Alternative analyses of market value added: a case study of Thailand

Risk management is one of the prominent issues which are pivotal to the success of a business and may adversely affect profitability if not properly practised. Therefore, the main objective of this paper was to determine risk management practices in manufacturing SMEs in Cape Town. The research conducted was quantitative in nature and constituted the collection of data from 74 SME leaders, all of whom had to adhere to a list of strict delineation criteria. All data collected were thoroughly analyzed through means of descriptive statistics. From the findings made, it is clear that SMEs in the manufacturing sector do in fact understand risk management initiatives applicable to ‘manage’ their respective businesses towards sustainability, but not to a large extent. It was found that respondents are unaware of the elements which make risk management effective, which ultimately aids to the development of problems for SMEs. All employees, managers and owners must coordinate their efforts together to identify and manage organizational risks within their ambit to obtain total risk coverage, as well as provide assurance that these risks are effectively managed from a coordinated approach. Further studies may be carried out to identify measures that can be taken to improve the effectiveness of risk management practices in SMEs.

In today’s increasingly competitive markets, it is essential to be able to determine the position of a company as opposed to its competitors. Today the traditional financial ratios are most widely used to measure corporate performance, but more and more authors begin to criticize their use. It is difficult to use financial ratios as a complex measurement tool. It is crucial to use an appropriate method or tool to measure corporate performance, which can measure the company’s performance in a complex way represented by one indicator. In this study, the Data Envelopment Analysis (DEA) method is used, which is one of the potential tools available. Several researchers have used the DEA method to measure corporate performance. Many authors consider DEA as a useful tool for measuring corporate performance, while others criticize it. The authors analyze the performance of retail food companies in Hungary’s Northern Great Plain region. The companies analyzed were chosen from the region investigated, and they have “food retail grocery store” as their main activity, and they had six cleared annual reports in the period 2012–2017. There was a total of 887 companies in the region examined, and 563 (63.5%) met the conditions. The analysis was made using the time-series data of companies for 2012–2017 based on their financial reports, and the authors dealt with various possibilities for extending DEA, which can support its more accurate use. Based on evaluating the retail food companies’ performance in the Northern Great Plain region, one can state that the efficiency of companies shows a very mixed picture over the years examined. The study suggests solutions to the indicated problem. The findings indicate that the application of extended DEA methods gives better results; that is, one can get better estimates of the efficiency of companies.

The insurance industry, which is an important component of the financial channel, is an essential part of the Turkish economy, and assessing the financial performance is critical for insurance companies to improve efficiency and productivity, increase competitiveness, and enhance fiscal health. The study presented a technique for assessing the financial performance of all insurance companies registered in Borsa Istanbul by implementing an integrated method that combines the Criteria Importance Through Intercriteria Correlation (CRITIC) and Proximity Indexed Value (PIV) methods. The rationale for implementing the PIV method is the lack of adequate financial studies available on the insurance companies that employed this specific model. Initially, 18 evaluation criteria were defined. The CRITIC method was applied for the criteria weights, and insurance companies were ranked using PIV. Subsequently, the COPRAS, VIKOR, ARAS, and SAW Multi-Criteria Decision-Making (MCDM) methodologies were applied. Performance rankings derived from PIV were compared with those obtained from other MCDM models employed. Finally, Spearman’s Rank Correlation and Kendall’s Rank Correlation Coefficient methods were applied to analyze the extent of correlations and interactions between ranking outcomes. The PIV assessment results pointed out that AGESA received the highest rank for financial performance, and AKGRT had the lowest rank. AGESA consistently received high rankings compared to all other methods examined. Nevertheless, RAYSG and AKGRT constantly ranked poorly. All deployed methods ranked AKGRT and RAYSG in the final two positions. The study’s findings underscore that ranking outcomes of PIV largely align with alternate MCDM methodologies utilized.