Open Access Article SciPap-2146

by Ramil Namazov, Rashidatu Bassabi

Abstract: In the context of transition to green, digital and knowledge economy, measuring innovation performance is of great importance to understand and improve national and regional competitiveness. Institutional structures in innovation systems that ensure the coordination and interaction of innovation activities within the country, undertake the tasks of regulating innovation activity and executing and carrying out competitive development programs based on reported assessments and performance metrics. This paper brings a comparison of selected innovation performance indices. The primary aim is to evaluate how these indices measure, assess and categorize innovation performance in the European contexts. Four important frameworks are considered in the study: the Global Innovation Index (WIPO), the European Innovation Scoreboard (European Commission), Global Competitiveness Index (World Economic Forum) and the Bloomberg Innovation Index framework. The study assesses innovation success by analysing different assessment methods, indicators and weighting systems. The analysis shows that innovation assessment is multidimensional, while European indices reflect regional characteristics and assessments are concentrated across different actors, scales and sectors. By providing a comparative analysis of innovation assessment frameworks, this study improves the understanding of methodological differences and indicator weights and provides important conclusions on how these changes affect the assessment of innovation performance in European countries. This contributes to the ongoing debate on improving innovation measurement approaches to better respond to the dynamic challenges of contemporary innovation ecosystems.

Keywords: Comparative Analysis, Innovation Systems, Innovation Indices, Innovation Benchmarking, Innovation Frameworks.

JEL classification: R59, O31

Open Access Article SciPap-2235

by Mike Franz Wahl, Divya Shukla, Hala Mansour, Wolfgang Dieter Gerstlberger, Rünno Lumiste

Abstract: Organizational governance and strategic, tactical and operational level leadership play a vital role in handling crises. Multi-level leadership is also crucial for the smooth recovery from crisis and for establishing collective well-being. In the premise of social exchange, and social learning theories, this study explores the multi-level leadership attributes during the crisis in the context of higher education and its influence on the collective well-being. This has been approached qualitatively by interviewing higher education faculty, executives, and administrative staff in Egypt, Estonia, India, and United Kingdom. The purposeful sampling technique included seven participants, where they have been taken as individual cases to explore the study objectives. The interview questions revolve around crisis leadership and well-being aspects that cover the interviewee themselves, their team and departments. The interview transcripts were coded by following the content analysis procedure. After three steps to thematic analysis, the final themes emerged and were further utilised. The present study contributes firstly, by exploring multi-level leadership attributes and its influence on the collective well-being of students, faculty, executives, and administrative staff. Secondly, the study has derived a framework from the findings that shows the multi-level leadership attributes that act as enablers and a list of a matrix which could ensure collective well-being during the crisis in the context of higher education.

Keywords: Higher Education, Crisis, Collective Well-Being, Multi-Level Leadership, Qualitative Method.

JEL classification: G34, H12, I23, I31

Open Access Article SciPap-2282

by Miloš Kolář, Anna Dvořáková, Denisa Dušková

Abstract: This study examines the drivers of firm-level eco-innovation in Slovenia, a country that ranks among the best performers in environmental sustainability but faces the challenge of translating its strong environmental framework into widespread adoption of eco-innovation practices at the firm level. The study focused on three areas of eco-innovation, which are the implementation of energy management systems, the adoption of waste minimization and recycling strategies and introduction of measures to control air pollution. These areas were used to investigate the impact of determinants - ten predictor (independent) variables such as own R&D, energy consumption and CO2 emissions, on the adoption of eco-innovation in 409 Slovenian firms. The analysis shows that CO2 emissions goals and own R&D are crucial for promoting eco-innovation in the country analysed. The findings underline the importance of R&D investments and stringent CO2 emissions goals for promoting eco-innovation. This study offers insights for policymakers and business leaders, indicating that tailored strategies and supportive policies can effectively enhance sustainable practices. By improving the environment for eco-innovation, Slovenia can serve as a model for other CEE countries that are striving for sustainability and environmental responsibility.

Keywords: Sustainability, R&D, Eco-Innovation, Energy Consumption, Co2 Emissions Goals, Environmental Goals, Slovenian Firms

JEL classification: Q01, Q55

Open Access Review SciPap-1975

by Falsa Dzaky Arifian, Anis Chariri

Abstract: This study aims to review research on fraudulent financial reporting (FFR) in the grey area of accounting with a systematic literature review approach and bibliometrics analysis. The study was conducted on 74 research articles from the Scopus database. The gray area comprises discretionary accruals, real earnings management, and FFR detection models. This study synthesizes FFR research characteristics, topic developments, key research streams, and future research directions. There are differences in characteristics between research in the gray area and misconduct in the form of research subjects, research objectives, and countries where the research is conducted. The topic development began with utilizing financial ratios as detection tools until various FFR detection methods emerged. The key research streams encompass six main discussions. Several directions for future research, including investigations into the differences in FFR enforcement between developed and emerging countries, studies on real earnings management from behavioral perspectives, exploration of the novel detection methods, and meta-analysis on the Beneish M-score model. Several reviews of FFR have predominantly concentrated on fraudulent organizations, neglecting the exploration of the gray area. This research contributes to other researchers by providing a roadmap for FFR research in the gray area of accounting.

Keywords: Earnings Management, Systematic Literature Review, Fraudulent Financial Reporting, Restatement, Beneish M-Score, Gray Area, Bibliometrics Analysis

JEL classification: M41, M42

Open Access Article SciPap-2124

by Juan Jaime Arroyave, Francisco J Sáez Martínez, Pablo Ruiz Palomino, Angela González Moreno

Abstract: Firms are increasingly adopting circular economy (CE) practices to meet the growing demand for sustainability, but most small and medium-sized enterprises (SMEs) have been unable to adopt them due to limited resources, capabilities, and a lack of environmental culture. However, SMEs with an environmental orientation and diverse cooperation networks tend to find this adoption easier. This article examines the role of environmental orientation and the moderating effects of cooperation with diverse networks on the adoption of the following CE practices: CE-based service provision, CE-based communication, CE-based design for production, and CE-based manufacturing. The study is based on a survey conducted with managers from 300 SMEs in the Spanish manufacturing sector. The results, analyzed through structural equation modeling, confirm that both environmental orientation and the diversity of cooperation networks significantly influence the adoption of CE practices among SMEs. These findings have significant implications for business managers, urging them to adopt an environmental orientation and diversify their cooperation networks to access the resources necessary to implement CE practices. Furthermore, policymakers are encouraged to promote the diversification of SME cooperation networks, for example, by fostering partnerships through incentives that support digital platforms for these interactions, ultimately contributing to a more sustainable economy.

Keywords: Stakeholders, Circular Economy Practices, Environmental Orientation, Diversity Of Cooperation, Networks, Small And Medium-Sized Enterprises.

JEL classification: Q01, M1, M21, L25

Open Access Article SciPap-2136

by Hang Dang, Sandeep Kumar Dey, Sinh Duc Hoang

Abstract: This paper aims to reveal the factors influencing investors' intention to accept AI advice in financial decision-making. By integrating the Theory of Planned Behavior (TPB) and the Technology Acceptance Model (TAM), it proposes a comprehensive model that elucidates the intricate relationships between social norms, attitude, perceived behavioral control, and the intention to accept AI advice, with a particular focus on examining risk tolerance as a moderating factor. A questionnaire survey was conducted with 569 Vietnamese investors to collect data in three different times. Partial least squares structural equation modeling (PLS-SEM) was utilized to analyze the measurement model and test the hypotheses. Results indicate that perceived usefulness, perceived ease of use, attitude, subjective norms, and perceived behavioral control positively influence the intention to accept AI advice. Furthermore, risk tolerance significantly moderates the link between attitude, subjective norms, perceived behavioral control, and intention to accept AI advice. This pioneering study introduces a comprehensive model unveiling the dynamics of AI advice acceptance in finance. It explores the novel concept of risk tolerance as a moderator, marking an important step in understanding human-AI interaction for financial decisions. Findings provide valuable insights into evolving AI adoption, especially in high-risk contexts.

Keywords: Tam, Risk Tolerance, Ai Advice, Tpb, Financial Decision Making

JEL classification: G15, G4, G11

Open Access Article SciPap-2056

by Philipp Boateng, Cecília Olexová

Abstract: This research aims to identify and categorise the key competencies required for managers to effectively lead small and medium-sized enterprises (SMEs) through the digital transformation process. Utilising a qualitative approach, the study employs Mayring´s content analysis to examine semi-structured interviews with ten SME representatives in Germany. The findings reveal that agile leadership, and the integration of innovative technologies are crucial for enhancing organisational responsiveness and agility. However, significant gaps in standardising systems and processes remain a challenge. The study underscores the importance of adaptive leadership, and the strategic use of digital tools to foster a resilient organisational culture. The insights provided contribute to the broader understanding of how SMEs can effectively implement digital transformation, highlighting the need for specialised leadership competencies to drive this change. The significance of the study lies in its potential to guide SME managers and policymakers in developing strategies that support sustainable digital growth and innovation.

Keywords: Digital Transformation, Smes, Empowerment, Qualitative Content Analysis, Mayring, Agile Leadership, Teams

JEL classification: J24, M1, M5, O15

Open Access Article SciPap-2082

by That Thi Pham, Thi Thanh An Dao, Thi Thu Lanh Nguyen, Van Trung Kiet Vo

Abstract: This study explores the effects of transformational leadership and adhocracy culture on innovative work behavior and employee performance. The research involved 286 employees from diverse disciplines, primarily in marketing communications and services, based in Ho Chi Minh City. Data analysis was performed using SPSS 26 and Smart PLS 4.0 software to assess the influence of adhocracy culture and on the five dimensions of transformational leadership on employee performance. The findings reveal that both adhocracy culture and transformational leadership positively impact employee performance. Furthermore, the study introduces a novel approach to predicting job effectiveness through innovative work behavior. The results provide valuable managerial insights for cultivating an adhocracy culture and promoting transformational leadership, which can enhance innovative work behavior, strengthen long-term organizational commitment, and improve overall employee performance.

Keywords: Employee Performance, Transformational Leadership, Innovative Work Behavior, Adhocracy Culture, Smart-Pls 4.0.

JEL classification: A1

Open Access Article SciPap-1918

by Ibrahim Alameri, Jitka Komárková, Tawfik Al-Hadhrami

Abstract: This paper takes a deep dive into mesh routing protocols, unraveling how they hold up under the pressures of varying node densities and the hustle and bustle of mobility. This paper included robust and advanced non-parametric statistical tests—think Kruskal-Wallis and Mann-Whitney—to figure out which routing protocol stands out in terms of Quality of Service (QoS) metrics for instance how long it takes a packet to travel end-to-end, the ratio of packets delivered successfully, throughput, and the amount of network overhead. Kicking things off, this study simulated a bunch of mesh environments. It was like setting up different conditions for the protocols to see how well they affect under various conditions. This part was crucial—it gave the work the raw data to put these protocols through their paces. With the Kruskal-Wallis test, this study aims to look for significant differences in how the protocols are performed across different scenarios. Moreover, when it came to the core, the Mann-Whitney test helped us conduct some head-to-head comparisons to spot the top performer under specific conditions. The performance of these protocols can vary wildly depending on how crowded the network is or how fast nodes are moving. The current investigation highlighted which protocols can keep optimal results when things get stable, and which can stay tough when the network feels more like a rollercoaster. This kind of investigation is gold for network designers and operators. Furthermore, this study brings significant attention to using non-parametric statistical methods for this analysis. The usual network parametric techniques often assume everything is normal (statistically) and that the variance is consistent across the board.

Keywords: Mesh, Aodv, Kruskal – Wallis, One Way Anova, And Mann-Whitney.

JEL classification: L14, C15, D85, L63, L86

Open Access Review SciPap-2137

by Wolfgang Dieter Gerstlberger, Gunnar Prause

Abstract: The interaction between the special issue and the sustainability of digital transformation have a special approach to circular economy models, blockchain, Industry 4.0, and legal frameworks. In addition, digital tools are discussed that really help in enhancing eco-efficiency and stakeholder involvement for sustainable business practices, considering challenges regarding scarcity of resources and policy alignment. The articles emphasize the importance of managerial attention, stakeholder collaboration, and interdisciplinary strategies in driving innovation and resilience across sectors. By integrating technological, regulatory, and cultural perspectives, this issue provides actionable insights for organizations to navigate the twin challenges of digitalization and sustainability, fostering a more sustainable and adaptive future.

Keywords: Sustainability, Industry 4.0, Digital Transformation, Circular Economy, Blockchain Technology, Stakeholder Engagement, Eco-Efficiency, Sustainable Business Models, Legal Frameworks, Innovation Management

JEL classification: K32, L26, Q01, M11, M14

Open Access Article SciPap-2126

by Vera Gerasimova

Abstract: This paper examines the transformative potential of integrating Service Design and Blockchain technology within Circular Economy models, aimed at enhancing sustainability and consumer engagement. Through the lens of two in-depth case studies—the Circular Electronics Platform and the Sustainable Food Supply Chain—we illustrate how these innovations can significantly improve transparency, efficiency, and participation in sustainable practices. The first case study investigates into the electronics industry, demonstrating a platform that uses Blockchain to manage the lifecycle of devices, thus promoting recycling and reuse. The second case study explores a Blockchain-based platform that enhances transparency in the food supply chain, empowering consumers with information to make sustainable choices. Our analysis reveals that the synergy between Blockchain technology and Service Design not only addresses environmental challenges but also fosters a deeper connection between consumers and sustainable practices. We discuss the broader implications of these findings, including the potential for scalability, the importance of consumer trust, and the need for interdisciplinary collaboration to further embed sustainability into the fabric of our economies. The paper concludes with recommendations for future research, emphasizing the exploration of standardized frameworks, the role of policy, and the integration of emerging technologies to advance Circular Economy goals. This study contributes to the growing body of literature on sustainable practices by highlighting innovative approaches to integrating technology and design in the pursuit of environmental sustainability.

Keywords: Circular Economy, Blockchain Technology, Sustainable Practices, Service Design, Transparent Supply Chain

JEL classification: Q57, L86, O33

Open Access Article SciPap-2089

by Airi Freimuth

Abstract: This study investigates the intersection of blockchain technology, stakeholder engagement, and business sustainability, focusing on customers and employees. By introducing the concept of stakeholders' blockchain engagement and integrating Interdependence theory's principle of interaction facets, the research highlights how blockchain's engagement antecedents—decentralization, privacy/anonymity, immutability, traceability, and transparency— influence stakeholder engagement. The findings suggest that these antecedents enhance trust, control, and transparency, leading to improved customer loyalty and employee satisfaction. These outcomes contribute to long-term business sustainability by fostering stronger relationships, reducing turnover, and promoting ethical practices.

Keywords: Blockchain Technology, Stakeholder Engagement, Stakeholders' Blockchain Engagement, Sustainable Business Models Interdependence Theory’s Principle Of Interaction

JEL classification: L86, M14, M31, O33, Q56

Open Access Article SciPap-2110

by Thach Nguyen Ngoc

Abstract: Many prior studies on the government-growth nexus have focused on Keynesian (Keynes, 1936) or neoclassical (Lucas, 1990) traditions, while a recent research strand has paid widespread attention to Barro (1990)’s non-linear perspective. Although modern complexity sciences suggest an overall non-linear trend in a complicated, interconnected, globalized world, non-monotonicity is poorly addressed in the applied literature. This work explores both the linear and non-linear effects of government size on economic growth. By employing a hybrid Metropolis-Hastings algorithm within a hierarchical Bayesian approach to a panel of ASEAN countries over 1950-2019, which aids in handling statistical complexities, the results show a negative growth impact of government size. This finding aligns with the neoclassical viewpoint on bureaucratic inefficiencies and the distortionary effects of government intervention in a market economy. Substantial measures are needed to increase public spending efficiency and accountability, focus on productive investments, encourage private sector activities, and implement structural reforms in ASEAN.

Keywords: Monte Carlo Algorithm, Bayesian Hierarchical Approach, Multicollineartity, Reverse Causality, Government-Growth, Negative Linear Effect, Asean

JEL classification: E62, O40

Open Access Article SciPap-2093

by Ekaterina Demiankova

Abstract: This study aims to explore the interaction of entrepreneurs with role models and role models’ narratives (influential individuals, well-known ventures, stories, etc.) in a context of sustainability orientation. While some entrepreneurs are engaged in sustainability-oriented actions, others are not. Keeping in mind that role models can influence entrepreneur’s perceptions, action orientation and values, there is a significant lack of clarity on how role models interact with entrepreneurs in terms of influencing sustainable-oriented business activities. Hence, this paper examines the nature and dynamic of these interactions in the context of entrepreneurial ecosystems by applying systematic inductive qualitative research method and choosing Estonian entrepreneurial ecosystem as a context.

Keywords: Sustainable Entrepreneurship, Entrepreneurial Role Models, Sustainable Entrepreneurial Role Models, Entrepreneurial Ecosystems, Sustainable Entrepreneurial Ecosystems.

JEL classification: L26, Q01, Q56, D91, O35

Open Access Review SciPap-2106

by Ebru Metin

Abstract: This paper examines how the application of Stakeholder Theory and legal design can enhance corporate compliance with regulatory requirements, particularly within Environmental, Social, and Governance (ESG) frameworks. By utilizing visual aids, design patterns, plain language, and human-centered design principles, legal design transforms complex legal information into accessible and actionable information, fostering better understanding and decision-making among stakeholders. This approach not only improves regulatory compliance but also aligns with ethical standards and social responsibilities, which enhances stakeholder trust and engagement. Furthermore, the integration of legal design into corporate compliance strategies supports long-term sustainability and digital transformation, contributing to the creation of value for all stakeholders.

Keywords: Sustainability, Digital Transformation, Stakeholder Theory, Esg, Legal Design, Regulatory Compliance

JEL classification: Q01, K32, L21, D21, M14, O32

Open Access Article SciPap-2071

by Emmanuel Ebo Arthur, Bernard Vanicek

Abstract: This study draws on the axioms of the knowledge production function and open innovation to examine the influence of publications and firm collaborations on the innovation of micro and medium-sized firms in the EU. We utilized CIS 2018 data (Eurostat), employing logistic regression methods and doubly robust treatment estimation techniques for the analysis. Our findings indicate that trade and patent publications positively influence product and market innovation. Furthermore, we ascertained that micro- and medium-sized firms in the European region enhance their innovation performance when they engage in consultations with public and private research institutions and universities rather than purchasing licensing and IPRs from these institutions. We observed evidence suggesting that central government funding positively influences the impact of firm collaboration on market method innovation. We conclude by proposing practical implications for policymakers and managers of micro- and medium-sized firms across countries in the EU.

Keywords: Trade Publications, Patent Publications, Intellectual Property Rights, Marketing Method Innovations, Government Funding

JEL classification: H, H5, O31, O32, O34

Open Access Article SciPap-2105

by Jaime Joel Rodriguez Santiago

Abstract: The "twin transition" concept underscores the interconnectedness of digitalization and sustainability – two major transformative processes shaping our world. While these transitions have often been viewed separately, their interdependence and mutual reinforcement are increasingly recognized. Entrepreneurs are uniquely positioned to drive progress at the intersection of these twin transitions, as innovative actors capable of developing solutions that seamlessly integrate digital technologies and sustainable approaches. Within the entrepreneurial ecosystem domain, two bodies of literature have emerged – one focused on digital entrepreneurship and the other on sustainability-oriented entrepreneurship. Though these streams have developed in parallel, they remain largely siloed. This paper first analyzes the interplay between digital transformation and sustainability transitions, highlighting their synergies and tensions. Building on this foundation, the paper introduces a conceptual framework that outlines key dimensions for cultivating entrepreneurial ecosystems capable of leveraging the opportunities offered by both transitions. This framework provides a roadmap for policymakers, entrepreneurs, and ecosystem actors interested in creating an environment that contributes to a sustainable planet in a digital age.

Keywords: Sustainability, Digital Transformation, Digitalization, Entrepreneurial Ecosystems, Twin Transition, Sustainable Transitions

JEL classification: L26, M13, Q56

Open Access Article SciPap-2085

by Arseni Kotov

Abstract: The imperative need for sustainable development has driven the integration of the circular economy into strategic agendas across diverse industries. The circular economy offers a promising approach to mitigating environmental impacts, reducing costs, and generating alternative revenue streams through circular business model strategies. In energy-intensive sectors, such as the metal industry, where carbon emissions are significant, circular economy practices present pathways for enhancing resource efficiency and achieving energy savings. Despite these benefits and technological feasibility, the adoption of circular economy remains limited. This study applies the attention-based view of the firm to explore the factors shaping managerial attention on circular economy practices within the metal industry in Estonia. Through a thematic analysis of interview-based secondary data, a number of internal and external factors were identified. The findings contribute to the limited empirical research on circular economy adoption in this context, offering insights for researchers and practitioners focused on sustainability transitions. Additionally, this study addresses the limited research on circular economy practices in Estonia, providing perspectives to support further advancement of circular economy adoption in the country. The results offer practical guidance for decision-makers navigating the complexities of implementing the circular economy and highlight the role of managerial attention as a relevant component in strategic decision-making for sustainable development.

Keywords: Circular Economy, Attention-Based View, Circular Business Models, Metal Industry, Estonia

JEL classification: L60, M14, O31, Q56, Q01

Open Access Article SciPap-2092

by Aleksi Kajander, Thomas Hoffmann

Abstract: Open data has been heralded as bringing great benefits to businesses and individuals alike in the EU, enabling the emergence of a data agile Europe and a society empowered by data. However, such arrangements are far from being free of disadvantages, especially for the citizens of smart cities. If the data generated by smart cities is made open almost by default, there is a serious risk of data disenfranchisement for the smart citizens, who may be negatively impacted by the publication of even non-personal smart city data. Consequently, Ostrom’s commons have been considered as a possibility to re-empower smart citizens in regard to their data through self-governance. However, should smart citizens decide to make data available only to select users, they could potentially run into a conflict with EU competition law. Potential sources of conflict include violations of Articles 101 and 102 of the TFEU, through decisions made in the context of the self-governing smart city data commons. Consequently, this paper seeks to identify the potential conflicts between managing non-personal smart city data as a commons and EU competition law.

Keywords: European Union, Smart City, Data, Commons, Ostrom, Competition Law

JEL classification: D86, R38, L86, O34, H83, K21

Open Access Review SciPap-2090

by Turan Azizov

Abstract: This paper explores the intersection of Industry 4.0 (I4.0) and the Circular Economy (CE). The paper's focus is to demonstrate how different factors, such as advanced technologies, can enable the transition of large corporations toward sustainable and circular value chains. The umbrella review has been conducted to identify key organizational enablers and technological innovations driving circularity in such organizations from an academic viewpoint. The paper presents a circular innovation framework in which technological and managerial aspects have been integrated to understand their holistic effect on different value chain steps, from product design to reverse flows. While technological aspects include multiple I4.0 technologies, such as additive manufacturing (AM), blockchain, and big data, and their use cases in the circular value chain, managerial aspects emphasize the role of stakeholders, leadership awareness, and cross-functional collaboration. The study mentions the need for a holistic approach involving all ecosystem actors to achieve a regenerative and sustainable future. This framework not only provides contributions to the academic world but also offers practical implications for large organizations seeking to enhance their circularity. The research concludes with recommendations for future studies to focus on in-depth analysis.

Keywords: Industry 4.0, Value Chain, Circular Economy, Circular Innovation Framework, Umbrella Review

JEL classification: Q56, Q01, D22, L60, M15, O32