Understanding interfirm relations in mediation industries with special reference to the Nordic mobile communication industry

Telecommunication operators exemplify firms that employ a mediating technology to organize exchanges among customers. This paper develops a framework for understanding interfirm relations in such industries by considering mediation-specific properties of division of labor and the associated resource interdependencies. We apply the concept of primary and secondary relationship functions developed by Håkansson and Johansson to a mediation value system. The findings have implications for management of cooperative and competitive relationships in mediation industries.     

Automatic bankruptcy auctions and fire-sales

We test for fire-sale tendencies in automatic bankruptcy auctions. We find evidence consistent with fire-sale discounts when the auction leads to piecemeal liquidation, but not when the bankrupt firm is acquired as a going concern. Neither industry-wide distress nor the industry affiliation of the buyer affect prices in going-concern sales. Bids are often structured as leveraged buyouts, which relaxes liquidity constraints and reduces bidder underinvestment incentives in the presence of debt overhang. Prices in “prepack” auctions (sales agreements negotiated prior to bankruptcy filing) are on average lower than for in-auction going-concern sales, suggesting that prepacks may help preempt excessive liquidation when the auction is expected to be illiquid. Prepack targets have a greater industry-adjusted probability of refiling for bankruptcy, indicating that liquidation preemption is a risky strategy.     

The impact of branding on low‐income adolescents: A vicious cycle?

This study examines the impact of consumerism and consumer culture on low‐income British adolescents. Specifically, it investigates the effects of branding and advertising on the formation of selfconcept clarity (SCC) and consumer susceptibility to interpersonal influence (CSII). A comparative study was conducted between two groups, low‐ and high‐income teenagers, assessing SCC and CSII by means of quantitative scales. It was found that low‐income teenagers are less clear in their self‐concept and are more susceptible to interpersonal influence than their high‐income counterparts. A significant negative correlation between the two scales revealed that the less clear one's self‐concept is, the more susceptible one is to interpersonal influence. It is proposed that an inability to “keep up” with the latest fashion trends (due to restricted consumption opportunities) may result in a damaged self‐concept among low‐income teenagers, which leads to heightened susceptibility to consumption pressures and hence heightens the negative socio‐psychological impacts of living in poverty. The results of the study are reviewed in terms of branding, advertising, and consumer behavior and a proposed conceptual model of branding's impact on low‐income teenagers is presented as a “vicious cycle.” © 2008 Wiley Periodicals, Inc.     

Formalisation of land rights in the South: An overview

Formalisation of property rights has recently been proposed as a way of reducing poverty. The poor, it is said, do not lack assets, they lack only the formal, protected rights necessary to make these assets engines of entrepreneurship, thriving markets, and information networks. Historical evidence with regard to formalisation programmes is, however, mixed at best, and current universalist proposals contain numerous flaws. A more context-specific and flexible approach is needed, with greater attention to local settings and specific objectives and tools. Property formalisation should not be considered merely a technical tool but must take account of politics and culture.     

Job losses and child outcomes

Based on matched employer–employee data from Norway, we analyze the effects of worker displacement in 1986–1987 on their children's earnings in 1999–2001. Using displacement of fathers to indicate an exogenous earnings shock we seek to identify whether family resources have a direct effect on children's economic outcome. Job losses appear to have a negative effect on earnings and employment of those affected, while we find no significant effects on earnings of the next generation.