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The Journal of Global Business is an annual journal for those who present their researches at the Global Business Conference held annually in Manila, Philippines. This conference is organized by the Association of Training Institutions for Foreign Trade in Asia and the Pacific. The journal contains researches of professors in business and other fields.

ISSN: 2350-7179 (Online Journal)

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A Differential Analysis on Impact of COVID-19 Vaccine Rollout: The Case of the Philippines

Dr. Joy S. Rabo & Michelle Ang / Read Full Journal

Keywords

COVID-19, COVID-19 vaccine, vaccine rollout

Abstract

The novel coronavirus 2019 (COVID-19) became a global health burden that severely impacted the well-being of the people and the global economy. One of the potential solutions to control its spread is through vaccination. Through its Department of Health and National Task Force against COVID-19, the Philippine government launched its vaccination program, which aims to assist in gradually returning people to their day-to-day activities and in reviving the economy. This study utilized event study methodology to determine whether cumulative average abnormal returns based on an estimation window of 105 trading days (-110 to -6) of 231 actively-traded non-holding firms in the Philippine Stock Exchange differ five trading days before and after the start of the vaccine rollout. The firms are then classified and analyzed according to their impact ranking (high, medium-high, medium, low-medium, and low) by the International Labor Organization, and one-way ANOVA was employed to compute for any statistical significance. The findings suggest a significant difference (p<=.001) between and among all impact ranking groups during the 11-day event window, emphasizing that the vaccine rollout as a catalyst occurrence brought significant differences in investor confidence in the stock market based on the firms’ risk category.

Furthermore, a significant difference in cumulative abnormal returns can be attributed to two particular days: the day of vaccine rollout (p=.0887) and two days before (p=.0871). This aids management of sampled firms in developing appropriate management plans and strategies to boost their stock returns further. Future researchers are recommended to do a similar event study once a full-scale implementation of vaccine rollout is in place.

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A Study on the Purchase Intention of Filipinos in their Consumption of Counterfeit Apparel Products

Aiofi Astryd De Castro, Daniela Angeline David, Elisa Angela Espina, Tomas Felix, Marcus Joaquin Perez, David Yatco/ Read Full Journal

Keywords

Counterfeit, TPB, Intrinsic, Extrinsic, Personal gratification, Self-esteem, Self-directed pleasure, Social recognition, Appealing appearance, Social Influence, Attitude, and Intention, Purchase intention,

Abstract

Counterfeiting has been an enticing option for many individuals with the exclusivity and high price points that come with branded goods. This study aims to analyze the purchase intention of Filipinos in terms of counterfeit apparel products by using an extended Theory of Planned Behavior (TPB) and incorporating extrinsic and intrinsic variables as additional variables. Variables utilized in this study are personal gratification, self-esteem, self-directed pleasure, social recognition, appealing appearance, social influence, attitudes, and purchase intention. This study's respondents compose 152 Filipino consumers (59.2% female, 28.8% male, 2% prefer not to say) aged between 18-33 years old (majority--students 84.9% and employed 10.5%). Cronbach's values ranged from .790 to .950. Results showed that personal gratification and self-esteem insignificantly affect attitudes and intentions towards counterfeit apparel items, while self-directed pleasure, appealing appearance, social recognition, and social influence significantly affect attitudes and intentions towards counterfeit apparel items.

Moreover, the study concluded that a positive attitude towards counterfeit apparel items strongly influences their purchasing intentions. Future studies are recommended to consider increasing its reach through the inclusion of generations y and x. Thus, data validation is recommended through one-on-one interviews and to consider testing other intrinsic and extrinsic motivations as future variables.

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Evaluating Diverse Schools of Thought on the Political Stance Taken by Institutions of Higher Learning during this “VUCA” Time: Implications to National and Global Development

Atty. Hilario S. Caraan, DPA / Read Full Journal

Keywords

Educational management approach, stakeholder perception, development challenges, political education, politicized education

Abstract

The study primarily aims to determine stakeholder perceptions of an educational institution’s active or partisan involvement in public governance issues, given the diverse schools of thought on how institutions of higher learning should manage the learning process of their students. It shall also assess if an interplay of “education” and “politics” is appropriate as a learning intervention tool to address the challenges posed, especially the period of Volatility, Uncertainty, Complexity, and Ambiguity (VUCA), as popularized by Bennis and Nanus (1985), or to treat them as both powerful tools but should coexist separately and independently of each other.

The study emanates from two identified conflicting schools of thought in educational management: first, from the theory of Dewey (1975), where students should be led and assisted by the administrators and faculty of educational institutions in practicing at the societal level what they learned from the four corners of the classrooms, and reversely, from the theory of Freire (1970) prescribing that schools should give students free and independent choices in the application of whatever knowledge they were able to acquire inside the classrooms and the educational institution.

In this stakeholders’ perception study, there will be an assessment of the selected demographic, sociographic, psychographic, and situational-experiential factors significantly related to perceptions of four major stakeholders (students, faculty, parents, and alumni) of the selected “X” University in Region IV-A on the latter’s political stance taken on certain government issues. The stakeholder groups’ perception is a function of their approval or disapproval of the stance taken against certain government issues. Such perceptions shall be analyzed to determine the extent of the school’s responsibility in molding students’ social responsibility.

The study utilizes the survey method to gather pertinent data for this descriptive comparative-exploratory study in assessing perceptions of the four stakeholder groups.

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Forecasting Exchange Rate using ARIMA-ANN Hybrid Model

Dr. Vicente Montaño & Myrna Viado / Read Full Journal

Keywords

Peso-Dollar Exchange Rate, ARIMA, ANN

Abstract

Very few studies delve into modeling the future movement of the Peso-Dollar exchange rate. Notwithstanding the critical role the FX rate played in the economy is enormous. The study attempts to develop a hybrid model of Autoregressive Integrated Moving Average (ARIMA) and Artificial Neural Network (ANN) in forecasting the future of the Peso-Dollar exchange rate. Using the Bangko Sentral ng Pilipinas (BSP) FX rate from 2000-2020 to predict the January and February FX rate, the ARIMA-ANN hybrid was developed and compared with the result HoltWinters Model, ARIMA, and ANN. The outcome demonstrates that the hybrid is a better model with an absolute difference of less than 1 percent, 0.21 percent, and 0.42 percent forecast for January and February 2021, respectively, compared with the actual FX rate. Furthermore, the three statistical measures, MAE, MSE, and RMSE, were used to compare the four methods' performance and demonstrate that the hybrid model has the lowest measurement of errors (0.341, 0.208, and 0.457). Therefore, it is possible to present a more accurate technique in forecasting the FX rate with hybrid modeling.

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Life Insurance Industry: Exploring the Different Factors Affecting Word-of-Mouth and Persistency among Policy holders from the Perspective of Agents

Gabriel Eli J. Bilon & Janine Veronica E. Saplagio / Read Full Journal

Keywords

Customer satisfaction, word-of-mouth, Persistency, life insurance agents, financial advisor

Abstract

One of the most common ways of mitigating financial risks is by purchasing a life insurance policy. However, the advantages of maintaining a life insurance plan are greatly affected by customer satisfaction and word-of-mouth and are measured by policy renewals per year, also known as Persistency. This paper sought to explore the different factors affecting word-of-mouth and Persistency among policyholders from the perspective of life insurance agents and financial advisors using a model based on the framework used in a study by Leon and Choi (2020), the Conceptual Research Model Moderated by Choice. The participants in this study consisted of the Pinoy Insurance Talks (P. I. T.) Facebook group members. A total of 264 life insurance agents (192 females, 71 males, one non-binary) aged 19 to 65 years old took part in the study. The reliability of the responses was examined by obtaining Cronbach Alpha values, which range from 0.769 to 0.947. Using SmartPLS, the path coefficient for each construct was calculated. Results showed that there is significant interrelation among the following variables: (a) Plan Satisfaction (PLS) towards Provider Satisfaction (PRS), Persistency (PER), and Word-of-Mouth (WOM); (b) Provider Satisfaction (PRS) towards Word-of-Mouth (WOM); and (c) Plan Value (PV) towards Plan Satisfaction and Provider Satisfaction (PRS).

On the other hand, Interaction (INT) appeared to have a nil relevance on Provider Satisfaction (PRS), same with Provider Satisfaction (PRS) towards Persistency (PER), including Service Quality (SQ) towards Provider Satisfaction (PRS). Based on findings, the authors, therefore, recommend for insurance companies to consider the plan, brand credibility, and product suitability when developing campaigns or initiatives interconnected with word-of-mouth and Persistency to achieve customer satisfaction. Life insurance agents are also encouraged to emphasize ensuring that the plan they are offering matches the needs of their customers.

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Perception of Filipino Consumers towards Usage of All-Digital Banking

Paula Salvador & Isabel Beatrice Valenzuela / Read Full Journal

Keywords

Perception, Technology Acceptance Model, Intention, Digital Banking

Abstract

The COVID-19 pandemic has accelerated the growth of digital banking in the Philippines. However, the country continues to be one of the countries in Asia with the lowest adoption of digital banking, with an estimated 71% unbanked adults and only 12% of adults who use mobile phones for financial transactions. This study sought to identify the factors that influence the usage of digital banks in the country using the Technology Acceptance Model extended with additional indicators such as perceived risk, trust, self-efficacy, and subjective norm. The participants were general Filipino consumers. A total of 80 individuals (57.5% females, 37.5% males, 5% LGBTQ+), aged 18 to 45 years old (M = 25.275 years, SD = 5.68) participated in the study. Results show that attitude, perceived usefulness, subjective norm, and trust are significant positive indicators of usage of digital banking apps, while perceived risk, and perceived ease of use, and self-efficacy are insignificant positive indicators. The findings suggest that it is important for consumers to see the app's usefulness and reliability and that other people including their peers, are using it. It is recommended that banks increase awareness of the benefits of their services, provide quality customer service and protection from cybercriminals.

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Signs of Work from Home Depression: A Digital Wellness View

Nelson B. Guillen Jr. / Read Full Journal

Keywords

Quarantine Protocols, Depression Signs, Work from Home, Digital Wellness

Abstract

Depression is now classified as the leading cause of disability worldwide, with an estimated 3 people in every 100 in Asia having depression. The coronavirus is presenting new and unique challenges to this emerging disability. We are navigating unchartered waters with this pandemic, and the Philippines is no exception. It is crucial to find new ways to work and interact while caring for our mental health and well-being. This research aims to discuss the mental health and well-being of employees at the time of the pandemic. Specifically, this study seeks to understand the factors and signs contributing to employee depression while working from home. How can Human Resource Department extend its assistance by checking the digital wellness of employees? Two hundred two (202) work from home employees joined the survey from Greater Manila Area. Using the enhanced Depression Model, HR support positively affects self-esteem but negatively affects work from home stress. Indeed, work-from-home-related stress positively affects depression signs. It is essential to understand the well-being of our employees in the time of COVID-19 due to the blurring lines of work-life balance, including its context, to be able to empathize and reach out to the organization’s workforce.

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Marketing Management Students’ Persuasion and Impediments in Recommending Benilde Antipolo to Prospective Student Applicants

Anne Rachelle Castañeda / Read Full Journal

Keywords

Marketing Management, Persuasion, Impediments, Recommendation, Prospective Student Applicants

Abstract

Marketing Management is one of the 11 offered programs of De La Salle-College of Saint Benilde Antipolo, covering 29.8% of the school’s student population as of 2nd Term AY 2020-2021. (See Appendix 1. De La Salle-College of Saint Benilde Antipolo Enrollment Statistics 2nd Term AY 2020-2021). This study investigated the significant variables in relationship to Benilde Antipolo Marketing Management students as valuable assets in increasing student recommendations relevant to the characteristics of Generation Z. The findings revealed the factors that persuade and hesitate the students in recommending the school to prospective student-applicants could be affected by the school's strategic location and action towards providing customer sustaining activities.

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Effect of Workplace Friendship and Employee Demographics on Team Effectiveness in a Family Business

Jamesbeth Araña & Florencio Garcia / Read Full Journal

Keywords

Workplace friendship, team effectiveness, employee demographics, family business, inverted-U relationship

Abstract

The main subject of this study was to look into the relationship between workplace friendship and employee demographics on team effectiveness in the case of a Filipino family business. The study particularly aimed to determine if an inverted-U relationship exists between workplace friendship and team effectiveness and determine if demographics such as age, gender, educational level, and tenure moderated the relationship between workplace friendship and team effectiveness. Online questionnaires were distributed to employees of a local family business. The questionnaire included twenty-five 5-point Likert scale questions to collect data on workplace friendship and team effectiveness. Quadratic regression was done to detect the inverted-U relationship, and a moderated regression analysis was carried out to see if demographics moderated the relationship. The study found that an inverted-U relationship exists between workplace friendship and team effectiveness. This finding suggests that team effectiveness increases as workplace friendship increases. Then the relationship reaches a maximum point after which team effectiveness decreases at an increasing rate. This study also found that demographics do not significantly affect the relationship between workplace friendship and team effectiveness. Due to quarantine restrictions in Metro Manila, the sample size used for analysis was low. Therefore, it is recommended that a similar exercise be conducted on a bigger scale and involve several local companies to validate the above findings further.

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Factors Affecting Entrepreneurial Intentions among Youth: The Case of ABM Students of the Province of Bohol, Philippines

Dennis Testado / Read Full Journal

Keywords

youth, entrepreneurial intention, education about entrepreneurship

Abstract

This study has explored the influence of the factors such as ‘attitude towards entrepreneurship,’ ‘social norms,’ ‘perceived behavioral control,’ ‘attitude towards money,’ ‘desire for success,’ ‘education about entrepreneurship,’ ‘experiences with entrepreneurship,’ 'business environment,' and 'creativity to the entrepreneurial intention of the youth particularly the accountancy, business, and management (ABM) students of the province of Bohol, Philippines. The result indicated three significant predictors of entrepreneurial intention. One is the attitude towards entrepreneurship as a significant positive predictor. Another is the attitude towards money as a significant negative predictor and creativity as a significant positive predictor. Such result offers valuable insights for the different schools in Bohol to consider in reviewing the effectiveness of their current programs in business and make necessary adjustments that may foster the entrepreneurial mindset of students in terms of quality and quantity, and highly prepare the foundation for individuals to succeed in an entrepreneurship future.

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Airline Marketing in the Time of a Pandemic: Examining the Variables Affecting the Booking Intent of Philippine Airlines Passengers

Charlotte Hernandez & Maria Carmina A. Buenviaje / Read Full Journal

Keywords

Airline Marketing, COVID-19, TPB, Safety Perception, Booking Intent

Abstract

COVID-19 changed the dynamics of the travel industry, causing a sharp decline in demand. This paper intends to identify the factors influencing Philippine Airlines' booking intention in Metro Manila amidst the pandemic. It adopts an Extended Theory of Planned Behavior, incorporating the impact of safety perception and refund credibility towards Theory of Planned Behavior variables, specifically Attitude towards Behavior (ATB), Subjective Norms (SN), and Perceived Behavioral Control (PBC). It also extends to evaluating the impact of Brand Credibility in driving the booking intention of the consumers. This paper used a quantitative research design with the survey as the critical measurement tool. Path model coefficients, identified using SmartPLS 3.0, were used to confirm the hypothesized direct effects in the model. Findings affirm the positive effect of safety perception on all TPB constructs. Refund credibility, on the other hand, only predicts SN and PBC. It also presents the positive influence of all Theory of Planned Behavior variables on Brand Credibility. Finally, only brand credibility is found to influence booking intention significantly. The results of this study thus present valuable insights for the airline industry to consider. It poses an opportunity for airline marketers to regard the heavy influence of safety perception, refund the credibility of this pandemic, and manage the value of social groups and resources to brand perception. More importantly, this study presents the significant role of Brand Credibility in driving booking intention amid the pandemic, presenting a positive outlook for the overall airline industry to recover from the financial impact of COVID-19. Future studies may use a cross-airline analysis or cross-country analysis to broaden the perspective on the impact of the COVID-19 pandemic on the booking intention of travelers.

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A Service Feasibility Study of MedDash: An Android Mobile Application to order Ethical Medicines in Indonesia

Jerry Go, Marcial Lopez, Alyssa Talao, & Bianca Bata / Read Full Journal

Keywords

Pharmacies/Drugstores, Online platform, Mobile Application, COVID-19, Indonesia

Abstract

The influence behind the concept of the MedDash, an application designed to help drugstore units, is the ongoing COVID-19 pandemic that has disrupted almost all aspects of life, including how people access goods. While Indonesia's most prominent delivery hailing applications garnered triple revenue with an estimate of $500 million collectively on the second and third quarter of the pandemic as home deliveries have been viewed as a solution to attend to the needs of families and senior citizens brought by the COVID-19 pandemic (Unnikrishnan, A., & Figliozzi, M. A.,2020). Given this situation, the proponents came up with MedDash, an Android mobile application. The platform aims to give drugstores an online avenue to sell their products, such as medicine and other essential medical equipment, and help them generate additional sales during and after the pandemic, and simplify control in one place. The primary targets on the list are the retail pharmacy companies in Jakarta, while the secondary target markets are medical clinics and hospitals with drugstore units. The framework used for the study is Porter's Five to understand the forces that shape the competition within an industry. The Porter's Five can help MedDash adjust its strategy to suit its competitive environment and yield gains that sustain the business.

Additionally, the service blueprint is used to portray how the business model works and show the flow of the business operations. It can visually help the proponents and readers clarify how the components included in the blueprint interact. Also, it can point out the possible sources of dissatisfaction within a service experience. To check whether the service is suitable for the target market, the researchers conducted a market demand analysis to identify if there is a promising market that is profitable and worth venturing in, calculated the projected sales of a prospective client, and held a focus group discussion with a group of individuals working in the pharmaceutical industry.

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Organizational Commitment Mediating SHRM Practices and Organizational Performance Relationship

Ellaine Joy Guyo-Eusebio / Read Full Journal

Keywords

organizational commitment, organizational performance, SHRM practices

Abstract

This paper studies the role of organizational Commitment on HRM bundles (skill-enhancing practices, motivation-enhancing practices, and opportunity-enhancing practices) and organizational performance relationships. The respondents (n = 406) were the regular or permanent employees of Philippine-based organizations. The results showed that organizational commitment fully mediates the relationship between skill-enhancing practices and organizational performance. On the other hand, it partially mediates the relationship between motivationenhancing procedures and organizational performance and the association between opportunityenhancing practices and organizational performance. Managers should promote skill-enhancing, motivation-enhancing, and opportunity-enhancing practices in their organization's HR strategy. This allows employees to demonstrate higher levels of organizational commitment, which contributes to improved organizational performance.