Value of digital information networks: a holonic framework

The worldwide extraordinary level of interest in digital information networks’ deployment among nations is due to the strong perception that they bring economic, social and environmental value. Our literature review on studies aiming at clarifying the value of information networks, led us to conclude that these studies take speculative, elusive or limited conclusions. We identify the requirements to capture the value of information networks and indicate a possible theoretical ground to account for it. Based upon this, we propose a framework operationalized with data from Eurostat. Furthermore, we identify the added-value of our framework with a precise and comprehensive comparison with two state of the art reference frameworks. We demonstrate that our framework provides significant conceptual added-value and, more fundamentally, allows for traditional measures of economic value (e.g. productivity and growth), as well as for other measures of value (e.g. social and environmental). Finally, we demonstrate with examples the wider application range of our framework in comparison with existing work.     

Learning conditions at work: a framework to understand and assess informal learning in the workplace

The purpose of this article is to develop a framework to understand and assess the quality of learning environments in the workplace. It is argued that indicators used to measure and assess informal learning at work, at both the national and the enterprise level, are underdeveloped. Consequently, current frameworks to measure and benchmark learning are heavily biased towards education and formal training. A new framework is developed, based on a quantitative survey representative of the private sector in Norway. The framework consists of seven learning conditions, which have significant effects on informal learning at work. Implications for further research, policy and practice are discussed.     

A review of industrial market segmentation research and a proposal for an integrated segmentation framework

This article focuses first on a review of published articles on industrial market segmentation. The origin of formal propositions for segmenting industrial markets is presented. Next, industrial buying models and studies are shown to be a source of industrial market segmentation variables. A review of segmentation variables leads to a check list comprising four main classes of variables. Industrial market segmentation can be structured as a two step process with macro-segmentation followed by micro-segmentation or as a multiple step process (nested approach) proceeding from general to specific variables. Industrial market segmentation is then examined regarding its implementation in companies and specific segmentation variables are reviewed with respect to their degree of availability, appropriateness and usage. Finally, multi-participant buying decisions in both the consumer market and industrial market are integrated in a common segmentation framework.     

Schoolchildren's abilities to frame,understand and successfully manipulate food label information: enabling consumer choice through education

At a time when the major dialogue in food labelling is directed towards the volume and type of information presented, it is important to understand whether adolescents leaving education have the abilities to comprehend and use the current label as they represent the next generation of consumers. Legislation has been created to protect consumers and to enable them to make informed food choices. Food labels carry a significant volume of mandatory and voluntary information, designed to fulfil a variety of commercial and consumer functions. For these laws to be effective at an individual level, it is important that information is framed correctly, and that people can manipulate the data in an accurate and meaningful manner. In order to optimise food label information consumers require some competence across three different conceptual dimensions: maths, English comprehension, and health and nutrition. Most individuals acquire such skills at school. The pilot research that this paper describes investigates changes in the abilities to frame, comprehend and manipulate label information, of 19 schoolchildren at one secondary school in Scotland. The main research, to be conducted in 2003, will include over a thousand children from another seven Scottish schools. Statistical analysis indicates that there is a significant improvement in the dimensions of both maths and English comprehension between levels S1 and S5, whilst the health and nutrition dimension does not show such significance. Each dimension has been measured against attitudes towards the use of labels in shopping and cooking to determine if the differences between those who use labels and those who do not are significant The research also proposes a new method of presenting nutrition information to make it more meaningful to individuals across a wide spectrum of competence by reducing the number of conceptual components required to comprehend it.     

Oil and the poor countries: A proposal

One of the more unhappy effects of the recent, massive rise in the price of crude oil has been its impact on those developing countries not fortunate enough to be oil exporters themselves. The authors offer a proposal for rechanneling some of the oil revenues to the impacted developing countries.     

Speed in acquisitions: A managerial framework

The advantage of speed is often invoked by academics and practitioners as an essential condition during post-acquisition integration, frequently without consideration of the impact earlier decisions have on acquisition speed. In this article, we examine the role speed plays in acquisitions across the acquisition process using research organized around characteristics that display complexity with respect to acquisition speed. We incorporate existing research with a process perspective of acquisitions in order to present trade-offs, and consider the influence of both stakeholders and the pre-deal-completion context on acquisition speed, as well as the organization’s capabilities to facilitating that speed. Observed trade-offs suggest both that acquisition speed often requires longer planning time before an acquisition and that associated decisions require managerial judgement. A framework for improving manager decisions during acquisitions is discussed and its implications for managers and research summarized.     

Ethics in organizations: A framework for theory and research

In a climate of increasing interest and activity within the field of business ethics, as yet there exists no coherent conceptual framework for organizational theory and research. From a review of current thinking and previous writings a framework of concepts is suggested to help set an agenda for empirical research. The elements of this are, first, a taxonomy of ethical domains: the foci of organizations' and their agents' ethical concerns and conduct. Second, it is considered how ethical functioning might be analysed in terms of causal relationships between expressive forms, voluntary action and instituted forms. Third is discussed ethical process, the means by which ethical awareness is aroused. Fourth and last, the paper examines how normative evaluations might apply to the ethical condition of organizations and their agents, meaning change or stability in reputation and integrity. At each stage of the argument possible objectives for research are developed.Professor Nigel Nicholson is Chairman of the Organisational Behaviour Group and Director of the Centre for Organisational Research at London Business School. Previously, he led investigations into Individual and Organisational Change at Sheffield University's Social & Applied Psychology Unit, and has also held visiting appointments at American, Canadian and German universities. He has published 8 books and over 65 articles on a wide range of topics, and been honoured with an award from the Academy of Management for his contribution to theory.     

Understanding product migration to the electronic marketplace: A conceptual framework

We present a conceptual framework that organizes current thinking regarding increased interactivity in the electronic marketplace and its implications for product migration. Product migration refers to the extent of reliance by buyers and sellers on the electronic marketplace for activities pertaining to information search, purchase, acquisition, use, and disposal of a product. We posit that value outcomes derived by buyers and sellers from increasing interactivity mediate the relationship between interactivity and product migration. The relationship between interactivity and value outcomes for buyers and sellers is moderated by three sets of product-related characteristics: the core characteristics of the product, its purchase and use-related characteristics, and market characteristics. Inertia and resistance exhibited by buyers and sellers negatively impact product migration to the electronic marketplace and also attenuate the impact of value outcomes on product migration. In addition to guiding theoretical and empirical work in this emerging area, the proposed framework can also be employed to structure a firm's strategic discussions related to the electronic marketplace.     

Early internationalization: A transaction cost economics and structural embeddedness perspective

This paper develops and tests a framework for the determinants of early internationalization by drawing on transaction cost economics supplemented with structural embeddedness reasoning. We theoretically explore how asset specificity, prior international experience of the management team, and international network contacts impact early internationalization of the firm. Furthermore, we elaborate how early internationalization is related to foreign market performance. Our results show that asset specificity is negatively related to early internationalization, whereas prior international experience of the management team and international network contacts have a positive impact on early internationalization. Furthermore, our results suggest that early internationalizers are more successful in respect to foreign market performance than companies that have internationalized in later years.     

The economics of professional services: lemon markets, credence goods, and C2C information sharing

We discuss how professional service markets are plagued by asymmetric information, by looking jointly at the literature stemming from the seminal work of Akerlof on the “market of lemons”, and at the definition of “credence good” which has been developed especially within the field of health economics. Since consumers cannot evaluate ex post the quality of purchased professional services when these are “credence goods”, they cannot rely with 100 % confidence on other consumers’ and experts’ signals about service providers’ quality. Hence, questions arise on the effectiveness of traditional market features highlighted in literature as market-enhancing when information asymmetry is an issue, namely: advertising, certification, reputation, and liability. Our analysis specifically focuses on consumer-provided knowledge by looking at recent development of Web-based rating and reviewing services. Results point to the fact that consumers in the U.S. heavily rely on such services, and they do so roughly in proportion to their consumption of each professional sector. Therefore, future research on professional services should include a “C2C search technology” when modeling consumer behaviors that allows to define how much each professional service is to be considered as pure or hybrid “credence good.”     

Professional conduct and professional misconduct: A framework and its application to the accounting profession

Recently there has been increased attention paid to the behaviour of those who call themselves professionals. The idea of acceptable professional conduct incorporates the expectations of a number of groups affected by the activities of professionals. The framework of professional behaviour considered acceptable at a point in time is an equilibrium among these groups' expectations. This paper argues that shifts in the expectations of any of these groups will disturb this equilibrium. This process of disequilibrium and change leads to altered views of professional behaviour. Professional misconduct or unprofessional behaviour, that is, the failure to meet expectations, is inherent in the underlying framework of a profession.The framework is applied to the public (chartered) accounting profession, where the interacting groups are accounting professionals, their clients and the general public. Current issues of debate about professional behaviour are identifiable as consequences of altered expectations about acceptable behaviour. Acceptable conduct has become misconduct (and vice versa) and written rules of conduct conflict with unwritten rules.The paper concludes with two interrelated issues for further research. A new equilibrium is considered; and permanent change in the framework of the professions, the groups in the professional structure and the mechanisms of their interaction, is addressed.Ann Neale is a lecturer at The University of Auckland. Her research interests include the accounting profession, gender issues in accounting, in particular the position of women in the accounting profession, and professional ethics.     

The integration-responsiveness framework and subsidiary management: A response

The discussion that follows responds to Haugland's (forthcoming) questions regarding the justification for using the I-R framework, the appropriateness of using the framework's implied taxonomy as the basis for formulating hypotheses and conducting empirical tests of differentiated fit, and the usefulness of the implications thereby derived. This response also discusses the applicability of the alternative structural model proposed by Haugland from a theoretical and empirical point of view. The discussion shows that the fit approach by Lin and Hsieh (forthcoming) may better explain subsidiary strategies and management than Haugland's model does. This response demonstrates the appropriateness and extends the applicability of the I-R framework.     

Causation and effectuation processes: A validation study

We develop and validate measures of causation and effectuation approaches to new venture creation and test our measures with two samples of entrepreneurs in young firms. Our measure of causation is a well-defined and coherent uni-dimensional construct. We propose that effectuation is a formative, multidimensional construct with three associated sub-dimensions (experimentation, affordable loss, and flexibility) and one dimension shared with the causation construct (pre-commitments). As specified by Sarasvathy (2001), we also show that causation is negatively associated with uncertainty, while experimentation, a sub-dimension of effectuation, is positively correlated with uncertainty. The major contribution is the resulting validated scales that measure causation and effectuation.     

Brand response to environmental turbulence: A framework and propositions for resistance,recovery and reinvention

As valuable assets of corporations, governments and not-for-profit organizations, brands have attracted considerable research attention. We know a lot about how brands create knowledge in their target consumers’ minds, which leads to an attitude towards or relationship with the brand that translates into a number of favorable outcomes. The resultant brand equity is often associated with improved performance of the organization in reaching its objectives such as increasing market value. We know less about the dynamic nature of brand equity and, in particular, how it may interact with turbulence in the external environment in which the brand competes, both positively and negatively. We examine three key dimensions of brand equity—brands’ access to their target markets, perceived differentiation, and level of brand engagement with their target consumers—that influence the effect environmental turbulence has on diminishing equity or providing future opportunities for brand equity growth. Borrowing from the strategy literature, we suggest ways in which agile and resilient firms can use brand equity to resist environmental turbulence, recover from any damage that may result from it, and reinvent themselves to leverage opportunities created by a radically altered external environment. We close with a set of propositions intended to guide managers in anticipating and responding to environmental turbulence and inform and shape future research in this area.     

Transaction cost economics in practice: Applications and evidence

Transaction cost economics (TCE) has been criticized for presenting an undersocialized view of human nature, for confusing cause and effect, and for being ad hoc. This article attempts to rebut the last charge by reviewing a large body of empirical evidence on contracting and economic organization. Specifically, we maintain that enough empirical work has been carried out to shift the burden of persuasion to TCE's skeptics. As we show, the empirical evidence lines up remarkably well with the logic of organization described by TCE. After a conceptual and methodological review, we survey a range of studies on vertical integration (including forward integration into marketing and distribution), complex contracts and hybrid modes of organization, transfer pricing, and multinational corporations. We conclude with a discussion of the implications of TCE for business organization.This paper draws on material in Shelanski and Klein, 1995.     

Formal entrepreneurship theory in economics: Existence and bounds

Theoretical analysis often can penetrate difficult economic problems in circumstances where common sense is an unreliable guide to decision making. This paper provides some new theoretical problems related to entrepreneurial decisions and behavior. For example, it investigates the optimal timing of the introduction of an innovation. Typically, in practice, innovation is a continuous process. The longer the delay in the transfer of a new product from the R&D facilities to manufacturing and marketing, the more the product is likely to be improved.But that delay also gives competitors an enhanced opportunity to get there first. This paper shows how this trade-off can be analyzed systematically, and yields some surprising results about the optimal decision on the timing of the introduction of the new product.