Behavioural heterogeneity in wine investments

We introduce a heterogeneous agent model to explain the dynamics of fine wine investments. Our results show evidence of the existence of both fundamentalists – those who trade on mean-reversion towards a fair value – and chartists – those who extrapolate recently observed price trends – in the wine market. Moreover, we document that market participants switch between the two trading strategies, allocating more weight to the strategy that has been the most accurate in forecasting wine index values in the recent past. This switching behaviour can explain the large variations in index values (bubbles and crashes) that are observed in the fine wine market.     

Decision criteria for updating test intervals for well barriers

In this paper, we discuss whether or not the decision-making process regarding test intervals for well barriers should adopt the same decision criteria as those recently suggested for safety instrumented systems (SIS). We conclude that the criterion suggested for halving the test intervals for SIS is also appropriate to use for well barriers. The criterion for doubling the test interval for SIS is, however, not considered appropriate, as it does not give sufficient weight to the uncertainties. A new type of criterion for doubling the test interval for well barriers that better reflects the uncertainties is suggested.     

A Preliminary Study of Fintech Industry: A Two-Stage Clustering Analysis for Customer Segmentation in the B2B Setting

ABSTRACT

This practitioner note proposes a new approach considering two-stage clustering and LRFMP model (Length, Recency, Frequency, Monetary and Periodicity) simultaneously for customer segmentation and behavior analysis and applies it among the Iranian Fintech companies. In this practitioner note, the K-means clustering algorithm and LRFMP model are combined in the customer segmentation process. After initial clustering, for a better understanding of valuable customers, additional clustering is implemented in segments that needed further investigation. This approach contributes to a better interpretation of different customer segments. Customer segments, consisting of 23524 business customers are analysed based on their characteristics and appropriate strategies are recommended accordingly. The first stage clustering result shows that customers are best segmented into four groups. The first and fourth segments are clustered again and the final 11 groups of customers are determined. This note provides a systematic and practical approach for researchers and practitioners for segmentation, interpretation, and targeting of customers especially in the B2B setting and the Fintech industry and helps managers to make effective marketing strategies and enhance customer relationship and marketing intelligence.     

Strategic Intellectual Property Rights Policy and North-South Technology Transfer

This paper analyzes welfare implications of protecting intellectual property rights (IPR) in the framework of TRIPS for developing countries (South) through its impact on innovation, market structure and technology transfer. In a North-South trade environment, the South sets its IPR policy strategically to manipulate multinationals’ decisions on innovation and location. Firms can protect their technology by exporting or risk spillovers by undertaking FDI to avoid tariffs. A stringent IPR regime is always optimal for the South as it triggers technology transfer by inducing FDI in less R&D-intensive industries and stimulates innovation by pushing multinationals to deter entry in high-technology sectors. JEL no. O34, F23, F13, L13, O32, L11, O38     

Brand Commitment Role in the Relationship between Brand Loyalty and Brand Satisfaction: Phone Industry in Malaysia

Abstract

To maintain a competitive advantage, the strategy of the creation and maintenance of brand loyalty plays a vital role. The main aim of this study is to examine the theoretical and empirical evidence on the causal relationships among different factors i.e., brand personality, image, experience, satisfaction, trust and commitment that have direct and indirect effects in the creation of brand loyalty. Structural Equation Modeling (SEM) using Partial Least Squares (PLS) method was applied to test the relationships in this study. The findings indicate that brand personality, brand image and brand experience are key sources of brand satisfaction.     

Antecedents and consequences of tourists’ satisfaction in sport event: Mediating role of destination image

Abstract

In this study, we determined the causal relationship between some of the predictors and outcomes of sports tourists’ satisfaction using structural equation modeling. Motivation and involvement as predictors and behavioral intentions (WOM and intention to revisit) were considered as outcomes. The results indicated the significant mediating role of destination image in the relationship between involvement and satisfaction. So, Event organizers need to pay special attention to the psychological characteristics of tourists, such as their motivations and involvement. As a result, they can take some benefits in behavioral outcomes, such as word of mouths and intention to revisit.     

A data mining approach for segmentation-based importance-performance analysis (SOM–BPNN–IPA): a new framework for developing customer retention strategies

Importance-performance analysis (IPA) is a simple but effective means of assisting practitioners in prioritizing service attributes when attempting to enhance service quality and customer satisfaction. The purpose of this study was to demonstrate how IPA can be used with market segmentation to develop customer retention strategies for different market segments. For this purpose, a new framework have been proposed that uses self-organizing maps for customers’ segmentation and back-propagation neural network (BPNN) for implicity drive the importance of service attributes based on their effect on customers’ loyalty in each segment. Then, individual IPA matrixes are developed for each market segment. Also, an example case is presented to demonstrate the implementation and application of the proposed framework. The results of the proposed framework compared with a conventional BPNN-IPA approach indicated that it can increase reliability and applicability of IPA results.     

Intellectual property rights and diaspora knowledge networks: Can patent protection generate brain gain from skilled migration?

This paper studies the mechanism through which intellectual property rights (IPR) protection can influence the impact of skilled migration on innovation activities in developing countries. We argue that knowledge acquired by emigrants abroad can flow back to their country of origin through diaspora networks. IPR protection in the sending country facilitates this channel by increasing returns to skills and encouraging workers to move into the innovation sector. An expansion of the innovation sector allows diaspora knowledge to be absorbed by a larger range of workers. Strong IPR enforcement therefore makes it more likely for brain drain to be transformed into brain gain.     

Investigation of investors' overconfidence, familiarity and socialization

This study, using a sample of New Zealand investors, investigates three behavioural finance theories: investor overconfidence, socialization and the familiarity effect. We find support for the investor overconfidence theory, using characteristics such as past success, optimism, confidence in one's abilities, investment experience and investment‐related knowledge. Concerning the socialization theory, we observe that the investors actively sought information regarding the stock market, 75 per cent doing this on a weekly basis. Those investors that kept themselves informed daily outperformed other investors by 8 per cent. The familiarity effect was confirmed, showing investors to hold a far too high proportion of local stocks, although the majority of investors believed international equity markets would provide returns that were either better or equal to New Zealand stocks.