The Role of Debt Purchases in Takeovers: A Tale of Two Retailers

In this paper, we examine acquisitions of two financially distressed retailers—Federated's takeover of Macy's, and Zell Chilmark's takeover of Carter Hawley Hale. In both cases the raider purchased some of the target's outstanding debt to launch its takeover attempt. These debt purchases appear to have been facilitated by two salient factors—the raider's expertise in dealing with distressed firm restructuring and the ability of the raider to acquire a large blockholding of debt. Our analysis indicates that, when these factors are present, it is optimal for a raider to initiate a takeover of a distressed firm through purchasing a block of the firm's debt. Target bondholder reaction will be favorable whereas shareholder reaction may be either favorable or unfavorable.     

Women abroad: getting the best results from women managers

Abstract This study explores the work environment of expatriate women managers in American corporations and investigates the determinants of their job satisfaction. The strategic importance of global assignments has increased over the years. The real cost of unsuccessful expatriates extends beyond the monetary expenses. As the number of women managers working overseas increases, so does the importance of this topic. Additionally, because women in expatriate positions are relatively new, their needs for job satisfaction and career aspirations are not known to most organizations. This research intends to fill this gap. The study concentrates on four major areas that are considered important for obtaining job satisfaction: (1) the way in which organizations design their overseas jobs, (2) women's skills and characteristics, (3) international human resource policies of companies and (4) the cultural environment of host countries. The applied research covers two phases: a study of expatriate managers during their assignments overseas and the evaluation of overseas experience upon their return. The results indicate that women in overseas assignments are satisfied overall with their jobs. However, organizational variables are more strongly related to job satisfaction. The nature of job design in overseas postings has the greatest impact on women's job satisfaction. When the jobs are enriched, women gain intrinsic rewards and have high job satisfaction. Organizational support also contributes to the satisfaction of women expatriates. Training, mentoring and repatriation preparations have high impact on women's success and satisfaction. Women expatriates are more concerned with their repatriation and future advancement than their present assignments. The findings are important for theoretical and practical reasons. Theoretically, the achievement and satisfaction of women managers overseas cannot be simplified without taking into account organizational, personal and cultural factors. Practically, companies need to respond to the individual needs of expatriate women managers and then decide on their assignments and their repatriation accordingly.     

A comparative analysis of corporate entrepreneurial orientation between selected firms in the Netherlands and the USA

Firms in turbulent or fast-changing environments must continually innovate to remain competitive. This study examined how a firm's strategic management practices influence its entrepreneurial behaviour as compared to an international competitor. Four firms in the Netherlands were each matched with a key competitor in the USA. Several survey measures related to the strategic management process were used along with an instrument related to corporate entrepreneurship practices. Both managers and employees participated in the study. Results revealed significant differences between the Netherlands firms and the US competitors in entrepreneurial orientation. Results also supported these comparative differences along three key dimensions of strategic management as they relate to corporate entrepreneurship. The final set of data revealed a relationship between corporate entrepreneurship and three measures of firm performance. The implications focus upon the key role that culture may play in facilitating corporate entrepreneurship and adaptable organizational practices. Suggestions for further research are also made.     

Acculturation and Individualism as Predictors of Work‐Family Conflict in a Diverse Workforce

Ethnic and cultural diversity is an increasing reality in the US workplace. The current study highlights the importance of acknowledging the culturally heterogeneous nature of ethnic groups, and the need to focus on social identity characteristics such as cultural values when assessing group differences. We demonstrate that cultural values (i.e., individualism) contribute to employees' experiences of work‐family conflict beyond the effects of ethnicity. Specifically, we introduce a model informed by social identity theory that explains why acculturation is related to work‐family conflict. The model was tested with a sample of 309 employed Caucasian and Hispanic Americans. An empirical test of our model provides evidence that individualism mediates the relationship between language‐ and social‐based acculturation and work‐family conflict, even when controlling for ethnicity. Additionally, alternative models further reveal that the effects of acculturation and individualism contribute to work interfering with family. As an implication of the current study, we suggest that researchers and organizational managers should consider the cultural values of their diverse workforce when implementing policies that affect conflict between work and family. © 2013 Wiley Periodicals, Inc.     

Managing the Intangible Aspects of a Project: The Affect of Vision,Artifacts, and Leader Values on Project Spirit and Success in Technology‐Driven Projects

Successful projects are often characterized by a unique spirit. Phase one results, based on 193 employees partaking in 60 projects across organizations, support a model positing that leader building activities affect employees' emotions, attitudes, and behavioral norms that are focused on expected project outcomes, termed project spirit. Spirit affects employees' contextual performance behavior, which in turn affects success as proposed. Phase two cases, designed to ground these results in technology‐driven project contexts, highlight the value of managing the project's intangible aspects captured by spirit. Quantitative and qualitative findings imply that leaders can be coached to execute behaviors that generate a project's spirit, which boosts contextual performance behavior and increases project success.     

Property Rights Protection of Biotechnology Innovations

Protection of intellectual property embedded in self-replicating biological innovations, such as genetically modified seed, presents two problems for the innovator: the need for copy protection of intellectual property and price competition between new seed and reproduced seed. We consider three regimes in two periods with asymmetric information: short-term contracts, biotechnological protection, and long-term contracts. We find that piracy imposes more intense competition for seed sales than does durability alone. Technology protection systems yield highest firm profit and long-term contracts outperform short-term contracts. Farmers prefer, in order, long-term, short-term, and biotechnical protection. Depending on monitoring cost, long-term contracts may be socially preferred to short-term contracts, with both preferred to biotechnical protection.     

A strategic human resource perspective of firm competitive behavior

Embedded within firms are unique stores of intangible human assets that likely influence the way firms compete. We argue that the human and social capital of a firm, particularly at the upper echelon and board of director (BOD) levels, contribute to the firm's awareness of the competitive environment and its motivation and ability to undertake numerous, complex, and forceful competitive actions. We also suggest that the firm's executive compensation systems moderate the effects of these intangible human assets on firm competitive behavior. By examining how human capital, intra-firm social capital, and executive compensation influence firm competitive behavior, we advance a strategic HRM perspective of firm competitive behavior and outline several implications for future research.     

Memory recall errors in retrospective surveys: A reverse record check study

This paper reports on a study to compare self-reports during an interview with staff who attended a University health centre in Turkey, with the records of visits to the same health centre over the previous 12 months. Design of the study reflects the effects of importance of the event, duration since the event, frequency of the occurrence of the event, measurement scale of the event, and bounded and unbounded recalling. In order to assess the extent of recall error, responses to retrospective questions on health centre visits are compared with administrative records. Statistical models are proposed for short and long term human memory recall error effects on responses.     

The relationship between performance appraisal criterion specificity and statistical evidence of discrimination

Plaintiffs' expert witnesses in EEO cases involving performance appraisals often claim that adverse impact is a result of the type of rating format used. Their theory is that more specific rating criteria will lead to lessened adverse impact. We tested that theory by comparing data from a simple category‐based rating system against data from a standards‐based Work Planning and Review appraisal system with over 248,000 performance appraisals of state employees. Using logistic regression and statistical definitions of prima facie discrimination, we found no support for the hypothesis that adverse impact is materially affected by criterion specificity. © 2003 Wiley Periodicals, Inc.