Journal of Nepalese Management and Research

Firm Specific Determinants of Stock Market Price of Nepalese Enterprises

Purna Man Shrestha — Sat, 31 Dec 2022 00:00:00 +0000

This paper aims to identify the firm-specific determinants of stock market price of Nepalese enterprises. For this purpose, this paper has used the unbalanced panel data of 47 firms listed in NEPSE for the period of 1994 to 2019. Breusch and Pagan Lagrangian multiplier test and Hausman test is used to select appropriate regression model. Both tests concluded that Fixed Effect model is appropriate for the given set of data. The result reveals that firm-specific factors play significant role to determine market price per share of Nepalese enterprises. Further, the result concludes that there is a significant positive influence of firm size [Ln (ME)], dividend per share (DPS) and earnings per share (EPS), and negative influence of return on equity (ROE), and dividend yield (DY) on market price per share of Nepalese enterprises. Similarly, an insignificant positive influence of book value per share (BVPS) and an insignificant negative of influence return on assets (ROA) on market price of share are observed.

Effects of Covid-19 in the Restaurant Industry of Kathmandu Valley

Bashu Dev Dhungel, Pitmbar Lamichhane — Sat, 31 Dec 2022 00:00:00 +0000

This study has been conducted to analyze the effects of COVID lockdown on restaurant business in Koteshwor area of Kathmandu. It has used primary data in order to meet the basic objectives of the research and used simple descriptive analysis as well as correlation analysis. This study has used multi-staged sampling and collected the data from 30 restaurants among the 32% in Mahadevsthan area of Koteshwor-32, Kathmandu. The result conformed that COVID-19 lockdown has had a devastating effect in the business of restaurant industry. There are some positive aspects like the cleanliness and hygiene are more taken care of these days. Furthermore, it has also found out that business of the restaurants was completely closed during the period of lockdown and they were facing loss. Even after the lockdown was lifted, the ratio between sales and profit has been seemed to decrease.

Trade off Between Military Expenditure and Fixed Capital Formation on Economic Growth: Panel Study of Some SAARC and ASEAN Countries

Dil Nath Dangal, Ramayan Prasad Gajurel — Sat, 31 Dec 2022 00:00:00 +0000

This paper intends to investigate the relationship between military expenditure and fixed capital formation on economic growth of some SAARC and ASEAN countries including Nepal with balanced yearly panel data of military expenditure (MILEX), gross fixed capital formation (GFCF) and constant GDP as the proxied for the variables of interest over the period of 2001 to 2020. The quantitative strategy is applied to establish the presumed relationship. The paper employs the cross-sectional dependency test, then panel generalized least square (GLS), fully modified ordinary least square (FMOLS), and finally Dumitrescu-Hurlin panel causality approaches. The CD test shows the cross-section dependency among the panel groups. The panel GLS reveals that there is positive relationship between both military expenditure and fixed capital formation on economic growth. However fixed capital formation is more crucial than military expenditure on economic growth. FMOLS suggests that military expenditure and fixed capital formation can promote economic growth but more by fixed capital formation. However, D-H panel causality does not support the view of casual relationship between military expenditure and fixed capital formation on economic growth. But there is unidirectional relationship between economic growth on explanatory variables and there is bidirectional causality between military expenditure and fixed capital formation. The stylized facts suggest to sampled countries that they need to focused on fixed capital formation with maintaining the minimal level of military to accelerate the growth. This paper has an attempt to fill the empirical gaps in Asian countries with Nepal. The updated panel data and comparative studies support to scientific communities cum policy makers of respective countries.

Banking Habit Determinants of Back Ward Residents of Urban Area

Amrit Kumar Sharma Gaire — Sat, 31 Dec 2022 00:00:00 +0000

Within this context, the objective of this paper is to understand the factors that influence the banking habit of the backward residents of urban area, in the light of tapping the financially excluded population in the main stream of banking transaction. The survey instrument was used to collect the information from 150 residents of the urban people from the back ward area, who have at least one bank account or are involved in any banking transactions in any financial institution. Regression analysis's findings indicate that the convenience of banking services, financial transaction security, and motivating factors are the three main elements that influence the banking habit.

Agricultural Modernization and Rural Development: Reference to Traditional Agriculture Transformation in Nepal

Bhupendra Bahadur Shahi — Sat, 31 Dec 2022 00:00:00 +0000

This study has aimed to analyze the process of agricultural modernization and rural development in Nepal that focused on the issue, the contribution of agricultural growth and rural development in the case of agriculture modernization. It is qualitative in nature based on secondary literatures such as theory of agriculture modernization and some relevant literatures of Nepalese economy were reviewed to analyze the level of agriculture modernization of Nepal; agriculture has significantly contributed in its national economy as one of the dominant sectors; the sector found not being transformed even the numbers of policy measures implementing for its modernization. Still the most of the Nepalese people depends upon traditional agriculture sector as their major source of income, struggling in a adverse situation in this sector both in economic growth and farm productivity. In the context of agriculture modernization, the country has brought various policy measures and programs before and after establishing democracy in 1990.Various policies and programs aimed, Nepal would go through the process of agricultural transformation even though, and the result found to be remained the same. It is happening because of the policy gap in the process of formulation and implementation; still most of the Nepali farmers are engaged in the traditional agriculture that is subsistence. There is also found the situation of high ratio of unemployment, underemployment, seasonal unemployment and disguised unemployment in the country. Thus, the country Nepal has probably found to be failing in the process of agriculture modernization and the ratio of economic growth contribution in the gross national economy has gradually been decreasing instead of being radical increase from a decade 2011 to 2021.

The Relationship between Bank Profitability and Earning Per Share A Study of Commercial Banks in Nepal

Kamal Kumar Khadka — Sat, 31 Dec 2022 00:00:00 +0000

This quantitative study seeks to evaluate the relationship between bank profitability and earning per share (EPS) in Nepal. The 200 observations data for the study was gathered from the financial statements of 10 sample commercial banks out of 27 working in Nepal during a five-year period, from 2016/17 to 2020/21. The type of data included panel data and it consisted of secondary sources. In order to determine the relationship between the two, Pearson correlation was used. The effect of banks’ profitability on earning per share (EPS) was analyzed by using multiple linear regressions. The central tendency of the variable was also investigated using descriptive analysis. The results indicated that there is positive relationship between dependent (EPS) and independent variable (ROA, ROE, & NPM). However, return on assets and net profit margin had an insignificant impact on earnings per share and significant impact of return on equity on earning per share. Further, the 59.90 % of the variation in earning per share is explained by the predictors like return on equity, return on assets and net profit margin. The remaining 40.10% of variations are explained by other factors than return on equity, return on assets and net profit margin. Finally, this paper shows new insights for policy makers to improve the financial performance and also helps to investors, and shareholders for take right decision on commercial banks in Nepal.

Stress Management in Job and its Impact on Employee Performance: A case of the Hotels and Restaurants in Surkhet Valley

Yashoda Thapa — Sat, 31 Dec 2022 00:00:00 +0000

The main objective of this paper was to study the causes of stress on the hotel and restaurant employees in Surkhet valley. In addition to this, it focuses on the techniques of stress management and its impact on employee performance. Descriptive research design was applied in this research and primary data was collected through the questionnaire, which includes the personal interview, mail questionnaire, telephone interview and Google Form. There were 150 respondents. among them 83 were from hotel and 67 were from restaurants. The finding of the study concluded that unhealthy working environment was the primary causes of the stress in hotel and restaurant industry. To overcome such stress majority of the respondents, prefer to listen music and this study also find that there is an inverse relationship between stress and the employee performance.

Skill Acquisition and Entrepreneurship Development: Evidence from Business Students

Bhupal Bikram Kathayat — Sat, 31 Dec 2022 00:00:00 +0000

Due to globalization, business education has evolved into a corresponding educational system to produce macrobiotic entrepreneurs with a high degree of independence. Besides that, some people object to business education, which surprisingly increases unemployment. Therefore, the present study was carried out to examine the impact of skill acquisition on entrepreneurship development. The quantitative research method, survey questionnaire, and convenient sampling technique were used in this study. A questionnaire-based survey was conducted among management students in the Birendranagar Municipality, Surkhet. By applying the formula prescribed by Almeda et al. (2010), 407 students were taken as the sample size. In the case of the questionnaire, two types of questions were formulated to collect demographic and variable-related responses from respondents. In this study, the researcher found that conceptual skills and technical skills have a positive and significant (CS: P-value 0.000 < 0.05; TS: P-value 0.000 < 0.05) impact on entrepreneurial development. Thus, the designed alternative hypotheses H1 and H3 were accepted. Similarly, the study found that human skills have no significant impact on entrepreneurship development (HS: P-value 0.144 > 0.05), which means that the designed alternative hypothesis H2 was rejected in this study. In addition, the present study offers valuable insights to consider on conceptual and technical skills development instruments to the students rather than human skills that foster entrepreneurial capabilities. More specifically, students, faculty members, researchers, and government agencies will benefit from the results of this study.