Expectations of Working Relationships in International Buyer–Seller Relationships: Development of a Relationship Continuum Scale

This study is an attempt to develop a scale to measure expectations of buyer–seller working relationships on a cross-cultural basis in the hospitality industry. The focus is on North American and Asian hotel salespeople. The scale development drew from previous research in guanxi relationships, purchasing, and selling strategies. While the results did not support a reliable unidimensional scale that could distinguish between transactional and collaborative working relationships, the methodology did create a framework for further scale development.     

Charleston's newfound “entertainment zone”: should we be concerned?

This CIT Research Letter addresses issues related to the night-time economy and the rapid proliferation of bars along a section of a tourism oriented city's main street. Merely 10 years ago, locals did not frequent the area, it was of no interest to tourists, and it was regarded as a neighbourhood where one would not want to walk, especially at night. However, with the area's transformation to the nightlife centre of the city, issues have arisen that are of concern to city government officials. This paper considers these concerns.     

Determinants of systematic volatility of corporate bonds

This paper examines the association between betas of corporate bonds and their duration, coupon, maturity, agency rating, and other attributes. The data consist of monthly returns of 386 bonds, from January 1973 to June 1976. Betas are generated with the S&P 500 Index, a corporate bond index, and a U.S. bond index. The chief conclusions are the following: 1) Systematic volatility and its determinants differ according to the index; 2) betas formed with an equity or corporate bond index are negatively related to rating; and 3) duration is superior to coupon and term in explaining beta.     

The fundamentals of land prices and urban growth

In a very simple model in which capital is durable and landowners have perfect foresight, the price of urban land has four additive components: the value of agricultural land rent, the cost of conversion, the value of accessibility, and the value of expected future rent increases, a growth premium. In rapidly growing cities, the growth premium may easily account for half of the average price of land and may create a large gap between the price of land at the boundary (minus conversion cost) and the value of agricultural land rent.     

Difference in degrees: CEO characteristics and firm environmental disclosure

We contribute to the literature on firms' responses to institutional pressures and environmental information disclosure. We hypothesize that CEO characteristics such as education and tenure will influence firms' likelihood to voluntarily disclose environmental information. We test our hypotheses by examining firms' responses to the Carbon Disclosure Project (CDP) and find that firms led by newly appointed CEOs and CEOs with MBA degrees are more likely to respond to the CDP, while those led by lawyers are less likely to respond. Our results have implications for research on strategic responses to institutional pressures and corporate environmental performance. Copyright © 2013 John Wiley & Sons, Ltd.     

Concurrent sourcing,governance mechanisms,and performance outcomes in industrial value chains

We examine transaction governance in the context of concurrent sourcing, where a manufacturer relies on sourcing from external suppliers and in‐house production simultaneously. Our focus is on (1) a buyer's use of particular safeguards or governance mechanisms vis‐à‐vis an external supplier and (2) how the effects of these mechanisms on various performance outcomes are influenced by the joint presence of an internal manufacturing branch. We conduct two studies in the apparel industry and show that performance outcomes are a joint function of (1) the individual governance mechanisms that are deployed in a particular relationship and (2) the larger sourcing context (concurrent or singular). Copyright © 2013 John Wiley & Sons, Ltd.     

Outward foreign direct investment by emerging market firms: A resource dependence logic

This study examines and extends the resource dependence logic of diversification for a better understanding of outward foreign direct investment (OFDI) activities by emerging market firms. We contend that the diversification logic is bounded by state ownership, an important but less considered component of interdependence. Our empirical results, based on panel data analysis of Chinese listed firms, suggest that the level of interdependence between Chinese and foreign firms in China in multiple forms, including symbiotic, competitive, and partner interdependencies, is positively associated with the level of the Chinese firms' OFDI activities. However, Chinese firms with higher levels of state ownership are less susceptible to the pressures imposed by foreign firms to invest abroad. Copyright © 2013 John Wiley & Sons, Ltd.     

The Dubious Antitrust Argument for Breaking Up the Internet Giants

Recent calls for using the antitrust laws to break up the large Internet giants are misplaced for a number of reasons. First, similar efforts against oil, tobacco, motion-picture, and telecommunications monopolies have not proved to be beneficial to economic welfare. Second, the failure to break up Microsoft using Section 2 has not proved to be a mistake: competition in operating systems and Internet browsers has flourished recently. Finally, a Section 2 case against Amazon, Facebook, or Google could not succeed if it focused on the digital advertising market. Even in a case based on market power on the other side of their platforms, a structural remedy—a break-up—would not improve economic welfare in the long run.