Buyer–Supplier and Supplier–Supplier Alliances: Do They Reinforce or Undermine One Another?

abstract    Previous research has portrayed buyer–supplier and supplier–supplier alliances as important mechanisms to foster learning and exchange efficiencies. Controversy remains, however, as to how these alliances interact. While some propose they reinforce one another (e.g. learning in horizontal ties generates positive spillovers to vertical ties), others propose a negative interplay (e.g. when increasing vertical-tie intensity, suppliers may weaken horizontal ties to avoid retaliation from buyers who wish to preserve bargaining power). We empirically test these competing views using survey data from the Brazilian auto-parts industry. In an attempt at reconciliation, we propose that the positive or negative interaction between vertical and horizontal alliances depends on the level of technological uncertainty of goods exchanged. Vertical ties seem to inhibit horizontal ties when technological uncertainty is low; when technological uncertainty is higher, vertical and horizontal ties do not seem to have any meaningful form of interaction. We discuss implications for theory and practice.     

Election outcomes and financial market returns in Canada

This paper investigates the relationship between federal election outcomes and expected returns and volatilities in the Canadian money, bond, equity and currency markets from 1951 to 2006. There is little evidence that investment opportunities are different in minority versus majority parliaments and only money market returns differ in Conservative versus Liberal governments. The equity market performs better in the late part of the electoral cycle than in the first two years. Furthermore, the Canadian equity investment opportunities are better in Democratic versus Republican administrations and in the late versus early parts of the presidential electoral cycle. The Canadian dollar is also affected by American election outcomes. No apparent variation in risk or expected state of the economy accounts for the differences in returns.     

Contesting rural recreation: the battle over access to Windermere

Different forms of recreation are competing increasingly for space to operate, and arbitrating between these competing claims can be fraught with difficulties. This paper examines the recent conflict over attempts to impose a speed limit, and hence prevent power boating and associated activities, on Windermere in the English Lake District. The competing arguments, as presented to a public inquiry, are assessed in the light of the Inspector's verdict on these issues, and the political responses to the verdict. The case is likely to have a much wider significance in terms of land use planning policy in Britain, both in National Parks and rural areas more generally.