Global Business & Economics Anthology

Volume I, December 2007

The Global Business & Economics Anthology is an international refereed publication, published

annually (December) by the Business & Economics Society International, with original papers selected

from the Society’s annual Conference.

Business correspondence should be addressed to the publisher:

B&ESI, 64 Holden Street, Worcester, MA 01605-3109, USA.

Tel: (508) 852-3937, FAX: (508) 595-0089, Email: hkan@besiweb.com, Web: http://www.besiweb.com

ISSN: 1553-1392

Copyright © 2007 by the Business & Economics Society International. All rights reserved. The Copyright

Clearance Center (CCC) is mandated to grant permission for photocopies, electronic reproductions and

republications at a fee. The CCC may be contacted as follows:

Copyright Clearance Center, 222 Rosewood Drive, Danvers, MA 01923, USA

Telephone: (978) 750-8400, Fax: (978) 750-4470, Web: http://www.copyright.com

No responsibility for the views expressed in the Global Business & Economics Anthology is assumed by the

editor or by the publisher, the Business & Economics Society International.

(Order Form)

EDITOR:

Demetri Kantarelis

REVIEWERS:

(In Alphabetical Order)

Al-Hoory, Mothanna T.I. Allen, David Angresano, James Anon Higon, Dolores Ashford, Robert Ayadi, Mohamed Barac, Zeljana Basar, Banu Berg, Nathan Bertrand, Jean-Louis Bhaskar, Vashishta Bildirici, Melike Borrmann, Jorg Boustras, George Bragues, George Bruna, Karel Bubic, Jasenka Burgess, Stephen Cailleau, Thierry Cantarella, Anthony Clinton, Ide Costa, Roberta Daly, Shawn Das, Kshiti B. Daskou, Sofia de Marcellis-Warin, Nathalie De Mel, Sandy Demediuk, Peter Desmarais, Fabrice Desmarais, Melanie Didehvar, Fatemeh Efstathiades, Andreas Elger, Thomas El-Wassa, Kamal A. Evangelista, Felicitas Ewang, Fritz Faux, Jeffrey Gentzoglanis, Anastasios

Gikas, Grigorios Godinho, Pedro Gripaios, Peter Harman, Keith Hart, Neil Harun, Azhar Hoffman, Sabine Hogan, Warren Holman, Robert Hongcharu, Boonchai Hyz, Alina Islam, Mazharul Joiner, Therese Kolakovic, Marko Konya, Lazlo Kosmidou, Kyriaki Koufopoulos, Dimitrios Kuenzel, Sven Kurihara, Yutaka Lai, Ming Ling Leitao, Nuno, C. Leveson, Lynne Li, Jiatao Llorca, Matthieu Lo, Hing-Po Makris, Ilias Mamudi, Mohit Maniatis, Paraschos Manolopoulos, Christos Margret, Julie Marks, Andrew McKenzie, Brent Moloney, Richard Mowatt, Simon O’Donovan, Gary O’Neil, Charles Oktay, Sadiye Panday, Priniti

Papadopoulos, Theo Paul, Sanjay Petrochilos,.George Petsas, Iordanis Pires, Guilherme Potocan, Vojko Pranicevic, Daniela Radder, Gerrit. Rafferty, Michael Rajagopal Raju, V. Rodgers, Timothy Rose, Graeme Roslak, Thomas Salavrakos, Ioannis-Dionysios Sell, Friedrich L. Sellitto, Carmine Springler, Elisabeth Stanton, John Stanton, Patricia Stilwell, Frank Tangas, Pericles Tannous, Kathy Tao, Yu-Hui Teachout, Mark Tetik, Nilufer Topyan, Kudret Umutlu, Mehmet Van der Bank, Riana C.M. Vemuri, Ram S. Viswanathan, G Vo, Xuan Vinh Vuco, Tina Wan, Allan Weston, Rae Whitefield, Despina Wise, Victoria Yan, Ho-don Yeh, Rosa

Global Business & Economics Anthology

Volume I, December 2007

CONTENTS

Foreign Direct Investment & International Business / Economics

Can France, Germany And Italy Continue To Afford Generous Welfare States? 1

James Angresano, Albertson College Of Idaho, USA.

Business History And Conflicting Entrepreneurial Culture As Explanatory Factors Of

Success And Failure Of FDI In Transition Economies. 14

Ioannis-Dionysios Salavrakos, University Of Ioannina, Greece & Visiting

London Metropolitan University, UK.

GCC, China And The US – A Well Oiled Relationship. 32

Michael Thorpe & Sumit Mitra, University Of Wollongong In Dubai, UAE.

Symmetry Of Shocks And Trade Integration In The Enlarged European Union. 47

Athina Zervoyianni & Athanasios Anastasiou, University Of Patras, Greece.

Loyalty Program As A Formal Institute Of Russian Small And Medium-Sized

Businesses WTO Adjustment. 62

Larissa S. Shachovskaya, Volgograd State Technical University And

Bureau Of International Economic Communications, Russia; &

Irina V. Prazyan, Volgograd State University, Russia.

Trade Imbalance And Capital Flows. 67

Tadashi Inoue, Hiroshima Shudo University & Hassouna Moussa,

Acadia University, Canada.

Human Resources

The Tale Of A Thousand Needles. 90

Tom Cockburn, University Of New South Wells, Australia;

Fabrice Desmarais & Melanie Desmarais, Waikato University, New Zealand.

The Effect Of Mergers And Acquisitions On Employee Benefit Plans:

The Case Of Turkey. 100

Beliz Dereli, Istanbul Commerce University, Turkey

The Use Of Human Resource Information System (HRIS) In Croatian Hotels

On Adriatic Coast: A Survey. 109

Josip Arnerić, Daniela Garbin Praničević & Ivana Tadić,

University Of Split, Croatia.

The Effectiveness Of Traditional Leadership In Thailand. 121

Therese A Joiner, School Of Business, La Trobe University, Australia; &

Steve Bakalis, School Of Economics, Victoria University, Australia.

Environmental Issues

An Empirical Study On The Impact Of Environmentally-Friendly News

On Stock Prices In Japan. 129

Shohei Nagayama & Fumiko Takeda, University Of Tokyo, Japan.

Economic Growth And Emission Reduction: A Comparative Analysis With

And Without Emission Rights Banking Between Periods. 138

Francisco Cabo, Maria Jesus Jimenez-Herrero &

Guiomar Martin-Herran

University Of Valladolid, Spain.

Macroeconomic & Monetary Issues

Macroeconomic Policy Formulation In The European Union: A Critical View. 150

Neil Hart, University Of Western Sydney, Australia.

Sustainability And Financing Of The U.S. Current Account Deficit:

The Role Of Asian Central Banks. 160

Matthieu Llorca, University Of Burgundy, LEG/FARGO France.

Fluctuations In The International Currency Reserves Of Less Developed Countries:

HIPC Vs Non-HIPC. 172

Augustine A. Boakye & Hassan Molana, University Of Dundee, UK.

Industrial Organization & Government / Regulation Issues

Differences And Similarities In Mergers & Acquisitions Activity And Strategic

Intentions In The Global Pharmaceutical Industry. 183

Christopher B. Kummer, PricewaterhouseCoopers, Zurich, Switzerland.

The Demand For Public Spending: Implications Of A

Behavior Public Finance Perspective. 197

Philip Jones, University Of Bath, UK.

Tax On Property, Real Estate Valuation And The Impact For Housing Prices. 209

Elisabeth Springler, Vienna University Of Economics And

Business Administration, Austria.

Globalization

Market Globalization, Civic Duties, And The Invisible Hand Controversies

From The Time Of Adam Smith. 220

Arthur Schiller Casimir, Western New England College, USA.

The Globalization Syndrome: Transformation And Challenges

For Sub-Saharan Africa. 227

Jumi Familoni, Covenant University, Nigeria.

New Paradigms & Approaches

Universalizing The Right To Acquire Capital With The Earnings Of Capital:

Binary Economic Strategies For Empowering Poor And Working People

And Achieving More Sustainable Growth. 234

Robert Ashford, Syracuse University College Of Law, USA.

Peoples’ Capitalism: A Plan For Prosperity And Economic Justice. 245

James S. Albus, http://www.james-albus.org, http://www.peoplescapitalism.org.

Artificiality In The Laboratory: An Ontological Perspective. 252

Marc Ohana, Groupe ESC Troyes, Champagne School Of Management, France.

Accounting

Sustainable Business: Directors’ Governance And The Risk Of Discontinuity. 263

Julie Margret, La Trobe University, Australia.

Performance Prediction Model For Listing Companies. 275

Vinko Belak & Zeljana Aljinovic Barac, University Of Split, Croatia.

Regulations And Accounting Aspects Of Leasing In Turkey. 283

Nilufer Tetik, Akdeniz University, Turkey &

Saime Once, Anadolu University, Turkey.

Timeliness Of Annual Financial Statements: Empirical Research In Croatia. 291

Jasenka Bubic, University Of Split, Croatia &

Vlasta Roska, Total Balance LTD, Zagreb, Croatia.

Audit Opinions And Account Manipulations: Evidence From Croatia. 304

Zeljana Aljinovic Barac & Tina Vuko, University Of Split, Croatia

Management

Organizational Competitiveness Through Innovation: A Case Study Of

Cypriot Manufacturing Sector. 312

Andreas Efstathiades, George Boustras & Alexandros Michaelides

Cyprus College, Cyprus RTD Talos Ltd, Cyprus.

Risk Management Strategies In Business Systems. 323

Dulcic Zelimir, University Of Split, Croatia;

Stimac Milan, Conel, Croatia; &

Ercegovac Roberto, Societe Generale Splitska Banka, Croatia.

The Environmental Dimension Of The Corporate Social Responsibility In Small

And Medium Size Enterprises: Case Study In Cyprus. 333

Athanasios Hadjimanolis, Cyprus College, Cyprus.

The Comparative Analysis Of Smes Financing Structure In New Eu Countries,

Croatia And South-East European Countries. 343

Marko Kolakovic, Bojan Moric Milovanovic & Mladen Turuk

University Of Zagreb, Croatia.

Marketing

When The Minority Is The Majority: Russian And Latvian Consumer Perspectives

Of Retail Service. 353

Brent Mckenzie, University Of Guelph, Canada.

Aligning Postmodern Marketing Strategies: A Multiple Case Study. 366

Sabine H. Hoffmann, Macquarie University, Sydney, Australia.

Extending The Concept Value-Based Management:The Interface Between

Marketing And Finance. 378

Sofia Daskou & George Koutoulas, Hellenic American University, Greece.

An Integrated View Of Innovation In The EU. 388

Katalin Eibel-Spanyi, Eastern Connecticut State University, USA.

Word Of Mouth Marketing: A Model Of Personal Interaction In Integrated

Marketing Communication. 398

Boonchai Hongcharu, National Institute Of Development

Administration (NIDA), Thailand; &

Somkiat Eiamkanchanalai, Chulalongkorn University, Thailand.

Finance & International Finance

Understanding Dependence Structures Of Random Variables In Financial

Modeling By Using Copulas. 409

Natalia Boliari & Kudret Topyan, Manhattan College, USA.

A Reexamination Of The Market Efficiency Hypothesis For Asian Exchange Rates. 416

David Han-Min Wang & Tiffany Hui-Kuang Yu

Feng Chia University, Taiwan.

U.S. T-Bill Real Return And Exchange Rate Predictions. 428

Ioannis N. Kallianiotis & Iordanis Petsas, University Of Scranton, USA.

Ethics

Socrates On Management: An Analysis Of Xenophon’s Oeconomicus. 440

George Bragues, University Of Guelph-Humber, Canada.

Socially Responsible Capitalism (CSR) And Globalization: An Introduction

To The Socio-Economic Model Of “Improvement Index”. 450

Mohit Mamudi, Director Centre For Development Management Studies, UK;

Kooros Mahmoudi & Warren Lucas, Northern Arizona University, USA.

Entrepreneurial Issues

The Adoption Of Entrepreneurial Planning Approaches By Small Firms In Greece. 458

Dimitrios N. Koufopoulos, Brunel University, UK;

Vasilios T. Zoumbos, Pedagogical Institute Of Greece, Greece;

Athanasios Oikonomou, Application Professor Of TEI Epirus, Greece;

Maria Argyropoulou, Brunel University, UK.

A Model For Website Content Decisions In Micro Businesses. 473

Stephen Burgess, Scott Bingley & Carmine Sellitto,

Victoria University, Australia.

The Contribution Of Wine Tourism, Taxation Rebates And An Industry Cluster

Environment To The Australian Wine Industry Success Story. 487

Carmine Sellitto, Victoria University, Australia.

Education Issues

The Effect Of Virtual Teaching On Students With English As Their Second Language. 499

Ide Clinton, Australian Catholic University, Victoria, Australia.

High Education Quality And Multicriteria Analysis. 508

Zoran Babić, Marko Hell & Nikša Nikolić, University Of Split, Croatia.

Taking Advantage Of A Rare Opportunity: Build An Undergraduate Business

Curriculum “From Scratch”. 516

William P. Cordeiro, California State University Channel Islands, USA.

<><><><><><><><><><><><<><><><><><><><><><><><><><><><><><><><><><><><><><>