Search results

The research question is how home country corruption and nationalism may affect operations of BRIC multinational enterprises. BRIC composition permits a comparison of two authoritarian regimes and two constitutional democracies. Each BRIC features a different combination of corruption and nationalism. The chapter adds South Africa information for two limited reasons. First, from 2010 South Africa is a member of the BRIC summit process. South Africa is an important entry point to Africa, for BRIC multinationals and particularly for China. Second, concerning corruption and nationalism South Africa is analytically useful as a control context that helps illustrate but does not appear to change highly exploratory BRIC findings.

The chapter draws on limited literature and information concerning corruption and nationalism in BRICs to suggest tentative possibilities. Transparency International provides bribe payers index estimates for 28 large economies, with important multinational enterprises, and corruption perceptions index estimates including those 28 countries. These estimates include the four BRICs and South Africa. The available sources suggest some suggested findings about varying impacts of home country corruption and nationalism on operations of BRIC multinationals.

China and Russia are authoritarian regimes in transition from central planning-oriented communist regimes. They are global military powers, expanding influence in their respective regions. Brazil, India, and South Africa are constitutional democracies. India, a nuclear-armed military power, seeks a regional leadership role in South Asia. Brazil and South Africa are key countries economically in their regions. BRIC multinationals are positioned between home country and host country conditions. Chinese and Russian multinationals may reflect a stronger nationalistic tendency due to home country regimes and ownership structure.

The chapter is an original but highly exploratory inquiry into impacts of corruption and nationalism on BRIC multinationals. Extant BRIC literature tends to understudy effects of home country corruption and nationalism on managerial mindset and incentives in either commercial or state-owned enterprises.

Both the particular contexts of socioeconomic development, and the unique post‐colonial/post‐indcpendence agendas of small states in the Pacific, present predictable invitations for the creation of corruption relationships. The two case studies discussed in this paper provide scenarios common to this region wherein customary structures of power and influence converge on modern commercial institutions and instruments to produce corrupt consequences. However, the contextual analysis of these as corruption, from a developed or global perspective, is neither straightforward nor uncontested. And the challenge inherent in their regulation is problematic. The integration of such relationships within deeply rooted and accepted customary authority structures qualifies their description as corrupt, and tends towards a process of reinterprctation and denial which prevents the effective intervention of regulation and control processes. The integration of these relationships within otherwise legitimate structures of economic development and promotion makes their perpetuation likely, and even their exposure largely inconsequential in conventional control or sanctioning terms.

Corporate social responsibility (CSR) practices are gaining momentum globally but their implementation becomes problematic due to the presence of barriers. So, this study aims to identify the barriers to CSR implementation among manufacturing enterprises, develop their classification and establish relationships among the barriers.

An exhaustive list of barriers was identified from the literature, and following surveys and expert opinions, 19 critical barriers were extracted. Interpretive structure modelling was used to understand the hierarchal and contextual relationships among barriers of CSR implementation.

The results show that are no autonomous variables present in the study. The proposed conceptual framework presents the hierarchy and interlinkage of barriers to CSR implementation in manufacturing enterprises. The results also indicate that rigidity in culture and corruption in the system and within the governance system of the country are the two most influential barriers that impede CSR implementation in manufacturing enterprises.

The interactions among CSR barriers provide policymakers, industrial practitioners and managers with a framework to recognise and evaluate mutual relationships and interlinking among barriers. CSR training and undertaking CSR in collaboration can help medium enterprises overcome these barriers and prepare strategies to mitigate their impact.

The purpose of this study is to examine the convergence and determinants of anti-corruption disclosures of extractive firms in Africa.

The study uses an unbalanced panel data of 27 firms operating in 5 African countries covering the period 2006 to 2018. Corporate data is collected from the global reporting initiative (GRI) database. The study uses an index to measure overall disclosure and individual items are coded as binary. The study uses fixed effects, panel logistic and panel-corrected standard error regression, depending on the type of dependent variable used.

The results indicate that the determinants of anti-corruption disclosure are membership in the United Nations global compact (UNGC) and Extractive Industry Transparency Initiative, multi-national enterprise status, corruption perception index and human development index (HDI). Specifically, UNGC membership and multi-national status enhance the disclosure on corruption analysis. Countries with a high prevalence of corruption tend to disclose more on corruption analysis. Disclosure on corruption training is high among firms that are UNGC signatories, countries with a high HDI and countries with a high prevalence of corruption. There is a weak effect of firm-level, industry-level and country-level factors on disclosures on corruption response.

The study provides insights on the use of GRI 205: Anti-Corruption, which has relevant implications for practitioners, policymakers and the academic community.

This study is premier in exploring anti-corruption disclosure with a special focus on extractive firms in Africa. It is also unique in providing a test of both beta and sigma convergence among the firms.

Reflecting the moral theorisation of bribery as a negative phenomenon, bribery has been widely shown to have a deleterious impact at the national level on economic development and growth. The purpose of this paper is to evaluate whether it is also the case at the firm level that bribery has negative impacts on firm performance. Until now, the few studies conducted in individual nations and regions have produced mixed results. Here, therefore, a more comprehensive evaluation of the relationship between bribery and firm performance is undertaken across the developing world.

To do so, World Bank Enterprise Survey data on 106,805 enterprises across 132 developing countries is used to provide a firm-level analysis of the relationship between bribery and firm performance.

The finding is that bribery enhances firm performance. Firms asserting that it is necessary for enterprises like theirs to give gifts or payments to public officials in order to get things done have 13.9 per cent higher average annual sales growth rates and 48 per cent higher annual productivity growth rates, after controlling for other determinants of firm performance.

Given that engaging in bribery at the firm level results in higher firm performance, despite bribery having an overall detrimental negative impact at the country level, public authorities will need to develop measures to alter not only the cost-benefit ratio confronting individual enterprises but also the institutional deficiencies that result in the prevalence of bribery.

This is the first firm-level evaluation of the relationship between bribery and firm performance across the developing world.

This paper aims to focus on analyzing the level of corruption of small- and medium-sized enterprises and their economic performance impact in Western Balkan countries. This study uses survey data from Enterprise Surveys (ES) from 2019, a shared project of the European Bank for Reconstruction and Development, the European Investment Bank and the World Bank Group. The selected countries are Albania, Bosnia and Herzegovina, North Macedonia, Kosovo, Montenegro and Serbia. The questions included in the data set contribute to understanding what firms experience in the private sector. Collected data are based on firms’ experiences and enterprises’ perceptions of the environment in which they operate.

This paper measures enterprise performance in terms of sales, employees and fixed assets growth. The vector of independent variables comprises enterprise characteristics such as enterprise age, size, ownership structure, legal status, access to formal banking services, gender ownership and other composed variables. Moreover, to capture the level of perceived corruption by firms, we will focus on the following ES questions: “Is it common to have to pay some irregular additional payment or gifts to get things done with regard to customs, taxes, licenses, regulations, services,” and the “corruption payment” is defined in the form of a dummy equal to one if the enterprise replies “frequently,” “usually” or “always.”

Preliminary empirical research results shed light on the level and effects of corruption on enterprises’ performance. However, the magnitude and statistical significance are different among the countries included in the sample.

Instead of firm-level characteristics, research on corruption frequently focuses on effects dependent on national and institutional characteristics. To better identify the kinds of businesses that are most at risk of corruption, we have selected to focus on differences among firm characteristics in this research. Understanding factors at the firm level is preferred from a policy perspective because these findings assist policymakers to make recommendations.

Author considered the contradiction of Capitalism and its Solution, systemized the concept to newly define Ethics Management and social Responsibility whose various terminologies are used in Domestic and foreign country and compared, analyzed and considered global guideline, standard organization and global Evaluation Model of internationally‐performed Ethics Management on the basis of the concept of new Ethics Management.

Willard A. Hanna's astute observation above about the institutionalization of corruption in Indonesia was published in August 1971, five years after President Soeharto assumed power. The origins of corruption in Indonesia can be traced to the Dutch colonial period as bribery was rife among the lowly paid personnel of the Dutch East India Company (Day, 1966, pp. 100–103). However, corruption became institutionalized during President Soeharto's 32-year reign as his cronies and family “made an art form of creaming off many of Indonesia's most profitable ventures … while being protected by monopoly regulations and their relationship to the president” (Kingsbury, 1998, p. 202). Raymond Bonner (1988, p. 80) has used the euphemism “the family business” to describe “the corruption surrounding members of the Suharto family,” which was “a public secret” in 1988.

In Nigeria, insecurity has been breeding very rapidly given the Nigerian economic conditions in the recent past. Insecurity exposes enterprise development and survival to a serious threat. It has serious effects on lives and properties, obstructs business activities and discourages local and foreign investors, which in turn militate against Nigeria’s overall economic growth and development. This rising wave of insecurity has assumed an unsafe facet to enterprise development and its subsequent survival, hence, if unchecked, it can threaten the overall communal existence of the country as one entity. The purpose of this study is therefore, to examine the impact of insecurity on enterprise development in Nigeria.

This study used the most recent Nigeria Enterprise Survey data (2014) and applied multi-nomial logistic regression model to examine the impact of insecurity on enterprise development in Nigeria.

It was found among others that all the captured insecurity variables in this study have negative significant impact on enterprise development and as such significantly retards enterprise growth and development except for corruption and availability of strong, fair and impartial legal system (comparing partnership and limited partnership enterprise to the sole proprietorship), which were found to have positive impact on enterprise development in Nigeria.

This study therefore recommended among others that government at all levels – federal, state and local – should try harder to live up to its primary constitutional function of providing adequate security of lives and property to its citizenry.

There is no known study that has investigated the impact of insecurity on enterprise development in Nigeria. There is dearth of literature in the study area, hence this study enormously contributes to the growing literature on insecurity and enterprise development.

China has a bad reputation — justified or not — for corruption: in a recent Transparency International survey, it was listed by US and European businesspeople as one of the three most corrupt countries in Asia, though its ranking fell slightly in 1996. A national survey revealed that ordinary Chinese regard corruption as the most serious problem after inflation, though 52 per cent expressed doubt that the Government could do anything about it. In 1995, in Beijing alone, 1,085 cases of corruption were uncovered. In 1996, in the Working Report of the Supreme Peoples's Procuratorate, the Chief Procurator Zhang Siqing observed: