Sustainability and the authentic experience. Harnessing brand heritage – a study from Japan

This paper explores the influence of the formative brand heritage construct on perceived authenticity at repaired/reconstructed heritage sites, understood in relation to the Japanese practice of kintsugi (金継ぎ), thereby extending Kolar and Zabkar's consumer-based model of authenticity. It notes that variations of kintsugi occur in architectural heritage conservation worldwide. We establish relationships between brand heritage, cultural motivations, perceptions of authenticity, relational value, and consumer commitment, based on questioning 768 visitors to repaired and reconstructed Japanese heritage sites. Analysis using partial least squares found consumer preconceptions of brand heritage stimulating increased perceptions of authenticity at sites of limited historical provenance, thereby increasing visitor commitment to visiting. Heritage managers should use marketing strategies that effectively communicate a site's brand heritage prior to, during, and after the tourist experience. Even where the material components of the site are entirely reconstructed, this can lead to relational value, and improved consumer commitment. In sustainability terms, holistic brand marketing can increase site revenue, help conservation maintenance and, by increasing repeat visits, reduce footfall damage at other “unreconstructed” sites. Practical implications include better artefact and information presentation, ensuring synergy between site experiences and its purported values, especially through tour guide narratives and interpretation.     

The Use of Policies for Competition in the Promotion of Structural Change in Transforming Economies

This article takes as its central theme the idea that competition policy is merely one among many policies which can and should be used to promote competition in an economy. After having considered the importance of competition for any healthy economy, the article examines the inextricable links between competition and transition, in particular marketisation and liberalisation, and discusses in detail the scope for the use of various policies for competition in the transformation process. Within this discussion, particular attention is paid to the importance of the legal and institutional framework, the process of privatisation, macroeconomic stability, ease of entry, supply side policies, the role of small and medium-sized enterprises (SMEs), and trade policy in contributing to the development of a market economy. The article concludes by noting the extreme care that must be taken not only in the content of such policies but also in their implementation, something which is easily demonstrated by the experience of developed capitalist economies in the West.     

Tariff evasion in global trade data

ABSTRACT

We find evidence of pervasive tariff evasion in the global data on trade from 1988 to 2015. Using over 35 million observations of data on import and export flows at the HS6 product category level, we find evidence of substantial underreporting of imports relative to export data on average and particularly when tariffs on product categories are high. These effects are stronger in more corrupt destination countries, as measured by the World Bank's Worldwide Governance Indicators [World Bank. 2016. Worldwide Governance Indicators. September 25, 2016]. In addition, evidence of tariff evasion increases significantly in economic downturns. We document these patterns in the global data and explore the welfare effects of this evasion by (1) putting a lower bound on the extent to which there are revenue losses from tariff evasion, and by (2) estimating the effects of corruption as measured by this indicator on global trade in a simple gravity model. We estimate that in total, revenue losses from tariff evasion are currently likely to exceed 400 to 670 million USD globally per year, and find that the effects of corruption on trade flows are ambiguous overall but change from weakly positive (‘grease the wheels’) to largely negative over the years in our sample.     

Junk bonds,life insurer insolvency,and stock market reactions: The case of first executive corporation

The First Executive Corporation was the largest failure in the history of the life insurance industry. The company was one of the most aggressive purchasers of junk bonds through the 1980s and was the first of several large failures in the staid life insurance industry. In this article, we examine the effect of First Executive's failure on the value of companies in the life insurance industry. We find that the price of other life insurance companies' stock is negatively affected by the earnings announcement that preceded First Executive's failure. The magnitude of an individual company's reaction to First Executive's loss varies according to the proportion of the company's assets invested in junk bonds, the proportion of the company's assests invested in real estate, and the financial strength of the company as measured by A.M. Best's rating.     

ON-FARM FACTORS INFLUENCING INVESTMENT IN CROP SOWING MACHINERY*

Farmers in grain industries make important decisions about investment in crop sowing machinery. This paper shows how some on-farm factors affect profit-maximising levels of investment in crop sowing machinery. The paper examines the effect on optimal investment of discontinuities in sowing opportunities, varietal portfolios and soil portfolios.     

The three US food policies: An ideological interpretation

Historically, and notably so since 1933, three ideologies have been evident, and in conflict, in the farmfood policies of the USA. The gradual transformation of US agriculture since World War II into an agribusiness industry, and into the dominant world food exporter, has necessitated the modernising of these three ideologies. How the new food politics of the Carter Administration will differ from those of the Nixon-Ford Administration is of worldwide concern. Whether the new food policy ‘agenda’ will be aggressively committed to the development of a neo-Jeffersonian food ideology will be a major US political issue in 1977.