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The purpose of this study is to evaluate the profit efficiency of decision-making units (DMUs) based on predicted future information to solve the lag problem of improvement benchmarks given by the traditional profit efficiency model.

This paper proposes a two-step profit efficiency evaluation method. The first step predicts the future input and output information of DMUs through the past time-series data, obtaining a likely production possibility set (PPS) and profit frontier for the next period. The second step calculates DMUs' profit efficiency based on the predictions obtained in the first step and provides predictive benchmarking for DMUs.

The empirical results show that the proposed method yields good solutions for the lag problem of benchmarks given in ex-post evaluation, enabling bank managers to use predicted future information to achieve better improvement. Besides, compared with the technical efficiency measure, profit efficiency can better reflect the financial situation of DMUs and give the specific gap between the evaluated and optimal DMU.

For bank managers, the authors' new technique is advantageous for grasping the initiative of development because this technique accounts for the future development of the whole industry and sets forward-looking targets. These advantages can help banks improve in a more favorable direction and improve the asset management ability of banks.

This paper combines the data envelopment analysis (DEA) profit efficiency model with performance prediction and proposes a new two-step profit efficiency model, filling a gap in previous studies.

The authors investigated cocoa farmers' access to subsidized fertilizer in Ghana and implications on productivity.

Primary data were sourced from 435 cocoa farmers. Cragg hurdle and two-step Tobit model with continuous endogenous regressors/covariates were applied for the drivers of cocoa farmers' participation in fertilizer subsidy programme and productivity. Propensity score matching (PSM), inverse-probability weights (IPW) and augmented inverse-probability weights (AIPW) were applied for productivity impact assessment of fertilizer subsidy.

All the farmers were aware of fertilizer subsidy for cocoa production in Ghana. Farmers became aware of fertilizer subsidy through extension officers, media and other farmers. Half of cocoa farmers benefitted from fertilizer subsidy. Averagely, cocoa farmers purchased 292 kg of subsidized fertilizer. Many socio-economic, farm-level characteristics and institutional factors determine cocoa farmers' participation in fertilizer subsidy programme, quantity of subsidized fertilizer obtained and productivity. Beneficiaries of fertilizer subsidy recorded higher cocoa productivity than non-beneficiaries. Hence, fertilizer subsidy for cocoa production in Ghana leads to a gain in productivity.

There should be more investments in fertilizer subsidy so that all cocoa farmers benefit and obtain the required quantities.

The authors provide new evidence on cocoa productivity gain or loss emanating from fertilizer subsidy by combining different impact assessment techniques for deeper analysis: PSM, IPW and AIPW.

The purpose of this paper is to support the development of effective strategies that enhance community water supply systems. The study examined service constraints and willingness to pay for better services in community-managed water supply services using empirical evidence from beneficiaries of a small-town water supply system in Ghana.

A survey design of both descriptive and exploratory research is adopted, the descriptive survey handles the quantitative aspect, while the exploratory survey handles the qualitative aspect. The authors collected data using a structured survey questionnaire from 387 beneficiaries who were public standpipe and domestic users. Descriptive statistics, Kendall's coefficient of concordance and Cragg's two-step model were the methods of analysis employed.

The respondents ranked lack of capacity (managerial) as the topmost constraint of the community-managed water system. The findings indicate that 57% of the beneficiaries were not willing to pay, whiles 43% were willing to pay. Also, results from Cragg's two-step regression model indicate that different sets of factors affect willingness-to-pay and amount-to-pay decisions. The study revealed that while a willingness-to-pay decision is influenced by income, education, marital status and customer service, the estimated-amount-to-pay decision is more influenced by income and education.

Building on the empirical evidence, the findings indicated that the water and sanitation management team can increase the current fee of GH¢ 5.00/1 m³ (≈US$ 0.87) by increasing beneficiaries charge for a bucket of water from GH¢ 0.10p (≈US$ 0.017) to GH¢ 0.21p (≈US$ 0.036) for better services within the community. Importantly, the additional charge should take into consideration income and education which were noted to significantly influence the beneficiary's amount-to-pay decision for better services in the community-managed water supply system.

The application of correct contractor selection strategies leads to the selection of a qualified contractor and, as a result, the on-time delivery of the project with the desired quality and within the predetermined budgetary constraints. For this reason, evaluating and qualifying contractors before reviewing the proposed prices has been considered an important issue. One factor that disrupts the project completion process and the failure to achieve pre-planned goals effectively is the occurrence of contractors' disputes and claims in projects. To this end, the present study explores claim-reduction strategies for selecting effective contractors in an uncertain environment to reduce possible problems.

The two-step grey data envelopment analysis (GDEA) approach was used to measure efficiency as a powerful tool in selecting efficient contractors during tenders. This approach can extend the applications of multi-criteria decision-making (MCDM) models. In other words, given some uncertainties, the unavailability of some data, and the problems with the DEA model, the two-step GDEA model was used to rank the contractors. The data confirmed the satisfactory outcomes from the selected model.

The preliminary assessment of contractors is a pre-tendering process and a step in categorizing contractors, excluding contractors lacking required qualifications, and selecting efficient contractors. At first, it will help the employer to exclude inexperienced and unqualified contractors, save resources and time, reduce threats, replace opportunities with threats, and reduce material and non-material costs during the completion of the project until the projects are put into operation. Consequently, this approach reduces claims to a minimum level and increases the organization's effective material and non-material profit.

Oil and gas plans and projects have a significant, sensitive, and decisive role in the economic, social, political, cultural, infrastructural, and all-round development of Iran; This is while most of the financial resources needed to implement the development and programs across the country come from oil revenues. Studies have indicated that despite the importance of these plans and projects, many of them are not completed successfully, and this causes irreparable losses to the country's economy and development in various fields.

1. The findings of this study can be used by organizations to select more effective contractors to assign projects and plans to them.

2. The preliminary assessment of contractors is a pre-tendering process and a step in categorizing contractors, excluding contractors who lack required qualifications, and finally selecting efficient contractors.

3. At first, it will help the employer to exclude inexperienced and unqualified contractors, save resources and time, reduce threats, replace opportunities with threats, and reduce material and non-material costs during the completion of the project until the projects are put into operation.

4. This approach also gives credit to the employer during the execution period and contributes to assessing unqualified contractors and reducing the temptation to hand over the project to an unqualified contractor but with a lower bid price.

5. Consequently, this approach reduces claims to a minimum level and increases the effective material and non-material profit of the organization.

6. Moreover, it provides an extra-organizational evaluation for contractors, motivating them to upgrade their capabilities and optimally allocate material and non-material resources, especially human resources.

The findings of this study can be used by organizations to select more effective contractors to assign projects and plans to them.

The preliminary assessment of contractors is a pre-tendering process and a step in categorizing contractors, excluding contractors who lack required qualifications, and finally selecting efficient contractors.

At first, it will help the employer to exclude inexperienced and unqualified contractors, save resources and time, reduce threats, replace opportunities with threats, and reduce material and non-material costs during the completion of the project until the projects are put into operation.

This approach also gives credit to the employer during the execution period and contributes to assessing unqualified contractors and reducing the temptation to hand over the project to an unqualified contractor but with a lower bid price.

Consequently, this approach reduces claims to a minimum level and increases the effective material and non-material profit of the organization.

Moreover, it provides an extra-organizational evaluation for contractors, motivating them to upgrade their capabilities and optimally allocate material and non-material resources, especially human resources.

The purpose of this paper is to model the link between political participation and life satisfaction whilst correcting for the endogenous nature of the relationship; explore the impact of different strengths of political participation and aim to uncover if the relationship displays different patterns by gender.

The data originate from the 2006/2007 European Social Survey. The analysis spanned across a pooled data set for 20 European countries. Three alternative empirical frameworks were trialled: an ordered probit regression, a linear regression model and a two‐step, simultaneous treatment effect model to address endogeneity concerns.

Following the correction for endogeneity via two‐step, simultaneous treatment regressions, political participation – and specifically strong political engagement – displays a robust, statistically significant, strong and positive impact on life satisfaction. It was deduced that actual political participation, and not merely the right to participate in the political process, is a source of procedural utility.

The cross‐sectional nature of the data imposes design limitations to examining trends and changes over time. It follows that the analysis cannot rely on fixed‐effect estimations to control for time‐invariant factors.

Once the results are corrected for endogeneity, the empirical results reveal that the effect of actual political participation on life satisfaction not only matters, but also as the strength of political engagement grows it matters even more. Findings hold true even when a multitude of socio‐demographic characteristics are controlled for. These are important results for researchers and policy makers who are concerned about the happiness of people in democratic societies.

Declares that diffusion (a term employed to describe the process whereby an innovation or a new idea or practice spreads through a social system over time) is a summary term used to embrace studies which trace the process of diffusion, the process of adoption and the patterns of influence involved. Acknowledges that even allowing for low involvement of marketing research in diffusion, marketing management's interest in this area can be guided and controlled. States that information is diffused through some form of communication channel – these may be one of two types: vertical channels, which exist if ‘there is a meaningful difference in the interests, social status, demographic or economic characteristics of the communication units’; and horizontal channels, which occur where communications flows among members of groups with similar interests and characteristics – these groups may be work groups, social groups, etc. Investigates sources of information and influence – in particular the two basic ones of: impersonal sources via the mass media; and personal sources involving the opinion leader in a two‐step flow of communication. Closes by discussing the implications of the two‐step flow for marketing in depth, with recommendations.

This study examines the possible nonlinear effect of size on stakeholder and shareholder profitability in the Ghanaian insurance brokerage industry.

This study employs a panel dataset of 64 Ghanaian insurance brokerage firms spanning 2011–2015. Static [ordinary least squares (OLS), fixed effect and random effect and dynamic (two-step generalized method of moments (GMM))] estimation techniques are employed to analyze the data.

The study finds the existence of both economies and diseconomies of scale and scope theories in the Ghanaian insurance brokerage industry confirming the existence of nonlinear nexus between size and performance. This finding is consistent for both stakeholder and shareholder profit performance. Thus, the results show that size improves profitability of insurance brokerage firms, but beyond a certain threshold, the relationship turns negative as size negatively affects profitability.

The research findings have implications for both policy and research; the study recommends that Ghanaian brokerage managers should understand that not all growth is good and exercise a duty of care when applying growth strategies by monitoring size effect on performance so as not to go beyond the inflection point. Further research can be done to examine this effect in other contexts, timeframes and jurisdictions.

This research is unique in that it employs a panel dataset consisting of 96% of insurance brokerage firms in Ghana whilst employing both static and nonstatic regression models to examine the effect of size. The research analysis adopted is robust, and the findings are significant. Also, the lack of empirical studies on the operations and dealings of auxiliary institutions such as the insurance brokerage firms adds value to this research.

This study aims to examine the factors that influence the relationship between sustainability and financial performance (FP) of the European listed companies.

This study analyzed data from 795 companies in 21 European countries by applying linear mixed-effects multilevel regressions, a two steps system generalized method of moments and quantile regression models to uncover the links between sustainability and FP.

The past four decades have witnessed abundant research to determine the relationship between corporate sustainability and FP. Thus, conducting further research in 2023 could be seen as “reinventing the wheel.” Yet, earlier research considered firms as isolated entities with sustainability and FP being dependent only on that firm’s actions. By contrast, with the help of network governance theory, this study shows that a firm’s sustainability and FP depend on an interplay among interorganizational actors, such as institutional qualities, macroeconomic factors and an embrace of sustainability. Here, large firms play an essential role. Three significant findings are drawn. First, sustainability performance has a significant impact on FP in the European context. Second, the institutional quality (IQ) of the rule of law and control of corruption plays a crucial role in enhancing sustainability and FP, and finally the interaction of IQ and economic growth helps to increase companies’ market value (Tobin’s Q). The consistent and empirically robust findings offer key lessons to policymakers and practitioners on the interplay among multiple actors in corporate sustainability and FP.

A synergetic multifaced relationship between governmental institutions and corporations is inevitable for ensuring sustainable development. The degree of intimacy in the relationship, of course, will be determined by the macroeconomic environment.

In this research, this study theoretically and empirically identified that corporate sustainability and FP are not solely dependent on corporate operation. Rather, it is transformed, modified and shaped through an interaction of multiple actors’ trajectories in the macro business environment.

Endogeneity is a potential threat to the validity of international marketing (IM) research. The purpose of this paper is to draw the attention of IM researchers to issues of endogeneity, to provide a comprehensive overview of the sources of endogeneity, and to discuss the statistical solutions.

The authors conduct the research in two steps. In the first step, the authors review the nature and sources of endogeneity specifically in IM research. In the second step, the authors review 60 IM papers on endogeneity published in the period 1995-2014 and assess the current practice of addressing endogeneity in the IM literature.

Sample selection bias and simultaneity are prevalent sources of endogeneity in IM research. Internationalization-performance relationship and innovation-export nexus are the two most frequently adopted models subject to potential endogeneity. Simply lagging the main independent variable is statistically flawed in dealing with endogeneity despite its popularity in IM research.

First, a careful choice and application of methods are critical when addressing endogeneity. Second, the authors suggest the employment of multiple study methods to address endogeneity robustly. Third, to prevent or solve endogeneity in structural equation modeling, researchers may either collect data on independent and dependent variables from different respondents or employ a two-stage least squares approach. Finally, it is helpful to design dedicated models to prevent proactively potential endogeneity a priori.

The contribution of this study is twofold. First, it is the first in the literature to discuss the endogeneity issue specifically in IM research. In particular, the study elaborates the origins and consequences of the three most frequently confronted types of endogeneity in IM research. Second, the authors assess the four major methods of addressing endogeneity in IM research with a systematic discussion of the literature from the last two decades. The authors offer suggestions on how to minimize endogeneity in model design and empirical implementation for future IM research.

The objective of this study is to investigate the simultaneity between farm couples’ decisions on labor allocation and production efficiency. Using an unbalanced panel data set of Norwegian farm households (1989–2008), we estimate off-farm labor supply of married farm couples and farm efficiency in a three-equation system of jointly determined endogenous variables. We address the issue of latent heterogeneity between households. We solve the problem by two-stage OLS and GLS estimation where state dependence is accounted for in the reduced form equations. We compare the results against simpler model specifications where we suppress censoring of off-farm labor hours and endogeneity of regressors, respectively. In the reduced form specification, a considerably large number of parameters are statistically significant. Davidson–McKinnon test of exogeneity confirms that both operator and spouse's off-farm labor supply should be treated as endogenous in estimating farming efficiency. The parameter estimates seem robust across model specifications. Off-farm labor supply of farm operators and spouses is jointly determined. Off-farm work by farm operator and spouses positively affects farming efficiency. Farming efficiency increases with operator's age, farm size, agricultural subsidises, and share of current investment to total farm capital stock.