Customer service as a marketing strategy

Customer service in distribution is increasingly becoming a requirement for an integral part of marketing strategies for physical distribution. Customer services, many of which herefore were considered ancillary in allowing shippers and other transportation users to differentiate product/service offerings, are now necessary in order to compete successfully in the marketplace. This trend should gain considerable momentum as prices become higher and use of discretionary prices decreases. Therefore, it is imperative for marketing and distribution managers to accurately appraise and reevaluate the role of customer services.     

The intertemporal stability of the concentration-margins relationship in Dutch and U.S. manufacturing

Factors influencing price-cost margins are investigated using a rich panel data base of the Dutch manufacturing sector. Attention is devoted to the intertemporal stability of the relationship explaining price-cost margins and to a comparison with U.S. results. Our results indicate that isolated cross-section analyses can be misleading. Evidence is provided for similarities and dissimilarities between the U.S. and the Netherlands when explaining price-cost margins. Dutch margins are influenced by industry-specific factors such as sales changes, import competition, capital intensity and operating expenses. Domestic seller concentration, aggregate capacity utilization and export intensity play no distinct roles.This research was sponsored in part by the Economics Research Foundation, which is part of the Netherlands Organization for Scientific Research. We wish to thank H. W. de Jong, Leo Sleuwaegen, David Audretsch and Aad Kleijweg for their useful comments.     

Vacancy Rates and the Future of Office Rents

This research confirms the existence of a strong vacancy rental adjustment mechanism in the market for office space, such as has been found in housing markets. Using national time-series data, we find that real office rents drop approximately 2% annually, for every percentage point of "excess vacancy" in the market. We also find that the definition of "excess vacancy" has been trending upward over time. Using a recent vacancy forecast suggests that office income streams seem likely to decline in both real and nominal dollars over the next few years.     

AN ESTIMATE OF THE SIZE ANL STRUCTURE OF THE NATIONAL PRODUCT OF THE EARLY ROMAN EMPIRE

On the basis of rough estimates from the expenditure as well as from the income side, it is suggested that the national product per head of the Roman Empire at the death of Augustus (AD 14) was somewhat below 400 sesterces (31 g gold) yielding an aggregate national product of fully HS 20 billion for a population of 55 million and that these figures were approximately valid from the late first century BC to the mid-second century AD. The share of government expenditures in national product was very low, probably not above five percent, and that of gross capital expenditures even lower, probably not in excess of two percent. An attempt is also made to appraise the concentration of personal income and it is estimated that the 600 senatorial families, representing approximately the top 0.04 per m of the population, received about 0.6 percent of total personal income while the share of the top three percent of income recipients was in the order of 20–25 percent of total personal incomes. The second part of the article compares these estimates as well as a few indicators of the standard of living and of welfare in the early Roman Empire with the corresponding figures for a few countries before the industrial revolution and for mid-20th century less developed countries.     

Westward Thrusts the Pioneer Zone in Venezuela: A Half Century of Economic Development Along the Llanos-Andes Border

A bstract . Observations in the Llanos-Andes border area of Venezuela were summarized by the writer in the Geographical Review in 1932 and again in 1956. After further held investigations in 1982, he chronicles some of the changes that have taken place during the last quarter century, collates observations made over the last halt century, and places this major physiographic boundary zone in a broader national context. Several coactive factors are in large measure responsible for the rapid thrust westward of the pioneer zone along the Llanos-Andes border: highway construction has proceeded apace, public education and health services have been introduced, and large government credits and subsidies have been made available to farmers and ranchers with large holdings. Many colonists have been provided with titles to small holdings on frontier land. New technologies are being introduced in agriculture and animal husbandry as well as in mining and industry. From this position of strength, the country should gradually be able to supply the domestic demand for staple foodstuffs.     

CONVERTIBLE BOND VALUATION: AN EMPIRICAL TEST

This research applies the options pricing model to the valuation of convertible bonds. A numeric algorithm is used to obtain theoretical values for a sample of 103 convertible bond issues. When market prices are compared with model valuations, the means are not significantly different, and 90 percent of model predictions are within 10 percent of market values. As a further test, the sample is divided on the basis of whether the model prices are (1) greater or (2) less than market prices. Returns are compared over a subsequent three-year holding period. The results indicate that without risk adjustment, the returns for the subsample identified by the model as “undervalued” (model prices exceed market prices) are significantly greater than returns for the subsample identified by the model as “overvalued” (market prices exceed model prices).