Archives of Business Research 2021-10-12T14:05:49+00:00 Thomas Harvey Open Journal Systems <p>ABR is founded by Services for Science and Education (SSE) United Kingdom where it is strongly believe that excellence in research is the key to benefiting academics, businesses, societies and other relevant stakeholders at local, national, regional and international levels.</p> Towards Export-Led Growth in the West Africa Sub Region Economies 2021-08-19T12:21:16+00:00 R. K. Ayeni Momodou Mustapha FANNEH <p><em>The policy of import substitution dominated developing economies especially Sub-Sharan African countries up till 1970. The focus later shifted to pursuing growth through increased export. </em><em>Recently, countries of the West Africa Sub-region are clamoring for a revisit of growth through import substitution policies. This study therefore delved into</em><em> the question of whether ECOWAS countries should go for import substitution growth strategy, or to develop strategy that promotes export-led growth, following the law of comparative advantage or a considerable mix of the two strategies.</em><em> Using an export-augmented neoclassical production function, the study tested how relevant is the Export-led Growth Hypothesis for the ECOWAS sub-region over the period 1980-2014.</em></p> <p><em>&nbsp;Evidence does not offer a strong support for the Hypothesis in the short run but a strong evidence for improved capital stock and labor causing growth. However, long-run results suggest a</em><em> significant relationship between export and growth but currently negative.&nbsp; A likely explanation of this negativity is that although exports, in the West African sub-regions has the tendency of increasing growth in the long run along with other factors of production, the present conditions of export, especially manufactured and agricultural exports, is experiencing a kind of “Import surge”. That is the import content of exports is high and the local content is low, thus reducing the spillover or multiplier effects. This was confirmed by the strong bilateral causality between export and import discovered in this study. A policy mix of import substitution and export promotion strategies was recommended for countries in this sub-region.</em><em>&nbsp; Policies that will promote technological innovation in manufacturing and linkages with local suppliers alongside incentives to produce towards export are imperative. Production towards export should be focused on manufactured and agricultural products where each country has the highest comparative advantage so as to reduce the import content of the export.</em></p> 2021-10-12T00:00:00+00:00 Copyright (c) 2021 R. K. Ayeni, Momodou Mustapha FANNEH Effect of Cashflow on the Networth of construction firms in Nigeria 2021-05-13T11:32:14+00:00 Godwin Oghenekohwo Akparhuere Callistus Emeka EMEJULU Chike Earnest Nwoha <p>The main objective of this study is to ascertain the effect of Cashflow on the Networth of construction firms in Nigeria. The specific objectives are to: determine the relevance of operating activities to Networth of construction firms in Nigeria; ascertain the relevance of investing activities to Networth of construction firms in Nigeria; and to verify the relevance of financing activities to Networth of construction firms in Nigeria. The study adopted the ex-post facto research design and the data for analysis were obtained from the annual reports and financial statements of accounts of two (2) sampled firms from the construction industry in Nigeria, namely Julius Berger Nig. Plc and MISTA Nig. Ltd. The data collected covered 10 years (2009-2018) for Julius Berger and MIXTA Nig. Ltd and were then pooled and analysed using SPSS v 20.0, the tools of analysis being correlation coefficient (r), coefficient of determination (R<sup>2</sup>), F-ratio (ANOVA), t-test (for the tests of hypotheses), and the regression analysis for fitting the models. Findings revealed that operating activities cost, investing activities costs and financing activities cost have no significant relevance to Networth of construction firms in Nigeria. The conclusion was that the construction industry in Nigeria, though bereft of adequate amount of data to accomplish the aim of this study, has at least opened a new dimension about this contemporary issue in research. That would be a welcome dimension in our effort to improve the Building and Construction sector for development. Based on the findings, the study recommends that Managers should adopt cost reduction practices that would increase efficiency of operations that could translate to higher Networth; more investment activities should be encouraged by Construction firms so as to consolidate on the present situation; and the managements of Construction firms are advised to increase the financing activities in the industry so as to improve total assets. This will grow more assets and reduce the size of liability of the firms in the future. The implication is that since all the three components do not have significant effect on the Networth of construction companies in Nigeria, it might be difficult to generalize the findings. Therefore, it might need further investigation using larger sample size and different analytical approaches to ascertain the effect of Cashflow on Networth of Building and Construction firms in Nigeria.</p> 2021-10-16T00:00:00+00:00 Copyright (c) 2021 Godwin Oghenekohwo Akparhuere, Callistus Emeka EMEJULU, Chike Earnest Nwoha The Impact of Covid-19 on the Macro Indicators: A Comparative Analysis for Oil, Gold, Exchange Rates and Wheat 2021-09-16T18:30:39+00:00 DILEK TEKER E. Asena Deniz <p>COVID-19, which occurred in Wuhan, China at the end of December 2019 and have affected the whole world, appears to have drastic effects on human health and economic stability. Economic activities related to global trade decreased with the spread of the epidemic and caused crisis both economically and financially. This virus, which is also a health crisis, has affected human life greatly due to uncertainty in the protection and treatment processes. Increasing numbers of cases and deaths negatively affect the economic progress globally and show that countries with intense epidemic are vulnerable. Not knowing how long the pandemic will last and how long economic activities will be restricted requires an economic precaution. If the pandemic is brought under control quickly, the return to normal economic life will happen quickly and thus all economic sectors, especially service sectors, will recover in a short time. If the process of controlling the pandemic is long, the destruction on economic growth and employment will be at higher levels. With the vaccine found, it is predicted that the normalization process will accelerate and the economy may recover. Increased studies examining the impact of the COVID-19 pandemic on financial markets and commodity markets will make it easier for both economists and financial actors in the future. &nbsp;In this study, the relationship between the daily number of cases of COVID-19 and brent oil, gold, EUR / USD and wheat prices were examined. After the natural logarithm of our variables was applied, it was determined whether they were static or not. ARDL test, Impact-Response Analysis and Variance Decomposition were performed according to the determined lag lengths. According to the results, ARDL test was performed because our data was not stationary according to the ADF test and cointegration was not found among the data. As a result of impact response analysis, shocks lose their effect in a short time.</p> 2021-10-16T00:00:00+00:00 Copyright (c) 2021 DILEK TEKER, E. Asena Deniz THE MODERATING OF POLLITICAL CONNECTION ON FACTORS AFFECTING FRAUDULENT FINANCIAL STATEMENT FROM THE PENTAGON FRAUD MODEL PERSPECTIVE 2021-08-30T19:19:36+00:00 Helmiansyah Irawan <p><strong>ABSTRACT</strong></p> <p><strong>The Purpose of this research is to analyze the effect of the factors that effect of fraud in financial statements that occur in companies. And also analyzes the impact of political connections as a moderating variable that strengthens or weakens the factors that influences fraud in the financial statements.The author collects empirical study data from manufacture industry companies, using secondary data taken from annual reporting of companies listed in the Indonesia Stock Exchange and analyzes them using the SPSS program. A total of 60 units of data analysis that meet the criteria and can be used as sample in the research. This research reveals that effective monitoring and change of director has a positive and significant effect on financial statement of fraudulent. A set of financial targets, changes of auditors, and the frequencies of CEO pictures have not effect on fraudulent of financial statement. Whatever, the impact on political connection as oderating variable only strengthens the influence between effective monitoring and change of BOD on fraudulent financial statement from before being moderated by the political connection. This study only takes data of secondary from the annual reporting of companies and financial reports of firm from BEI, especially the manufacturing industry which only covers three sectors. Meanwhile, the Indonesia Stock Exchange consists of nine existing industrial sectors. Originality/value for this research is Political Connection as a moderator between financial stability, in effectively monitoring, change of auditor, change of director and frequencies of number commissioner’s pictures on financial statement of fraudulent in the context of manufacture companies listed in BEI is still little researched. So this research will not only fill in the current gaps in the literature but also spark new academic debates, but this study will also contribute to the practice of fraudulent financial.</strong></p> <p><strong>Keywords</strong>: financial stability, ineffectively monitoring, changes of auditor, changes of director, financial statement of fraudulent</p> 2021-10-16T00:00:00+00:00 Copyright (c) 2021 Helmiansyah Irawan BUSINESS SUSTAINABILITY MODEL IN THE NEW NORMAL ERA THROUGH MICRO AND SMALL BUSINESS DIGITAL PLATFORMS IN RURAL AREAS 2021-09-25T15:54:29+00:00 Kartib Bayu <p>The policy of preventing the transmission of Covid-19 through Large-Scale Social Borders and the Enforcement of Restrictions on Community Activities has had an impact on the economy. Many micro and small businesses have stopped operating, workers have been laid off, unemployment has increased, and there has been new poverty. This study aims to implement a business sustainability model that can adapt to new normal conditions supported by digital platform applications in a rural area and obtain a Covid-19 prevention model with a change in business governance orientation approach that can adapt to the new normal era. The research method used is literature study, exploratory survey, experimental research, and applied research. A field survey was conducted to obtain primary data at the village level. An experimental method to test business sustainability models and digital platform applications on micro and small businesses. Digital platform literacy is carried out through online workshops. The unit of analysis is micro and small business actors. The data analyzed are time series. The research site was in Sumedang Regency from September 2020 to July 2021. The results showed that during the Covid-19 pandemic there were micro and small business activities that made changes, although there were also those who laid off their businesses. Adjustments in the form of substitution of raw materials, modification, diversification, making new products, and changing the way of marketing. The digital platform design is made on a web and android based to carry out the function or process of online transactions for micro and small business products in rural areas. It is hoped that MSE entrepreneurs will understand, through complete information, adjusting needs, as well as helping prevent the transmission of Covid-19 and can support business sustainability in the new normal era.</p> 2021-10-18T00:00:00+00:00 Copyright (c) 2021 Kartib Bayu