A Proposed Infrastructural Model for the Establishment of Organizational Ethical Systems

We define ethical system infrastructure as being composed of three major factors – means, motivation, and opportunity. Means are defined as organizational rules, policies, and procedures. Motivation focuses upon the values and the interests being pursued by the position occupant and the organizational value system, while opportunity is discussed in terms of the environment in which the dilemma occurs, proposing that position in the hierarchy presents its own unique set of ethical dilemmas. Ethical breeches are discussed in terms of the interactional processes among means, motivation, and opportunity. Finally, a sequential process is suggested to use the infrastructural components to institutionalize organizational ethics training and subsequent behavior.     

Does Policy Instability Matter for International Equity Markets?

We test whether policy risk is systematically priced in equity returns across 49 countries from 1995 to 2013. We construct two global policy risk factors based on the ratings from international country risk guide. They capture the policy risk from government instability (GOVLMH) and the quality of bureaucracy (BURLMH). Both factors are significantly and positively related to equity returns and the BURLMH factor carries a monthly risk premium of 65 basis points. A country with weaker economic and institutional conditions has more risk exposure to the BURLMH factor whereas a country with high democracy has more risk exposure to the GOVLMH factor. Overall, our study reveals the importance and complexity of policy risk in international equity markets.     

Limits‐to‐arbitrage,investment frictions,and the investment effect: New evidence

This study comprehensively reexamines the debate over behavioral and rational explanations for the investment effect in an updated sample. We closely follow the previous literature and provide several differences. Our tests include five prominent measures of corporate investment and corporate profitability in q‐theory and recent investment‐based asset pricing models. Both classical and Bayesian inferences show that limits‐to‐arbitrage tend to be supported by more evidence than investment frictions for all investment measures. When idiosyncratic volatility and cash flow volatility are used in measuring investment frictions, the inference is more favorable for the rational explanation.     

Employee–organization exchange and employee creativity: a motivational perspective

Abstract

A critical omission in employee creativity literature is lack of a clear understanding of why and how employee–organization exchange (EOX) affects employee creativity. We collected three-phrase data from 384 employees working with 64 supervisors in Guangdong Province, China. Results of Mplus (using design-based modeling approach) suggest that (i) need satisfaction mediates the EOX-creativity relationship, (ii) leader-member exchange (LMX) enhances the positive EOX-need satisfaction relationship, (iii) creative self-efficacy (CSE) neutralizes the positive need satisfaction-creativity relationship, and (iv) the indirect effect of EOX on creativity via need satisfaction is stronger for employees with high quality LMX and with low CSE. Using inducement-contribution framework, the study integrates social exchange and self-determination theories to explicate the mediating role of need satisfaction in the EOX-creativity relationship. Further, the study contributes to the understanding of the EOX-creativity relationship by examining the boundary conditions of LMX (as a synergistic enhancer) in the first stage and CSE (as a neutralizer that diminishes gains) in the second stage of indirect effect.     

Dynamic portfolio choice without cash

We consider the dynamic mean–variance portfolio choice without cash under a game theoretic framework. The mean–variance criterion is investigated in the situation where an investor allocates the wealth among risky assets while keeping no cash in a bank account. The problem is solved explicitly up to solutions of ordinary differential equations by applying the extended Hamilton–Jacobi–Bellman equation system. Given a constant risk aversion coefficient, the optimal allocation without a risk-free asset depends linearly on the current wealth, while that with a risk-free asset turns out to be independent of the current wealth. We also study the minimum-variance criterion, which can be viewed as an extension of the mean–variance model when the risk aversion coefficient tends to infinity. Calibration exercises demonstrate that for large investments, the mean–variance model without cash yields the highest certainty equivalent return for both short-term and long-term investments. Furthermore, the mean–variance portfolio choices with and without cash yield almost the same Sharpe ratio for an investment with large initial wealth.     

Labour Shortage in Hong Kong: Causes,Consequences and Policies*

This paper addresses the issue of labour shortage in Hong Kong. Labour shortage is a secular phenomenon caused mainly by a stagnation in the growth of the labour force. The major long-term factors that explain this stagnation are a decline in fertility, a fall in the labour participation rate, a reduced intake of immigrants and a rising outflow of emigrants. Labour imposes a capacity constraint on the growth of the economy. This paper considers policies which may alleviate the supply constraint on the economy, including reducing emigration, importing labour and increasing immigration intake. These policies, which would lead to a faster expansion of the labour force, are evaluated and compared.     

新形势下越南经济发展面临的挑战及战略构想

越南政府期望通过经济的高速增长实现消灭贫穷的目标,但在当前世界经济面临明显的下行风险和全球资本流动性过剩的背景下,加上国内通货膨胀的压力,给越南政府的宏观调控带来了巨大的挑战。本文通过对目前越南经济发展中的宏观环境和金融环境的剖析,从金融制度改革等方面提出治理当前经济发展所面临问题的建议措施。     

Does the look matter? The impact of casino servicescape on gaming customer satisfaction,intention to revisit,and desire to stay

Despite huge investment made by casinos on their physical structures, little has been know if physical environment actually affects psychological responses of gaming customers. This paper explores how dimensions of servicescape influence customer satisfaction and behavioral intentions in the casino environment. Using Bitner's model of physical surroundings, we hypothesized how ambience, navigation, seating comfort, interior decor, and cleanliness affected cognitive and affective satisfaction of gaming customers. We further proposed that gaming customer satisfaction would affect their desire to stay and intention to revisit. Data from 513 gaming customers of Macau offered support to most of our hypotheses. Implications for research and managerial practices were also discussed.     

Relationship between customer complaint behavior and demographic characteristics: A study of hotel restaurants' patrons

This study documented customer complaint behavior in hotel restaurants in Deadwood, USA, and examined the relationship between complaint behavior and demographic characteristics. The sample consisted of 250 hotel restaurant customers. It was found that the hotel restaurant customers tended to complain privately rather than taking public actions. Older, well-educated, customers with higher incomes tended to take private action to complain about their dissatisfaction more than younger, less educated customers with lower incomes. Based on results of the study, implications were suggested for industry practitioners to diminish the negative impact of complaint on hotel restaurants.     

Performance impact of middle managers' adaptive strategy implementation: The role of social capital

This article reconciles mixed findings about the performance impact of middle managers' strategy involvement. We propose that the relationship between middle managers' adaptive strategy implementation—through upward and downward influence—and objective business performance can be curvilinear and contingent on formal and informal structures. Applying a multilevel perspective to social networks, we empirically show that reputational social capital enhances the performance impact of middle managers' upward influence while informational social capital elevates the performance impact of their downward influence. The size of a business unit or region has differential moderating effects. The curvilinear effects of middle managers' upward influence and reputational and informational social capital on business unit performance reflect paradoxes. We discuss the implications of these findings for strategy implementation research and practice. Copyright © 2013 John Wiley & Sons, Ltd.