Supply Adjustments to Demand Shocks in the Commercial Real Estate Market

This paper contributes a theoretical investigation of real estate supply adjustments in the commercial real estate market. Simple theoretical linkages between the goods market (the demand side) and the space market (the supply side) are developed and then used to explain the optimal supply decisions of space producers. Propositions relating to how space production decisions are made under conditions of demand certainty, demand uncertainty and free entry are derived from optimization models. Under demand certainty, the adjustment of space supply is shown to be affected by whether an exogenous shock is perceived as mild or disastrous. Under demand uncertainty, construction based on pent-up demand is shown to be suboptimal.     

Mapping the Relationship Among Political Ideology,CSR Mindset,and CSR Strategy: A Contingency Perspective Applied to Chinese Managers

The literature on antecedents of corporate social responsibility (CSR) strategies of firms has been predominately content driven. Informed by the managerial sense-making process perspective, we develop a contingency theoretical framework explaining how political ideology of managers affects the choice of CSR strategy for their firms through their CSR mindset. We also explain to what extent the outcome of this process is shaped by the firm’s internal institutional arrangements and external factors impacting on the firm. We develop and test several hypotheses using data collected from 129 Chinese managers. The results show that managers with a stronger socialist ideology are likely to develop a mindset favouring CSR, which induces the adoption of a proactive CSR strategy. The CSR mindset mediates the link between socialist ideology and CSR strategy. The strength of the relationship between the CSR mindset and the choice of CSR strategy is moderated by customer response to CSR, industry competition, the role of government, and CSR-related managerial incentives.     

A multidimensional perspective of SME internationalization speed: The influence of entrepreneurial characteristics

This paper contributes to a multidimensional perspective on the speed of SME internationalization. It examines the influence of entrepreneurial characteristics – experience, rationales and innovation strategies – on multiple dimensions of internationalization speed. Findings from a sample of 180 SMEs show that earliness, speed of deepening, and speed of geographic diversification can be viewed as three different strategic alternatives and that each dimension is predicted by a different set of entrepreneurial antecedents. Earliness of internationalization is associated with entrepreneurs’ international business experience and their perception of opportunities abroad as well as preference for an innovation strategy characterized by ambidextrous innovation. Speed of deepening is related to entrepreneurs’ international business experience, their orientation towards differentiation vis-à-vis competitors, and commitment to innovation and a strategy focusing on exploration. These results indicate the importance of distinguishing between different forms of innovation. Speed of geographic diversification is predicted only by entrepreneurs’ orientation towards differentiation vis-à-vis competitors.     

Interorganizational Information Systems and Business-to-Business Relationships: System Characteristics,Assistance, Performance,Satisfaction, and Commitment Model

We introduce the SAPSaC model to see how relationship characteristics influence the implementation and outcomes of a specific type of inter-organization information system—electronic data interchange (EDI). Using a relational exchange perspective, we examine the effects of interfirm system characteristics, target firm capabilities, and initiator assistance, on project outcomes. We explore effects of three system characteristics—relationalism, dependence, and tenure on initiator assistance. System characteristics and assistance are hypothesized to affect outcomes—project performance, satisfaction, and commitment to the relationship. We consider the target's task readiness an additional determinant of initiator assistance and performance. Using sample survey data from firms in the housewares industry, we find that initiator assistance stems from relationalism, not tenure. From the target's perspective, project performance derives from relationalism and tenure. Satisfaction is driven by relationalism, tenure, assistance, and performance. Commitment comes from relationalism, dependence, and satisfaction. A multi-industry study successfully replicates most of the results.     

Interaction between two types of information on reactions to delays

This study examines the effects of the interaction of two types of information about delays—information about the duration of a delay (delay duration information) and information about the reason for a delay (delay reason information)—on people’s reactions to delays. In this paper, we argue and demonstrate that the two types of delay information interact to affect attribution for the delay and perceived delay duration. The results obtained from an experimental study indicated that there was a stronger effect of delay reason information on attribution for the delay when delay duration information was absent than when the information was present. When no reason was given for the delay, the subjects attributed greater control to the service provider and perceived the delay to be longer when delay duration information was absent than when the information was present.     

Price discovery and volatility spillovers in the DJIA index and futures markets

The Dow Jones Industrial Average (DJIA) is the most widely quoted stock index worldwide. This article examines the minute-by-minute price discovery process and volatility spillovers between the DJIA index and the index futures recently launched by the CBOT. The Hasbrouck (1995) cointegrating model suggests that most of the price discovery takes place at the futures market. However, by examining the volatility spillovers between the markets based on a bivariate EGARCH model, a significant bidirectional information flow is found. That is, innovations in one market can predict the future volatility in another market, but the futures market volatility-spillovers to the stock market more than vice versa. Both markets also exhibit asymmetric volatility effects, with bad news having a greater impact on volatility than good news. © 1999 John Wiley & Sons, Inc. Jrl Fut Mark 19: 911–930, 1999     

The impact of the US stock market opening on price discovery of government bond futures

We examine price discovery in sequential markets for the 10-year US Treasury note, German bund, and UK gilt futures over the period 2010–2017. We find that price discovery increases after the opening of the US stock market. Order flows in the bond futures markets are more informative for permanent price changes in the 30-min period after the US stock market opens. A placebo test using US statutory holidays confirms our findings. A cross-market analysis suggests that the increased price discovery in the bond futures is related to returns and net order flows of the US stock market.     

The Future of the Global Corporation: From Fortress Firms to Cambrian Corporations

What might be the future of “the innovative global corporation”? There has been a profound evolution of the corporation over the past 100 years. Corporations have, willingly or unwillingly, developed an ever‐greater macro and micro role in societies. In many parts of the world, they have become more powerful and wealthy than governments, and their global influence, by any account, is massive. As engines of economic growth, innovation, and technological progress, they have brought much good to humanity. © 2015 Wiley Periodicals, Inc.     

“Right Time,Right Place,and Right People” and Chinese Entrepreneurship: A Case Study of Taiwan’s Din Tai Fung Dumpling House

In examining corporate success, many scholars overlook an important contributing factor, namely entrepreneurship. However, Chinese wisdom believes that the “right time, right place, and right people” (Three R’s) are crucial for business success. This study utilizes theories of entrepreneurship from the Austrian School of Economics to reinterpret the three factors for business success. This new interpretation is then applied to explain the success of a famous dumpling house in Taiwan, Din Tai Fung. This study argues that although favorable timing is critical to business success, it requires an entrepreneur to grasp the opportunity when it comes. The seizure of a golden chance requires alertness and preparation. More importantly, this study argues that even during an adverse period, a crisis can be turned into a profit opportunity. Whereas a favorable location is also regarded as a key factor, this study goes beyond sheer spatial dimensions. Location also encompasses culture, social customs, norms and traditional folklores. This paper argues that an entrepreneur transplants culture and social customs from one location to another, thus, gaining pure entrepreneurial profit. Finally, the “right people” in an entrepreneurial sense involves a harmonious social network and good personal relationship (Guanxi). By maintaining a harmonious relationship with staff members, partners, customers, and suppliers, entrepreneurs can “get things done.” This case study provides a new insight into Chinese entrepreneurship in East Asia.