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Article
Publication date: 6 November 2017

Durga Prasad Gautam

Political economy research recognizes that the inflows of external financial resources help the governments enact market-oriented reforms. Since remittances have outpaced other…

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Abstract

Purpose

Political economy research recognizes that the inflows of external financial resources help the governments enact market-oriented reforms. Since remittances have outpaced other types of financial inflows in many countries, they can potentially increase the government’s incentive to implement regulatory reform that can contribute to business-friendly environment. This issue has long been overlooked by the literature on remittances. The purpose of this paper is to examine whether remittances promote business regulatory reform in the recipient countries.

Design/methodology/approach

This study uses balance of payments data on remittances for 114 countries during 2004-2012 period. Since remittances could be endogenous to business regulation, the identification strategy follows an instrumental variable approach. The author assesses the general stability of linear model estimates by fitting the beta regression model.

Findings

The results show that, while the increase in remittance inflows is associated with lower regulatory requirements for starting a business in the recipient economy, this association is stronger in developing countries than in high-income nations. Various sensitivity tests reinforce the robustness of these findings.

Originality/value

One of the most important yet overlooked aspects of remittances is that they can potentially shape the political will to enact regulatory reform for businesses. The incentives for the government to relax burdensome entry regulations tend to stem from potential gains associated with the formalization of remittances. This paper makes a first attempt at studying the link between remittances and the quality of entry regulation.

Details

Journal of Entrepreneurship and Public Policy, vol. 6 no. 3
Type: Research Article
ISSN: 2045-2101

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Case study
Publication date: 1 December 2020

Tulsi Jayakumar

To understand: – the demand and supply side challenges in launching a new product in sports. – Factors, which go into the making of a successful “new” sport. – The role of…

Abstract

Learning outcomes

To understand: – the demand and supply side challenges in launching a new product in sports. – Factors, which go into the making of a successful “new” sport. – The role of planning in sport management.

Case overview/synopsis

In July 2017, on the eve of Pro Kabaddi League (PKL) Season 5, kabaddi had emerged as one of India’s most important non-cricketing sport. PKL was India’s first men’s professional kabaddi league, introduced by Mashal Sports and Star India in 2014. Kabaddi was an indigenous sport, and India had an unbeaten international track record as world champions. Yet, the sport and its players had never received their due in India. In 2017, while kabaddi’s popularity had increased, leading to sponsorship opportunities, huge player bids, prize money and television viewership, all was not quite hunky-dory. A women’s kabaddi league introduced only the previous year had not been continued, despite an extended format in 2017. The audience profile also did not match that envisaged by Star. As a unique creator of sports content, Star was in an enviable position in India; and so was Kabaddi as a sport. How had Star created a new property around an indigenous sport with rural and rustic associations, transforming it into a snazzy, up-market sport within just three years, even while leagues involving other popular sports failed to create a mark? Could Star sustain this interest? How could kabaddi retain its “star” position within Star’s stable?

Complexity academic level

In an undergraduate or a postgraduate programme in business administration.

Supplementary materials

Teaching notes are available for educators only.

Subject code

CSS 11: Strategy.

Details

Emerald Emerging Markets Case Studies, vol. 10 no. 4
Type: Case Study
ISSN: 2045-0621

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