Intellectual Capital and Uncertainty of Knowledge: Control by Design of the Management System

This research, couched in the resource-based view of the firm, investigates the potential for reducing an organization’s decision uncertainty within its intellectual capital (IC) operating environment. Using structural equation modeling, we empirically test if organizational design can reduce the perceived uncertainty related to an IC context, which we refer to as knowledge uncertainty. We found evidence that decentralization and technology infrastructure support a results-based IC management control system which in turn is associated with reduced internal decision uncertainty. Finally, our statistics support a good overall fit for our model. Our findings suggest that if managers structure their organizational control systems appropriately for developing IC capabilities, these systems can lead to reduced internal uncertainty regarding human, structural, and relational capital.     

Three approaches to teaching business ethics

The question on what the purpose of teachingbusiness ethics should be, never fails todivide opinion. In this article three basicpositions taken with regard to this questionare distinguished. They are the cognitivecompetence, the behavioural competence and themanagerial competence positions. Once the coreof each these positions has been identified,the ontological presuppositions underlying eachof them is retrieved. It is then argued thatthese three positions and their accompanyingpresuppositions should not be regarded as rivalpositions, but as complementary approaches inteaching business ethics. Finally the teachingstrategies required by each of these threepositions are discussed.     

International Validation of the Corruption Perceptions Index: Implications for Business Ethics and Entrepreneurship Education

International government and corporate corruption is increasingly under siege. Although various groups of researchers have quantified and documented world-wide corruption, apparently no one has validated the measures. This study finds a very strong significant correlation of three measures of corruption with each other, thereby indicating validity. One measure was of Black Market activity, another was of overabundance of regulation or unnecessary restriction of business activity. The third measure was an index based on interview perceptions of corruption (Corruption Perceptions Index or CPI) in that nation. Validity of the three measures was further established by finding a highly significant correlation with real gross domestic product per capita (RGDP/Cap). The CPI had by far the strongest correlation with RGDP/Cap, explaining over three fourths of the variance.Corruption is increasingly argued to be a barrier to development and economic growth. Business students often do not see ethics courses as being as relevant as other value-free disciplines or core courses. The data in this study suggests otherwise. Sustainable economic development appears very dependent on a constant, virtuous cycle that includes corruption fighting, and the maintenance of trust and innovation, all reinforcing each other.     

The Greek Debt Crisis: Likely Causes,Mechanics and Outcomes

We use insights from the literature on currency crises to offer an analytical treatment of the crisis in the market for Greek government bonds. We argue that the crisis itself and its escalating nature are very likely to be the result of: (i) steady deterioration of Greek macroeconomic fundamentals over 2001–09 to levels inconsistent with long‐term EMU participation; and (ii) a double shift in markets’ expectations, from a regime of credible commitment to future EMU participation under an implicit EMU/German guarantee of Greek fiscal liabilities, to a regime of non‐credible EMU commitment without fiscal guarantees, respectively occurring in November 2009 and February/March 2010. We argue that the risk of contagion to other periphery EMU countries is significant; and that without extensive structural reforms, the sustainability of the EMU is in question.     

What would Don Draper do? Rules for restoring the contemporary agency mojo

What are the timeless truths of advertising? How can agency leaders manage their teams, their creative talent, and clients? To answer these and other questions, the mythology of the ‘Golden Age of Advertising’ is examined and analyzed herein. Specifically, using ad man Don Draper—protagonist of the fictional, but already culturally iconic, television series Mad Men—as a mythic archetype, lessons are extracted for contemporary advertising practitioners. Ten timeless rules are proposed and explicated in the areas of (1) managing intra-agency leadership processes, (2) managing creative processes, and (3) managing client relationships.     

Moral and Instrumental Norms in Food Risk Communication

The major normative recommendations in the literature on food risk communication can be summarized in the form of seven practical principles for such communication: (1) Be honest and open. (2) Disclose incentives and conflicts of interest. (3) Take all available relevant knowledge into consideration. (4) When possible, quantify risks. (5) Describe and explain uncertainties. (6) Take all the public’s concerns into account. (7) Take the rights of individuals and groups seriously. We show that each of these proposed principles can be justified both in terms of more fundamental ethical principles and instrumentally in terms of the communicating agent’s self-interest. The mechanisms of this concordance of justifications are discussed. It is argued that the concordance is specific for areas such as food risks in which agents such as companies and public authorities are highly dependent on the public’s trust and confidence. The implications of these findings both for moral philosophy and for practical food risk communication are discussed.     

Wettbewerb und Regulierung des Bahnmarktes

Die Wettbewerbssituation auf dem deutschen Bahnmarkt ist vielschichtig: Sowohl die verschiedenen Teilsegmente des Bahnmarktes als auch der intermodale Wettbewerb müssen berücksichtigt werden. Dabei besteht die Gefahr, die Wettbewerbsposition des gesamten Eisenbahnverkehrs gegenüber anderen Verkehrstr?gern aus den Augen zu verlieren.     

Economic Dynamics of Tree Planting for Carbon Uptake on Marginal Agricultural Lands

As a result of the 1997 Kyoto Protocol, afforestation of agricultural lands can be expected to take on an important role in the CO₂ emissions reduction policy arsenal of some countries. To date, identification of suitable (marginal) agricultural lands has been left mainly to foresters, but their criteria fail to take into account economic nuances. In this study, an optimal control model is used to determine the optimal level of afforestation in the western Canada. The results indicate that, while planting fast-growing trees for carbon uptake on marginal agricultural land may be important, the path dynamics matter in determining whether Canada can rely on afforestation to meet its obligations under Kyoto.
Sous l'impulsion duprotocole de Kyoto (1997), on peuts'attendre à voirle reboisement des terres agricoles prendre une place importante dans l'arsenal de mesures de réduction des émissions de CO₂ de certains pays. Jusqu'à présent, le choix des terres agricoles utilisables (c.-à-d. marginales pour l'agriculture) a été laissé principalement aux forestiers, mais les critères sur lesquels ces derniers se basent ne tiennent pas compte des aspects économiques. Nous utilisons ici un modèle de contrôle optimal pour déterminer le niveau optimal de reboisement qui conviendrait pour l'ouest du Canada. Il se dégage des résultats que, sans remettre en question l'importance de la plantation d'arbres à croissance rapide pour la capture du C dans les terres agricoles marginales, les décideurs devront tenir compte de la dynamique des sentiers avant que le reboisement puisse ètre la solution adoptée par le Canada pour honorer les engagements pris dans le cadre du Protocole.