The mode of exchange and shaping of markets: Distributor influence in the Swedish post-war food industry

This paper addresses the associations between the mode of exchange and the configuration of market actors and exchange objects through a historical case study of the introduction of self-service retailing in the private food retail trade in Sweden. The changes in the mode of exchange reported in the case resulted from organizing efforts involving both retailers and a major wholesaler. These efforts were directed towards two main areas: the material framing of the exchange situation, e.g. the redesign of store facilities, interiors and the pre-packaging of goods, and the agency of the involved actors, e.g. information campaigns and education directed towards retailers and consumers. Through this process, a network of associations was forged that inter-defined the mode of exchange, the market actors and the exchange objects. The paper contributes to extant literature on the shaping of markets by empirically examining the associations constituting modes of exchange and the process through which these associations are forged. A central finding is that the introduction of self-service was elaborately intertwined with changes in the characteristics of the actors and objects of exchange.     

The making of a petrol station and the “on-the-move consumer”: Classification devices and the shaping of markets

This paper addresses the issue of classification devices and their role in shaping markets. We depart from the notion that markets are shaped by multiple calculative agencies and examine how particular forms of calculation are made viable. Classification devices are the infrastructure that makes calculation possible and sustains particular economic orders. We illustrate these notions with an empirical, longitudinal study of a fuel retail company and its initiative to re-classify its network of petrol stations across Europe. Our study focuses on the extensive and protracted negotiations over what constituted relevant categories and the multiple perspectives involved in defining petrol station types. We illustrate how a store typology plays an important role in making assemblages of ideas (e.g. consumer-on-the-go), objects (e.g. store planograms), and managerial roles (e.g. category managers) coalesce around particular constellations of practices which impact upon the outline of markets.     

Technological and geographic heterogeneity in broadband markets: The challenge for regulation

When the telecommunications industry was liberalised in Europe and North America in the 1980s and 1990s, it inherited a legacy of monopoly providers whose footprint was national or multi-regional in its character. The regulatory framework, particularly that adopted in EU member states, reflected this pattern of relatively homogeneous deployment achieved, in part, by decades of cross-subsidised pricing and universal service goals. Perhaps because of this legacy, telecommunications regulators have often adopted the presumption that relevant markets are national in character, unless proven otherwise Although geographically-variegated regulatory remedies have been permitted (even in the face of allegedly national relevant markets) and adopted in many member states, many regulators have never done so, and overly cautious thresholds for permitting geographically based forbearance suggest a continued bias towards presuming national markets and remedies. We find that this presumption of uniformity and the tendency to aggregate geographic markets together is not supported by first principles of antitrust analysis, although there may have been strong practical reasons to apply this presumption in the past circumstances of the telecommunications and broadband industries.On the ground, however, there has arguably never been as much heterogeneity across geographies and across technological solutions that provide effective ultra-fast broadband speeds. Both technological (i.e., product market) and geographic heterogeneity are likely to increase with the advent of mobile 5G networks. With their deployment, a cautious regulatory stance towards geographic variation and a cautious regulatory stance towards inter-technology or inter-modal competition may result in regulation that could exceed what is required to ensure effective competition and could instead distort the incentives to enter of facilities-based actors. This may also result in higher-cost and inefficient investment. A more geographically varied and technologically agnostic regulatory framework may satisfy the principle of proportionate and focused regulation—with the possibility that the locus of regulation shifts from the access network to bottleneck facilities such as fibre, ducts and poles.This discussion is especially germane when one considers the highly speculative nature of forecasts and projections about future demand, and the competing claims of proponents of 5G and fibre. While there is some scepticism about the performance of mobile networks, we note that pure mobile and fixed 5G services may have synergies in deployment, and that the idea of competing with residential broadband services is a core strategy of very influential large-scale industry actors. In terms of a future research agenda, regulatory decisions could benefit from much more research into the relationship between domestic and global bandwidth constraints and their influence on development of software and application, as well as much more quantitative research by academics on the drivers of bandwidth demand. The risks associated with promoting investment that results in large-scale wasted resources should also be central to the regulatory agenda.     

Fruit and vegetable access to EU markets: Dissecting tariffs faced by Mediterranean countries

This paper analyzes the access of Eastern and Southern Mediterranean countries to the EU fruit and vegetables market and provides a measure of the level of preferences from which they benefit. To take into account the complexity of EU protection in the F&V sector, in particular the seasonality of protection and the Entry Price System, we conducted our analysis at a very disaggregated level (eight digits of the nomenclature, monthly data). We showed that, on average, Mediterranean countries do have significant preferences compared to other countries exporting to the EU. However, the magnitude of the preferences differs among countries; Morocco has the highest preference, while Syria and Israel have the lowest. We simulated a multilateral reduction in the MFN tariffs (as planned in the Doha Round) and showed that this would reduce the heterogeneity within the zone by more strongly eroding the preferences of the most advantaged countries. The classification of Entry Price products as sensitive products would either benefit or have no effect on most Mediterranean countries.     

Multiple versions of markets: Multiplicity and performativity in market practice

Recent research efforts in economic sociology have attended to the performativity of economic sciences, that is, to the import of various economic theories on economic reality. Hitherto, these efforts have been limited to idiosyncratic market situations such as financial and auction markets. Moreover, the efforts have largely focused on the performativity of economics and financial economics (narrowly defined). This paper argues for the need to broaden the discussion on performativity to take into account multiple theoretical influences and for the importance of studying performativity in more mundane markets. The paper contributes to this endeavor by developing a practice-based framework that deals with the multiple theoretical influences that can be expected to take part in the shaping of markets.     

Development and implementation of customer solutions: A study of process dynamics and market shaping

A broad, dynamic network perspective on solution processes remains scarce. This article presents the process of developing and implementing customer solutions and its effects on the wider business environment by investigating customers and suppliers in the global mining industry (Australia, Chile, and Sweden), analyzing the deployment of a new customer solution, and assessing the changes to the competitive environment and focal firms' relationships with other customers and suppliers. It shows that the forces that drive customer and supplier interests and motivation to co-develop customer solutions may change over time, thus redefining the aim and scope of solutions and creating failure risks. Customers present problems; suppliers respond, on the basis of not only the feasibility of the customer-specific solution but also of their evaluation of future solutions in a broader market; then suppliers aim to standardize successful solutions across markets. Customers want close supplier relationships and unique solutions but also like standardized and repeatable solutions, so they can share development costs with competitors and expose the supplier to competition to avoid lock-in effects. From a network perspective, a novel solution can have a market-shaping effect and evoke reactions from other actors who want to enhance their market position. However, these changes are not necessarily deliberate, and the dynamics that market introductions of solutions trigger may be difficult to predict.     

A comparative analysis of new product development by Italian and Japanese manufacturing companies: A case study

Based on survey data from Italian and Japanese companies, six measurement scales are developed for practices, process, strategic guide, and capabilities for new product development as potential determinants of its financial performance, that is, attainment of profit goals and revenue goals. By employing a regression model with a country dummy variable, the differential determinants of financial goals attainment between Italian and Japanese samples are estimated. A significant difference can be found in the impact of new product development capabilities on profit goals attainment only. Then, we evaluate the level of improvement in explanatory power by dividing the pooled sample into two and enabling regression coefficients to take different values, and find no evidences of the significant improvement. Technology and marketing capabilities concerning new product development are demonstrated to be overwhelmingly important to financial performance.     

Logistics and supply chain management in luxury fashion retail: Empirical investigation of Italian firms

The Italian industry of fashion goods is a business worth 67.6€ billion in 2006 (Il Sole 24ore, January 10, 2007), of which about 26€ billion is due to the luxury segment. Marketing gurus state that “consumers everywhere at every income level want more luxury” [Danziger, P.N., 2005. Let them Eat the Cake: Marketing Luxury to the Masses as well as the Classes. Dearborn Trade Publishing, Chicago]: therefore, companies should move brands towards a higher positioning and add more valuable features to products and services, but this cannot be obtained only by means of marketing efforts. Which is the role of operations and supply chain management in luxury fashion companies’ success? This paper presents the results of the exploratory stage of a research project ongoing at Politecnico di Milano and dealing with supply chain management in the luxury fashion industry. In total, 12 Italian luxury fashion retailers have been studied in order to describe the main features of operations and supply chain strategies in the luxury fashion segment and to identify their role with respect to the relevant critical success factors.     

From core to periphery and back: A study on the deliberate shaping of knowledge flows in interfirm dyads and networks

We study 892 Italian motorcycle industry projects carried out via 184 different buyer–supplier and supplier‐supplier relationships to provide evidence on the knowledge dynamics occurring in dyads and networks and to understand the underexplored but important (perhaps even dominant) leading role that some firms play in the evolution of networks and interfirm learning processes. We develop a multiphase model which, from a multilevel perspective addressing different relational subsets, suggests how firms can best organize to generate and exchange knowledge efficiently. We argue that extant theoretical perspectives can profitably draw on our findings to strengthen their dynamic components and help them explain the widely diffused ‘exploring through partner’ strategies more effectively. Copyright © 2013 John Wiley & Sons, Ltd.     

Knowing is half the battle: Seasonal forecasts,adaptive cropping systems,and the mediating role of private markets in Zambia

This paper examines how smallholders living in regions where a drought is forecasted adapt their farm practices in response to receiving seasonal forecast information. The article draws on a unique longitudinal dataset in Zambia, which collected information from farm households before and after a significant drought caused by the 2015/2016 El-Niño Southern Oscillation. It finds that farmers residing in areas forecasted to be drought-affected and receiving seasonal forecast information are significantly more likely to integrate drought tolerant crops into their cropping systems compared to similar households not receiving this information. Moreover, the probability that a farmer implements these adaptive farm management strategies in response to seasonal forecast information is found to increase substantially as the number of private grain buyers in the farmers’ village increases. This suggests that climate change adaptation and resilience strategies that integrate the generation and dissemination of weather information with agricultural market development can achieve greater impact on farmers’ adaptive responses than approaches that treat these activities in isolation.     

Market orientation and organizational performance: A comparison of industrial versus consumer companies in mainland China using market orientation scale (MARKOR)

Although not conclusive, past empirical marketing strategy studies conducted in the United States and western European countries suggested a strong positive relationship between market orientation and a company's performance. The objective of this study is to investigate the reliability and validity of the market orientation construct in a very different socioeconomic, cultural, and business environment of Asia. Specifically, using the Kohli and Jaworski [J. Mark. 54 (1990) 1] MARKOR scale, this study investigates the market orientations of Chinese business managers who operate in a select number of industrial and consumer goods industries in urban China. Previous research has predicted a positive relationship between market orientation and performance, on the assumption that market orientation provides a firm with a better understanding of its environment and customers, which ultimately leads to enhanced customer satisfaction. Study results indicated that there were statistically significant differences between market-oriented and non-market-oriented Chinese managers in terms of their responses to market orientation scale statements. As well, a higher level of market orientation of Chinese companies operating in the Beijing area was discovered. This is rather encouraging because there is a large body of marketing literature that supports the argument that higher levels of market orientation would lead to better organizational performance. The managerial and public policy implications of the study are also discussed.     

Firm innovativeness and business performance: The joint moderating effects of market turbulence and competition

To clarify the nature of the effect of firm innovativeness on business performance, this study draws on contingency theory and an interactional perspective to develop a conceptual framework to investigate how the interaction between market turbulence and competitive intensity moderates the relationship between firm innovativeness and business performance. This study used survey data from a sample of 154 high-tech manufacturing firms in Taiwan and employed hierarchical moderated regression analysis to test the hypotheses developed. The results reveal that the effect of firm innovativeness on business performance varies across the different configurations of market turbulence and competitive intensity. Specifically, the performance effect of firm innovativeness is most positive under high market turbulence and high competitive intensity; the performance effect is least positive under low market turbulence and low competitive intensity. However, the performance benefits of firm innovativeness fail to materialize under low market turbulence and high competitive intensity. Overall, these findings highlight that market turbulence and competition jointly influence the direction and strength of the performance effect of firm innovativeness. This study advances firm innovativeness research by identifying the configurational market conditions that augment or limit the value of firm innovativeness.     

The future of operations management: An outlook and analysis

Managing operations in both manufacturing and service organizations have evolved tremendously over the years with the change in market requirements. The market has become global, thereby compelling enterprise operations to keep up. The application of information technology/information systems (IT/IS) and outsourcing in managing operations have significantly altered the landscape of operations management (OM) strategies, techniques, and technologies. Consciousness towards environmental and safety also urges companies to examine their OM approach and manufacturing from various perspectives. Recently, energy cost and protection against terrorism have changed the portfolio of enterprise operations and therefore the approach to OM. Now, it is time to revisit the OM principles, curriculum, and training at the institution of higher learning and industries. Moreover, manufacturing has become more of a service activity, indicating significant service OM, including project management. The profile of service industries has also changed in view of the emergence of globalization, outsourcing, and IT, coupled with the rapid economic growth of emerging economies such as Brazil, Russia, India, and China (BRIC). In fact, services account for approximately 80% of the US gross domestic product (GDP); this is also a growing figure of the GDPs of other countries over the world. Again, service OM needs to be revisited in the context of the abovementioned paradigm shifts. In considering the significance of the above-mentioned changes in the market and society as a whole, an attempt is made to study the evolution of OM and subsequently to develop a framework for new OM strategies and tactics that will support the competitiveness of organizations within the next 10-20 years.     

Net neutrality and market power: The case of South Africa

Net neutrality rules have been implemented in many developed countries, often in response to concerns over network operator market power and potential blocking or throttling of content. However, developing countries typically have significantly lower levels of internet penetration and usage. Market power in respect of internet access looks quite different given that mobile is the predominant means of connection and there are often three or more mobile operators. In South Africa, there is a quasi-monopoly in the paid satellite broadcasting market and broadband providers zero-rating content from third parties (such as Netflix) may bring about more competition. We test the main theories of harm arising in the net neutrality debate, including network operator market power and exclusion among content providers using data on the number of announced prefixes and peers and IP addresses and considering examples of bundling and zero-rating conduct by operators. We find that net neutrality rules are less likely to be required in South Africa and other developing countries and that strict enforcement of such rules could in fact hinder competition in markets for content, telecommunications networks and other related markets.     

The framework of a global company: A conceptualization and preliminary validation

Clearly, a substantial challenge for multinational corporations (MNCs), in the current environment of intensified competition and rapid industry consolidation, is one of much greater worldwide integration. Necessitated by intense competitive pressures, MNCs are integrating their disparate country operations in order to achieve economies across markets and operating units. This article integrates the motives and facilitators of the progression towards commonality in practices and metrics across subsidiaries and affiliates into a comprehensive framework of a global company. Preliminary results from a pilot study of the characteristics of common global practices among a sample of MNCs are presented as an initial validation of the conceptualization. The article also explores the benefits MNCs derive from the implementation of common practices across their worldwide operations, in pursuit of a global strategy.     

Search Cost and Price Dispersion in Vertically Related Markets: The Case of Bank Loans and Deposits

Using data on marginal interest rates of loan and deposit products by Spanish banks, we find that the level of interest rates on loans (deposits) across geographic markets decrease (increase) with the number of banks in each market, and that the level of interest rates on loans increases with the level of interest rates of deposits. We also find that the dispersion of interest rates of both loans and deposits increase with the number of banks. This evidence is interpreted as evidence of customer’s search costs in retail banking, consistent with predictions from the Carlson and McAfee (J Polit Econ 91:480–493, 1983) model of market competition with search costs.     

The Size and Frequency of Price Changes: Evidence from Grocery Stores

We analyze a data set (on grocerystore prices for lettuce) with many advantages overthose used previously to explain firm heterogeneity inthe size and frequency of price changes. Despitecommon shocks to their input price, grocers' pricechanges vary widely in size and frequency. We testhypotheses emerging from a theoretical framework. Wefind that product, firm, and market characteristicsassociated with the benefits from and costs ofchanging price explain grocer-to-grocer variation inthe size and frequency of price changes. Moreconcentrated markets, larger firm size, and thinnerproduct markets lead to infrequent and large pricechanges.     

The effects of market orientation on relationship learning and relationship performance in industrial marketing: The dyadic perspectives

From dyadic perspectives, this study explores the effect of market orientation on relationship learning and relationship performance and the moderating effect of relationship quality in Taiwan manufacturing industry. The results reveal that: (1) both customer market orientation and supplier market orientation are positively related to relationship learning; (2) relationship learning is positively related to relationship performance; (3) both customer and supplier market orientation has positively interaction effect on shared information and negatively interaction effect on sense-making activities; and (4) trust of relationship quality has moderating effect on the relationship between customer market orientation and relationship learning.     

The associations of soil fertility and market access with household income: Evidence from rural Uganda

This study attempts to identify the major factors affecting farm and nonfarm income by using panel data of 894 rural households, interviewed in 2003 and 2005 in rural Uganda. We supplement the panel data with household-level soil fertility data and road distance data to the nearest urban center on three road types: tarmac, loose-surface, and dirt roads. The results suggest that soil fertility, measured by the soil organic matter (SOM) content, is positively associated with crop income but not with livestock and nonfarm income. We also find that the total road distance to the nearest urban center and the road quality have strong negative associations with the crop income.