Does Political Democracy Enhance Human Development in Developing Countries?

A bstract .   Despite the considerable progress of human development (HD) in developing countries (DCs) during recent decades, vast differences still remain among such countries. The question thus arises of why these divergences persist. This cross-national study uses a larger sample of DCs to offer necessary testing of the impact of democracy on HD. This study adopts new measures of democracy featuring majority rule and political contention to estimate their correlation with three physical well-being indicators as well as with three school enrollment indicators. After controlling for several macro-level political and economic characteristics (state revenue and economic growth), the regression modeling for recent data from the 1980s and 1990s showed that democracies indeed achieved higher levels on the HD indicators used here. However, democracy was not a powerful predictor of changes in HD scores during the analysis period. Neither central government health or educational spending significantly altered HD. The conclusions offer a plausible explanation of why democracy in DCs failed to sustain its momentum in improving HD.     

Driving holistic innovation to heighten hotel customer loyalty

Innovative offerings facilitate hotels to expand the segment of loyal customers, who display stronger re-patronage intention and recommendation willingness. Innovation performance is essential for enhancing hotel management performance. According to the holistic innovation paradigm, successful innovation should be holistic in nature and comprise novel, utilitarian and experiential value dimensions. Empirical findings also attest to the conduciveness of holistic innovation to heightening customer loyalty. However, the antecedents and outcome of holistic innovation are still unclear in the hotel context. The current study validates a theoretical framework via surveys administered on the chief executive officers and customers of 112 five-star hotels. As the research result suggests, ambidextrous innovation orientation and value co-creation capabilities are primary drivers of holistic innovation. In turn, the three value dimensions of holistic innovation relate positively to customer loyalty with variant effect sizes. The research result contributes to hotel management both academically and practically.     

Health Care Competition and Antibiotic Use in Taiwan

Antibiotic resistance, a negative externality of antibiotic use, is a growing threat to public health. Health care competition may encourage antibiotic use because receiving an antibiotic is a form of ‘quality’ for many patients. This paper examines the effect of market concentration on antibiotic use in a large, nationally‐representative data set from Taiwan. Moving from the 75th percentile to the 25th percentile of market concentration is associated with 6.6 per cent greater antibiotic use. We control for leading market‐level confounds, including population density and community health. We also show that the correlation is robust using fixed effects for patients, physicians and diagnoses. We document the correlation between antibiotic use and patient retention, which suggests a mechanism for this result. Finally, we show that strict regulation of antibiotics reduces but does not eliminate the effect of competition on antibiotic use.     

Cross‐Border Intellectual Property Rights: Contract Enforcement and Absorptive Capacity

This article studies the cross‐border protection of intellectual property rights (IPR) as an outcome of a contract obtained through a Nash bargaining process between an innovative North and an imitative South. The level of disclosure required in such contract is higher, the more capable is the South in copying if bargaining breaks down. This raises questions about the suitability of universal IPR standards through a single contract. The threat of a penalty in case of non‐compliance can, however, reduce the outside option of more advanced countries and make a stricter IPR regime enforceable by harmonizing their interests with relatively less developed nations.     

Memorable Tourist Experiences and Place Attachment When Consuming Local Food

The purpose of the study was to model the memorable travel experiences, place attachment and behavioral intentions for consuming local food. Data were collected by self‐administered surveys of 378 tourists visiting Tainan, Taiwan. The survey results show that the experiences of consuming local cuisines enable tourists to create positive and unforgettable memories, and such positive memories further enhance their identification with or strong attachment to local attractions and behavioral intention. Place identity under place attachment also revealed mediating effects between memorable travel experiences and behavioral intention. Copyright © 2016 John Wiley & Sons, Ltd.     

The relationship between stock price index and exchange rate in Asian markets: A quantile regression approach

This paper uses the data of six Asian countries to estimate the relationship between stock price index and exchange rate. According to the portfolio balance effect, these two variables should be negatively related. However, since the evidence from traditional ordinary least squares estimation is not favorable, the quantile regression model is adopted to observe the various relationships between stock and foreign exchange markets. The results show an interesting pattern in the relation of these two markets in Asia, which indicates that the negative relation between stock and foreign exchange markets is more obvious when exchange rates are extremely high or low.     

On delineating supply chain cash flow under collectionrisk

The credit terms for accounts receivable (AR) offered by sellers to buyers not only create a time lag between supply chain physical flow and cash flow, but also increase the collection risk contributed by late collection and default. Previous studies describing the relationship between the two major supply chain flows did not consider the collection risk, which poses a serious challenge to companies with limited cash resources when seeking growth opportunities in sales. This study first delineates the relationship between the two flows during a growth period without imposing any constraints. A stochastic optimization model is then developed to observe the managerial implications of cash flow risk under tight cash constraints.     

An empirical test of stakeholder influence strategy models: evidence from business downsizing in Taiwan

Frooman's model of stakeholder influence strategies uses levels of resource dependence to determine the power of stakeholder influence. Our study provides initial empirical tests of his model applied in business downsizing. Data from 18 recently downsized firms in Taiwan, including nine multinational corporations (MNCs), were plotted against the Frooman model. We found that resource-dependence alone as Frooman theorized could not explain the influence strategies that stakeholders (in this case the employees) took in response to firms' downsizing decisions. Further investigation revealed that the institutional factors had a significant effect on how firms structured their downsizing initiatives and hence changed the way the employees reacted to firm decisions. We proposed a new model using both resource-dependence and institutional legitimacy as determinants of stakeholder influence strategy and suggested relationships between these determinants and stakeholder actions. This proposed model has profound research implications for the strategic stakeholder theory, as well as practical implications for human resource management.