Resilience to the financial crisis in customer-supplier networks

Inspired by the Capital Asset Pricing Model (CAPM) beta, we construct customer and supplier betas to separately investigate potentially different properties of downstream and upstream linkages. With the adjacency matrix acting as a ‘filter’ to extract each company's return covariances with its trading partners, the cross-sectional dependence contained in the customer-supplier network is summarized by our betas. We explore how these two betas are related to a company's resilience to the financial crisis of 2008–2009. We observe that a higher customer beta is generally associated with more resilience during the crisis. Therefore, investors could construct the customer beta to gain insights into the relative negative impact of a potential crisis on a stock's performance.     

Prediction of bank financial strength ratings: The case of Turkey

Bank financial strength ratings have gained widespread popularity especially after the recent financial turmoil. Rating agencies were criticized because of their ratings and failure to predict the bankruptcy of the banks. Based on this observation, we investigate whether the forecast of the rating of bank's financial strength using publicly available data is consistent with those of the credit rating agency. We use the data of Turkish banks for this investigation. We take a country-specific approach because previous studies found that proxies used for environmental factors (political, economic, and financial risk of the country) did not have any explanatory power and it is hard to find international data for other important factors such as franchise value, concentration, and efficiency. We use two popular multivariate statistical techniques (multiple discriminant analysis and ordered logistic regression) to estimate a suitable model and we compare their performances with those of two mostly used data mining techniques (Support Vector Machine and Artificial Neural Network). Our results suggest that our predictions are consistent with those of Moody's financial strength rating in general.. The important factors in rating are found to be profitability (measured by return on equity), efficient use of resources, and funding the businesses and the households instead of the government that shows efficient placement of the funds.     

The Impact of Service Supplier’s Unethical Behavior to Buyer’s Satisfaction: An Empirical Study

In today??s marketing conditions, it becomes really vital for companies to establish an appropriate relationship with suppliers and salesperson based on ethical values in order to survive. Besides, ensuring an effective relationship between the parties would contribute to increase buyer satisfaction along with economic and social satisfaction. In this study, the direct effects of suppliers?? and salespersons?? unethical behaviors on buyer satisfaction, and the moderator effect of communication between buyer?Csupplier relationships are examined. The results of the study have revealed that unethical behaviors of suppliers and salesperson affect buyer satisfaction negatively and the communication variable has moderately affected. The results are providing important advantages for buyers who want to improve the relationships between the suppliers and their salesperson for pharmaceutical enterprises.     

Crash of '87 — Was it expected?: Aggregate market fears and long-range dependence

We develop a dynamic framework to identify aggregate market fears ahead of a major market crash through the skewness premium of European options. Our methodology is based on measuring the distribution of a skewness premium through a q-Gaussian density and a maximum entropy principle. Our findings indicate that the October 19th, 1987 crash was predictable from the study of the skewness premium of deepest out-of-the-money options about two months prior to the crash.     

World Heritage Sites: The Purposes and Politics of Destination Branding

ABSTRACT

Stakeholder management and politics have been described as key component of destination branding (Balakrishnan, 2009 Balakrishnan, M. S. 2009. Strategic branding of destinations: A framework. European Journal of Marketing, 43(5–6): 611–629. [Crossref], [Web of Science ®] , [Google Scholar]). This article investigates the impact of political influences on destination branding by examining a sample of 94 United Nations Educational, Scientific and Cultural Organization (UNESCO) World Heritage Sites (WHS) in 54 countries to determine whether democracy and political instability have a significant influence on the decisions of national tourism offices (NTOs) to promote their WHS as tourist destinations. It also examines the relative importance of political instability and democracy on the promotion of WHS by NTOs in comparison to other influences such as stewardship, economic development, and tourism. One of the key contributions of this article is that it applies a multivariate analysis to a field dominated by case study methodologies and suggests the potential complementarities between the two approaches. Democracy, it is hypothesized, facilitates the give and take inherent in reaching a common consensus among stakeholders on the nature and special meaning of a destination. It increases a society or country's civic capacity for collective action. Political instability, by contrast, is assumed to complicate the building of a consensus that enables nations to invest in and promote their heritage sites. The findings of this study suggest that the degree of democracy in a society has a significant role in encouraging the promotion of WHS as destinations. Political instability, by contrast, does not appear to have a significant impact in that regard. Democracy also appears to have a greater influence on the promotion of WHS by NTOs than influences such as economic development, quality of stewardship, and tourism.     

Work–family conflict/family–work conflict,job stress,burnout and intention to leave in the hotel industry in Quebec (Canada): moderating role of need for family friendly practices as “resource passageways”

Abstract

This study examines how the need for family friendly practices contribute in increasing the effects of work–family conflict (WFC) and family–work conflict (FWC) on job stress, burnout, and intention to leave in the hotel industry in Quebce (258 staff). The essential results indicate that the perception of a need for childcare moderates the relationship between FWC, job stress, and burnout. Also, employees wanting to have a compressed workweek and part time measures are exposed to more stress related to WFC/FWC. Finally, the four measures can constitute resources passageways in order to reduce the work-family interference, job stress, burnout and therefore the intention to leave. Theoretically, he results extend this line of theorizing by highlighting the importance of subjective needs for family friendly policies, as ‘resource caravan passageways’, in the work–family interface and job outcome processes. The perception of a desire or need for these measures offers a new understanding of these practices. Practically, identifying who is more sensitive to family friendly measures would enable organizations or employers to allocate supportive resources more adequately by targeting those employees who are most in need of such practices.     

Asymmetry of information flow between volatilities across time scales

Conventional time series analysis, focusing exclusively on a time series at a given scale, lacks the ability to explain the nature of the data-generating process. A process equation that successfully explains daily price changes, for example, is unable to characterize the nature of hourly price changes. On the other hand, statistical properties of monthly price changes are often not fully covered by a model based on daily price changes. In this paper, we simultaneously model regimes of volatilities at multiple time scales through wavelet-domain hidden Markov models. We establish an important stylized property of volatility across different time scales. We call this property asymmetric vertical dependence. It is asymmetric in the sense that a low volatility state (regime) at a long time horizon is most likely followed by low volatility states at shorter time horizons. On the other hand, a high volatility state at long time horizons does not necessarily imply a high volatility state at shorter time horizons. Our analysis provides evidence that volatility is a mixture of high and low volatility regimes, resulting in a distribution that is non-Gaussian. This result has important implications regarding the scaling behavior of volatility, and, consequently, the calculation of risk at different time scales.     

Aggregate economic fluctuations and regional convergence: the Finnish case 1988-95

This paper analyses the connection between aggregate economic fluctuations and regional productivity convergence in Finland during the period 1988–95. Markov chain transition matrices and mobility indices were used to examine the regional distribution of productivity. The results indicated that high intra-distribution mobility occurred during booms, when regional convergence potential was also at its highest. Conversely, recession years were characterized by much lower mobility and a more divergent regional pattern. These findings bear important implications in terms of regional policy planning, as it seems that poor regions do not manage to keep up with the rich ones during slumps, whereas regional disparities diminish naturally during boom years.     

Returns to scale in a matching model: evidence from disaggregated panel data

The returns to scale in the matching function play an important role in models with endogenous search effort. Due to positive externalities, increasing returns to scale in matching can support high or low activity equilibrium in the labour market. In this study, we examine this issue using panel data from Finnish employment offices. The study finds that the results from the Cobb–Douglas and translog specification are qualitatively different. The CD specification of the matching function exhibits constant returns to scale. The translog specification, in turn, exhibits increasing returns to scale. The elasticity estimate for returns, using the preferred specification and minimum and maximum sample values for job seekers and vacancies, fall in the range of 1.1 to 1.6.     

Does site-of-care for oncology infusion therapy influence treatment patterns,cost, and quality in the United States?

Background: The increase in hospital acquisition of community oncology clinics in the US has led to a shift in the site-of-care (SOC) for infusion therapy from the physician office (PO) to the hospital outpatient (HO) setting.

Objective: To investigate differences by SOC in treatment patterns, quality, and cost among patients with cancer undergoing first-line infusion therapy.

Research design and methods: This retrospective analysis identified adult patients from Humana medical claims who initiated infusion therapy from 2008–2012 for five common cancer types in which infusion therapy is likely, including early stage breast cancer; metastatic breast, lung, and colorectal cancers; and non-Hodgkin’s lymphoma or chronic lymphocytic leukemia. Differences by SOC in first-line treatment patterns and quality of care at end-of-life, defined as infusions or hospitalizations 30 days prior to death, were evaluated using Wilcoxon-Rank Sum and Chi-square tests where appropriate. Differences in cost by SOC were evaluated using risk-adjusted generalized linear models.

Main outcome measures: Treatment patterns, quality of care at end of life, healthcare costs.

Results: There were differences in duration of therapy and number of infusions for some therapy regimens by SOC, in which patients in the HO had shorter duration of therapy and fewer infusions. There were no differences in quality of care at end-of-life by SOC. Total healthcare costs were 15% higher among patients in HO ($55,965) compared with PO ($48,439), p?<?.0001.

Limitations: Analyses was restricted to a claims-based population of cancer patients within a health plan.

Conclusion: This study, in an older, predominantly Medicare Advantage oncology cohort, found differences by SOC in treatment patterns and cost, but not quality. Where differences were found, patients receiving care in the HO had shorter duration of therapy and fewer infusions for specific treatment regimens, but higher healthcare costs than those treated in a PO.