Repeated implementation and complexity considerations

A game form is commitment-free if single actions of players do not have physical consequences, i.e., affect the continuation game. Such game can be thought to represent inifinite interaction with complete patience. A choice rule can be Nash implemented via a commitment-free mechanism if and only if it coincides with the feasible set of a normal form game. However, when players are complexity averse (in the lexicographic sense), then any Nash implementable choice rule becomes available. I am very grateful to Matt Jackson and a referee for their comments. I also thank Klaus Kultti and Hannu Salonen for useful conversations.     

Investment service providers gaining competitive advantage by focusing on consumers’ varying investment goals

Laddering data collected from 95 individuals and network analysis were used to reveal and identify 747 linkages among 33 content-analysed goals as reasons for investing in individual stocks, mutual funds and/or voluntary pension plans. The results suggest that consumers’ goals associated with investments are: (i) besides economic, also functional, emotional and symbolic; and (ii) influenced by the type of investment product under evaluation rather than being independent of the investment alternatives. The article presents guidelines for investment service providers on: (i) how to provide facilities that support consumers’ investment-related goals; and (ii) how to encourage consumers to take an active role in customising and personalising their investment practices when using these facilities. Thus, economic and functional but also – and especially – emotional and symbolic goals of investing give insight into these strategic decisions that enable investment service providers to deliver value to consumers. While economic, functional, emotional and symbolic goals are well established in consumer research literature, these elements contribute to a novel understanding of the drivers underlying investment in general and the differences in distinct product categories in particular.     

Unlocking the transformative potential of customer data in retailing

Retailers collect, process, and use large amounts of data about customers: what they buy, how they buy, when they buy – and when customer loyalty cards are used – who buys the product or service. The use of customer data within the customer relationship management (CRM) framework has largely remained one sided. The potential of customer data for the benefit of the customer’s well-being still needs to be addressed. Reverse use of customer data, i.e. the process of firms converting customer data into information that is meaningful for the customers, extends attention toward using customer data for the benefit of the customer. In addition, selling goods to customers retailers can revise customer data into relevant and meaningful information that can support their well-being. Consequently, the purpose of this study is to identify and illustrate the transformative potential of the reverse use of customer data in retailing. This is achieved by reviewing literature on CRM, S-D logic, and transformative consumer research, and conducting a case study of a food retailer using point-of-sale data to provide customers with information about the healthfulness of their food purchases. Anonymous customer feedback data is collected and analyzed, and as a result, the transformative potential of customer data is reflected through five themes: self-monitoring, enhanced diet, food literacy, peace of mind, and beyond food healthfulness. These themes illustrate customers’ well-being outcomes resulting from reverse use of customer data.     

Customer experience in omni-channel banking services

The banking industry is experiencing rapid and widespread changes due to advances in technology that go hand-in-hand with the customer demands for real-time, personalized and seamless banking experience. Along with this development, omni-channel orientation is becoming an inherent feature of banking services. However, its role has not yet been thoroughly understood, specifically in this context. The purpose of this study is to create in-depth understanding of how do customers experience omni-banking services and what are the key factors related to their experiences. We identify both actual critical events and imaginings, positive and negative that are related to the forming of customer experiences and suggest both theoretical and managerial implications based on the results.     

Innovative growth: the role of market power and negative selection

ABSTRACT

This paper relies on register-based statistical data from Finland to measure broad research and development (R&D), organizational capital (OC) and information and communication technology (ICT) investments as innovation inputs in addition to formal survey-based R&D and CIS survey data on innovations. The linked panel data are appropriate for a comparison of low-market-share (small) and large-market-share (large) firms. We analyze the productivity growth and profitability of Finnish firms with varying market power. In contrast to high-market-share firms, low-market-share firms are characterized by low profit derived from new innovations. This study suggests that in addition to imitative growth, a ‘negative selection mechanism’ explains the high productivity growth relative to the low profits.     

XBRL to enhance external financial reporting: Should we implement or not? Case Company X

The growing use of eXtensible Business Reporting Language (XBRL) represents a fundamental change for financial information flows. In a number of countries XBRL has already been put to practical use, for instance through implementation within the financial processes of non-listed companies. This fictional case is designed to help identify the benefits of XBRL. In addition, it helps to create knowledge about the different strategies of XBRL implementation and to apply this knowledge when making investment decisions on accounting information processes.     

Differentiating growing ventures from non-growth firms

This is the first step of the studies examining which factors differentiate growing from the non-growth firms. Four hypothesis of new firm performance will be tested with logistic regression method. Venture growth, measured by the growth of turnover, will be explained by entrepreneurial characteristics and motivation, and interaction between the firm and environment. The longitudinal study concentrates on the 86 responses, half of these responses (43) were classified as growing and the other half as non-growth firms. Personality characteristics and environmental factors do not explain the growth but experience, training and motivation are important variables that differentiate growing ventures from non-growth firms.     

More hedonic versus less hedonic consumption behaviour in advanced internet bank services

Finnish internet banking can be considered as one of the most advanced in the world. This paper presents an exploratory analysis of the consumer characteristics in this sector. In the context of internet bank services the paper compares and contrasts two sets of consumers: those who prefer a more experiential view of consumption (more hedonic consumers) with those who believe in a less experiential view of consumption (less hedonic consumers). It was found that important differences exist between these two groups of consumers. Specifically, more hedonically orientated consumers place greater value on almost every proposed service dimension than the less hedonic consumers. These more hedonic consumers tend to be younger people, however, with lower education and income level and thus they do not appear to be an appealing target market for banks. In contrast, less hedonic consumers are found to be a more lucrative target market, even though they prefer basic services that concentrate on the core function of internet banking. The results have profound implications for internet bank services. Banks should focus on an improved functional operation of the services on the internet and cater more to the customers who find it effective and efficient.     

Assessment of hidden and future customer needs in Finnish business‐to‐business companies

The development of new products should be based on the needs expected to exist even several years ahead – at the moment of market introduction and during the whole lifecycle of the product. To develop successful new products in the toughening business environment, companies should be able to surpass customers' expectations and to assess emerging customer needs proactively. Early, thorough understanding of the customer's real needs, including the assessment of hidden and future customer needs and requirements, plays a very important role in the successful development of new products.
The purpose of our paper is to study the assessment of new (hidden and future) customer needs for product development in Finnish business‐to‐business companies. We have carried out a survey in 93 Finnish business‐to‐business companies and SBUs to study their common problems in the assessment of unrecognized customer needs and potentially effective ways in clarifying new customer needs and dealing with important problems. On the basis of the results, we propose several possible ways to facilitate the assessment of unrecognized customer needs.