The adoption of intensive monocrop horticulture in southern Cameroon

Results from a 1997 survey of 208 households in the humid forest zone of southern Cameroon indicate that African policy makers seeking to intensify agricultural production should focus attention on the horticultural sub‐sector. The survey, which gathered information on horticultural production practices, found that the average expenditure on agro‐chemical inputs by horticultural producers using monocrop production systems was 190US$/ha, which greatly exceeds the FAO reported national average expenditure of 6.50 US$/ha. A logit model of monocrop adoption indicated that the size of land holding per household had a negative effect on adoption, congruent with population‐driven technical change and that increases in unit transportation costs significantly decreased the probability of adoption. These findings suggest that policy makers should target horticultural intensification in areas of higher population density and promote investment in rural roads. The age of the household head had a significant negative and elastic effect on adoption, which in combination with an increase in the cohort of younger farmers in the rural population induced by macro‐economic events contributed to the spread of intensified horticulture. In the study area, roughly two‐thirds of rural households also produce cocoa and the quantity of cocoa produced was positively associated with adoption of intensive horticultural systems suggesting that export crop promotion indirectly facilitated diversification of agriculture. Women's participation in intensive monocrop production was limited and efforts to promote their greater involvement are recommended.     

Whither IPOs? Toward an Ecosystem Perspective on Corporate Financing: A Commentary

This commentary reviews the Canadian initial public offering (IPO) market and positions it within global capital market trends. Our views and comments reflect discussions with several market participants whom we have met over the years. Essentially, the falling number of IPOs in Canada during the last decade mimics trends in other developed countries such as the United States. In our view, five underlying factors underlie that decline. The picture that emerges is that capital markets are now widely viewed as a global integrated ecosystem where all actors are interconnected and an IPO represents but one way to raise capital.     

The Needed Globalization for African Countries

ABSTRACT

Whether or not local economies can benefit from investments that seek to take advantage of a local comparative advantage (e.g., cheap labor) is the question that is addressed in this article. Through multiple case studies of Moroccan companies operating in the textile sector, the paper shows that the link between low labor cost exploitation and economic development is an eclectic phenomenon. The best variable to explain whether or not this link exists is the development of human capital in local factories. The case studies show that suppliers' development initiatives in supply chain management and the vision of local managers/entrepreneurs are more effective mechanisms for growth and development than a “traditional” program of Foreign Direct Investment where knowledge is withheld by the investor. The implications are that management capabilities in emerging economies, such as those of Africa, can be developed even through investments that do not appear, at first sight, to be so appealing for host countries.     

Segmentation of Hedonic Consumption: An Application of Latent Class Analysis to Consumer Transaction Databases

While the broad and growing sector of leisure, culture and entertainment is rapidly adapting to marketing, little is known about segmentation in this field. The sector has customer and transaction databases of very good quality, but usage-based segmentation in this new field poses new problems, as hedonic consumption goods are importantly different from other consumption goods. The type of consumer choice behavior suggested in the literature demands a segmentation of category purchase incidence identified transaction data based on Latent Class Analysis. We illustrate such an approach to a library transaction database. The article concludes with a reflection on the results and suggests further directions for research.     

Children and advergames: the role of product involvement,prior brand attitude,persuasion knowledge and game attitude in purchase intentions and changing attitudes

The central aim of this study is to build upon previous research by investigating the role of product involvement, prior brand attitude, persuasion knowledge and game attitude in the brand attitude changes and purchase intentions of children after playing an advergame. In all, 279 respondents between the ages of 10 and 12 years participated in the study. First, they were asked to complete a pre-test survey addressing product involvement and prior brand attitude towards several products and brands. Two weeks later, the respondents were asked to play an advergame and complete a survey addressing brand attitude, purchase intention, persuasion knowledge and attitude towards the game. Our analysis reveals that a positive attitude change is more likely when the game player has already evaluated the brand positively. Furthermore, game attitude is positively related to attitude changes towards the advertised brands, consistent with affect transfer theory. Counterintuitively, a higher level of persuasion knowledge is associated with a higher intention to buy the advertised product. Finally, children who had a more positive attitude towards the game were more likely to report higher purchase intentions, indicating that games which provide good experiences positively influence behavioural intentions. We conclude the paper by discussing the study's limitations and suggestions for future research.     

Existence,uniqueness, and stability of optimal payoffs of eligible assets

In a capital adequacy framework, risk measures are used to determine the minimal amount of capital that a financial institution has to raise and invest in a portfolio of prespecified eligible assets in order to pass a given capital adequacy test. From a capital efficiency perspective, it is important to be able to do so at the lowest possible cost and to identify the corresponding portfolios, or, equivalently, their payoffs. We study the existence and uniqueness of such optimal payoffs as well as their behavior under a perturbation or an approximation of the underlying capital position. This behavior is naturally linked to the continuity properties of the set‐valued map that associates to each capital position the corresponding set of optimal eligible payoffs. Upper continuity can be ensured under fairly natural assumptions. Lower continuity is typically less easy to establish. While it is always satisfied in a polyhedral setting, it generally fails otherwise, even when the reference risk measure is convex. However, lower continuity can often be established for eligible payoffs that are close to being optimal. Besides capital adequacy, our results have a variety of natural applications to pricing, hedging, and capital allocation problems.