Bank stock performance and bank regulation around the globe

We analyze the effect of bank capital, regulation, and supervision on the annual stock performance of global banks during the period of 1999–2012. We study a large comprehensive panel of international banks and find that higher Tier 1 capital decreases a bank's stock performance over the whole sample period. However, during turbulent times stocks of more highly capitalized banks perform significantly better. Additionally, we find strong evidence that banks that are more likely to receive government bailout during financial distress realize smaller stock performance. In contrast, we find no convincing evidence that banks that generate higher non-interest income have a higher performance.     

Die optimale Organisationsform für das Auslandsgeschäft

Internationalisierung ist für fast alle Unternehmen ein Thema. Eine zentrale Frage dabei: Wie soll das Auslandsgesch?ft organisatorisch verankert werden? Ein Modell strukturiert die wesentlichen Faktoren für die Auswahl der Organisationsform. Das Beispiel der finnischen W?rtsil? Corporation illustriert die Anwendung in der Praxis.     

Neue Finanztechnologien — Bankenmarkt in Bewegung

Digitalisation opens new channels for financial transactions. Crowdlending and Digital Advice offer additional opportunities for customers to manage their assets. In the banking market, “FinTechs” are the most notable example of what Schumpeter described as “creative destruction”. They could threaten the existence of established banks. Therefore the banks should use the FinTechs as a testing laboratory for customer behavior and testing ground for a more modern marketing policy. This environment gives rise to concerns that there may develop an unregulated area of shadow banks. But it should be considered that a level playing field has to be ensured and that innovative processes and products are not stalled. A potential advantage of Digital Advice is that consumers can have the possibility to access the relevant information they need to make their financial decisions. Consumers, in turn, are only able to benefit from this advantage if competition between financial service providers leads to a supply of clear and comprehensible information about financial products and an appropriate degree of data security. The rise of Big Data analyses in retail banking allows a more precise estimation of creditworthiness risk as well as a consumer’s willingness-to-pay, propensity to switch and responsiveness to marketing offers. This not only impacts on competition, it represents major challenges for policymakers, authorities and consumers alike.     

Wertorientierte Performancemessung im Kompositversicherungsunternehmen

Changing conditions on insurance markets and capital markets involve stronger requirements on the management of insurance companies. Here, the concept of value based management can provide a framework for efficient and profitable corporate management. Central point in this methodology is the value of the company. Changing values over time show the reached performance. In the presented paper we develop a model to value the cashflows especially for a property-liability-insurance company and adopt the model for performance measurement. The study examines theoretical aspects on the one hand and near practical aspects with the special focus on an examplary implementation on the other hand.     

Why do transnational approaches to international innovation fail?

The transnational corporation paradigm is increasingly at odds with empirical findings regarding international innovation strategies. Analysing a longitudinal case study, we show that a firm's international R&D subsidiaries can be a powerful force that can shape strategy even more than headquarters. On the basis of a literature review that identifies factors and mechanisms by which the firm's subsidiaries are likely to exert this influence, we explore these factors and mechanisms by applying them to our case. Our findings show that international innovation strategies are unlikely to succeed if international R&D subsidiaries use their capabilities and market power to oppose their implementation.     

Determinants of weather derivatives usage in the Austrian winter tourism industry

This study investigates the motivations, concerns and obstacles regarding the use of weather derivatives in the winter tourism industry. The findings from the interviews with 61 ski lift operators in Austria indicate that while the majority of operators are aware of weather risks and report substantial weather exposure, using weather derivatives as a means of offsetting potential loss is rarely considered. This is primarily due to a lack of awareness and knowledge, but on becoming aware of the availability of such instruments ski lift operators express interest in their possible use. The task is thus to increase awareness, knowledge and support for the ski lift operators with reference to the use of weather derivatives.     

Unilateral Climate Policy: Harmful or Even Disastrous?

This paper deals with possible foreign reactions to unilateral carbon demand reducing policies. It differentiates between demand side and supply side reactions as well as between intra- and inter-temporal shifts in greenhouse gas emissions. In our model, we integrate a stock-dependent marginal physical cost of extracting fossil fuels into Eichner and Pethig’s (Int Econ Rev 52(3):767–805, 2011) general equilibrium carbon leakage model. The results are as follows: Under similar but somewhat tighter conditions than those derived by Eichner and Pethig (Int Econ Rev 52(3):767–805, 2011), a weak green paradox arises. Furthermore, a strong green paradox can arise in our model under supplementary constraints. That means a “green” policy measure might not only lead to a harmful acceleration of fossil fuel extraction but to an increase in the cumulative climate damages at the same time. In some of these cases there is even a cumulative extraction expansion, which we consider disastrous.     

Value Creation and Value Capture in Open Innovation

Open innovation has attracted a significant amount of attention from scholars and practitioners. Prior research on open innovation has mainly focused on collaborative inventing. However, understanding the processes and outcomes of joint inventing is not sufficient for understanding sustained open‐innovation activities and the competitive advantages of the actors involved in open innovation. Instead, an understanding of value creation and value capture is paramount for advancing our understanding of sustained open‐innovation activities. Open innovation requires collaboration among distributed but interdependent actors who rely on each other’s capabilities for value creation and capture. Value in open innovation is driven not only by actors’ value creation but also by their ability to capture value. While value creation and value capture are discussed in the open‐innovation literature, the advancement of this stream of research is hindered by conceptual ambiguity, especially in relation to the concept of value capture. This article adopts a value perspective on open innovation, offers consistent conceptualizations of value creation and value capture, and outlines potential avenues for further research at the interface of open innovation, value creation, and value capture.