Don't patronize me! An experiment on preferences for authorship

Do people only reject interference and keep control to affect the outcome? We find that 20% of subjects reject unrequired help and insist on their solution to a problem—although doing so is costly and does not change the result. We tease out the motives by varying the information available to the interfering party (paternalist). Subjects do not resist to show to the paternalist that they were able to find the correct solution. Instead, two motives seem to play a role. First, subjects prefer to have produced or “authored” the solution themselves. Second, subjects desire to signal their authorship and hence their independence to the paternalist.     

Legitimacy of Control

Control sometimes triggers negative responses. Although there is empirical evidence for such negative reactions and theories that can explain them, it remains to be examined when they occur. We conjecture that these negative responses disappear if control is legitimate, that is, if it averts antisocial behavior. Specifically, we predict that fewer individuals respond negatively to control if control prevents selfishness or theft. We confirm these predictions in an experiment.     

You Don't Always Get What You Pay For: Bonuses,Perceived Income and Effort

Abstract. Consider a principal–agent relationship in which more effort by the agent raises the likelihood of success. This paper provides conditions such that no success bonus induces the agent to exert more effort and the optimal contract is independent of success. Moreover, success bonuses may even reduce effort and thus the probability of success. The reason is that bonuses increase the perceived income of the agent and can hence reduce his willingness to exert effort. This perceived income effect has to be weighed against the incentive effect of the bonus. The tradeoff is determined by the marginal effect of effort on the success probability in relation to this probability itself (success hazard‐rate of effort). The paper also discusses practical implications of the finding.     

On the ingredients for bubble formation: Informed traders and communication

Bubbles in asset markets have been documented in numerous experiments. Most experiments in which bubbles occur feature a declining fundamental value. This feature has been criticized for being atypical of real financial markets. Here, we experimentally study other ingredients for bubble formation that are common in such markets, namely the existence of inside information and communication among traders. We find that bubbles and mirages can occur if these additional ingredients are present. In particular, the mere possibility that some traders are better informed than others can create bubbles. Surprisingly, communication turns out to be counterproductive for bubble formation.     

Attitudes toward uncertainty and randomization: an experimental study

Subjects are randomization-loving if they prefer random mixtures of two bets to each of the involved bets. Various approaches appeal to such preferences in order to explain uncertainty aversion. We examine the relationship between uncertainty and randomization attitude experimentally. Our data suggest that they are not negatively associated: most uncertainty-averse subjects are randomization-neutral rather than loving. Surprisingly, a non-negligible number of uncertainty-averse subjects even seems to dislike randomization.     

Phenomenology of Aesthetic Organising--Ways Towards Aesthetically Responsive Organizations

Through explication of a visual research method, this paper theorizes how masculine identity interacts with consumption—of imagery, products, desires, and passions in advertising and consumer culture. We analyze the male body as a discursive “effect” created at the intersection of consumption and several marketing discourses such as advertising, market segmentation, and visual communication, balancing between brand strategy—what the marketer intends—and brand community—the free appropriation of meaning by the market. The paper’s contribution rests in extending previous work on male representation into historical, ontological, and photographic realms, providing a necessary complement between understanding advertising meaning as residing within managerial strategy or wholly subsumed by consumer response. We argue that greater awareness of the connections between the traditions and conventions of visual culture and their impact on the production and consumption of advertising images leads to enhanced ability to understand how advertising works as a representational system and signifying practice.     

Developing cross-selling capability in key corporate bank relationships: the case of a Nordic Bank

This research focuses on the challenges in developing the cross-selling capability of a multinational European corporate bank operating in both the business and consumer markets. An extensive qualitative research design was carried out involving 50 interviews with chief financial officers (CFOs) and bank representatives from four European countries, eight workshops, and participant observation. The barriers to cross-selling experienced by the Bank are specifically: a lack of cooperation within organisational levels and units, non-existent information sharing among employees, underdeveloped internal services for cross-selling, resistance to change, and outdated CRM systems are identified as the five major internal challenges that banks have to cope with. Corporate customers however perceive that the five major challenges that inhibit the corporate banks’ ability to provide better services and to properly exploit cross-selling capability are: the lack of cross-asset management, inability to sell cross-asset services, fragmented organisational structure, the lack of sufficient internal marketing and communication, and lack of knowledge sharing. This study identifies ten major challenges—five that deal with the Bank’s internal personnel, and five identified by key corporate customers—that are essential to overcome to better address cross-selling efforts.