International mergers: Incentives and welfare

Information asymmetry creates incentives for firms from different countries to merge. To demonstrate this point, we develop a model of international oligopolistic competition under demand uncertainty and asymmetric information. We show that when domestic firms but not foreign firms are completely informed of local market demands, information sharing enhances the profitability of a merger between a domestic firm and a foreign firm. We also examine how such a merger affects the non-merging firms' profits, consumer surplus and social welfare.     

Achieving destination competitiveness: an importance–performance analysis of Serbia

As a relatively new and under-researched tourism destination, Serbia provides an interesting context to assess destination competitiveness in conditions of global environmental changes and the additional challenges of transition from a socialist economy to a market-based economy. This article uses importance–performance analysis (IPA) to assess the importance of different activities to underpin tourism development in Serbia, as well as the industry's perceived performance in respect of these activities. There are a number of areas in which Serbian tourism industry considers itself to be underperforming in the implementation of activities to maintain destination competitiveness. This article analyses these results in detail using IPA as a diagnostic tool. Particular attention is paid to investigating the implications of the findings for both destination managers and private tourism operators in Serbia that can assist them to develop a focused action agenda to achieve and maintain destination competitive advantage. The approach can be used in other destinations to assess tourism ability to meet the challenges of global trends.     

BUYING LOCALLY

‘‘Buy local” arrangements encourage members of a community or group to patronize one another instead of the external economy. They range from formal mechanisms such as local currencies to informal “I'll buy from you if you buy from me” arrangements and are often championed on social or environmental grounds. We show that in a monopolistically competitive economy, buy local arrangements can have salutary effects even for selfish agents immune to social or environmental considerations. Buy local arrangements effectively allow firms to exploit the equilibrium price–cost gap to profitably expand their sales at the going price.     

Cash flow analysis for energy impacted local governments—a case study of mercer county,north dakota

Energy resource taxation policy has become a major issue in a number of energy producing areas and particularly in the western united States. This paper compares alternative energy taxation systems in terms of their implications for local governments and local planning. A fiscal impact simulation model is utilized to evaluate a severance-production tax system and, alternatively, an ad valorem property tax system. The results indicate that the form of taxation system adopted can have a major influence on the fiscal outlook for local governments in areas affected by large scale development projects and thus on the welfare of area residents. These results also suggest that local fiscal considerations should receive careful attention in local planning and policy formulation.     

Bank Capital Ratios Across Countries: Why Do They Vary?

This paper extends the literature on bank capital structure by modeling capital structure as a function of important public policy and bank regulatory characteristics of the home country, as well as of bank specific variables, country macro-economic conditions and country level financial characteristics. The model is estimated with annual data for an unbalanced panel of the 78 largest private banks in the world headquartered in 12 industrial countries over the period between 1992 and 2005. The results indicate that bank capital ratios are significantly affected in the hypothesized directions by most of the bank-specific variables. Several of the country characteristic and policy variables are also significant with the predicted sign: banks maintain higher capital ratios in home countries in which the bank sector is relatively smaller and in countries that practice prompt corrective actions more actively, have more stringent capital requirements, and have more effective corporate governance structures.     

Marketing in retailing: a research agenda

Although specific retailing subjects related to marketing have been extensively

researched and presented in academic literature, the overall topic of marketing in

retailing has received little attention. This paper identifies and discusses some

principal marketing in retailing issues that warrant empirical assessment.

Research attention to the questions raised in this paper will provide strategic

Guidelines to retailers seeking to improve the marketing performance of their

organizations.     

Methods of estimating destination price competitiveness: a case of horses for courses?

Price competitiveness is a key factor in the overall tourism competitiveness of a country or a destination. Given its importance to overall destination competitiveness, various indicators of prices have been developed. Different indicators shed light on different aspects of competitiveness, and the measures which are most useful depend on what questions are being explored. The authors explore several of the different indicators aimed at measuring destination price competitiveness, describing the strengths and weaknesses of using each. Some of the key aspects which condition which indicators should be used are: the need for accuracy and tourism-specific detail versus timeliness; the need for cross-country (or cross-destination) comparisons of the prices tourists are actually paying; the need for estimates of changes in relative price competitiveness over time and the need to provide overall summary measures of a country's price competitiveness at a point of time or changes in it over time. The specific measure used will therefore depend on the particular analytical and practical need of researchers and destination managers.     

Ethical Duties of Organizational Citizens: Obligations Owed by Highly Committed Employees

Individuals who demonstrate organizational citizenship behavior (OCB) contribute to their organization??s ability to create wealth, but they also owe their organizations a complex set of ethical duties. Although, the academic literature has begun to address the ethical duties owed by organizational leaders to organizational citizens, very little has been written about the duties owed by those who practice OCB to their organizations. In this article, we identify an array of ethical duties owed by those who engage in extra-role behavior and describe those duties in context with personality theory. We suggest that employees who understand the complex nature of OCB and the associated duties they owe to others are more likely to reach their potential and make greater contributions within their organizations.