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Higher economic growth accompanied by rising energy demand poses severe challenges to the long-term environmental sustainability of E7 economies, including Brazil, China, India, Indonesia, Mexico, Russia and Turkey. Thus, this paper explores the influence of foreign direct investment (FDI) inflows on energy diversification for E7 economies.

The dataset is panel data for emerging seven (E7) economies, covering the period 1992–2017. The empirical investigation relies on econometric techniques: panel cointegration test and panel autoregressive distributed lag model.

The findings reveal that energy diversification and FDI inflows are cointegrated. In the long run, higher FDI inflows encourage energy diversification, but energy efficiency improvements discourage energy diversification. In the short run, the effects of FDI inflows on energy diversification vary across E7 economies, highlighting the role of country-specific factors in determining the short-run influence of FDI inflows on energy diversification.

The findings suggested that FDI policies should encourage the adoption of nonconventional energy resources to stimulate energy diversification in E7 economies. Besides, better coordination between energy diversification and energy efficiency policies is required in the long run for a successful transition towards low-carbon economy goals.

This study is a unique empirical exercise that uncovers a cointegrating relationship between energy diversification and FDI inflows for E7 economies. Moreover, the analysis provides homogenous long-run and heterogeneous (country-specific) short-run coefficient estimates for the effect of FDI inflows on energy diversification.

The purpose of this paper is to examine volatility spillover from the Chinese stock market to E7 and G7 stock markets. Using the estimated results, the authors also analyze the optimal weights and optimal hedge ratios for the portfolios including stocks from E7 and G7 countries.

The authors employed generalized vector autoregressive-generalized autoregressive conditional heteroskedasticity approach, developed by Ling and McAleer (2003), in order to analyze daily data on the national stock indices. Considering the late establishment of some E7 stock markets, the sampling covers the period from 1995 through 2015.

The findings indicate significant volatility spillover from the Chinese stock market to E7 and G7 stock markets. In particular, the Chinese stocks highly co-move with the stocks of countries within a same geographical region. While the highest volatility spillover occurs between China and India among E7 countries, the highest volatility spillover occurs between China and Japan among G7 countries. Furthermore, the examination of optimal weights and hedge ratios suggest that investors should hold more stocks from G7 countries than E7 countries for their portfolios.

To the best of the authors’ knowledge, this is the first study which investigates the volatility spillover in the stock markets of G7 and E7 countries. Moreover, the current study contributes particularly to the existing limited literature on the Chinese stock market. Since the Chinese stock market is not fully integrated to other markets and it is subject to intense government interventions, there is a widely accepted belief that the contagion effects from the Chinese stock market to other stock markets are not influential. This view discourages and limits the prospect studies. However, the findings of this paper refute this view and indicate significant interaction among the Chinese stock market and E7 and G7 stock markets.

The purpose of this chapter is to analyse Public–Private Partnerships (PPPs) in the developing and emerging economies as a multifaceted challenge from viewpoint of the 10 keys ‘for’ and ‘against’ PPPs: feasibility; planning; optimization; modernization and development; financing; project delivery; project operation; supervision; user satisfaction and accounting issues. The conceptual model and the reasons were formulated by the authors some 10 years ago, based on the literature and case-study reviews. Relevance of those reasons was verified in practice. The knowledge and critical perspective on the above-stated reasons are relevant for the implementation of PPP projects in any national economy – developed, emerging or developing, but it is quintessential for the implementation of PPPs in the economies that are at the early stage of implementation of PPPs. Although for the identification of the above-stated reasons, wide comparative literature and case-studies review was conducted, the reasons were verified in practice in Slovenia only. Slovenia is considered as one of the most advanced transition countries of Central Europe and a developed economy. This chapter can improve public policy, teaching, learning and practice of PPP implementation in developing and emerging economies. The value of this chapter is in the approach which goes beyond the usual defending or renouncing of PPPs. This chapter also clearly identifies the importance of a sincere motive for the implementation of PPPs by the government as a prerequisite for the successful implementation of PPPs.

Economic development is one of the primary goals of all countries. In this context, countries aim to determine effective and correct policies to achieve this goal. This situation is especially important for developing countries. These countries aim to grow their economies to reach the level of developed countries. This study aims to identify significant Islamic moral principles for sustainable economic growth of emerging seven (E7) countries.

In this framework, eight different criteria are defined to improve the welfare in the society for these countries. Additionally, fuzzy decision-making trial and evaluation laboratory (DEMATEL) approach is taken into consideration in the analysis process.

It is identified that Islamic moral values in economic activities, fair income distribution and taxation and prohibition of interest and securing business partnership are the most significant criteria. On the other side, it is found that preventing poverty and avoiding wastage are the influenced factors.

The findings show that righteousness in commercial activities decreases uncertainty in the market so that trade volume can be increased which contributes sustainable economic improvement. For this purpose, public awareness about the issue should be improved in the media and necessary trainings should be given to the people in their educations related to the business ethics. Furthermore, legal system in these countries should be improved to have fair income distribution and taxation. Additionally, social responsibility activities should be encouraged, so people with good income will help poor people. Moreover, business partnership system should be improved in which companies can obtain capital from the public and make necessary payments to these people according to the profit amount. This issue positively affects sustainability in economic improvement and welfare society for developing countries.

There are limited studies on sustainable economic development based on Islamic moral-based factors.

This study aims to examine the volatility spillover effects between oil and stock returns in the emerging seven economies.

In this study, the Granger causality test and vector autoregression-generalized autoregressive conditional heteroskedasticity approach to analyze the volatility spillover from 1995 to 2019 were used. The findings provide evidence of significant volatility spillover between oil and Brazil, China, India, Indonesia, Mexico, Russia and Turkey (E7) stock markets.

All emerging seven stock markets exhibit positive and low constant conditional correlations with oil assets. The magnitude of the correlation changes in respond to the country’s net position in the crude oil market. While a relatively high level of correlation exists between oil and the stock markets of net oil-exporting countries, a relatively low level of correlation exists between oil and the stock markets of net oil-importing countries.

The findings suggest that oil asset improves the risk-adjusted performance of a well-diversified portfolio of stocks. However, investors should invest a larger portion of their portfolios in E7 stock markets than in oil.

This will not be an overstatement to state that the micro, small and medium enterprise (MSME) industry is crucial and the vital driver of the world economy. It covers different fields and dimensions such as defense products, electrical components and low-cost products. The sector plays a vital role in rendering work with low capital expenditure and is one of the emerging pillars of the Indian economy. Given the significance of this sector in contributing towards India's gross domestic product (GDP), it becomes appropriate to resolve all the issues related to MSME on a primary basis for ensuring required support. The recent global pandemic of COVID-19 has impacted this sector to a great extent. This research study targets the MSME industry and points out the directly linked enablers adding to improve the sector's resiliency and sustainability. Therefore, identification and the interrelationship between the MSME enablers need to be studied, which helps make a preliminary list that deals with their impedance benefaction towards resiliency increment.

The writers have done a comprehensive literature analysis of the enablers for the MSME sector to enable effectively and efficiently during emergencies and pandemics. An endeavor has been made on the enablers to order them by utilizing the modified Total Interpretative Structure Modelling (m-TISM) technique. Authentication of this research work highlights the significance of enablers and their position in a hierarchical structure. Further, MICMAC investigation on the recognized enablers is performed to arrange them in the four quadrants on their dependence and driving power.

The authors have attempted to predict the significance of the MSME sector and its essential contribution to the development of India's economy. The result of m-TISM in the current research work revealed the essential commitment of a hierarchical design dealing with the MSME considering the viewpoint of future development. The well-planned traditional design in the MSME helps establish better government policies and programs and transport infrastructure.

Every research study has a few restrictions. Likewise, the boundaries of the current study are that inputs collated for fostering the models are from a few specialists that may not mirror the assessment of the whole MSME sector.

The MSME sector is the developing sector in the current day, and it is needed to keep supporting the sector for the country's development. The current study has set out the functional establishment to improve MSME practicality. In addition, the research highlights the accountability of the MSME authorities to go with the identified enablers having solid driving power for successful usage of the available resources. This will help the MSME development and add value to practitioners and policymakers in the future.

The growth of this sector is essential for the development of the economy and the development of a nation. The current study presents a unique structure that gives a superior comprehension of the enablers. It will help play a crucial role in developing the MSME area. The structure model developed with the assistance of m-TISM and MICMAC examine the identified enablers with inputs from experts in the field. The hierarchy developed from the study recognized the enablers located on their commitment of suitability development of the MSME field.

The objective is to develop an empirical model estimating the relationship and interaction amongst the factors affecting and enhancing green finance (GF) in developing economies like India.

Around nine growth-accelerating enablers of green financing were found through literature and unstructured interviews and analysed using the total interpretive structural modelling (TISM) method. The hierarchical link between each factor is established using TISM, and further to evaluate the driver-dependent relationship the Matriced’ Impacts Croises Appliquee Aaun Classement (MICMAC) approach is utilised.

The findings demonstrate an interrelationship between growth-accelerating factors, where the political environment and information and communication technology (ICT), have minimal dependency but a strong driving force. Political environment and ICT are found as strategic-level factors lying at the bottom of the model driving towards the dependent variables. The government should focus on enacting effective policies such as the green credit guarantee scheme and carbon credit and establishing a regulatory framework to enhance green financing.

This study examines the literature to generalise the findings and focus on the primary motivators for developing green financing. To increase green financial activity, practitioners must concentrate on aspects with significant driving forces. Furthermore, it makes organisations more profitable, efficient and competitive and promotes long-term growth.

The study is the first in the literature which identifies the growth-accelerating factors of green financing using the TISM and MICMAC-based hierarchical models.

Several empirical studies have proven that emerging countries are attractive destinations for Foreign Institutional Investors (FIIs) because of high expected returns, weak market efficiency and high growth that make them attractive destination for diversification of funds. But higher expected returns come coupled with high risk arising from political and economic instability. This study aims to compare the linear (symmetric) and non-linear (asymmetric) Generalized Autoregressive Conditional Heteroscedasticity (GARCH) models in forecasting the volatility of top five major emerging countries among E7, that is, China, India, Indonesia, Brazil and Mexico.

The volatility of financial markets of five major emerging countries has been empirically investigated for a period of two decades from January 2000 to December 2019 using univariate volatility models including GARCH 1, 1, Exponential Generalized Autoregressive Conditional Heteroscedasticity (E-GARCH 1, 1) and Threshold Generalized Autoregressive Conditional Heteroscedasticity (T-GARCH-1, 1) models. Further, to examine time-varying volatility, the distinctions of structural break have been captured in view of the global financial crisis of 2008. Thus, the period under the study has been segregated into pre- and post-crisis, that is, January 2001–December 2008 and January 2009–December 2019, respectively.

The findings indicate that GARCH (1, 1) model is superior to non-linear GARCH models for forecasting volatility because the effect of leverage is insignificant. China has been considered as most volatile, whereas India is volatile but positively skewed and Indonesia is the least volatile country. The results can help investors in better international diversification of their portfolio and identifying best suitable hedging opportunities.

This study can help investors to construct a more risk-adjusted returns international portfolio. Further, it adds to the scant literature available on the inconclusive debate on the choice of linear versus non-linear models to forecast market volatility.

Earlier studies related to univariate volatility models are mostly applications of the models. Only few studies have considered the robustness while applying the models. However, none of the studies to the best of the authors’ searches have considered these models for identifying the diversification opportunity among the emerging countries. Hence, this study is able to derive diversification and hedging opportunities by applying wide ranges of the statistical applications and models, that is, descriptive, correlations and univariate volatility models. It makes the study more rigorous and unique compared to the previous literature.

Purpose – The purpose of the paper is to advance knowledge on how firms should rethink and develop their innovation architecture by leveraging emerging market opportunities.Design/methodology/approach – The paper provides a conceptual framework comprising the drivers and consequences of innovation architecture across emerging and developed markets. It also highlights emerging market innovation characteristics using detailed examples.Findings/conclusions – Most of the future growth in the global economy will come from emerging markets. Successful global firms will have to rethink and develop their innovation architecture by leveraging innovations developed for emerging markets. By balancing the long-term costs and benefits of innovations in both developed and emerging markets, global firms can successfully reshape their innovation architecture.Practical implications – From a practical perspective, the paper provides guidelines to executives for managing innovation architecture across emerging and developed markets. Innovations appropriately developed and launched in emerging markets have the potential to expand global consumer base and increase shareholder value.Social implications – From a societal standpoint, the paper helps improve consumer welfare in emerging markets by offering a roadmap to develop safe, relevant, and affordable products for mainstream customers. Reverse innovations, developed primarily for emerging markets also benefit consumers in developed markets and enhance their social welfare.Value/originality – The paper provides an original theoretical contribution in an important and underexplored research area – emerging market innovation. It is the first to develop an in-depth analysis of innovation architecture, advance a conceptual framework of the role of emerging markets in the development and consequences of innovation architecture, and offer a roadmap for strategic management of innovation architecture. Academic researchers, practitioners, and policy makers will benefit from this paper.