International Business

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Analysis of Host Country Characteristics That Determine Foreign Direct Investment Inflow: The Case of Ethiopia (Time Series Data Analysis From 1992 - 2021)
(A.A.U, 2023-06-03) Abdi Derese; Hailemariam G. (Ph.D)
This research undertaking attempted to identify host country characteristics that determine Foreign Direct Investment (FDI) inflow to Ethiopia by analyzing time series data that covered three decades (1992-2021). Data was obtained from World Bank’s World Development Indicators. The theoretical and empirical review was conducted and market size, macroeconomic stability, human capital, level of infrastructure, trade openness, and financial health were identified as factors that are most associated with FDI inflow to Ethiopia and developing nations. An autoregressive distributed lag (ARDL) model analyses was conducted on these variables to identify their impact on Ethiopia’s FDI inflow. The analyses results indicated that FDI inflow to Ethiopia is positively and significantly impacted by level of infrastructure, human capital development, and higher level of external debt (lower level of financial health). The result also indicated that high level of inflation rate (measure of the country’s macroeconomic stability) significantly and negatively affects FDI inflow into the country. Based on these findings of the study, relevant policy measures have been recommended.
An assessment of deposit mobilization of Commercial banks in Ethiopia:The case of Dashen Bank s.c
(Addis Ababa University, 2018-06) Daniel, Alemu; Abebaw, Kassie (PhD)
This study aims to assess deposit mobilization of commercial banks in Ethiopia by concentrating the case on Dashen Bank S.C. Descriptive method and particularly survey design approaches were adopted for the study. The survey was conducted with staff individuals working in Dashen Bank S.C at different positions using questionnaires. In addition, the study uses structured review of documents and records held by DB and NBE. The study reveals that customer service, branch expansion, the good will of the bank, management flexibility on customer service, provision of foreign currency and the commitment of the staffs highly affect deposit mobilization of the bank. The current situation shows that Dashen bank is operating in a dynamic and highly competitive environment and there is high possibility of catch-up and by-pass among these banks. Dashen bank should prepare for the inevitable stiff competition that will arise from local and with the eminent future entrant of foreign banks.
Assessment of Factors Affecting Tax Collection:The Case of Ministry of Revenues of Ethiopia Federal Large Taxpayers Branch
(A.A.U, 2023-06-07) Abiy Ayenachew; Habtamu Endris (PhD)
The goal of this study was to look at the elements that influenced favorably and adversely tax collection in Ministry of revenues of Ethiopia, Federal large taxpayers. Particularly, it investigated the effects of the prevailing political situation on revenue collection, the implications of tax policies implemented by incumbent politicians, and the effects of ICT infrastructure and qualified workforce on revenue collection. A descriptive research design has been selected due to the way it addressed the study areas empirically through numerical measurement and statistical analysis. The target population consisted of federal taxpayers who were classified as ‘large taxpayers’. Despite there were 794 taxpayers who fit this description, a sample of these was chosen for the study. A sample of 266 taxpayers was chosen using a simple random sampling technique. A total sample of 240 was obtained after 266 questionnaires were distributed, with 26 of them—or 10%—not being returned and as secondary data five years revenue collection of the federal large taxpayer’s branch data was taken. SPSS, a statistical tool for social scientists, was used to analyze the data. The associations between the independent and dependent variables were investigated using descriptive statistics. The analysis results demonstrated that the prevailing political climate actually, have an impact on business operations, people's security, resource availability and distribution, and, as a result, tax collection and tax compliance have been hindered. It also indicated that the rule and regulations that were in effect at that particular point had an impact on tax collection and, was difficult to understand and analyze. The study claims that the MoR support system, which included, among other things, information technology systems like Electronic taxation (E-tax), the workforce, and major stakeholders, all played an important part in the Revenue Collection process in MoR. The study suggests additional investigation to figure out the level of independence or interdependence of the political situation and revenue collection. It also suggests more research into existing tax laws and regulations, as well as how appropriate those who they rule. Additionally the study suggests more research on taxpayers as MoR’s stakeholders in order to devise methods of assuring adherence to rules and contentment for stakeholders
Assessment of the Challenges of Ethiopian Livestock Export Performance
(A.A.U, 2024-01-07) Mekdem Kassaye; Desalegn Amlaku (PhD)
The purpose of this research is to describe the challenges the Ethiopian livestock export performance face in the context of the exporting companies. The study employed a mixed methodological approach that included both quantitative and qualitative methods. Primary data was collected and cross-checked with secondary data from 2011 to 2021. Four challenges were assessed in this study: government policy, political stability, infrastructure, and market accessibility. According to the Ministry of Trade, there are over 110 registered live animal exporters, but only 13 operating in the export. To analyse the export market of the operating companies, a descriptive analytic method was utilized, and 5 of each company's top leaders were chosen. To further investigate and comprehend, a qualitative approach thematic analysis method was used for the former companies’ owners. The long procedure to get certification and finance, low amount of loans, lack of protocol policy, lack of enforcement of contractual agreement are the main government policy problems. Inconsistent supply, unable to make on time delivery’s, possibility of losing 100% export are main political stability problems. Increasing death rate because of quality of roads, lack of coordination, administration and capability quarantine station are main problems of infrastructure. Export market being dependant on holiday bases requirement of importing countries, unable to make competitive and uniform pricing strategies, unpredictable and continuous changes of requirement from importing countries and high competition from illegal export are the barriers from market accessibility. Ethiopian companies’ livestock export has been gradually dropping. The sector is becoming no longer profitable for them.
An Assessment on Interest free Banking Practice in Ethiopia
(A.A.U, 2022-05) Musema, Muhammad; Yitayew, Abebe (PhD)
The main purpose this thesis paper is assess practical implementation of IFB in Ethiopia with specific reference nine commercial banks currently providing IFB service. The study has used both primary and secondary data sources. Structured questionnaire were the primary source of data. A total of 45 sample respondents were taken through purposive sampling. As the orientation of this paper is chiefly descriptive in nature, the data was analyzed using descriptive statistics of percentage, frequency and mean. The finding of the study depicts, most of banks are doing in accordance with IFB principles. However, there were also some gaps on Sharia advisors related to properly performing their role, duty and responsibilities in a regular manner, again doubt on their academic knowledge and experience on IFB. In addition, there was a gap related to applying one of the major IFB principles known as risk and return sharing principle, and lack of financing, which resulted inability to meet financial needs of IFB customers and made total financing below an average. Moreover, result from study revealed that providing IFB through dedicated window facilitated for the banks to take many opportunities. Furthermore the result indicates that banks have been facing many challenges to provide IFB successfully, such as; lack of well trained and experienced human resource on IFB, lack of qualified Sharia advisory scholar, lack of educational and training curriculums on IFB, limitation of capital and resource, lack of knowledge and proper understanding of IFB among the society on IFB products and services, and lack of suitable banking polices for IFB. Accordingly, the study recommends for the banks, government and all other responsible body, that, to take consideration for the above discussed and other features of IFB industry and to take proactive measures from all perspectives. Key Words: Interest fee banking, compliance, opportunities, challenges, growth.
Budget Management Practices and Constraints in International Non- Governmental Organizations; The Case of Management Sciences for Health – Ethiopa
(A.A.U, 2022-01) Melese, Nigatu; Fufa, Takele (PhD)
This research sought out to assess the budget management practices and constraints in Management Sciences for Health (MSH). The general objective of the study was to assess budget management practices of the various projects within the organization and how effective the practices are in handling funding from donors. This research adopted the DMAIC (Define, Measure, Analyze, Improve and Control) lean six sigma methodology to develop the conceptual framework. The research approach employed was of a descriptive nature with both qualitative and quantitative investigation to evaluate the budget management practices within MSH. The data was collected using structured questionnaires from 72 permanent employees of Management Sciences for Health who were based at Addis Ababa office. The research scope was limited within MSH Addis Ababa staff. The finding of the research revealed the existence of ineffective budget management practices at Management Sciences for Health mainly from weaknesses in budget plan preparation, data collection, budget monitoring, and poor analysis method. The research recommended the importance of relevant staff involvement in budget preparation, highlighted the need for conduct of budget monitoring and analysis monthly, and suggested information sharing among projects. Key Words: Effective, gaps, knowhow, DMAIC, budget.
Data Driven Managerial Decision Making in Ethiopian Export Sector
(A.A.U, 2021-06) Dejene, Kumesh; Fikre, Mesfin (PHD)
With the development and deployment of ICT in different sector of an Economy, the type and amount of data collected by organizations is increasing from time to time. This created the concept of big data, data analytics, business intelligence and or data driven decision making. In line with this, almost all organizations are collecting and maintaining some sort of data/ information about their business. But it is not common to see many organizations analyzing their collected data and use for decision making. This problem is common among organizations in developing countries. Ethiopia is not an exception. From this perspective, the objective of this study is toexplore the hidden insight behind the data by applying business intelligence tool tableau. The study followed exploratory research approach; it intends to see the relationship among product category, value, volume, destination and year of export and used visualization as research design. The study used secondary data from the period 2007 to 2020 G.C, collected from Ethiopian Ministry of Trade.Business intelligence software Tableau was used to analyze the data. The finding is very impressive. The analytics tool revealed that there is much insightful information hidden inside the huge data set. Insights related to trend and relationships among some key data variables is interesting particularly for CEOs that don’t have to crunch every data in detail. The different tables that results from the analysis revealed the importance of data analytics. Particular emphases can be given to the visualization feature of the tools.
Determinants of Employee Performance: The Case of Bank of Abyssinia
(A.A.U., 2023-05-06) Kalabe Abera Megersa; Zelalem Gebresadik (Dr.)
The aim of this research has been to examine the factors that drive employee performance. Employee Performance can be subjective by many factors including Intrinsic Motivation, Training, Competence and Workload. In this study including Intrinsic Motivation, Training, Competence and Workload they were assessed for their capacity to predict employee performance in the Bank of Abyssinia, Addis Ababa, Ethiopia Employees. Each of them a quantitative research strategy and a survey research approach were adopted in the study. By distributing a questionnaire to the chosen respondents, a survey took place out. The survey's targeted members were identified using a convenience and random sampling method, and after 283 questionnaires were issued, 244 were collected. Using the SPSS Version 23 program e, descriptive, correlational, and regression analyses took place on the data acquired. The correlation analysis result showed that including Intrinsic Motivation, Competence and Workload significance relationship while Training has insignificant relationship with employee performance. Finally, the researcher made an effort to offer insights and future study directions based on the findings.
Determinants of Export Performance of Ethiopia's Top Export Commodities: A Time Series Analysis
(AAU, 2023-06-09) Tesfatsion Dejene Mersha; Yohannes Workaferahu (PhD)
Determinants of Foreign Exchange Reserve in Ethiopia: A Time Series Analysis
(A,A.U., 2023-06-02) Merwa Abdulkader; Asres Abitie (PhD)
Using time series data, this paper sought to investigate the factors that affect Ethiopia's foreign exchange reserves. Secondary data on variables such real effective exchange rate, current account balance, debt service, loans to the private sector, Real GDP, and growth rates of price regressed on foreign currency reserves were used in the study, which covering the time frame of 1987 to 2022. The data collected from the National Bank of Ethiopia were used in this study using an ARDL model. Based on the findings, the REER, inflation, and real GDP all play a substantial and favorable role in determining Ethiopia's foreign currency reserves. In contrast, Ethiopia's foreign exchange reserves are significantly and adversely impacted by the debt service. Therefore, this analysis suggests that the government of Ethiopia should keep its external borrowing to a minimum in order to lower debt servicing costs, boost domestic economic growth, encourage the appreciation of the birr, and improve current account balance through exports in order to increase foreign exchange reserves
Determinants of Fruit and Vegetable Export Performance in Ethiopia
(A.A.U, 2023-06-08) Jabesa Boja; Yared Asrat (PhD)
With comparative advantage due to its close proximity to markets, Ethiopia has a significant potential for the production and export of a variety of fruits and vegetables that can be competitive on the global market. However, the export of products and services has continually resulted in low export earnings for the country. Although fruits and vegetables make up a substantial amount of Ethiopia's export industry, the potential of the region is not yet fully used. Accordingly, the main goal of conducting this study is to investigate the determinants of fruits and vegetables export performance in Ethiopia which includes the variables examined: export market challenges, company barriers, product barriers, institutional support issues, government policy and regulatory factors, and export industry barriers. Moreover, the researcher employed a mixed research strategy, which incorporates both qualitative and quantitative research approach, as well as non-probability sampling, purposive sampling technique is employed in this study to accomplish the study's objective. The investigation was conducted using both primary and secondary data sources. Questionnaires were used to gather the main data. The study considers 135 active exporters of fruits and vegetables were chosen as a sample and from those 124 were valid and used in the analysis of the results. Numerous websites, papers, and studies in the area were used as the secondary data. Descriptive and inferential statistics were used to examine the acquired data in order to get to relevant facts and conclusions. The study's findings demonstrated that barriers linked to the export product, institutional support, and foreign export market, had a significant impact on Ethiopia's ability to export fruits and vegetables. Finally, based on the study's findings, the researcher has been able to offer advice to government agencies, policy makers, and exporters of fruits and vegetables on how to lessen the impact of these factors on Ethiopia's export performance.
Determinants of Soybean Export Performance in Ethiopia
(AAU, 2023-11-18) Belayneh Kassahun; Dejene Tulu (PhD)
Export is one of the most important business activities that play a significant role for economic development of nations. Hence, this study aimed to examinedeterminants of Soybean export performance in Ethiopia. Structured interview with 168Soybean exporter firms, who were selected using probability sampling technique supplemented by key informant interview, was applied.Descriptive statistics and multiple linear regression model of data analysis are used to identify the determinants of Soybean export performance in the study area. In this study Soybeanexport performance is measured in terms of annual export income. The descriptive statistics result shows that, the mean Soybeanexport income is 199,416.50 USD per year. Among the variables from literatureland size under Soybean, training, price and stable exchange rate are significantly and positively affecting the Soybeanexport performance in the study area. On the other hand, quality of Soybean productaffects Soybeanexport performance of firmssignificantly and negatively. Thus, in the process of exporting Soybean, these variables should be considered by the government decision makers, sector associations and chamber of commerce at different level and individual export firm owners and or managers.Cross-sectional data can only show differences between people at a single point in time. To understand how these differences change over time, future studies should collect time series data
The Effect of Macro Business Environment on Export Performance and the Mediation Role of Strategic Market Orientation: The Case of Textile and Garment Exporter Multi-National Companies in Ethiopia
(A.A.U, 2022-01) Mohammed, Seada; Abitie, Asres (PhD)
The purpose of this study is examining the effect of macro business environment on export performance and the mediation role of strategic market orientation of MNCs exporting textile and garment which are based in Addis Ababa. This study used quantitative research method and employed explanatory survey design to objectively answer the research questions. In order to achieve the study objectives, 165 sample respondents were selected through stratified random sampling technique. Accordingly, data were collected through self-administered questionnaire from sample respondents. Out of 165 respondents, 150 workable data were obtained. These data, analyzed through inferential statistics tools. An inferential statistics with the help of SPSS confirmed that macro business environment has positive and statistically significant relationship with export performance. Moreover, macro business environment has strong and significant effect on export performance. The technological factors were identified to have the bigger impact on export performance. Meanwhile, strategic market orientation partially mediates the relationship between macro business environment and export performance. Macro business environment in general have strong effect in shaping the company’s strategic orientation. Critical lesson were observed in policy, industry, firms and educational implications. Key words: Multinational-companies, political and legal environment, economic environment, socio-cultural environment, technological environment, environmental factors, strategic market orientation, export performance
The Effectiveness of Public Assets Disposal Process; the Case of Ethiopia Public Procurement and Property Disposal Service
(A.A.U, 2021-07) Tadesse, Yonas; G/Tsadik, Zelalem (Dr)
The main purpose of this particular study was to assess effectiveness of the centralized public property disposal process in the case of Public Procurement and Property Disposal Service. For the total target population was only 40 employees who have direct involvement in the centralized public property disposal process and as this number is manageable an operation called census was conducted to select respondents in the study. The study used both quantitative and qualitative data sourced from the primary and secondary sources. Structured questionnaire and semi structured interview were used to obtain the primary data while the secondary data was sourced from various documents. Both descriptive and explanatory research design were also deployed to analyze the gathered data in this study with the help of Statistical Package for Social Science (SPSS version 24). From descriptive analysis finding the overall centralized property disposal process was revealed good in effectiveness but not fully effective. The finding of the confirmed that asset valuation has statistically significant positive effect on the effectiveness of the centralized public property disposal process at 1 percent significant level while legal framework and staff competency have significant positive effect on effect on the effectiveness of the process at 5 percent significant level. Poor recording and documentation practice in the beneficiary public bodies, in limitation of the asset valuation method (equation) and the gap in the legal framework were also identified as major challenge that hider the effectiveness of the centralized public property disposal. Therefore, in order to enhance the effectiveness of the process and assure value for money, the concerned regulatory bodies together with PPPDS need to revise the asset valuation equation and the legal frame work based on the identified gaps. There is also a need to improve the fixed asset recording and documentation practice of the beneficiary public bodies through continuous trainings and regular follow up.
Factors Affecting Consumers’ Willingness to Purchase Online in Addis Ababa Ethiopia
(A.A.U., 2023-06-02) Rediet Mulugeta; Amare Abawa (PhD)
Globally, there has been a huge rise in online shopping. The expansion of e commerce across the globe is also creating an influence on Ethiopia. Despite the notable growth of online shopping in Ethiopia, it remains comparatively deficient in this realm in relation to the rest of the world, primarily due to the substantial discrepancy in the adoption of internet and ecommerce technologies between developed and underdeveloped nations. Henceforth, the research was carried out with the aim of ascertaining the variables that have an impact on the willingness of customers to engage in online purchase in Addis Ababa, situated in the country of Ethiopia. Accordingly, data was collected from 303 sample respondents selected using purposive sampling method. Furthermore, a key informant interview was employed to obtain information for the purpose of triangulating the questionnaire survey. Descriptive and inferential analyses were employed to determine the level of customers’ willingness while multiple regression was used to identify the determinant factors that have played a significant role in customers’ willingness to buy online. The findings of the descriptive analysis reveal that among the total surveyed data, a mere 5.9% of the respondents were classified as strongly unwilling, 10.2% as unwilling, 48.2% as neutral, 21.8% as willing, and the remaining 13.9% as strongly willing. The multiple regression model revealed that independent variables namely, e payment, trust, delivery service, cash on delivery, and return policy were found to be statistically significant predictor for customers’ willingness to purchasing online. The researcher advises online retailers to incorporate the aforementioned significant factors in their marketing strategies for increased sales growth. The government should encourage businessmen and women by lowering tax policies, giving free place to promote e marketers’ in business expo and exhibitions gatherings.
Factors Affecting Deposit Mobilization of Commercial Banks in Ethiopia in Case of Bank of Abyssinia S.C
(A.A.U, 2023-06-03) Iyasu Kasahun; Tewodros Wuhib (Ass.Pro)
Deposit is one of the resources financial institutions highly motivated to mobilize the liquid asset that is found in the treasury of the bank and which is ready to be dispensed to whom in need. The deposit mobilization of the banks can be affected by lots of different factors. This study tried to fill the gap that considering there are more factors that are as significant as the major commonly known factors; interest rate, inflation rate, exchange rate which affect deposit mobilization such as; emerging banks which are ethnic based, permit of foreign well-organized banks in order to be established and the impacts which result from new NBE proclamations. The general objective of the study is to examine the factors affecting deposit mobilization in commercial banks of Ethiopia in the case of BoA S.C. A mixed methods research approach underpinned by a pragmatist research philosophy, using predominantly quantitative methods with some qualitative elements added after analysis of the quantitative data to further explain key findings of the research. This study has been conducted through all the four grade branches of BOA (from Grade 1-3 and corporate branch) by selecting four branches (one from each) and district and head office staffs. As branches with same grade are homogenous in all aspects because of the bank’s standard, and since they all possess a same organizational structure, behaviour and culture plus working environment four branches will be selected randomly. Descriptive and inferential techniques have been adopted for analysis of data collected from questionnaire respondents. The study shows that the factors that effect of deposit movement were the human capital, deposit mobilization strategy, interest rate, product and services, and government roles and political conditions. as a result, adopting strong strategic plan which is measurable and feasible aligned with continual review of the dynamic market could help the bank to mobilize the resources which the bank highly in need of it and helps them to deal with the dynamic business environment.
Factors Affecting Export Performance of Textile and Garment Industry: The Case of Hawassa & Bole Lemi Industrial Park.
(A.A.U, 2022-01-08) Hawani Eshetu; Asres Abitie Kebede (PhD)
The objective of this study was to examine the factors Affecting Export Performance of Textile and Garment Industry in Ethiopia by focusing on the industrial parks with regard to Infrastructure, Foreign Direct Investment (FDI), Trade Openness/Market access and Policy and regulatory situation in the import export business. In the study both quantitative and qualitative research design approaches were used. Data were collected from primary sources and secondary sources. The primary data were collected through questionnaire and analyzed by using Statistical Package for the Social Sciences (SPSS) version 20. To achieve the objectives of the study conceptual model was formulated by reviewing previous related literatures. The mean shows that the independent variables have positive and significant effect on the performance of export with mean value of 4.1. Correlation between the independent and dependent variables indicates a degree of less multi-collinearity. According to the findings, Infrastructure, Foreign Direct Investment (FDI), Trade Openness/Market access and Policy and regulatory situation have positive effect on export performance. From all the variables FDI has the highest positive relation on export performance of the garment and textile industry. The qualitative data also supports the result of the quantitative data. Export performance was mainly influenced by FDI and Infrastructure with very high statistical significance. Furthermore, trade openness and policy environment has also significant impact for the growth of textile and garment export. Thus, the research recommends that to improve the textile and garment export, the government need to work on securing dependable market access through WTO rather than AGOA and work hard to attract quality foreign investors in the sector.
Factors Affecting International Pharmaceutical Procurement in Ethiopia: Ethiopian Pharmaceuticals Supply Service versus Private Importers.
(A.A.U., 2023-07-08) Eskedar Tilahun; Hailemariam Gebremichael ( PhD)
The objective of this study is to investigate the elements influencing international pharmaceutical procurement in Ethiopia, considering aspects such as quality, quantity, cost, location/source, and time within the private and public sector (EPSS). Based on various previous literatures, five factors are used as independent variables; Supplier selection, Procurement procedure, Buyer-supplier Relationship, Demand forecasting, and Foreign currency. Primary data was collected from Private Importers and EPSS (Ethiopian Pharmaceutical Supply Service) through questionnaires. An Explanatory research design was employed for this research. The results of the research indicates procurement procedure, demand forecasting and foreign currency positively and significantly affect International pharmaceutical procurement in private importers whereas, buyer-supplier Relationship, demand forecasting and foreign currency significantly affect the international pharmaceutical procurement in EPSS with foreign currency having a negative effect. The Comparison between the two sectors show that both demand forecasting and foreign currency Have a higher influence on international pharmaceutical procurement of private importers than EPSS. Therefore, the public and especially the private sector is expected to enhance its performance on these factors to achieve better quality, quantity, price, location/source, and shorter lead time in the procurement of pharmaceutical products
Factors Affecting National Resource Mobilization in the Business Sectors for Humanitarian Non-Government Organizations in Ethiopia
(A.A.U, 2022) Woldeamanuel, Sara; Takele, Yitbarek (PhD)
The study has been conducted with the aim of investigate the critical factors that fetched less National Resource Mobilization (NRM) in Ethiopia. Rising incidents of humanitarian assistance among the nationalities is an increasing concern. Most Non-Government Organizations (NGOs) are entities to do humanitarian assistance as per the need and priority. In Ethiopia, most NGOs perform humanitarian assistance through foreign funds that created dependency in international communities. The nationalities participation in availing resource for humanitarian assistance observed very less. Hence, NRM creates a bridge for nationalities to take part for a diversified funding source, which might be a preferred substitute to foreign funding through time. The study result what critical factors is affecting business sectors as potential local funding sources to humanitarian projects. The investigation of factors with in the business sectors circle drives where to focus, what to do and how to do by engaging and working with NGOs. The study adapted a deduction approach, using both qualitative and quantitative methods through exploratory factorial analysis. Accordingly, the questionnaire was distributed to 390 business sectors targeted to the business owners, investors, top officials, and managers at the senior level. 357 responses gathered which result the response rate of 91.5%. The study finds out the critical factors after the detail analysis of collected data through exploratory factorial analysis, principal component factorial analysis and sequential explanatory analysis to include both close-ended and open-ended questions. The collected data fulfills the construct validity of measurement and reliability. The study findings state that usage of information based innovative mechanisms in identifying, share gaps, needs, funding with priority is critically important to increase NRM participation. In addition, the NGOs impact and deliverability, transparency requirement to CSA, within the community, their engagement with the business sectors and with the community found to be critically important. The reason is understanding mutual benefit creates motivation in willingness to participate in NRM. Most of the business sector representatives expressed their willingness to participate in NRM. Government's support and incentives as per their involvement had a direct influence. NRM is an approach approved in 2019, for NGOs to do local fundraising by the Agency for Civil Societies Organizations (ACSO). Monitoring and controlling the works and deliverability of NGOs, in focus of decreasing dependency syndrome is very mandatory. That will increase to foster the culture of philanthropy and volunteerism in the nationalities that directly contribute to NRM’s practicality in the future. Key Words: NRM, Knowledge Management, Digital Technology, Behavioral Motivations, Community Engagement, NGOs, and Government incentives, ACSO monitoring, dependency syndrome
Factors Affecting Technical Efficiency: Evidence from the Banking Industry in Ethiopia
(A.A.U, 2023-06-07) Getnet Zemene; Tilahun Teklu (PhD)
The efficacy of private banks in Ethiopia from 2016 to 2021 was the focus of this research, investigating the factors impacting their technical efficiency. Output variables such as loan, investment, and net profit were considered to gauge technical efficiency, while input variables like paid-up capital and total deposit were used. A binary logistic regression was used to identify the technical efficiency predictors of the banks. The results revealed that only five of the sixteen banks studied (31.3%) met the technical efficiency standards, while the majority (68.7%) performed beneath the optimal production frontiers. Consequently, these banks may need to prioritize enhancing their productivity to improve their operations. The efficiency trends of private banks were not consistent, showing better efficiency in 2017, then sharply declining in 2018 and 2019, and gradually improving in 2021. Furthermore, tier I banks were relatively efficient than tier II and tier III banks. In addition, a positive and significant relationship was found between returns on assets and technical efficiency measure of private banks. On the other hand, a negative statistically significant relationship was observed between solvency and technical efficiency, which implies that the higher the debt obligation for a unit asset, the less likely that the bank is technically efficient. Therefore, banks may need to increase loan creation capacity and improve return on assets to enhance their technical efficiency. Additionally, careful planning of the solvency ratio of banks is also recommended.

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