Performance Evaluation and Corporate Income Taxes in a Sequential Delegation Setting

We consider a setting where a firm delegates an investment decision and, subsequently, a sales decision to a privately informed manager. For both decisions corporate income taxes have real effects. We show that compensating the manager based on pre-tax residual income can ensure after-tax NPV-maximization (goal congruence) for each decision problem in isolation. However, this metric fails if both decisions are nontrivial, since it requires asset-specific hurdle rates and hence precludes asset aggregation. After-tax residual income metrics (e.g., EVA) allow the firm to consistently apply its after-tax cost of capital as the hurdle rate to its aggregate asset base. We show that existing tax depreciation schedules may explain why firms in practice use more accelerated depreciation schedules than those suggested by previous studies. Our findings also rationalize the widespread use of dirty surplus accounting for windfall gains and losses for managerial retention purposes.     

电力线通信（PLC）技术发展新动态

一、PLC技术近期发展概述 从20世纪90年代后期，英国NOWEB公司验证了利用电力线可以传输高速数据以来，电力线通信（PLC）技术应用就在世界范围内展开了不断深入的研究。近几年，涌现出多家芯片研发公司和产品制造公司，出现了百家争鸣的格局。目前国际上专用PLC调制解调芯片研发的公司主要有：美国Intellon公司14MbPS、85Mbps芯片，西班牙DS2公司45Mbps、200Mbps芯片，韩国Xeline公司24Mbps芯片，台湾Afa公司生产的50Mbps芯片，法国Spidcom公司的224Mbps芯片等等。     

Local country attributes and the emergence of high tech clusters

The aim of this study is to explore the effect of a country’s attributes on the decision of firms to be active globally. We first built a theoretical model, which shows that an initial difference in the business environment may dampen the desire of firms located in countries with a relatively weak business environment to seek a higher level of R&D. The decision not to pursue higher levels of R&D leads, in turn, to lower output and lower scope of activity of global firms in these countries. Moreover, firms with relatively high level of management skills will choose to migrate from a relatively weak country to one with a stronger business environment, creating a brain drain that will further impoverish the weak country.     

How do social media influencers inspire consumers' purchase decisions? The mediating role of parasocial relationships

In recent years, social media influencers (SMIs) have become part of the strategic communication of firms because the traditional form of mass media communication is losing its effectiveness. Thus, it is imperative to study the effects of communication through SMIs on marketing outcomes, such as purchase intentions. Based on the fairness dimensions, that is, information, distributive, interpersonal, and procedural, and dimensions of source credibility, that is, attractiveness, expertise, trustworthiness, and similarity, this research investigated how technology-oriented SMIs (T-SMIs) foster parasocial relationships (PSRs) with followers. Purposive sampling was employed to collect data from 506 active social media users. Data were analysed through IBM AMOS and SPSS 26. The results of the study suggested that attractiveness, expertise, trustworthiness, similarity, interpersonal, procedural, and information fairness are positively related to fostering PSR with followers. In contrast, distributive fairness does not strengthen PSR with followers; furthermore, the study findings suggested an indirect positive influence of attractiveness, expertise, trustworthiness, similarity, interpersonal, procedural, and information fairness on the purchase intentions of consumers via PSR. This study is useful for academia and industry since it fills important gaps in the literature and provides recommendations to brand managers of technology companies about selecting appropriate SMIs for the endorsement of their brands.     

Beyond Environmental Regulations: Exploring the Potential of “Eco-Islam” in Boosting Environmental Ethics Within SMEs in Arab Markets

The recent global increase in environmental regulation does not necessarily signal improvement in firms’ ecological imprints. Like many markets, the Arab world is struggling to implement environmental compliance measures among local firms. For Arab countries, the reliance solely on formal policies to improve local firms’ ecological footprints may be risky given the evident institutional challenges to enforce environmental regulations, specially post the Arab Spring. Drawing from the literature highlighting the merits of combining formal and informal controls to ensure successful implementation of a strategy, we argue that the emphasis for regulation must be accompanied by an emphasis for developing environmental ethics of individuals, who are the expected implementers of any environmental policy. In that light, we propose that the Eco-Islam phenomenon can serve as an influential and effective foundation for building organizational cultures with stronger environmental ethics among local small and medium enterprises (SMEs). We explain the underlying maxims of Eco-Islam then conduct qualitative research among experts preaching or practicing the concept to gain better insights into the potential of leveraging it in Muslim-majority Arab countries. Finally, we conclude with insightful implications for local SMEs in the region.     

Sequencing R&D decisions in a two-period duopoly with spillovers

Summary. We compare simultaneous versus sequential moves in R&;D decisions within an asymmetric R&;D/Cournot model with linear demand (for differentiated products), general R&;D costs, and spillovers. Simultaneous play and sequential play (with and without a specified leader) can emerge as appropriate formulations, depending on the ratios of spillover rate over demand cross-slope, but not on R&;D efficiency. When at least one ratio is above 1/2, a sequential solution mitigates competition and leads to higher profits for each firm, and to higher social welfare. When uniquely specified, the stronger firm emerges as the R&;D first-mover.     

Choosing Brands: Fresh Produce versus Other Products

Assuming that brands contribute to quality risk reduction, prestige, and design, we derive and test hypothesis on the willingness to pay (WTP) for brands across different product categories (electronics, clothing, packaged food, and fresh produce). Using the random effect tobit model on the stated point value of WTP and the ordered probit model on the stated range of WTP, we find that WTP for brands of fresh produce is least among the four product categories controlling for relevant demographic variations. Simulations show that fresh produce has a higher optimal price premium for brands but with a much smaller market share.     

论中小企业技术创新的价值管理

中小企业是为数众多的市场经济重要主体,其活力大小和发展状况将直接影响到国民经济能否长期稳定健康增长。企业核心竞争力水平的提高,极其重要的方面在于企业技术创新能力的增强。中小企业由于自身规模小、实力弱、资源相当有限的特点,在面对技术创新可能发生的技术风险、商务风险、市场风险等压力下,其技术创新的过程及其管理显得格外谨慎。将VE引入中小企业的技术创新工作,实施技术创新的价值管理,能够切实保障企业技术创新的顺利进行,帮助中小企业在是否技术创新、如何创新等方面进行正确决策,以提高技术创新的成功率,改善企业技术创新的成效。