Control-based channel governance and relative dependence

Control and governance theories recognize that exchange partners are subject to two general forms of control, the unilateral authority of one firm and bilateral expectations extending from their social bond. In this way, a supplier both exerts unilateral, authority-based controls and is subject to socially-based, bilateral controls as it attempts to manage its brand successfully through reseller channels. Such control is being challenged by suppliers’ growing relative dependence on increasingly dominant resellers in many industries. Yet the impact of supplier relative dependence on the efficacy of control-based governance in the supplier’s channel is not well understood. To address this gap, we specify and test a control model moderated by relative dependence involving the conceptualization and measurement of governance at the level of specific control processes: incenting, monitoring, and enforcing. Our empirical findings show relative dependence undercuts the effectiveness of certain unilateral and bilateral control processes while enhancing the effectiveness of others, largely supporting our dual suppositions that each control process operates through a specialized behavioral mechanism and that these underlying mechanisms are differentially impacted by relative dependence. We offer implications of these findings for managers and identify our contributions to channel theory and research.     

Stock Price Reaction to Non-financial News in European Technology Companies

Drawing upon a series of interviews conducted with leading practitioners and opinion formulators in the social, ethical and environmental audit arena, together with an extensive review of recent literature in the area, this paper offers a critical appraisal of current developments in the newly revitalized social audit movement. We particularly question whether in their enthusiasm for bringing social audit into the mainstream of current business thinking its advocates risk compromising the democratic ideals of the founding fathers of the movement. A particular concern raised is that without real change in corporate governance structures, social audit could become monopolized by consultants and/or corporate management and hence amount to little more than a skilfully controlled public relations exercise.     

Will export taxes replace VERs?

Some economists use an export tax, which alters the domestic relative price of exports, to model a voluntary export restraint, which is a restriction on the quantity of exports with restriction-induced rents accruing to the exporting country. Implicit in this approach is the presumption that the two policies are equivalent. In a very general model that allows for a finite number of goods and factors and intermediated goods and joint production, we demonstrate that, in general, this is, in fact, not the case. Specifically, from the exporting country’s perspective, the real income effects of the two policies are nonequivalent.     

Knowledge acquisition in supply chain partnerships: The role of power

Knowledge is recognised as an important source of competitive advantage and hence there has been increasing academic and practitioner interest in understanding and isolating the factors that contribute to effective knowledge transfer between supply chain actors. The literature identifies power as a salient contributor to the effective operation of a supply chain partnership. However, there is a paucity of empirical research examining how power among actors influences knowledge acquisition and in turn the performance of supply chain partners. The aim of this research is to address this gap by examining the relationship between power, knowledge acquisition and supply chain performance among the supply chain partners of a focal Chinese steel manufacturer. A structured survey was used to collect the necessary data. Two conceptually independent variables – ‘availability of alternatives’ and ‘restraint in the use of power’ – were used to assess actual and realised power, respectively. Controlling for contingencies, we found that the flow of knowledge increased when supply chain actors had limited alternatives and when the more powerful actor exercised restraint in the use of power. Moreover, we found a positive relationship between knowledge acquisition and supply chain performance. This paper enriches the literature by empirically extending our understanding of how power affects knowledge acquisition and performance.     

Critical Realism as a Basis for Economic Methodology: A critique

This paper considers the claim that critical realism provides a convincing critique of mainstream economics and offers a sound methodological basis for an alternative approach. It argues that critical realism presents a tendentious definition of positivism and a characterisation of mainstream economics that is misleading, and that it misrepresents the nature and purpose of the work of Hume and modern Humean philosophers. It also argues that critical realism's bold ontological claims lack epistemological support. The paper concludes that critical realism does not provide a compelling basis for economic methodology.     

Regulating Insider Trading In Betting Markets

Although trading in securities in conventional financial markets on the basis of inside information is restricted by law, the rules against such trading in betting markets are rather more ambiguous. It is argued in this paper that, since insider trading in betting markets imposes a cost on the great majority of bettors, tighter strictures against such trading would benefit all but the insiders. This case is supported by the use of empirical evidence which shows that betting markets which are characterized by tighter controls against insider activity are also characterized by a significantly lower incidence of such activity.     

Managing ambiguity: merger activity in the nonprofit housing sector

Merger behaviour in the nonprofit sector has been relatively neglected, yet has considerable marketing implications. This paper draws on a range of sources to explore the nature of merger activity in the nonprofit housing industry. It locates mergers within debates about inter-organisational strategies, and explores the context, extent, motivations for and regulation of mergers in the housing industry. While there are many similarities in environmental stimuli to and processes of negotiating mergers between the profit-distributing and nonprofit sectors, there are some distinctive features. This research explores the ambiguous nature of the merger activity among housing organisations. This ambiguity infects the terminology and record-keeping systems and helps to explain a significant gap between rhetoric and activity. Such ambiguity may be more than a negotiating strategy. It may represent the attempt to manage conflicting pressures to market nonprofit organisations as ‘sensitively serving the needs of society’ by on the one hand being competitive and efficient while on the other remaining value based and locally accountable. Copyright © 1999 Henry Stewart Publications     

A method for the assessment of relative brand strength: a UK tour operator example

This study provides a method of uncovering the brand strengths and weaknesses of major tour operators in the UK. It provides an approach that provides a weighted assessment of attributes which is a culmination of the weighting of all measures from a two stage research model. The study provides a method that can be applied elsewhere but specifically identified Airtours as having the lowest score for brand attributes and image, a result that may well be associated to their previous rejection of branding in favour of maintaining low prices to customers. From the core values identified, it became evident that most operators' worst score was for efficiency. Perhaps the most predictable of the findings was that the Virgin brand was most familiar to younger respondents. Age was a major variable in terms of the ranking of the attributes. Over 55s ranked accommodation, efficiency, reliability and reputation higher than any other age category. Such consistency indicates that the more senior age group has greater expectations of the services offered by the tour operators, or else require a better service in order to be satisfied. A gap in the market was identified for a brand to promote itself as part of the emotional holiday experience in addition to performing the basic operator functions. Such market positioning would also present opportunities for brand differentiation. In conclusion this study has implications for other brand assessment exercises and therefore offers a model of approach for other sectors.