Reputation and investor activism: A structural approach

We measure the impact of reputation for proxy fighting on investor activism by estimating a dynamic model in which activists engage a sequence of target firms. Our estimation produces an evolving reputation measure for each activist and quantifies its impact on campaign frequency and outcomes. We find that high reputation activists initiate 3.5 times as many campaigns and extract 85% more settlements from targets, and that reputation-building incentives explain 20% of campaign initiations and 19% of proxy fights. Our estimates indicate these reputation effects combine to nearly double the value that activism adds for target shareholders.     

Finding Mr. Schumpeter: technology adoption in the cement industry

We examine the adoption of fuel‐efficient precalciner kilns in the cement industry using the universe of adoption decisions in the United States over 1973–2013. We find that cement plants are more likely to adopt the technology if fuel costs are high, nearby competitors are few, and local demand conditions are favorable. We relate the findings to the Schumpeterian and induced innovation hypotheses regarding the effects of competition and factor prices. Our results suggest firms may be most responsive to factor prices under advantageous competitive and demand conditions.     

Relating a City's History and Geography with Bourdieu: One Hundred Years of Spatial Distinction in Tel Aviv

This article advances a conceptualization of spatial distinction that, following Bourdieu, relates principles of division in ‘social space’ with formations of segregation in urban space. It applies this interpretive framework to concisely narrate the one hundred years' history of spatial distinction in Tel Aviv. Analyzing five moments in the city's development, it focuses on a dominant principle of distinction in each period and its ensuing segregations: predominantly ethno‐national (Jewish–Arab) distinction that established Tel Aviv in opposition to Jaffa at the turn of the twentieth century; nuanced ethno‐class distinction that shaped the city's rapid growth in the 1920s–30s and created an elaborate socio‐spatial hierarchy of neighborhoods; institutionalized distinction that governed the collective supply of housing in the 1930s–40s, evolving into a complex system of housing classifications; ‘distinction‐by‐distance’ through exclusive suburbanization and the emergence of a metropolitan scale of distinction in the 1950s–70s; and a ‘back‐to‐the‐center’ strategy of distinction by way of gentrification in the 1980s–90s and within gated residential enclaves at the beginning of the twenty‐first century. Through this concise history, various principles, mechanisms and scales of spatial distinction are elaborated upon, as a way to think about the socially constructed, historically contingent and continuously changing divisions and segregations in cities.     

Understanding higher education fundraisers in the United States

Since their earliest days, the U.S. higher education institutions have relied on philanthropic support to achieve their missions. What began as incidental is now a highly organized process of fundraising that accounts for tens of billions of dollars annually. As institutions' desire for private support grows, so too does the demand for successful fundraising professionals. Drawing on qualitative and quantitative analysis, this survey-based study (n = 508) of U.S. higher education fundraising personnel provides new knowledge and grounds fundraisers' position in historical and contemporary literature about fundraisers and professionalism. The findings highlight notable generational, income, and gender differences within the higher education sector and between higher education and the greater profession. The analysis shows an established knowledge-base and set of learnable skills for higher education fundraisers—which are best applied when combined with particular personal attributes. Although the latter are critically important, without full and fair attention to the former, the occupation is unlikely to garner full professional status. This study highlights, the path forward highlights the complexity of contemporary fundraising, is a reminder that fundraising is relationship- and information-driven, and indicates that select, strategic efforts can further professionalize the field. In particular, fundraisers in the education sector may have special opportunities to advance the professionalization of their occupation.     

What a difference a word makes: Understanding threats to performance in a VUCA world

VUCA is an acronym that has recently found its way into the business lexicon. The components it refers to—volatility, uncertainty, complexity, and ambiguity—are words that have been variously used to describe an environment which defies confident diagnosis and befuddles executives. In a ‘VUCA world,’ both pundits and executives have said, core activities essential to driving organizational performance—like strategic planning—are viewed as mere exercises in futility. VUCA conditions render useless any efforts to understand the future and to plan responses. When leaders are left with little to do other than wring their hands, organizational performance quickly falls at risk. In this installment of Organizational Performance, we demonstrate that by overlooking important differences in the conditions that volatility, uncertainty, complexity, and ambiguity describe, we have disempowered leaders. We show how leaders can appreciate the differences among each of these challenging situations in order to properly allocate scarce resources to preserve and enhance organizational performance.     

Participation by U.S. Agencies in International Brand Advertising: An Empirical Study

Abstract

Marry ad agency executives have proclaimed the era of the global advertising agency. They observe that corporations are moving towards placement of their worldwide advertising through a single agency, and they predict that a few large “mega-agencies” will take over a majority of international advertising accounts. Yet, no published studies have examined how many brands are actually handled by the same ad agency worldwide. This paper presents the results of a survey examining the extent to which U.S. companies use the same agency to advertise abroad and in the home market. The study found that of the brands sold abroad, only about one-third are handled by the same agency both at home and abroad. This proportion does not vary significantly with advertising budgets, by product class, or between standardized and non-standardized brands. In addition, no single-agency group or “mega-agency” handles more than eight percent of the sample brands, and no agency handles a majority of its U.S. brands abroad.     

Social inequalities in injury risk in Wales,U.K.

Road traffic accident data in Nigeria generally lack exact coordinate information. Accident analysis is, therefore, restricted to aggregate data on trends, magnitude and temporal dimensions. This article addresses the road accident problem in Jos between 1995 and 1999 through a road profiling approach. Results show that four gateway routes, seven multilane roadways (including two gateway routes) and seven road intersections accounted for 84% of all traffic accidents, 84% of injured casualties and 88% of fatalities. This approach allows for quantification of impacts of controlling for accidents by deliberate profiling of roads for close monitoring and policing. For example, reducing accident counts and fatalities by 50% each on gateway routes will amount to ～35 and 40% reduction in accident and fatality counts, respectively. Countermeasures must consider these roadways and intersections as important inputs in their accidents and casualty reduction targets.     

The effects of soft drink taxes on child and adolescent consumption and weight outcomes

Childhood and adolescent obesity is associated with serious adverse lifetime health consequences and its prevalence has increased rapidly. Soft drink consumption has also expanded rapidly, so much so that soft drinks are currently the largest single contributors to energy intake. In this paper, we investigate the potential for soft drink taxes to combat rising levels of child and adolescent obesity through a reduction in consumption. Our results, based on state soft drink sales and excise tax information between 1989 and 2006 and the National Health Examination and Nutrition Survey, suggest that soft drink taxation, as currently practiced in the United States, leads to a moderate reduction in soft drink consumption by children and adolescents. However, we show that this reduction in soda consumption is completely offset by increases in consumption of other high-calorie drinks.     

International environmental policy and poverty alleviation

We investigate how alternative national and international policies and circumstances impact the Clean Development Mechanism’s (CDM) contribution to sustainable development and the pursuit of poverty eradication goals in developing countries. In particular, we focus on the importance of technology-specific versus technology-neutral environmental regulations in the project host regions. We also consider alternative CDM benefit-sharing arrangements between the host and client regions. An analytical impure-public-good model is developed which considers CDM projects as a conditional transfer exerting price and income effects. These, in turn, induce changes in the use of environmental technologies, and with it global and local environmental protection levels. Aided by model simulations using empirical data for China and the European Union, we seek to assess conditions in which CDM transfers are more favourable towards improved environmental protection and welfare in developing regions.