Product chain collaboration for sustainability: A business case for life cycle management

Life cycle management (LCM) is frequently described as a holistic sustainability perspective along the product chain. It has mainly been a company internal practice. However, recent developments reveal a new type of LCM where companies collaborate in product‐chain‐specific initiatives. This raises questions concerning why corporations extend “corporate LCM” toward “product chain LCM”. Here, we explore rationales and challenges for corporations engaging in one such coalition: The Sustainable Transport Initiative. The study covers five companies in different product chain positions and practitioners in different corporate functions. The results show a broad range of rationales for engaging in product chain LCM, related both to self‐interest and a shared interest in the product chain. The importance of the “business case,” both for the individual companies and the product chain, is identified. The importance of sustainability managers as actors and as facilitators in discussions between managers from different corporate functions is also identified.     

Explicating the market dimension in the study of digital innovation: a management framework for digital innovation

Digital innovation is gaining momentum among academics and business practitioners. Featuring increasingly cross-industry and multi-actor innovation processes, digital innovation reveals the inherent technology bias in the dominant perspectives on innovation. This study aims to transfer the focus from technology-centred ideas of digital innovation to a more balanced concept in which digital innovation is conceptualised as a combination of multiple needs and solutions linked to various actors and their behaviours. The study builds on a longitudinal case study. The article contributes by providing a partial response to the explicit calls for strategic frameworks that capture the process of digital innovation. Furthermore, the article explicates the market dimension of digital innovation and extends the analysis of the market dimension from a limited view of customer information and user knowledge to further include needs, actions, and behaviours of market actors directly or indirectly using, complementing, or substituting the digital innovation and innovation process.     

Analyzing the Essence of Stakeholder Relationships: What do we Need in Addition to Power,Legitimacy, and Urgency?

This article contributes to the body of stakeholder literature by providing an in-depth analysis of the dynamics of stakeholder relationships as a part of change in value creation. The article presents an argument that the stakeholder salience model as a tool for analyzing stakeholder relationships is not sufficient for understanding business value creation. In the recent stakeholder literature, understanding business value creation has become an important theme. Through an analysis of an empirical case, the article shows how the three stakeholder relationship attributes, legitimacy, power and urgency help to reveal the definitive stakeholders and to capture dynamics of stakeholder relations. However, in the case of strategic change, where the value creation of a firm is in transition, a more profound understanding of stakeholder relationships is needed. As a result of our empirical analysis, six characteristics of stakeholder relationships were identified. To conclude, the question of who and what really counts should be replaced by the question of how value is created in stakeholder relationships.     

Public subsidies and new ventures’ use of bank loans

Access to financial resources is crucial for young firms to strive. To foster innovation and growth in these firms, governments address financing constraints by initiating public support programs. For such financial support to be effective, it is, however, important that firms are able to augment publicly provided resources with additional means. This study examines the relationship between new ventures’ subsidy receipt and long-term bank loans. Studying new ventures founded between 2005 and 2009 in Germany, we test whether the subsidy itself facilitates use to bank financing. Applying econometric techniques that account for the endogenous nature of a subsidy receipt, we find that subsidized young firms are more likely to use bank loans and to have obtained a larger share of their financing mix from banks. We further show that this effect is stronger in highly information-opaque sectors. These results suggest that the effect may be attributed to an information value carried by the grant that is relevant to banks’ loan assessment procedures, especially when new venture value is difficult to judge.     

Tax enforcement and corporate profit shifting

We present empirical evidence suggesting that weak tax enforcement proxied by the extent of tax evasion in a country acts like a lower corporate tax rate in attracting profits of multinational corporations.     

Racial/Ethnic disparities in high return investment ownership: a Heckman selection model

This study investigates racial/ethnic differences in high return investment ownership in the U.S. Households with low levels of financial assets might not be able to meaningfully make investment choices, so a Heckman two-stage selection model was used to separate the minimum asset level status from the allocation decision, specifically in whether households owned at least one high return investment. We found that households with White respondents were more likely than households with Black and Hispanic respondents to have adequate financial assets for investment. Conditional on having adequate financial assets, and controlling for household characteristics and financial literacy, White households were more likely to own high return investments than Black, Hispanic and Asian/other households. Policies to nudge households to invest some wealth in high return investment assets would benefit minority households.     

Critical challenges of inventory management in service parts supply: A Delphi study

The primary purpose of the study is to determine the critical challenges facing service parts managers and to help bridge the gap between research and practice. In order to accomplish this, a series of semi-structured interviews with 18 senior service parts managers from a variety of industries frequently dealing with service parts inventory issues was used as the basis of input for a web-based Delphi study. The results of the study include 18 commonly identified potential service parts inventory issues and ten key challenges for the service parts supply industry. The identified challenges should serve as a guide for both researchers seeking to contribute to the service parts body of knowledge and practitioners who are regularly faced with service parts inventory issues.     

Benchmarking consumer perceptions of product quality with price: An exploration

This empirical study illustrates an extension of the magnitude estimation measurement procedure, coupled with a repeated-measures design, to assess a consumer's perceptual link between product quality and price. Respondents rated 14 competitive chocolate candy bars, with a given average price of 50¢, on two separate sensory measures to evaluate quality and price. The results indicate that consumer judgments about product quality influence the price they are willing to pay. These findings support the validity of the magnitude estimation procedure for product quality and price assessments, providing marketing management with a standardized benchmark to compare competitive products. Extending this experimental methodology to small groups provides an inexpensive approach for marketers to quantify otherwise qualitative focus-group investigations. © 1996 John Wiley & Sons, Inc.     

Business students’ attitudes toward unethical behavior: A multi-country comparison

Business students are confronted early in their academic careers with examples of questionable acts and practices related to individual and corporate integrity. The current study identifies four segments of students with respect to their attitudes toward unethical behavior and is one of the first known attempts to understand country corruption and its impact on students of business. Findings from a worldwide survey of over 6,000 business students suggest that corruption does breed corruption and that business students in more corrupt countries have a greater likelihood than their counterparts in less corrupt countries to equate legal and ethical. It appears that business students in more corrupt countries expect to use the law as their ethical gauge in business decisions.