oil exports are used respectively as proxy for Nigeria exports) that economic growth and export are cointegrated, indicating an existence of long run equilibrium relationship between the two as confirmed by the Johansen cointegration test results. However, there is no evidence of cointegration between export and economic growth for model 3. Granger causality was applied to test the causal relationship between GDP and economic growth. The results show that there is evidence of uni-directional causality between export and economic growth in Nigeria in three measures of exports and the direction of causality runs strictly from economic growth to exports.

Conclusion: This study provided support for growth-led export in case of Nigeria. Thus effort should be direct towards policies that will enhance economic growth such as import substitution industrialization (ISI) strategy, in order to impact more on exports.

Open Access Original Research Article

Current Account and Exchange Rate Dynamics in Presence of Risk and Economic Shocks

Satyajit Ghosh, Ioannis N. Kallianiotis

Journal of Economics, Management and Trade, Page 101-114
DOI: 10.9734/BJEMT/2013/3232

The paper is using a two period model of consumption and current account balance and tries to determine the dynamics of the exchange rates by taking into consideration the increases in oil prices, national debts, budget and trade deficits, the global uncertainty, and the enormous liquidity, due to the recent financial crisis and recession. Specifically, in this paper we have used the insights of an intertemporal model of consumption to analyze the recent behavior of the current account balance in the U.S. We have examined the roles of risk, price of gold, price of oil, TED spread, as well as interest rate, GDP and government spending. We have also analyzed the behavior of spot rate.

Open Access Original Research Article

Does Fiscal Decentralization Nexus with Life Expectancy? Evidence from Pakistan

Zahoor Hussain Javed, Saqlain Qaderi

Journal of Economics, Management and Trade, Page 115-122
DOI: 10.9734/BJEMT/2013/2462

The magnitude of this study is to explore association between fiscal decentralization and life expectancy in Pakistan. Panel data approach was used to detect the empirically friendship between life expectancy and fiscal decentralization over the period of 1990-2010 in Pakistan. Life expectancy is used as dependent variables. The results of empirical analysis suggest that there is positive association between fiscal decentralization and life expectancy in Pakistan.

Open Access Original Research Article

Analysis of the Physical Capacity Utilization in the Sugar Industry in Nigeria

Sunday Brownson Akpan, Obot Dominic Akpan, Samuel James Udoka, Daniel Etim John

Journal of Economics, Management and Trade, Page 123-140
DOI: 10.9734/BJEMT/2013/2940

The study analyzed the physical capacity utilization rates in the sugar industry in the period 1970 to 2010 in Nigeria. Secondary data were obtained from the sugar firms, Central Bank of Nigeria, National Bureau of Statistics and Federal Ministry of Finance. Stochastic Cobb-Douglas production functions for the sugar industry were estimated from which indices of physical capacity utilization rates were obtained. Factors which affect the physical capacity utilization of the industry were investigated. Empirical results revealed that the physical capacity utilization rates in the sugar industry was influenced by the industry’s labour productivity, per capita real GDP, sugar import, federal government expenditure on the sugar industry and the quantity of domestic sugarcane used in sugar production. The result of the regression further revealed that the sugar industry in Nigeria was demand unconstrained but resource constrained. It is recommended that appropriate policy measure that should aimed at expansionary aggregate demand as a means of promoting capacity utilization in the sugar industry should be introduced. Such policy measure should be designed to avoid inflationary tendencies. A restrictive policy measure on sugar imports should be adopted in the country. Researches should be intensified to develop good hybrids of industrial sugarcane and indigenous technology in sugar production. In addition, there are needs to widen the scope of the National Sugar Development Council and implementation of enhanced welfare packages for workers in the industry.

Open Access Original Research Article

Does Sales Promotion Influence Buyer Behaviour? A Study of PZ Cussons Limited

Dadson Awunyo-Vitor, Edward Kwame Ayimey, Regina Adzoa Gayibor

Journal of Economics, Management and Trade, Page 141-152
DOI: 10.9734/BJEMT/2013/3098

Sales promotion is a collection of incentive tools designed to stimulate sales of particular products or services in the short-term. The objectives of the study were to identify the Se m’anhyia duck bar soap sales promotion mechanisms adopted and to determine how the sales promotion mechanisms affected the behaviour of young consumers. Apart from adult buyers, young consumers who are Senior High School (SHS) students in Ghana, often buy personal care products especially soap personally for their use at school. Thus, the study focused on SHS students in the Ho Municipality of the Volta Region, Ghana. Data were collected with a questionnaire administered to a sample of 152 students who represented young consumers in the Ho Municipality of the Volta Region, Ghana. Statistical Package for Social Sciences (SPSS) was used to analyze the data. It was found that, PZ Cussons’ Se m’anhyia duck bar soap sales promotion mechanisms adopted included token of prizes such as T-shirts, shopping baskets, pieces of GTP wax cloth and the ultimate prize was a two-bedroom self-contained house. The study shows that the sales promotion has influenced many young consumers to purchase the product. Thus, it is important that the company regularly organizes sales promotion to improve its sales. A major contribution of the study is that it has established that a lot of young consumers, who are mainly boarding students in some part of Ghana, make purchase decisions regarding purchase of laundry soaps for their use at school. The study shows that boarding students constitute a very important market segment of the personal care product market in Ghana. Hence, personal care product marketers in Ghana should consider young consumers as part of their target markets and offer sales promotion packages that will be attractive to young consumers.