History and managerial culture in Singapore: “Pragmatism”, “openness” and “paternalism”

This paper examines the historical evolution of culture and management in Singapore, the existence of cultural fluidity in the society and the openness of Singapore to foreign management in relation to the changes in the environment resulting from modernization and development. Management in Singapore has always been multinational in origin. It has also been influenced considerably by the Chinese family system. It is in a state of flux; new and foreign practices are continually assimilated and adapted. Inspite of the wide variations in management practices, Singapore management remained characteristically pragmatic and open as well as paternalistic.Dr. Chong Li Choy is Senior Lecturer in the School of Management, National University of Singapore.     

Qualified audit reports and costly contracting

This paper investigates the financial characteristics of the population of listed Singaporean companies receiving first-time qualified audit reports. It develops and tests hypotheses which take into account the costly contracting implications of a qualification for both the auditor and client. A matched pair design is used as a control. Results show that firms receiving qualified reports are significantly less profitable and liquid and have significantly more debt than the control in the year of qualification. Profitability and liquidity are shown to have declined in the four-year period up to the qualification, while debt levels have increased. These results may partially explain why the general (overseas) no-effect result from share market announcement date studies exists; the qualification per se is a dated signal of financial deterioration that has existed for at least the previous four years. Qualification is also significantly associated with auditor type and ownership of the firm, and is also dependent upon whether or not the firm has revalued its assets or changed accounting methods. It is more likely that a qualified report will be issued by a non Big 8 auditor in Singapore to a firm which has a higher proportion of the equity owned by the management. Qualified firms are more likely to have revalued assets and changed accounting methods to increase income than the control group. The strength of the results is also shown to depend on the nature of the qualification. Companies receiving severe qualifications (ie going concern, not true and fair, and unable to form an opinion) have far more significant differences than their pairs compared with those firms receiving moderate or other qualifications.The authors are Senior Lecturer, School of Accountancy and Business, Nanyang Technological University and Professor, Department of Accounting, University of Sydney, respectively. All correspondence should be addressed to Yoke-Kai Chan, School of Accountancy and Business, Nayang Technological University, Nanyang Avenue, Singapore 639798.This paper has benefited from the comments of an anonymous referee, participants at the Australasian Banking and Finance Conference, the 15th Annual Congress of the European Accounting Association, and at workshops at the Australian Graduate School of Management, the Royal Melbourne Institute of Technology, the Nanyang Technological University and the University of Southern Queensland, and in particular those of Greg Whittred, Steve Taylor, Roger Simnett, Kim Sawyer and Don Stokes. Financial support from the National University of Singapore is gratefully acknowledge. The usual caveats apply.     

Share recommendations in singapore's financial press

This study compares the returns earned by shares featured in the Company Profile section ofSingapore Business with the results expected in a semi-strong efficient market. Prices in an efficient market reflect known information and recommended shares in the financial press are not expected to outperform the market. The results of this study are mixed but tend to match the outcome that is expected for an efficient market. Although the sixty-eight shares selected between January 1977 and October 1982 increased sharply in value on average during the following year, all of the gain during the first six months can be attributed to market changes. Only at nine and twelve months did the shares appear to outperform the market, but the level of statistical significance for the excess returns was low.The author is with the University of Hawaii and holds a visiting position at the National University of Singapore.     

Market Share and Price Setting Behavior for Private Labels and National Brands

In this paper, we focus on the nature of demand and competitive response in the market for private label and national branded grocery products. Specifically,we employ less restrictive functional forms than usedin prior research. Specifically, we incorporateLA/AIDS demands and the corresponding price reactionequations to estimate consumer price sensitivities andsupply side price strategies for national brand andprivate label products. Oligopolistic priceinterdependence is explored further by specifyingbrand share, brand Herfindahl, and a measure of thestructure of the local retail markets in the supplyside relations to evaluate explicitly the impact ofmarket structure.In our empirical analysis, we estimate a system of market share and price equations simultaneously inorder to examine (i) the determinants of the demandresponse to pricing and promotion decisions and (ii)the determinants of private label and national brandpricing behavior. Using data for 143 food productcategories and 59 geographic markets, we develop amodel that captures the variation in privatelabel-national brand share and pricing acrosscategories and markets. Key findings include: (i)demand response to price and promotion is decidedlyasymmetric, (ii) price followship between privatelabels and national brands is positive, but notstrong, and (iii) markets characterized by highernational brand market share and higher supermarketconcentration tend to have higher prices forboth national brands and private labels.     

Paths to Common Ground? A Rejoinder to Dewey's Response

While subsequent discussion in this Review has failed to reconcile the merger policies proposed by Dewey and Keyes, it has suggested that they are not as far apart as they seemed at first reading. It now appears that both writers advocate a serious critical consideration of the efficiencies claims advanced by proponents of otherwise unacceptable mergers. Moreover, there may be a possibility that Dewey's special large-firm merger control could be defended on grounds which would not conflict with Keyes' proposal but would simply complement it.     

Transcending Paradox: The Chinese “Middle Way” Perspective

Western thought is noted for its strengths in categorization and analysis; Eastern, or Chinese thought, is noted for its integrative and encompassing nature. This article seeks to bridge the two. Specifically, it aims to enrich Western thinking and the existing body of paradox literature by proposing the idea of paradoxical integration, a concept derived from the Chinese middle way philosophy. Paradoxical integration, the notion that two opposites (such as self and other) may be interdependent in nature and together constitute a totality (integration), is introduced as one means of transcending paradox and the conventional Western conceptualization of exclusive opposites. It suggests how we can apply the concept of interdependent opposites in a both/and framework to foster reconciliation of the apparent polarities of such dichotomies as competition and cooperation. The article concludes with a discussion of the broad implications of the concept of paradoxical integration upon both academic research and business practice.An erratum to this article can be found at     

Research on asian cultures and management: Some epistemological issues

This paper highlights the major issues raised in the conference Culture and Management Styles in Southeast Asian countries and discusses the espistomological and methodological problems of doing comparative management research in general as well as in the region.The paper identifies the themes which emerged from the conference discussions as (1) the fundamental rationale for research and the apparent weakness in making it explicit, (2) the questions of epistomology as regards causation, and the (3) more mundane issues faced in conforming to standard research paradigms. These issues are discussed under the following headings: What is to be included, subjects' espoused theory or theory in use, idiographic versus nomothetic approaches, more universal variables, problems of defining culture. The implications and significance of different approaches and disciplines concerning these issues are considered, and guidelines for future research in the area are suggested.Professor Gordon S. Redding is with the Department of Management Studies, University of Hong Kong.     

Lysine and Price Fixing: How Long? How Severe?

In October 1996 the Archer Daniels Midland Company(ADM) pleaded guilty to criminal price fixing withrespect to sales of lysine and agreed to pay a $70million fine. Earlier, in August 1996 two Japaneseproducers and a Korean producer of lysine had agreedto plead guilty to criminal price fixing charges. Andearlier still, in July 1996 ADM and the two Japanesecompanies settled the civil suits filed by some harmedbuyers by agreeing to pay a sum of $45 million.It is this last event that serves as the focus forthis paper. The adequacy of the settlement amount wasa major area of dispute. Connor (1996, 1997, 1998)has claimed that the trebled damages to lysinepurchasers were an order of magnitude larger. Crucialto Connor's conclusions are his assumptions as to thetime period during which the conspiracy had an effecton prices and the but for price that otherwise wouldhave prevailed in the absence of the conspiracy. Thispaper will argue that Connor substantiallyover-estimated the period of the conspiracy andunder-estimated the but-for price.     

Interconnection in Network Industries

Recent deregulation of telecommunications in the U.S. and elsewhere has highlighted the importance of interconnection in network industries. In this paper, we analyse interconnection in a deregulated network where the participants compete in the final retail market. We consider both the case of a mature industry as well as one where a new entrant challenges the incumbent. In the later case, network externalities allow the incumbent to use the terms of interconnection to maintain its dominant position. Moreover, in either case, competition in the retail market can be undermined by collusion over access prices. We discuss the implications for some of the provisions of the new U.S. Telecommunications Act, specifically mandatory interconnection and reciprocity of tariffs, comparing these to the simple bill and keep rule.     

The Spillover Effects of Industrial Action on Firm Profitability

While it is generally accepted that strikes can have a negative impact on a firm's performance, the direct effects of a strike on the affected firm may be only one component of the total impact resulting from the action. The existence of indirect or spillover effects can also have important implications for the economic performance of competing firms. This paper uses a panel of firm-level financial and strikes data for a large sample of firms in Australian manufacturing to determine the extent of direct and spillover effects of industrial action.     

The role of the ideal organization in comparative management: A cross cultural perspective of Japan & Korea

It is popular to talk of the Confucian Work Ethic when explaining the successes of Japan, Korea, Taiwan, Hong Kong and Singapore. This is not an accurate impression. The authors of this article found significant differences in management practices — both actual and ideal — between Japan and South Korea.Professors Lane Kelley, Reginald Worthley and Harry Lie are from the College of Business Administration, University of Hawaii while Professor Arthur Whatley is from the College of Business Administration & Economics, New Mexico State University.     

The state of East Asian banking structure and activities in the United States

This paper examines the structure and activities of East Asian banks in the USA in terms of their institutional components, legal environment, asset size and market structure, loan activities, geographical distribution and area of specialization. The discussion includes 10 Asia Pacific countries. The final section presents prognoses on the domination of Japanese banks as well as those of the two Chinas.Faramarz Damanpour is a Professor of Finance and International Business at James Madison University, U.S.A.     

Differentiation Among US Colleges and Universities

Colleges and universities in the US differ markedly in their access to economic resources. National data are used here to describe the resulting hierarchy that's reflected in schools' spending on their students, the prices those students pay, and the subsidies they get in consequence. Both historical data and projections based on recent institutional saving suggest that economic disparities among institutions and their students are increasing. In a final section, the paper asks what to make of this: what we can say about the right degree of institutional disparity – whether we have too much, too little, or about the right amount of differentiation.     

On Hofstede's treatment of Chinese and Japanese values

Hofstede has identified four important work-related values, but he imposes his mental programming on the interpretation of other cultures, which are qualitatively different from those on which he relies to develop his constructs. This criticism is evidenced by Hofstede's treatment of Chinese and Japanese values. This paper discusses the treatment along the four value dimensions: power distance, uncertainty avoidance, individualism and masculinity, and their integration. The paper concludes that Hofstede's analysis of Chinese and Japanese values is inadequate because Japanese and Chinese (including people in Taiwan, Hong Kong and Singapore) may either have different interpretations of the same value scale, or have other value dimensions not tapped by Hofstede's value framework.     

Location and Implementation Issues in Support Function FDI: The Globalisation of Matsushita Electric Industrial Co., Ltd.

This research looks at foreign direct investment in support functions such as R&D and employee training facilities, through a study of the globalisation of Matsushita Electric Industrial Co., Ltd. Linkages among investments are highlighted. Centripetal forces are identified which pull later-stage FDI to the sites of initial investments, resulting in the creation of integrated, self-contained value chains overseas. Specific examples of R&D and employee training FDI suggest that while the purpose of support function FDI is to gain cost or differentiation benefits, successful implementation requires effective knowledge creation and transfer capabilities.     

Technology Education as Solo Activity or Socially Constructed Learning

There is a continuing perception that current educational arrangements for technology education in modern liberal democracies are at odds with its actual delivery in the classroom (Dakers & Doherty 2003). The technè versus poiesis tension (explained later) is one major contributor to this perception. Equally, the practice of transmission versus constructivist pedagogies contributes to the mismatch between policy and practice.This paper will investigate how factors relating to these two contributions affect the delivery of technological education. It will begin by discussing the derivation of the word technology and how its modern incarnation has become not only amorphous, but confusing for technology education, in that the term can be taken to mean production on the one hand or process on the other. It will then explore technology teachers perceptions (and misperceptions) of what constitutes technology education, and discuss why this can lead to confusion. It will further consider how this can affect the pedagogy adopted. It will then examine two pedagogical frameworks which result from teachers perceptions of technology education as either; a process of internalisation of technological skills and functions as representations exclusively within the mind and unique to the individual, thus solo, or; a process of technological skills and functions embedded in sociocultural activity in which cognition is distributed across the internal mind and the external environment. Finally, the paper will offer a framework for the delivery of technology education set within a community of learners paradigm.     

Max weber revisited: Some lessons from East Asian capitalistic development

Weber's thesis of the incompatibility of the Confucian ethos and rational entrepreneurial capitalism has been challenged by the economic miracles of many East Asian countries. One thesis presented here is that Confucianism is compatible with and has facilitated Asian capitalism by its influence on managerial values and practices. According to Weber, the release of tensions created by Calvinism was an important motivating force in the development of capitalism in the Occident. Confucianism offers a parallel mechanism to the profit-seeking drive in Western capitalism. We show that, in Confucian societies, there also exists tensions — in this case, between ideals and reality. These tensions are released through the Confucian concept of a ceaseless pursuit of renovation, a motivational mechanism for the development of capitalism in East Asian societies that parallels the West. Weber held that the classic model of bureaucracy, with impersonality at its core, is essential to the development and continuation of capitalism. Our second thesis is that humanism is an important element in Confucian bureaucracy and that humanistic bureaucracy can be both effective and efficient for the development of capitalism.     

An Investigation of Market Entry Strategy Selection: Exporting vs Foreign Direct Investment Modes—A Home-host Country Scenario

A critical issue for firms considering conducting business overseas is the choice of market entry mode. The two most widely options are exporting and foreign direct investment. This study examined a number of factors which have been suggested in the literature as important determinants of the choice between these two entry modes. Key factors examined included international business experience, immigrant effect, service requirements, and market size. The study employed a logistic regression analysis method to examine the market entry mode decisions of 124 New Zealand firms operating in a single foreign market (Taiwan). Significant factors identified included product type and proxy experience (firms' experience with Japan), and an immigrant effect which impacted on the choice of FDI mode.     

Perception of ‘economic reality’ with Design and Technology

Conclusion It has been argued that Design and Technology teachers would be helped by clear distinction between the terms, industry, business and economic. This would help to avoid the confusion between particular ways of viewing business (eg. through an economic concept such as profit maximisation;) and the multi-faceted character of the activity under observation. By this reasoning, the economic dimension of Design and Technology resides in the analysis of needs and the evaluation of products according to the value of the resources used up, and the value and distribution of the resources and products created. The link with discussion of value judgements in the subject (eg. Riggs and Conway, 1991) is very clear. So also is the dependence of this analysis on the definition of needs and evaluation and, crucially, the perceived relationship between the two, in learning and classroom practice.