Economics at the FCC, 2008–2009: Broadband and Merger Review

This article focuses on the topic of the National Broadband Plan, which the FCC is mandated to provide to Congress February 17, 2010, the FCC Merger Review process, and the determination of optimal penalties for violations of FCC rules or orders.     

The relationship between packaging uniformity and variety seeking

This research explores the effect of product packaging uniformity on variety seeking. It is shown that the incidence of variety seeking is greater in product categories where packaging is similar among competitors, and thus the packaging display has relatively low arousal potential, as compared to categories where the packaging is less uniform across brands and therefore has higher arousal potential. Two experiments test and support these propositions. © 2010 Wiley Periodicals, Inc.     

国外RFID市场投资分析——国外权威人士精彩言论汇聚

MPI标签系统公司的Gerard Kelly认为由于沃尔玛公司放慢了强制使用RFID产品的步伐,所以RFID的增长减慢了,因为此前大部分RFID产品的订单都和沃尔玛有关系.但是在2005年RFID在药品行业的增长是非常不错的.     

Racism as an inhibitor to the organisational legitimacy of Indigenous tourism businesses in Australia

Indigenous policy in many countries including Australia is focused on enhancing the socio-economic situation of Indigenous peoples through the encouragement of sustainable business models, including tourism business. Arguably, however, there are too few examples of sustainable Indigenous tourism businesses. Several authors have acknowledged that racism and discrimination are inhibitors to the sustainable development of Indigenous tourism businesses. Others have suggested that racism and discrimination directly impact on the extent to which these businesses are seen and respected as ‘legitimate’; that is, Indigenous business operators need to establish themselves as legitimate businesspersons in order to operate effectively in the global marketplace. Organisational legitimacy provides a useful lens for considering racism and discrimination and the extent to which it influences the perceived legitimacy of Indigenous tourism businesses. Legitimacy theory focuses on whether the norms exhibited by an organisation are congruent with the most general norms of society. This conceptual paper explores issues of racism and discrimination in Australia and the associated implications for Indigenous tourism businesses. This discussion is situated within the broader theory of organisational legitimacy; a concept that is commonly applied in various fields of business management, yet is largely unexplored within the tourism literature.     

Factor Copula Approaches for Assessing Spatially Dependent High-Dimensional Risks

In this article, we propose an innovative approach for modeling spatial dependence among losses from various geographical locations. The proposed model converts the challenging task of modeling complex spatial dependence structures into a relatively easier task of estimating a continuous function, of which the arguments can be the coordinates of the locations. The approach is based on factor copula models, which can capture various linear and nonlinear dependence. We use radial basis functions as the kernel smoother for estimating the key function that models all the spatial dependence structures. A case study on a thunderstorm wind loss dataset demonstrates the analysis and the usefulness of the proposed approach. Extensions to spatiotemporal models and to models for discrete data are briefly introduced, with an example given for modeling loss frequency with excess zeros.     

Son of Enron: Investors Weigh the Risks of Chinese Variable Interest Entities

Investors are heading back to China after ending a buyers' strike in response to numerous accounting scandals and corporate governance failures. There have been several successful IPOs in recent months, and the market is awaiting the listing of the internet giant The Alibaba Group. The Alibaba IPO has focused investor attention on the use of the variable interest entity (or VIE) structure by other overseas listed Chinese companies as well as Alibaba. The VIE structure allows outside investors some measure of influence or control over Chinese operations that is exercised through contracts instead of actual equity ownership. By using such contracts, companies are able to circumvent Chinese laws that severely restrict ownership in many industries, including the internet sector. The contracts attempt to replicate the benefits of direct ownership, but do so imperfectly. The biggest concern over the VIE structure is the enforceability of the contracts. China has a law that invalidates contracts that attempt to do what is illegal through legal means. One court case involving a VIE‐like structure led China's Supreme Court to rule that the contracts were unenforceable, and arbitrators reached the same decision. The biggest nightmare of investors in Chinese VIE structures is that the Chinese owner of the operating company could choose to abrogate the contracts and take ownership of the VIE. The highest profile example of this took place in 2011, when Alipay faced increased regulatory scrutiny and Jack Ma responded by extracting it from the Alibaba Group. The fix for China's VIE problem has to come from Chinese regulators, and reforms to foreign investment rules that have been proposed may make the VIE structure obsolete. But until then, investors have to weigh the unusual risk of investing in companies that they do not own.     

A path to altruism: Investigating the effects of brand origin and message explicitness in CR‐M campaigns

An increasing number of fashion brands are employing cause‐related marketing (CR‐M) campaigns to promote their social responsibility. However, with growing consumer skepticism about CR‐M, it is becoming more difficult than before to encourage consumers' positive responses to these campaigns. Based on construal level theory and rhetorical theory, this study examined the way brand origin (local vs. global), and its interaction with message type (explicit vs. implicit), influence consumers' perceived brand altruism and brand favorability. Two experimental studies were conducted with a total of 574 U.S. consumers. The results of Study 1 indicated that consumers exhibited higher perceived brand altruism and brand favorability toward a local brand's CR‐M campaign than a global brand's, showing that psychological distance can influence a CR‐M campaign's effectiveness. In addition, the results of Study 2 revealed that an explicit CR‐M message was more effective for global brands, while an implicit message was more effective for local brands, and perceived brand altruism mediated both effects. This suggests the importance of framing messages according to brand origin to maximize CR‐M campaigns' ability to achieve their goals effectively, in which perceived brand altruism plays a key role. The study's implications and limitations are discussed.     

Estimating the wage costs of inter- and intra- sectoral adjustment

Estimating the Wage Costs of Inter- and Intra-Sectoral Adjustment. — The proposition that labour market adjustments to intra-industry trade are less costly than adjustments to inter-industry trade is a widely-held belief amongst trade economists. If there are significant sector-specific skills, then this ‘smooth adjustment hypothesis’ seems intuitive. Direct evidence relating to this issue remains largely anecdotal. In this paper we estimate the returns to tenure within jobs, industries and occupations in order to predict the costs, in terms of wage losses, of moving jobs between and within sectors. We find no compelling evidence that wage costs of moving between industries are larger than the costs of moving within industries.