Power in the Firm and Managerial Career Concerns

More powerful managers make more important decisions. Therefore, firm performance is more informative about the abilities of such managers, who, realizing that they are more visible, are more eager to improve performance. If this reputation effect exists, how should firms allocate power? I analyze the optimal allocation of power and derive implications for several issues that often arise in management practice: the choice of departmentation criteria, the importance given to seniority, and the width of job definitions. Finally, I show that the model is consistent with the empirical evidence on managerial succession.     

Relationship between the Mean and the Constant in a Box–Jenkins Time Series Model

In some publications the mean is identified with the constant of a Box–Jenkins time series model. In this paper the relation between both terms is demonstrated. Furthermore, by means of an example, the errors which may be made if one does not use each term adequately are shown.     

Family-supportive organizations and supervisors: how do they influence employee outcomes and for whom?

In the present study, we examine a model which seeks to specify the process through which work-family supportive organizations and supervisors influence important organizational outcomes, including commitment and performance. Findings indicated that family-supportive organization perceptions are best conceptualized as influencing family-supportive supervisor behaviors, which in turn influence subordinate self-efficacy, subordinate affective commitment to the organization and subordinate perceptions of supervisor work effort. Subordinate self-efficacy and affective commitment were also both found to independently mediate the relationship between family-supportive supervisor behaviors and self-rated performance. Interestingly, the model functioned similarly for employees with and without dependent care responsibilities, indicating that work-family policies and support are important for all employees, regardless of their familial status. Theoretical and practical implications, limitations and future research directions are discussed.     

Disentangling Market Access Effects of Preferential Trading Arrangements with an Application for ASEAN Members under an ASEAN–EU FTA

The paper develops two synthetic measures at the HS‐10 level to depict effective market access for a country receiving preferential access and applies these to the market access ASEAN members would receive following the implementation of an FTA with the EU. First, the measures show that current effective market access for ASEAN EBA members is cut in half by the preferences granted by the EU to countries that compete with these countries in the EU markets. Second, the measures show that about one‐quarter of the preferential margin under the proposed FTA for EBA members would be lost as a result of preferential access granted to ASEAN GSP members. Third, disaggregated estimates of the restrictiveness of rules of origin confirm that rules are more restrictive for products with higher preferential margins and that ASEAN countries usually face tougher rules of origin in the EU because of the composition of their exports.     

Expatriate compensation and its link to the subsidiary strategic role: a theoretical analysis

This paper focuses on the strategic design of expatriates' salaries. Unlike standard expatriation literature that assumes a lack of connection between strategy and international managers' compensation, we use the theoretical concepts from the international strategic management research to discuss how different international strategies affect the way expatriates are compensated. In this respect, the paper proposes a series of hypotheses on how expatriate compensation systems take shape according to the role that the expatriates may play in the internationalization process. The hypotheses refer to the type of incentives offered to encourage acceptance of the assignment, the type of criteria used to evaluate their performance and the reference unit used to establish variable compensation.