International heterogeneity in the associations of new business models and broadband Internet with music revenue and piracy

Broadband Internet has fundamentally changed business models in many industries. In the music industry, for instance, old business models were challenged by illegal competitors, and broadband Internet has enabled value creation through new business models. The changes that established business models experienced in the wake of broadband Internet, however, differed vastly across national markets, and these differences are not well understood. We build a conceptual framework and study the extent to which differences in economic and cultural factors are associated with different market outcomes in the wake of the proliferation of broadband Internet. Thus, we compile two unique data sets from the music industry, comprising (1) revenue data for 36 countries and 22 years and (2) piracy data for 47 countries and >2 years. We use a Bayesian multilevel model to explore between-country heterogeneity in the associations between these variables and broadband Internet adoption and business model innovations. Our results show that the negative association between broadband Internet penetration and music revenue is weaker in high-income countries, where income restrictions are less likely to drive demand towards illegitimate piracy services. In terms of cultural factors, we find that a market's response to the introduction of broadband Internet is less negative in countries scoring high on Hofstede's individualism and uncertainty avoidance dimensions. Furthermore, we find that overall revenues only recover after the latest generation of streaming services (e.g., Spotify) has been introduced, and the adoption of these services is associated with lower levels of online music piracy.     

Predictors of various facets of sustainability of nations: The role of cultural and economic factors

This study examines the influence of national culture on various facets of a country's sustainability indicators, namely environmental performance, human development, and the avoidance of corruption. At the outset, using exploratory factor analysis from data from 57 countries from the GLOBE cultural practices, we identify three dimensions of culture: performance based culture (PBC), socially supportive culture (SSC) and gender egalitarianism culture (GEC). Then, using hierarchical regression analyses, we explore the role of cultural and economic factors on the various facets of sustainability. Specifically, we find that both PBC and GEC positively influence the environmental performance, even after controlling for wealth of a nation, i.e., GDP. GEC interacts with economic freedom in positively influencing environmental performance. GEC also positively influences human development as does GDP and economic growth rate. Interaction effects are also explored. We finally summarize the implications of the dimensions of culture and economic factors on the sustainability factors, and provide suggestions for future research.     

Fighting Software Piracy: Some Global Conditional Policy Instruments

This study examines the efficiency of tools for fighting software piracy in the conditional distributions of software piracy. Our paper examines software piracy in 99 countries over the period 1994–2010, using contemporary and non-contemporary quantile regressions. The intuition for modelling distributions contingent on existing levels of software piracy is that the effectiveness of tools against piracy may consistently decrease or increase simultaneously with the increasing levels of software piracy. Hence, blanket policies against software piracy are unlikely to succeed unless they are contingent on initial levels of software piracy and tailored differently across countries with low, medium and high levels of software piracy. Our findings indicate that GDP per capita, research and development expenditure, main intellectual property laws, multilateral treaties, bilateral treaties, World Intellectual Property Organisation treaties, money supply and respect for the rule of law have negative effects on software piracy. Equitably distributed wealth reduces software piracy, and the tendency not to indulge in software piracy because of equitably distributed wealth increases with the increasing software piracy levels. Hence, the negative degree of responsiveness of software piracy to changes in income levels is an increasing function of software piracy. Moreover, the relationships between policy instruments and software piracy display various patterns: U-shape, Kuznets-shape, S-shape and negative thresholds. A negative threshold represents negative estimates with the increasing negative magnitude throughout the conditional distributions of software piracy. We also discuss the policy implications of our study.     

Cross-Country Differences in Entrepreneurial Activity: The Role of Cultural Practice and National Wealth

In this paper, we argue that national culture is important in interpreting the differences of entrepreneurial activities between countries. Furthermore, national wealth plays a moderating role between national culture and entrepreneurial activities. Datasets from the Global Leadership and Organizational Behavior Effectiveness (GLOBE) project and Global Entrepreneurship Monitor (GEM) study were analyzed. We find that there are interaction effects between GDP, a proxy for national wealth, and several cultural dimensions on entrepreneurial activities. More traditional cultural variables (in-group collectivism, humane orientation, and power distance) enhance early-stage and established entrepreneurship in low- and medium-GDP countries, but hinder early-stage and established entrepreneurship in high-GDP countries. More modernistic cultural variables (performance orientation, future orientation, and uncertainty avoidance) promote high-growth and high-innovation entrepreneurship in some situations, especially in high-GDP countries. Implications and limitations are discussed.     

The Impact of National Culture on Software Piracy

This paper examines the impact of the level of economic development, income inequality, and five cultural variables on the rate of software piracy at the country level. The study finds that software piracy is significantly correlated to GNP per capita, income inequality, and individualism. Implications for anti-piracy programs and suggestions for future research are developed.     

Global Software Piracy: Searching for Further Explanations

This paper identifies that Information and Communication Technology (ICT) has a negative effect on software piracy rates in addition to consolidating prior research that economic development and the cultural dimension of individualism also negatively affect piracy rates. Using data for 59 countries from 2000 to 2005, the findings show that economic well-being, individualism and technology development as measured by ICT expenditures explain between 70% and 82% of the variation in software piracy rates during this period. The research results provide important implications for policy makers and business practitioners to help reduce software piracy.

什么样的电子商务环境产生高电子商务采纳率？——基于71个国家的fsQCA分析

全球电子商务发展不均衡，尤其国家间电子商务采纳率存在明显差异。如何激活电子商务市场已成为各国特别是电子商务采纳率较低的国家亟须解决的重要问题。文章基于信息生态理论，整合了国家信息生态四类核心要素，采用基于组态视角的模糊集定性比较分析方法(fsQCA)，以全球71个国家为样本，探索国家信息生态要素驱动高电子商务采纳率的因果复杂机制。研究发现：(1)单个国家信息生态要素不构成高电子商务采纳率的必要条件，但较高的经济发展水平、兼容的社会文化基础设施环境和政府强有力的政策支持在产生高电子商务采纳率方面起着更普遍的作用；(2)产生高电子商务采纳率的国家信息生态有2类，即政府扶持下依托社会文化基础设施的法律驱动型和政府扶持下依托社会文化基础设施的技术驱动型；(3)优越的技术环境和有效的法律环境在实现高电子商务采纳率的过程中互为替代关系；(4)产生非高电子商务采纳率的国家信息生态有3类，且与产生高电子商务采纳率的国家信息生态存在非对称关系。     

Shifting Demand: Online Music Piracy,Physical Music Sales,and Digital Music Sales

Traditionally, music has been sold to consumers by recording several individual songs/tracks in physical media such as CDs and cassettes. Sales of such physical music have been declining for the past several years. Many academic studies have attributed the decline of physical music sales to online music piracy, yet some other studies have not found evidence to support a negative relationship between online music piracy and physical music sales. Interestingly and importantly, we have observed that while many of the studies that found the negative relationship between online music piracy and physical music sales used data before 2003, other studies that do not find similar results have used post-2003 data. In fact, there was a significant structural change in the music market in 2003. Legal (iTunes-like) online channels for digital music that allow consumers to buy individual tracks became available during that year. This article complements the existing literature by analyzing the impact of online music piracy and physical music sales in the presence of iTunes-like legal channels for digital music using bivariate Granger testing. Our results show that the availability of legal channels for digital music has weakened the negative effect of online music piracy on physical music sales. Moreover, in the presence of legal channels for music distribution, digital music, not online music piracy, substitutes for physical music.     

Investigating Software Piracy in Jordan: An Extension of the Theory of Reasoned Action

Software piracy, the illegal and unauthorized duplication, sale, or distribution of software, is a widespread and costly phenomenon. According to Business Software Alliance (2008), over 41% of the PC software packages installed worldwide were unauthorized copies. Software piracy behavior has been investigated for more than 30 years. However, after a review of the relevant literature, there appears to be two voids in this literature: a lack of studies in non-Western countries and a scarcity of process studies. This study contributes to literature by developing a software piracy model to better understand the decision-making process that underlies this unethical behavior. The model was tested using data collected from a sample of 323 undergraduate business students. Consistent with the Theory of Reasoned Action (TRA), attitudes toward software piracy and subjective norms were significant predictors of intention to pirate software. Also, the results suggested that ethical ideology, public self-consciousness, and low self-control moderated the effect of these variables on intention to pirate software. The results have important practical implications for the software industry and governments hoping to curtail software piracy. Limitations of the study and recommendations for future studies are discussed as well.     

Antecedents of perceived national and corporate culture differences: evidence from Chinese international strategic alliances

We investigate the determinants of managers' perceptions of national and corporate culture differences, using data obtained from Chinese partner managers of international strategic alliances. An expected positive relationship is found between the extent to which the managers have experienced culture-related management impediments and their perceptions of national and corporate culture differences. An expected negative relationship is found between the extent to which the Chinese partner firms have adopted cultural management policies and the perception of national culture difference, but is not found for the perception of corporate culture difference. The authors find no support for the expected negative relationship between cultural sensitivity and the perception of national and corporate culture differences. Adoption of cultural management policies moderates the relationship between the extent to which managers have experienced culture-related management impediments and their perception of corporate culture difference, but not their perception of national culture difference. It was also found that the degree of cultural sensitivity moderates the relationship between the extent to which the Chinese managers have experienced culture-related management impediments and their perceptions of national and corporate culture differences.     

Shaping of Moral Intensity Regarding Software Piracy: A Comparison Between Thailand and U.S. Students

Software piracy is a major global concern forbusinesses that generate their revenues throughsoftware products. Moral intensity regardingsoftware piracy has been argued to be relatedto the extent of software piracy. Anunderstanding of the development of moralintensity regarding software piracy inindividuals would aid businesses in developingand implementing policies that may help themreduce software piracy. In this research westudied the similarities and differences indevelopment of moral intensity regardingsoftware piracy among university students intwo different cultures, the U.S. and Thailand. In particular, we studied the influence of theimmediate community of individuals, such asother students, faculty, and other universityemployees, on the development of moralintensity regarding software piracy of the twogroups of students. Results indicate that, ingeneral, there are significant differences inmoral intensity regarding software piracybetween students from the US and Thailand, andthat gender differences also exist. Though theeffect of the immediate community on theself-perception of moral intensity regardingsoftware piracy of students was significant,there appears to be very little significantdifferences in this effect between the studentsin the two different countries studied. Thefindings have implications for teachingbusiness ethics, and for developing andimplementing policies to curb global softwarepiracy.     

A Global Analysis of Corporate Social Performance: The Effects of Cultural and Geographic Environments

As more and more multi-national companies expand their operations globally, their responsibilities extend beyond not only the economic motive of profitability but also other social and environmental factors. The objective of this article is to examine the impact of national culture and geographic environment on firms’ corporate social performance (CSP). Empirical tests are based on a global CSP database of companies from 49 countries. Results show that the Hofstede’s cultural dimensions are significantly associated with CSP. In addition, European companies are found to out-perform other regions and countries in CSP.     

Nationality and work role interactions: A cultural contrast of Israeli and U.S. entrepreneurs' versus managers' needs

The globalization of business ventures and the parallel search for sources of international competitive advantage have stimulated research relating cultural differences to entrepreneurial and managerial behaviors. Recent work by McGrath, MacMillan, and Scheinberg (1992) encouraged studies of managers and entrepreneurs in different cultures, suggesting that these comparisons may “… shed additional light into the interrelations between social structure, wealth creation, and cultural beliefs” (McGrath el at. 1992, p. 116). This study follows that advice.Cultural differences are powerful determinants of behavior, and many studies support the notion that managerial behavior must adapt to the national cultural setting to achieve success. A growing stream of entrepreneurial behavior research has explored differences in motivational needs between entrepreneurs and non-entrepreneurs of different countries, and found parallel differences across cultures. Given these views, we might expect to find need differences between entrepreneurs and managers within countries however, some entrepreneurship researchers have concluded that U.S. managers and entrepreneurs are more alike than different.To better understand need profile differences between and within cultures, we use a theory that suggests that culture is an important determinant of work behavior. The process through which culture affects work behaviors is described in “Cultural Self-representation Theory” (Erez and Earley, 1993). Based upon this theory, inferences from the entrepreneurial archetype, and analysis of the contrast between the cultures of Israel and the U.S., we propose that: (1) entrepreneurs and managers have different motivational needs within some national cultures, and (2) across national cultures there are systematic differences in motivational needs. Based on these premises, an interaction hypothesis between work role and nationality is suggested because of the importance of both culture and work role in determining motivational need differences. Data are collected from over 370 Israeli and U.S. entrepreneurs and managers.Results support cultural self-representation theory for the Israeli-U.S. and entrepreneur-manager case, because interactions between nationality and work role are exposed for various needs. This finding suggests that cultural differences are indeed important for understanding management motivational needs in different nations, and that the effectiveness of entrepreneurial approaches to management may be culture-sensitive. The study illustrates work-role differences between Israeli managers and entrepreneurs. We confirm past conclusions about U.S. entrepreneur-manager need similarities, and suggest that these need similarities are supported by the individualistic culture within U.S. organizations.     

Predictors of Usage Intentions of Pirated Software

The purpose of this study is to investigate the salient factors influencing consumers’ attitudes and usage intentions towards pirated software. Using the Theory of Planned Behaviour, this study investigates the relationships between three sets of factors, i.e. personal, social and perceived behavioural control onto attitudes towards pirated software. Through a multiple regression, only personal factors have shown significant relationship with attitudes towards software piracy. Further results from this study have supported that favourable attitudes towards pirated software is likely to result in stronger intentions to use pirated software. It was found that computer proficiency acts as a predictor for intentions towards pirated software, rather than a moderator as originally postulated.     

Customer satisfaction and consumer expenditure in selected European countries

The relationship between customer satisfaction and company performance has been extensively researched at both the consumer and firm levels. However, little is known about the impact of customer satisfaction at the economy-wide level, especially in Europe. This study aims to link customer satisfaction to personal consumption expenditure using panel data collected from 1999 to 2011 and covering nine European countries. Our findings suggest a significant relationship between customer satisfaction and consumer expenditure in these countries. In addition, economic structure, culture, political economy and socio-economic factors have been examined to understand the impact of cross-country differences on this relationship. The results reflect the importance of satisfied consumers on the economy as a whole; thus, efforts at boosting customer satisfaction should become a national agenda.     

How many pirates should a software firm tolerate?: An analysis of piracy protection on the diffusion of software

This paper examines the relationship between the rate of software diffusion and piracy. Literature suggests that tolerating some piracy can be justified since it speeds up software diffusion. The question is, how much should be tolerated? Using innovation diffusion models of software adoption by legal buyers and pirates, answers to this question are obtained for the three scenarios of monopoly, multiple generations of software and competitive markets. Results include, for example, that a monopoly should start with minimum protection of its software but well before the product has diffused half way, impose maximum protection and maintain it thereafter. The results provide important strategic guidelines for firms in the software industry for managing piracy.     

我国国债的财富效应探析——1985~2002年间我国国债规模对消费需求影响的实证研究

目前国内对国债效应的研究,集中于国债对投资的影响,较少论及国债对居民消费的影响。然而,国债对消费的影响同样重要。居民可能将国债作为金融财富,也可能认为国债对应着未来的税收。国债对消费的影响,取决于国债在居民的预算约束中是作为财富还是作为预期的未来税收而存在。若居民更多地将国债作为一种金融财富而不是未来税收,则国债促进消费增长并带动经济增长;反之,则形成“李嘉图等价效应”所描述的金融挤出效应。通过对1985~2002年的数据进行回归,作者发现我国国债呈现出较强的财富效应。但是,这一财富效应却是与国债存量相关的。若公众的信心发生变化,消费需求将迅速下降。这就要求国债政策的淡出只能是渐进的,以避免对居民消费造成较大的冲击。     

Harmonizing IPRs on Software Piracy: Empirics of Trajectories in Africa

In the current efforts of harmonizing the standards and enforcement of IPRs protection worldwide, this paper explores software piracy trajectories and dynamics in Africa. Using a battery of estimation techniques that ignore as well as integrate short-run disturbances in time-dynamic fashion, we answer the big questions policy makers are most likely to ask before harmonizing IPRs regimes in the battle against software piracy. Three main findings are established. (1) African countries with low software piracy rates are catching-up their counterparts with higher rates; implying despite existing divergent IPRs systems, convergence in piracy rate could be a genuine standard-setting platform. (2) Legal origins do not play a very significant role in the convergence process. (3) A genuine timeframe for standardizing IPRs laws in the fight against piracy is most likely between a horizon of 4–8 years. In other words, full (100 %) convergence within the specified horizon will mean the enforcements of IPRs regimes without distinction of nationality and locality. Policy implications and caveats are discussed.     

Online piracy in the context of routine activities and subjective norms

Why do mainstream consumers who would not typically engage in illegal behaviour routinely resort to online piracy of copyrighted software? This paper provides answers to this research query by applying routine activity theory and the theory of reasoned action. The paper’s study analyses consumers’ role as possible offenders that can have the opportunity to engage in online software piracy as part of their routine online activities. Although it is problematic to measure the exact magnitude of the negative impact on the US economy, as stated by the Government Accountability Office it is sizeable. After analysing the conceptual model using a US national consumer sample of over 700 consumers, results show the influence of proximity to motivated offenders, target suitability, and capable guardianship on consumers’ attitudes and perceived subjective norms towards online software piracy, as well as their intentions to engage in this illegal behaviour on the Internet. By integrating routine activity theory, a criminology theory with the theory of reasoned action from psychology and analysing a widespread online software piracy phenomenon, several academic and practical contributions are made.