United States Demand for Indonesian Plywood 1

Indonesia's exports of plywood are the largest in the world and a leading source of foreign exchange earnings. Although the industry's growth has been rapid, several studies indicate that it has been subsidised both directly and indirectly. What are the prospects for Indonesia to offset these subsidies by raising plywood prices as its share of key import markets grows? This paper sheds light on this question by analyzing econometrically the United States' imports of Indonesian plywood from July 1979 to December 1986, using a monthly import demand model. The results suggest that Indonesia's rapid expansion into the US plywood market has been due primarily to its low plywood prices, and that attempts to raise prices relative to those of competing export regions would result in significant reductions in market share.     

Towards a unified theory of the firm: An historical approach

Most microtheorists have been preoccupied with the productive aspects of the firm, tending to neglect the questions of capital investment and finance. However, the interdependent nature of production, investment, and finance has not gone totally unrecognized. Over the past 50 years, a handful of economists have written on this interdependence. These economists' works form the intellectual background on which this study is based. With the insights thus gained, the essential features of a unified theory of the firm is outlined.     

Distortion of preferences and the Nash theory of bargaining

It is shown that in Nash bargaining over division of a single good, when agents are allowed to distort their von Neumann-Morgenstern utility functions into any (weakly) concave form, reporting linear utility functions constitutes a unique dominant-strategy Nash equilibrium.     

Machine performance centres: a survey of technology management issues and their impact on industrial corporate competitiveness

This paper reports the results of a machina performance centre survey of 54 industrial manufacturers in the USA. Here a machine performance centre refers to the technological or mechanical components of a production floor, i.e. machinery, used intentionally to produce a pre-established form of output. The paper details findings and analyzes survey results both individually and comparatively with traditional Japanese manufaturing plactices in order to prova that the demise of many US industrial manufacturerc has been caused in large part by internal technology management failures. The results provide the basis for the proposed conceptual framework for machine performance centre management described within the context of the paper. Substantive effort is made to describe the potential implications of the research on corporate competitiveness and machine performance centre management while the empirical message is azmed at providing a new premise of thinking for the management of industrial manufacturing organizatzons.     

Voting with their feet or activism? Institutional investors’ impact on CEO turnover

We examine the relation between institutional investors and management discipline over the last several decades to better understand how CEO turnover has increased. Using a sample of forced and voluntary turnovers, we investigate the changing roles of activism and exit among institutional investors between 1982-1994 and 1995-2006. We find evidence of activist investors throughout the sample period and their impact is consistently significant in multivariate analysis. In contrast, voting with their feet has declined to the point where it no longer affects turnover outcomes. Nonetheless, activism is fairly uncommon and does not explain the higher turnover observed over time. Block holdings of known activists have increased and are linked to improving target firms. However, other blocks merely reflect the increasing size of institutional money managers. Going forward, the increasing size of institutional investors seems likely to inhibit voting with their feet while activism remains an important vehicle for change.     

Solutions for customer complaints about offshoring and outsourcing services

In order to provide the highest quality services at lower costs, global firms have shifted their customer service functions offshore. Despite the apparent advantages of offshoring services, customers tend to object to the practice based on concerns about private/personal information being sent overseas. Additionally, executing service exchanges with overseas providers can be challenging because of perceived communication difficulties and cultural differences. The purpose of this article is to offer managers of firms that offshore services a clearer understanding of consumer concerns and provide guidance for alleviating these concerns. Specifically, suggestions are proffered regarding how to (1) minimize communication and cultural misunderstandings between customers and service providers, (2) assure customers that personal/private information is secure, and (3) restructure service activities to alleviate customer dissatisfaction. Unless such customer concerns are successfully identified and addressed, companies may not benefit from pursuing a services offshoring strategy.