From Experience: Demystify Creativity, Enhance Innovation

Creativity need not be a chance occurrence. The authors of this article believe there is a technology that facilitates creativity. It is a technology that can be learned and applied and managed. They describe the specific steps that they followed in helping a group of R&D professionals learn, apply, and manage the creative processes in the lab. It is a story of practical steps that dealt with the everyday realities of managing in a large corporation.     

On the Effects of Suggested Prices in Gasoline Markets

There is a widespread suspicion that suggested prices act as a focal point for individual firms when setting their prices. Oil companies announce suggested prices for gasoline stations in the Dutch retail market. We show that, compared to the gasoline spot market price, suggested prices contain additional information that explains retail price changes. We conclude that suggested prices have a horizontal coordinating effect in the sense that retail prices react to information that suggested prices contain and that is unrelated to firms’ costs (i.e., the information that firms use under normal competitive conditions).     

Peeking Under the Curtain and Over the Horizon: The Reflections of Another Former Editor

Being an editor of the Journal of Advertising (JA) provides a unique perspective into the publishing process and the field of advertising. In this article I have tried to offer a glimpse of what I learned from this experience. It reveals what I learned (mostly from mistakes I made) about the review process. It also provides some thoughts about how to be a good reviewer. The second part of the article takes a broader view of how the field of advertising research has developed, what might be missing, and how we can expand its development in the future.     

Cooperation and conflict among nations: An application of multi-sample confirmatory factor analysis

The measurement of cooperation and conflict among nations differs greatly among several empirical studies of international relations. In the multidimensional approach to the measurement of both concepts, cooperation and conflict are considered to be unmeasured traits of various indicators in different areas of interest. Insight into the validity of the measurement theory can be gained from the fit of the estimated measurement model and from the estimates of the unknown parameters. These estimates are obtained through confirmatory factor analysis of data on observable policy Indicators of both concepts (see e.g., Jöreskog, 1969). The reliability of the estimated model can be investigated by means of multi-sample confirmatory factor analysis, which allows one to fit a specified model to several data sets simultaneously. Maximum likelihood estimates of the unknown parameters of one-sample and multi-sample confirmatory factor analysis models, based on data available in COPDAB, can be obtained by using the LISREL-VI program (see Jöreskog and Sörbom (1986). The results indicate that cooperation and conflict in foreign policies of nations have de-escalating effects upon each other.     

A Practical Guide to Experimental Advertising Research

Experiments are conducted to help establish cause-and-effect relationships, and they can be powerful tools for doing so. We review fundamental concepts for conducting experimental advertising research. Good experimental research involves careful consideration of independent and dependent variables, and what they are supposed to represent. To this end, we review threats to construct validity as well as offer some suggestions on how to think about external and ecological validity in ad research. We review three quasi-experimental research designs and three simple, randomized experimental designs, along with more complex factorial design experiments. Finally, we discuss ethical considerations and the crucial role researchers play in maintaining research integrity.     

Foreign determinants of local institutions: Spatial dependence and openness

There are both empirical and theoretical arguments for the thesis that foreign factors have an impact on domestic institutional quality. Yet the literature is divided over whether exposure (openness to the world economy) or the kind of institutions in surrounding countries (relative location) determines the quality of local institutions. This paper confronts these hypotheses empirically, addressing the issues of strong cross-sectional dependence and the endogeneity of openness. In a 107-country cross-section, both trade openness and relative location have a positive impact on local institutions. The institutional quality of neighbouring countries is not found to be statistically significant when considering openness to foreign direct investments instead of trade, but the statistical performance of that model is poorer.