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.
Antecedents of Participation in Collective Marketing and its Impact on Farmers’ Income: In the Case of Avocado Producers of Selam Fruit and Vegetable Development and Marketing Cooperative, Amhara Regional State, Ethiopia
(A.A.U, 2024-10-27) Aschalew Lemma Woldearegay; Yitbarek Tekle (Phd)
The agricultural sector is vital for economic development in Sub-Saharan Africa, particularly in Ethiopia, where smallholder farmers face significant challenges such as limited access to quality inputs and inadequate infrastructure. This study addresses the problem of smallholder avocado farmers' inability to penetrate high-value markets due to weak institutional frameworks and fragmented supply chains. Utilizing a sample of 115 farmers selected through non-probability sampling from four kebeles in the Amhara Regional State, both probit regression and endogenous switching regression analyses were employed to examine the relationship between farmers' participation in collective marketing and their income outcomes. The findings reveal that participation in collective marketing significantly enhances farmers' avocado income share. The Average Treatment Effect on the Treated (ATT) shows that farmers engaged in collective marketing enjoyed an average avocado income share of 34.985%. In contrast, if they had opted out, their income share would have dropped to 26.410%, resulting in an ATT of 8.574%, significant at the 1% level. This positive impact implies that collective marketing participation provides advantages such as improved market access, better pricing, and economies of scale. Furthermore, the Average Treatment Effect on the Untreated (ATU) indicates that non-participants currently have an avocado income share of 25.490%, but this could rise to 34.952% if they participated, leading to an ATU of 9.462%. The statistically insignificant heterogeneity effect (HE) of 0.033% suggests that income variations between participants and non-participants are not driven by unobservable factors but are primarily attributed to the structural advantages of the collective marketing system itself. Overall, these results underscore the importance of collective marketing in enhancing the economic outcomes of smallholder farmers by facilitating better market access and pricing. To bolster collective marketing participation, the study recommends promoting educational programs for farmers, enhancing infrastructure, strengthening cooperative benefits, increasing access to inputs, and improving marketing channels. These strategies aim to improve the economic outcomes for smallholder farmers and promote sustainable income growth within the avocado supply chain.
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 Foreign Direct Investment Entry Performances at Early Stages of Firm Establishments in Ethiopia
(A.A.U, 2022-04-03) Kutiyo Gutema; Amare Abawa (PhD)
This study tries to assess Foreign Direct Investment Entry Performances at Early Stages of Firm Establishments in Ethiopia. The study used annual data of New FDI inflows and FDI entry performances firms at establishment periods and data employed for the variables are from period of 2011 to 2020. To analysis the Data, study used descriptive statistics. The study employed five variables including dependent variable of new FDI entry performance and four independent variables such as FDI under pre-implementation stage, FDI under implementation stage, FDI under operational stage and FDI permits cancelled. The study concludes that from the employed independent variables; highest mean registered by Foreign direct investment entries under pre-implementation stage by Birr 27.12billion and followed by Foreign direct investment entry permits cancelled Birr 12.4billion and highest standard deviation was registered by Foreign direct investment entries under pre-implementation stage by Birr 30.27billion and followed by Foreign direct investment entry permits cancelled Birr 15.56billion respectively. In the light of this, critical improvements are required in the areas of investment statuses, particularly FDI implementation, operational stage and FDI permits cancellations. The result of this paper demands policy intervention of government to make new FDI firms achievements in reaching operational and production stages in order to improve entering FDI firms’ performances and contribute for economic growth of the country.
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.
Assessment of The Influence of Employee Training on the Organization Performance: In Case of Ethiopian Shipping and Logistics, Addis Ababa)
(A.A.U, 2024-06-27) Mareshet Shemeles Desta; Tewodros Wuhib (Ass. Professor
The aim of this research was to explore the assessment of the influence of employee training on the organization's performance at the Ethiopian Shipping and Logistics. The investigator assessed the impact of training factors on the organization performance: training need assessment, training program design, and training methods. For this analysis, 86 questionnaires were distributed to 86 Addis Ababa main office staff members. A Stratified random sampling techniques was used, and 72 questionnaires could collect for analysis; the rest of 14 questionnaires couldn’t collect from the respondent. The data had been analyzed using Version 21 SPSS. The researcher used descriptive and inferential method for analysis. This study could show that the significant relationship between the variables training and development and organization performance. The Enterprise should give an opportunity for their workers to attend with the activities of HRM in the training needs assessment and training program design. Training feedback should be collected after the training.
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 Mobile Brand Preference on Customer Buying Decision: Evidence From Techno Mobile Shop Owners and Employees in Addis Ababa
(A.A.U, 2024-02-04) Gashaw Kibru; Habtomu Edris (PhD)
The main objective of the study was to investigate determinants of customer buying decision in the field of mobile manufacturing, with a particular focus on Tecno Mobile Company in Addis Ababa. Both descriptive and explanatory research designs as well as a quantitative research approach were used to conduct the study. Convenience sampling was used to seleca sample of 285 respondents from Addis Ababa and a structured questionnaire with response rate of 95% was used to collect 270 valid data points. The Statistical Process for Social Sciences (SPSS version 27) was used to conduct statistical analyses. The results were interpreted through descriptive analysis using metrics such as mean and standard deviation.Additionally, regression analyzes and correlations were carried out. The validity and reliability of the instrument were confirmed during the research process. In addition, the basic assumptions for regression and correlation analysis are met. The results of the multiple regression analysis also showed that globalization, personal history, social networks and the symbolic meaning of products all positively influence consumers' purchasing decisions. The two factors that had the largest positive and significant influence on consumers' mobile phone buying decisions were personal history and symbolic meaning of the products, respectively. This study adds to the small body of research on Ethiopia's sectors. How eve the study was limited to Addis Ababa; future research should attempt to examine a wide range of Ethiopian regions. Such studies can help mobile manufacturing companies and neinvestors assess the value of their products and those of their competitors, create marketing plans and strategies, and successfully develop and bring their products to market.
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
Effect of Export Incentive on Export Performance in Ethiopia
(A.A.U, 2022-01-11) Samson Beletikachew; Yohannes Workaferahu (Phd)
In today’s challenging and market competitiveness world, the Ethiopian government introduces and implements fiscal and non-fiscal scheme to promote and encourage export trade. The main purpose of this study was to the Effect of Export Incentive on Export Performance in Ethiopia. The researcher used Descriptive and Explanatory type of the research design to explore the relationship between Export Incentive and Export Performance. The researcher used both primary and secondary data. The primary data obtained through a structured questionnaire prepared from export companies whereas the secondary data from reports, published and unpublished documents. The target population was 132 export companies. The convenience sampling technique was used. The study used questionnaires as a tool for data collection. Two separate instruments export incentive practice and export performance Assessment Instrument were used to measure export incentive practice and export performance respectively. In order to test the reliability of the instrument, the Crobanch alpha test was the responses of the respondents were analyzed using descriptive Statistics, correlation, and regression. The findings of the study showed that export incentive practice, Such as duty draw-back scheme, the voucher scheme, the bonded export factory scheme, the bonded manufacturing warehouse scheme, the bonded input supplies warehouse scheme; and the industrial zone scheme. Export Performance In terms of value (Total Amount of export per annum) performance linkage as independent variable and as the dependent variable.
Effect of Leadership Styles on Employees’ Motivation: The Case of Selected Multi- National Corporations in Addis Ababa
(AAU, 2025-03-01) Mikiyas Teklehaymanot; Yohannes Workaferahu (PhD)
This study is deployed to examine the effects of leadership styles on employee motivation within six selected multi national corporations ( MNCs) located in Addis Ababa, Ethiopia. The primary objectives include identifying the leadership styles practiced, examining the components of leadership styles that significantly influence motivation, assessing the relationship between transfer national, transactional, and laissez-faire leadership styles with motivation, and identifying the dominant leadership style for enhancing employee motivation. A survey was distributed to 154 employees, with 138 fully completed responses analyzed using SPSS Version 24. To address this concern, on the theoretical literature review touches Trait, Behavioral and Contingency or situational approach that are related to leadership styles and regarding the dependent variable motivation Abrahams Maslow Hierarchy of need theory and expectancy theories were discussed. The findings indicate that transformational leadership, with dimensions such as idealized influence and inspirational motivation, has the most significant positive effect on employee motivation, followed by transactional leadership. On the contrary Laissez-faire leadership exhibited a negative relationship with motivation. Multiple regression analysis confirmed that leadership styles account for 74. 3% of the variance in employee motivation, with transfer national leadership emerging as the dominant style. The study highlights that organizational politics and bias associated wit h leadership dimensions, particularly idealized influence and inspirational motivation, may hinder fair promotions. Employees reported satisfaction with benefits and promotion opportunities but indicated areas for improvement in skills development and work activities. Recommendations include implementing unbiased performance evaluations, enhancing inter-departmental communication, and investing in staff training. Future research could explore leadership styles' effects on other sectors, such as healthcare or banking, and examine cultural influences on motivation with in MNCs with organizational politics as a mediator.
Effect of Leadership Styles on Employees’ Motivation: The Case of Selected Multi- National Corporations in Addis Ababa
(AAU, 2025-03-01) Mikiyas Teklehaimanot; Yohannes Workaferahu (PhD)
Thi s st udy is depl oyed t o exami ne t he effects of leadershi p styl es on e mpl oyee moti vati on wit hi n si x sel ect ed multi nati onal corporati ons ( MNCs) locat ed i n Addi s Ababa, Et hi opi a. The pri mary obj ectives i ncl ude i dentifyi ng t he leadershi p styl es practiced, exami ning t he component s of leadershi p styl es t hat si gnificantl y i nfl uence moti vati on, assessi ng t he rel ati onshi p bet ween transf or mati onal, transacti onal, and l aissez-fai re leadershi p st yl es wit h moti vati on, and i dentifyi ng t he domi nant leadershi p styl e f or enhanci ng e mpl oyee moti vati on. A survey was di stri but ed t o 154 e mpl oyees, wit h 138 f ully compl et ed responses anal yzed usi ng SPSS Versi on 24. To address t his concern, on t he t heoretical literat ure revi ew t ouches Trait, Behavi oral and Conti ngency or sit uati onal approach t hat are rel at ed t o leadershi p styles and regardi ng t he dependent vari abl e motivati on Abraha ms Masl ow Hi erarchy of need t heory and expect ancy t heori es were discussed. The fi ndi ngs i ndi cat e t hat transf or mati onal leadershi p, wit h di mensi ons such as i dealized i nfl uence and i nspirati onal mot ivati on, has t he most si gnificant positive effect on e mpl oyee moti vati on, foll owed by transacti onal leadershi p. On t he cont rary Laissez-f aire leadershi p exhi bited a negati ve rel ati onshi p wit h moti vati on. Multi pl e regressi on anal ysis confir med t hat leadership st yl es account f or 74. 3% of t he vari ance i n e mpl oyee moti vati on, wit h transf or mati onal leadershi p e mergi ng as t he domi nant styl e. The st udy hi ghli ghts t hat organi zati onal politics and bi as associ at ed wit h leadershi p di mensi ons, particul arl y i dealized i nfl uence and i nspirational moti vati on, may hi nder f air promoti ons. Empl oyees report ed satisf acti on wit h benefits and promoti on opport unities but i ndi cat ed areas f or i mprove ment i n skills devel opment and work activities. Recommendati ons i ncl ude impl e menti ng unbi ased perf or mance eval uati ons, enhanci ng i nt er-department al communi cati on, and i nvesti ng i n st aff trai ni ng. Fut ure research coul d expl ore leadershi p st yl es' effects on other sect ors, such as healt hcare or banki ng, and exami ne cult ural infl uences on moti vation wit hi n MNCs wit h organi zati onal politics as a medi at or. Key words: Multi-nati onal Corporati ons (MNCs), Leadershi p styles, Transacti onal, Transf or mati onal and Laissez f air, Empl oyees` Moti vati on.
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

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