The impact of mood on customer behavior: Staff mood and environmental factors

This review looks at the effect of staff/server mood on customer/client mood and various outcome behaviours such as such as product and service evaluation. It also looks at the role of other stimulus factors such as scent, sound and light on customer affect and cognitions and thence the effects on purchase behaviours. Based on the service-profit chain model, this review considers the scattered research which empirically demonstrates the impact of staff mood upon customer mood and behaviour. The review then goes on to discuss the various ways in which a customer's mood influences their buying behaviour, as well as considering why and when this occurs. Other physical factors that influence customer mood are also considered. Implications for the management of sales staff and sales environments are considered.     

Deregulation and earnings management: The case of the U.S. airline industry

This paper examines earnings management dynamics in the airline industry during the airline industry deregulation of 1978. We expect that earnings management would increase after deregulation, since industry deregulation generally increases managerial discretion, whereas internal corporate governance systems are sluggish in adapting to newly changed environments. As corporate governance structures become more effective in tempering highly discretionary managers, and as capital markets learn more about how to design better management incentive systems, managers’ incentives and capacity to engage in earnings management will diminish. Based on industry data, we find that the magnitude of absolute values of discretionary accruals increase significantly in the post-deregulation period. Managers in the airline industry were inclined to engage in income increasing earnings management after deregulation. However, the increased level of earnings management then decreased to return close to the level seen during the regulation period. The findings support the predicted deregulation impact on earnings management dynamics.     

How national and international financial development affect industrial R&D

We examine the impacts of both domestic and international financial market development on R&D intensities in 22 manufacturing industries in 18 OECD countries for the period 1990–2003. We take account of such industry characteristics as the need for external financing and the amount of tangible assets. Multiple forms of domestic financial development are important determinants of R&D intensity but only foreign direct investment is significant among alternative measures of international financial development. We find the strongest effects for private bond-market capitalization, while FDI, private credit by banks, and stock-market capitalization have similar effects in terms of magnitude.     

Short sales and trade classification algorithms

This paper demonstrates that short sales are often misclassified as buyer-initiated by the Lee–Ready and other commonly used trade classification algorithms. This result is due in part to regulations which require that short sales be executed on an uptick or zero-uptick. In addition, while the literature considers “immediacy premiums” in determining trade direction, it ignores the often larger borrowing premiums that short sellers must pay. Since short sales constitute approximately 30% of all trade volume on U.S. exchanges, these results are important to the empirical market microstructure literature, as well as to measures that rely upon trade classification, such as the probability of informed trading (PIN) metric.     

Using Behavioral Experiments to Expand Our Horizons and Deepen Our Understanding of Logistics and Supply Chain Decision Making

As logistics and supply chain managers face increasingly complex challenges, there is a critical need to better understand the nuances of decision making in today’s global business environment. However, the systematic effect of behavioral biases and cognitive limits on managerial judgment and decision making in our discipline has not received much attention to date. Behavioral experiments represent a potentially valuable and currently underutilized approach for gaining insight into logistics and supply chain decision making that is commonly characterized by departures from rational thought. This article challenges logistics and supply chain researchers to consider the opportunities and realities associated with using behavioral experiments in pursuit of knowledge in this area.     

Impostors in the Temple,by Martin Anderson

The Teaching Innovations Program (TIP) was a six-year project funded by the National Science Foundation that gave economics instructors the opportunity to learn interactive teaching strategies for use in undergraduate economics courses. TIP participants first attended a teaching workshop that presented various teaching strategies. They then could enroll in a follow-up program of online instruction and mentoring to learn more about one or two teaching strategies. TIP participants also had the opportunity to engage in the scholarship of teaching and learning economics to share their work. A retrospective survey was administered to the participants after attending the program to obtain a longitudinal assessment of TIP. This article presents the overall survey findings and discusses the results from each TIP phase (workshop, online instruction, and scholarship).     

Translation behaviour: An exploratory study within a service multinational

In this paper, we address the issue of translation behaviour in the context of a service multinational. Our case study of a Nordic bank shows that emergent translation needs may be handled by the organisation and the individual in various ways such as self-translation, technical translation tools, social networks, or the central translation department. The choice between these options is shaped by situational influences including growing language diversity, accuracy, response speed, cost considerations, confidentiality of the information and task criticality. A key finding is the importance of social networks as a coping mechanism for employees confronted with the need to provide timely translation solutions, including the resort to external social networks, even relatives. Rather than a seemingly mundane, peripheral activity, translation was found to play a role in service delivery, organisational functioning and hence company performance. We propose a multilevel theoretical model of the translation process and conclude that organisation's translation ability which consists of organisational and individual responses should be considered as a component of its language absorptive capacity.