Cross-cultural entrepreneurship research: Current status and framework for future studies

Although cross-cultural research in the field of entrepreneurship is still in its infancy as a research stream, it offers important inferences for both theory and practice. Some have criticized the relative immaturity of previous survey-based studies’ methodology. In order to address this flaw, we analyze existing survey-based studies in the field of cross-cultural entrepreneurship to identify research gaps in content and methodology and then derive the most appropriate analytical approach to fill the gaps for this type of research. Finally, we present a practical framework in which to conduct sound and prudent future studies, integrating the most appropriate analytical approach, general methodological insights, and the particularities of entrepreneurship research in a cross-cultural setting.

Assessing cross-cultural marketing theory and research

A content analysis of 99 articles focuses on the comparative cross-cultural marketing research in 14 leading marketing and business journals from 1990 to 2008. The content analysis indicates strong growth in cross-cultural studies, especially in terms of studies on consumer attitudes and behavior and on promotion-related topics. This study classifies articles according to a series of conceptual (e.g., cultural dimensions employed in the study) and methodological (e.g., use of analytical technique) criteria. Although researchers have advanced in both conceptual and methodological respects, the studies still focus strongly on the dimensions from Hofstede (2001); methodologically, the dominance of two-country studies is problematic. Further, survey data from North America and Europe and researchers based and trained in North America and Europe are still dominant in the research field.     

Flexible estimation of price response functions using retail scanner data

Kalyanam and Shively [1998. Estimating irregular pricing effects: a stochastic spline regression approach. Journal of Marketing Research 35 (1), 16–29] and van Heerde et al. [2001. Semiparametric analysis to estimate the deal effect curve. Journal of Marketing Research 38 (2), 197–215] have demonstrated the usefulness of nonparametric regression to estimate pricing effects flexibly. The empirical results of these two studies, however, also revealed that nonparametric regression may suffer from too much flexibility leading to nonmonotonic shapes for price effects. In this paper, we show how the problem of nonmonotonicity can be dealt with without losing the power of flexible estimation techniques. We propose a semiparametric approach based on Bayesian P-splines with monotonicity constraints imposed on own- and cross-price effects. In an empirical application, we illustrate that flexible estimation of own- and cross-price effects can improve the predictive validity of a sales response model substantially, even when price response curves were constrained to show a monotonic shape, as suggested by economic theory. We also discuss the consequences from an unconstrained estimation of price effects.     

Merger policy and tax competition: the role of foreign firm ownership

In many situations, governments have sector-specific tax and regulation policies at their disposal to influence the market outcome after a national or an international merger has taken place. In this paper we study the implications for merger policy when countries non-cooperatively deploy production-based taxes and firms may be partly owned by foreigners. We find that when foreign firm ownership is low in the pre-merger situation, non-cooperative tax policies are more efficient after a national merger, and smaller synergy effects are needed for this type of merger to be proposed and cleared. In contrast, cross-border mergers dominate when the degree of foreign firm ownership is high initially. These results suggest a link between increasing international portfolio diversification and the rising share of cross-border mergers.     

Liberalization strategies for free trade in services

Trade in services is being dealt with in GATT negotiations for the first time in the present Uruguay Round. The discussion on the proper liberalization instrument to be applied to trade in services is highly controversial. This paper attempts to clarify the discussion and outline rational policy options.     

Do “blacklists” enhance aviation safety?

For some time now, discussions have been under way in the EU on the possible publication of an official “blacklist” of unsafe airlines or countries where accident rates are above average. How effective is this instrument? What are the conceivable alternatives?     

On the Credibility Determinants of a Quality Label: a Quasi-Natural Experiment Using the Example of <Emphasis Type="Italic">Stiftung Warentest</Emphasis>

In 2013, Stiftung Warentest, which is one of the most important consumer organizations in Germany, tested hazelnut chocolate for their leading magazine called test. The hazelnut chocolate of Ritter Sport, which is a high-quality producer of chocolate in Germany, failed the test and received the grade “unsatisfactory.” Stiftung Warentest accused Ritter Sport of labelling an artificial flavouring as a natural flavouring. Ritter Sport rejected the accusation, went to court, and won the trial. Stiftung Warentest had to withdraw the issue in question of test magazine. The affair received broad media coverage from December 2013 to September 2014. Using the case Ritter Sport versus Stiftung Warentest, it is analysed whether negative headlines really undermine the credibility of a quality label by examining Stiftung Warentest and their quality label called test. In addition, it is examined what can be done to restore or, more generally, increase the credibility of a quality label. Based on a quasi-natural experiment, it is found that the negative headlines regarding Stiftung Warentest have undermined the credibility of the test label. It is also found that the credibility of the test label can be increased by providing reference values to the tests, strengthening the independence of Stiftung Warentest, and using laboratory methods for the tests. For the most part, the same holds true for any quality label. High-quality producers, quality-conscious consumers, and the awarding organization of the quality label can benefit from an increased credibility of a quality label.     

Indoctrination or education? Intention of unqualified teachers to transfer consumption norms in home economics teaching

Almost two thirds of home economics (HE) teachers in Sweden are formally unqualified (FU). Historically, HE has focused more on fostering and prescribing the ‘right’ choices whereas the modern (2011‐) curriculum focuses on teaching consequences of choices and giving students tools for assessing alternatives. Restraining from prescribing norms requires a high degree of professionalism. The objective of this study was to empirically investigate the prevalence of intentions of FU teachers to prescribe consumption norms not supported by the curriculum. Furthermore, to investigate to what extent these intentions are correlated with years of experience as a teacher, personal preferences, or personal consumption. The intention to transfer norms were measured using the concept of intentional misalignment applied to a survey distributed to a sample of FU teachers attending complementary teacher education. A two part survey was used. The first part consisted of multiple choice questions asking the teachers how important they saw it to transfer different consumption norms to their students (e.g. to consume local or organic food). These responses were evaluated quantitatively (Spearman rank correlation, Wilcoxon rank sum test and Kruskal‐Wallis analysis of variance). The second part consisted of an open‐ended question asking teachers to describe what they saw as the most important take‐home message for students in HE. The answers were compared to the national curriculum to identify intentions to transfer unsupported norms. The study indicates that more than a third of the FU HE teachers in Sweden express the intention to prescribe specific types of consumption or to transfer consumption norms that are not supported by the curriculum. The prevalence is correlated to personal preferences and thus indicates difficulties with keeping a professional perspective. These teachers must be given collegial support and opportunities for continued education–to ensure high‐quality HE education for future generations.