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Book part
Publication date: 12 November 2016

Weijing He, Patrick Ring and Agyenim Boateng

Over the past decade internationalisation by banks from emerging market economies has accelerated. The purpose of this study is to examine the role of government and home country…

Abstract

Purpose

Over the past decade internationalisation by banks from emerging market economies has accelerated. The purpose of this study is to examine the role of government and home country institutions in the international expansion process of Chinese commercial banks (CCBs).

Methodology/approach

By employing qualitative research method, data was collected via interviews from 30 senior managers based on a sample of 10 CCBs involved in international expansion over the 2001–2013 period.

Findings

The study finds that the Chinese government and home institutions play an important role in motivating CCBs’ internationalisation. Evidence from this research illustrates the effect institutional factors have in emerging economy firms’ internationalisation.

Practical implications

The managerial implication of these findings is that CCBs could take great advantage of government policy by developing proper internationalisation strategies and capabilities that would enhance CCBs’ competitiveness in global market. On the institutional front, removal of the institutional constraints imposed on Chinese banking industry is required. Using market-oriented management and regulatory rules rather than imposing administrative restrictions could therefore accelerate CCBs’ adaption and integration in the international market and enhance their competitive power.

Details

The Political Economy of Chinese Finance
Type: Book
ISBN: 978-1-78560-957-2

Keywords

Article
Publication date: 24 August 2012

Suraya Ahmad and Abdul Rahim Abdul Rahman

The purpose of this study is to examine the relative efficiency of the Islamic commercial banks (ICBs) and conventional commercial banks (CCBs) in Malaysia. The study measures and…

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Abstract

Purpose

The purpose of this study is to examine the relative efficiency of the Islamic commercial banks (ICBs) and conventional commercial banks (CCBs) in Malaysia. The study measures and compares the level of efficiency of both ICBs and CCBs from the year 2003 to 2007.

Design/methodology/approach

There are ten local commercial banks selected in Malaysia, which comprise of eight CCBs and two ICBs. The study uses data envelopment analysis (DEA) to measure the relative efficiency of the selected banks in intermediating inputs into outputs. The study then analyses the difference in the average efficiency score of the ICBs and CCBs using the Mann‐Whitney U test.

Findings

This study found that the CCBs outperformed ICBs in all efficiency measures. The finding indicates that the CCBs may be more efficient than the ICBs due to managerial efficiency and technological advancement.

Research limitations/implications

This study may be extended in various ways. Since, this study only covers a sample period of five years, i.e. 2003 to 2007, future research might cover more sample periods. Further studies could also take a bigger sample size by including both the domestic and foreign commercial banks.

Practical implications

The study indicates that the domestic commercial banks' management is well organised, reflecting the effective roles of a bank as the mediator between the savers and entrepreneurs. The technology used in the commercial banks may be up‐to‐date and fully utilised in the bank's operation. However, the commercial banks in Malaysia are facing the scale inefficiency. This means that the banks are unable to fully utilise their capabilities and capacities in generating the outputs from their resources. The findings also indicate that the scale inefficiency is the main factor that leads to the low technical efficiency in the ICBs as their size is relatively smaller than the CCBs.

Originality/value

This study identified the most and least efficient domestic banks and the finding could be useful to the regulators and the banks to identify the bank's ranking within the industry. Thus, it is hoped that the regulators are able to address the gap between the best and worst‐practices. The study may also improve the awareness among the least efficient banks to initiate the proactive measures in order to be sustainable in the industry.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. 5 no. 3
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 13 November 2019

Nathan Eva, Alexander Newman, Abby Jingzi Zhou and Steven Shijin Zhou

Community citizenship behaviors (CCBs) of employees help organizations to promote a socially conscious image. However, there is still a significant gap in the knowledge as to how…

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Abstract

Purpose

Community citizenship behaviors (CCBs) of employees help organizations to promote a socially conscious image. However, there is still a significant gap in the knowledge as to how to foster CCBs amongst employees. The purpose of this paper is to investigate whether ethical leadership, as a prosocial leadership approach, fosters CCBs amongst employees, both at work and when they leave the office, through enhancing their prosocial motivation.

Design/methodology/approach

Data were collected from 160 employees across 48 small- and medium-sized enterprises in China. Multi-level modeling using maximum likelihood estimation in MPlus was utilized to analyze the two-level model simultaneously and the significance of the multi-level indirect effects was tested using the Monte Carlo method with 20,000 replications.

Findings

Counter to the expectations, the authors found that although ethical leadership increased employees’ prosocial motivation, this only translated to higher levels of employees’ CCBs at work, but not once they left the office.

Practical implications

The findings suggest that ethical leaders play a critical role in developing the prosocial motivation of employees and encouraging them to engage in CCBs that are supported by the organization. To that end, organizations should consider hiring leaders with high levels of ethical leadership and provide ethical leadership training to senior management.

Originality/value

The authors make a theoretical contribution by explaining the process by which ethical leaders influence employees to engage in CCBs, addressing calls to understand how social learning theory can be used to understand how people learn to become socially responsible.

Article
Publication date: 13 March 2019

Laee Choi and Jiyoung Hwang

This study aims to explore customer personality-related antecedents of customer citizenship behaviors (CCBs) that benefit service providers. It also investigates two-step…

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Abstract

Purpose

This study aims to explore customer personality-related antecedents of customer citizenship behaviors (CCBs) that benefit service providers. It also investigates two-step consequences of CCBs: customer satisfaction and intention to continue the relationship.

Design/methodology/approach

US consumers (n = 665) participated in online surveys regarding three types of service businesses with different levels of customization and customer contact. Data were analyzed using structural equation modeling.

Findings

Results show a significant, positive impact of the two dimensions of prosocial personality (i.e. other-oriented empathy and helpfulness) and proactive personality on CCBs. Additionally, CCBs increase customer satisfaction and, in turn, intention to continue the relationship.

Research limitations/implications

This study suggests the importance of customer prosocial and proactive personality as antecedents of CCBs. Beyond intention to participate in CCBs, the present study shows that customers perceived satisfaction from CCBs, resulting in intention to continue the relationship with their service provider. Further research should investigate other types of customer personalities such as conscientiousness and agreeableness.

Practical implications

Service providers should understand customer personalities that lead to voluntary behaviors that benefit their organizations. This understanding allows the service providers to better communicate with their customers and to receive more assists from customers.

Originality/value

Previous research has shown that customers’ attitudinal perceptions impact CCBs. In contrast, this study highlights the strong and positive impact of customer personalities, prosocial and proactive personality, on CCBs. Another significant contribution of this study is that it incorporates the potential consequences of CCBs.

Details

Journal of Consumer Marketing, vol. 36 no. 2
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 5 January 2021

Shuhao Li and Min Wei

This study aims to investigate the effect of hotel servicescape on customer citizenship behaviors “CCBs” by addressing customer engagement as a mediator and gender as a moderator.

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Abstract

Purpose

This study aims to investigate the effect of hotel servicescape on customer citizenship behaviors “CCBs” by addressing customer engagement as a mediator and gender as a moderator.

Design/methodology/approach

A total of 619 questionnaires were collected from hotel customers. Structural equation modeling was applied for data analysis.

Findings

Customer engagement mediates the effects of physical and social servicescapes on CCBs of providing feedback to an organization, making recommendations and helping other customers. Moreover, the indirect effects of physical servicescape on the three types of CCBs through customer engagement are stronger for male than for female customers, whereas no significant gender difference is observed in those effects of social servicescape on these types of CCBs through customer engagement.

Research limitations/implications

This study can help hotels promote the three types of CCBs and customer engagement by creating wonderful physical and social servicescape elements. The major limitation is that this study collected survey data outside the hotel environment.

Originality/value

This study enriches current knowledge on the servicescape-driven responses by exploring how hotel servicescape elements affect the three types of CCBs through customer engagement. Additionally, the different moderating roles of gender in the indirect influences of servicescape elements on these types of CCBs are presented.

Details

International Journal of Contemporary Hospitality Management, vol. 33 no. 2
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 29 January 2020

Jamshaid Anwar Chattha, Syed Musa Alhabshi and Ahamed Kameel Mydin Meera

In line with the IFSB and BCBS methodology, the purpose of this study is to undertake a comparative analysis of dual banking systems for asset-liability management (ALM) practices…

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Abstract

Purpose

In line with the IFSB and BCBS methodology, the purpose of this study is to undertake a comparative analysis of dual banking systems for asset-liability management (ALM) practices with the duration gap, in Islamic Commercial Banks (ICBs) and Conventional Commercial Banks (CCBs). Based on the research objective, two research questions are developed: How do the duration gaps of ICBs compare with those of similar sized CCBs? Are there any country-specific and regional differences among ICBs in terms of managing their duration gaps?

Design/methodology/approach

The research methodology comprises two-stages: stage one uses a duration gap model to calculate the duration gaps of ICBs and CCBs; stage two applies parametric tests. In terms of the duration gap model, the study determines the duration gap with a four-step process. The study selected a sample of 100 banks (50 ICBs and 50 CCBs) from 13 countries for the period 2009-2015.

Findings

The paper provides empirical insights into the duration gap and ALM of ICBs and CCBs. The ICBs have more variations in their mean duration gap compared to the CCBs, and they have a tendency for a higher (more) mean duration gap (28.37 years) in comparison to the CCBs (11.79 years). The study found ICBs as having 2.41 times more duration gap compared to the CCBs, and they are exposed to increasing rate of return (ROR) risk due to their larger duration gaps and severe liquidity mismatches. There are significant regional differences in terms of the duration gap and asset-liability management.

Research limitations/implications

Future studies also consider “Off-Balance Sheet” activities of the ICBs, with multi-term duration measures. A larger sample size of 100 ICBs with 10 years’ data after the GFC would be more beneficial to the industry. In addition, the impact of an increasing benchmark rate (e.g. 100, 200 and 300 bps) on the ICBs as per the IFSB 20 per cent threshold can also be established with the duration gap approach to identify the vulnerabilities of the ICBs.

Practical implications

The study makes profound contributions to the literature and suggests various policy recommendations for Islamic banks, regulators, and standard setters of the ICBs, for identifying and measuring the significance of the duration gaps; and management of the ROR risk under Pillar 2 of the BCBS and IFSB, for financial soundness and stability purposes.

Originality/value

To the best of the authors’ knowledge, this is a pioneer study in Islamic banking involving a sample of 100 banks (50 ICBs and 50 CCBs) from 13 countries. The results of the study provide original empirical evidence regarding the estimation of duration gap, and variations across jurisdictions in terms of vulnerability of ICBs and CCBs in dual banking systems.

Details

Journal of Islamic Accounting and Business Research, vol. 11 no. 6
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 14 November 2016

Laee Choi and Sherry Lotz

The purpose of this study is to better understand customer citizenship behavior (CCB) motivation through the development and validation of a new scale to measure the CCB…

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Abstract

Purpose

The purpose of this study is to better understand customer citizenship behavior (CCB) motivation through the development and validation of a new scale to measure the CCB motivation (CCBM) construct.

Design/methodology/approach

The mixed-methods study, combination of qualitative and quantitative research, is used to develop the scale item that measures CCBM. For nomological validity testing, data were collected from customers who had transacted with a specific service provider business in the past six months. Data were analyzed using structural equation modeling.

Findings

This study suggests that CCBM can be reliably measured by 12 items, composed of four sub-dimensions, self-enhancement, personal principles, desire to support the service provider and perception of the service provider’s past performance. In addition, nomological validity testing through three empirical models confirms that CCBM is a multi-dimensional construct with a second-order nature and an antecedent that positively influences CCB.

Originality/value

The research provides an original view regarding CCBM scale development in the services contexts and makes invaluable contributions to understanding a variety of motivations that lead customers to voluntary participation behaviors.

Article
Publication date: 10 April 2017

VieMing Tan, Farzana Quoquab, Fauziah Sh. Ahmad and Jihad Mohammad

The purpose of this paper is to offer empirical evidence on the role of self-esteem and social bonding in explaining citizenship behaviour of students at international university…

Abstract

Purpose

The purpose of this paper is to offer empirical evidence on the role of self-esteem and social bonding in explaining citizenship behaviour of students at international university branch campuses (IBCs).

Design/methodology/approach

A sample of 400 students from four IBCs in Malaysia was administered in a questionnaire. Data were analysed using SPSS and partial least squares 3.0.

Findings

This research demonstrates that students’ self-esteem and social bonds have positive direct effects on customer citizenship behaviour (CCB). Moreover, self-esteem has an indirect effect on CCB via intervening of attachment, commitment and involvement of social bonds.

Research limitations/implications

CCB of IBC students can be explained by self-consistency theory via mediation of social bonds from social bonding theory.

Practical implications

To encourage CCB in IBCs, university management should target students who have high self-esteem, closely tied to parents and lecturers, committed to university, highly involved in co-curricular activities and comply with university regulations.

Originality/value

Greater understanding of students’ citizenship behaviour may help transnational universities to improve relationship marketing strategy and enhance students’ campus experience.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 29 no. 2
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 5 June 2017

Yong Tan and John Anchor

The purpose of this paper is to investigate the impact of competition on credit risk, liquidity risk, capital risk and insolvency risk in the Chinese banking industry during the…

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Abstract

Purpose

The purpose of this paper is to investigate the impact of competition on credit risk, liquidity risk, capital risk and insolvency risk in the Chinese banking industry during the period 2003-2013.

Design/methodology/approach

This study uses a generalized method of moments system estimator to examine the impact of competition on risk. In particular, translog specifications are used to measure the competition and insolvency risk.

Findings

The results show that greater competition within each bank ownership type (state-owned commercial banks, joint-stock commercial banks and city commercial banks) leads to higher credit risk, higher liquidity risk, higher capital risk, but lower insolvency risk.

Originality/value

This paper is the first piece of research testing the impact of competition on different types of risk in banking industry and it further contributes to the empirical literature by using a more accurate competition indicator (efficiency-adjusted Lerner index) and a more precise insolvency risk indicator (stability inefficiency).

Details

International Journal of Managerial Finance, vol. 13 no. 3
Type: Research Article
ISSN: 1743-9132

Keywords

Article
Publication date: 15 August 2016

Thanh Nguyen

The purpose of this paper is to examine the effects of China’s accession to the World Trade Organization (WTO) in January 2002 on the efficiency levels, efficiency components…

Abstract

Purpose

The purpose of this paper is to examine the effects of China’s accession to the World Trade Organization (WTO) in January 2002 on the efficiency levels, efficiency components (technological change and scale economy), and efficiency determinants of Chinese banks.

Design/methodology/approach

This study employs a two-stage stochastic frontier analysis to estimate efficiency and its components and identify the efficiency determinants.

Findings

Chinese banks did not benefit from technological change and scale expansion in reducing costs in the pre-WTO period, but the reverse occurred in the post-WTO period. Chinese banks benefited from technological change in increasing profits to a lower degree in the post than the pre-WTO period. Cost efficiency declined while profit efficiency improved after China’s accession. Security investments positively drove profit efficiency in both pre- and post-WTO periods. There was an efficiency gap between joint-stock banks and state-owned banks in the pre-WTO period, but this gap disappeared in the post-WTO period. Economic freedom was related negatively to cost efficiency and positively to profit efficiency in the pre-WTO period, but opposite relations occurred in the post-WTO period.

Practical implications

These findings appear to favour gradual liberalisation in the Chinese banking system, gradual removal of restrictions on foreign banks, certain shift from non-security investments to security investments, technology investment and scale expansion.

Originality/value

This is the first study investigating the impact of the WTO on the efficiency, technological progress, economy of scale and efficiency determinants in Chinese banks.

Details

China Finance Review International, vol. 6 no. 3
Type: Research Article
ISSN: 2044-1398

Keywords

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