The timing of prepayment: A theoretical analysis

This article develops the analytical methods necessary to determine the prepayment patterns of a mortgage contract. The most obvious measure of how many years a mortgage is likely to last is the expected time to termination. It is this measure that we most fully explore. However, since the method employed is able to characterize the probability of prepayment in any given time period, the means is provided to determine any measure of the time to termination.     

A model and case for supporting participatory public decision making in e-democracy

In this paper, focusing on participatory public decision making processes, I propose a framework for group support systems and discuss related research issues. As a case illustrating the feasibility of participatory public decision making, I present the participatory budgeting experience in Porto Alegre, Brazil. The case is analyzed based on the proposed framework.     

Consumer attitudes and acceptance of genetically modified organisms in Korea

Genetically modified organisms (GMOs) were first used to designate micro organisms that had had genes from other species transferred into their genetic material by the then‐new techniques of ‘gene‐splicing.’ Cultivation of GMOs has so far been most widespread in the production of soybeans and maize. The United States holds almost three‐fourths of the total crop area devoted to GMOs. Because many crops have been imported from the US, there is a large possibility for consumers to intake the products of GMOs in Korea. The safety of GMOs is not scientifically settled at this time, however. Additionally, the research regarding the GMOs issue of consumers has rarely been conducted in Korea. This study therefore focused on the consumer attitudes about GMOs and willingness to purchase them. The data were collected from 506 adults living in Seoul, Daegu and Busan, Korea, by means of a self‐administered questionnaire. Frequencies and chi‐square tests were conducted by SPSS. The results of the survey were as follows. First, the consumer concerns about GMOs were high but recognition was low; many respondents answered they did not have exact information about GMOs, although they had heard about them. Second, almost 93% of the respondents desired the labelling of GMOs. Third, the level of acceptance of GMOs was high; two‐thirds of the respondents showed that they were willing to buy GMOs. Finally, many respondents worried about the safety of GMOs in that 73% of the respondents primarily wanted to be informed about safety of GMOs. This study suggests that the consumer education about GMOs should be conducted through mass media and consumer protection organisations.     

Hedonic pricing and the role of stud fees in the market for thoroughbred yearlings in Australia

Using data from one of Australia's largest thoroughbred auction houses, we investigate the price determinants of thoroughbred yearlings sold at auction. We include novel key variables to construct hedonic pricing models and examine the relative role of stud fees compared to the wide range of attributes in the pricing of yearlings. We find that the price effect of stud fees is influenced by the value buyers place on both the characteristics of sires and the characteristics of sire side siblings. The findings imply that the quality of dams a sire has been matched within the breeding market has consequential effects on yearling prices through the sire's stud fee and progeny.     

Beyond convenience: the future for independent food and grocery retailers in the UK

The UK's independent food and grocery retail sector's competitive advantage of 'convenience' has been eroded in recent years as major retailers increase opening hours and develop their own convenience trading formats. As a result, large numbers of independent retailers are closing. A UK-wide survey was undertaken to identify other sources of competitive advantages, and the changes needed to stop or reverse the decline in this sector. Exploratory semi-structured interviews led to the development of a questionnaire on six major issues affecting the sector. 'Snowball' sampling, using industry partners, provided 142 respondents. The provision of a 'social shopping experience' emerged as a key competitive advantage that could be developed. Improving vertical and horizontal trading alliances, and the wider use of information technology, provided other options.     

Understanding consumption in social virtual worlds: A sensemaking perspective on the consumption of virtual goods

Virtual consumption involves consuming virtual goods in cyberspace. Virtual consumption activities are evolving into an essential activity in social virtual worlds. Despite the growing importance of this activity, little research examines this phenomenon. The current study investigates the fundamental question of how users understand the consumption of virtual goods. Using the theory of social representations and core-periphery analysis, this study elicits and analyzes the social representation of virtual consumption. Study participants are 154 Second Life users. Results identify 32 concepts and relationships representing the collective perceptions of virtual consumption in this social virtual world. Social representation map interpretations point to several key themes that provide a foundation for future investigations of virtual economy consumption behavior.     

Power moderates the impact of desire for exclusivity on luxury experiential consumption

This research examines the effect of desire for exclusivity on evaluations of luxury experiences and proposes a boundary condition for the effect. The scarcity effect literature suggests that consumers prefer scarce products due to limited supply because they appeal to consumers’ desire for exclusive consumption. Building on this thesis, the current research argues that luxury experiences are intrinsically scarce enough to appeal to consumers’ desire for exclusivity: Consumers with a strong desire for exclusivity will evaluate luxury experiences more favorably than those with a weak desire for exclusivity. A pilot study confirms a positive correlation between consumers’ desire for exclusivity and attitudes toward luxury experiences. Study 1 demonstrates that consumers with a strong desire for exclusivity show more favorable attitudes toward luxury experiences than those with a weak desire for exclusivity. Further, Study 2 finds that consumers’ power state (powerful vs. powerless) moderates the effect of desire for exclusivity on their affinity for luxury experiences: Only when feeling powerful do consumers with a strong desire for exclusivity evaluate luxury experience more favorably than those with a weak desire for exclusivity. However, this is not the case when consumers feel powerless.     

The Impact of Buying Environment Characteristics of Retail Websites

This article identifies the extent to which buying environment characteristics, which are not directly related to price or product information, are currently available on online apparel websites and whether e-tail stores which use high levels of buying environment characteristics on their websites have a beneficial association with financial performance. A content analysis of 96 online apparel websites was employed. The overall extent to which current online websites provide buying environment characteristics appears to be low and providing more information in relation to the five characteristics was positively related to company profitability.     

E-negotiation System Development: Using Negotiation Protocols to Manage Software Components

A major challenge in developing an e-negotiation system (ENS) is that the system should fit into the context which varies with negotiation cases. To mitigate context dependency, we propose to separate e-negotiation protocols from ENS and adopt a component-oriented approach. In this paper, we present a framework for e-negotiation protocols that implements this approach. The framework has been tested by developing several ENSs of which two had been tested in laboratory negotiation experiments with more than 100 participants.