Trading and Investing in Volatility Products

Since the banking crisis the market for volatility exchange‐traded products has developed rapidly as it opens to clients beyond the large institutional investor pool. Speculation is driven by increasingly complex leveraged and inverse exposures including those that attempt to trade on significant roll costs in volatility futures curves. Longer‐term investors use these products for the purposes of equity diversification, driven by fears of an ongoing Eurozone crisis. We survey the burgeoning academic literature in this area and present a comprehensive and up‐to‐date comparison of the market and statistical characteristics of European and US exchange‐traded volatility products.     

Do Labour Strategies Matter? An Analysis of Two Enterprise-Level Data Sets in China

This paper examines the effect of labour strategies and management types on firm performance in Chinese enterprises. We use two large panel surveys on Chinese enterprises, spanning almost two decades of transition. Our findings suggest that, as commonly thought, there are significant differences across ownership types in China in the degree to which flexible labour market strategies are utilized; and more flexible strategies (such as bonus-reward systems) do seem to significantly enhance performance. However, after controlling for different degrees of labour market flexibility, ownership differences have little influence on enterprise performance (with the exception that foreign joint ventures clearly outperform other types in growth and labour productivity). This important result suggests that the impact of Chinese ownership types on performance is felt through cost-impacts rather than via direct differences in competitive behaviour or the goals of enterprise decision-makers.     

Misvaluation and Insider Trading Incentives for Accrual‐based and Real Earnings Management

We investigate the incentives that misvaluation creates for: (1) insider trading; and (2) concurrent earnings management through both accruals and real activities. Managers of overvalued firms have an incentive to sustain overvaluation through income increasing earnings management and, at the same time, to sell their shares (Jensen, 2005 ). Managers of undervalued firms benefit from buying their firm's shares, however the negative effects of downward earnings management may offset incentives to enhance trading advantages. The results indicate that managers of both over‐ and under‐valued firms act opportunistically, managing earnings upward (downward) with accruals while selling (buying) shares. The Sarbanes‐Oxley Act of 2002 (SOX) has been largely ineffective in eliminating trading motivated earnings management. Finally, we do not find evidence of a relationship between managerial trading and real earnings management.     

Voices from higher up the ladder: exploring the team leader role in call centres

This paper focuses on an under‐researched employee category in the call centre literature—the team leader. The paper, drawing on data from nine Australian call centres, finds that the team leader role is integral to the effectiveness of call centres, yet it is a role that consists of considerable complexity and contradictions. The research demonstrates the critical role performed by team leaders: coach, mentor, trainer, performance evaluator, communicator and supervisor. It also shows team leaders as being far more positive about many of the features of the call centre work environment compared with those on the front line. However, there does appear to be a need for greater acknowledgement of their challenging role, the contradictions that are inherent in the job and the need, in many cases, for increased support being made available to assist.     

Raising Value at Risk

In this paper I consider the properties for a coherent risk measure, outlined by Artzner et al. (1996), and relate these requirements to a well-known measure, value at risk (VaR), which attempts to evaluate economic risk. I show how the usual method of calculating VaR does not adhere to the coherency requirements and discuss the implications of such a result. As well, I discuss the use of the mean excess loss function to help solve this problem.     

An application of the airport service quality model in South Africa

Passengers’ expectations of service quality at airports are becoming increasingly important as air traffic grows. This research investigated passengers’ perceptions of airport service quality at O.R. Tambo International Airport, South Africa. An existing model placing the concept of passenger expectations central to measuring an airport’s specific level of performance was applied. The results proved significant in terms of the investment made by the airport in staff training and highlighted areas for improvement. The results show that business travellers and leisure travellers have different opinions regarding the importance of services offered by airports and of the level of performance at ORTIA in particular. Significant differences also occur in the perceptions of frequent travellers and infrequent travellers.     

Networking for sustainable tourism – towards a research agenda

This paper proposes a research agenda for networking for sustainable tourism research based on a collaborative workshop of international tourism academics and researchers and an extensive review of the relevant literature. Each year, Building Excellence in Sustainable Tourism – an Education Network (BEST EN) holds a Think Tank on a topical issue in sustainable tourism education. One aim of the Think Tank is to develop a relevant research agenda that draws on the collective knowledge of participants and acknowledges the interdependent economic, environmental and social objectives in sustainable tourism. Six main areas were identified as important for a research agenda on networking for sustainable tourism and its implementation: theory, methodology and conceptual issues; actors, culture and power; lifecycle, evolution and dynamics of networks; knowledge transfer; macro-perspectives and strategic action, vision, innovation and management of networks. This paper presents and discusses these research themes in the context of a literature review on networks and networking for sustainability in tourism. It is found that substantial progress has been made in the investigation of private sector networks at the destination levels; research on networks involving public sector stakeholders and networks across sectors and levels of governance, however, remains limited.     

Retail investors exonerated: the case of the January effect

We dispel the belief that the January effect is due to retail investor trading. Previous studies suggest that retail investors, affected by behavioural biases and disproportionally invested in small capitalization stocks, are the source of the January effect. Furthermore, the literature regards retail investor trading and the tax‐loss selling hypothesis as essentially the same explanation. We separate tax implications and market capitalization to show that retail traders are not the cause of the January effect. Our study is an important direct test of whether retail trading causes market anomalies.     

Zuhause im Netz

This study focuses on the relevance of the Internet to everyday life and the factors that influence Internet usage, based on an investigation of typical patterns of use and motives for use. The empirical basis of the study consists of 102 in-depth interviews with German Internet users aged 14–67 years. The sample was selected by applying the method of theoretical saturation, while the theoretical background was based on the uses-and-gratifications approach and the sociology of Bourdieu. The findings demonstrate that the Internet is indeed integrated in the everyday lives of the interviewees and that most of them cannot imagine life without the Internet. The interviews also reveal that the use of online applications varies with age, sex and social position: Whereas older online users and those with a small social network and low motivation for professional advancement use the Internet to satisfy mainly day-to-day needs (facilitating everyday life, contacting relatives and establishing strong ties), younger people (those under 30 years of age), men and members of the workforce (especially the self-employed and executives) use a wider variety of online applications.