Fixed margin price undercutting: An adequate entry strategy in a market with switching costs?

Purpose We try to determine the best strategy for entering a market with switching costs that is initially served by a monopolistic incumbent. Findings We show that an offer to undercut the incumbent by a fixed margin (FM) dominates traditional entry with a binding price offer (BO) as this conditional pricing strategy restrains the ability of the incumbent to block entry by limit pricing. Combining FM with a price ceiling (PC) insures customers against future price increases and turns out to be optimal for markets with elastic demand as long as cost uncertainty is not an issue. Conclusion Using a more elaborate entry strategy may facilitate entry in markets with switching costs. However, as these strategies may decrease welfare, they should be closely monitored by antitrust authorities.     

Reciprocal exchange in rural communities: Consumers' inducements to inshop

Although consumer–retailer exchange behavior has been studied for many years, its treatment has not accounted for factors relating to reciprocal exchange intentions. This article defines reciprocity as the degree to which individuals expect cooperative action, and places reciprocity within the overall framework of consumer–retailer market exchange. In addition, it presents results of an exploratory study of rural consumers' reciprocal intentions to shop with local retailers, indicating that levels of satisfaction with interpersonal reciprocity have greater influence than moral, social, or economic motives. This study also suggests that social desirability, as a bias, is strongly linked to rural consumers' responses. © 1997 John Wiley & Sons, Inc.     

Water losses and hydrographical regions influence on the cost structure of the Portuguese water industry

Despite the growing research about water utilities, some questions still remain to be solved on the supply side, which are frequently absent from empirical studies based on the estimation of cost functions. This paper aims to fill to some extent this gap in the literature by focusing the consequences of water losses reduction and the management of water resources based on their availability at an integrated river basin level. Major findings derived from the estimation of a multiproduct cost function suggest advantages from reducing water losses, given that an adjusted measure of economies of scope, adapting the fact that water lost cannot be sold, reveals that there are small diseconomies of scope. In addition, generally the variables related to the hydrographical regions used have significant effects on water costs. Since the outcomes also reveal the existence of economies of scale, more concentration in the Portuguese water industry at the retail level would be beneficial.     

Factors affecting the attitude of tourism-destination local authorities towards sustainable planning tools in a networking context: the Balearic Sustainability Network

Koh Phi Phi, Thailand, and Gili Trawangan, Indonesia, are two islands in Southeast Asia that face several developmental challenges associated with the rapid growth of tourism. Both islands are part of a marine park, are small in size and have several natural resources that need protection. They both face burgeoning tourist numbers that have increased tourism infrastructure development and are leading to environmental degradation. These islands have discussed ways to incorporate sustainability into their management and marketing practices, and they have looked to tourists as a support for change. This study examines the motivations, profiles and perceptions of tourists in island destinations, their level of awareness of environmental issues there, the extent to which they feel responsible about preserving or protecting their natural resources and the role they may be willing to take in their management, including their willingness to pay for environmental protection. The findings showed that the majority of the tourists to both islands were young, had relatively high levels of income and were from English-speaking nations. Tourists in both islands stated that they were willing to pay for sustainability practices, but there were differences around who they felt should be primarily responsible for implementing sustainability measures.     

Visions for a walking and cycling focussed urban transport system

Walking and cycling can make a considerable contribution to sustainable transport goals, building healthier and more sustainable communities and contributing to traffic and pollution reduction. There have been many national and local initiatives to promote walking and cycling, but without a long term vision and consistent strategy it is difficult to see how a significant change may be achieved. This paper presents three alternative visions for the role of walking and cycling in urban areas for the year 2030: each vision illustrates a ‘desirable’ walking- and cycling-oriented transport system against a different ‘exogenous social background’. These visions have been developed through a process of expert discussion and review and are intended to provide a stimulus for debate on the potential for and desirability of such alternative futures. Each is based on the UK and represents a substantial change to the current situation: in particular, each of the visions presents a view of a society where walking and cycling are considerably more important than is currently the case and where these modes cater for a much higher proportion of urban transport needs than at present. The visions show pictures of urban environments where dependence on motor vehicles has been reduced, in two of the visions to very low levels. The methodological approach for devising visions is informed by work on ‘utopian thinking’: a key concept underlying this approach is one of viewing the future in social constructivist terms (i.e. the future is what ‘we’, as a society, make it) rather than considering the future as something that can be ‘scientifically’ predicted by the extrapolation of current trends.     

Born under a lucky star? Latin American CEOs' perceptions about their own career development

This article explores Latin American Chief Executive Officers' (CEOs') perceptions about the influence of career self-management practices and chance events on their career pathways. Through an edited topical life story approach, we investigate the relationship between those variables throughout CEO's career trajectories in the Latin American context. Semi-structured in-depth interviews with 22 CEOs working for multinational companies were conducted. Interviews were transcribed and analyzed with the aid of QSR NVivo 7 software. The study showed that even in volatile macroeconomic environments, typical of Latin American countries, CEOs do plan their careers. Career planning constitutes the backbone of the career management process. To deal with low predictability chance events, CEOs relied on active development network as the main career self-management practice. However, choice of mobility was the key career self-management behavior when responding to high predictability chance events. These central strategies were frequently combined with other career self-management practices, taking into consideration the type of chance event being responded to. According to this study, if individuals want to develop their careers in unstable environments, they will need to be proficient in career self-management practices, with particular emphasis on network development and choice of job mobility, as well as in happenstance skills.     

Use of Public Perceptions of Groundwater Quality Benefits in Developing Livestock Management Options

In this study, a dichotomous choice model is used to determine the compensating welfare measure for water quality improvements stemming from livestock waste management in the Abbotsford region of southwestern British Columbia. The benefits of improving water quality are compared with the net costs of composting manure on a large scale, the option for handling livestock wastes preferred by the provincial government. The results indicate that the costs of composting manure exceed the revenue from selling manure (compost) plus the off-site damages avoided.     

Identification-commitment inventory (ICI model): confirmatory factor analysis and construct validity

The aim of this study is to confirm the factorial structure of the Identification-Commitment Inventory (ICI) developed within the frame of the Human System Audit (HSA) (Quijano et al. in Revist Psicol Soc Apl 10(2):27–61, 2000; Pap Psicól Revist Col Of Psicó 29:92–106, 2008). Commitment and identification are understood by the HSA at an individual level as part of the quality of human processes and resources in an organization; and therefore as antecedents of important organizational outcomes, such as personnel turnover intentions, organizational citizenship behavior, etc. (Meyer et al. in J Org Behav 27:665–683, 2006). The theoretical integrative model which underlies ICI Quijano et al. (2000) was tested in a sample (N = 625) of workers in a Spanish public hospital. Confirmatory factor analysis through structural equation modeling was performed. Elliptical least square solution was chosen as estimator procedure on account of non-normal distribution of the variables. The results confirm the goodness of fit of an integrative model, which underlies the relation between Commitment and Identification, although each one is operatively different.