Inventory service-level optimization within distribution network design problem

We propose a sequential heuristic approach to optimize inventory service levels in a two-stage supply chain. The proposed approach deals with service level and inventory decisions, simultaneously with network design decisions, and incorporating unfulfilled demand costs in a previous inventory-location model. A two-step formulation is considered, where the first step optimizes service level and the second step addresses location and inventory decisions. Each algorithm iteration solves an inventory-location model for a fixed service level, and then the service level is updated in order to reach an equilibrium condition between operating system and unfulfilled demand costs. The algorithm converged in three iterations for a set of sample instances, obtaining the same outcome in comparison with a more intuitive, exact, but more time-consuming search procedure.     

Venture Creation Speed and Subsequent Growth: Evidence from South America

Though time is an important dimension of the venture creation process, our understanding of why some entrepreneurs are able to act more quickly than others is limited. Equally, not much is known about the relationship between venture creation speed and the subsequent venture growth. In this paper, we use a resource‐based perspective to provide insights into the factors that quicken or retard venture creation and to explore how speed impacts on subsequent growth. This is important because the topic remains generally underresearched and because even less is understood about venture creation speed in the context of South American economies. Data were collected from face‐to‐face interviews with 647 entrepreneurs in Argentina, Brazil, Chile, and Peru. Using a multivariate regression framework, we find that entrepreneurs make use of their human and social capital resources to shape the speed by which their venture is created. Moreover, their perceptions of unfavorable environmental conditions seem to retard venture creation. Findings also suggest that entrepreneurs who take more time to create a more solid resource base tend to receive better growth outcomes. Implications from the findings are discussed.     

Key market values for bottled wine in an emerging market: product attributes or business strategy?

ABSTRACT

This article focuses on the emerging bottled Chilean red wine market and studies the main determinants of the consumer price of wine sold on the domestic market. A hedonic price function was estimated for a sample of 810 wines using a quantile regression (QR) model. The database contains three variable groups to explain price: objective variables (national, international and vine quality designations), subjective variables (wine score) and business strategies used by wine producers. Results show that some objective variables have a greater impact on price than the wine score (a subjective variable) and business strategies, which vary for each quartile of prices analysed. Finally, this information will allow companies to design and implement marketing strategies to inform the consumer about the importance of some variables in the price of their product.     

A bivariate infinitely divisible law for modeling the magnitude and duration of monotone periods of log‐returns

The focus of this article is modeling the magnitude and duration of monotone periods of log‐returns. For this, we propose a new bivariate law assuming that the probabilistic framework over the magnitude and duration is based on the joint distribution of (X,N), where N is geometric distributed and X is the sum of an identically distributed sequence of inverse‐Gaussian random variables independent of N. In this sense, X and N represent the magnitude and duration of the log‐returns, respectively, and the magnitude comes from an infinite mixture of inverse‐Gaussian distributions. This new model is named bivariate inverse‐Gaussian geometric ( in short) law. We provide statistical properties of the model and explore stochastic representations. In particular, we show that the is infinitely divisible, and with this, an induced Lévy process is proposed and studied in some detail. Estimation of the parameters is performed via maximum likelihood, and Fisher's information matrix is obtained. An empirical illustration to the log‐returns of Tyco International stock demonstrates the superior performance of the law compared to an existing model. We expect that the proposed law can be considered as a powerful tool in the modeling of log‐returns and other episodes analyses such as water resources management, risk assessment, and civil engineering projects.     

Susceptibility to Advertising and Perceived Friend Norms: A Meta-Analysis of Materialism in Youths “Meta-Analysis of Materialism in Youths”

This study presents a meta-analysis assessing the antecedents that are associated with the influence that advertising and friends' behaviours have on the formation of materialistic behaviours in youth. We carried out a systematic review in which we identified an initial 217 studies. Of these, 32 were ultimately included in the analysis. Our results revealed significant relationships for the constructs associated directly with susceptibility to advertising (advertising viewing attitudes, attention to advertising, celebrity endorsements in advertising, advertising exposure and TV viewing frequency) and for perceived friends' norms (friends' attitudes, social comparisons with friends and communication with friends) with materialism in youth.     

Wicksellian Rules and the Taylor Principle: Some Practical Implications*

In this paper, we derive and compare the determinacy regions of price-level targeting rules (Wicksellian rules) and Taylor rules in a standard New Keynesian model. We conclude that Wicksellian rules do not require the Taylor principle to hold in order to induce determinacy. Our results have two implications. First, in a univariate setting, the estimation of simple Taylor rules when the true rule is Wicksellian can lead to the erroneous conclusion that the equilibrium is indeterminate. Second, indeterminacy is ruled out when using system-based methods, but it can be concluded that the central bank is less averse to inflation movements than it actually is.     

Multivariate dynamic intensity peaks-over-threshold models

We propose a multivariate dynamic intensity peaks-over-threshold model to capture extremes in multivariate return processes. The random occurrence of extremes is modeled by a multivariate dynamic intensity model, while temporal clustering of their size is captured by an autoregressive multiplicative error model. Applying the model to daily returns of three major stock indexes yields strong empirical support for a temporal clustering of both the occurrence and the size of extremes. Backtesting value-at-risk and expected shortfall forecasts shows that the consideration of clustering effects and of feedback between the magnitudes and the intensity of extremes results in better forecasts of risk.     

Analyzing social media,analyzing the social? A methodological discussion about the demoscopic and predictive potential of social media

Quality & Quantity - The impact of computational technologies and the worldwide use of Internet entails a theoretical and methodological challenge for social scientists, considering the purpose...     

Credit channel and flight to quality in emerging markets: evidence from Chile

Empirical evidence of the credit channel of monetary policy often relies on the observance of flight to quality during monetary tightening. The identification assumption is that the typically smaller firms facing financing constraints, are disproportionally affected by the stance of monetary policy. I argue that when credit constrains are widespread, as may be the case in Emerging Markets, flight to quality should not be expected during monetary contractions. Indeed, in my model, among constrained firms, those with tighter financing constraints are less responsive to monetary conditions. I find evidence supporting my model in a sample of firms from the Emerging Market of Chile.