On optimal cartel deterrence policies

This paper studies audit policies designed to deter explicit cartels in the most effective way. We first compare a standard random and stationary audit strategy with a simple deterministic but non stationary strategy; we show that the certainty of an ulterior control may better deter collusion than the recurrent threat of a sword of Damocles that would lead on average to same frequency of audit.We then explore more complex non stationary strategies and show that it is theoretically possible to deter collusion in the whole economy, even with a small audit budget.     

Internationalization capabilities of SMEs: A comparative study of the manufacturing and industrial service sectors

Nowadays, the global economy requires developed countries to undergo industrial restructuring. In this context, industrial small- and medium-sized enterprises (SMEs) need to collaborate with the service sector to enhance their competitiveness and strategic capabilities. Indeed, industrial service SMEs have been the object of particular attention from governments since these enterprises have become a key element for manufacturing and innovation networks in developed countries. However, these firms, as well as the manufacturing SMEs they serve, now face the challenge to internationalize. This paper addresses the of the strategic capabilities required by SMEs in general, and manufacturing and industrial service SMEs in particular, to internationalize, as well as the effect of these capabilities on their export performance. These strategic capabilities are presented in a research model, which relates human resources (HR), product development capabilities and market development capabilities to export performance. In testing this model with a sample of 347 Canadian and French SMEs, similarities and differences between the two types of SMEs are highlighted.     

Solvency II Is Not Risk-Based—Could It Be? Evidence from Non-Life Calibrations

Risk-based prudential regulations are spreading. For example, the capital requirements of Solvency II are considered to be founded on a risk measure. We focus on premium and reserving risks, which represent 40% of capital requirements for non-life insurance companies in Europe, and draw on internal robustness tests to demonstrate that these measures are unreliable. There are three possible explanations for this lack of reliability: a political economy factor, an idiosyncratic factor, and an epistemological barrier. We examine each of these and evaluate their significance, thus casting doubts on the feasibility of such ambition and providing insights to adapt the design of any prudential regulation intended to be risk-based to such pitfalls.     

Patterns underlying required HR and IT competencies: a content and cluster analysis of advertisements of HR manager positions

Abstract

Despite the pervasiveness of Information Technology (IT) in organizations, IT competencies for non Information Systems professionals such as Human Resource (HR) managers have been overlooked and limited attention has been paid to the interrelationships between IT and non-IT competencies. Building upon signaling theory and the configurational approach, this study characterizes actual IT and HR competencies that firms signal when recruiting for HR manager positions. A content analysis of 207 online job advertisements of HR manager positions is first conducted. Using factor analysis, three bundles of competencies are unveiled: IT, strategy, and employee and workplace well-being. Then, a cluster analysis approach that combines hierarchical and non-hierarchical clustering algorithms is applied, followed by discriminant function analysis for validation. The study uncovers three strongly separated clusters of recruiting organizations based on required IT and HR competencies for HR manager positions. The clusters are labeled according to their dominant required competencies: (1) strategy proponents ?10% (2) technology proponents ?30%, and (3) basic proponents ?60%. The proposed classification goes beyond the normative understanding of IT competencies for HR managers and the way they combine with HR competencies: it provides a well-structured and parsimonious lens that is useful for recruiters, applicants, and educators.     

Leveraging Associations: The Promotion of Cultural Sponsorships

SUMMARY

Sponsorship of the arts is growing as a marketing communication method, and companies are using this tool to achieve various business objectives. These include branding, corporate hospitality, and building community relations. The activities that the companies engage in to promote the sponsorships are guided by the objectives they wish to achieve. Additional leveraging is supported by advertising and public relations for branding. For corporate hospitality, promotional support is vested in personal selling with public relations initiatives. For community relations, promoting the sponsorship is focused primarily on public relations activities with an emphasis on personal selling.