Should Access to Credit be a Right?

Discussion on financial ethics increasingly includes the problem of exclusion of the poorer segments of society from the financial system and access to credit. This paper explores the ethical dimensions surrounding the concept of a human right to credit. If access to credit is directly instrumental to economic development, poverty reduction and the improved welfare of all citizens, then one can proclaim, as Nobel Prize Laureate M. Yunus has done, that it is a moral necessity to establish credit as a right. Arguments both supporting and opposing the concept of a right to credit are presented. While there may be general agreement that access to financial services may provide a pathway out of poverty, granting a universal right could induce perverse effects such as overindebtedness. Bearing in mind the ultimate goal of proponents of this right as well as the potential harmful consequences, this paper offers a new perspective on the question of access to credit based on a goal-right system.      

Paternalism and the Pokies: Unjustified State Interference or Justifiable Intervention?

The Australian Productivity Commission and a Joint Select Committee on Gambling Reform have recommended implementation of a mandatory pre-commitment system for electronic gambling. Organizations associated with the gambling industry have protested that such interventions reduce individual rights, and will cause a reduction in revenue which will cost jobs and reduce gaming venue support for local communities. This article is not concerned with the design details or the evidence base of the proposed scheme, but rather with the fundamental criticism that a mandatory pre-commitment policy is an unacceptable interference with the liberty of the individual, and of organizations. It is argued that the concept of paternalism is a useful lens with which to study the interactions between business and society on this issue. It is contended that the benefits of a pre-commitment system to problem gamblers and society are socially and economically significant, and the cost to recreational gamblers, particularly the cost in terms of interference with the liberty of the individual, is minimal. Pre-commitment also requires gambling businesses to act in a more socially responsible manner. It is concluded that the proposed legislation constitutes a paternalistic intervention by government on the interaction between business and society, and that this is justified.     

Self-Efficacy and Stereotyping in Advertising: Should Consumers Want a Change?

Sex-role stereotyping in advertising has been a controversial issue in the past decade. While studies have shown a disproportionate use of males in authority roles, little research has been done to examine the effects on consumers' self-efficacies. Results from this research indicate that, contrary to expectations, females had higher confidence in their purchase decisions after viewing stereotypical television advertisements. Social implications for advertisers and marketers are discussed.     

Business Ethics in a Transition Economy: Will the Next Russian Generation be any Better?

This study investigated students’ perceptions of ethical organizational climates, attitudes towards ethical issues, and the perceived relationship between ethical behavior and success in business organizations. Comparisons were made between the attitudes of these future managers with previously published studies of Russian managers’ attitudes. A survey of 100 business students in three Moscow universities showed that their attitudes toward ethical behavior were more negative than those of Russian managers. No significant differences were found in the perceptions or attitudes of students who had attended an ethics course and those that did not. The implications for both managers and researchers were reported.     

Expanding the magic circle – gamification as a marketplace icon

ABSTRACT

This article explores the gamification trend sweeping the globe promising increased engagement and motivation, in practically any industry, context and culture, based on a stratagem of “game design elements in non-game contexts,” which is its most quoted definition [Deterding, Sebastian, Miguel Sicart, Lennart Nacke, Kenton O'Hara, and Dan Dixon. 2011. “Gamification – Using Game-Design Elements in Non-Gaming Contexts.” Paper presented at the CHI EA “11 proceedings of the 2011 annual conference extended abstracts on Human Factors in Computing Systems, Vancouver, BC, May 7–12.]. The rise of gamification as marketplace icon is examined and particularly claims that position gamification as the manifestation of a wider societal transformation into playful societies – a “ludic turn.” Many of these grandiose statements are the result of ahistoricity and ambiguity regarding the definition of gamification. Based on game philosophy, game studies and gamification research this article posits gamification as an emergent perspective, as distinct conceptualisation, on the rule-driven organisation of sociotechnical management systems that reference “games.” Of particular importance is the role of rules. Examples such as Frequent Flyer Programmes and Foursquare are analysed according to the player/consumer positions they bestow, which are explored from participatory, co-creational, critical and game philosophical perspectives. Conclusively, a “gameful” perspective of rule-generated goal-oriented behaviour, or “playful” perspective of instinctive and limitless fun, shed two challenging perspectives on the interpretation of gamification in the marketplace.     

Federal Reserve Independence in the Aftermath of the Financial Crisis: Should We Be Worried?

The extraordinary circumstances of the past few years have led to extraordinary responses by the Federal Reserve and other central banks. These ventures into uncharted waters have heightened political scrutiny to the point of raising concern about future independence. In discussing independence of the Federal Reserve, it is important to separate its regulatory and supervisory functions from its monetary policy function. It is the latter in which the question of independence is most important. History indicates that independent monetary policy has been a powerful deterrent to inflation. This paper outlines the threats to Federal Reserve independence, particularly as it exists from the unconventional policies that it pursued to mitigate the financial crisis. Economists have an important role in making the case that monetary policy remains independent.     

Inequality in Europe: What can be done? What should be done?

As economic inequality in Europe has continued to rise, it has become the subject of increasing academic attention. What are the drivers of inequality? How does it affect intergenerational economic and social mobility? At what point does inequality become a drag on economic growth or a threat to social order? What economic policy tools are available to reduce inequality? This Forum addresses these and other aspects of this complex and disturbing trend. Case studies of Ireland, Germany and Spain also highlight the impact of economic inequality on individual member states.     

Exploring the changing role of brand archetypes in customer-brand relationships: Why try to be a hero when your brand can be more?

For over 20 years, managers have been encouraged to leverage archetypal meaning to strengthen their brands. Prior research has studied archetypes as universal patterns present in the collective unconscious that trigger an instinctive response in customers, arguing that brands should evoke one archetype at a time. However, recent evidence seems to suggest that the single archetype view proposed in previous work may have lost its relevance in the marketplace. This article responds to calls for further research into brand archetypes by analyzing more than 2,400 brands and the archetypes they evoke in their marketing communications. The current findings support the continued relevance and importance of brand archetypes in marketing, showing that brands connect with customers by consistently evoking specific archetypes. Critically, however, strong brands tend to leverage multiple archetypes at a time rather than just one as previously believed. We explore key implications of our findings for theory and management, discuss avenues for future research, and provide actionable guidelines for managers wishing to leverage archetypal meaning to build strong brands.     

Should a lower-price service offer a full-satisfaction guarantee?

Although service guarantees have enjoyed wide popularity as marketing tools and brought impressive results for firms, it is still not clear whether different types of service guarantees have similar effects on consumers' pre-purchase evaluations of differently priced services. To answer this question, several hypotheses were formulated and then tested with a 2 × 3 between-subjects factorial design consisting of two price levels (low and high) and three types of service guarantees (none, attribute-specific, and full-satisfaction) in the context of hotel industry in Taiwan. The results indicated that it is beneficial for a higher-price service to employ a full-satisfaction guarantee, due to consumers' higher expected service quality and willingness to buy, and the lower perceived performance risk. In contrast, for lower-price services, an attribute-specific guarantee is recommended because of consumers' higher expected service quality and willingness to buy, and the lower perceived financial risk. The implications of these findings and directions for future research are discussed.     

Sustainability as a marketing tool: To be or to appear to be?

While sustainability is an ethical issue, it is also becoming relevant from a marketing standpoint and can be particularly decisive in stakeholder relationships. Companies can approach this issue in different ways, choosing whether to publicize their good conduct or to project a responsible attitude that does not reflect what they effectively achieve. In this context, the authors propose a self-assessment matrix that identifies a better way to make sustainability a source of competitive advantage through a transparency-based approach. By way of a geological metaphor, four types of companies are presented that are distinctive based on two variables: sustainable commitment and communication. Costs and benefits are analyzed for each quadrant, as well as problems resulting from a lack of transparency. In the final section of the article, the authors discuss whether the choice to communicate sustainability can be considered ethical or whether it is only a question of business. Reflections are reported.     

To be different,or to be the same? An exploratory study of isomorphism in the cluster

Entrepreneurial firms are argued to struggle between being different and being the same. To join the debate, we asked this question: How can entrepreneurial firms in a geographically concentrated locale gain both competitive advantage and legitimacy, given the competitive pressures for differentiation and the institutional pressures for conformity? Drawing from the network perspective, we conducted the research in a furniture cluster in Southwestern China. Based on qualitative and quantitative data, we found that peripheral firms tended to be institutionally and competitively isomorphic, while central firms could avoid the tradeoff between institutional conformity and competitive differentiation by creating and using their networks to innovate and at the same time to shape the institutional environment.     

How should information technology be covered in the accounting program?

Professional accounting associations, business schools, and accounting professors are increasingly faced with an important question: Which information technology (IT) competencies should be developed in accounting programs to train skilled professional accountants? Key references in accounting education show that advanced‐level training in IT is very important for accountants’ careers. Through content analysis, I investigate how Canadian CPAs are trained in IT. Results indicate that, postmerger, IT has lost ground in the CPA program. This could be mainly due to: (a) a larger coverage in finance, strategy, and governance topics; (b) challenges to promote and teach IT in terms of course development; and (c) a lack of recognition of and incentives for academic work on IT. Compared to some key players in accounting education, it appears that Canada has taken a different route with regard to the required IT competencies. Copyright © 2016 ASAC. Published by John Wiley & Sons, Ltd.     

EXCHANGE-RATE ARRANGEMENTS FOR NAFTA: Should We Mimic the EU?

Following on from the successful launch of the euro in the European Union, a vigorous debate has erupted in both Canada and Mexico as to whether NAFTA should also adopt a common currency. Several other types of exchange rate arrangements are also possible for the North American bloc, and the aim of this paper is to evaluate all of these alternatives. The paper evaluates the full range of possible exchange-rate arrangements for the NAFTA bloc of countries from economic, political and institutional perspectives. The paper identifies ten different exchange rate regimes and evaluates these regimes with regard to economic growth, international trade, economic integration, credibility of the arrangements, institution-building and political acceptability.