Department of Business Management and Economics

Policy Areas for Global Strategic Positioning for Africa in the Fourth Industrial Revolution: Key Focus Areas

Fri, 01 Nov 2024 00:00:00 GMT

Policy Areas for Global Strategic Positioning for Africa in the Fourth Industrial Revolution: Key Focus Areas Riwo, Abudho A. The traditional challenges facing Africa have always revolved around civil war, poverty, conflict and violence, rising population with unemployment, health and malnutrition, poor infrastructure and weak governance and laws. The experiences of the COVID pandemic, changing world climate and the RussianUkranian War have laid bare the risks that world economies have unknowingly faced including rise in food prices, stock piling, domestic economies external price shocks. On the other hand, increased energy deficits, resource access inequality and high climate vulnerabilities continue hurting the world economy while increasing pressures to local sectors. These changing social demographics are integrating with economic metrics giving rise to more innovative approaches and complex models for development and growth. The 4IR is fast paced as challenges and opportunities become common to both the developed and developing country. Qualitative data approach through desk research reviewed existing data from books, journals, government reports, policy briefs, press releases, industry magazines and expert opinion publications. This study has identified three key areas for better strategic positioning of Africa in the current 4IR. Sound policy formulation is required towards: enhanced digital transformation and innovation, capitalizing on the cheaper tradeoff for Africa in the global carbon offset mission and bringing an advantage to the movement of resources and commodities in its production and consumption systems. The study recommends these touchpoints will address region- specific and country-specific problems including unemployment, financial inclusion gaps, and inequality in populations thereby providing solutions at local and regional level. Strategic investment on green-oriented structures will build climate-resilient and self-sufficient systems within developing economies thereby transforming institutions. Inclusivity will be key in the 4IR shifts to reduce the inequality gap of underserved populations which comes with unequal access to resources and opportunities. Policy formulators must be adept in incorporating the underserved populations within their regions into policy. The traditional challenges facing Africa have always revolved around civil war, poverty, conflict and violence, rising population with unemployment, health and malnutrition, poor infrastructure and weak governance and laws. The experiences of the COVID pandemic, changing world climate and the RussianUkranian War have laid bare the risks that world economies have unknowingly faced including rise in food prices, stock piling, domestic economies external price shocks. On the other hand, increased energy deficits, resource access inequality and high climate vulnerabilities continue hurting the world economy while increasing pressures to local sectors. These changing social demographics are integrating with economic metrics giving rise to more innovative approaches and complex models for development and growth. The 4IR is fast paced as challenges and opportunities become common to both the developed and developing country. Qualitative data approach through desk research reviewed existing data from books, journals, government reports, policy briefs, press releases, industry magazines and expert opinion publications. This study has identified three key areas for better strategic positioning of Africa in the current 4IR. Sound policy formulation is required towards: enhanced digital transformation and innovation, capitalizing on the cheaper tradeoff for Africa in the global carbon offset mission and bringing an advantage to the movement of resources and commodities in its production and consumption systems. The study recommends these touchpoints will address region- specific and country-specific problems including unemployment, financial inclusion gaps, and inequality in populations thereby providing solutions at local and regional level. Strategic investment on green-oriented structures will build climate-resilient and self-sufficient systems within developing economies thereby transforming institutions. Inclusivity will be key in the 4IR shifts to reduce the inequality gap of underserved populations which comes with unequal access to resources and opportunities. Policy formulators must be adept in incorporating the underserved populations within their regions into policy.

Profitability of Momentum Strategies in Emerging Markets: Evidence from Nairobi Stock Exchange

Sat, 01 Jan 2011 00:00:00 GMT

Profitability of Momentum Strategies in Emerging Markets: Evidence from Nairobi Stock Exchange Lishenga, Josephat Lisiolo; Magutu, Peterson Obara; Barasa, Joseph Lumumba; Onsongo, Cliff Ouko This paper tests the profitability of momentum strategies in Kenya, an emerging market for the period 1995 to 2007. Both relative strength strategies (RSS) and (weighted relative strength strategies (WRSS) are employed to implement momentum-based trading strategies. Analysis revealed that Nairobi Stock Exchange (NSE) exhibit medium term return continuation over the entire sample period and the sub-periods. We used RSS results to evaluate the influence of transaction costs, calendar effects, risk factors and other reported momentum characteristics on momentum profitability. We employ WRSS results to discriminate between the two diametrically opposed causes for the profitability of momentum strategies: behavioral factors (time-series continuation in the firm-specific component of returns), and risk factors (crosssectional variation in expected returns and systematic risks of individual securities). Our results show that, consistent with the evidence elsewhere, momentum is an anomaly; the evidence is consistent with momentum being driven by continuation in the idiosyncratic component of individual-security, rather than by cross-sectional differences in expected return and risks. IBIMA Publishing Journal of Financial Studies & Research http:// www.ibimapublishing.com/journals/JFSR/jfsr.html Vol. 2011 (2011), Article ID 455954, 15 pages DOI: 10.5171/2011.455954

Management of working capital and its effect on profitability of manufacturing companies listed on Nairobi securities exchange (NSE), Kenya

Thu, 14 Nov 2013 00:00:00 GMT

Management of working capital and its effect on profitability of manufacturing companies listed on Nairobi securities exchange (NSE), Kenya Nzioki, Paul Muoki; Kimeli, Stephen Kirwa; Riwo Abudho, Marcella; Nthiwa, Janiffer Mwende The efficient management of working capital is very vital for a business survival and thus a factor for overall boost in profitability. Thus the study analyzed the effects of working capital management on the profitability of manufacturing firms listed on the Nairobi Securities Exchange. Diagnostic research design was utilized and the study targeted the nine listed manufacturing firms trading on the Nairobi Securities Exchange. Multiple regression and correlation analyses were carried out to determine the relationships between components of working capital management and the gross operating profit of the firms. The results from the study revealed that gross operating profit was positively correlated with average collection period and average payment period but negatively correlated with cash conversion cycle. The relationship between inventory turnover in days and gross operating profit was insignificant. From this study, it is recommended that managers focus on reducing cash conversion cycles and try to collect receivables as soon as possible.

Knowledge Management Practices and its Effect on Firm Performance: A Case of Commercial Banks’ Performance in Kisumu City, Kenya.

Wed, 01 Jan 2014 00:00:00 GMT

Knowledge Management Practices and its Effect on Firm Performance: A Case of Commercial Banks’ Performance in Kisumu City, Kenya. Chweya, Laban; Ochieng, Isaac; Ojera, Patrick; Riwo-Abudho, Marcella Knowledge Management has become an important strategic weapon for sustaining competitive advantage in firms. Banking statistics in Kenya indicate only 25 percent of customers believe their banks’ act on their best interests with 5 percent employee turnover annually. This had hampered Banks’ competitiveness and performance. Effective Knowledge Management promotes knowledge creation, knowledge sharing, knowledge acquisition and knowledge retention to maintain customer satisfaction and organizational performance. However little is known about Knowledge Management Practices in Kenyan Banks. The overall objective of this study was to analyze the effects of knowledge management practices on commercial banks’ performance in Kisumu city in Kenya. Specifically the study sought to establish the extent of knowledge creation; knowledge sharing; knowledge acquisition, level of organizational performance and determine the relationship between organizational performance and knowledge creation; knowledge sharing and knowledge acquisition in commercial banks in Kisumu city. The target population was 20 commercial banks operating within Kisumu City with a sampling frame of branch managers and operational managers. Data was collected by use of questionnaires and analyzed by descriptive statistics and correlation analysis. The study found there is significant relationship between knowledge creation and organizational performance (r=0.614, p<0.001). A significant positive relationship as also found to exist between organizational performance and knowledge sharing (r=0.501, p<0.005). European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol.6, No.8, 2014