Exploring experiential consumption dimensions in the theme park context

Although theme park products play a significant role in experiential consumption, there is a lack of attention on the components of theme park experience in the experiential consumption framework. Therefore, the current study was conducted to develop a scale to measure theme park visitor experience by applying Schmitt’s [(1999a). Experiential marketing: How to get customers to sense, feel, think, act, and relate to your company and brands. New York, NY: Free Press] five strategic experiential modules of SENSE, FEEL, THINK, ACT, and RELATE. The scale was tested on an online sample of 400 US residents who visited at least one theme park in the past twelve months. Three different analyses were used to test the reliability and validity of the 5-factor experiential consumption model. First, principal component analysis to identify the number of meaningful factors revealed a 4-factor model structure. Second, confirmatory factor analysis to test the psychometric properties of the measurement and structural models supported the 5-factor model structure, with a few convergent and discriminant validity issues, particularly on the ACT factor. Third, partial least squares analysis with both formative and reflective specifications fully supported the 5-factor model structure with a minimal concern on the convergent validity of the ACT factor. Theoretical, managerial, and methodological implications regarding visitor experience in theme parks are discussed.     

The sooner,the better: The economic impact of non-pharmaceutical interventions during the early stage of the COVID-19 pandemic

This paper estimates the economic impact of the non-pharmaceutical interventions (NPIs) implemented by countries in Europe and Central Asia during the initial stages of the COVID-19 pandemic. The analysis relies on daily electricity consumption, nitrogen dioxide emission and mobility records to trace the economic disruptions caused by the pandemic and calibrate these measures to estimate the magnitude of the economic impact. To address the potential endogeneity in the introduction of NPIs, we instrument their stringency by the extent of a country's social ties to China. The results suggest that the NPIs led to a decline of about 10% in economic activity across the region. On average, countries that implemented non-pharmaceutical interventions in the early stages of the pandemic appear to have better short-term economic outcomes and lower cumulative mortality, compared with countries that imposed non-pharmaceutical interventions during the later stages of the pandemic. Moreover, there is evidence that COVID-19 mortality at the peak of the local outbreak has been lower in countries that acted earlier. In this sense, the results suggest that the sooner non-pharmaceutical interventions are implemented, the better are the economic and health outcomes.     

Self-congruity and flow as antecedents of attitude and loyalty towards a theme park brand

Brand loyalty is believed to be a sustainable advantage for theme parks. Since theme parks represent a man-made environment purposefully built for specialized market segments, studying factors that lead to brand loyalty for theme park products is of strategic importance. These factors have yet to be identified in the current literature, however. Recognizing the potential influence of self-congruity and flow in the theme park consumption experience, and thus its influence on loyalty, the current study investigated the effect of these constructs on visitor attitude and loyalty towards a theme park brand. The results revealed that both self-congruity and flow are the antecedents of visitor attitude and brand loyalty. The theoretical contributions of this study, as well as managerial implications concerning image projection, branding strategy, and park experience design, are discussed.     

Shareholder Heterogeneity and Conflicting Goals: Strategic Investments in the Japanese Electronics Industry

This article investigates the effects of the changing institutional environment on strategic orientations of Japanese electronics firms during the 1990s. We examine the effects of three different types of shareholders on strategic directions of their invested firms. The first one, foreign portfolio investors, characterizes the emerging influence that pressed for change in corporate strategies. The two domestic shareholders, corporate investors and financial institutions, represent the conventional forces for continuity. Between the two domestic forces, though, while corporate investors attempted to maintain status quo, financial institutions have shifted towards market‐oriented behaviour of investment. Specifically, we explore: (1) the influence of each type of shareholder on a firm's diversification strategy and capital commitment; and (2) the moderating effects of firm performance on the relationships between ownership structure and strategic choices. The results suggest that foreign investors prefer the focused product portfolio and conservative capital commitment. They also prefer the reduction of capital investment when the financial performance of their invested firms is poor. Domestic financial institutions are now similarly sensitive to the performance of their invested firms when those firms make strategic investments. By contrast, domestic corporate shareholders remain indifferent to performance, while they aim to maintain relational business ties with invested firms.     

Remittances and banking sector breadth and depth: Evidence from Mexico

Despite the importance of remittances to developing countries, their impact on banking sector breadth and depth in recipient countries has been largely unexplored. We examine this topic using municipality-level data on the fraction of households receiving remittances and on measures of banking breadth and depth for Mexico. We find that remittances are strongly associated with greater banking breadth and depth, increasing the number of branches and accounts per capita and the amount of deposits to GDP. These effects are significant both statistically and economically, and are robust to the potential endogeneity of remittances, inclusion of a wide range of controls and even municipal fixed effects specifications using an alternative panel data set from a sample of municipalities.     

Inter-country distancing,globalisation and the coronavirus pandemic

Originating in China, the coronavirus has reached the world at different speeds and levels of strength. This paper provides an initial understanding of some driving factors and their consequences. Since transmission requires people, the human factor behind globalisation is essential. Globalisation, a major force behind global well-being and equality, is highly associated with this factor. The analysis investigates the impact globalisation has on the speed of initial transmission to a country and on the scale of initial infections in the context of other driving factors. Our cross-country analysis finds that measures of globalisation are positively related to the spread of the virus, both in speed and in scale. However, the study also finds that globalised countries are better equipped to keep fatality rates low. The conclusion is not to reduce globalisation to avoid pandemics, but to better monitor the human factor at the outbreak and mobilise collaboration forces to curtail diseases.     

Measurement of destination brand bias using a quasi-experimental design

Image of a country as tourism destination brand can involve a biased or distorted view that is different from its objective reality. Although several destination image studies make references to negative destination images and stereotypical perceptions, bias in images of destination brands has been overlooked by researchers so far. A modified version of Gensch's methodology is used to measure three different spaces of destination image and identify potential biases in it. A quasi-experimental design is applied on three groups of students, using a promotional movie as the stimulant, representing the destination brand, Turkey, known to have a rather distorted image. The results show that the applied methodology can be used effectively in measuring the negative bias in the images of tourism destination brands. Negative bias was found in the perception of both Attractions and Basics factors of Turkey as a tourism destination brand. Managerial and theoretical implications are provided along with limitations and future research suggestions.     

Forecasting stock market volatility: Further international evidence

Abstract

This paper evaluates the out-of-sample forecasting accuracy of eleven models for monthly volatility in fifteen stock markets. Volatility is defined as within-month standard deviation of continuously compounded daily returns on the stock market index of each country for the ten-year period 1988 to 1997. The first half of the sample is retained for the estimation of parameters while the second half is for the forecast period. The following models are employed: a random walk model, a historical mean model, moving average models, weighted moving average models, exponentially weighted moving average models, an exponential smoothing model, a regression model, an ARCH model, a GARCH model, a GJR-GARCH model, and an EGARCH model. First, standard (symmetric) loss functions are used to evaluate the performance of the competing models: mean absolute error, root mean squared error, and mean absolute percentage error. According to all of these standard loss functions, the exponential smoothing model provides superior forecasts of volatility. On the other hand, ARCH-based models generally prove to be the worst forecasting models. Asymmetric loss functions are employed to penalize under-/over-prediction. When under-predictions are penalized more heavily, ARCH-type models provide the best forecasts while the random walk is worst. However, when over-predictions of volatility are penalized more heavily, the exponential smoothing model performs best while the ARCH-type models are now universally found to be inferior forecasters.     

Entrepreneurship in post‐conflict transition1

We examine new self‐employment entry and its viability in Bosnia and Herzegovina, using a rich household survey for the years 2001–2004. We find that wealthier households are more likely to engage in viable self‐employment and create employment suggesting an important role for financing constraints. Specifically, although having an existing bank relationship is not significantly related to the entry decision, it is positively related to the survival for new entrepreneurs and their employment creation. We also find a non‐linear relationship between remittances and entry in that individuals not receiving remittances are more likely to enter self‐employment; but, if they do receive them, the likelihood of starting a business increases in the fraction of wealth received from domestic remittances. Finally, people working in the informal sector are more likely to become viable entrepreneurs, particularly those provided with loans from micro‐credit organizations. These findings support the perception of the informal sector as an incubator for formal self‐employment in the early years of transition.