Consumer Choice Behavior and Electronic Shopping Systems – A Theoretical Note

The aim of this paper is to provide an overview of alternative approaches in modeling consumer choice behavior with respect to making purchases either in the traditional manner or using an electronic shopping system. We concentrate on the effects of two specific features: the amount of time spent on shopping and the shopping experience. We consider a simple two-good situation in which one good is a composite good that consists of all goods purchased electronically, and the other is the composite of all goods purchased in a traditional manner. The models suggest that both time saved and an increase in shopping experience related to Web-based shopping will lead to increased purchasing at a Web shop.     

Work at home and time use in Finland

This study examines the relationship between home‐based work (HBW) and time use by comparing unpaid (overtime) home workers, paid (agreed) home workers and non‐home workers. Especially, unpaid HBW was linked to the stretching of working hours and the reduction of free time.     

Dual Information Systems: Supporting Organizational Working and Learning by Making Organizational Memory Transparent

The conceptual design of most computer-based information systems reflects a dualism of technology. During the development phase, part of the work-domain-related knowledge is formalized and encoded in the software, making it difficult for users to reflect on and use this knowledge. This design--use dualism contributes to the deterioration of the interpretive flexibility of information systems. In this article, we outline an information systems architecture called Dual Information Systems (DIS) that incorporates the concepts of an organizational memory information system (OMIS) in a broader framework. DIS help bridge the design--use dualism by providing organizations with a set of services that enable and reinforce both effective, institutionalized working and the questioning and (re)construction of computer-supported work routines. DIS have a 4-layered conceptual structure: (a) people draw on the business layer to work and learn; (b) people use the breakdown layer to handle unexpected break-downs; (c) self-organizing project teams use the project layer to create innovative work and information system (re)designs; and (d) the knowledge sharing server acts as an OMIS by storing these redesigns and making them organizationally available to facilitate working and learning as well as subsequent redesign efforts. We outline the theoretical background, conceptual structure, and generic services of DIS. We elaborate on the services and the conceptual design of the business and breakdown layers of DIS. The services help people work effectively and develop competence needed to handle breakdowns and participate in the redesign project teams. The conceptual design extends the hyperknowledge framework of Chang et al [1]. Finally, we demonstrate the conceptual design and services in a financial services organization with the help of the ReDIS prototype.     

Stakeholder engagement and environmental strategy – the case of climate change

Many management studies analyze stakeholder pressures and corresponding corporate strategies in the context of the natural environment. This study investigates the role of the sources of stakeholder pressures and additional contextual factors for choosing an environmental strategy. By focusing on climate change as an important ecological challenge, four general response strategies to greenhouse gas (GHG) reduction pressures are empirically derived and discussed. The analysis is based on a global survey that includes 141 companies across eight different GHG emission‐intensive industries. It is found that organizations' response strategies do not relate to individual stakeholder groups, but rather the organization's level of pollution measured as its GHG intensity is identified to have an influence on the environmental strategy. We discuss important implications for stakeholder theory as well as policy makers and suggest areas for future research. Copyright © 2010 John Wiley & Sons, Ltd and ERP Environment.     

Performance measurement and best-practice benchmarking of mutual funds: combining stochastic dominance criteria with data envelopment analysis

We propose a method for mutual fund performance measurement and best-practice benchmarking, which endogenously identifies a dominating benchmark portfolio for each evaluated mutual fund. Dominating benchmarks provide information about efficiency improvement potential as well as portfolio strategies for achieving them. Portfolio diversification possibilities are accounts for by using Data Envelopment Analysis (DEA). Portfolio risk is accounted for in terms of the full return distribution by utilizing Stochastic Dominance (SD) criteria. The approach is illustrated by an application to US based environmentally responsible mutual funds.     

Target loans, current account balances and capital flows: the ECB’s rescue facility

This paper presents the first comprehensive Target database of the Eurozone and interprets it from an economic perspective. We show that the Target accounts measure the intra-Eurozone balances of payments and indirectly also international credit given through the Eurosystem in terms of reallocating the ECB’s net refinancing credit. We argue that the Euro crisis is a balance-of-payments crisis similar to the Bretton Woods crisis, and document to what extent the Target credit financed the current account deficits and outright capital flight in Greece, Ireland, Portugal, Spain and Italy. To prevent the ECB from undermining the allocative role of the capital market, we propose adopting the US system of credit redemption between the District Feds.     

Generating consumer insights into physical activity patterns for three different segments

Segmentation theory has been suggested as an effective way to target social marketing programmes to meet different needs of different subgroups in order to achieve behaviour change more effectively. The aims of this research were two fold. First, to identify whether distinct physical activity consumer segments existed among an urban population sample and second, to observe how physical activity levels changed over a one-year period. A two-step cluster analysis was used to identify homogenous subgroups in the study population. Next, repeated measures ANOVA, with post hoc group analysis, was conducted to examine changes in physical activity over time and to determine if there was a significant difference between the identified segments. Three segments were identified at baseline: female positivists, active males and young and motivated. Findings indicate that physical activity changed over time for the better in all three segments with positive changes observed both in terms of the number of physical activity sessions and time spent on physical activity for exercise, recreation or sport in the past seven days. Implications for future research and practice are outlined.     

Ageing shocks and short-run regional labour market dynamics in a spatial panel VAR approach

Using a flexible spatial panel VAR model for a small-scale labour market system, we investigate the dynamic interdependences between changes in the demographic structure and the labour market performance of a regional economy. With a particular focus on ageing shocks, we describe an increase in the share of elderly in regional population due to exogenous changes in the institutional context, such as pension reforms. The regional labour market implications of an ageing shock are then tested with regard to the effects on employment growth, unemployment and labour participation rate. Our results based on a sample of 71 Scandinavian regions point to negative regional labour market effects of an ageing shock implying a reduction in employment growth and a temporarily declining labour participation rate, while the unemployment rate increases. Importantly, spatial spillovers amplify these negative impacts through a marginalization of macro-regional labour markets. As a robustness check, we reverse the causal ordering and analyze the responses to a positive macroeconomic shock which initially increases employment growth. We find direct and spatially indirect adjustment patterns characterized by a reduction of the unemployment rate, an increase in the labour participation rate and a decrease in the share of elderly in the population.     

Higher-order risk preferences in social settings

We study prudence and temperance (next to risk aversion) in social settings. Previous experimental studies have shown that these higher-order risk preferences affect the choices of individuals deciding privately on lotteries that only affect their own payoff. Yet, many risky and financially relevant decisions are made in the social settings of households or organizations. We elicit higher-order risk preferences of individuals and systematically vary how an individual’s decision is made (alone or while communicating with a partner) and who is affected by the decision (only the individual or the partner as well). In doing so, we can isolate the effects of other-regarding concerns and communication on choices. Our results reveal that the majority of choices are risk averse, prudent, and temperate across social settings. We also observe that individuals are influenced significantly by the preferences of a partner when they are able to communicate and choices are payoff-relevant for both of them.     

Convertible Bond Design and Capital Investment: The Role of Call Provisions

If firms issue convertible securities to facilitate sequential investment, the securities should be engineered to give sufficient flexibility to accommodate timing of follow‐on investment. We examine call provisions in convertible bonds and argue that firms with investment options expected to expire sooner (later) will offer weaker (stronger) call protection. We find that issues with weak or no call protection are offered by firms that invest greater amounts soon after issuance than those issuing convertibles with strong protection. Moreover, capital expenditure levels during the 5‐year period following issuance are inversely related to the length of call‐protection periods.