HIGHLIGHTS
Professor Tam Appointed Dean of Business School (29 Apr)
Several newspapers including , Ming Pao, Sky Post and Ta Kung Po reported that Professor Kar Yan Tam has been appointed Dean of the HKUST Business School. These articles reported on Professor’s Tam academic background, and that he is a top-notch information systems scholar specializing in big data and electronic commerce. His public and community service and major achievements since joining HKUST in 1992, such as pioneering the Global Business (GBUS) Program and taking the lead in launching the Undergraduate Research Opportunities Program, were also covered.
China’s Looming Innovation Revolution Offers Lessons for Business Schools (18 Apr)
The Wall Street Journal Asia carried a supplement featuring the Kellogg-HKUST EMBA Program, in which Academic Director Professor Chris Doran was quoted as saying that the program is designed with courses to accelerate innovation, which is important to executives in the fast-changing environment in Asia. He added that the Kellogg-HKUST EMBA Program has accommodated the latest thinking and always updated its curriculum to bring in new focus areas with some timely additions to the course on topics such as digital marketing and social media. Link
OTHERS
The Banking Benefits of Clawback Provisions (27 Apr)
SCMP Education Post published a research summary by Professor Kevin Chen, Head of the Accounting Department. His research looks into the effectiveness of a move introduced by the US that requires firms to have clawback provisions that authorize boards to recover compensation paid to executives if the company has to restate its financial report. Link
What’s Wrong with the Economy in Jana? (26 Apr)
Hong Kong Economic Journal carried a commentary (解牛集) by Professor Edwin Lai, Department of Economics, discussing factors that have led to the slump or the slow-moving economy in Japan over the past 25 years. Professor Lai examined the nation’s aggregate demand and aggregate supply and the effectiveness of the stimulus package introduced by its Prime Minister Shinzo Abe, which has been undermined by that country’s aging population, inflexible workforce, among others. Link
Independence to Cause 90% Drop in Property Market (23 Apr)
Majority of local dailies reported comments made by Professor Francis Lui in a public forum and radio, where he warned that property prices could drop by around 90 per cent should Hong Kong become independent. He said such a drop would be disastrous causing Hong Kong’s big businesses to divest and [property] prices would inevitably slump and – optimistically – drop by 90 per cent. Link
An Exhibition for HKUST’s 25th Anniversary (21 Apr)
Sing Tao Daily reported on an exhibition by HKUST to celebrate its 25th anniversary. The exhibition that tells the stories of the University’s innovative ideas in teaching and research as well as societal engagement, featuring case analysis and other enriching learning activities by the Business Schools, among projects by other schools across the University.
Zeroing In on the Allure of a $1 Billion Sales Target (20 Apr)
The Wall Street Journal reported on a research by Assistant Professor Derrald Stice, Department of Accounting. His research looks into some “big round sales number” reported by companies and finds companies were more likely to report sales just a little above a round number than below. The effect was more pronounced at prominent round amounts like $1 billion. Professor Stice said companies break out the champagne when they cruise through a big sales number, but investors should be prepared for the hangover. Link
How Consumers Shop Online (19 Apr)
Global Network for Advancement Management (GNAM) posted a research summary by Assistant Professor Jun Kim, Department of Market. He studied about 1,000 online buyers of digital cameras and found they hardly looked around at all. The results suggested consumers probably had a pretty good idea of what they wanted to buy before their fingers even touched the keyboard. Link
Diversity in Human Capital (19 Apr)
Hong Kong Economic Journal carried a commentary (解牛集) by Adjunct Associate Professor Christine Chow, Department of Finance. She talked about the value of diversity especially gender diversity citing reports by Credit Suisse and Thomson Reuters. Professor Chow explained why diversity is important to corporate development, which can help not only companies make better decisions, but achieve better investment result. Link
Outlook of Hong Kong and China (16 Apr)
Commercial Radio Program (政經星期六) invited guest speakers, including HKUST’s Director of the Center for Economic Development Professor Francis Lui, to talk about the economy of Hong Kong and China. Commenting on the downgrades of credit ratings on China, Professor Lui said the country’s deposit ratio has been maintained at a high level, while its debt has been overestimated by international rating agencies. On Hong Kong, he said economically the city would “come to an end” without the mainland market. His remarks were recapped by Hong Kong Commercial Daily. Link
Happiness of Korean (15 Apr)
Sky Post carried an article by Director of the Center for Economic Development Professor Francis Lui. He discussed the high suicidal ratio among the young Korean and the World Happiness Report by Jeffrey Sachs, in which Korean is ranked No. 58 in the world, lower that many would have expected. Professor Lui explained many young Korean were bogged down by the nation’s slower growth with competition from emerging economies and growing pressure from parents. Link
Chartered Secretaries Journal (Apr)
The Chartered Secretaries Journal carried a cover story that consolidated four articles that Professor Christine Chow contributed to the Hong Kong Economic Journal. The article highlighted investor interest in a company’s governance arrangements, and the increasing realisation among investors, regulators and companies that engaged investors can be a valuable resource for companies in terms of keeping them on the right track.
The Cost of Longevity (15 Apr)
Hong Kong Economic Journal carried an article by Professor Francis Lui, Director of the Center for Economic Development. He discussed the cost of longevity to the elderly and the society. He also warned the long-term financial burden on the society if the government bows to pressure from politicians whom unreasonably call for an increase in social welfare spending. Link
When Over-Eager Managers Can Benefit a Firm (13 Apr)
SCMP Education Post published a research summary by Associate Professor Ellick Wong, the Department of Management. His research looks into the conventional thinking in the business world that managers who have a tendency to be over-committed to projects – to the point they are unwilling to end a loss-making proposition – are bad for firms. However, his study suggests there is an upside to that tendency. Link
Hong Kong Should Avoid Recession (12 Apr)
Hong Kong Economic Journal carried a commentary (解牛集) by Adjunct Professor Jerome Yen, Department of Finance. Professor Yen expressed growing concern over a recession in Hong Kong. He looked into the four pillar industries in the city, including trading and logistics, financial services, professional and producer services, and tourism. Most of these industries can no longer provide a driving force for Hong Kong's economic growth in coming years. Link
Are Chinese Optimistic about its Future? (8 Apr)
Sky Post carried an article by Professor Francis Lui, Director of the Center for Economic Development, looking into the opinions of Chinese on the future economy. According to the poll conducted by American think tank Pew Research Center, 90 per cent of mainlanders surveyed were optimistic about its future economy. Professor Lui said notwithstanding some hiccups, the potential to grow in China remains huge. Link
The Profits and Pitfalls of Earnings Surprises (8 Apr)
Global Network for Advancement Management (GNAM) carried a research summary by Professor Mingyi Hung, Department of Accounting. Her research focuses on Post-Earnings Announcement Drift (PEAD), in which stocks keep moving in the same direction months after the surprise earnings announcement. Studies have shown that trading strategies based on that drift can result in higher quarterly returns of two per cent to seven per cent. Link
Economic Trend of Next Decade (5 Apr)
Hong Kong Economic Journal carried a commentary (解牛集) by Professor Edwin Lai, Department of Economics. Professor Lai looked into the mid-to-long-term global financial market, saying that
the global market would still be baffled by the shadow of recession in the next decade. He also commented on the reforms to be undertaken by China, the coming interest rate, the pace of recovery, and the demographic impacts on the economies globally. Link
Pros and Cons of Hawking (5 Apr)
Oriental Daily News carried an article by Assistant Professor of Business Education Siu Kam Wing, Department of Economics. Professor Siu commented on pros and cons of hawking in Hong Kong. While hawkers can offer more affordable prices to the grass-root group, it is important to first resolve the environmental problems hawking could cause to local districts. Link
The Price of Independence Movement (5 Apr)
Ta Kung Pao carried an article by Professor Francis Lui, Director of the Center for Economic Development, commenting on the independence movement in Hong Kong. Professor Lui said the city has been part of China from an historical point of view and legally it could not fight for autonomy according to the Declaration on the Granting of Independence to Colonial Countries and Peoples adopted by the United Nations in 1960. He also stressed the damaging and economic consequences Hongkongers could have faced for any independence movement. Link
HK’s SMEs to Ride on E-commerce Advantages (29 Mar)
SCMP Post Tech published an article examining how Hong Kong’s SMEs can build on their advantages to expand businesses by tapping into the rapidly expanding world of e-commerce. The article interviewed
Professor Xu Yan, Associate Dean (HKUST EMBA and Executive Education), and he was quoted as saying that there is a huge potential for Hong Kong SMEs to tap into the mainland e-commerce market, but they should take into consideration that e-commerce business is a 24-hour operation and there is the staffing and logistics requirements to consider. Professor Xu added that more needs to be done to educate and support Hong Kong’s SMEs to transform into e-SMEs. Link