Finance

While capital markets play a pivotal role in promoting economic development, investors can be motivated to invest in the capital market only if securities in the market are appropriately priced, which, in turn, is governed by the market efficiency. Market Efficiency is closely related to the random walk hypothesis which states that a share price will follow a random walk. While there has been ample research to test the Random Walk Hypothesis at the capital markets in developed economies, very few studies have been conducted for capital markets in India. Further, even fewer studies have been conducted for the Indian Banking sector, represented by the Bank NIFTY Index. The current study examines Random Walk Hypothesis at the Bank NIFTY Index for the period from 1st April 2014 to 31st March 2017. Normality tests indicate that the day-wise returns are normally distributed. In order to provide a better understanding of the data utilized in this study, the descriptive statistics are examined. Further, results from the Run test indicate that the Bank NIFTY Index does not follow a random walk for the period examined.

The main purpose of this study is to examine the impact of the corporate governance on firm performance. The variables, employed in this study to measure firm performance, return on assets. And Board Size, Board Composition, CEO/Chairman Duality as indicator of corporate governance. For this purpose sample data collected for listed banks in Pakistan from 2005 to 2010. The empirical results indicate that firm performance have a significant relation to board Size, board composition, On the other hand, firm performance has insignificant impact on CEO/Chairman Duality.

Working capital management directly effects profitability of any firm. In this study, we select a sample of 33 Pakistani manufacturing firms for the period of 6 years from 2005-2010.We examined the effect of different policies of working capital management AIP (aggressive investment policy) and AFP (aggressive financing policy) on ROA (Return on asset), ROE (Return on equity), ROC (Return on capital). Descriptive analysis and regression analysis are used. The outcome of study shows that there is a significant relationship of ROA and ROC with AIP and AFP. Which means that change in AFP and AIP causes change in ROA and ROC. This study also shows that there is insignificant relationship of ROE with AIP and AFP.

The company is operating in a society; it cannot stay away from the social issues. The society provides both customers and resources to fulfil the business objectives of the corporate companies. So, companies should serve for society by fulfilling corporate social responsibility. Our business doesn't exist in isolation nor is it simply a way of making money. Our employees depend on our business. Customers, suppliers and the local community are all affected by our business and what we do. Our products, and the way we make them, also have an impact on the environment.

The subject of human resource is an important factor to improve manager’s characteristic as world-class talent and devolution and empowerment of employees. In the twenty-first century the significance of human intellectual capital in most necessary than other capital in an organization. Humans determine the value of organization due to their skill and specialization. They play a vital role in an organization along with its physical properties and in investment. Managers spend a lot of money for educating and training their workers and employees in order to increase the efficiency of the organizations managers function is the key to success and to achieve this objective, they must review and evaluate human resource data. Managers without proper information cannot function and take proper decisions. Human resource accounting while accounting principles in an organization is to conduct basic research to the extent of the human resource accounting information which affect the employees personal performance in human resource accounting analysis, criteria and valuation of cost and manpower is the main resource in each company. Human resource accounting is main part of the social accounting and aims to provide information and evaluation of managers decision-making. This article shows the important role of human resource accounting of managers decision-makings in organizations and studies how managers can put the human resource value in balance sheet by different models and collecting primary data in making questionnaires of some selected company and contribution of managers of organization and how much human resource accounting affect on managers decision-makings.

The purpose of this research was to find out the actual reasons behind turnover in commercial banks in the county of Mombasa and its damaging effects on the productivity of banks in Kenya. Commercial Banks play a very big key role in controlling the economic activity of a country, as the Central Bank of Kenya implements monetary policy with the help of commercial banks. Collectively, Kenya?s banks contribute more than Ksh.1.2 billion every year through their social investment programmes (corporate social responsibility). Moreover, as one of the largest contributors to tax revenue in Kenya, the banking industry directly impacts the country?s economic development, including the key sectors of education, health, transport, energy, communications and agriculture. The industry is most certainly a force for good that strikes the balance between growth and positive impact. Commercial banks in Kenya today are facing a high employee turnover which can prove costly in this sector. Due to this turnover the organization results in loss of production and an increase in the recruitment costs. Literature review looked into two theories that informed the study i.e. Maslow Hierarchy of Needs and System Theory. Empirical review highlighted Factors Determining Staff Turnover in Organization, Effects of Employee Turnover and Banking Industry in Kenya a conceptual framework was proposed to guide the study. The primary objective of this study is to determine the factors that determine staff turnover within the commercial banks and how it affects staff performance.

Despite increasing attention paid to intangibles research since the end of the 20th century, there is a dearth of empirical evidence on the interactions among different intangible elements and their performance implications due to the lack of appropriate intangible measurements and the low level of intangible disclosure in the public domain. This paper seeks to investigate the role of intangibles in the Indian banking by studying 46 banks, seven years (2005-2011) quantitative data. The empirical results show that top management human capital (HC) has a positive impact on either customer relationships or bank financial performance, and the combination of different intangible elements tends to better explain the variation in banks’ return on assets than they do individually. They also depict a positive relationship between relational capital and banks performance. Hence it is advisable for banks to build up on their intangible assets to gain competitive advantage and distinguish themselves from competitors in a world where in the hunt for market share firms are resorting to copying tangible assets and capabilities possessed by others to beat each other.

A profitable banking sector is better able to withstand negative shocks and contribute to the stability of the financial system. The importance of bank profitability can be appraised at the micro and macro levels of the economy. At the micro level, profit is determined by bank’s management decisions and policy objectives, while the macroeconomic determinants look at variables that reflect the economic and legal environment where the credit institution operates. Bank profitability, typically measured by the return on assets (ROA) and/or the return on equity (ROE), and/or net interest margin (NIM) is usually expressed as a function of internal and external determinants. These issues engaged the minds of the authors in this paper. Industry related dataset that covers a 10year period of time was used. The regression results indicate that bank-specific characteristics and macroeconomic variables explain up to 97.4% variations in bank profitability when NIM was used as a dependent variable. Summarily, profitability was found to be associated with well-capitalised banks as capital ratio has a positive significant relationship with NIM; bank size has a negative but significant relationship with NIM; Asset composition has a positive but an insignificant relationship with NIM; Liquidity has a negative and insignificant relationship with NIM; all the macroeconomic variables apart from inflation have a negative and insignificant relationship with NIM. Therefore, the study recommends that regulatory authorities should promote policies that will bring about low inflation and stable economic output growth, whereas, bank managements should concentrate more on cost and non-performing loans reduction and asset composition diversification.

Organisations need to be prepared for the impact of downsizing, because of the effect of layoffs on the remaining employees. Because employee morale is so susceptible to restructuring, this is an important time to improve employee engagement levels and prevent further loss of the workforce. This research study seeks to highlight the importance of communication, trust, and support, during downsizing. The research method used a qualitative approach, which enabled the researcher to conduct face-to-face interviews with ten participants. The findings affirm the prevailing literature regarding the importance of appreciation, communication, fair compensation, training and development, and trust, as factors influencing employee engagement levels. The results revealed that insufficient communication was the primary cause of low employee morale during the downsizing process. Respondents also cited distrust of management and uncertainty of the company’s future as leading concerns brought about by the retrenchments. Management was recommended to increase managerial support, improve communication and transparency, and show more consideration towards staff as a means of rebuilding the trust that was lost during restructuring. Due to the sensitive nature of a retrenchment process and its impact on the remaining employees, great care should be taken when embarking on any restructuring in the future.

Taxi business comes in various forms; there is the traditional taxi business model, a car-hire service, or a digital taxi business in which online systems such as Apps are used for taxi hailing. ICT revolution has made technologies cheaper, more powerful and improved business processes while also bolstering innovation across all sectors of the economy, resulting to emergence of the digital economy. Digital economy is characterised by the use of electronic technologies to transact business. The prevalent use of technology for businesses has resulted to numerous tax challenges that has ultimately influenced tax compliance. Globally, most countries are faced with a critical need of enhancing tax compliance among their taxpayers. This research therefore attempts examine how the use of Information and Communication Technology (ICT) affect tax compliance of digital taxi businesses in Mombasa County? The research study therefore applies the theory of Technology–Organization–Environment (TOE) to understand the use of Information and Communication Technology (ICT) affect tax compliance of digital taxi businesses in Mombasa County. The study adopts a descriptive research in which we apply cross-sectional study where we will draw samples that are representative of the specific population, with the target population being digital taxi drivers in Mombasa County. Data was collected with the help of questionnaires and analysed using the Statistical Package for Social Sciences (SPSS). The findings of the correlation analysis r=0.659 indicate that there is a strong positive correlation between ICT infrastructure and Tax Compliance. The study recommended that; KRA and policy makers should introduce a simple tax system for digital businesses to enforce and enhance accountability, declaration and payment of taxes due from all taxpayers; while at the same time KRA should also incorporate and adopt enhanced technologies that will assist in tracking digital taxi business operators? behaviour so as to improve tax compliance. The research recommends further researches on other factors such as organization structures, trade and government regulations that might also affect tax compliance for digital taxi businesses.