Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
Javier Cifuentes-Faura, University of Murcia
Inventory management plays a pivotal role in modern business operations, impacting operational efficiencies, financial security, and competitive advantages. This essay explores the multidimensional field of inventory management, delving into seminal research articles. It shows how accounting methods and strategic decision-making interact, shaping operational pathways. Operations research guides inventory management strategies' effectiveness assessment. Creating a culture of continuous improvement based on empirical observations is equally crucial. Innovations, like structured Markov Decision Processes (MDPs) with convex cost functions, bridge theory and real-world applications. The essay also examines forecasting errors' implications when relying too heavily on predictions, highlighting optimal control techniques as resilience tools in volatile environments. Contemporary inventory strategies balance precision and adaptability, focusing on supply/demand synchronization. Empirical case studies exemplify efficient responses to market changes. Variability management in inventory frameworks offers insights into resource allocation across diverse product lines. Lastly, the essay deconstructs the strategic implications of asymmetric sales changes on inventory strategies. In a globalized, technologically dynamic age with shifting market forces, prudent inventory management is imperative. This essay showcases its significance with empirical wisdom and academic rigor, illuminating quantitative precision, strategic insight, and operational excellence in modern business environments.
The unemployment rate is an important economic indicator that measures the proportion of the unemployed labor force. The natural unemployment rate is the normal unemployment rate based on economic fluctuations. Analyze the unemployment rate to determine its root causes. By forecasting the unemployment rate, people can obtain an estimate of the future conditions of the labor market. Not only can the government make policy adjustments based on this, people can use this prediction to make wise career choices and planning, or to learn the necessary skills. The risk of unemployment is closely related to everyone, especially now during the economic downturn due to the impact of global catastrophic events such as COVID-19. Understanding the unemployment rate is an important part of analyzing the characteristics of the current labor market. If we can make more connections about the labor market and even make rough predictions about future trends, college students will be able to make future career choices that are more suitable for them. This study predicts the unemployment rate in the next nine years based on China's unemployment rate from 2012 to 2022, which will fluctuate within a fixed range. The government can increase spending (such as on education) and use monetary and finance polices to ensure that unemployment does not exceed forecasts.
Governments and people of many countries have paid more attention to the action of subsidizing people in distressed areas in all aspects. However, many donated resources cannot be accurately allocated to the poor who need them most, which will lead to waste of resources and inefficiency of poverty alleviation. This paper considers the perspective of poverty alleviation through education, and focuses on the problem of imprecise assignment of donated books. This problem is an important issue that needs to be solved immediately, as education for students in less developed areas is a very essential part of helping them get rid of poverty. Reading appropriate books can help improve their cognitive ability and make students develop in a better direction, inspire them to take the initiative to develop in a better direction. This paper applies the Top Trading Cycles algorithm proposed by Shapley and Scarf in 1974 to solve this problem, which can enable students to rematch the donated books they think are useless and exchange them for more suitable books.
This paper employs a systematic literature review approach to select and summarize 12 papers published within the past five years. It critically assesses the limitations of Modern Portfolio Theory (MPT), including its reliance on the assumptions of a strong, efficient market, rational investor behaviour, and excessive dependence on historical data. Furthermore, the paper explores how emerging theories such as Behavioral Portfolio Theory (BPT) and Behavioral Finance offer remedies for the deficiencies in traditional investment theories. Through a comprehensive review of relevant literature, the study delves into the strengths and applications of these theories and investigates whether they can offer more rational and adaptable investment strategies for investors and decision-makers. The authors assert that the emergence of these emerging theories expands the range of choices and possibilities within the field of finance, potentially assisting investors in better navigating market uncertainties and complexities while enhancing the effectiveness of investment decisions. Consequently, this research underscores the significance of considering emerging theories in portfolio construction to adapt to the ever-changing financial landscape.
Stocks, as a security in economic life and widely chosen by investors. The decision-making process of whether to allocate capital to stocks or not necessitates the employment of analytical methodologies, prominently including the assessment. This study employed, the 2-stage Dividend Discount Model, a classic model in stock price evaluations. Mitsubishi Heavy Industries, Ltd. (MHI) was selected as an example, on the basis of fundamental financial data and fundamental market information, the case study will determine the intrinsic value of MHI's shares. The analysis proffers that MHI’s stock exhibits an undervaluation, warranting investors to consider a strategic position of acquisition and retention until equity valuations converge or above the intrinsic worth. In addition, the study simultaneously discusses the issues that need to be taken into account when using the model and analyses the problems with the model itself. The research also emphasizes the need to consider these findings alongside other factors, and additional valuation models for more accurate investment decision-making.
Portfolio Theory is commonly used in funds management because it lowers risk and maximises return rate. As the research progresses, the big gap in its efficiency in the Chinese stock market must be filled. Therefore, the main topic for this paper is the Portfolio Theory's application in the Chinese Stock Market and what improvements could be made. This research method is as follows: 1) collecting relative papers through databases after filtering, 2) classifying papers' purpose and results, and 3) analysing their conclusions and summarising the current state of Portfolio Theory in China. This paper discovers the increasing suitableness of the Portfolio Theory in the Chinese stock market and derives several methods for improvements, such as taking risk attitudes, stock preferences, and skewness into consideration. In addition, variation of asset choices during crises such as COVID-19 is considered to optimise the portfolio. In conclusion, the Chinese stock market still shows immaturity in many aspects. For example, it is suggested that governments make policies to keep companies' cash flow transparent.
The Capital Asset Pricing Model (CAPM), a conventional financial model, has undergone extensive testing. This research critically examines the limitations of CAPM from four distinct perspectives and offers alternative frameworks. Specifically, this paper delves into these issues through the lens of the Conditional CAPM. Traditionally, CAPM has been viewed as a simplistic single-factor model. The limitations addressed here encompass temporal constraints, uniform expectations, the role of consumption factors, and underlying assumptions of rationality. This study employs a systematic literature review methodology to conduct its analysis. Through carefully selecting samples, our investigation reveals a correlation between the number of papers published and the years in question. Furthermore, certain keywords surface more frequently, indicating emerging phenomena and trends. However, our primary focus remains aligned with the research inquiry, leading us to select 12 samples for in-depth exploration. Ultimately, this paper argues that the Intertemporal CAPM (ICAPM) may ameliorate the time-related constraints inherent in traditional CAPM. Additionally, the Liquidity CAPM (LCAPM) factors in liquidity considerations, offering improvements to CAPM. The Consumption CAPM (CCAPM) augments CAPM's comprehensiveness by introducing consumption factors. Furthermore, the alpha-neutral CAPM and the sentiment-scaled model both acknowledge the influence of investor behaviour on asset pricing.
The pet industry has experienced rapid global growth in recent years, with prominence in the Chinese market. Notably, on August 16, 2023, Gambol Pet Group Co., Ltd., one of the leading companies in this sector, successfully debuted on the A-share market, generating substantial interest from the public. This development has positioned Gambol Pet Group Co. as an appealing investment opportunity, prompting extensive discourse among investors. This paper conducts a comprehensive analysis of Gambol Pet Group Co., Ltd. to enhance investor understanding and facilitate informed investment decisions. The research encompasses an evaluation of the company's financial performance, a depiction of its business landscape, and an exploration of both internal and external risks. Employing the Free Cash of Equity method (FEFE), this study endeavors to provide a sound assessment of the intrinsic value of Gambol Pet Group Co., Ltd. The findings of this analysis reveal a generally stable trajectory in the price per share of the company. This outcome suggests that investors may find Gambol Pet Group Co., Ltd. an attractive option for potential investment.
Net present value method is one of the most commonly used evaluation methods in enterprise investment decision, which has great influence on the success of investment. Its research has important theoretical reference significance for enterprise investment decision. This article provides the current status of NPV in actual investment practice and decision making. This paper summarizes the similarities and differences of the definition of net present value from the related theories, concepts, formulas and economic significance. This paper further discusses the advantages and limitations of its application in theory and practice, and draws a relatively widely accepted conclusion about the advantages and limitations of net present value by elaborating the viewpoints of many scholars. Then, the potential optimization measures of net present value method are introduced. Finally, on the basis of summarizing the main viewpoints and contents of the existing research, the possible future research trends and directions of NPV are put forward.
Since the family planning policy was put into effect, the aging of the China’s population has become more and more serious, which has hindered China’s economic and social development. In order to alleviate or even change this trend, China has decided to encourage childbirth and has successively issued the universal two-child policy and Three-child policy. This article adopts literature research and case analysis methods to study the effect of the adjustment of fertility policies on China’s national economy and society from six aspects. At the same time, the influence of Japan’s fertility policy on China’s fertility policy in response to its “Sub-replacement fertility” problem, which has similar population issues to China, was analyzed. Finally, based on the analysis of the changes brought about by the adjustment of the fertility policy in China, several suggestions were put forward for the adjustment of China’s fertility policy based on future population trends, providing a reference for the formulation of China’s fertility policy.
With the increasing impact of climate change and resource depletion, society is confronted with significant environmental and social challenges, which have made sustainable development a focal point for the entire community. ESG, as a vital metric for measuring a company’s sustainable development capabilities. The development of ESG evaluation system can promote enterprises to pay more attention to ESG, thus contributing to the sustainable development of society and environment. Furthermore, the development of ESG practices has the potential to positively influence a company’s financial performance, thereby serving as a driving force for economic advancement. A sample of 342 listed companies is analyzed using descriptive statistics and OLS regression analysis. The results show that ESG performance has no significant impact on the financial performance of enterprises, and it can neither help enterprises obtain more profits nor make enterprises bear more financial pressure. Based on these findings, the paper suggests the following recommendations: (1) Enhance the management and integration of ESG evaluation systems. (2) Foster increased societal attention towards the ESG performance of companies.
This research explores monopolistic behavior and anti-monopoly strategies within the soft drinks industry, focusing on a comparative analysis of Coca-Cola and Pepsi. The study highlights how duopoly dynamics impact pricing and competitiveness in the market. It delves into historical competition between these industry giants, particularly during World War II, shedding light on Coca-Cola’s strategic dominance. The paper emphasizes the influence of brand promotion on pricing, revealing the potential for higher costs in the industry. Additionally, it underscores the significance of examining the effects of duopoly on cola drink prices for antitrust considerations. The research offers practical suggestions to address these challenges. Recommendations include fostering product innovation, building strong brands, establishing strategic partnerships, implementing pricing strategies, and emphasizing cost control. These measures aim to enhance overall industry pricing and competitiveness. Moreover, the study addresses the difficulties newcomers face entering the soft drinks industry and suggests policy incentives, collaborative efforts, engagement with industry associations, and regional focus as solutions to mitigate barriers to entry. Lastly, the research advocates for regulatory oversight, competition promotion, consumer education, price transparency, diversified supply chains, and support for collaboration and innovation to safeguard consumer interests. These measures aim to maintain a fair and diverse soft drinks market.
Coca-Cola has always been passionate about effectively reaching and engaging more customers. As one of the world’s largest producers of non-alcoholic drinks, Coca-Cola’s robust, innovative, and transformative demographic segmentation and marketing strategy are the primary factors that have contributed to the company’s business success with young people and helped it grow sustainably across the globe and around the clock. Coca-Cola always keeps improving to meet the needs of everyone in the world. Although the demographic segmentation by age, affordability, and gender is already specific, clear, and direct, certain actions must be taken to address the new concerns of today’s teenagers’ healthy lifestyle change and sugar-free tendency based on the marketing strategy of product, pricing, and promotion, including its vintage bottle, classic font, specialized logo, localized positioning, and social media. Coca-Cola should also make more efforts to create new solutions, for example, availability of sugar-free products, communication with customers, product placement, and package size reduction, to meet the rising challenges of the changing beliefs of youngsters globally.
As the Milk Tea market significantly improved, competition between new Milk Tea brands started to intensify. Humanity's stubborn human nature refuses conscious and blatant advertisement as they do not want to be forced, leading to the more detailed and diverse "side-way" marketing method-- Psychological marketing—one of the best and most efficient categories of subconscious advertisement. The psychological approach to consumers is a wise choice because of its hidden advertising that suits perfectly rebellious human nature. Through analyzing Mixue Tea's current marketing situation in the SWOT method and its psychological marketing in online influences and human subconsciousness categories, the research finds out how Mixue Tea successfully has a stable role in the Milk Tea market by setting the brand's updating path strictly based on Mixue Tea's targeted population's expectations and situation but failed to realize its problem of the brand's root which is its quality. Lastly, additional advice for Mixue Tea is explained in the basics of Mixue Tea's product weakness, inflexibility of the ordering system, and unsuitable brand personality.
The study focuses on the consumption behavior of teenagers’ live online shopping, taking Taobao platform as the research sample, and analyzing the development status of Taobao live platform to analyze and summarize the factors influencing teenagers’ impulsive buying. The study shows that the factors influencing teenagers’ live impulsive buying are characterized by the three-dimensional feature of “service-price-experience”.(1)The immaturity of teenagers’ ability to discriminate is easily influenced by external factors, which promotes impulsive buying; teenagers’ blindness, comparison and herd-like consumption psychology also induces impulsive buying.(2)Live platform quality after-sales service and risk monitoring can enhance the youth’s sense of trust in consumption, impulsive buying has a promotional effect; Live broadcast process anchor professional services and emotional interaction also has a promotional effect on the youth’s impulsive buying.(3)Price is the primary factor to stimulate teenagers’ impulsive buying, and live shopping can relatively reduce the shipping cost and bring commodity price discounts.(4)The development and application of new technology and new functions can enhance the experience and fun of teenagers’ live shopping, improve their sense of identification with commodities, and have a promoting effect on impulsive buying.
This research takes the Chinese coffee chain brand Luckin as an example to explore the impact of consumer psychology and behavior on marketing strategies. It studies how Luckin, a coffee brand founded in 2017, has made more than 10,000 stores throughout the country in a short period and can stand out from the competition with international coffee chains such as Starbucks, Costa, and so on. This paper will generally explain the critical attributes of consumer psychology and consumer behavior in marketing. The 7Ps of the marketing mix (product, price, promotion, place, people, processes, physical evidence) will be used for the main analysis and discussion to reveal how consumer needs, psychological appeals, and behavioral habits play a role in the coffee marketing elements. Moreover, using the data collected from the questionnaire, Luckin Coffee is evaluated based on the current situation, and through the feedback of the data, it is suggested that some aspects can be improved in terms of marketing.
Stock price prediction holds significant importance in the financial sector. It not only aids investors in making informed buy and sell decisions to achieve potential profits but also supports enterprises and financial institutions in risk assessment and management. This study utilized the stock prices of GM stocks spanning from 2013 to 2023 as dataset, with the goal of predicting their closing prices. This paper carefully identifies the parameters in the three model and one indicator of RMSE outcomes were computed. Visualizations of the results of the three model predictions are also provided. After comparing the indicator of the three models, it is found that the RMSE for LSTM is the smallest, indicating that the LSTM outperforms the KNN and linear regression from the perspective of forecast accuracy. The research highlights the application of the machine learning algorithm of LSTM in the prediction of the prices of financial assets and its practical value in financial market analysis.
In order to address the financial demands of low-carbon development, the financial sector has developed green finance. It is a financing channel for the green economy. Green finance is helpful in maximizing resource allocation and fostering a transition to a low-carbon, environmentally friendly society. The rapid growth of green financing is advantageous for the promotion of high-quality economic development in light of the "dual-carbon" aim. Based on an examination of the current state of China's green finance growth, this study concludes that the laws and regulations governing green finance at the moment are not sound, the lack of effective incentive mechanisms for green finance, the lack of specialised talents, green product innovation is insufficient and other problems. Based on this, this paper proposes a path choice to help green finance improve economic development by improving the construction of laws and regulations, creating an efficient green financial incentive mechanism, and accelerating the diversification and upgrading of green products.
The anchoring bias is one of the most robust and widely researched psychological phenomenon that are constant across many domains of human judgment and decision making. Similarly, the area of personality has also been researched to a high degree of depth, with various of theories and models developed throughout time. With the recent growth in public awareness on personalities, more researches has been done on how personality explains characteristics and actions. Despite the prevalence of anchoring bias and personality, researches have only recently begun to investigate the relationships between the two and how it applies to various scenarios. This paper identifies the knowledge gap of the missing relationship between how personalities would affect real estate agents’ appraisal differently when anchoring bias is presented. This paper reviews past studies on both anchoring bias and personality, filling in the gap by using the big five personality model to categorize real estate agents and analyse their unique and common reactions to anchoring bias.
A significant number of individuals engage in the gaming sector due to its association with financial prosperity. The gambling sector has experienced significant growth, leading to a heightened interest among the general public in its wealth and prosperity. Casinos that generate annual revenues in the billions have demonstrated remarkable resilience in the face of economic downturns. This research paper aims to investigate a relatively obscure domain within the gaming industry. It will employ a combination of scholarly theoretical analysis and empirical research to examine various aspects, including game categorization, the mechanics of gaming machines, effective marketing strategies employed by casinos, and the interplay between perceptions of gambling, psychological profiles, and behavioral patterns. The paper additionally investigates the efficacy of doubling and continuous betting techniques and provides recommendations pertaining to the marketing, management, and regulation of the gaming business.