Distribution of Competitiveness of Copper Industry: The Case of Kazakhstan

TLEPPAYEV Arsen (Kazakh-German University)
ZEINOLLA Saule (Narxoz University)
ABISHOVA Saltanat (University of International Business)
RISHAT Bekzat (Kazakh-German University)

TLEPPAYEV, A. , ZEINOLLA, S. , ABISHOVA, S. , & RISHAT, B. (2023). Distribution of Competitiveness of Copper Industry: The Case of Kazakhstan. , 21(7), 41-50, https://doi.org/10.15722/jds.21.07.202307.41

copy

Abstract

Purpose: The purpose of the research is identified factors influencing the competitiveness of the copper industry in Kazakhstan. Research design, data and methodology: A few studies are dedicated to the analysis in developing countries, particularly Kazakhstan. The algorithm was chosen for research provision: statistical and comparative analysis, correlation, and regression analysis. The data of 1999-2021 obtained from the World Bank, Bureau of National Statistics, National Bank of Kazakhstan. Results: The obtained results demonstrate the trends in the development of the industry since 2000. The development of the copper industry is strongly influenced by the distribution and state of the business environment, economic situation, and trends in the global commodity markets. Conclusions: According to econometric modeling, there is a correlation between the profitability of the copper industry, GDP, copper prices, liquidity, and energy resource prices. Trends in global commodity and energy markets have a significant impact on the state of the industry. Further research should be conducted to include an analysis and forecast of internal factors that may affect the development of the industry, such as copper reserves, condition of fixed assets, government programs, etc. It is also important to examine the correlation with the trends in the development of the global green economy and the revival of the Chinese market.

keywords: Distribution, Profitability, Environment policy, Copper, Kazakhstan

Reference

Adams, M., & Buckle, M. (2003). The determinants of corporate financial performance in the Bermuda insurance market. Applied Financial Economics, 13(2), 133-143. https://doi.org/10.1080/09603100210105030

Al-Jafari, M.K., & Al Samman, H. (2015). Determinants of profitability: evidence from industrial companies listed on Muscat Securities Market. Review of European Studies, 7(11), 303-311. https://doi.org/10.5539/res.v7n11p303

Asimakopoulos, I., Samitas, A., & Papadogonas, T. (2009). Firmspecific and economy wide determinants of firm profitabilityGreek evidence using panel data. Managerial Finance, 35(11), 930-939. https://doi.org/10.1108/03074350910993818

Barney, J.B. (2001) Resource-Based Theories of Competitive Advantage: A Ten Year Retrospective on the Resource-Based View. Journal of Management, 27, 643-650. https://doi.org/10.1177/014920630102700602

Booth, L., Aivazian, V., Demirguc-Kunt, A., & Maksimovic, V. (2001). Capital structures in developing countries. Journal of Finance, 56, 87-130. https://doi.org/10.1111/0022-1082.00320

Burja, C. (2011). Factors influencing the company's profitability. Annales Universitatis Apulensis - Series Oeconomica, 13(2), 215-224. https://doi.org/10.29302/oeconomica.2011.13.2.3

Dahooie, J.H., Zavadskas, E.K., Vanaki, A.S., Firoozfar H.R., Lari, M. & Turskis, Z. (2019) A new evaluation model for corporate financial performance using integrated CCSD and FCMARAS approach, Economic Research-Ekonomska Istraživanja, 32(1), 1088-1113, https://doi.org/10.1080/1331677X.2019.1613250

Demirguc-Kunt, A., & Maksimovic, V. (1999). Institutions, financial markets, and firm debt maturity. Journal of Finance Economics, 54(3), 295-336. https://doi.org/10.1016/S0304- 405X(99)00039-2

De Toni, D., Milan, G.S., Saciloto, E.B., Larentis, F. (2017). Pricing strategies and levels and their impact on corporate profitability. Revista de Administração, 52(2), 120-133. https://doi.org/10.1016/j.rausp.2016.12.004.

10.

Fama, E.F., & Jensen, M. (1983). Separation of ownership and control. Journal of Law and Economics, 26(2), 301-325. https://doi.org/10.1086/467037

11.

Hinterhuber, A. (2004). Towards value-based pricing – an integrative framework for decision making. Industrial Marketing Management, 33(8), 765-778. https://doi.org/10.1016/j.indmarman.2003.10.006

12.

Hossain, I., & Alam, J. (2019). The Relationship between Liquidity and Profitability in Emerging Countries: Evidence from Bangladesh. Journal of Finance and Accounting, 7(1), 22-27. https://doi.org/10.12691/jfa-7-1-4

13.

Hoskisson, R. E., & Hitt, M. A. (1990) Antecedents and performance outcomes of diversification: a review and critique of theoretical perspectives. Journal of Management, 16(2), 461-509. https://doi.org/10.1177/014920639001600210

14.

Högerle, B., Charifzadeh M., Ferencz M., & Kostin, K.B. (2020). The development of working capital management and its impact on profitability and shareholder value: Evidence from Germany. Strategic Management, 25(2), 27-39. https://doi.org/10.5937/StraMan2002027H

15.

Humera, K., Maryam, M., Khalid, Z., Sundas, S., & Bilal, S. (2011). Corporate governance and firm performance: case study of Karachi stock market. International Journal of Trade Economic and Finance, 2(1), 39-43. https://doi.org/10.7763/IJTEF.2011.V2.76.

16.

Jaworski, J., Czerwonka, L., & Mądra-Sawicka, M. (2018). The relationship between profitability and financial liquidity in food manufacturing industry in Poland. Annals of the Polish association of agricultural and agribusiness economists, 20(1), 58-63. https://doi.org/10.5604/01.3001.0011.7229

17.

Kohlia, C., & Surib, R. (2011). The price is right? Guidelines for pricing to enhance profitability. Business Horizons, 54(6), 563- 573. https://doi.org/10.1016/j.bushor.2011.08.001.

18.

Kotane, I., & Mietule, I. (2022). Business performance evaluation practice in manufacturing sector in Latvia. Ekonomika, 101(1), 20–36. https://doi.org/10.15388/Ekon.2022.101.1.2.

19.

Krishnan, V.S., & Moyer, R.C. (1997). Performance, capital structure and home country: an analysis of Asian corporations. Global Finance Journal, 8(1), 129-143. https://doi.org/10.1016/S1044-0283(97)90010-7

20.

Le Thi Kim, N., Duvernay, D. & Le Thanh, H. (2021). Determinants of financial performance of listed firms manufacturing food products in Vietnam: regression analysis and Blinder–Oaxaca decomposition analysis, Journal of Economics and Development, 23(3), 267-283. https://doi.org/10.1108/JED-09-2020-0130

21.

Madaleno, M., & Barbuta-Misu, N. (2019). The financial performance of European companies: explanatory factors in the context of Economic Crisis. Ekinomika, 98(2), 6-18. https://doi.org/10.15388/Ekon.2019.2.1.

22.

Margaretha F. & Supartika N. (2016) Factors affecting profitability of small medium enterprises (SMEs) firm listed in Indonesia Stock Exchange. Journal of Economics, Business and Management, 4(2), 132-137. https://doi.org/10.7763/JOEBM.2016.V4.379

23.

Menard, S. (1995). Applied logistic regression analysis (2nd ed.). ThousandOaks, CA: Sage Publications.

24.

Mudd, G., & Jowitt, S. (2018). Growing global copper resources, reserves and production: discovery is not the only control on supply. Economic Geology, 113(6), 1235–1267. https://doi.org/10.5382/econgeo.2018.4590

25.

Nguyen, H., Do, D. T., Nguyen, T. H. T., Nguyen, T. T. T., Tran, M. D., Nguyen, T. T., Pham, V. H., & Nguyen, T. T. (2022). The impact of internal financial determinants on the financial performance of listed mineral firms on the Vietnam Stock Exchange. Corporate Governance and Organizational Behavior Review, 6(2), 287–299. https://doi.org/10.22495/cgobrv6i2sip13

26.

O’brien, R.M. (2007) A Caution regarding rules of thumb for variance inflation factors. Qual Quant, 41, 673–690. https://doi.org/10.1007/s11135-006-9018-6

27.

Olusola, B., Mengze, H., Chimezie, M., & Chinedum, A. (2022) The impact of capital structure on firm performance-evidence from large companies in Hong Kong Stock Exchange. Open Journal of Business and Management, 10, 1332-1361. https://doi.org/10.4236/ojbm.2022.103072.

28.

Ononye, U., Ndudi, F., Aloamaka, J., Mba, M., & Ejumudo, T. (2022). Examining the role of quality performance and entrepreneurial orientation on green manufacturing and financial performance. Environmental Economics, 13(1), 50- 60. https://doi.org/10.21511/ee.13(1).2022.05.

29.

Ruf, B.M., Muralidhar, K., Brown, R.M., Janey, J.J., & Paul, K. (2001). An empirical investigation of the relationship between change in corporate social performance and financial performance: a stakeholder theory perspective. Journal of Business Ethics, 32(2), 143-156. https://doi.org/10.1023/A:1010786912118

30.

Saleem, Q., & Rehman, R. (2011). Impact of liquidity ratios on profitability (case of oil and gas companies of Pakistan). Interdisciplinary Journal of Research in Business, 1(7), 95–98.

31.

Seema, G., Jain, P.K., & Yadav, S.S. (2011) Impact of MoU on financial performance of public sector enterprises in India. Journal of Advances in Management Research, 8(2), 263-284. https://doi.org/10.1108/09727981111175984

32.

Sholichah, F., Asfiah, N., Ambarwati, T., Widagdo, B., Ulfa, M., & Jihadi, M. (2021). The effects of profitability and solvability on stock prices: empirical evidence from Indonesia. The Journal of Asian Finance, Economics and Business, 8(3), 885– 894. https://doi.org/10.13106/JAFEB.2021.VOL8.NO3.0885

33.

Stephen, A.R., Randolph, W.W., & Bradford, D.J. (2010). Fundamentals of corporate finance (6th ed.). McGraw-Hill, New York, NY.

34.

Stulz, R. (1990) Managerial Discretion and Optimal Financing Policies. Journal of financial Economics, 26, 3-27 https://doi.org/10.1016/0304-405X(90)90011-N

35.

Tan, Y., & Floros, C. (2012) Bank profitability and GDP growth in China: a note. Journal of Chinese Economic and Business Studies, 10(3), 267–273. https://doi.org/10.1080/14765284.2012.703541.

36.

Uzoma, O., Francis, N., Aloamaka, J. I., Mauryn, M., & Tobi, E. (2022). Examining the role of quality performance and entrepreneurial orientation on green manufacturing and financial performance. Environmental Economics, 13(1), 50- 60. https://doi.org/10.21511/ee.13(1).2022.05.

37.

Waddock, S.A., & Graves, S.B. (1997). The corporate social performance - financial performance link. Strategic Management Journal, 18(4), 303-319. https://doi.org/10.1002/(SICI)1097-0266(199704)18:4%3C3 03::AID-SMJ869%3E3.0.CO;2-G

38.

Walsh, F.J. (1987). Measuring business unit performance. National Industrial Conference Board Research Bulletin, 206, 115-126.

39.

Xu, J., Akhtar, M., Haris, M., Muhammad, S., Abban, O.J., & Taghizadeh-Hesary, F. (2022). Energy crisis, firm profitability, and productivity: An emerging economy perspective. Energy Strategy Reviews, 41, Article 100849. https://doi.org/10.1016/j.esr.2022.100849

40.

Yazdanfar, D. (2013). Profitability determinants among micro firms: evidence from Swedish data. International Journal of Managerial Finance, 9(2), 150-160. https://doi.org/10.1108/17439131311307565

41.

Zeitun, R., & Tian, G.G. (2007). Capital structure and corporate performance: evidence from Jordan. Australasian Accounting, Business and Finance Journal, 1(4), 40-61. https://doi.org/10.14453/aabfj.v1i4.3

바로가기메뉴

Article Contents

Vol.21 No.7

Distribution of Competitiveness of Copper Industry: The Case of Kazakhstan

Abstract

Reference

The Journal of Distribution Science