Correction to: Developing Ethical Confidence: The Impact of Action-Oriented Ethics Instruction in an Accounting Curriculum

After the USSR collapsed, the Russian economy underwent serious changes from being plan-based to a market economy. These changes, together with political instability, created a business environment where no attention was paid to ethics. Russian managers have little experience operating in a market economy, which created many misunderstandings with foreign partners, especially regarding ethical issues of doing business. This study examined the factors influencing the ethical judgments of Russian employees to understand how they perceive ethical issues and make ethical or unethical decisions at work. The Ferrell and Gresham (J Mark 49:87–96, 1985) framework was employed in this study to understand the process of making ethical decision by an individual. Transparency was proposed as a moderator of the relationship between opportunity factors and employees’ ethical judgments. Findings of this study show that Russian employees tend to be more tolerant towards ethically questionable behaviors at a workplace. Moreover, the results also demonstrate that transparency moderates the influence of opportunity to behave unethically on ethical judgments.     

Saving face and group identity

Are people willing to sacrifice resources to save one’s and others’ face? In a laboratory experiment, we study whether individuals forego resources to avoid the public exposure of the least performer in their group. We show that a majority of individuals are willing to pay to preserve not only their self- but also other group members’ image, even when group identity is minimal. When group identity is made more salient, individuals help regardless of whether the least performer is an in-group or an out-group. In contrast, people are less likely to sacrifice for individual strangers, showing a major role for group identity and reputation concerns within groups relative to an interpretation in terms of moral norms.     

Cheating,emotions, and rationality: an experiment on tax evasion

The economics-of-crime approach usually ignores the emotional cost and benefit of cheating. In this paper, we investigate the relationships between emotions, deception, and rational decision-making by means of an experiment on tax evasion. Emotions are measured by skin conductance responses and self-reports. We show that the intensity of anticipated and anticipatory emotions before reporting income positively correlates with both the decision to cheat and the proportion of evaded income. The experienced emotional arousal after an audit increases with the monetary sanctions and the arousal is even stronger when the evader’s picture is publicly displayed. We also find that the risk of a public exposure of deception deters evasion whereas the amount of fines encourages evasion. These results suggest that an audit policy that strengthens the emotional dimension of cheating favors compliance.     

Institutional dynamics and organizations affecting the adoption of sustainable development in the United Kingdom and Brazil

This paper provides an exploratory comparative assessment of the institutional pressures influencing corporate social responsibility (CSR) in a developed country, UK, vs. a developing country, Brazil, based on a survey of different actors. Information on sustainability concerns, organizational strategies and mechanisms of pressure was collected through interviews with environmental regulatory agencies, financial institutions, media and non‐governmental organizations. Our results confirm that the more advanced awareness and CSR responsiveness in the UK is a consequence of a predominance of coercive and normative forces on the organizational field. The institutional forces tend to build a Brazilian organizational field that is relational based and risk intensive. The findings lend support to the view that CSR responses are unlikely to be easily transformed into uniform standardized practices across the globe. This paper contributes to a collective understanding of the organizational field and a common template for CSR in the context of developed and developing countries.     

Sustainable Development and the Consumer: Exploring the Role of Carbon Labelling in Retail Supply Chains

This empirical article contributes to the sustainable development debate by examining consumer responses to carbon labels within a real world context. Given the limitations of methodologies that use self‐reported or intended measures of purchasing behaviour, we use the loyalty card data of the largest supermarket retailer in the UK to measure the impact of carbon labels on sales by different consumer segments. The data show that the trial of carbon labels on supermarket own brand products has had no discernible impact on shifting demand to lower carbon products. In order to explore possible reasons for lack of impact, nine focus groups were held using purposive sampling by retailer consumer segments to allow an exploration of awareness, understanding and use of carbon labels. The findings from the focus groups identified possible reasons for this lack of impact: lack of awareness and understanding of carbon labelling; constraining or facilitating social and cultural influences; and the heterogeneous nature of consumers. As a result, a number of implications for stakeholders are discussed. Copyright © 2013 John Wiley & Sons, Ltd and ERP Environment.     

How Related Multiscreening Could Positively Affect Advertising Outcomes

The use of multiple screens, also known as multiscreening, is assumed to have detrimental consequences for advertising outcomes. However, many people are engaging in this form of media multitasking on a daily basis. Therefore, it is important to focus on how to improve the effectiveness of advertisements when multiscreening. The aim of this study is to examine a key facilitator of advertising effects when multiscreening, namely task relevance. In two separate experiments—an online study (n = 280) and a laboratory (n = 185) study—we showed that people who engage in related multiscreening have better brand memory and more positive brand attitudes than people who engage in unrelated multiscreening via attention and subsequent program involvement. The results of the current study contribute to our understanding of multiscreening and advertising effects by showing that multiscreening does not always have to be detrimental to advertising effects. Furthermore, this study is unique because it combines two methodological approaches of multiscreening research.     

Emotions,Sanctions, and Cooperation

We use skin conductance responses and self‐reported hedonic valence to study the emotional basis of cooperation and punishment in a social dilemma. We argue that the availability of sanctions sets in motion a “virtuous emotional circle” that accompanies cooperation. Emotional reaction to free riding leads cooperators to apply sanctions. In response, and in addition to the monetary consequences of receiving sanctions, the negative emotions experienced by the free‐riders when punished lead them to increase their subsequent level of cooperation. The outcome is an increased level of cooperation that becomes a new norm. Therefore, emotions sustain both the use of altruistic punishment and cooperation.     

New technology based firms and the emergence of new industries: some employment implications

This article challenges conventional theories on the role of NTBFs in the growth of new industries. Its'community dynamics'approach is an alternative to the SPRU model of'dynamic complementaries'and argues that while NTBFs are crucial, their capacity for employment generation is low.     

A Note on the Identification of Dynamic Economic Models with Generalized Shock Processes

Dynamic stochastic general equilibrium (DSGE) models with generalized shock processes, such as shock processes which follow a vector autoregression (VAR), have been an active area of research in recent years. Unfortunately, the structural parameters governing DSGE models are not identified when the driving process behind the model follows an unrestricted VAR. This finding implies that parameter estimates derived from recent attempts to estimate DSGE models with generalized driving processes should be treated with caution, and that there always exists a tradeoff between identification and the risk of model misspecification. However, these results also make it easier to address the issue of model misspecification by making it computationally easier to check the validity of cross‐equation restrictions.