Revisiting the Relationship between Ethnic Diversity and Preferences for Redistribution: Reply

Here, we respond to the comments raised by Nekby and Pettersson‐Lidbom on our paper Dahlberg et al. (2012, Journal of Political Economy 120, 41–76). We argue that our estimates are internally valid, but we acknowledge that the external validity could have been discussed more thoroughly.     

TO OWN OR TO FRANCHISE?: THE INTERNATIONAL CONTROL DECISION FOR SERVICE COMPANIES

Franchising, which accounts for a significant share of the U.S. domestic service industry, has also become a major strategic alternative in the international expansion of U.S. service firms. This article attempts to explain the international franchising and control decision by U.S.-based service firms in terms of a theoretical framework that borrows from agency theory and transaction-cost analysis. Specifically, it attempts to answer the following question: Why would a well-established service firm choose to operate in certain countries through a franchising agreement whereas in others it would set up a wholly-owned subsidiary? In their empirical test of a sample of over 10,000 international service units that were either owned or franchised by 12 U.S. multinational service companies, the authors find that the most important determinants of the decision to franchise rather than own are the following four: (1) geographical distance from headquarters; (2) extent of cultural differences; (3) years of international experience; and (4) degree of concern about reputation or brand name. Greater geographic and cultural distance make service companies more likely to franchise, as do greater experience and familiarity with international business settings. Greater concern about brand name, by contrast, makes companies more likely to own than franchise. Measures of political and exchange risk have no detectable effect.     

The impacts of tourism investment on rural communities: Three case studies in South Africa

Significant research, both locally and internationally, has been undertaken on tourism development and its impacts on the empowerment of rural communities. This article analyses the extent to which three tourism projects in South Africa, namely the Makuleke tourism initiative, Umngazi River Bungalows and the commercialisation of Manyeleti Game Reserve, have improved the livelihoods of rural communities and contributed to rural economic development. The projects are analysed in terms of both their economic and non-economic benefits, as well as their contribution towards the attainment of certain key policy objectives of the South African government.     

Sustainability Indicators for Tourism Destinations: A Complex Adaptive Systems Approach Using Systemic Indicator Systems

This article discusses the necessity for complementing linear sustainability assessment tools, which disregard the complex and dynamic nature of tourism, with complex adaptive systems (CASs) approaches. A methodological framework for the selection and evaluation of sustainability indicators for tourism destinations, the systemic indicator system (SIS), is proposed; this framework takes the interrelatedness of sociocultural, economic and environmental issues into account. The SIS methodology is tested using a case study of a holiday eco-village project near Lamington National Park in Queensland, Australia. The results show that tourism destinations need to be viewed and studied as CASs, and that sustainability indicator systems need to be applied in the context of an adaptive management approach. Special attention is given to the capability of the SIS methodology as a decision aid for resort developers and planners to improve the effectiveness of measures for pollution prevention and mitigation.     

Breakthrough innovations in the U.S. biotechnology industry: the effects of technological space and geographic origin

How are breakthrough innovations created? Our study suggests that the type of external knowledge sourced determines the likelihood of creation of breakthrough innovation. We characterize the external knowledge utilized on two dimensions: its technological space and geographic origin. We draw on the concepts of local search and national innovation systems to identify critical knowledge inputs. We hypothesize that external knowledge characterized by technological distance or proximity and the national or international context can have a differential impact on breakthrough innovation. This is due to the contradictory implications of its value created by distance and to absorptive capacity limitations in effectively utilizing knowledge from a different context. To test our hypotheses we use patent data from the U.S. biotechnology industry. Our findings suggest that technologically distant knowledge of national origin has a curvilinear effect and technologically proximate knowledge of international origin has a positive effect on breakthrough innovation. However, simultaneous exploration along technologically and geographic dimensions is not useful to generating breakthrough innovation; technologically distant knowledge of international origin does not have a significant impact. Copyright © 2006 John Wiley & Sons, Ltd.     

Innovations in meta-analysis and social impact analysis relevant for tech mining

In the social sciences, non-utilization of knowledge is a major problem. Many publications stored in libraries or available on the Internet should be used more than they are now. Conventional approaches like providing abstracts and lists of keywords have proven to be insufficient. For more than thirty years already, meta-analysis is available for the accumulation and dissemination of scientific knowledge. In the social sciences, meta-analysis has been used on a limited scale only, mainly because there still remains a gap between the knowledge available and its application in policymaking. Recently, value transfer has been introduced as an additional method to bridge the gap between available knowledge and the demands for knowledge in new problem areas. Not only in the social sciences but also in the information sciences non-utilization of information is a major problem. It is the mission of tech mining to contribute to a mitigation of this non-utilization. In this article, we will show how tech mining could profit from innovations in meta-analysis and social impact assessment. Special attention will be paid to research on technology generations, research on social change in cohesive social systems showing solidarity at work, and tech mining in support of the Lisbon Strategy of the European Commission.