European Journal of Economics, Finance and Administrative Sciences

Issue 108
January, 2021

Management Control Systems in Microfinance Department: Study on UNRWA
Nasser Assaf, Anas Bashayreh, Mohammad Alqudah and Mohammad Jawabreh

The Microfinance term refers to the provision of financial services into different types of micro loans, insurance, and deposits for micro entrepreneurs and small projects owners. This paper will be highlighting the application of different control systems at Microfinance Department (MD) as part of the United Nations for Relief and Work Agency for Palestinian Refugees in the near east (UNRWA), and its importance to achieving its objectives in term of sustainability and social desired impacts.
However, it became a fact that tight control Systems are one of the most important elements to ensure the success of any Microfinance Institution (MFI), since there are many different potential risk areas that needs to be fully controlled and monitored effectively, to avoid its negative impacts.
Keywords: Management Control System, Microfinance institutions, United Nations for Relief and Work Agency (UNRWA), Jordan.

Global Sustainability & Tourism – What has the Triple Bottom Line got to do with it?
Scherl, Wolfgang Georg and Baumann, Bjoern

The concept of sustainability has a long and substantial history. Nowadays, it has developed to a center point of discussion surrounding several issues e.g. climate change, environmental damage, socio-cultural impacts and shifting ecosystems - together with losses of their biodiversity. Tourism has been proven a main contributor to these different developments, it appears necessary to think critically about incorporating adequate measures to mitigate disastrous issues arising from business proceedings in this realm.
In light of this topic, this paper attempts to recapitulate the background of the concept of sustainability and presents its meaningfulness for modern societies around the globe. Additionally, it introduces the triple bottom line model, which focuses on economics with the need for socio-cultural and environmental awareness and sensitivity. Afterwards, issues in sustainable tourism is discussed, in form of air pollution, plastic usage, waste production, fast consumption and cultural pollution, demonstrating their harmful impacts on local communities of both animals and humans as well as the significance for the business sector itself.
Furthermore, mass tourism alternatives are briefly discussed of how they have been changing the typical business model, and if they have an actual verifiable influence on the environmental impairment. Finally, the subject will be concluded through a comment based on the data compiled throughout the paper, which suggests that effective change will require a long-term strategy and fundamental changes with perspectives to consumer behaviors and business practice.

Amortised Cost in Statutory Financial Statements. Results of an Empirical Investigation and Analysis of the Legal Consequences of the Disapplication of this Valuation Criterion
Maria Silvia Avi, Moreno Mancin and Giacomo Vigato

Legislative Decree 139/2015 also extended to financial statements prepared following statutory regulations the valuation of receivables and payables using the amortised cost method, already provided for by IFRS accounting standards. The adoption of this criterion requires the preparer of the financial statements to follow a more sophisticated and complex procedure that requires the application of discounting techniques and the verification of the conditions underlying the receivable/debt (e.g. interest rate, commissions) compared to market conditions for similar transactions. The statutory regulations allow for the valuation of receivables at their estimated realizable value and payables at their extinguishing value if the non-application of amortized cost does not have "significant" effects on the company's economic and equity situation.
Considering the developments outlined above, the purpose of this contribution is to verify the application of amortised cost in the Italian context. In particular, starting from a sample of financial statements, it has been analysed whether and to what extent the amortised cost criterion has been applied in the years following that of first-time adoption, based on the results of similar research conducted by Sòstero and Agostini in 2018 (regarding the 2016 financial statements). The objective of the research is to test whether, concerning the first-time adoption financial statements: 1) the application of the amortised cost criterion has been extended; 2) the size of the company represents a significant variable in the adoption, or not, of this criterion; 3) the use of the relevance postulate, which allows the inapplication of amortised cost, is adopted correctly 4) what consequences could derive, in terms of invalidity of the financial statements, from the incorrect application of amortised cost.
Keywords: amortised cost, financial instruments, materiality, transaction costs, financial statements analisys, fair value, invalidation of financial reports.

Impact of Human Capital on Economic Growth in Egypt: An ARDL Approach
Reem Ahmed Mohamed, Aya Ismail Abd El-aziz, Haneen Nasser Ramadan, Mayar Hussien Abd El-sayed and Hebatalla Atef Emam

This paper attempts to investigate the impact of human capital on economic growth in Egypt by employing an ARDL model using annual data during the period from 1995 to 2018 for real GDP, government spending on health and on education and investment. The results display a positive insignificant relation between government spending on education and economic growth, while, a negative insignificant relationship between government spending on health and economic growth. These findings could be attributed to having low quality infrastructure, weak governance level, lack of enough capacity in Egypt to utilize the productivity of human capital efficiently, and the lack of consistent long time series for the incorporated variables.
Keywords: human capital, economic growth, Egypt, ARDL model
JEL Classification: E24, O4

The Evolution of Aviation. Leading Cases of Efficient Business Models
Ubaldo Comite, Federico de Andreis and Filippo Mattavelli

The aviation sector is changing rapidly. Identifying which business models can become more effective and efficient has been the subject of economic literature since market liberalization (deregulation) that took place firstly in the United States and then in the European skies from the late 1970s onwards.
The objective of this research is to identify a customer-focused business model that can respond to the competitiveness of this sector.
The method of research starts from a historical analysis of aviation that helps us to identify the dynamics of the modern sector.
Through the study of the recent market, the paper identifies the current business models - some positive and some unsuccessful - that characterize in particular the European aviation.
Finally, through the study of a leading case, the foundations are planning a research - from an organizational point of view - of a development and business model that can be defined as sufficiently competitive.
Keywords:Aviation, Business model, Organizational effectiveness, Strategies, Management, Competitiveness