Steering the Sales Force for New Product Selling: Why Is it Different,and How Can Firms Motivate Different Sales Reps?

This study investigates how to direct and assemble the sales force for new product selling. In a first step, the authors draw on self‐determination theory to explore and empirically test a threefold conceptualization of motivation. Results provide insights into why sales force steering works differently in the new product selling context. Specifically, results show that for new products’ financial performance, internalized new product selling motivation is more important than intrinsic and controlled motivation. In a second step, the authors show how firms can motivate different sales reps to achieve higher financial performance of new products. In doing so, they examine the interaction effects of sales reps’ predispositions and widespread firm‐steering instruments on new products’ financial performance. Results reveal that the new product sales orientation of the bonus strengthens the positive relationship between sales reps’ performance predisposition and new product financial performance but weakens the relationship between sales reps’ learning predisposition and financial new product performance. Moreover, results reveal that the new product sales orientation of the periodic review strengthens the positive relationship between sales reps’ learning predisposition and financial new product performance. A post hoc analysis shows that a differentiated steering approach that matches appropriate steering instruments with sales reps’ varying predispositions substantially enhances reps’ financial new product performance.     

Local institutions: Regulation and valuation of forest use—Evidence from Central Sulawesi,Indonesia

Forest management poses particular challenges as the pressure on forests is huge due to deforestation. In this context, the establishment of protected areas is a common conservation measure where institutions are put in place and sanctions regarding forest use are enforced. This paper focuses on the practice of sustainable forest management and the associated perspectives of local institutions at the rainforest margins of Lore Lindu National Park (LLNP) in Central Sulawesi, Indonesia.     

Exchange rate market efficiency and new information

This paper uses a multi-currency approach to analyze the relationship between forward exchange rates, future spot rates and new information. The empirical results tend to support the hypothesis that the exchange rate can be expressed as a function of factors known in advance and ‘news’.     

A note on the dynamic adjustment of the demand for international reserves by LDC's

The dynamics of the adjustment of the demand for international reserves by LDC's is analyzed. Using a GLS procedure on pooled cross section-time series data it is showed that, contrary to previous results, the speed at which actual reserves adjust to desired reserves is very fast: in one year 95 percent of this adjustment is completed.     

The Halle Economic Projection Model

In this paper we develop an open economy model explaining the joint determination of output, inflation, interest rates, unemployment and the exchange rate in a multi-country framework. Our model—the Halle Economic Projection Model (HEPM)—is closely related to studies published by Carabenciov et al. (2008a,b,c). Our main contribution is that we model the Euro area countries separately. In doing so, we consider Germany, France, and Italy which represent together about 70% of Euro area GDP. The model combines core equations of the New-Keynesian standard DSGE model with empirically useful ad-hoc equations. We estimate this model using Bayesian techniques and evaluate the forecasting properties. Additionally, we provide an impulse response analysis and historical shock decomposition.     

Rethinking ‘Top‐Down’ and ‘Bottom‐Up’ Roles of Top and Middle Managers in Organizational Change: Implications for Employee Support

In this study we integrate insights from ‘top‐down’ and ‘bottom‐up’ traditions in organizational change research to understand employees’ varying dispositions to support change. We distinguish between change initiation and change execution roles and identify four possible role configurations in which top managers (TMs) and middle managers (MMs) can feature in change. We contend that both TMs and MMs can play change initiation and/or change execution roles, TMs and MMs have different strengths and limitations for taking on different change roles, and their relative strengths and limitations are compounded or attenuated based on the specific configuration of change roles. We subsequently hypothesize employee support for change in relation to different TM‐MM change role configurations. Our findings show that change initiated by TMs does not engender above‐average level of employee support. However, change initiated by MMs engenders above‐average level of employee support, and even more so, if TMs handle the change execution.     

The relationship between employee performance management and civil servants’ turnover intentions: a test of the mediating roles of system satisfaction and affective commitment

In search of maximizing efficiency, public organizations found solace in the adoption of employee performance management (EPM) systems. While research supports that managing employees’ performance has favourable outcomes, it is still unclear why and under which conditions. Moreover, EPM systems might even create additional pressures and therefore increase turnover intentions and undermine public organization’s quest to maximize efficiency. We argue that when EPM systems are carried out consistently (i.e. internal consistency) and when they link civil servants’ individual goals to the organization’s strategic goals (i.e. vertical alignment), civil servants will be less likely to leave the organization. Hierarchical linear regression analysis shows that internal consistency relates to increased satisfaction with the EPM system and affective commitment to the organization. Vertical alignment relates to lower levels of turnover intentions. This relationship was mediated by EPM system satisfaction and affective commitment. These findings that contribute to our understanding of EPM systems can lead to favourable outcomes.     

Hedging with small uncertainty aversion

We study the pricing and hedging of derivative securities with uncertainty about the volatility of the underlying asset. Rather than taking all models from a prespecified class equally seriously, we penalise less plausible ones based on their “distance” to a reference local volatility model. In the limit for small uncertainty aversion, this leads to explicit formulas for prices and hedging strategies in terms of the security’s cash gamma.