Management of Foreign Market Entry： A Study of Czech Companies

Internationalization of company activities is the necessity of the development for majority of entrepreneurial subjects in the Czech Republic. Internationalization of entrepreneurial activities becomes a tool of business competitiveness. Selecting the right foreign entry mode is an important decision, which demands a lot of resources and thorough planning. The factors influencing company＇s choice of entry mode are divided into two main groups subsuming--external and internal factors. External factors consist of determinants regarding the company＇s environment while the intemal ones are determined by the company＇s specific factors. The opening of new markets such as in the Czech Republic has created the potential for small and medium-size enterprise （SME） expansion and investment. The objective of this paper is to present an application of the entry modes of the selected Czech entrepreneurial subjects. The companies included in the study are those that have undertaken internationalization activities and are incorporated in the Czech Republic. There were a total of 297 enterprises that participated in the research. The research method was an oral questioning and the main instrument was a questionnaire. A relatively low degree of Czech companies that have undergone intemationalization has resulted in the dominance of the least advanced forms of internationalization expansion, mainly exports with a small share of more advanced forms of foreign direct investments and a very low level of forms of international cooperation. Czech companies are in decision about the choosing the foreign entry mode influenced by the many factors. The greatest influence on the choice of foreign entry mode has entry mode variables. Entry mode variables constitute variables assessment characteristics of particular entry mode.     

Sino-European Trade Competition in Latin America and the Caribbean

The article studies trade in goods between China and the Latin American and Caribbean （LAC） countries and between the European Union （EU） and LAC during the years from 2000 to 2013. From the beginning of the 21st century, big changes in LAC＇s trade patterns have been observed. The article contains possible explanation of them. The analysis is based on the ECLAC （Economic Commission for Latin America and the Caribbean） data. Merchandise trade between China and LAC grew significantly over the period from 2000 to 2013. In 2013, the value of merchandise exports from China was higher than from the EU-28 in the case of 12 LAC countries. Chinese imports of goods surpassed the European ones in five countries in the region. In order to increase its exports of manufactured goods and imports of natural resources and agricultural commodities, China combines trade arrangements with foreign aid policy. Besides, a rapid development of bilateral diplomatic ties between China and LAC is observed. The EU-LAC trade relations have worsened during the last decade mainly due to financial crisis and development of the EU-Asia trade relations.     

Internationalization and the Structure of the Company＇s Marketing Strategy on International Markets Theoretical Remarks

The paper presents theoretical reflection upon international marketing strategy in the framework of internationalization and globalization of the market. It consists of four parts. The first one debates the nature and reasons for corporate internationalization. The second part shows an international marketing strategy in the concept of corporate expansion. The strategy consists of two elements： the basic dimensions of foreign market entry modes （part 3） and business presence strategies in overseas markets （part 4）. This paper proposes a theoretical framework for research conducted by Department of Marketing of the Cracow University of Economics. The research has been conducted as a part of grant received by Polish National Centre of Science.     

Threshold Effects in the Capital Account Liberalization and Foreign Direct Investment Relationship

This paper examines how capital account liberalization （CAL） affects foreign direct investment （FDI） inflows. Authors use a dynamic panel model encompassing 14 Middle East countries over the period from 1985 to 2009. The findings suggest that countries that are able to reap the benefits of the capital openness policy satisfy certain threshold conditions regarding the level of financial development and institutional quality. Thus to promote FDI, governments in this region should develop a set of policies that not only focus on financial openness, but also on the improvement of the financial system and legal institutions.     

Globalization and Voluntary Environmental Management in Developing Countries

Weak capacity to enforce regulations and sanction violators, and an emphasis on economic growth in developing countries has led to concerns about worsening environmental conditions and the potential for these countries becoming pollution havens for multinational corporations. International environmental standards, voluntary programs, and public disclosure programs have gained popularity because they engage market participants in providing incentives for self-regulation and have the potential to substitute for the lack of domestic regulatory capacity. This paper analyzes the motivations for firms to undertake voluntary environmental management and reviews the empirical evidence on the type of firms participating in such initiatives and their effectiveness in improving environmental performance. We also consider the special case of China that has witnessed dramatic globalization following its acceptance into the World Trade Organization and participation by its firms in global supply chains. We conclude with a discussion of the effectiveness of these efforts as a substitute for weak regulatory and civic society pressures in these countries.     

Regional Developmental Problems of the Rural Settlements in Bosnia and Herzegovina

The paper considers developmental problems of the rural settlements in Bosnia and Herzegovina, which are results of long-term disparity in the regional development in the period 1991-2012. In this paper it is considered the recent migration from rural to urban areas and the depopulation of the rural areas. The result of these trends reflects the development of the new infrastructure and tertiary activities. In these investigations, statistical data processed and geovisualised in GIS were used. The obtained data indicate extremely unequable regional arrangement of the population in the rural areas and socio-economic development.     

＂A Raft in the Stormy Sea＂： New Roles,New ＂Dresses＂ Operating in ＆ for Business Networks

This paper aims to discuss the development and functioning conditions of business networks. After recalling the main characteristics of post-fordistic environment and comparing it to a ＂stormy sea＂ （section one） of the paper focuses on the idea of networks described as ＂rafts＂ useful to firms to build their own competitive advantages. In fact, while theoretical knowledge is not so valuable because everybody can have it, practical and contextual knowledge is specific and therefore it can be defended. The development of a contextual knowledge is feasible if the firm chooses among all the possible alternatives. Subsequently in section two, it shows how fordistic principles eliminate space, reduce time, and increase the speed of communication among individuals and as entering a network has become a necessity as it allows a firm to obtain competitive advantages. The greatest benefit is the chance to share the task of creating new knowledge among different members. In section three it is discussed if navigation in the post-fordistic stormy sea could take advantage from the existence of a more certain regulation. It is necessary to underline that positive law is not a post-fordistic tool. There is no satisfactory detailed law regarding ideas, knowledge, and know-how, by now. Therefore, it is not possible to rely on a specific regulation framework to protect knowledge found on the network. In conclusion in section four, the work discusses how single organizations need to reach the ＂raft＂--which is the network--through the idea of sharing learning and distinguishing elements necessary to survive in the stormy sea post-Fordism environment. Lastly, section five would be analyzed a public institution--Milan Chamber of Commerce--which has ＂changed its dress＂ to more effectively perform its support role to firms.     

Bar in Questionnaires

Vougiouklis ＆ Vougiouklis have proposed the replacement of Likert scales, usually used in questionnaires, with a bar. With this proposal a discrete situation is replaced by a fuzzy one. There are identified certain advantages concerning the use of the bar as compared to that of a scale during both the stages of filling-in as well as processing a questionnaire. The main advantage associated with business research requirements is the fact that it is expected to be much quicker to fill in and much easier to explain to participants. The bar provides the potential for different types of processing Likert scales cannot. Therefore the researchers are allowed to ascertain that the given answers follow not only the already suggested and used Gauss distribution but also a parabola distribution as it will be suggested in present paper, and which is expected to give the researcher the opportunity to ＂correct＂ this tendency. Therefore, a possibility of choosing amongst a number of alternatives is offered, by utilizing fuzzy logic in the same way as it has already been done in industry and combining mathematical models with multivalued operations.     

Widespread Hotel： An Innovative Made in Italy Model for Cultural Tourism and Local Sustainable Development The Umbria＇s Case

Widespread hotels represent a new Italian phenomenon still not much investigated, both on theoretical and empirical side, which cannot be ignored anymore. Indeed they meet the need to implement techniques and management tools which are able to improve the culture-tourism binomial. This would permit to transform into valid instruments of national economical development, the shared declaration of intents for which culture and tourism, especially in Italy and in this particular fragile period, represent even more the main strategic levers for the sustainable development. This article intends to describe the potentiality of these widespread hotels as innovations particularly suitable with trends recently emerged in tourism sector and outline the phenomenon pattern in ltaly with particular attention on Umbria region, in order to identify his main strength and weakness and some innovation to improve performance. To this end, it starts from the analysis of the national and international economic-managerial literature concerning in particular cultural and experienced trends shown in tourism. Then it introduces the main acquisitions about widespread hotels in Italy, updating and extending them through a desk survey based on indirect sources of various natures. Lastly, it describes the case of Umbria, analyzing more in depth making use of interviews with entrepreneurs/managers of hotels and based on a semi-structured questionnaire. The aspects of indeterminateness which were found, starting from the normative one, testify how the potentiality of the widespread hotels as far as regards the value creation for the enterprise itself and the territorial stakeholder, are still not properly understood and therefore used. It is clear that, therefore, new behaviors are needed for entrepreneurs and, most importantly, for local policy makers in order to create the conditions for the full success of these hospitality models.     

The World Production and Trade of Rare Earth Elements： The Position of the Pacific Area

In this paper we analyze the characteristics of the so-called rare earth elements （REEs） and its industrial applications. We present the policy, or lack thereof, in the countries in the Pacific Rim for its mining and commerce, and the current and future weight that rare earth minerals will have in international trade. The technological revolution experienced over the last 25 years, has brought the REEs to the public＇s attention for being instrumental in obtaining catalysts, lasers and optical fiber, luminescent substances and LEDs, superconductors, permanent magnets, batteries and ultra-capacitors. China＇s leading position as the supplier of these minerals worldwide, and its recent export restriction policy for domestic industrial activities have driven up international prices. Price increase for REEs is leading to the need for both recycling and its replacement. It has also led other countries in the Asia Pacific Rim to prospect new potential sites on their own territories, or even to restart operations in deposits that had been previously abandoned. Those strategies will likely gain greater importance as environmental pollution problems associated with the exploitation, processing, and recovery of REEs increase.     

School-to-Work Transition in Saudi Arabia： A Case Study of Youth Cohorts

The paper addresses the youth＇s perception towards jobs and career opportunities in Saudi Arabia, based on the school-to-work transition model. The study is based on a sample survey covering 600 youth cohorts in Yanbu and Jeddah in the Kingdom of Saudi Arabia. The study reveals that school-to-work transition is not a smooth one and is influenced by the perception of youth towards employment and its various dimensions along with the ambitions towards career improvement. The 14 indicators framed in the paper reveal that essentiality, confidence to get a job that satisfies the needs, job availability, and qualifications are found to be important determinants of youth＇s attitude towards work; whereas, willingness to do any job did not get much acclaim. Job selection of youth is determined by location （especially hometown job）, sectoral preferences, training options, and work environment.     

Ethics as an Active Self-construction of the Human

This paper will attempt to clarify the clear tendency, in our contemporary world, to look at ethics as something that ＂cures＂ all wrongs, all unbalance, and all evils from the political, environmental, to the business ones. For this reason, there is nothing better than to turn to ethics in order to ＂moralise＂ the system and the world, when the numerous news of fraud, injustice, and scandals are a part of everyday life in the business world and in our society. But, is this the role of ethics？ Can we reduce the aim of ethics to a mere technique？ In this paper, it is argued that ethics needs to be replaced in the epistemological scale of knowledge, where until now it has occupied a place at the top. Ethics needs to be repositioned in a different level of knowledge where we may find the roots of its foundation. It is also discussed that it is at the core of being that the experience of the action takes place and develops and in it, ethics takes root. Furthermore, it is suggested that understanding ethics from this point of view presupposes a new ethos around a relational poietics which privileges inter-subjectivity, self-creation, and an active and dynamic construction of the human and of the world.     

Board Independence and Internal Committees in the BRICs

To be successful in global markets, companies from the emerging countries need the approval of foreign investors and other stakeholders. In this regard, Brazil, Russia, India, and China （BRIC） have progressively strengthened their corporate governance rules to help their companies overcome the competitors from the old industrialized countries. Directors＇ non-executive qualification, independence, and professional expertise represent basic requirements for effective corporate governance, so they should be carefully considered to guarantee a proper board composition and an adequate establishment of internal committees in listed companies. The paper intends to compare the legislative and regulatory frameworks adopted by the four countries; then it aims at answering to the following research questions by means of an empirical investigation： Have BRIC companies appointed non-executive and independent board members？ What do BRIC companies do in order to assure an effective participation of non-executive and independent board members to corporate governance activities？ Have BRIC companies established internal committees？ The research examines the appointment of non-executive directors and independent directors to the boards of 100 BRIC leading firms, as well as their involvement in internal committees focused on matters requiring motivated and impartial opinions. Although the laws and recommendations seem to favor a general convergence of corporate governance principles among the four BRIC and towards the international best practices, some differences and peculiarities emerge from a firm-level perspective. Indeed, the Indian and the Chinese companies analyzed appear more inclined than the Brazilian and the Russian ones to reassure their international stakeholders about board independence and effective committees.     

Non-classical Algorithm for Time Series Prediction of the Range of Economic Phenomena With Regard to the Interaction of Financial Market Indicators

The aim of the article is to present non-clasical copyrighted algorithm for prediction of time series, presenting macroeconomic indicators and stock market indices. The algorithm is based on artificial neural networks and multi-resolution analysis （the algorithm is based on Daubechies wavelet）. However, the main feature of the algorithm, which gives a good quality of the forecasts, is all included in the series analysis division into, a few partial under-series and prediction dependence on a number of other economic series. The algorithm used for the prediction, is copyrighted algorithm, labeled M.H-D in this article. Application of the algorithm was performed on a series presenting WIG 20. The forecast of WIG 20 was conditional on trading the Dow Jones, DAX, Nikkei, Hang Seng, taking into account the sliding time window. As an example application of copyrighted model, the forecast of WIG 20 for a period of two years, one year, six month was appointed. An empirical example is described. It shows that the proposed model can predict index with the scale of two years, one year, a half year and other intervals. Precision of prediction is satisfactory. An average absolute percentage error of each forecast was： 0.0099%---for two-year forecasts WIG 20; 0.0552%--for the annual forecast WIG 20; and 0.1788%---for the six-month forecasts WIG 20.     

The Impact of Automation in Service Industries＂ An Empirical Study

Academic research into service industries has explored the characteristics of interpersonal interactions between employees and customers, but there are few studies addressing the issues of consumer interaction with technology and its influence on the objectives and results of the operations subsystem. This study examines the elements of the service encounter, and the changes automation originates in them and their relationships. The paper also examines changes in the elements and results of the operations subsystem, as a result of automation. We propose that the customer＇s relationship with employees and/or technology and automated systems for the service impact the objectives and results of the operations subsystem, all of which could have an effect on the company＇s competitive position. The empirical study is focused on four industries, namely, toll motorways, car parks, carwash and video/DVD rental companies, in an attempt to identify objectives that lead companies to implement automated processes affecting the customer＇s relationship with the company. The hypotheses generated are contrasted with a structural equation modelling. The results confirm that the customer＇s relationship with employees and automated systems for the service impacts the objectives and results of the operations subsystem. Also, the results show how automation can enable firms simultaneously to achieve acceptable levels of flexibility and productivity, two dimensions that have traditionally been considered opposites.     

Overlapping Generations and Environmental Policy： An Introduction

A small but growing body of literature uses overlapping generations （OLG） models to study environmental policy for long-lived problems such as climate change. An OLG model, unlike the infinitely lived representative agent model, dis- tinguishes between impatience with respect to one＇s own future utility, and attitudes toward successors＇ utility. I discuss the problem of time inconsistency, the role of Markov perfection, and show that a class of OLG models can be studied using me- thods developed to analyze models of non-constant discounting. An example illu- strates the techniques and determines the conditions under which, in equilibrium, there is under-investment or over-investment in natural capital.     

The 2007-2009 Financial Crisis on Emerging Markets： Quantitative Identification of Crisis in Continent-based Regions

This paper focuses on a direct quantitative identification of crisis periods in selected emerging stock markets from four continent-based regions of Europe, Latin America, East Asia, and Middle East and North Africa （MENA）, in the context of an influence of the 2007 U.S. subprime financial crisis. The 17 emerging stock markets and, for comparison, the U.S. stock market are investigated. A statistical method of dividing market states into bullish and bearish markets, based on monthly logarithmic returns of major stock market indexes, is employed. The analyzed sample period begins in January 2003 and ends in December 2013. As there is no unanimity in the literature about the crisis periods in the continent-based regions, a formal statistical identification of crises is worthwhile to conduct. Furthermore, the effect of increasing cross-market correlations in the crisis compared to the pre-crisis period in the context of contagion is examining. To address this issue, both standard contemporaneous cross-correlations and volatility-adjusted cross-correlations are applied. The results are consistent with the literature and confn＇m that tests for contagion based on cross-market correlations are problematic due to the bias introduced by changing volatility in market returns. As contagion can be confused with globalization, the globalization tests in the group of international investigated markets are employed. The results generally do not confirm a global world market integration effect, i.e. there is no reason to reject the research hypothesis of no globalization during the 2007-2009 financial crisis.     

A ＂Paradox＂ in China＇s Environmental Management： An Argument From a Comparative Study on Waste Recycling Policies Between China and Japan

China appears to have a ＂paradox＂ in its environmental management policies. For example, China＇s recycling policies appear paradoxical. With its rapidly expanding economy, China is now the world＇s largest emitter of urban waste. Under such a situation, China is aiming to build up a recycling economy by enacting a number of related laws. Despite the development of waste recycling regulations, however, the load on the environment by continuously increasing waste has not reduced in China so far. What explains this seemingly paradoxical situation of waste recycling in China？ It has been pointed out in the previous study on China＇s climate change policies that environment protection falls under the rubric of sustainable development in China. The question here is whether the same story can be applied to areas other than climate change in China＇s environmental management. This paper examines it in the area of its waste recycling policy. This paper conducts an evaluation of waste recycling regulations in China by comparing it with the experience of Japan, China＇s next-door advanced country. It concludes that the waste recycling regulations in China do not primarily aim at reducing the environmental load by reducing the amount of waste but rather for the main purpose of recycling and reusing resources effectively for the sake of economic development.     

Existing Contradictions and Recommendations to China＇s Insurance Industry Characterized by Low-growth and Low-interest

This article seeks to analyze the contradictions and recommendations to China＇s insurance industry in the context of low-growth and low interest market. Under the pressure caused by the contradictions between the sustainable growth in the insurance premium income and the low ROI, it is very important to solve these contradictions for maintaining a sustainable and steady growth in insurance industry, at the same time, it is also favorable to play a role as a social stabilizer as well as an economic booster for insurance industry. This paper can be divided into four parts： Part I analyzes the five basic characteristics of Chinese low-growth and low-interest insurance industry; part II elaborates the principal contradictions faced by Chinese low-growth and low-interest insurance industry; part III analyzes the development environment of Chinese insurance industry; part IV proposes the recommendations to solve these contradictions.     

Bridging Civilizations From Asia to Europe： The Silk Road

Throughout history, Silk Road played an important role with connecting more than 50 countries between its endpoints. Reviving this ancient trade route is a contemporary discussion among politicians. There are many projects realized and proposed for the resurgence of the modem Silk Road, including the railroad project connecting Baku, Tiflis and Kars of Azerbaijan, Georgia, and Turkey; the undersea rail tunnel under the Bosphorus strait, Marmaray; the Silk Road Economic Belt proposed by China; and the Maritime Silk Road, again proposed by China. Just like the original Silk Road, it was not only a route for caravans or trade, but it was a meeting point for cultural, religious, and philosophical exchanges that served humanity for centuries; today＇s modem Silk Road initiatives should be considered as bridges between Eastern and Western civilizations that will serve the same purpose of its ancient predecessor. The revived Silk Road will facilitate strengthening of relationships in between countries that experienced harmony in history. The railways, transportation facilities, transnational gates, energy corridors, and natural gas pipelines that constitute the Silk Road will transform the region with improving its economy and bringing peace and economic prosperity. With recent developments, it witnesses the importance of geopolitical and historical ties in establishing contemporary alliances. Although there are great expectations with the revival of the modern Silk Road, authors would like to emphasize that it should be an agreement to foster shared interests rather than the interest of bigger partners.