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Central Asian Economic Review

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No 2 (2019)
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BUSINESS AND CORPORATE MANAGEMENT

9-21 518
Abstract

Due to thecomplexity in the current work environment it is very important gor employees to extend the limitsof their formal job descriptions in order to work cooperatively with colleagues. Therefore, using the resources that already exists in the organizations is very crucial. Valuable knowledge may allocate in various organizational divisions and locations, and the ability to recover from failures thus depends on efficient knowledge sharing process. This paper attempts to analyze the effects of socially responsible HR practices on knowledge sharing bevaviour through the core construct of psycologycal capital7 About 25 papers were review and 240 questionnaires were distributed to respondents. Research population was comprised of employees from large industrial companies on the «Top 300» companies in Kazakhstani companies that were ranked be their market capitalization. The ranking list published by National Business Journal in 2015.

22-33 376
Abstract

Purpose – the purpose of the study is to investigate the growth factors of industrial production in Kazakhstan, by building the production functions of Cobb-Douglas, J. Tinbergen and R. Solow, to give an economic interpretation of the obtained parameters. To determine and analyze in dynamics the indicators of average and marginal efficiency, the rate of substitution of resources. Make a conclusion about the efficiency of resource use and determine the type of economic growth during the analyzed period.
Methodology – the methodological basis of the research is made up by the main provisions of the theory of production, the results of theoretical and applied research on the problems of constructing economic and mathematical models and their effective use in order to maximize profits and reduce costs. The study used mathematical methods as the most important tool to uncover quantitative relationships, to determine on this basis the degree of influence of factors on the final result of production activities, to control the production process in accordance with the obtained quantitative characteristics.
Originality/value – the constructed production functions are linearly homogeneous and show constant efficiency with an increase in the factors of industrial production, which is typical for extensive type of economic growth.
The average and marginal efficiency of the use of labor resources was significantly higher than the fixed capital, which indicates the importance of this factor for the growth of industrial production in Kazakhstan. This statement is objective in the framework of existing technologies and quality characteristics of resources.
Findings – the assessment of adequacy has shown that the Cobb-Douglas model and the J. Tinbergen model most accurately approximate the initial data. The constructed models are classical; reflect the operation of economic laws, have an objective nature, and characterize stable cause-and-effect relationships. The results obtained in the study can be used to analyze the development of industry in Kazakhstan, to predict the volume of industrial production, depending on changes in the costs of resources used.

34-44 236
Abstract

Purpose – To reveal the methods of study of environmental factors in the activities of the industrial enterprise.
As a result of the study of environmental factors, to make a forecast of the volume of industrial production in Kazakhstan. Forecasting and analysis of environmental factors, the study of their influence on the activity of the industrial enterprise.
Methodology – among them are theoretical analysis and generalization, comparative and juridical, logical, modeling. Applied methods of statistical and correlation - regression analysis.
Originality – This article deals with the methodology for studying the influence of environmental factors on enterprise activity. Any enterprise functions in a particular environment. To maintain competitiveness, the manager must direct economic activity of the enterprise for adaptation to changes in the external environment.
For this purpose, the author presents the research-based methods of analyzing and forecasting the impact of environmental factors on the activity of the industrial enterprise. To assess the impact of the existing links between industrial output and ranks of the factors is done by statistical analysis, i.e. correlation and regression method.
Findings – The result of factor analysis of the volume of production of industrial sector of the Republic of Kazakhstan defined the forecast parameters which layout in the volume of production.

45-55 372
Abstract

Research objective – to Study the applied models of management of city agglomerations existing in the Republic of Kazakhstan, to develop suggestions for improvement of a control system of agglomerations.
Research methodology – When writing article the method of the system analysis, analytical and statistical methods of a research were used.
The originality/value of work – on the basis of the carried-out analysis is proved need of search of more effective model, than the existing contractual model of management of the city agglomerations including more than three hundred settlements entering, for example, the Shymkent agglomeration.
Results of a research – Are revealed the factors interfering effective development of agglomerations, in particular, underdevelopment of the announced innovative centers as kernels of economic development of agglomeration.

56-68 388
Abstract

The aim of the study is a scientific substantiation of the ways and mechanisms for the development of social responsibility of business in the regions of Kazakhstan in the context of the specifics and level of their socioeconomic development. Achieving this goal required solving a number of research tasks: identifying the stages of development of corporate social responsibility of business in Kazakhstan in the context of the specific development of the domestic business sector; consideration of the mechanism of interaction between business and government in solving the problems of regional economic systems; analysis of the practices of interaction between government, business and society on the example of domestic business structures.
Methodology - When developing the research topic, the methods of system, comparative and statistical analysis, the method of expert assessments were used. The expert survey, the analysis of documents, the secondary analysis of sociological studies were used as empirical research methods.
Conclusions - The domestic model of social responsibility has a significant political component, the main interaction in the field of CSR is carried out along the lines of «business power». Corporate social responsibility in Kazakhstan is based on informal and often non-transparent rules of interaction between the state and big business. At the same time, in the interaction of government and business, there is already a tendency towards institutionalization of relations, towards a transition from a policy of bargaining to a mutually beneficial partnership, for the time being mainly at the regional level. Understanding of social responsibility as a synonym for charity, which is often an informal social obligation for domestic business, is quite popular. In the area of CSR, each company is in search of its own balance between business interests, market challenges, public expectations and government requests.

GOVERNMENT REGULATION AND REGIONAL ECONOMICS

69-77 296
Abstract

Purpose – The main purpose of this scientific article is to analyze the state regulation of the production of demand in the markets of competitive products of agriculture in the Republic of Kazakhstan.
Methodolog – The methodological basis of this scientific article is the works of domestic and foreign scientists in the field of competitiveness of agriculture in Kazakhstan and in the world economy.
Originality/value – At the present stage of development of the agricultural sector, the most important task is to increase the competitiveness of products in the domestic and foreign food markets.
Finding – The main directions of improving the competitiveness of the agricultural economy are its transfer to an innovative type of development, the implementation of targeted policy by the state, strengthening the role of the state in the development and support of this important area, improving the scientific and human resources of the AIC of the country, improving the efficiency of land use, labor, material and financial resources of the village, import substitution of food.

78-89 574
Abstract

The purpose of the study – is to analyze and assess the causes of the gap between the quality of accommodation facilities in Kazakhstan and the needs of tourists.
Methodology - the study was conducted using system, functional and statistical analysis, graphical and tabular methods.
Problem statement – the existing level of quantitative and qualitative parameters of hotel services is characterized by low customer satisfaction with the availability and comfort of accommodation in the tourist infrastructure.
Originality / value – The author assessed the existence of a gap in the condition and quality of hotel services and customer needs. The weaknesses of the hotel infrastructure of the tourist industry in the country, which do not allow to move to a qualitatively new level, corresponding to international quality standards and contributing to the growth of tourist flow, are revealed.
Conclusions – The results of the study showed that at present there is a significant gap between the requirements of international standards and the supply of hotel services in Kazakhstan. The country has low rates of competitiveness in the quality of hotel services, despite the high potential available.
The main problems in the hotel sector of the tourism industry that impede a country's competitiveness are the dominance of uncategorized accommodation – over half of the country's hotels, whose quality of service is extremely low, down to the lack of basic amenities; outdated material and technical base and equipment of hotels, especially in the regions; poor information equipment and lack of automated control systems; the high level of prices for hotel services, the discrepancy between price and quality; non-flexible pricing policy of hotels; preferential orientation on the development of the 5-star sector and the accommodation of tourists arriving for business and professional purposes; lack of attention to the needs and demands of mass tourists; lack of service quality standards in new types of placements.
Improving the competitiveness of Kazakhstan in world tourism can be facilitated by highlighting the quality of services, services and comfort of accommodation as a priority.

90-102 263
Abstract

Purpose - the aim of the study is to reveal the demographic potential of the region, to show the political and economic conditions of modernization of the social sphere in the region. Analyzed the main socio – economic indicators of the region. Identified the positive and negative socio-economic effects of the development of the oil and gas industry in the region.
Methodology - the article uses well-known research methods: systematization of data, comparative and logical analysis, generalization, and statistical analysis of the dynamics of social indicators. Private methods of economic knowledge: economic and statistical groups, comparative method, analogies, mathematical statistics, economic and mathematical, etc.
Originality / value at present, the modernization of all spheres of life of the society is carried out rapidly, and such as the introduction of new economic and management technologies in order to develop an innovative economy, the improvement of the law enforcement system, various reforms in the field of education, health care, pensions. The main objective of these reforms is to improve the quality of life of the population of our state and the development of its capabilities.
Findings - the analysis of demographic indicators showed that despite the annual growth, the proportion of the population of Mangystau is distributed unevenly across the region, which is predetermined by the cumulative effect of all factors: natural, demographic, economic, cultural, etc. Increase in the level of housing creates a significant multiplier socio-economic effect. It is also necessary to create the necessary conditions for the modernization of the social sphere by (assistance in employment, modernization of social infrastructure, modernization of wireless communication technology, etc.).

102-112 4583
Abstract

Purpose - Consider the principles of building modern concepts of public administration and their possible application on the terms of Kazakhstan.
Methodology - The study was conducted using the comparison method, i.e. a comparison was made of the concepts of New Public Management and Good Governance. Also methods of observation, analysis and comparison were used.
Originality/value - The author described the modern concepts of public administration, analyzed the experience of various countries and evaluated the application of the principles of “Good Governance” in public administration in Kazakhstan.
Findings - The results of the study showed that one of the effective mechanisms of public administration is the interaction between the state and society, on whose foundation the concept of Good Governance is built.
Evaluation of the principles of this model to the conditions of Kazakhstan showed that today the conditions for the implementation of this concept are not formed in Kazakhstan, but there is a platform for its implementation - it is an electronic government, and if it is used effectively, it is possible to implement the key principle of the concept - citizen participation making.

113-121 512
Abstract

Purpose –This article is devoted to international business development issues taking into considerations the electric industry in Myanmar.
Methodology - The primary research methodology of this paper is based on conducting comparative and systematic analyses, causes and consequences analysis, methods of statistic grouping and expert assessment. It also implemented risk management analysis and market analysis in terms of the electric industry in Myanmar and ASEAN.
Originality/Value - Myanmar, previously known as Burma, is the second-largest country in South East Asia with a strategic geographic location bordering India, China, Thailand, Laos and Bangladesh having many contemporary attractive competitive advantages for international business development. The given research is studied the electric industry in the context of analysis of two big electric companies – ‘Thai Yazaki Electric’ (TYE) and ‘Peace Myanmar Electric Holding’ Company, operating both in Myanmar and ASEAN community. Thus, this paper presents the most contemporary analytical review of this current economic situation based on the latest data of 2016-2018.
Findings –It has been conducted the country’s macro-analysis, as well as micro-analysis of Myanmar’s cable and wire market including external and internal business environmental aspects. It has been studied the entry modes of the considered companies. On the basis of risk management methods, it is carried out the risk identification and risk assessment, and strategic risk management proposals are presented. Based on the current market review and strategic approaches to the competitiveness by M. Porter, it is revealed the positioning of companies and competitive advantages for the electric power industry within the domestic and foreign markets. Moreover, it is proposed the recommendations to accelerate the development of international business in the given industry.

122-128 755
Abstract

The purpose – the main purpose is analyzing the problems that impede the modernization of the economy of Western Kazakhstan and assess the innovative potential of the region as a factor in the development of the region.
Methodology – the methods of economic analysis were used in order to identify the innovative potential of the region.
Originality / value – alternatives and approaches are proposed to improve the region's economic and innovative potential.
Findings – to reduce economic risks and develop investment potential, it is necessary to increase the level of economic diversification through the development of areas adjacent to the oil and gas industry, such as engineering and the chemical industry, as well as the construction sector and services and trade.

COMPETITIVENESS OF NATIONAL ECONOMY

129-139 464
Abstract

Purpose – to form the main directions of economic development, the development of proposals to ensure the growth of the country's competitiveness, allowing to increase the stability and reliability of the national economy as a whole. To achieve this goal the indicators of competitiveness of the country, the main macroeconomic indicators of Kazakhstan, the value of the subsistence minimum, the dynamics and level of inflation in the country, the indicators of foreign trade of the Republic of Kazakhstan are considered.
Methodology - methods of expert evaluation, comparison, analysis, synthesis and statistical methods were used as research methods. The involvement of statistical data and analytical materials is designed to ensure the representativeness of the empirical base of the study.
Originality - the authors conducted a detailed analysis of the economic development of the Republic of Kazakhstan, which allowed to determine the direction of further development of the economy in order to ensure the competitiveness of the country.
Findings – the analysis allowed to form the main directions of further development of the country's economy: modernization of priority sectors on the basis of the cluster approach, the development in the regions of industrial towns and a network of special and innovative business zones, the formation of fundamentally new mechanisms of regulation and financing of innovation, the development of the legislative framework for the creation of technology parks and high-tech zones, the entire infrastructure of the national innovation system.

139-148 496
Abstract

The article discusses the current state of agricultural production development and agricultural products marketing. At the same time, an assessment of the agrarian policy pursued is given, recommendations are made to solve the problems of agricultural production and the processing industry, and to improve agriculture in technical support.

148-157 1443
Abstract

Purpose – The primary goal of the research is to analyze the current state of the dairy industry in Kazakhstan and identify the factors influencing its development.
Methodology – Various methods were used: economic and statistical method - in the current state of milk production and processing analysis, abstract-logical and comparative - in identification of factors affecting the production of dairy products and the quality of raw materials used by milk processing enterprises, monographic, etc.
Originality/value – The author identified barriers for the potential development of the dairy industry in Kazakhstan, from milk production to industrial processing. The results of the research can be applied in documents of state bodies, as well as be useful for business entities engaged in milk production and processing.
Findings – The research identified factors, that have a deterrent effect on the development of milk production and processing in Kazakhstan and determined directions of its strategic development.

157-172 262
Abstract

This research paper is aiming to explain the role of innovation in agriculture sector in terms of in increasing its productivity.
Methodological parts of the research paper consist of several methods such as comparison of socio – economic data, regression, correlation and trend analysis.
Originality/value – The value of the research is that the interdependence of innovation and productivity is proved that depends on time interval whether is happens in short run or long run, because of fluctuation in agriculture sector development.
Finding – Results of the research are based on multiplicative effect of considering combination of innovation in agriculture and its impact on productivity of agriculture that leads to develop strong agricultural cooperation in Kazakhstan, as well as increasing funding for innovation in sector of economy, significantly emphasize productivity of farmers in livestock production.

172-181 254
Abstract

Purpose – is to analyze the state of the higher education sector, summarize and study the world experience of the process of transition of universities to a new type - an entrepreneurial university.
Methodology – the study was conducted using such methods as: abstract - logical and comparative analysis, the method of description and generalization. The sources of research were theoretical and analytical articles, works of Kazakhstan and foreign authors, which deal with issues of higher education and the concept of TRIPLE HELIX (hereinafter referred to as the «triple helix»).
Originality/value – the authors present the main problems and trends in the development of higher education, in the context of the formation of a new type of development of universities - entrepreneurial universities, synergetic cooperation between the players of the «triple helix»: state, education and business.
Findings – in our opinion, a number of consistent government initiatives and fundamental institutional changes may be required to implement working mechanisms for the commercialization of knowledge and technology transfer, to encourage the creation of innovation infrastructure, business universities and regional innovation clusters. Achieving sustainable change remains a fundamental challenge.

INVESTMENT AND FINANCE

182-191 738
Abstract

Purpose of the study is to consider the features of mergers and acquisitions of commercial banks in Kazakhstan, to analyze the causes of mergers and acquisitions in the context of destabilization of the banking sector.
Methodology - in this study was used general scientific and special research methods, including methods of system analysis and synthesis, theoretical generalization, and scientific abstraction.
Originality / value - the nature, purpose, causes and international practice of consolidation in the banking sector have been studied, the main forms have been identified and features of mergers and acquisitions in Kazakhstan, its socio-economic consequences have been identified.
Conclusions - the influence of the banking sector on the development of the national economy remains extremely low; the main directions for increasing the role of banks should be: consolidation of banks, improving the quality and effectiveness of government regulation and supervision, improving risk management and corporate governance.

192-199 229
Abstract

Purpose – In the context of globalization of the economy, providing economic entities with effective methods of double international taxation.
Methodology – The theoretical and methodological basis of the methodological research is based on the research of domestic and scientists in the theory and practice of double taxation in the development of international relations. The article uses the methods of comparative economic analysis, as well as methods of expert evaluation on the basis of legislative acts.
Originality/value – The study of taxation at the international level proposes a system of methods for eliminating double taxation, a system of tools necessary for its implementation. The development of international law is proposed to reduce the negative impact of international double taxation.
Findings – The essence of this work is to improve the tax conventions, which will be sufficient to protect the interests of investors in order to improve the investment climate of any state.

200-213 367
Abstract

Purpose – The economic growth of Kazakhstan requires that a wide range of business entities has available funding sources. The main sources of business financing are the banking sector and the stock market. The aim of the work is to identify predictors of the existing problems of the banking sector of the Republic of Kazakhstan as the main professional participant of the stock market and on this basis to identify some possible ways to enhance the development of the national stock market.
Methodology – In the process of research, general methods of scientific knowledge were used, such as analysis, synthesis, induction and deduction, econometric research methods, including correlation analysis.
Originality / value – Based on the study of the characteristics of the current state of the Kazakhstan banking sector (professional stock market participant), its analysis was conducted. Based on the analysis, internal factors, that multiply the impact of negative phenomena in the banking sector on the financial and real sectors of the economy, are identified.
Findings – The authors found that: the banking sector is ineffective in the redistribution of capital flows between sectors of the economy; there is a close feedback between the level of depth of financial relations and non-performing loans; imbalances in lending to the economy of Kazakhstan increased the imbalance of the economy, as well as strengthened inflationary processes; a correlation analysis showed that inflation in Kazakhstan is non-monetary in nature; in modern conditions it is possible to further enhance the development of the domestic stock market, etc.



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ISSN 2789-4398 (Print)
ISSN 2789-4401 (Online)