WAS THE GOLD STANDARD REALLY DESTABILIZING?

This paper investigates the extent to which the high macroeconomic volatility experienced in the classical Gold Standard era of US history can be attributed to the monetary policy regime per se as distinct from other shocks. For this purpose, we estimate a small dynamic stochastic general equilibrium model for the classical Gold Standard era. We use this model to conduct a counterfactual experiment to assess whether a monetary policy conducted on the basis of a Taylor rule characterizing the Great Moderation data would have led to different outcomes for macroeconomic volatility and welfare in the Gold Standard era. The counterfactual Taylor rule significantly reduces inflation volatility, but at the cost of higher real‐money and interest‐rate volatility. Output volatility is very similar. The end result is no welfare improvement. Copyright © 2012 John Wiley & Sons, Ltd.     

Missing a strategic marketing trick? The use of online social networks by UK charities

• This paper explores the use of online social networks in the charity sector. Twelve major UK charities from a range of sectors and three digital marketing agencies were selected to provide rich interview data on the current adoption of online social networks by UK charities. The empirical findings illustrate the diverse drivers in adopting online social networks including regaining control of a brand, external pressures and gaining new audiences. Levels of usage differed significantly and the resistors consistently cited were the lack of skills and resources. The strategic marketing implications for the development of online social networks are also outlined for the UK charity market. The value provided by this paper stems from exploring the organisational perspective rather than the consumer experience of contributing to social networks, within a context which is often overlooked, the charity sector.

Copyright © 2012 John Wiley & Sons, Ltd.     

‘Good when they want to be’: migrant workers in the supermarket supply chain

Despite the increased attention paid to the role and effects of migrant labour in the contemporary economy, there has been insufficient attention to the role of employers and the employment relationship. Recent studies have highlighted distinctive labour power characteristics of new labour migrants from Central and Eastern Europe that make them ‘good workers’ in the eyes of employers. Drawing on multiple case studies across the supermarket supply chain, this article explores what kind of human resource migrant labour is perceived to be, particularly by employers, and what happens in practice as the dynamic tensions of the employment relationship unfolds in particular sector contexts. It argues that utilisation is conditioned more by the requirements of temporal flexibility – framed by the dynamics of employment within the supply chain – than any essential features of migrant labour power.     

International market selection strategies of manufacturing and services firms

This paper discusses the entrepreneurial landscape in Africa and locates a new generation of African entrepreneurs and their business networks within it. Unlike others in that landscape (i.e. micro- or small-scale informal sector vendors, and traditional or multinational large-scale formal sector firms), the ‘new generation’ entrepreneurs are business globalists who organized a system of business enterprise networks consisting of national, regional, and pan-African organizations. The study analyses interview data from 57 men and women network members from 10 countries (Botswana, Ethiopia, Ghana, Kenya, Mali, Senegal, South Africa, Uganda, Zambia, and Zimbabwe). Some defining characteristics of these entrepreneurs are interactive social and business relationships, use of modern management methods and information technology, trust among fellow members, transparent business practices, advocacy on behalf of the private sector, and commitment to increasing intra-African commerce. Their mission is to improve the climate for private sector business in Africa and to promote regional economic integration. They pursue cross-national commercial ventures, maintain official observer status at established regional economic organizations, sign memoranda of understanding with multilateral agencies, establish venture capital funds, and help to change government policies. The paper identifies characteristics of the ‘new generation’ entrepreneurs, evaluates goals and achievements of their networks, and concludes that despite limitations, these entrepreneurs and their organizations have created intra- and cross-national networks that strengthen private-sector-led economic growth in Africa.     

Small enterprises as complex adaptive systems: a methodological question?

Complexity science constitutes an emerging post-positivist interdisciplinary field of investigation of dynamical systems in the natural and physical worlds. The central concept of complexity is that interactions between parts of open systems create novel, unpredictable patterns, and that while the history of the system is relevant in understanding its dynamic, the isolation of individual parts of the system (analysis) does not reveal the casual mechanisms in the system. It is suggested that complexity science can inform our methodologies for investigating the social sciences. The paper explores whether complexity science offers ways of theory building that can take account of pluralistic or interdisciplinary research in enterprise dynamics. The authors offer a model of six theorized ontological layers, derived from the canon of research literature within a small enterprise domain, with boundaries at each end. It is suggested that dynamical concepts of agency (adaption, evolution, fitness, interdependence) coupled with the theory of evolutionary autopoietic structures generate a plausible field for the study of enterprise dynamics. A focus on ontological and experimental adequacy is necessary to develop theory within this framework. An appropriate methodology involves iterations between experimental forms of scientific analysis and the grounding of emergent or evolving theories.     

Knowledge,diversity and entrepreneurship: a spatial analysis of new firm formation in Great Britain

This paper argues that the diversity of a region's knowledge stock and its balance between knowledge-based manufacturing and services are both important determinants of variations in the rate of new business formation across spatial areas. An empirical study of new firm formation across 408 local unitary authorities and districts in Great Britain over the period 2001–2007 is presented, taking explicit account of the interactions amongst spatial units through an econometric modelling procedure involving maximum likelihood spatial models and alternative spatial weighing matrices. The results indicate that both related and unrelated knowledge diversity have a positive impact on the rate of business formation, whilst aggregate local economy-wide industrial and ethnic diversity has no impact; the division of the knowledge stock between services and manufacturing is also significant, with services having a positive impact on new business formation in contrast to a negative impact for high-technology manufacturing. There is also some support for the view that low wages and economic inactivity constrain new business formation, whilst a competitive regional environment has a positive impact. The results imply that polices should be aimed at creating a diverse set of knowledge-based industries rather than specialization in a narrow range.     

Knowledge diversity and entrepreneurship following an economic crisis: an empirical study of regional resilience in Great Britain

ABSTRACT

This article argues that the ability of entrepreneurs to facilitate regional adaptation to economic crises is mediated by the size and diversity of local knowledge stocks. The specific research question addressed is the hypothesis that, in the aftermath of a crisis, the birth rate of new firms will recover more rapidly in regions with a strong and diverse knowledge stock. It is theorised that unrelated knowledge diversity is of particular importance in stimulating new entrepreneurial opportunities and structural change, whilst the incentive to exploit opportunities differs according to region-specific factors. In addition to this theoretical contribution, the article develops spatial econometric models to test these research hypotheses using data on sub-regions of Great Britain for 2004–2014. The results support the central theoretical hypotheses and emphasise the positive significance of unrelated knowledge diversity and employment in knowledge intensive services to regional recovery from an economic shock. A key implication for policy-makers wishing to facilitate regional adaptation to crises is that it is important to focus on fostering entrepreneurship by developing a region’s stock of knowledge intensive services and the diversity of the knowledge creating sector, rather than relying on specialised clusters of firms.     

Not part of the family? The limits to managing the corporate way in international hotel chains

Companies increasingly seek solutions to the corporate/local dichotomies perceived to be a feature of more traditional approaches to managing across national boundaries. At the human resource level, the rhetoric of transnationalism emphasizes integration being achieved through 'soft' mechanisms, such as corporate culture devices, which encourage all managers to develop an international (for this read corporate) perspective on what they do. In theory, managerial staff are recruited and promoted on a 'best person for the job' basis and national identities are played down. Drawing upon evidence from three international hotel chains (one American, one French and one Swedish), this paper argues that there is a disjuncture between corporate culture devices which assume that they can transcend national origins and the issues of interest and identity which inform the activities and experiences of managers at unit level. The paper suggests that companies need to be aware of the danger of assuming that one can be trained to be 'one of the family'. Rather, we argue that local managers are potentially disadvantaged in terms of career progression as managers from the parent country utilize criteria of acceptability informed by processes of socialization which are more institutionally embedded and derived than has been assumed.     

The relationship between perceptions of HR practices and employee outcomes: examining the role of person–organisation and person–job fit

Human resource management (HRM) practices can play an important role in matching people with the organisations and the jobs they work in. However, little is known about how employees perceive and interpret HR practices and whether or how these perceptions relate to perceptions of person–organisation (P–O) and person–job (P–J) fit. This study aims to bridge strategic HRM and person–environment fit literature by examining possible mediating and moderating roles of P–O and P–J fit in the relationship between employee perceptions of a broad set of HR practices and employee attitudes and behaviours. Results from a sample of 412 employees support direct relationships as well as a mediating and moderating role of P–O and P–J fit in the relationship between perceived HR practices and employee outcomes.     

Managing the duality of IHRM: unravelling the strategy and perceptions of key actors in South Korean MNCs

This research aims to extend our understanding of the duality between global integration and local responsiveness in multinational corporations (MNCs) by exploring the perceptions of corporate HR actors regarding the intra-organisational factors that alter the balance between these pressures. It examines the perceptions and actions of key actors in the context of two Korean MNCs. The study shows the importance attributed to a range of socio-procedural factors by corporate actors and which, therefore, inform the practical management of the dual forces, notably: HR expertise, social ties, trustworthy relationships and co-involvement in decision processes.