Earticle

The purpose of this research is to analyze empirically the effect of the working capital management on firm value after the Korea-US FTA, using a sample of listed on Korea Exchange from 2010 to 2016 by the methods of Panel GLS. I think that the decreased tariff resulting from FTA induces more competitive market environment and that the degree of tariff reduction is related to the degree of competition. so, I classify firms into a lower-tariff-group and the other group by the Dummy variable. The main results and implications of this study are as follows. The working capital has significant and positive effect on firm value in lower-tariff-group. And the marginal value of working capital has significant and positive effect on firm value in lower-tariff-group. This result implies that working capital of firms in lower-tariff-group, which faces the intensifying market competition has positive effect on firm value.

Cross-national distance between the home and host country in terms of GAGE (cultural, administrative, geographic, economic) is a key concept in the field of international business. The types of four distance influence different businesses in different ways. And the CAGE framework may also be used to understand patterns of trade, capital, information and people flows. Prior studies have demonstrated that foreign subsidiaries of multinational enterprises (MNEs) suffer from liability of foreignness (LOF). Through corporate social responsibility (CSR), foreign subsidiaries of MNEs may able to overcome LOF and improve their social legitimacy in a host country. Despite the MNE’s strategic motivation to reduce its LOF by engaging in CSR activities in the host country, we argued that foreign subsidiaries from more distant home countries are less likely to engage in CSR activities in the host country. This argument focuses on the ways in which CAGE distance affects the MNE’s ability (strategic driver) and willingness (social driver) to engage in CSR activities in the host country. On both ability and willingness grounds, foreign subsidiaries CSR spending may be inversely related to CAGE distance. Using data for 505 HCNs in 77 MNE subsidiaries that originating from 24 countries, we found strong support for the hypotheses. We discuss the theoretical and managerial implications, and provide suggestion for future research.

The purpose of this paper is to investigate threshold effects of changes in government expenditure on real exchange rate for a panel of 41 countries during the period of 2000– 2015 in a nonlinear model framework. Panel threshold regression(PTR) model of Hansen(1999) is employed to estimate effects of possible threshold(s) of government expenditure on the real exchange rate. The results indicate that a threshold of government expenditure relative to GDP exists at about 17.65% level and a positive shock to government expenditure tends to induce real exchange rate appreciation at the government expenditure level below the threshold. However, no significant effect was detected when it was above the threshold level.

This study examine the path of the muslim consumers' attitude, subjective norm, perceived behavior control between Halal food purchasing intention based on TPB (The Theory of Planned Behavior). We collected data from 150 Muslims in Korean and used structural path analysis method. The results showed that attitude toward the behavior and subjective norm positively influence on Halal food purchasing intention. but, perceived behavior control did not have a statistically significant effect. It can be assumed that the purchasing intention of Halal foods can be secured even when the individual's perceived control is not high enough to completely control and control the purchase of Halal products. The results of this study suggest practical implications for Korean companies that are developing their business in domestic Muslims.

The China government has changed its economic growth policy since mid 2000. Various favorable treatment policies were reduced or repealed to attract foreign direct investment. This paper analyzed the impact of foreign direct investment on export in China reflecting these changes. Furthermore, the eastern and western regions were compared to identify regional differences. As a result the impact of foreign direct investment on export differed between the eastern and western regions. The relationship between foreign direct investment and export was negative in the eastern regions. Since mid 2000 the policy change for foreign direct investment has been applied more strictly to the eastern regions where the economy was opened and grew. On the other hand the relationship between foreign direct investment and export was positive in the western regions. The western regions have had less economic growth than the eastern regions. Thus, it is still implementing favorable treatment policies which were reduced or repealed in the eastern regions to grow its local economy.