Template-Type: ReDIF-Article 1.0
Author-Name: William Baumol 
Author-X-Name-First: William 
Author-X-Name-Last: Baumol 
Title: Supply of Proprietary Technology: A Neglected Line of Research on Business 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 9-10 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540489 
File-URL: http://www.tandfonline.com/10.1080/758540489 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:9-10




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Caves 
Author-X-Name-First: Richard 
Author-X-Name-Last: Caves 
Title: Game Theory, Industrial Organization, and Business Strategy 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 11-14 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540490 
File-URL: http://www.tandfonline.com/10.1080/758540490 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:11-14




Template-Type: ReDIF-Article 1.0
Author-Name: Keith Cowling 
Author-X-Name-First: Keith 
Author-X-Name-Last: Cowling 
Title: A More Creative Role for Industrial Policy 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 15-17 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540491 
File-URL: http://www.tandfonline.com/10.1080/758540491 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:15-17




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Davies 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Davies 
Title: Empirical Research: The Future 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 19-22 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540492 
File-URL: http://www.tandfonline.com/10.1080/758540492 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:19-22




Template-Type: ReDIF-Article 1.0
Author-Name: Edwin Mansfield 
Author-X-Name-First: Edwin 
Author-X-Name-Last: Mansfield 
Title: The Role of Technology in Business Economics 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 23-26 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540493 
File-URL: http://www.tandfonline.com/10.1080/758540493 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:23-26




Template-Type: ReDIF-Article 1.0
Author-Name: Dennis Mueller 
Author-X-Name-First: Dennis 
Author-X-Name-Last: Mueller 
Title: Business and Industrial Organization Research: Synergy or Shotgun Marriage? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 27-30 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540494 
File-URL: http://www.tandfonline.com/10.1080/758540494 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:27-30




Template-Type: ReDIF-Article 1.0
Author-Name: Louis Phlips 
Author-X-Name-First: Louis 
Author-X-Name-Last: Phlips 
Title: On Models for Product Markets 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 31-33 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540495 
File-URL: http://www.tandfonline.com/10.1080/758540495 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:31-33




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Porter 
Author-X-Name-First: Michael 
Author-X-Name-Last: Porter 
Title: The Role of Location in Competition 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 35-40 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540496 
File-URL: http://www.tandfonline.com/10.1080/758540496 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:35-40




Template-Type: ReDIF-Article 1.0
Author-Name: John Sutton 
Author-X-Name-First: John 
Author-X-Name-Last: Sutton 
Title: History Matters. So What? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 41-44 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540497 
File-URL: http://www.tandfonline.com/10.1080/758540497 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:41-44




Template-Type: ReDIF-Article 1.0
Author-Name: Oliver Williamson 
Author-X-Name-First: Oliver 
Author-X-Name-Last: Williamson 
Title: Research Needs and Opportunities in Transaction Cost Economics 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 45-46 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540498 
File-URL: http://www.tandfonline.com/10.1080/758540498 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:45-46




Template-Type: ReDIF-Article 1.0
Author-Name: Mark Casson 
Author-X-Name-First: Mark 
Author-X-Name-Last: Casson 
Title: Why are Firms Hierarchical? 
Abstract:
  Firms are hierarchical because hierarchy facilitates both monitoring and
 control. Monitoring is readily explained in terms of agency costs, but
 control is not. Control relations between superiors and subordinates
 emerge naturally only when the superior has decisive information and the
 subordinate does not. When decisiveness does not naturally occur, it may
 nevertheless be imposed in order to reduce communication costs. The degree
 of decisiveness reflects the pattern of volatility in the firm's
 environment. The theory connects the volatility of the environment to the
 degree of hierarchy in the organisation. Recent changes in volatility can
 be used to explain contemporary demands for flatter organizational
 structures. 
Journal: International Journal of the Economics of Business 
Pages: 47-76 
Issue: 1 
Volume: 1 
Year: 1994 
Keywords: Hierarchy; Decisiveness; Monitoring; Control, JEL classfication: L22, 
X-DOI: 10.1080/758540499 
File-URL: http://www.tandfonline.com/10.1080/758540499 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:47-76




Template-Type: ReDIF-Article 1.0
Author-Name: Lee Rivers Mobley 
Author-X-Name-First: Lee Rivers 
Author-X-Name-Last: Mobley 
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Title: Firm Growth and Failure in Increasingly Competitive Markets Theory and Application to Hospital Markets 
Abstract:
  Recent models of firm failure and growth have ignored demand factors. In
 this paper, we generalize these theoretical analyses to include demand
 factors in explaining failure and growth for heterogeneous firms in local
 markets facing imperfect but increasing competition. The model is then
 applied empirically to the hospital industry in California over the 1980s,
 during which time competition did intensify. We model the closure decision
 based on expectations of future growth, explicitly accounting for self
 selection and simultaneity. We find that both size and demand factors are
 important determinants of survival and growth 
Journal: International Journal of the Economics of Business 
Pages: 77-93 
Issue: 1 
Volume: 1 
Year: 1994 
Keywords: Closure; Growth; Survivor analysis; Hospitals; Scale economies; Competition, I11, L11, L31, L44, L84, O24, 
X-DOI: 10.1080/758540500 
File-URL: http://www.tandfonline.com/10.1080/758540500 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:77-93




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Buckley 
Author-X-Name-First: Peter 
Author-X-Name-Last: Buckley 
Title: International Business Versus International Management? International Strategic Management from the View of point of Internalisation Theory 
Abstract:
  This article examines the theoretical bases of both international
 management and the internalisation approach to international business.
 Similarities include: attention to the 'make or buy' decision, interaction
 between locational and organisational variables and attention to internal
 control mechanisms. International management pays particular attention to
 the specific constraints on the firm's strategy arising from its history,
 dominant culture and leadership and to the process of management. The two
 approaches are used to analyse a single problem: the management of
 research and development, and it is found that important differences in
 emphasis remain. The approaches contrast but do not conflict. 
Journal: International Journal of the Economics of Business 
Pages: 95-104 
Issue: 1 
Volume: 1 
Year: 1994 
Keywords: Multinational corporations; International business strategy; Corporate strategy; Management of research and development, JEL classifications: F23, O32, 
X-DOI: 10.1080/758540501 
File-URL: http://www.tandfonline.com/10.1080/758540501 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:95-104




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Decanio 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Decanio 
Title: Agency and Control Problems in US Corporations: The Case of Energy-efficient Investment Projects 
Abstract:
  Private sector corporations in the United States fall short of their
 potential to increase shareholders'1 wealth in a number of ways. One
 example is the failure to undertake profitable energy conservation
 investments. Explanations of this phenomenon include agency and moral
 hazard problems, imperfect information and incentives, myopia, and
 X-inefficiency. Data from a survey conducted by the US Environmental
 Protection Agency and from interviews with corporate executives are used
 to explore these hypotheses. Good overall corporate performance is found
 to be associated with longer internal payback requirements for energy
 investments. Suggestions for improving corporate decision-making in this
 area are proposed. 
Journal: International Journal of the Economics of Business 
Pages: 105-124 
Issue: 1 
Volume: 1 
Year: 1994 
Keywords: Energy; Efficiency; Agency problems; Myopia; Incentives; Information; Theory of the firm; Organizational behavior; Environment, JEL classifications: D2, D7, D8, L2, Q2, Q4, 
X-DOI: 10.1080/758540502 
File-URL: http://www.tandfonline.com/10.1080/758540502 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:105-124




Template-Type: ReDIF-Article 1.0
Author-Name: David Audretsch 
Author-X-Name-First: David 
Author-X-Name-Last: Audretsch 
Title: Business Survival and the Decision to Exit 
Abstract:
  The decision to exit is examined for a cohort of over 12,000 plants
 established in 1976. Using a longitudinal data base, the performance of
 the establishments is analysed over the subsequent 10 years. The empirical
 evidence suggests that start-up size, ownership status, and the industry
 environment affect the likelihood of a start -up subsequently exiting.
 Plants with more employees during the start -up year are found to have a
 lower likelihood of exit than do smaller plants. Similarly, establishnwnts
 which are independent are found to have a lower likelihood of exit within
 the following years than do newly created establishments belonging to a
 multi-plant firm. However, the determinants of exit apparently vary along
 with the age of the establishment. Innovative activity is found to raise
 the likelihood of establishment exit in the short run but lower it in the
 longer run. 
Journal: International Journal of the Economics of Business 
Pages: 125-137 
Issue: 1 
Volume: 1 
Year: 1994 
Keywords: Survival; Entry; Exit; Innovation, JEL classifications: L0, L1, 
X-DOI: 10.1080/758540503 
File-URL: http://www.tandfonline.com/10.1080/758540503 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:125-137




Template-Type: ReDIF-Article 1.0
Author-Name: Daniel Jones 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Jones 
Title: The Auto Industry in Transition: From Scale to Process 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 139-150 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540504 
File-URL: http://www.tandfonline.com/10.1080/758540504 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:139-150




Template-Type: ReDIF-Article 1.0
Author-Name: Ronals Jones 
Author-X-Name-First: Ronals 
Author-X-Name-Last: Jones 
Title: America's High-Tech Industries: Tyson's Policy Proposals 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 151-157 
Issue: 1 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758540505 
File-URL: http://www.tandfonline.com/10.1080/758540505 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:1:p:151-157




Template-Type: ReDIF-Article 1.0
Author-Name: Archana Hingorani 
Author-X-Name-First: Archana 
Author-X-Name-Last: Hingorani 
Author-Name: Karen Shastri 
Author-X-Name-First: Karen 
Author-X-Name-Last: Shastri 
Author-Name: Kuldeep Shastri 
Author-X-Name-First: Kuldeep 
Author-X-Name-Last: Shastri 
Title: Product Regulation and Stock Prices: The Case of the US Food and Drug Administration 
Abstract:
  This study focuses on the stock market effects associated with the
 announcements of product approvals, denials and recalls by the US Food and
 Drug Administration (FDA), and the impact of product approvals on research
 and development expenditures (R&D) and forecasts of earnings by Value
 Line. When the FDA announces approvals, the shareholder wealth of affected
 firms increases significantly. The announcements of denials and recalls by
 the FDA are associated with stock price declines. The stock price impact
 of recalls is dependent on whether the firm voluntarily withdraws a
 product or if the withdrawal is mandated by the FDA. Specifically,
 voluntary recalls are not associated with a change in stockholder wealth,
 while FDA mandated recalls are associated with decreases in stock price.
 In addition, we find that partial product recalls have a smaller impact
 than total recalls. An examination of the effects on competitors' stock
 price reveals losses when the FDA announces an approval or a recall, but
 no imt for a d. An analysis of changes in risk around FDA decisions
 suggests that, on average, betas do not change around approvals, recalls
 or denials. In addition, our results suggest that announcement period
 stock price behavior is unrelated to risk changes except for approvals
 where returns are positive and significant for firms with either
 increasing risk or no change in risk. We also find that approvals are
 associated with increases in R&D and forecasts of earnings for the sample
 firms, with returns to stockholders upon announcement of the approval
 being related to the increases in R&D and short-term earnings forecasts. 
Journal: International Journal of the Economics of Business 
Pages: 163-178 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: FDA product regulation; Stock price; Risk; R&D expenditures; Earnings forecasts JEL classifications:G14,K23,L5, 
X-DOI: 10.1080/758516793 
File-URL: http://www.tandfonline.com/10.1080/758516793 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:163-178




Template-Type: ReDIF-Article 1.0
Author-Name: Duncan Matthews 
Author-X-Name-First: Duncan 
Author-X-Name-Last: Matthews 
Author-Name: David Mayes 
Author-X-Name-First: David 
Author-X-Name-Last: Mayes 
Title: Towards a Single European Market? The Evolution of the Leasing Industry 
Abstract:
  It is argued that completion of the internal market for leasing requires
 sufficient openness of national markets for competition between rules to
 take place. This study of the leasing industry in the European Economic
 Area analyses those aspects of the European Commission's Single Market
 Programme which are intended to achieve this aim and pinpoints tax
 harmonisation, banking regulation and mutual recognition of accounting
 standards as the main areas of Commission regulatory activity which will
 impact on the evolution of rules for the industry. The paper looks at the
 structure of the national industries and highlights the constraints and
 driving forces within the various rule systems which will influence the
 process of change. It is concluded that relatively high levels of
 competition between rules are actually occurring. In the long term,
 national markets will continue to be segmented and it is questionable
 whether a European leasing industry will actually emerge 
Journal: International Journal of the Economics of Business 
Pages: 179-198 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Europe; Leasing; Regulation; Harmonisation, 
X-DOI: 10.1080/758516794 
File-URL: http://www.tandfonline.com/10.1080/758516794 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:179-198




Template-Type: ReDIF-Article 1.0
Author-Name: Marina Papanastassiou 
Author-X-Name-First: Marina 
Author-X-Name-Last: Papanastassiou 
Author-Name: Robet Pearce 
Author-X-Name-First: Robet 
Author-X-Name-Last: Pearce 
Title: Host-Country Determinants of the Market Strategies of US Companies' Overseas Subsidiaries 
Abstract:
  As compeition in many industries becomes increasingly global, MNEs have
 found that import-substitution subsidiaries, focusing on the supply of
 national markets, are much less viable. In the pursuit of enhanced
 competitiveness through export-oriented subsidiaries, MNEs are also
 finding that relying on low-cost host-country inputs to produce
 established productss is also a limited strategy. The more dynamic
 strategy of allowing subsidiaries to use a wider range of creative local
 inputs to take full responsibility for the development, production and
 international marketing of distinctive new products is a more effective
 approach. Such an upgrading of the subsidiaries' role within the MNE often
 parallels the aims of host-country governments to achieve a more
 individual and dynamic basis for their country's evolving comparative
 advantage. It is thus argued that MNE subsidiaries and host countries can
 go through a mutually supportive period of creative transition, endowing
 both with a new level of technological dynamism and independence. The
 paper tests aspects of these arguments by analysing the host-country
 determinants of the degree of export-orientation of US MNEs' overseas
 subsidiaries. 
Journal: International Journal of the Economics of Business 
Pages: 199-216 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Multinational enterprises; Market-orientation strategies; Creative transition, JEL classification F23,O33, 
X-DOI: 10.1080/758516795 
File-URL: http://www.tandfonline.com/10.1080/758516795 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:199-216




Template-Type: ReDIF-Article 1.0
Author-Name: Massimo Filippini 
Author-X-Name-First: Massimo 
Author-X-Name-Last: Filippini 
Author-Name: Paola Prioni 
Author-X-Name-First: Paola 
Author-X-Name-Last: Prioni 
Title: Is Scale and Cost Inefficiency in the Swiss Bus Industry a Regulatory Problem? Evidence from a Frontier Cost Approach 
Abstract:
  The aim of this study is to analyze the scale and cost inefficiencies in
 operation for the Swiss regional bus companies. For this purpose,we have
 considered estimation of a stochastic and a deterministic frontier cost
 model for a sample of 93 bus companies in 1989. The estimates of
 inefficiency from the frontier models are compared and discussed within
 the political and regulatory setting within which the Swiss regional bus
 companies operate. The empirical results indicate that regulation does not
 seem to influence the cost efficiency significantly. Only the tariff
 subsidies have a negative influence on efficiency. This is an interesting
 result because in the current transport policy debate, the abolition of
 this kind of subsidy has been raised. 
Journal: International Journal of the Economics of Business 
Pages: 219-232 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Bus industry; Efficiency; Regulation; Cost frontier, JEL classifications: L320, R480, L920, 
X-DOI: 10.1080/758516796 
File-URL: http://www.tandfonline.com/10.1080/758516796 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:219-232




Template-Type: ReDIF-Article 1.0
Author-Name: Martin Robson 
Author-X-Name-First: Martin 
Author-X-Name-Last: Robson 
Title: The Determinants of New Firm Formation in UK Construction: Evidence from Quarterly VAT Registrations 
Abstract:
  This paper examines the ways in which industry-specific and
 macro-economic factors combine to lead to variations over time in the rate
 of new firm formation in the UK construction industry. The paper
 corroborates findings from elsewhere which suggest that housing wealth may
 be an important source of collateral for individuals seeking to raise the
 finance necessary to start up in business. The analysis of
 industry-specific influences supports the hypothesis that formation
 activity in construction is responsive to variations in the relative
 returns to entrepreneurship 
Journal: International Journal of the Economics of Business 
Pages: 233-246 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: New firms; Entrepreneurship; Collateral; Construction JEL classifications:L74,M13, 
X-DOI: 10.1080/758516797 
File-URL: http://www.tandfonline.com/10.1080/758516797 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:233-246




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Bowe 
Author-X-Name-First: Michael 
Author-X-Name-Last: Bowe 
Title: The Costs of Arbitrage and Futures Market Trading Activity 
Abstract:
  Standardizing a futures contract's specifications to enhance its
 transfer-ability is problematic for any commodity whose cash market adopts
 relational contracting procedures. Standardization implies the contract's
 value cannot be completely determined by competitive arbitrage order flow,
 inhibiting the market's price discovery function, and leaving the futures
 price susceptible to manipulation. These effects may result in the
 market's failure. The model, based on the theory of storage, predicts that
 contracts with a higher spread-open position price volatility are more
 likely to contain a range of arbitrage indeterminacy, hence to experience
 difficulties in sustaining trading. The prediction is supported in an
 empirical examination of 104 US futures markets. The range of
 indeterminacy also increases the informational requirements of spread
 traders, reducing the effectiveness of spread arbitrage in maintaining the
 equilibrium intertemporal futures pricing relationship. Detailed evidence
 from 15 US contract markets demonstrates spread arbitrage is less
 effective in contract markets which subsequently fail. 
Journal: International Journal of the Economics of Business 
Pages: 247-270 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Futures contracts; Futures price spreads; Storage; Arbitrage, JEL classfications: D23, G10, G13, 
X-DOI: 10.1080/758516798 
File-URL: http://www.tandfonline.com/10.1080/758516798 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:247-270




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Goering 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Goering 
Title: Managerial Incentives and Durable Goods Monopoly 
Abstract:
  In many cases durable goods monopolists who sell out output do not appear
 to act in the competitive fashion suggested by Coase (1972). This
 indicates the firm's owners mitigate their commitment problem with buyers
 in some manner. This paper shows that managerial incentives provide a
 natural mechanism for the owner to mitigate its commitment problem without
 explicitly contracting with buyers. Owners will optimally shift their
 managers from the singular goal of profit maximization by penalizing them
 for sales. Additionally, the paper demonstrates that the degree to which
 managerial incentives and compensation diverge from pure profit
 maximization is in large part a function of the durability or quality of
 the product. 
Journal: International Journal of the Economics of Business 
Pages: 271-282 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Managerial incentives; Durable goods, JEL Clasification L12,L15,L21, 
X-DOI: 10.1080/758516799 
File-URL: http://www.tandfonline.com/10.1080/758516799 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:271-282




Template-Type: ReDIF-Article 1.0
Author-Name: Roger Blair 
Author-X-Name-First: Roger 
Author-X-Name-Last: Blair 
Author-Name: Jill Herndon 
Author-X-Name-First: Jill 
Author-X-Name-Last: Herndon 
Title: A Survivor Test of the American Agency System of Distributing Property Liability Insurance 
Abstract:
  In earlier work byjoskow and by Cummins and VanDerhei, the American
 Agency system of distribution has been deemed inefficient, i.e.
 excessively costly. We test this in a natural way by examining whether the
 system survives in competition with more efficient systems. We find that
 it survives, but is in steady decline. 
Journal: International Journal of the Economics of Business 
Pages: 283-290 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Insurance; Survivor principle, JEL classifications:G22,L22,M21, 
X-DOI: 10.1080/758516800 
File-URL: http://www.tandfonline.com/10.1080/758516800 
File-Format: text/html
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Template-Type: ReDIF-Article 1.0
Author-Name: Clement Krouse 
Author-X-Name-First: Clement 
Author-X-Name-Last: Krouse 
Title: US Antidumping Law and Competition in International Trade 
Abstract:
  It is usual to argue that the US antidumping code and legal practice have
 become a substitute for tariffs now severely limited by GATT and, somewhat
 like these displaced tariffs, they are intended to limit the extent of
 price competition by foreign sellers. However, there is one set of
 conditions under which the regulations and duties, and the accompanying
 increase in market price they bring about, increases domestic producer
 surplus more than they decrease consumer surplus and therefore increase
 domestic welfare. As is shown, these conditions require antidumping duties
 to exclude foreign manufacturers from the domestic market in a specific
 inverse relationship to the prevailing market price. While the duties
 imposed with an antidumping violation implicitly set out an exclusion rate
 for foreign manufacturers, there is little in the US code or legal
 practice which suggests that the duties and exclusion rates are
 established with this specific rule in mind. 
Journal: International Journal of the Economics of Business 
Pages: 291-306 
Issue: 2 
Volume: 1 
Year: 1994 
Keywords: Dumping; International trade, Jel classifications: D20, D40, L10, 
X-DOI: 10.1080/758516801 
File-URL: http://www.tandfonline.com/10.1080/758516801 
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Template-Type: ReDIF-Article 1.0
Author-Name: Michael Waterson 
Author-X-Name-First: Michael 
Author-X-Name-Last: Waterson 
Title: What Can Microeconomics Teach Business? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 307-314 
Issue: 2 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758517802 
File-URL: http://www.tandfonline.com/10.1080/758517802 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:2:p:307-314




Template-Type: ReDIF-Article 1.0
Author-Name: Shelagh Heffernan 
Author-X-Name-First: Shelagh 
Author-X-Name-Last: Heffernan 
Title: Competition in the Canadian Personal Finance Sector 
Abstract:
  This paper employs cross-section continuous time series data to examine
 competition in the Canadian personal finance sector for the period
 1987-90. Using a generalised linear pricing model, firm entry is found to
 be significant in the setting of deposit and mortgage rates, suggesting
 the presence an incontestable market structure consistent with Cournot
 oligopoly. There is also evidence of price-making behaviour and relative
 bargainlripoff products. For three of the four products studied, a 'fifth
 column' consisting of the 12 major banks and trust companies best explain
 pricing in these markets 
Journal: International Journal of the Economics of Business 
Pages: 323-338 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Canadian personal finance sector; Generalised linear pricing model; Fifth column, JEL classifications: G21, E43, L13, 
X-DOI: 10.1080/758536225 
File-URL: http://www.tandfonline.com/10.1080/758536225 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:3:p:323-338




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Harper 
Author-X-Name-First: Richard 
Author-X-Name-Last: Harper 
Title: Intellectual Property and Unfair Trade: Market Response to ITC Actions 
Abstract:
  Firm-specific wealth effects associated with US International Trade
 Commission Section 337 investigations of intellectual property right
 infringements are estimated. A major finding is that the 337 protection is
 valuable to complainant firms, but the timing of wealth effects suggests
 differing motivations for firms which pursue this remedy. Other findings
 are that firms involved in concurrent District Court litigation and firms
 with greater number of respondents are less likely to settle their case
 prior to an ITC determination. Recent statutory changes in Section 337
 also appear to have increased complainant firms' incentives to settle. 
Journal: International Journal of the Economics of Business 
Pages: 343-353 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Intellectual property; Patent; International trade; Administered protection; Event study; International Trade Commission; Section 337, JEL Clasification F14, G14, 
X-DOI: 10.1080/758536226 
File-URL: http://www.tandfonline.com/10.1080/758536226 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:3:p:343-353




Template-Type: ReDIF-Article 1.0
Author-Name: M. Dobbs Ian 
Author-X-Name-First: M. Dobbs 
Author-X-Name-Last: Ian 
Author-Name: Paul Richards 
Author-X-Name-First: Paul 
Author-X-Name-Last: Richards 
Title: Entry and Component Pricing in Regulated Markets 
Abstract:
  This paper discusses work on computable models of entry into regulated
 markets. Cournot, Stackelberg and Fringe entry are considered for the case
 where the incumbent operator's profitability is regulated and component
 pricing influences the desirability of entry. The simulation results
 illustrate that welfare optimal component pricing can be highly sensitive
 to model specification (behavioural assumptions about agents, the nature
 of competition, the extent of product differentiation etc.) and that no
 welfare ranking of simple component pricing rules (such as marginal cost,
 average cost, opportunity cost or efficient component price) exists. In
 addition, the welfare desirability of entry is seen to be sensitive to the
 choice of welfare benchmark for comparison 
Journal: International Journal of the Economics of Business 
Pages: 355-376 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Component pricing; Network access pricing; Entry; Regulation; Oligopoly, JEL classifications:D43,L40,L51,L90,L98, 
X-DOI: 10.1080/758536227 
File-URL: http://www.tandfonline.com/10.1080/758536227 
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Template-Type: ReDIF-Article 1.0
Author-Name: Roger Clarke 
Author-X-Name-First: Roger 
Author-X-Name-Last: Clarke 
Author-Name: Christos Ioannidis 
Author-X-Name-First: Christos 
Author-X-Name-Last: Ioannidis 
Title: Mergers and Excess Deposits: Some Evidence for the UK 
Abstract:
  In this paper we consider an argument, often used in the City and the
 press, that mergers take place more because of the availability of finance
 than for strong economic reasons. In particular, we focus on the
 availability of finance part of this argument and suggest that the
 financial sector and firms themselves use excess funds to support merger
 activity. Using data for the UK, we show that there is evidence for such
 an effect for non-bank financial institutions but results for firms are
 not significant. Possible interpretations of this result are also
 discussed. 
Journal: International Journal of the Economics of Business 
Pages: 377-385 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Mergers;Time series;Excess deposite, JEL classification:L16.M2, 
X-DOI: 10.1080/758536228 
File-URL: http://www.tandfonline.com/10.1080/758536228 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:3:p:377-385




Template-Type: ReDIF-Article 1.0
Author-Name: James Boyd 
Author-X-Name-First: James 
Author-X-Name-Last: Boyd 
Title: Risk, Liability, and Monopoly 
Abstract:
  The paper explores a monopolist's safety and output choices when there
 are potentially large-scale claims that can lead to firm insolvency.
 Analysis of a monopolized market yields different conclusions than models
 of rule choice where perfect competition or simple cost-minimization are
 assumed. The following are shown to be true when consumers do not
 internalize expected, uncompensated hazard costs: (1) potentially
 insolvent firms may make more efficient safety and output choices than
 fully capitalized firms and (2), for any level of capitalization,
 compliance with a negligence rule&#x2014;where liabilities are
 removed&#x2014;may in fact result in less output and safety than under
 strict liability, where hazard costs are at least partially internalized.
 When consumers fully discount risks, a negligence rule dominates strict
 liability because it allows for less costly, credible commitments to
 profit- and welfare-maximizing safety investments. The analysis
 demonstrates that the optimal legal system&#x2014;including financial
 responsibility requirements&#x2014;is particularly sensitive to market
 structure and the characteristics of firms' risk reduction technology 
Journal: International Journal of the Economics of Business 
Pages: 387-403 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Strict liability; Negligence; Monopoly; Insolvency, JEL classification:K13,L51, 
X-DOI: 10.1080/758536229 
File-URL: http://www.tandfonline.com/10.1080/758536229 
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Template-Type: ReDIF-Article 1.0
Author-Name: Julian Lowe 
Author-X-Name-First: Julian 
Author-X-Name-Last: Lowe 
Author-Name: M. H. Atkins 
Author-X-Name-First: M. H. 
Author-X-Name-Last: Atkins 
Title: Small Firms and the Strategy of the First Mover 
Abstract:
  Timing of entry and the decision to be a leader or follower in products
 or markets is a complex decision and empirical evidence suggests that
 first movers do not always 'capture' all the potential benefits from being
 first. Small firms in particular are faced with problems when deciding on
 whether to be a first or later mover. Their strategies were examined using
 a sample of 264 firms in chosen industry sectors and specific external and
 internal factors were found to explain much of the variation in timing of
 entry strategies by these firms. In particular a composite measure of the
 technological turbulence that firms faced in their supply chain was seen
 as a crucial determinant of early entry whilst uncertainty as to general
 business conditions explained much of the late and non pioneering
 strategies. Even within this group of small firms, size also played an
 important role with the smallest companies tending to be the most
 pioneering 
Journal: International Journal of the Economics of Business 
Pages: 405-419 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Small firms; First mover; Strategy; Technology, JEL classifications: D21, D43, M21, 
X-DOI: 10.1080/758536230 
File-URL: http://www.tandfonline.com/10.1080/758536230 
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Template-Type: ReDIF-Article 1.0
Author-Name: Paul Stoneman 
Author-X-Name-First: Paul 
Author-X-Name-Last: Stoneman 
Author-Name: Nathan Francis 
Author-X-Name-First: Nathan 
Author-X-Name-Last: Francis 
Title: Double Deflation and the Measurement of Output and Productivity in UK Manufacturing 1979-89 
Abstract:
  The objective of this paper is to examine the impact of applying double
 deflation methods to the measurement of productivity growth in UK
 manufacturing between 1979 and 1989. A number of alternative indicators of
 output growth are considered and it is argued that double deflated value
 added is the superior concept to employ for the measurement of
 productivity. It is shown that output measured by double deflated value
 added fell by 0.05% over the period between 1979 and 1989 whereas the
 official series indicates that output rose by 12.2% over the period.
 Measuring productivity as output per person employed, the double deflated
 value added measure indicates that between 1979 and 1989productivity
 increased by 34%> whereas the official series indicates an increase
 of 51 %. Whereas the latter may indicate a productivity miracle the former
 does not 
Journal: International Journal of the Economics of Business 
Pages: 423-437 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Double deflation; Value added; Productivity, JEL classifications: C8, E2, L6, 
X-DOI: 10.1080/758536231 
File-URL: http://www.tandfonline.com/10.1080/758536231 
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Template-Type: ReDIF-Article 1.0
Author-Name: Simon Domberger 
Author-X-Name-First: Simon 
Author-X-Name-Last: Domberger 
Author-Name: Stephen Rimmer 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Rimmer 
Title: Competitive Tendering and Contracting in the Public Sector: A Survey 
Abstract:
  This paper is a survey of the role and impact of competitive tendering
 and contracting (CTC) policies in the public sector. The paper examines
 the theoretical rationale for introducing competition in the provision of
 public services and the methodology by which contracting decisions are
 reached. It investigates the extent of implementation and nature of
 outcomes in several countries. A broad sweep of the empirical findings
 suggests that CTC generates substantial cost savings. Lack of adequate
 data makes an assessment of the effect on quality more troublesome, and
 further research is needed 
Journal: International Journal of the Economics of Business 
Pages: 439-453 
Issue: 3 
Volume: 1 
Year: 1994 
Keywords: Competitive tendering; Contracting-out; Public sector management; Competition policy, JEL classifications: LI4, L33, 
X-DOI: 10.1080/758536232 
File-URL: http://www.tandfonline.com/10.1080/758536232 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:3:p:439-453




Template-Type: ReDIF-Article 1.0
Author-Name: Roger Clarke 
Author-X-Name-First: Roger 
Author-X-Name-Last: Clarke 
Title: Geroski's Market Dynamics and Entry: A Review 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 455-459 
Issue: 3 
Volume: 1 
Year: 1994 
X-DOI: 10.1080/758536233 
File-URL: http://www.tandfonline.com/10.1080/758536233 
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Handle: RePEc:taf:ijecbs:v:1:y:1994:i:3:p:455-459




Template-Type: ReDIF-Article 1.0
Author-Name: Massimo Colombo 
Author-X-Name-First: Massimo 
Author-X-Name-Last: Colombo 
Title: Firm Size and Cooperation: The Determinants of Cooperative Agreements in Information Technology Industries 
Abstract:
  This paper aims to shed light on factors that lead firms to resort to
 collaborative ventures. Specific attention is devoted to the role of firm
 size. The study relies on an extensive econometric analysis of a
 representative sample of firms in three Information Technology industries
 (semiconductor, data processing, and telecommunications). Data relating to
 the number and type of agreements concluded by firms, provided by the ARPA
 database developed at Politecnico di Milano, are correlated with firm-,
 industry- and country-specific variables. The findings of the econometric
 estimates point to the importance of firm size, scope of activity within
 the industries considered, diversification in related industries, and, to
 a less extent, degree of internationalization in explaining use of
 agreements. Moreover, the study provides preliminary evidence in support
 of a complementary relation between interfirm linkages and R&D
 expenditures. A positive correlation with growth rates also seems to
 emerge. In contrast, the s regarding the relation between internal capital
 expenditures and recourse to agreements are mixed. 
Journal: International Journal of the Economics of Business 
Pages: 3-30 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: cooperative agreements; information technologies; firm size, JEL classifications: L22, L63, 
X-DOI: 10.1080/758521094 
File-URL: http://www.tandfonline.com/10.1080/758521094 
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Template-Type: ReDIF-Article 1.0
Author-Name: Nicholas Wilson 
Author-X-Name-First: Nicholas 
Author-X-Name-Last: Wilson 
Author-Name: Kwee Chong 
Author-X-Name-First: Kwee 
Author-X-Name-Last: Chong 
Author-Name: Michael Peel 
Author-X-Name-First: Michael 
Author-X-Name-Last: Peel 
Author-Name: A. N. Kolmogorov 
Author-X-Name-First: A. N. 
Author-X-Name-Last: Kolmogorov 
Title: Neural Network Simulation and the Prediction of Corporate Outcomes: Some Empirical Findings 
Abstract:
  Neural Networks (NN's) involve an innovative method of simulating and
 analysing complex and constantly changing systems of relationships.
 Originally developed to mimic the neural architecture and functioning of
 the human brain, NN techniques have recently been applied to many
 different business fields and have demonstrated a capability to solve
 complex problems. This paper investigates the use of NN techniques as a
 tool for the modelling and prediction of corporate bankruptcy and other
 corporate outcomes. The within and out-of-sample accuracy of trained NNs
 are compared with those of standard logit and multilogit techniques. The
 results of the study suggest that, from a pure predictive point of view,
 NN simulation produces a higher predictive accuracy and is more robust
 than conventional logit and multilogit models. 
Journal: International Journal of the Economics of Business 
Pages: 31-50 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: Corporate failure; Neural networks; Multi-outcome models, JEL classifications: G33, G34, C53, 
X-DOI: 10.1080/758521095 
File-URL: http://www.tandfonline.com/10.1080/758521095 
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Template-Type: ReDIF-Article 1.0
Author-Name: Mary K. Olson 
Author-X-Name-First: Mary 
Author-X-Name-Last: Olson 
Title: The Effects of UK Pharmaceutical Policy on Government Drug Expenditure: Cost Control and Incentives for R&D 
Abstract:
  This paper investigates the impact of UK pharmaceutical policy on the
 level of NHS pharmaceutical expenditure. UK pharmaceutical policy is one
 which has managed to control costs, but at the same time, has not
 sacrificed the rewards for conducting long-term R&D in the UK. The
 analysis provides evidence that the government policies which encourage
 long-term R&D and the development of new drugs actually lead to lower
 overall pharmaceutical expenditure by the NHS. The reason for this is
 attributed to the savings associated with the replacement of new drugs for
 other less effective drugs. Additional results show that the UK receives
 positive spillovers from the R&D conducted by US firms and this R&D has a
 cost reducing impact on NHS pharmaceutical expenditure. 
Journal: International Journal of the Economics of Business 
Pages: 51-64 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: UK pharmaceutical policy; R&D NHS drug expenditure, JEL classifications: L51, 
X-DOI: 10.1080/758521096 
File-URL: http://www.tandfonline.com/10.1080/758521096 
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Template-Type: ReDIF-Article 1.0
Author-Name: David Butz 
Author-X-Name-First: David 
Author-X-Name-Last: Butz 
Title: Most-Favored Treatment Provisions as Nondiscrimination Guarantees 
Abstract:
  A firm employs suppliers who make specific investments. Because output
 demand is uncertain and the cost of enumerating contingencies high, the
 firm retains some unilateral control over the input quantities it
 purchases. To allay suppliers' concerns over potential opportunism the
 firm must commit not to pit them against one another ex post by
 threatening to buy less from those who refuse to discount their prices. By
 extending most-favored treatment guarantees the firm commits not to
 discriminate. In some circumstances this generates efficient and
 opportunism-free outcomes. In others it is less effective but may remain
 attractive relative to other options. Evidence from field market contracts
 for natural gas corroborates this nondiscrimination hypothesis. 
Journal: International Journal of the Economics of Business 
Pages: 65-86 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: Natural gas; Most-favored treatment provisions; Opportunism; Vertical contracts, JEL classifications: L14, 
X-DOI: 10.1080/758521097 
File-URL: http://www.tandfonline.com/10.1080/758521097 
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Template-Type: ReDIF-Article 1.0
Author-Name: Harald Gruber 
Author-X-Name-First: Harald 
Author-X-Name-Last: Gruber 
Title: Market Structure, Learning and Product Innovation: Evidence for the EPROM Market 
Abstract:
  The study analyses the market for semiconductor memory chips, in
 particular EPROMs. Semiconductors are very interesting industry for
 studying empirically the dynamics of innovation. Given the short product
 life cycles of generations of chips, the market dynamics unfold much more
 rapidly than in other industries and are therefore better amenable to
 empirical observation. One of the aims is to shed more light on the link
 between learning and the dynamics of product innovation, as well as their
 influence on market structure. Learning with an old generation turns out
 to be an important determinant for product innovation. The further down
 the firm has moved on the learning curve, the higher its market share, and
 the larger becomes the probability that the firm is an early innovator.
 The results are consistent with the persistence of leadership hypothesis. 
Journal: International Journal of the Economics of Business 
Pages: 87-101 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: Semiconductor industry; Product innovation; Learning curve, JEL classifications: L63, O31, 
X-DOI: 10.1080/758521098 
File-URL: http://www.tandfonline.com/10.1080/758521098 
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:1:p:87-101




Template-Type: ReDIF-Article 1.0
Author-Name: Steven Hackett 
Author-X-Name-First: Steven 
Author-X-Name-Last: Hackett 
Title: Heterogeneity and Share Contracting in Medical Group Practices 
Abstract:
  This paper offers an empirical analysis of the relationship between
 income sharing rules and physician heterogeneity in medical group
 practices.The economies to group formation associated with risk-sharing,
 mutual monitoring,and internal referral are served by sharing at least a
 portion of group income equally. Sharing group income equally is
 problematic, however, when group members differ in their contribution to
 group income. Member contributions to group income may differ because of
 differences in ability, effort, or the price of services across specialty
 fields. The analysis below is addressed to the question of how income
 sharing rules in physician groups are affected by variation in member
 contributions. The analysis finds evidence that heterogeneity in member
 contributions to group income limits the use of equal income sharing rules
 in multispecialty groups relative to single specialty groups, and large
 groups relative to small groups. Nevertheless, 65% of all groups in the
 survey share at least a pn of group income equally, which broadly suggests
 that the joint surplus enhancement from risk sharing, mutual monitoring,
 and internal referral are sufficient to overcome the incentive problems of
 such rules 
Journal: International Journal of the Economics of Business 
Pages: 103-121 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: Heterogeneity; Medical groups; Sharing rules, JEL classifications: D21, 119, L22, 
X-DOI: 10.1080/758521099 
File-URL: http://www.tandfonline.com/10.1080/758521099 
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:1:p:103-121




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Dowen 
Author-X-Name-First: Richard 
Author-X-Name-Last: Dowen 
Title: Board of Director Quality and Firm Performance 
Abstract:
  This paper aims to shed light on the relationship between the quality of
 the individuals on a firm's board of directors and performance. It reports
 the results of an empirical study of a sample of Fortune 1000 firms. The
 findings suggest that quality boards, as measured by the average number of
 board seats held by each director, are associated with quality firms, as
 measured by both accounting and market performance. 
Journal: International Journal of the Economics of Business 
Pages: 123-132 
Issue: 1 
Volume: 2 
Year: 1995 
Keywords: Board of directors; Firm performance, JEL classification: 511, 
X-DOI: 10.1080/758521100 
File-URL: http://www.tandfonline.com/10.1080/758521100 
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Template-Type: ReDIF-Article 1.0
Author-Name: Robert McNabb 
Author-X-Name-First: Robert 
Author-X-Name-Last: McNabb 
Author-Name: Keith Whifield 
Author-X-Name-First: Keith 
Author-X-Name-Last: Whifield 
Title: The Business of Training: Microeconomic and Macroeconomic Considerations 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 133-150 
Issue: 1 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758521101 
File-URL: http://www.tandfonline.com/10.1080/758521101 
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:1:p:133-150




Template-Type: ReDIF-Article 1.0
Author-Name: David Heathfield 
Author-X-Name-First: David 
Author-X-Name-Last: Heathfield 
Title: International Competition: Winning the War or Sharing the Wealth? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 151-154 
Issue: 1 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758521102 
File-URL: http://www.tandfonline.com/10.1080/758521102 
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:1:p:151-154




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Wilson 
Author-X-Name-First: Robert 
Author-X-Name-Last: Wilson 
Title: Technology, Antitrust and Structural Change: Essays in Honor of Merton J. Peck 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 167-170 
Issue: 2 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758519305 
File-URL: http://www.tandfonline.com/10.1080/758519305 
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:167-170




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Nelson 
Author-X-Name-First: Richard 
Author-X-Name-Last: Nelson 
Title: Co-evolution of Industry Structure, Technology and Supporting Institutions, and the Making of Comparative Advantage 
Abstract:
  In recent years,a considerable body of research has been established on
 the co-evolution of technology and industry structure, from the time that
 the technology is young to the time when it is mature&#xb7; A somewhat
 smaller body of research has been established on how private and public
 institutions, and public programs and policies co-evolved with a
 technology and industry&#xb7; It is proposed here that nations differ in
 their pace and pattern of institutional response to the birth and
 development of an industry, and that the locus of comparative advantage is
 largely determined by these different kinds of national response. 
Journal: International Journal of the Economics of Business 
Pages: 171-184 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: co-evolution;industry structure;technology;comparative advantage, JEL classifications: O3,L0,F2,H4, 
X-DOI: 10.1080/758519306 
File-URL: http://www.tandfonline.com/10.1080/758519306 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:171-184




Template-Type: ReDIF-Article 1.0
Author-Name: Sharon Oster 
Author-X-Name-First: Sharon 
Author-X-Name-Last: Oster 
Title: Exclusive Licensing in a Sequence of Innovations 
Abstract:
  In this paper, I examine the issues involved with sequential licensing of
 innovations. In particular, a model is developed in which the granting of
 an exclusive license has the potential to distort future industrial
 structure. Subsequent licensing negotiations are then affected by the
 initial exclusivity, giving the initial licensee more leverage in bidding.
 This dynamic effect gives firms strategic incentives to take exclusive
 licenses, even when, in a one-shot market, such licenses would not be
 optimal. Appropriate antitrust rules in the context of sequential
 innovations are then discussed. 
Journal: International Journal of the Economics of Business 
Pages: 185-198 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: sequential licensing; innovations; industry structure; exclusivity, JEL classifications: L123 L40, O31, 
X-DOI: 10.1080/758519307 
File-URL: http://www.tandfonline.com/10.1080/758519307 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:185-198




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Macavoy 
Author-X-Name-First: Paul 
Author-X-Name-Last: Macavoy 
Title: Comments on: Exclusive Licensing in a Sequence of Innovations 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 199-200 
Issue: 2 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758519308 
File-URL: http://www.tandfonline.com/10.1080/758519308 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:199-200




Template-Type: ReDIF-Article 1.0
Author-Name: Joseph Dimasi 
Author-X-Name-First: Joseph 
Author-X-Name-Last: Dimasi 
Author-Name: Henry Grabowski 
Author-X-Name-First: Henry 
Author-X-Name-Last: Grabowski 
Author-Name: John Vernon 
Author-X-Name-First: John 
Author-X-Name-Last: Vernon 
Title: R&D Costs, Innovative Output and Firm Size in the Pharmaceutical Industry 
Abstract:
  This study examines the relationships between firm size, R&D costs and
 output in the pharmaceutical industry. Project-level data from a survey of
 12 US-owned pharmaceutical firms on drug development costs, development
 phase lengths and failure rates are used to determine estimates of the R&D
 cost of new drug development by firm size. Firms in the sample are grouped
 into three size categories, according to their pharmaceutical sales at the
 beginning of the study period. The R&D cost per new drug approved in the
 US is shown to decrease with firm size, while sales per new drug approved
 are shown to increase markedly with firm size. Sales distributions are
 highly skewed and suggest that firms need to search for blockbuster drugs
 with above--average returns. The results are consistent with substantial
 economies of scale in pharmaceutical R&D, particularly at the discovery
 and preclinical development phases. 
Journal: International Journal of the Economics of Business 
Pages: 201-219 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: economies of scale; pharmaceutical R&D cost; sales-weighted output, JEL classifications: L65, 032, 
X-DOI: 10.1080/758519309 
File-URL: http://www.tandfonline.com/10.1080/758519309 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:201-219




Template-Type: ReDIF-Article 1.0
Author-Name: PAUL Macavoy 
Author-X-Name-First: PAUL 
Author-X-Name-Last: Macavoy 
Title: Comments on: R&D Costs, Innovative Output, and Firm Size in the Pharmaceutical Industry 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 221-222 
Issue: 2 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758519310 
File-URL: http://www.tandfonline.com/10.1080/758519310 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:221-222




Template-Type: ReDIF-Article 1.0
Author-Name: Linda Cohen 
Author-X-Name-First: Linda 
Author-X-Name-Last: Cohen 
Author-Name: Roger Noll 
Author-X-Name-First: Roger 
Author-X-Name-Last: Noll 
Title: Feasibility of Effective Public-Private R&D Collaboration: the Case of Cooperative R&D Agreements 
Abstract:
  Since the mid-1980s, the federal government has supported collaborative
 R&D in private consortia and between industry and national research
 laboratories. One justification for these activities is that they can
 solve 'public goods' problems associated with producing non-appropriable,
 technology-base research. However, these efforts also create formidable
 contracting problems similar to those experienced in defense weapons
 systems development. We examine the early history of collaborations with
 the national laboratories, to ascertain whether or not this policy is
 working effectively, and find that the problems seem to be outweighing the
 benefits mentioned, in many cases. 
Journal: International Journal of the Economics of Business 
Pages: 223-240 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: national laboratories; R&D; technology policy, JEL classifications: L5, 03, 
X-DOI: 10.1080/758519311 
File-URL: http://www.tandfonline.com/10.1080/758519311 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:223-240




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Wilson 
Author-X-Name-First: Robert 
Author-X-Name-Last: Wilson 
Author-Name: Frederick Warrwn-Boulton 
Author-X-Name-First: Frederick 
Author-X-Name-Last: Warrwn-Boulton 
Title: Riding the Wave: Exclusionary Practices in Markets for Microprocessors Used in IBM-Compatible Personal Computers 
Abstract:
  This paper examines exclusionary practices allegedly used by Intel to
 maintain its dominant position in sales of microprocessors for
 IBM-compatible personal computers (PCs), focusing primarily on the
 preferential allocation of scarce product among customers. The paper
 considers the period 1991-93, which encompasses the transition from the
 386 to the 486 microprocessor generation and the entry of several
 competitors. We test for two conditions that are necessary for
 exclusionary practices to be successful. First, using the market
 definition approach that is common to antitrust analyses in the US, we
 demonstrate that, at the upstream microprocessor level, Intel had monopoly
 power in a distinct market for high-end microprocessors. In particular,
 pricing data show that the effects of entry were localized at the low end
 of Intel's product line. Secondly, we identify four conditions that are
 sufficient for exclusionary practices to be successful, and show that the
 downstream PC manufacturing stage has these characteristics. Finally, we
 consider potential explanations for preferential allocation that are based
 on efficiencies, and outline a methodology for calculating the effect of
 exclusionary practices on the prices received by two of Intel's
 competitors 
Journal: International Journal of the Economics of Business 
Pages: 241-262 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: exclusionary practices; allocation; microprocessor industry; market definition; monopoly power; damages, JEL classifications: L12, L41, L42, L63, O31, 
X-DOI: 10.1080/758519312 
File-URL: http://www.tandfonline.com/10.1080/758519312 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:241-262




Template-Type: ReDIF-Article 1.0
Author-Name: William Comanor 
Author-X-Name-First: William 
Author-X-Name-Last: Comanor 
Author-Name: F. M. Scherer 
Author-X-Name-First: F. M. 
Author-X-Name-Last: Scherer 
Title: Rewriting History: the Early Sherman Act Monopolization Cases 
Abstract:
  This paper reviews two early precedent-setting US antitrust decisions and
 asks a series of counter-factual questions. What if the Standard Oil
 Company had not been broken into 34 pieces? What if the United States
 Steel Corporation had been fragmented? It traces the qualitative evolution
 of the Standard Oil fragments, following the 1911 divestiture decision,
 and the corresponding history of United States Steel. It then undertakes
 quantitative analyses of the survivors' market share trends and the
 comparative productivity growth, average plant sizes, price &#x2014; cost
 margins, and net exports for petroleum refining, blast furnaces and steel
 from 1899 through 1939. At first, the post-divestiture performance did not
 differ much between the two subject industries. However, by the 1930s,
 competition intensified in petroleum refining and the decline of the
 Standard Oil fragments' market shares came to a halt. In the steel
 industry, however, competition continued to be mild. A lethargic United
 States Steel held a price um brella over its rivals and steadily lost
 market share. Steel companies were ill-prepared for rising import
 competition during the 1960s and 1970s. The paper concludes that the 1911
 break-up of Standard Oil had few deleterious short-run consequences and,
 by shaping a more competitive environment, it had a decidedly positive
 long-run effect. 
Journal: International Journal of the Economics of Business 
Pages: 263-290 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: antitrust; Sherman act; monopoly; divestiture, JEL classifications: L12, L41, 
X-DOI: 10.1080/758519313 
File-URL: http://www.tandfonline.com/10.1080/758519313 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:263-290




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Litan 
Author-X-Name-First: Robert 
Author-X-Name-Last: Litan 
Title: Comments on: Rewriting History: the Early Sherman Act Monopolization Cases and Riding the Wave: Exclusionary Practices in Markets for Microprocessors Used In IBM-Compatible Personal Computers 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 291-295 
Issue: 2 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758519314 
File-URL: http://www.tandfonline.com/10.1080/758519314 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:291-295




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Joskow 
Author-X-Name-First: Paul 
Author-X-Name-Last: Joskow 
Author-Name: Richard Schmalensee 
Author-X-Name-First: Richard 
Author-X-Name-Last: Schmalensee 
Title: Privatization in Russia: What Should be a Firm? 
Abstract:
  This paper examines a variety of issues associated with the restructuring
 of Russian industry prior to privatization, from a transactions cost
 perspective. It is argued that none of the components of the industrial
 hierarchies inherited from the Soviet system corresponded closely to firms
 in a modem market economy. Moreover, product-level concentration of
 production created potential monopoly problems. Ideally, it would have
 been desirable to restructure Russian industry to create efficient
 organizations and competitive market structures prior to privatization.
 However, political and information constraints precluded widespread fine
 tuning of the existing industrial hierarchies prior to privatization.
 Given these constraints, the decision of the Gaidar government to focus
 privatization on 'enterprises', i.e. the smallest organizational units
 within the industrial hierarchies, was sensible and led to significant
 deconcentration of Russian industry. Policies with regard to voluntary
 separation of subunits of enterprises and aggregation of enterprises prior
 to privatization also helped to promote deconcentration. Significant
 additional restructuring of Russian industry is expected now that the mass
 privatization has been completed. 
Journal: International Journal of the Economics of Business 
Pages: 297-327 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: privatization; Russia; enterprise; transaction cost; deconcentration; firm; organization.JEL classifications: 610, 050, 
X-DOI: 10.1080/758519315 
File-URL: http://www.tandfonline.com/10.1080/758519315 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:297-327




Template-Type: ReDIF-Article 1.0
Author-Name: John Meyer 
Author-X-Name-First: John 
Author-X-Name-Last: Meyer 
Title: Restructuring Soviet Transport: a Study in Similarities and Contrasts 
Abstract:
  The nation states created by the disintegration of the former Soviet
 Union inherited transportation systems ill suited to the needs of market
 economies. Technologies were often outmoded, too energy intensive and not
 well adapted to the on-time delivery of small shipments characteristic of
 a modem consumer society. Furthermore, similarly to much of the rest of
 the Soviet economy, the transport sector was burdened with unwieldy and
 diffxcult-to-manage vertically integrated monopolies that were largely
 unresponsive to customer needs. Policies to solve these problems will vary
 from mode to mode. For water and highway transport, simple pro-competitive
 policies that emphasize easy entry, little regulation and prompt
 privatization should be appropriate. Because of network coordination and
 specialized infrastructure requirements, rail and air transport will need
 less fragmented approaches. One positive aspect of the transport situation
 in the former Soviet Union, slightly reducing the pressures for immediate
 reforms, the substantial capacity put in place by the old regime-a
 consequence of the former command/control economy being one of the most
 transport intensive in the world 
Journal: International Journal of the Economics of Business 
Pages: 329-340 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: transportation; Soviet Union; airlines; railroads; trucking; water transport, JEL classifications: L33, L92, L93, 
X-DOI: 10.1080/758519316 
File-URL: http://www.tandfonline.com/10.1080/758519316 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:329-340




Template-Type: ReDIF-Article 1.0
Author-Name: John Tilton 
Author-X-Name-First: John 
Author-X-Name-Last: Tilton 
Title: Comments on: Privatization in Russia: What Should be a Firm? and Restructuring Soviet Transport: a Study in Similarities and Contrasts 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 341-343 
Issue: 2 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758519317 
File-URL: http://www.tandfonline.com/10.1080/758519317 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:341-343




Template-Type: ReDIF-Article 1.0
Author-Name: Alvtn Klevorick 
Author-X-Name-First: Alvtn 
Author-X-Name-Last: Klevorick 
Title: The Economic Theory of Crime and the Problems of a Society in Transition 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 345-357 
Issue: 2 
Volume: 2 
Year: 1995 
Keywords: crime; transaction structure; technological change. JEL classifications: K14, K42, 
X-DOI: 10.1080/758519318 
File-URL: http://www.tandfonline.com/10.1080/758519318 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:2:p:345-357




Template-Type: ReDIF-Article 1.0
Author-Name: Gerard Wedig 
Author-X-Name-First: Gerard 
Author-X-Name-Last: Wedig 
Author-Name: Soonman Kwon 
Author-X-Name-First: Soonman 
Author-X-Name-Last: Kwon 
Title: Sustainable Asset Growth and the Accounting Rate of Return in Not-For-Profit Organizations: Theory and Evidence 
Abstract:
  Parties needing to monitor the financial performance of not-for-profit
 (NFP) organizations have traditionally relied upon financial ratios of
 accounting data. This practice can lead to misleading inferences about
 profitability in relation to organizational needs, since accounting rates
 of return are potentially poor proxies for economic rates of return. In
 this paper we show how to compensate for the imprecision of the accounting
 rate of return through the use of a simple interpretive rule based on the
 finding that accounting and economic rates of return are on the same side
 of the growth rate. According to our rule, the accounting rate of return
 must exceed the asset growth rate in order to sustain growth with
 internally-generated cash flow. Logistic regressions are used to test the
 rule's ability to predict sustainable asset growth in a sample of NFP
 hospitals. The findings not only validate the rule, but also show that the
 rule exploits all usable information contained in the accounting rate of
 return 
Journal: International Journal of the Economics of Business 
Pages: 367-391 
Issue: 3 
Volume: 2 
Year: 1995 
Keywords: Accounting rate of return; Economic rate of return; Growth, Not-for-profit, JEL classifications: G30, L31, M40, 
X-DOI: 10.1080/758538012 
File-URL: http://www.tandfonline.com/10.1080/758538012 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:367-391




Template-Type: ReDIF-Article 1.0
Author-Name: Malcolm Coate 
Author-X-Name-First: Malcolm 
Author-X-Name-Last: Coate 
Title: The Shifting Sands of Merger Enforcement at the Federal Trade Commission 
Abstract:
  This paper presents a statistical model for Federal Trade Commission
 merger enforcement. After reviewing the literature, economic and political
 variables are posited to explain bureaucratic merger decisions. Various
 probit models are estimated with the results suggesting that the
 Commission enhanced the consideration given to merger-specific
 efficiencies in response to exogenous pressure to increase merger
 enforcement. Overall, the tightening of merger policy appears to have been
 focused on the transactions lacking documented cost savings 
Journal: International Journal of the Economics of Business 
Pages: 393-407 
Issue: 3 
Volume: 2 
Year: 1995 
Keywords: Antitrust policy; Antitrust law; Bureaucracy, JEL classifications: L4, K21, D73, 
X-DOI: 10.1080/758538013 
File-URL: http://www.tandfonline.com/10.1080/758538013 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:393-407




Template-Type: ReDIF-Article 1.0
Author-Name: Paroush Jacob 
Author-X-Name-First: Paroush 
Author-X-Name-Last: Jacob 
Author-Name: Spiegel Uriel 
Author-X-Name-First: Spiegel 
Author-X-Name-Last: Uriel 
Title: Price Discrimination with One-way Separated Markets 
Abstract:
  This paper extends the traditional model of third degree price
 discrimination which assumes complete separation between markets to the
 case where markets are only one-way separated. In two periods of time one
 can carry over quantities of the product from the present to the future
 but not vice versa. We show that this model provides a wide framework for
 analysis of several promotional marketing strategies. 
Journal: International Journal of the Economics of Business 
Pages: 441-452 
Issue: 3 
Volume: 2 
Year: 1995 
Keywords: Intertemporal price discrimination; Learning by consumption; Third degree monopoly, JEL Classifications: D21, 
X-DOI: 10.1080/758538015 
File-URL: http://www.tandfonline.com/10.1080/758538015 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:441-452




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Hart 
Author-X-Name-First: Peter 
Author-X-Name-Last: Hart 
Title: The Convergence of Labour Productivity in British and German Industries 
Abstract:
  When a Galtonian cross-section regression model is used to analyse data
 on the relative labour productivity of 30 British and German manufacturing
 industries 1960-1989, it is found that there are strong tendencies for
 labour productivity in the two countries to converge. This is particularly
 true for 1960-73 and for 1979-89, when there was Galtonian regression
 towards the (geometric) mean level of relative productivity. There was no
 tendency for the relative advantage or disadvantage of an industry to
 persist over time. When an errors-in-variables model is used, it is found
 that reverse regression and lagged value instrumental variable estimators
 do not indicate that the OLS estimators in the Galtonian model are usually
 biased downwards and in fact confirm the direction of the Galtonian
 regression. 
Journal: International Journal of the Economics of Business 
Pages: 453-463 
Issue: 3 
Volume: 2 
Year: 1995 
Keywords: Labour productivity; Britain and Germany; Galtonian regression; Convergence; Errors-in-variables, 
X-DOI: 10.1080/758538016 
File-URL: http://www.tandfonline.com/10.1080/758538016 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:453-463




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Zweifel 
Author-X-Name-First: Peter 
Author-X-Name-Last: Zweifel 
Title: Diffusion of Hospital Innovations in Different Institutional Settings 
Abstract:
  This paper purports to analyze a hospital's adoption of both product and
 process innovation as a quanta! choice. The impacts of this decision on
 physicians, while depending on institutions that differ between the US and
 continental Europe, are shown to feed back to the hospital, influencing
 the profitability of the innovation. Recent changes of hospital finance
 give rise to testable comparative predictions in both institutional
 settings 
Journal: International Journal of the Economics of Business 
Pages: 465-483 
Issue: 3 
Volume: 2 
Year: 1995 
Keywords: diffusion of innovation; hospitals; comparative institutions; regulation, JEL classifications: 111, 118, L31, L51, 031, 
X-DOI: 10.1080/758538017 
File-URL: http://www.tandfonline.com/10.1080/758538017 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:465-483




Template-Type: ReDIF-Article 1.0
Author-Name: Ron Smith 
Author-X-Name-First: Ron 
Author-X-Name-Last: Smith 
Author-Name: Stefan Szymanski 
Author-X-Name-First: Stefan 
Author-X-Name-Last: Szymanski 
Title: Executive Pay and Performance: The Empirical Importance of the Participation Constraint 
Abstract:
  The low elasticity of top executive pay to performance in recent
 empirical work presents a puzzle since it is clear from the data that in
 practice both pay and performance measures have moved closely in line in
 recent years. This paper demonstrates that cross-section and time-series
 estimates of the pay performance elasticity differ significantly unless
 the effect of average executive pay is included. It is argued that this
 can be seen as the effect of the participation constraint in a principal
 agent model, more commonly known as "the going rate". The going rate must
 be paid to executives to deter them from taking up their outside option,
 which is the opportunity to leave the current firm and sign an incentive
 contract with another firm. Thus the outside option will depend on
 performance by other firms. Since performance is correlated between firms,
 this generates a larger time-series pay performance elasticity as
 perceived by the executive. The paper also considers the possibility that
 the going rate may induce incentive effects. The predictions of this
 argument are tested on a panel of data for large UK companies 
Journal: International Journal of the Economics of Business 
Pages: 485-495 
Issue: 3 
Volume: 2 
Year: 1995 
Keywords: JEL classifications: L14, J33, 
X-DOI: 10.1080/758538018 
File-URL: http://www.tandfonline.com/10.1080/758538018 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:485-495




Template-Type: ReDIF-Article 1.0
Author-Name: David Collard 
Author-X-Name-First: David 
Author-X-Name-Last: Collard 
Title: The Mainspring of Institutional Change? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 497-500 
Issue: 3 
Volume: 2 
Year: 1995 
X-DOI: 10.1080/758538019 
File-URL: http://www.tandfonline.com/10.1080/758538019 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:2:y:1995:i:3:p:497-500




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Buckley 
Author-X-Name-First: Peter 
Author-X-Name-Last: Buckley 
Author-Name: Martin Carter 
Author-X-Name-First: Martin 
Author-X-Name-Last: Carter 
Title: The Economics of Business Process Design: Motivation, Information and Coordination Within the Firm 
Abstract:
  This paper presents a transaction cost analysis of the internal business
 processes of firms. Business processes are collections of activities which
 are technologically or managerially linked so that they jointly affect
 value added. Their organisation is characterised by their
 'architecture'&#x2014;the allocation of responsibilities amongst
 individuals and groups and communication between them for information and
 coordination&#x2014;and their incentive structure. The overall costs of
 organisation are determined by losses due to imperfect motivation of
 process members, which flows from the incentive structure, and imperfect
 information and coordination, which flow from the architecture, together
 with the resource costs associated with incentives and architecture.
 Perfect motivation corresponds to 'team behaviour' and a quantitative
 model, based on team theory, indicates how the best architecture depends
 on the degree interaction between activities comprising the business
 process. 
Journal: International Journal of the Economics of Business 
Pages: 5-24 
Issue: 1 
Volume: 3 
Year: 1996 
Keywords: Transaction costs; Business processes; Organisation design; Team theory. JEL classifications: D23, L22, 
X-DOI: 10.1080/758533485 
File-URL: http://www.tandfonline.com/10.1080/758533485 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:5-24




Template-Type: ReDIF-Article 1.0
Author-Name: Timothy Brennan 
Author-X-Name-First: Timothy 
Author-X-Name-Last: Brennan 
Title: Is Cost-of-Service Regulation Worth the Cost? 
Abstract:
  Cost-of-service regulation that reduces prices will also reduce
 incentives to control cost. Increased output counteracts this trend when
 there are economies of scale. We derive closed-form approximations for the
 maximum cost increase that leaves a positive welfare gain when regulation
 reduces price by some percentage. To be useful to regulators, these
 approximations depend only on demand elasticity and the ratio of fixed to
 total cost. For low demand elasticities typical of regulated industries,
 price must fall by half to outweigh cost increases of as little as 2%.
 Cost-of-service regulation appears to reduce welfare unless economies of
 scale are strong. These conclusions may be reversed if regulators favor
 consumers, but only a slight bias in favor of the firm exacerbates them.
 Regulatory methods that preserve incentives to be efficient by divorcing
 price from cost become more appealing. 
Journal: International Journal of the Economics of Business 
Pages: 25-42 
Issue: 1 
Volume: 3 
Year: 1996 
Keywords: Regulation; Cost-of-service; Rate-of-return; Incentive regulation, JEL classifications: L51, L21, D21, D78.key, 
X-DOI: 10.1080/758533486 
File-URL: http://www.tandfonline.com/10.1080/758533486 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:25-42




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Utton 
Author-X-Name-First: Michael 
Author-X-Name-Last: Utton 
Title: Selective Distribution, Refusal to Sell and the Monopolies and Mergers Commission 
Abstract:
  Refusal to sell to 'unauthorised' dealers is an integral part of a
 selective distribution system. Under such a system manufacturers authorise
 only those dealers meeting their specific requirements. Where the market
 involved is 'reasonably competitive' it is widely recognised that
 manufacturers, dealers and consumers can gain. The British Monopolies and
 Mergers Commission (MMC) has been criticised for its interpretation of
 what constitutes a 'reasonably competitive' market. In a recent report
 into the supply of fine fragrances the issue was again central to its
 findings that the selective distribution system was not against the public
 interest. The European Commission has also recently granted exemption from
 Article 85 for the distribution system operated by the leading firms. We
 argue that the MMCs analysis of competition was again flawed in this case
 and that the danger to the consumer and new entrants is compounded by the
 Europe-wide exemption. 
Journal: International Journal of the Economics of Business 
Pages: 43-55 
Issue: 1 
Volume: 3 
Year: 1996 
Keywords: Refusal to sell; Selective distribution; Vertical restraints index;'Grey' market supplies; Reasonable competition, JEL classifications: LI 2, L42, L66, 
X-DOI: 10.1080/758533487 
File-URL: http://www.tandfonline.com/10.1080/758533487 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:43-55




Template-Type: ReDIF-Article 1.0
Author-Name: Gianni De Fraja 
Author-X-Name-First: Gianni 
Author-X-Name-Last: De Fraja 
Author-Name: Alessandra Staderini 
Author-X-Name-First: Alessandra 
Author-X-Name-Last: Staderini 
Title: An Empirical Analysis of Competition in Brand Differentiated Oligopoly 
Abstract:
  The paper studies the behaviour of four oligopolistic firms in the
 Italian coffee market. We study whether their behaviour is better
 represented by Bertrand behaviour or by collusive pricing. We also
 investigate the role of advertising in product differentiation. 
Journal: International Journal of the Economics of Business 
Pages: 57-67 
Issue: 1 
Volume: 3 
Year: 1996 
X-DOI: 10.1080/758533488 
File-URL: http://www.tandfonline.com/10.1080/758533488 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:57-67




Template-Type: ReDIF-Article 1.0
Author-Name: Julian Simon 
Author-X-Name-First: Julian 
Author-X-Name-Last: Simon 
Author-Name: Manouchehr Mokhtari 
Author-X-Name-First: Manouchehr 
Author-X-Name-Last: Mokhtari 
Author-Name: Daniel Simon 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Simon 
Title: Are Mergers Beneficial or Detrimental? Evidence from Advertising Agencies1 
Abstract:
  We study 33 pairs of advertising agencies that merged between 1947 and
 1985, comparing each merging pair against two controls: (a) a pair of
 agencies with combined merger-date billings close to the total billings of
 the merged unit, and (b) a single agency with similar total merger-date
 billings. Gross revenues are the dependent variable. Results: Merging
 firms do worse in the short run than controls. Assuming similar subsequent
 rates of growth for merging and non-merging firms, a loss of 16 percent of
 firm value due to merging is implied. 
Journal: International Journal of the Economics of Business 
Pages: 69-82 
Issue: 1 
Volume: 3 
Year: 1996 
Keywords: mergers, advertising agencies JEL classification: L10, 
X-DOI: 10.1080/758533489 
File-URL: http://www.tandfonline.com/10.1080/758533489 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:69-82




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Werden 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Werden 
Author-Name: Luke Froeb 
Author-X-Name-First: Luke 
Author-X-Name-Last: Froeb 
Author-Name: Timothy Tardiff 
Author-X-Name-First: Timothy 
Author-X-Name-Last: Tardiff 
Title: The Use of the Logit Model in Applied Industrial Organization 
Abstract:
  Qualitative choice models, such as the logit model, can capture important
 firm and product asymmetries. This paper surveys use of the logit model in
 industrial organization, with special focus on its application to merger
 analysis. The basic model and its motivation are reviewed, as is its
 estimation. Discussed in some detail is the use of the logit model to
 predict the price and welfare effects of horizontal mergers in
 differentiated products industries. Simulation using a qualitative choice
 model is argued to be far superior to traditional structural analysis.
 Logit merger simulations have the particular virtues of low informational
 and computational burdens and the use of the logit model can be motivated
 as reflecting a diffuse prior on the structure of demand. 
Journal: International Journal of the Economics of Business 
Pages: 83-105 
Issue: 1 
Volume: 3 
Year: 1996 
Keywords: Quantitative Choice; Mergers; Antitrust, JEL classifications: D43, L25, L4, 
X-DOI: 10.1080/758533490 
File-URL: http://www.tandfonline.com/10.1080/758533490 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:83-105




Template-Type: ReDIF-Article 1.0
Author-Name: Harold Demsetz 
Author-X-Name-First: Harold 
Author-X-Name-Last: Demsetz 
Title: Ownership and Control: A Review 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 107-112 
Issue: 1 
Volume: 3 
Year: 1996 
X-DOI: 10.1080/758533491 
File-URL: http://www.tandfonline.com/10.1080/758533491 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:1:p:107-112




Template-Type: ReDIF-Article 1.0
Author-Name: Sherill Shaffer 
Author-X-Name-First: Sherill 
Author-X-Name-Last: Shaffer 
Title: Viability of Traditional Banking Activities: Evidence from Shifts in Conduct and Excess Capacity 
Abstract:
  This paper applies modem statistical techniques to estimate levels and
 shifts of market conduct and aggregate excess capacity in the provision of
 traditional US banking products such as loans and demand deposits. A
 variety of models indicate that loans are competitively supplied, with no
 obvious excess capacity as defined. Some models indicate an
 anticompetitive shift in demand deposits after 1984, but other evidence
 suggests that this result may be an artifact attributable to the growth of
 NOW accounts, MMDAs, and the like. All results suggest that the current
 levels of these services can be profitably sustained under current market
 conditions. 
Journal: International Journal of the Economics of Business 
Pages: 125-143 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: banking; conduct; excess capacity. JEL classifications: G2, LI, 
X-DOI: 10.1080/758528449 
File-URL: http://www.tandfonline.com/10.1080/758528449 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:125-143




Template-Type: ReDIF-Article 1.0
Author-Name: Thomas Hazlett 
Author-X-Name-First: Thomas 
Author-X-Name-Last: Hazlett 
Title: Cable Television Rate Deregulation 
Abstract:
  In the 1984 Cable Communications Policy Act, cable television operators
 were effectively freed from rate regulation, and subsequently enjoyed
 monopoly franchise protection with free market pricing. In 1992, however,
 reregulation of basic cable service rates was established in the Cable
 Consumer Protection and Competition Act. The argument for reimposing
 regulation was that a substantial increase in basic cable rates had
 occurred post-deregulation. Yet the efficacy of rate controls upon an
 industry which has substantial freedom to adjust product quality is
 theoretically ambiguous. This study examines simple price, quality, and
 output evidence to determine how rate deregulation impacted consumers. It
 finds support for the view that rate controls did not lower
 quality-adjusted prices and are best explained as tools for influencing
 rent distribution across interest groups 
Journal: International Journal of the Economics of Business 
Pages: 145-164 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: rate regulation; cable television; telecommunications policy; product quality, JEL classifications: 619, 635, 
X-DOI: 10.1080/758528450 
File-URL: http://www.tandfonline.com/10.1080/758528450 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:145-164




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Holl 
Author-X-Name-First: Peter 
Author-X-Name-Last: Holl 
Author-Name: Dimitis Kyriaziz 
Author-X-Name-First: Dimitis 
Author-X-Name-Last: Kyriaziz 
Title: The Determinants of Outcome in UK Take-over Bids 
Abstract:
  In this paper we have investigated the determinants of the outcome of 238
 friendly and hostile take-over bids that occurred in the UK during the
 1980s. We also use our model for prediction purposes and in order to map
 the effects of a variety of independent variables on the probability of
 the bid being successful. Our main results can be summarised as follows.
 First, target management resistance and the wealth effect of a bid are key
 determinants of the outcome of a bid. Second, we find limited evidence to
 suggest that share ownership by the bidding company and by target
 directors also contributes significantly to bid outcome. In the latter
 case we find a non-linear relationship consistent with the argument that
 when director holdings are low the bid is discouraged but when they are
 high the bid is encouraged. Third, our model is good at predicting outcome
 for all bids but weak at predicting the outcome of hostile bids on their
 own. 
Journal: International Journal of the Economics of Business 
Pages: 165-184 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: bid outcome; logit estimation; predictive ability; take-overs, JEL classifications: G34, G14, C25, 
X-DOI: 10.1080/758528451 
File-URL: http://www.tandfonline.com/10.1080/758528451 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:165-184




Template-Type: ReDIF-Article 1.0
Author-Name: Donald Smythe 
Author-X-Name-First: Donald 
Author-X-Name-Last: Smythe 
Title: The Dynamics of Oligopoly Behavior: A Study of the US Cigarette Industry, 1955-90 
Abstract:
  This paper uses the comparative statics method of testing for a monopoly
 equilibrium to track the competitiveness of the US cigarette industry
 between 1955 and 1990. The degree of competition ranged from somewhat less
 than a Coumot-Nash equilibrium would imply to somewhat more. Although the
 industry's behavior was highly autocorrelated, there were periodic
 reversions to behavior that was much more competitive than the trend 
Journal: International Journal of the Economics of Business 
Pages: 185-200 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: Oligopoly; Cournot; Competitiveness, JEL classifications: LI 3, L66, 
X-DOI: 10.1080/758528452 
File-URL: http://www.tandfonline.com/10.1080/758528452 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:185-200




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Goering 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Goering 
Author-Name: Michael Pippenger 
Author-X-Name-First: Michael 
Author-X-Name-Last: Pippenger 
Title: Durable Goods and Switching Costs 
Abstract:
  A simple two-period switching cost model is developed and analyzed
 assuming durable output. The analysis indicates that many of the
 conventional managerial implications of the switching cost literature need
 not hold if products are durable. In particular, the model indicates that
 managers of durable goods firms that lease or rent output may wish to
 decrease their customer base (provide service to only a subset of the
 experienced customers) in future periods, in contrast to the non-durable
 goods case where the number of customers served is the same. Moreover, the
 model shows that the optimal behavior of sellers of durable products
 depends critically upon their commitment ability with buyers, and outlines
 the conditions under which a manager selling output may rationally expand
 their customer base (i.e. sell to new customers in a future period). 
Journal: International Journal of the Economics of Business 
Pages: 201-212 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: Switching costs; Durable goods, JEL classifications: D4, LI, M2, 
X-DOI: 10.1080/758528453 
File-URL: http://www.tandfonline.com/10.1080/758528453 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:201-212




Template-Type: ReDIF-Article 1.0
Author-Name: Mike Adams 
Author-X-Name-First: Mike 
Author-X-Name-Last: Adams 
Title: Choice of Distribution System in the New Zealand Life Insurance Industry 
Abstract:
  Using 1988-93 panel data drawn from the New Zealand life insurance
 industry, this paper examines empirically the notion that the choice of
 distribution system is an efficient contracting solution to incentive
 conflicts between owners, managers and sales agents in life insurance
 firms. Consistent with what was hypothesised, the empirical results
 suggest that choice of distribution system is distinguished by
 organisational form, firm size, and sales commission. However, contrary to
 expectations, the variables representing product diversity and asset
 specificity were found not to be statistically significant. The empirical
 results thus lend mixed support for prior predictions. 
Journal: International Journal of the Economics of Business 
Pages: 213-226 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: New institutional economics; Life insurance; Distribution system; New Zealand, JEL classifications: G22, L22, M21, 
X-DOI: 10.1080/758528454 
File-URL: http://www.tandfonline.com/10.1080/758528454 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:213-226




Template-Type: ReDIF-Article 1.0
Author-Name: James Love 
Author-X-Name-First: James 
Author-X-Name-Last: Love 
Author-Name: Frank Stephen 
Author-X-Name-First: Frank 
Author-X-Name-Last: Stephen 
Title: Advertising, Price and Quality in Self-regulating Professions: A Survey 
Abstract:
  This paper surveys the theoretical and empirical literature on the
 relationship between advertising, fees and quality in the self-regulating
 professions. Much of the literature is derived from the perspective of
 advertising as an information-enhancing device, helping to reduce the
 information asymmetry between professional and client. This is consistent
 with the majority of the empirical studies which suggest that advertising
 tends to have a downward effect on professional fees, with little if any
 adverse effect on quality. There are, however, important issues of method
 and measurement which may lessen the force of this conclusion 
Journal: International Journal of the Economics of Business 
Pages: 227-248 
Issue: 2 
Volume: 3 
Year: 1996 
Keywords: Advertising; Self-regulating professions; Price-quality interaction, JEL classifications: L15, L43, L84, 
X-DOI: 10.1080/758528455 
File-URL: http://www.tandfonline.com/10.1080/758528455 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:227-248




Template-Type: ReDIF-Article 1.0
Author-Name: Neil Kay 
Author-X-Name-First: Neil 
Author-X-Name-Last: Kay 
Title: The Economics of Trust 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 249-260 
Issue: 2 
Volume: 3 
Year: 1996 
X-DOI: 10.1080/758528456 
File-URL: http://www.tandfonline.com/10.1080/758528456 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:2:p:249-260




Template-Type: ReDIF-Article 1.0
Author-Name: Derek Bosworth 
Author-X-Name-First: Derek 
Author-X-Name-Last: Bosworth 
Title: Determinants of the Use of Advanced Technologies 
Abstract:
  There is an extensive literature about the influences on the adoption of
 new technologies. However, while we often assert the role of
 qualifications and skills in the innovation and diffusion processes, there
 has been little formal econometric work in this area. One of the key
 reasons for this is the lack of information about human capital in firm
 accounts, at all levels of the organisation, including the top executive
 and board of directors. This paper draws on a large, firm level data set
 to explore the linkages between the adoption and use of 13 advanced
 technologies and the qualification and skill structure of the enterprise.
 In addition, it provides a number of further insights about the effects of
 ownership, firm size and industry structure. 
Journal: International Journal of the Economics of Business 
Pages: 269-293 
Issue: 3 
Volume: 3 
Year: 1996 
Keywords: Innovation; Diffusion; Advanced technologies; Qualifications; Skills; Industrial structure; Goals of the firm, JEL classification: L11, L23, O33, 
X-DOI: 10.1080/758539567 
File-URL: http://www.tandfonline.com/10.1080/758539567 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:269-293




Template-Type: ReDIF-Article 1.0
Author-Name: Jose Mata 
Author-X-Name-First: Jose 
Author-X-Name-Last: Mata 
Author-Name: Banco de Portugal 
Author-X-Name-First: Banco 
Author-X-Name-Last: de Portugal 
Title: Business Conditions and Business Starts 
Abstract:
  This paper analyses the effect of business conditions on new firm starts.
 The birth of new firms displays a pro-cyclical behaviour, more firms being
 created when GDP is growing fast and the interest rate is low. The entry
 response to industry profitability is tempered by the level of sunk costs;
 for a given profit signal, more entry occurs where sunk costs are low. 
Journal: International Journal of the Economics of Business 
Pages: 295-306 
Issue: 3 
Volume: 3 
Year: 1996 
Keywords: Entry; Business starts; Sunk costs. JEL classifications: Lll, L60, 
X-DOI: 10.1080/758539568 
File-URL: http://www.tandfonline.com/10.1080/758539568 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:295-306




Template-Type: ReDIF-Article 1.0
Author-Name: Mark Casson 
Author-X-Name-First: Mark 
Author-X-Name-Last: Casson 
Author-Name: Nigel Wadeson 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Wadeson 
Title: Information Strategies and the Theory of the Firm 
Abstract:
  Information costs play a key role in determining the relative efficiency
 of alternative organisational structures. The choice of locations at which
 information is stored in a firm is an important determinant of its
 information costs. A specific example of information use is modelled in
 order to explore what factors determine whether information should be
 stored centrally or locally and if it should be replicated at different
 sites. This provides insights into why firms are structured
 hierarchically, with some decisions and tasks being performed centrally
 and others at different levels of decentralisation. The effects of new
 information technologies are also discussed. These can radically alter the
 patterns and levels of information costs within a firm and so can cause
 substantial changes in organisational structure 
Journal: International Journal of the Economics of Business 
Pages: 307-330 
Issue: 3 
Volume: 3 
Year: 1996 
Keywords: Information; Firm; Organisation; Hierarchy; Decision, JEL classification: L20, 
X-DOI: 10.1080/758539569 
File-URL: http://www.tandfonline.com/10.1080/758539569 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:307-330




Template-Type: ReDIF-Article 1.0
Author-Name: Kimya Kamshad 
Author-X-Name-First: Kimya 
Author-X-Name-Last: Kamshad 
Title: The Dynamics of Firm Growth and Survival Under Alternative Forms of Control 
Abstract:
  The publication of the passive learning model of Jovanovic [Jovanic, B.,
 "Selection and the Evolution of Industry," Econometrica, 1982, 60,
 649-670.] initiated a resurgence of interest in firm growth and survival
 processes. Yet all the recent work has focused on the profit maximizing
 firm, without considering how robust the results are to alternative forms
 of control. This paper applies the model to the case of the labour managed
 firm, a type of firm studied extensively for its divergent behaviour from
 profit maximising firms. The findings indicate that Jovanovic's key
 predictions are rendered indeterminate under labour management, although
 there is evidence to show that the actual empirical relationships continue
 to hold. In considering possible explanations for the breakdown of the
 results, we conclude that the Jovanovic model overemphasizes institutional
 structure to the neglect of more fundamental determinants of growth and
 survival.midt, Paul Geroski and an anonymous referee for helpful comments
 and discussions. Any remaining errors are my own. 
Journal: International Journal of the Economics of Business 
Pages: 331-341 
Issue: 3 
Volume: 3 
Year: 1996 
Keywords: Firm growth; Survival; Labour management; Passive learning., JEL classifications: C61, D21, D73 D9, J54, L2, P13, 
X-DOI: 10.1080/758539570 
File-URL: http://www.tandfonline.com/10.1080/758539570 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:331-341




Template-Type: ReDIF-Article 1.0
Author-Name: Hans Gersbach 
Author-X-Name-First: Hans 
Author-X-Name-Last: Gersbach 
Title: Vertical Relationships in the Automotive Industry: Do They Matter? 
Abstract:
  In this note we examine how vertical relationships are related to the
 efficiency of the operations in the automotive production chain. We first
 provide an overview of the nature of supplier arrangements by comparing
 current practices in the countries Japan, US, and Germany. Current best
 practices show that vertical linkages in the automotive industry have
 shifted away from simple market transactions and now involve closer
 long-term interactions coupled however with subtle incentive elements. We
 outline the economic issues which are present in vertical relationships
 and include a brief account of differing theoretical perspectives. Then,
 we use a refined methodology to measure productivity at the industry level
 for the supplier industries automotive parts and metalworking and for the
 final assembly industry. It turns out that Japanese industries achieve the
 highest productivity level at the supplier and at the assembly level. We
 interpret the empirical results and relate the differences in vertical
 arrangemen s with the efficiency of both parts in the relation. 
Journal: International Journal of the Economics of Business 
Pages: 343-350 
Issue: 3 
Volume: 3 
Year: 1996 
Keywords: Automobiles; Vertical relationships; Productivity performance., JEL Classification: L10, L14, L22, L62, 
X-DOI: 10.1080/758539571 
File-URL: http://www.tandfonline.com/10.1080/758539571 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:343-350




Template-Type: ReDIF-Article 1.0
Author-Name: Mick Silver 
Author-X-Name-First: Mick 
Author-X-Name-Last: Silver 
Title: Quality, Prices and Hedonics 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 351-366 
Issue: 3 
Volume: 3 
Year: 1996 
X-DOI: 10.1080/758539572 
File-URL: http://www.tandfonline.com/10.1080/758539572 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:351-366




Template-Type: ReDIF-Article 1.0
Author-Name: Nemat Shafik 
Author-X-Name-First: Nemat 
Author-X-Name-Last: Shafik 
Title: Selling Privatization Politically 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 367-378 
Issue: 3 
Volume: 3 
Year: 1996 
X-DOI: 10.1080/758539573 
File-URL: http://www.tandfonline.com/10.1080/758539573 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:367-378




Template-Type: ReDIF-Article 1.0
Author-Name: Roger Clarke 
Author-X-Name-First: Roger 
Author-X-Name-Last: Clarke 
Title: Regulation and Competition in Electricity: A Review of M. A. Einhorn, ed., From Regulation to Competition: Nezv Frontiers in Electricity Markets 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 379-384 
Issue: 3 
Volume: 3 
Year: 1996 
X-DOI: 10.1080/758539574 
File-URL: http://www.tandfonline.com/10.1080/758539574 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:3:y:1996:i:3:p:379-384




Template-Type: ReDIF-Article 1.0
Author-Name: Timothy Sorenson 
Author-X-Name-First: Timothy 
Author-X-Name-Last: Sorenson 
Title: Minimal Differentiation at the Top 
Abstract:
  Rooted in the economics of industrial organization, the principle of
 differentiation ranks as one of the fundamental tenets of competitive
 strategy. However, while differentiation may be an intuitive means of
 averting vigorous price competition, casual observation reveals that firms
 often sell similar, if not perfectly identical, product features. This
 paper examines the effect of (possibly tacitly) collusive pricing on
 product location choices in a vertical differentiation framework: when
 firms are able to successfully collude on price, they minimally
 differentiate at the top of the vertical spectrum. While firms jointly
 earn first-best profits, overall welfare is unambiguously lower. 
Journal: International Journal of the Economics of Business 
Pages: 5-20 
Issue: 1 
Volume: 4 
Year: 1997 
Keywords: Production location; Vertical differentation; Collusice Pricing; Collusion., JEL classification: LI3, 
X-DOI: 10.1080/758532190 
File-URL: http://www.tandfonline.com/10.1080/758532190 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:5-20




Template-Type: ReDIF-Article 1.0
Author-Name: Donald George 
Author-X-Name-First: Donald 
Author-X-Name-Last: George 
Title: Production, Quality and Markets 
Abstract:
  The quality of output is of great concern to firms, consumers and
 regulators and yet firms' decisions concerning quality receive far less
 attention from economists than quantity or pricing decisions. There is a
 substantial management literature on product quality which, to some
 extent, discusses the costs and benefits of various approaches to product
 quality, but does not provide a theoretical explanation of the firm's
 quality decisions. The model presented here incorporates production,
 quality control, warranty and pricing decisions into the firm's overall
 (expected) profit maximising behaviour. Both competitive and monopolistic
 markets are considered. 
Journal: International Journal of the Economics of Business 
Pages: 21-31 
Issue: 1 
Volume: 4 
Year: 1997 
Keywords: Quality; Management; Warranties, JEL Classification: D21, D82, L14, L15, M21, 
X-DOI: 10.1080/758532191 
File-URL: http://www.tandfonline.com/10.1080/758532191 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:21-31




Template-Type: ReDIF-Article 1.0
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Title: The Nonequivalence of Vertical Merger and Exclusive Dealing 
Abstract:
  The economic and legal view of vertical integration has varied over time,
 but, a constant source of concern is the fear that the integrated firm
 will foreclose competitors from intermediate markets. At the same time,
 most commentators have considered the economics of vertical contracts,
 especially exclusive dealing, to be essentially identical to vertical
 merger. Using the simple model of Comanor and Freeh [Comanor, William S.
 and Freeh, H.E., III, "The Competitive Effects of Vertical
 Agreements?" American Economic Review, June 1985, 75, 3, 539-46],
 it is shown that vertical mergers and exclusive dealing contracts are not
 behaviorally equivalent. In particular, vertical mergers will not lead to
 foreclosure of rivals for anticompetitive reasons, while ordinary
 exclusive dealing contracts will lead to such anticompetitive foreclosure.
 Vertical mergers avoid certain externalities that exclusive dealing
 contracts create. In this model, vertical mergers can only cause
 anticompetitive problems through their horizol aspects, by creating a
 monopoly of distributors. Of course, merger can always be mimicked by a
 complex enough contract between nominally independent parties. In this
 model, the contracts that mimic the merger require two parties to agree on
 the price of a third party's products and are particularly subject to
 being undermined by price-cutting. Thus, it is likely to be uncommon. 
Journal: International Journal of the Economics of Business 
Pages: 33-50 
Issue: 1 
Volume: 4 
Year: 1997 
Keywords: Vertical, Foreclosure, Contracts, Mergers, Restrictions, 
X-DOI: 10.1080/758532192 
File-URL: http://www.tandfonline.com/10.1080/758532192 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:33-50




Template-Type: ReDIF-Article 1.0
Author-Name: Gil Epstein 
Author-X-Name-First: Gil 
Author-X-Name-Last: Epstein 
Author-Name: Uriel Spiegel 
Author-X-Name-First: Uriel 
Author-X-Name-Last: Spiegel 
Title: Monitoring within the Firm and Manager Relations 
Abstract:
  Many managers face the problem of employee assessment. Face to face
 meetings are the only source of basic information concerning employee
 activity and productivity. This unavoidable situation creates an opening
 for dishonest and misleading behavior whereby employees invest in 'manager
 relations' and misrepresent their actual contribution to total output.
 Furthermore, employees who have an advantage in creating favorable
 'manager relations' force others who are less accomplished in creating
 'manager relations' to invest time in this activity. Their purpose being
 to correct unjust income distribution. However, these activities lead to a
 reduction in productivity and consequently to a loss of total production
 and income. 
Journal: International Journal of the Economics of Business 
Pages: 51-61 
Issue: 1 
Volume: 4 
Year: 1997 
Keywords: Manager relations, Influence costs, JEL classifications: D23, L14, L22, 
X-DOI: 10.1080/758532193 
File-URL: http://www.tandfonline.com/10.1080/758532193 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:51-61




Template-Type: ReDIF-Article 1.0
Author-Name: Kenneth Danger 
Author-X-Name-First: Kenneth 
Author-X-Name-Last: Danger 
Title: Nonprofit Hospital Mergers: What can we Learn from Financial Markets? 
Abstract:
  Antitrust challenges to hospital mergers have become increasingly common.
 Empirical studies of hospital prices and costs have generally utilized
 static measures of concentration and accounting data. This study avoids
 the difficulties that surround such approaches. Instead, this study seeks
 an answer to the question; what can we learn about nonprofit hospital
 mergers from capital market data? The results indicate that the effects of
 nonprofit hospital mergers are anti-competitive but also small. They
 cannot be distinguished from either zero or from the effects of
 profit-seeking mergers. However the results are precise enough to reject
 previous findings claiming that nonprofit hospital mergers lead to large
 price decreases. 
Journal: International Journal of the Economics of Business 
Pages: 63-69 
Issue: 1 
Volume: 4 
Year: 1997 
Keywords: Nonprofit hospital mergers; Imperfect competition; Profits, JEL classification: 111, L31, L44, L13, 
X-DOI: 10.1080/758532194 
File-URL: http://www.tandfonline.com/10.1080/758532194 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:63-69




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Kitson 
Author-X-Name-First: Michael 
Author-X-Name-Last: Kitson 
Author-Name: Jonathan Michie 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Michie 
Title: Does Manufacturing Matter? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 71-95 
Issue: 1 
Volume: 4 
Year: 1997 
X-DOI: 10.1080/758532195 
File-URL: http://www.tandfonline.com/10.1080/758532195 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:71-95




Template-Type: ReDIF-Article 1.0
Author-Name: Derek Bosworth 
Author-X-Name-First: Derek 
Author-X-Name-Last: Bosworth 
Title: Rivalry and Anticompetitive Practices 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 97-104 
Issue: 1 
Volume: 4 
Year: 1997 
X-DOI: 10.1080/758532196 
File-URL: http://www.tandfonline.com/10.1080/758532196 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:1:p:97-104




Template-Type: ReDIF-Article 1.0
Author-Name: Leola Ross 
Author-X-Name-First: Leola 
Author-X-Name-Last: Ross 
Title: When Will an Airline Stand Its Ground? An Analysis of Fare Wars 
Abstract:
  The research presented in this paper focuses on the recent onset of price
 wars in the airline industry while accommodating multimarket contact,
 multiple products, and a dispersed price distribution. An important
 innovation in this study is in developing a price war definition using a
 rank dominance criterion. A second innovation is the extension of a probit
 model to a bivariate probit, which assesses the behavior of multimarket
 firms after a price war occurs. In particular, a carrier may choose to
 stay and fight when a price war erupts or may simply leave a route.
 Carriers will engage in fare wars when market shares change, higher
 elasticity customers patron the route, and load factors drop. Carriers
 will leave routes after a fare war when offering service to another
 carrier's hub but will remain steadfast in their own spheres of influence. 
Journal: International Journal of the Economics of Business 
Pages: 109-127 
Issue: 2 
Volume: 4 
Year: 1997 
Keywords: Price wars; Airline industry studies; Multimarket contact, JEL classifications: LI3, L93, 
X-DOI: 10.1080/758516223 
File-URL: http://www.tandfonline.com/10.1080/758516223 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:109-127




Template-Type: ReDIF-Article 1.0
Author-Name: Hans-Jurgen Engelbrecht 
Author-X-Name-First: Hans-Jurgen 
Author-X-Name-Last: Engelbrecht 
Title: Corporate Bureaucracies and United States Competitiveness 
Abstract:
  Two features of the US manufacturing sector during the 1980s are its
 increased openness to international trade and the rise in nonproduction
 employment relative to production employment. The latter seems to be due
 to technological change and/or organisational 'fat'. In this study, the
 hypothesis that the 'organisational factor' is an important determinant of
 US export competitiveness and trade in manufactures is tested using
 industry panel data for 1985-89. The empirical results indicate that,
 while conventional trade determinants like human and physical capital
 intensity are still important, technology in both the narrow and wider
 sense, i.e. R&D intensity and organisational technology, seems to be the
 major determinant. It is found that large nonproduction employment had a
 detrimental effect on US export competitiveness. This seems to provide an
 explanation for the large white-collar layoffs observed since the late
 1980s. 
Journal: International Journal of the Economics of Business 
Pages: 129-154 
Issue: 2 
Volume: 4 
Year: 1997 
Keywords: Corporate bureaucracies; Organisational efficiency; Export competitiveness; United States, JEL classification numbers: F14, L60, 
X-DOI: 10.1080/758516224 
File-URL: http://www.tandfonline.com/10.1080/758516224 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:129-154




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Holl 
Author-X-Name-First: Peter 
Author-X-Name-Last: Holl 
Author-Name: Xeni Dassiou 
Author-X-Name-First: Xeni 
Author-X-Name-Last: Dassiou 
Author-Name: Dimitris Kyriazis 
Author-X-Name-First: Dimitris 
Author-X-Name-Last: Kyriazis 
Title: Testing for Asymmetric Information Effects in Failed Mergers 
Abstract:
  In this paper we report the results of an empirical investigation based
 on a sample of 105 failed merger bids that occurred in the UK in the
 1980's. We find that target firms report large, significant, positive
 gains after the bid while bidder firms report large, significant, negative
 gains. We also find that these returns are affected by the extent to which
 the bidder and target firms are related. In related bids target returns
 are significantly lower and bidder returns are significantly more negative
 than in unrelated bids. We conclude that these results are consistent with
 an information based explanation of merger activity. 
Journal: International Journal of the Economics of Business 
Pages: 155-172 
Issue: 2 
Volume: 4 
Year: 1997 
Keywords: Failed mergers; Asymmetric information; Event study, JEL classification: D82, G34, 
X-DOI: 10.1080/758516225 
File-URL: http://www.tandfonline.com/10.1080/758516225 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:155-172




Template-Type: ReDIF-Article 1.0
Author-Name: Hariolf Grupp 
Author-X-Name-First: Hariolf 
Author-X-Name-Last: Grupp 
Title: External Effects as a Microeconomic Determinant of Innovation Efficiency 
Abstract:
  Recent studies point to the significant effects unintended technological
 spillover has on profits, market value and patent output of enterprises.
 The public good character relates not only to technology, but also to
 (public) science. The paper introduces a new data source on German
 businesses making possible new variables for innovation, spillover,
 investment and competition. By employing Data Envelopment Analysis (DEA),
 innovation efficiency and the role of externalities is modelled and
 explained. For this sample, neither advantages nor disadvantages in
 innovation efficiency are found on the part of large firms. This
 emphasises the fragility of the size hypothesis in industrial economics.
 Instead, the firms with more activity in interconnected, spilling-over
 technologies are the efficient ones. The benefits from appropriation of
 spillovers seem to outweigh- any unintended losses of know-how to
 competitors 
Journal: International Journal of the Economics of Business 
Pages: 173-188 
Issue: 2 
Volume: 4 
Year: 1997 
Keywords: Innovation efficiency; Spillovers; Competition; Profitability; DEA, JEL classification: O31, L21, H4, O33, 
X-DOI: 10.1080/758516226 
File-URL: http://www.tandfonline.com/10.1080/758516226 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:173-188




Template-Type: ReDIF-Article 1.0
Author-Name: Rajeev Dhawan 
Author-X-Name-First: Rajeev 
Author-X-Name-Last: Dhawan 
Title: Asymmetric Information and Debt Financing: Hie Empirical Importance of Size and Balance Sheet Factors 
Abstract:
  In an environment with asymmetric information regarding the outcome of
 investment activities, the premium on external funds is dependent upon a
 borrower's financial characteristics. Consequently, a borrower's need for
 funds and accessibility to the desired amount is interlinked. Using panel
 data over the 1970-89 period, this study finds that a firm's existing
 level of indebtedness reduces its current net issuance of long term debt.
 Bigger firm size, higher net worth and a lower sales to asset ratio
 alleviate this negative effect. The results suggest that the notion of a
 stronger balance sheet, which governs a firm's access to the capital
 market, should be extended to include the non-financial sales to asset
 ratio variable. 
Journal: International Journal of the Economics of Business 
Pages: 189-202 
Issue: 2 
Volume: 4 
Year: 1997 
Keywords: Asymmetric information; Tobin's q; Fixed effects; net worth; Liquidity; Balance sheet, JEL classifications: D82, E22, 
X-DOI: 10.1080/758516227 
File-URL: http://www.tandfonline.com/10.1080/758516227 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:189-202




Template-Type: ReDIF-Article 1.0
Author-Name: Li Way Lee 
Author-X-Name-First: Li Way 
Author-X-Name-Last: Lee 
Title: Persuasive Advertizing and Socialization 
Abstract:
  In markets where consumption is socialized, persuasive advertizing can
 change consumption by affecting socialization, rather than taste or price.
 The paper develops an explanation of persuasive advertizing in such
 markets and notes its particularly simple welfare implications. The paper
 then presents evidence that the pattern of beer consumption during
 Prohibition is consistent with the hypothesis that consumption depends on
 socialization and persuasive advertizing 
Journal: International Journal of the Economics of Business 
Pages: 203-214 
Issue: 2 
Volume: 4 
Year: 1997 
Keywords: Persuasive advertizing; Socialization; Bandwagon; Beer drinking; Prohibition; Welfare, JEL classification: Dll, 118, L66, 
X-DOI: 10.1080/758516228 
File-URL: http://www.tandfonline.com/10.1080/758516228 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:203-214




Template-Type: ReDIF-Article 1.0
Author-Name: P. A. Geroski 
Author-X-Name-First: P. A. 
Author-X-Name-Last: Geroski 
Title: What Can Economics Offer Strategy? A Review of: D. Besanko, D. Dranove and M. Shanley Economics of Strategy 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 215-227 
Issue: 2 
Volume: 4 
Year: 1997 
X-DOI: 10.1080/758516229 
File-URL: http://www.tandfonline.com/10.1080/758516229 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:2:p:215-227




Template-Type: ReDIF-Article 1.0
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Title: Introduction 
Abstract:
  This symposium is organized around a major, ongoing, antitrust case, In
 re: Brand Name Prescription Drugs Antitrust Litigation, MDL-997, Master
 File No.94C 897(Us Federal Court for the Northern District of Illinois).
 As one can see, this case involves fascinating scientific and policy
 issues, such as pharmaceutical and healthcare innovation, price
 discrimination and intellectual property. This symposium is an example of
 the Journal 's effort to encourage the publication of economic analyses on
 litigation and regulation 
Journal: International Journal of the Economics of Business 
Pages: 237-238 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Pharmaceutical industry; Price discrimination; Health care; Antitrust, JEL classifications: K21, L42, L65, 111, 
X-DOI: 10.1080/758523204 
File-URL: http://www.tandfonline.com/10.1080/758523204 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:237-238




Template-Type: ReDIF-Article 1.0
Author-Name: F. M. Scherer 
Author-X-Name-First: F. M. 
Author-X-Name-Last: Scherer 
Title: How US Antitrust Can Go Astray: The Brand Name Prescription Drug Litigation 
Abstract:
  This paper analyzes the substantive issues in a US antitrust case under
 which retail pharmacists alleged that drug manufacturers conspired to
 avoid granting the retailers discounts that were offered to health
 maintenance organizations (HMOs). The HMOs are viewed as an innovative
 means of delivering health care to consumers at lower cost. They elicited
 discounts by credibly threatening to exclude manufacturers' drugs unless
 price concessions were offered &#x2014; a strategy drug retailers were
 unable or unwilling to pursue. In challenging those discounts, the retail
 pharmacists pursued their traditional strategy of using governmental power
 to oppose innovations that squeezed their price/cost margins and reduced
 drug prices to consumers. The evidence of manufacturer conspiracy appears
 to have been ephemeral at best, and the litigation appears more likely to
 have reduced competition and consumer welfare than enhancing it 
Journal: International Journal of the Economics of Business 
Pages: 239-256 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Pharmaceuticals industry; Retail pharmacies; Antitrust policy; Price discrimination; Health care, JEL classifications: K21, L41, L65, 111, 
X-DOI: 10.1080/758523205 
File-URL: http://www.tandfonline.com/10.1080/758523205 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:239-256




Template-Type: ReDIF-Article 1.0
Author-Name: Roy Weinstein 
Author-X-Name-First: Roy 
Author-X-Name-Last: Weinstein 
Author-Name: John Culbertson 
Author-X-Name-First: John 
Author-X-Name-Last: Culbertson 
Title: How US Antitrust Can Be On Target: The Brand-Name Prescription Drug Litigation 
Abstract:
  Retail pharmacies have alleged that sellers of brand-name Pharmaceuticals
 illegally agreed not to sell at discounted prices to retail pharmacies. In
 this paper, we analyze the theory offered by defendants that their price
 discrimination can be explained as independent, profit-maximizing conduct,
 not collusion. The court, in a preliminary decision found evidence of
 illegal agreements among sellers of brand-name pharmaceuti-cals. We
 conclude that the theory of independent action ultimately fails as an
 explanation for this price discrimination 
Journal: International Journal of the Economics of Business 
Pages: 257-264 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Collusion; Price discrimination; Pharmaceuticals, JEL classifications: L41, L65, 
X-DOI: 10.1080/758523206 
File-URL: http://www.tandfonline.com/10.1080/758523206 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:257-264




Template-Type: ReDIF-Article 1.0
Author-Name: Jeffery Harrison 
Author-X-Name-First: Jeffery 
Author-X-Name-Last: Harrison 
Title: The Brand Name Prescription Drug Litigation:Comments on Scherer 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 265-270 
Issue: 3 
Volume: 4 
Year: 1997 
X-DOI: 10.1080/758523207 
File-URL: http://www.tandfonline.com/10.1080/758523207 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:265-270




Template-Type: ReDIF-Article 1.0
Author-Name: Henry Zaretsky 
Author-X-Name-First: Henry 
Author-X-Name-Last: Zaretsky 
Title: Comment on: F.M. Scherer, "How US Antitrust Can Go Astray: The Brand Name Prescription Drug Litigation 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 271-275 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Drug manufacturers; Retail pharmacies; Price discrimination; Health-care competition; Managed care; Antitrust, JEL classifications: K21, L41,'L65, 111, 
X-DOI: 10.1080/758523208 
File-URL: http://www.tandfonline.com/10.1080/758523208 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:271-275




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Zweifel 
Author-X-Name-First: Peter 
Author-X-Name-Last: Zweifel 
Title: Comment on: F.M. Scherer, "How US Antitrust Can Go Astray: The Brand Name Prescription Drug Litigation" 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 277-278 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Antitrust policy; Price discrimination; Patent protection; Pharmaceutical industry, JEL classifications: K21, L41, Kll, L65, 
X-DOI: 10.1080/758523209 
File-URL: http://www.tandfonline.com/10.1080/758523209 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:277-278




Template-Type: ReDIF-Article 1.0
Author-Name: W. Duncan Reekie 
Author-X-Name-First: W. Duncan 
Author-X-Name-Last: Reekie 
Title: Cartels, Spontaneous Price Discrimination and International Pharmacy Retailing 
Abstract:
  This paper examines the nature of pharmacy retail distribution in several
 different countries. Evidence in the market place supports the view that
 innovations in distribution technology are or could be plentiful;
 conversely, because of institutional rigidities bolstered by law, retail
 pharmacists in many countries are successfully participating in a
 cartel-like environment where those innovations are retarded. The outcome
 is often perverse. Retailers do not achieve economies of scale (a common
 argument in favour of cartels), while consumers do not experience the
 lower prices resulting from inter-firm rivalry (a common argument in
 favour of diffuse ownership) 
Journal: International Journal of the Economics of Business 
Pages: 279-285 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Pharmaceutical industry; Retail pharmacies; Antitrust policy; Health care, JEL classifications: K21, L41, L65, I11, 
X-DOI: 10.1080/758523210 
File-URL: http://www.tandfonline.com/10.1080/758523210 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:279-285




Template-Type: ReDIF-Article 1.0
Author-Name: Kenneth Elzinga 
Author-X-Name-First: Kenneth 
Author-X-Name-Last: Elzinga 
Author-Name: David Mills 
Author-X-Name-First: David 
Author-X-Name-Last: Mills 
Title: The Distribution and Pricing of Prescription Drugs 
Abstract:
  Scherer (Scherer, F.M., "How US Antitrust Can Go Astray: The Brand Name
 Prescription Drug Litigation", International Journal of the Economics of
 Business, 1997, 4, 3, 000-000) uses the conventional economic model of
 third-degree price discrimination to analyze the pharmaceutical industry's
 practice of selling prescription drugs at discounted prices to hospitals
 and managed care entities. In this framework, prescription drug discounts
 appear to make some consumers (those in the managed care sector) better
 off and other consumers (those outside the managed care sector) worse off.
 While illuminating, this analysis neglects two important aspects of
 pharmaceutical pricing. First, it neglects the active role hospitals and
 managed care organizations play in making the demand for drugs more
 elastic. Second, the sellers of prescription drugs, as a rule, are
 oligopolists, not monopolists as the price discrimination model assumes.
 In this paper, we incorporate these two characteristics of pharmaceutical
 markets in an analysis of prescription drug pricing and conclude that
 discounts increase consumer welfare in the managed care sector but do not
 reduce consumer welfare in the traditional retail pharmacy sector 
Journal: International Journal of the Economics of Business 
Pages: 287-300 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Pharmaceutical industry; Price discrimination; Prescription drug pricing; Managed care, JEL classifications: D40, L40, L65, 
X-DOI: 10.1080/758523211 
File-URL: http://www.tandfonline.com/10.1080/758523211 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:287-300




Template-Type: ReDIF-Article 1.0
Author-Name: Patricia Danzon 
Author-X-Name-First: Patricia 
Author-X-Name-Last: Danzon 
Title: Price Discrimination for Pharmaceuticals: Welfare Effects in the US and the EU 
Abstract:
  Standard analysis of the welfare effects of price discrimination for
 pharma-ceuticals (Scherer, F.M., "How US Antitrust Can Go Astray: The
 Brand Name Prescription Drug Litigation", International Journal of
 Business and Economics, 1997, 4, 3, 000-000) is incomplete because it
 presumes the optimality of marginal cost pricing, ignoring the sunk costs
 of R&D. Pharmaceutical R&D is a global joint cost of serving all consumers
 worldwide; it accounts for roughly 30% of total costs. Ramsey pricing
 principles imply that differential pricing related to inverse demand
 elasticities is the second best optimal strategy to cover the joint costs.
 Actual price differentials to managed care customers in the US should
 roughly approximate Ramsey optimal differentials, in the absence of legal
 constraints. In the European Union (EU), traditional price differentials
 between countries are being undermined by parallel trade and regulation
 based on foreign prices. This break down of market segmentation leads
 manufacturers to adopt uniform prices EU-wide. Efficiency and distributive
 effects of such policies are probably negative. Monopsony is a more
 serious problem in the EU, hence actual price differentials may exceed
 Ramsey optimal differences. Confidential contracts between manufacturers
 and governments, including rebates off a common list price, would preserve
 ex post price differentials and should be consistent with EU law 
Journal: International Journal of the Economics of Business 
Pages: 301-322 
Issue: 3 
Volume: 4 
Year: 1997 
Keywords: Pharmaceutical industry; Price discrimination; Ramsey pricing; Antitrust policy; Parallel trade; Regulation, JEL classifications: L41, L51, L65, 111, K21, 
X-DOI: 10.1080/758523212 
File-URL: http://www.tandfonline.com/10.1080/758523212 
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Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:301-322




Template-Type: ReDIF-Article 1.0
Author-Name: W.Duncan Reekie 
Author-X-Name-First: W.Duncan 
Author-X-Name-Last: Reekie 
Title: Competition in Health Care: Is it Working? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 323-334 
Issue: 3 
Volume: 4 
Year: 1997 
X-DOI: 10.1080/758523213 
File-URL: http://www.tandfonline.com/10.1080/758523213 
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Handle: RePEc:taf:ijecbs:v:4:y:1997:i:3:p:323-334




Template-Type: ReDIF-Article 1.0
Author-Name: Mark Casson 
Author-X-Name-First: Mark 
Author-X-Name-Last: Casson 
Author-Name: Nigel Wadeson 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Wadeson 
Title: Communication Costs and the Boundaries of the Firm 
Abstract:
  Much has been written about where the boundaries of the firm are drawn,
 but little about what occurs at the boundaries themselves. When a firm
 subcontracts, does it inform its suppliers fully of what it requires, or
 is it willing to accept what they have available? In practice firms often
 engage in a dialogue, or conversation, with their suppliers, in which at
 first they set out their general requirements, and only when the supplier
 reports back on how these can be met are their more specific requirements
 set out. This paper models such conversations as a rational response to
 communication costs. The model is used to examine the impact of new
 information technology, such as CAD/CAM, on the conduct of subcontracting.
 It can also be used to examine its impact on the marketing activities of
 firms. The technique of analysis, which is based on the economic theory of
 teams, has more general applications too. It can be used to model all the
 forms of dialogue involved in the processes of coordination both within
 and between firms. 
Journal: International Journal of the Economics of Business 
Pages: 5-27 
Issue: 1 
Volume: 5 
Year: 1998 
Keywords: Communication, Firm, Information, Complexity, 
X-DOI: 10.1080/13571519884549 
File-URL: http://www.tandfonline.com/10.1080/13571519884549 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:5-27




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Taylor 
Author-X-Name-First: Peter 
Author-X-Name-Last: Taylor 
Title: Mixed Strategy Pricing Behaviour in the UK Package Tour Industry 
Abstract:
  In a market, such as that for package tours, in which products are weakly
 differentiated and information is fuzzy, consumers may adopt search
 behaviour such that effectively, they play mixed strategies in the
 selection of the product that they choose to purchase. Tour operators'
 best response to this behaviour is mixed strategy pricing. Mixed strategy
 pricing is likely to mean that the variances of prices will be different
 at different points during the season for each operator. A simple model is
 formulated to illustrate the sequence of moves and the behaviour of
 variances. Brochure data for the summer seasons of 1982 and 1995 is
 analysed to investigate whether variances differ at different times during
 the season and thus differ systematically with the level of demand. The
 weight of evidence generally supports the view that operators adopt mixed
 strategies when setting brochure prices, even if achieved unconsciously
 through the application of rules of thumb. Strong evidence is found of the
 form that one operator, at least, produced a pattern of variances that is
 statistically significant and that could not result from the method of
 analysis adopted in the paper or from an ad hoc allocation of its fixed
 costs. 
Journal: International Journal of the Economics of Business 
Pages: 29-46 
Issue: 1 
Volume: 5 
Year: 1998 
Keywords: Mixed-strategy Pricing, Package Tours, Hedonic Regression, 
X-DOI: 10.1080/13571519884558 
File-URL: http://www.tandfonline.com/10.1080/13571519884558 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:29-46




Template-Type: ReDIF-Article 1.0
Author-Name: Tommy Staahl Gabriel 
Author-X-Name-First: Tommy Staahl 
Author-X-Name-Last: Gabriel 
Author-Name: Lars Sorgard 
Author-X-Name-First: Lars 
Author-X-Name-Last: Sorgard 
Title: The Pro-competitive Effect of Two-Part Tariffs 
Abstract:
  Two producers delegate sales of differentiated products to common
 retailers, each with a monopoly position. Each producer can offer either a
 linear or a two-part tariff. In the single-period game each producer's
 dominant strategy is to use a two-part tariff. If the two producers'
 products are sufficiently close substitutes and the discount factor is
 sufficiently high, both producers offering linear tariffs can be sustained
 as an equilibrium outcome in an infinitely repeated game. 
Journal: International Journal of the Economics of Business 
Pages: 47-55 
Issue: 1 
Volume: 5 
Year: 1998 
Keywords: Delegation, Common Retailers, Vertical Restraints, Pricing Schemes, 
X-DOI: 10.1080/13571519884567 
File-URL: http://www.tandfonline.com/10.1080/13571519884567 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:47-55




Template-Type: ReDIF-Article 1.0
Author-Name: David Paton 
Author-X-Name-First: David 
Author-X-Name-Last: Paton 
Title: Who A dvertises Prices? A Firm Level Study Based on Survey Data 
Abstract:
  Recent years have seen a growing body of literature devoted to the
 analysis of price advertising. Much of this work argues that price
 advertising leads to lower prices and is likely to be welfare improving.
 The questions of how much price advertising takes place and which firms
 are more likely to include price information in advertising have been
 somewhat neglected. This paper uses a unique new data set of UK company
 advertising to answer these questions. The evidence presented suggests
 that only a small proportion of firms include price information in any of
 their advertisements. Price information tends to be included in a higher
 percentage of the advertisements of distribution companies and of those
 which face more than ten competitors. In addition, the importance of price
 as a form of competition is a factor in determining the inclusion of price
 information, but only where the firm aims most of its advertisements
 towards final consumers. 
Journal: International Journal of the Economics of Business 
Pages: 57-75 
Issue: 1 
Volume: 5 
Year: 1998 
Keywords: Advertising, Price, Search, Information, 
X-DOI: 10.1080/13571519884576 
File-URL: http://www.tandfonline.com/10.1080/13571519884576 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:57-75




Template-Type: ReDIF-Article 1.0
Author-Name: Ravi Ratnayake 
Author-X-Name-First: Ravi 
Author-X-Name-Last: Ratnayake 
Title: Do Stringent Environmental Regulations Reduce International Competitiveness? Evidence from an Inter-industry A nalysis 
Abstract:
  An increasing interest has emerged among policy makers and academics on
 the question "Do stringent environmental regulations lead to loss of
 international competitiveness in terms of declining exports and increasing
 imports compared with those from the countries which have lower
 environmental standards and regulations?". This paper examines this
 issue by conducting an inter-industry analysis of New Zealand
 manufacturing industries. By analysing the patterns and determinants of
 comparative advantage of 109 industries over the last 13 years, we found
 no strong evidence to suggest that environmental standards lead to loss of
 competitiveness. 
Journal: International Journal of the Economics of Business 
Pages: 77-96 
Issue: 1 
Volume: 5 
Year: 1998 
Keywords: Environmental Regulations, International Competitiveness, Exports And Imports, Inter-industry Analysis, 
X-DOI: 10.1080/13571519884585 
File-URL: http://www.tandfonline.com/10.1080/13571519884585 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:77-96




Template-Type: ReDIF-Article 1.0
Author-Name: Doris Neu Berger 
Author-X-Name-First: Doris Neu 
Author-X-Name-Last: Berger 
Title: Industrial Organization of Banking: A Review 
Abstract:
  Empirical research about structure, conduct and performance in banking
 markets has developed mostly independently from the microeconomic theory
 of banking. The present paper reviews the literature by focusing on the
 links between theoretical and empirical research. It considers basic
 conditions, variables of market structure, conduct and performance and
 public policy special to the banking industry. It is shown that the
 competitive conditions are different in different market segments, and
 that the trend towards universal banks which are active in different
 geographic markets gives new challenges to research. 
Journal: International Journal of the Economics of Business 
Pages: 97-118 
Issue: 1 
Volume: 5 
Year: 1998 
Keywords: Banking, Industrial Organization, Structure-conduct-performance Paradigm, Market Imperfections, Public Policy, 
X-DOI: 10.1080/13571519884594 
File-URL: http://www.tandfonline.com/10.1080/13571519884594 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:97-118




Template-Type: ReDIF-Article 1.0
Author-Name: Clement Krouse 
Author-X-Name-First: Clement 
Author-X-Name-Last: Krouse 
Title: Market Dominance: Competing Theories and A ntitrust Policy. A Review of Michael Utton, Market Dominance and Antitrust Policy 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 119-127 
Issue: 1 
Volume: 5 
Year: 1998 
X-DOI: 10.1080/13571519884602 
File-URL: http://www.tandfonline.com/10.1080/13571519884602 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:1:p:119-127




Template-Type: ReDIF-Article 1.0
Author-Name: Monica Noether 
Author-X-Name-First: Monica 
Author-X-Name-Last: Noether 
Title: Economic Issues in the Antitrust Assessment of Hospital Competition: Overview 
Abstract:
  Rapid consolidation in the hospital industry, as health care markets
 respond to consumer pressures for more cost-effective delivery of health
 care services, has focused increased attention on antitrust enforcement
 theories and actions. This paper reviews the Federal agency challenges of
 four recent hospital mergers that have all been denied by the courts, but
 for varying reasons. Questions raised include the appropriate definition
 of the product and geographic markets, the extent of realizable
 merger-specific efficiencies and the influence of non-profit status on
 hospital behavior. The lack of conclusive empirical economic evidence on
 these topics undoubtedly contributes to the current divergence of opinion
 among regulators, courts and hospitals. This paper also identifies how
 each of the subsequent papers in this special issue contributes valuable
 findings to inform the lively debate. 
Journal: International Journal of the Economics of Business 
Pages: 133-140 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Hospital Competition, Market Definition, Antitrust, 
X-DOI: 10.1080/13571519884477 
File-URL: http://www.tandfonline.com/10.1080/13571519884477 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:133-140




Template-Type: ReDIF-Article 1.0
Author-Name: John Simpson 
Author-X-Name-First: John 
Author-X-Name-Last: Simpson 
Author-Name: Richard Shin 
Author-X-Name-First: Richard 
Author-X-Name-Last: Shin 
Title: Do Nonprofit Hospitals Exercise Market Power? 
Abstract:
  Several theories of nonprofit hospitals behavior predict that nonprofit
 hospitals behave in the consumer interest and thus do not exercise market
 power. If these theories are correct, then antitrust enforcement of
 hospital mergers should be restricted only to those markets in which a
 nonprofit hospital cannot offset anticompetitive behavior by for-profit
 hospitals. In this paper, we examine the relationship between price and
 market concentration among nonprofit hospitals in California in 1993. We
 find that nonprofit hospitals set higher prices in more concentrated
 markets. This result suggests that antitrust enforcement should challenge
 those mergers of nonprofit hospitals that create market power without
 creating offsetting efficiencies. 
Journal: International Journal of the Economics of Business 
Pages: 141-157 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Nonprofit Hospitals, Merger, Antitrust, 
X-DOI: 10.1080/13571519884486 
File-URL: http://www.tandfonline.com/10.1080/13571519884486 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:141-157




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Connor 
Author-X-Name-First: Robert 
Author-X-Name-Last: Connor 
Author-Name: Roger Feldman 
Author-X-Name-First: Roger 
Author-X-Name-Last: Feldman 
Author-Name: Bryan Dowd 
Author-X-Name-First: Bryan 
Author-X-Name-Last: Dowd 
Title: The Effects of Market Concentration and Horizontal Mergers on Hospital Costs and Prices 
Abstract:
  Antitrust advocates believe that horizontal consolidation in hospital
 markets can reduce competition and increase prices while merger advocates
 believe it can benefit consumers by reducing service duplication. This
 study analyzed the market conditions, operating characteristics, and costs
 and prices of approximately 3500 short-term general hospitals (including
 112 within-market-area mergers) from 1986 to 1994 to investigate the
 effects of market concentration, hospital mergers, and managed care
 penetration. The results show: a shift away from non-price competition
 toward price competition in health care markets; that this shift was
 fueled by increased market penetration by price-sensitive buyers; that
 horizontal hospital mergers produced average cost savings of approximately
 5%, which were generally passed on to consumers as lower prices; that cost
 savings were generally greater for mergers of similar-size hospitals, with
 a higher degree of duplicative services, and with lower pre-merger
 occupancy rates; and some evidence that post-merger price reductions were
 smaller in less-competitive markets. 
Journal: International Journal of the Economics of Business 
Pages: 159-180 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Hospital Mergers, Antitrust, Competition, Market Concentration, Economies Of Scale, 
X-DOI: 10.1080/13571519884495 
File-URL: http://www.tandfonline.com/10.1080/13571519884495 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:159-180




Template-Type: ReDIF-Article 1.0
Author-Name: Seth Sacher 
Author-X-Name-First: Seth 
Author-X-Name-Last: Sacher 
Author-Name: Louis Silvia 
Author-X-Name-First: Louis 
Author-X-Name-Last: Silvia 
Title: Antitrust Issues in Defining the Product Market for Hospital Services 
Abstract:
  In this paper we examine the standard product market relied on by the
 courts and antitrust agencies in hospital mergers-acute care, inpatient
 services-and consider whether narrower or broader alternatives may be more
 appropriate to assess the competitive effects of a hospital merger. To
 examine how much disaggregation of the standard product market definition
 may matter for the definition of relevant geographic markets and
 concentration, we considered patient flows and concentration for the
 overall inpatient 'cluster' and more disaggregated categories of service
 for two regions of California: San Luis Obispo and Sacramento. We find
 that a disaggregated approach may involve a relatively small number of
 inpatient service categories, that the overall cluster masked some
 variability in the underlying patient flows by service category, and that
 in San Luis Obispo, the overall cluster masked considerable detail in
 concentration at the service category level, which appeared to have been
 much less true in Sacramento. 
Journal: International Journal of the Economics of Business 
Pages: 181-202 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Antitrust, Hospitals, Healthcare, Market Definition, 
X-DOI: 10.1080/13571519884503 
File-URL: http://www.tandfonline.com/10.1080/13571519884503 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:181-202




Template-Type: ReDIF-Article 1.0
Author-Name: William White 
Author-X-Name-First: William 
Author-X-Name-Last: White 
Author-Name: Michael Morrisey 
Author-X-Name-First: Michael 
Author-X-Name-Last: Morrisey 
Title: Are Patients Traveling Further? 
Abstract:
  Managed care has been hypothesized to increase patient travel for health
 care services by steering patients to more distant providers. This raises
 access concerns. However, if the result is to expand the geographic extent
 of provider markets, this may ease antitrust concerns about mergers. This
 research compares travel distances for patients discharged from California
 hospitals in 1985 and 1991 controlling for payor, diagnosis, and local
 market conditions. Privately insured patients were more likely to be in
 managed care than Medicare patients during this period. We expect travel
 distances to increase for private patients relative to Medicare patients
 if managed is leading to greater travel. However, for a random sample of
 patients excluding births and neonatal discharges, we find no evidence
 relative travel increased. Nor do we find a systematic pattern of increase
 when we examine travel for specific diagnoses selected on the basis of the
 urgency and complexity of care. 
Journal: International Journal of the Economics of Business 
Pages: 203-221 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Patient Travel, Market Definition, Antitrust, 
X-DOI: 10.1080/13571519884512 
File-URL: http://www.tandfonline.com/10.1080/13571519884512 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:203-221




Template-Type: ReDIF-Article 1.0
Author-Name: Joy Grossman 
Author-X-Name-First: Joy 
Author-X-Name-Last: Grossman 
Author-Name: Dwayne Banks 
Author-X-Name-First: Dwayne 
Author-X-Name-Last: Banks 
Title: Unrestricted Entry and Nonprice Competition: The Case of Technological Adoption in Hospitals 
Abstract:
  Medical technology adoption is a major contributor to rising health care
 expenditures in the US. Multiple market failures provide incentives for
 hospitals to adopt technologies. Unrestricted entry may result in excess
 capacity and reductions in output that are inefficient with respect to
 cost and quality. We analyze the effects of hospital entry in the market
 for coronary artery bypass graft surgery on the number of procedures
 performed at both the market and firm levels, using California data from
 1983 to 1990. We test the hypothesis that entry has differential effects
 on hospital output in a market with nonprice competition, depending on
 market structure. Results show that as the proximity of the nearest
 competitor increases with entry, hospital output declines. Holding
 distance to the nearest competitor constant, increasing the number of
 competitors results in a smaller, but still significant, decrease in
 output. When there are few incumbents nearby, however, output does not
 change significantly with entry, suggesting
 "business-augmenting" effects that result in increased physician
 referrals offset much of the conventional "businessstealing"
 effects. 
Journal: International Journal of the Economics of Business 
Pages: 223-245 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Hospital Competition, Medical Technology, Market Structure, Cabg, 
X-DOI: 10.1080/13571519884521 
File-URL: http://www.tandfonline.com/10.1080/13571519884521 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:223-245




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Zweifel 
Author-X-Name-First: Peter 
Author-X-Name-Last: Zweifel 
Title: Health Benefits at Work-A Review of Mark V. Pauly's, Health Benefits at Work. An Economic and Political Analysis of Employment-Based Health Insurance 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 247-251 
Issue: 2 
Volume: 5 
Year: 1998 
Keywords: Health Insurance, Employment-related Benefits, Agency Relationship, 
X-DOI: 10.1080/13571519884530 
File-URL: http://www.tandfonline.com/10.1080/13571519884530 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:247-251




Template-Type: ReDIF-Article 1.0
Author-Name: Jonathan Michie 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Michie 
Title: Introduction. The Internationalisation of the Innovation Process 
Abstract:
  The international economics of business and management has focused - both
 in the academic literature and in corporate and public policy discussions
 - increasingly on issues of globalisation, innovation and
 'competitiveness'. These issues, and in particular their interrelation,
 are analysed in detail in this Special Issue of the International Journal
 of the Economics of Business. This opening article aims to set the scene
 by considering how the rather distinct literatures around the above three
 topics can best be drawn upon in order to focus on what implications the
 new global economic environment has for the economics of business and
 public policy. 
Journal: International Journal of the Economics of Business 
Pages: 261-277 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Globalisation, Innovation, R&D, Technology Policy, Systems, Competitiveness, 
X-DOI: 10.1080/13571519884387 
File-URL: http://www.tandfonline.com/10.1080/13571519884387 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:261-277




Template-Type: ReDIF-Article 1.0
Author-Name: Jeremy Howells 
Author-X-Name-First: Jeremy 
Author-X-Name-Last: Howells 
Author-Name: Jonathan Michie 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Michie 
Title: Technological Competitiveness in an International Arena 
Abstract:
  This article takes a sceptical view of the 'globalisation of technology'
 literature. We suggest three elements to such technological globalisation.
 First, there is the geographical extent in terms of the spatial spread and
 intensity (or 'depth'). Secondly, there are 'sectoral' variations in the
 degree of technological globalisation. Lastly, there is the issue of the
 'temporal' extent of the globalisation of technology-when effectively did
 it first appear and what is the nature and extent of its subsequent
 development? With this framework, we find a far from uniform
 'globalisation'. Government policy at the national level remains
 important, we argue, in part because much of what is depicted as
 globalisation is very clearly inter-national. 
Journal: International Journal of the Economics of Business 
Pages: 279-293 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Technology, Competitiveness, Globalisation, Public Policy, 
X-DOI: 10.1080/13571519884396 
File-URL: http://www.tandfonline.com/10.1080/13571519884396 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:279-293




Template-Type: ReDIF-Article 1.0
Author-Name: Daniele Archibugi 
Author-X-Name-First: Daniele 
Author-X-Name-Last: Archibugi 
Author-Name: Roberto Simonetti 
Author-X-Name-First: Roberto 
Author-X-Name-Last: Simonetti 
Title: Objects and Subjects in Technological Interdependence. Towards a Framework to Monitor Innovation 
Abstract:
  Technology, even more than other aspects of economic life, is
 characterized by a strong interdependence across both sectors and
 organizations. However, we still know little about the determinants and
 impact of technological interdependence. The standard input-output
 analysis is unable to explain interdependence in technological life since
 a large proportion of innovations are either untraded or are disembodied
 from products. Innovations which are not appropriated by the innovators
 are not signalled by prices. Moreover, input-output tables do not
 systematically consider exchanges within economic organizations, such as
 firms. This paper proposes a more complex accounting framework for
 innovation which would monitor the technological field of the innovation
 and the product where it is used, as well as the producer-user
 interrelationship. 
Journal: International Journal of the Economics of Business 
Pages: 295-309 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Innovation, Technical Change, R&D, 
X-DOI: 10.1080/13571519884404 
File-URL: http://www.tandfonline.com/10.1080/13571519884404 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:295-309




Template-Type: ReDIF-Article 1.0
Author-Name: Rinaldo Evangelista 
Author-X-Name-First: Rinaldo 
Author-X-Name-Last: Evangelista 
Author-Name: Tore Sandven 
Author-X-Name-First: Tore 
Author-X-Name-Last: Sandven 
Author-Name: Giorgio Sirilli 
Author-X-Name-First: Giorgio 
Author-X-Name-Last: Sirilli 
Author-Name: Keith Smith 
Author-X-Name-First: Keith 
Author-X-Name-Last: Smith 
Title: Measuring Innovation in European Industry 
Abstract:
  This paper analyses the results of the 1993 Community Innovation Survey
 (CIS). Fifty per cent of European firms introduced a product or process
 innovation during 1990-92. The share of innovating firms varies between
 industrial sectors and firm size. The percentage of innovating firms is
 higher for large firms than for smaller ones. In high-tech sectors this
 share is two thirds and for traditional ones is one third. The largest
 part of firms' expenditure for innovation is linked to the adoption and
 diffusion of technologies through machinery and equipment, which absorbs
 50% of firms' innovation expenditure. R&D activities represent, on
 average, 20% of total innovation expenditure while other innovative
 activities, such as design and trial production, account respectively for
 10% and 11%. The mix of innovation inputs, especially R&D and investment,
 is strongly correlated with firm size, displays little change across
 countries and varies greatly across industries. 
Journal: International Journal of the Economics of Business 
Pages: 311-333 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Technological Change, Innovation, R&D, 
X-DOI: 10.1080/13571519884413 
File-URL: http://www.tandfonline.com/10.1080/13571519884413 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:311-333




Template-Type: ReDIF-Article 1.0
Author-Name: Simona Iammarino 
Author-X-Name-First: Simona 
Author-X-Name-Last: Iammarino 
Author-Name: Jonathan Michie 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Michie 
Title: The Scope of Technological Globalisation 
Abstract:
  The term 'globalisation' has been used widely and loosely. On the one
 hand there are the descriptives, of increased flows of goods, services,
 capital and people. On the other hand there is the prescriptive agenda,
 that there is a new global era, ruling out certain economic and political
 choices. The blurring of the lines between the two categories-of the
 descriptive and the prescriptive-presents the obvious starting point for
 academic investigation. And in both cases, the role played by technology
 takes centre stage. In the first case the argument is that the new
 developments in information technology, computing, telecommunications,
 broadcasting and so on have opened up the world economy. As for the second
 category, such developments are seen as leaving national governments
 helpless in the face of global corporate players. In this paper we
 therefore reconsider some of the evidence, focussing particular on the
 role of technology. 
Journal: International Journal of the Economics of Business 
Pages: 335-353 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Technology, Globalisation, Trade, Fdi, R&D, 
X-DOI: 10.1080/13571519884422 
File-URL: http://www.tandfonline.com/10.1080/13571519884422 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:335-353




Template-Type: ReDIF-Article 1.0
Author-Name: Geert Duysters 
Author-X-Name-First: Geert 
Author-X-Name-Last: Duysters 
Author-Name: John Hagedoorn 
Author-X-Name-First: John 
Author-X-Name-Last: Hagedoorn 
Title: Technological Convergence in the IT Industry: The Role of Strategic Technology Alliances and Technological Competencies 
Abstract:
  For some time now, the convergence of the telecommunications and computer
 industries into a single 'information and entertainment' industry has been
 predicted. The acquisitions that appeared to be bringing such a
 convergence about have not, however, proved particularly successful. The
 paper suggests that one factor behind the relatively low degree of
 convergence may be inertia. Following evolutionary and ecological theory,
 the paper argues that both external and internal inertial forces reduce
 the ability of firms to deal with changes in their technological cores.
 The paper concludes that technological convergence, although apparent on
 the technological and product/market level, does not seem to have affected
 the 'core' competencies of major IT companies. 
Journal: International Journal of the Economics of Business 
Pages: 355-368 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Technology, Convergence, Alliances, Competencies, 
X-DOI: 10.1080/13571519884431 
File-URL: http://www.tandfonline.com/10.1080/13571519884431 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:355-368




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Buckley 
Author-X-Name-First: Peter 
Author-X-Name-Last: Buckley 
Author-Name: Malcolm Chapman 
Author-X-Name-First: Malcolm 
Author-X-Name-Last: Chapman 
Title: The Management of Cooperative Strategies in R&D and Innovation Programmes 
Abstract:
  This paper reports on an ESRC-funded project investigating 'the
 management of cooperative strategies', testing hypotheses drawn largely
 from (transaction cost) economics using data derived from the
 investigative methods of social anthropology. Cooperative strategies in a
 sample of British and French companies were investigated, with a wide
 range of their contact firms and related institutions being interviewed.
 The project was part of the ESRC's 'Contracts & Competition' Programme,
 and the results of the empirical material gathered during the study
 indicated clearly that the opposition cooperation/competition can not, in
 any simple way, be regarded as descriptive of the public/private
 opposition. The study demonstrated, and the paper argues, that the private
 business sector involves a broad spectrum of collaborative agreements
 between one company and another, and that a complex range of intermediate
 possibilities exist between the two notional extremes of markets and
 hierarchies. 
Journal: International Journal of the Economics of Business 
Pages: 369-381 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Cooperative Strategies, R&D, Innovation, 
X-DOI: 10.1080/13571519884440 
File-URL: http://www.tandfonline.com/10.1080/13571519884440 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:369-381




Template-Type: ReDIF-Article 1.0
Author-Name: John Cantwell 
Author-X-Name-First: John 
Author-X-Name-Last: Cantwell 
Author-Name: Simona Iammarino 
Author-X-Name-First: Simona 
Author-X-Name-Last: Iammarino 
Title: MNCs, Technological Innovation and Regional Systems in the EU: Some Evidence in the Italian Case 
Abstract:
  The increasing appreciation of the role of multinational corporations
 (MNCs) in the generation of technology across national boundaries has been
 facilitated by the recent trend for MNCs to establish internal and
 external networks for innovation. The development of cross-border
 corporate integration and intra-border inter-company sectoral integration
 makes it increasingly important to examine where and how innovative
 activity by MNCs is internationally dispersed and regionally concentrated.
 By using patents granted to the largest industrial firms for innovation
 located abroad-arranged by the host region-we test the nature of the
 relationship between the foreign-owned and the indigenous company profiles
 of technological specialisation in the Italian regions. We argue the MNC
 networks for innovation in Europe conform to a geographical hierarchy of
 regional centres. Accordingly, the technological specialisation of
 foreign-owned affiliates in different regional locations depends upon the
 position of the region in the hierarchy, i.e. whether the regional system
 is at the top of the hierarchy (higher order location) or is a lower order
 regional centre. 
Journal: International Journal of the Economics of Business 
Pages: 383-408 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Multinational Corporations, Technological Innovation, Regional Systems, 
X-DOI: 10.1080/13571519884459 
File-URL: http://www.tandfonline.com/10.1080/13571519884459 
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:383-408




Template-Type: ReDIF-Article 1.0
Author-Name: Nicholas Oulton 
Author-X-Name-First: Nicholas 
Author-X-Name-Last: Oulton 
Title: Technology, Globalisation and Economic Performance - A Review of Daniele Archibugi and Jonathan Michie, eds, Technology, Globalisation and Economic Performance 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 409-414 
Issue: 3 
Volume: 5 
Year: 1998 
Keywords: Technology, Globalisation, Growth, 
X-DOI: 10.1080/13571519884468 
File-URL: http://www.tandfonline.com/10.1080/13571519884468 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:5:y:1998:i:3:p:409-414




Template-Type: ReDIF-Article 1.0
Author-Name: Jonathan Murray 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Murray 
Author-Name: Nicholas Sarantis 
Author-X-Name-First: Nicholas 
Author-X-Name-Last: Sarantis 
Title: Price-Quality Relations and Hedonic Price Indexes for Cars in the United Kingdom 
Abstract:
  The main objective of this paper is to employ a complete set of panel
 data on UK car characteristics to estimate a hedonic car price model. This
 enables us to examine price differences between various car models in
 terms of variations in individual car characteristics.We also pay greater
 attention to the specification of the hedonic price model than previous
 studies, as shown by the wide range of diagnostics reported. A second
 objective of the paper is to utilise the estimates of the hedonic price
 model to construct a hedonic price index for cars, which allows us to
 investigate the increase of car prices due to quality and non-quality
 factors. 
Journal: International Journal of the Economics of Business 
Pages: 5-27 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Hedonic Prices, Quality, Cars, 
X-DOI: 10.1080/13571519984287 
File-URL: http://www.tandfonline.com/10.1080/13571519984287 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:5-27




Template-Type: ReDIF-Article 1.0
Author-Name: Dimitrios Giannias 
Author-X-Name-First: Dimitrios 
Author-X-Name-Last: Giannias 
Title: Market Positioning of Differentiated Products 
Abstract:
  A brand is a mean of product differentiation and a kind of a sign by
 which we can distinguish one commodity from another. Consumers' utility,
 as well as commodity prices are affected by brands. Therefore, the market
 positioning of branded products is important for firms, too, since it
 affects profits. This paper presents a theoretical framework that
 incorporates aspects of brand in microeconomic analysis and the tools for
 an effective market positioning of differentiated products. A case study
 illustrates the workings of the methodology; the application evaluates the
 quality of major tyres producers and undertakes their market positioning. 
Journal: International Journal of the Economics of Business 
Pages: 29-39 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Market Positioning, Comparative Product, Brand Evaluation, 
X-DOI: 10.1080/13571519984296 
File-URL: http://www.tandfonline.com/10.1080/13571519984296 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:29-39




Template-Type: ReDIF-Article 1.0
Author-Name: Harvey James 
Author-X-Name-First: Harvey 
Author-X-Name-Last: James 
Title: Owner as Manager, Extended Horizons and the Family Firm 
Abstract:
  Previous work on firm ownership structure suggests that organizations in
 which ownership and control are combined may be undervalued relative to
 the market investment rule because decision makers have an incentive to
 forgo investment projects that managers in firms with specialized
 ownership find profitable. However, the specialization of ownership and
 decision-making functions may result in substantial agency costs. This
 paper shows that these tradeoffs may not exist in family firms. The
 extended horizons characteristic of family businesses may provide the
 necessary incentives for decision makers to invest according to the market
 rule while limiting agency costs that arise when ownership and control are
 separated. Family ties, loyalty, insurance, and stability are expected to
 be effective in lengthening the horizons of managers and in providing the
 incentives for family managers to make efficient investments in the family
 business. 
Journal: International Journal of the Economics of Business 
Pages: 41-55 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Family Firms, Governance, Extended Horizons, Managerial Decisionmaking, 
X-DOI: 10.1080/13571519984304 
File-URL: http://www.tandfonline.com/10.1080/13571519984304 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:41-55




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Feinberg 
Author-X-Name-First: Robert 
Author-X-Name-Last: Feinberg 
Title: Estimating Reaction Functions in Experimental Duopoly Markets 
Abstract:
  It is well known that, in general, there are a multitude of supergame
 equilibria in noncooperative duopoly markets, suggesting the inability
 (without severe restrictions) of theory alone to determine the 'best'
 strategy in a repeated game context. Axelrod's prisoner's dilemma
 simulation tournaments have led to the view of the somewhat cooperative
 'tit-fortat' approach as an attractive strategy, in particular compared to
 an alternative strategy of 'always defecting' (choosing at all times the
 single period Nash solution). In this paper, we use data obtained from two
 independent posted-offer duopoly experiments to investigate the actual
 dynamic reaction functions of participants. Neither of the above seems to
 be commonly employed as a pure strategy.We also provide some support for
 the Axelrod view of 'tit-for-tat' as the most profitable strategy. 
Journal: International Journal of the Economics of Business 
Pages: 57-63 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Experimental Economics, Reaction Functions, Duopoly Markets, 
X-DOI: 10.1080/13571519984313 
File-URL: http://www.tandfonline.com/10.1080/13571519984313 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:57-63




Template-Type: ReDIF-Article 1.0
Author-Name: Ram Mudambi 
Author-X-Name-First: Ram 
Author-X-Name-Last: Mudambi 
Title: Multinational Investment Attraction: Principal-Agent Considerations 
Abstract:
  Government agencies are becoming increasingly involved in the process of
 providing investment supports to attract foreign direct investment
 (FDI).This paper focuses on the problem of how best to structure the
 investment supports. Five different types of investment supports are
 theoretically and empirically analysed. In each case the effect of the
 principal-agent relationships between the MNE investor and the agency
 charged with attracting FDI are assessed in the strategic context.
 Theoretical analysis suggests that in some cases, governments may prefer
 support schemes that appear to be more expensive, but have better
 incentive or risk-sharing implications. Empirical analysis suggests that
 MNE firm characteristics are related to the type of investment support
 package obtained. 
Journal: International Journal of the Economics of Business 
Pages: 65-79 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Government Investment Supports Mne, Investment Location, Principal Agent Theory, 
X-DOI: 10.1080/13571519984322 
File-URL: http://www.tandfonline.com/10.1080/13571519984322 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:65-79




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Clyde 
Author-X-Name-First: Paul 
Author-X-Name-Last: Clyde 
Title: Is it Efficient to Impose Costs on Small-Volume Equity Traders? 
Abstract:
  A securities market that imposes higher trading costs on small-volume
 traders may reduce free-riding on information generated by large-volume
 traders. The reduction in free-riding increases the probability that
 large-volume traders will invest in socially beneficial information and
 engage in costly monitoring of managers of firms in their portfolio.V
 arious mechanisms can be used to impose costs on small-volume traders.We
 argue that Nasdaq's former treatment of limit orders was one such
 mechanism. Depending on the market's structure and the nature of the
 securities traded in the market, a reduction in freeriding activity may
 improve overall market efficiency despite a potentially negative impact on
 information dissemination. 
Journal: International Journal of the Economics of Business 
Pages: 81-92 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Limit Orders, Market Microstructure, Information, 
X-DOI: 10.1080/13571519984331 
File-URL: http://www.tandfonline.com/10.1080/13571519984331 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:81-92




Template-Type: ReDIF-Article 1.0
Author-Name: Guttorm Schjelderup 
Author-X-Name-First: Guttorm 
Author-X-Name-Last: Schjelderup 
Title: Multinationals, Intra-Firm Trade and the Taxation of Foreign-Source Income 
Abstract:
  Most countries use the tax credit scheme instead of the tax deduction
 scheme to alleviate double taxation of foreign earnings. Under the tax
 deduction scheme, double taxation is alleviated by treating foreign taxes
 paid as business cost deductible against domestic income rather than
 allowing them to be credited against the taxes levied by the home country
 (as is the case under the tax credit system).This paper examines how the
 two tax systems affect trade between affiliates of a multinational firm. 
Journal: International Journal of the Economics of Business 
Pages: 93-105 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Multinational Firm Behavior, Systems For Taxing Foreign Source Income, 
X-DOI: 10.1080/13571519984340 
File-URL: http://www.tandfonline.com/10.1080/13571519984340 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:93-105




Template-Type: ReDIF-Article 1.0
Author-Name: Rui Baptista 
Author-X-Name-First: Rui 
Author-X-Name-Last: Baptista 
Title: The Diffusion of Process Innovations: A Selective Review 
Abstract:
  This paper surveys some of the most noteworthy literature on the
 diffusion of process technologies from the point of view of economics. It
 examines the main theoretical approaches to the diffusion phenomenon:
 epidemic and learning effects, equilibrium models associated with firm
 characteristics and strategic interaction. It also discusses the role of
 the supply side. Empirical work modelling inter-firm diffusion is
 reviewed, and special attention is given to the role of geography and
 inter-firm networking in the process of knowledge transfer and diffusion.
 Some suggestions for further research are presented as a conclusion. 
Journal: International Journal of the Economics of Business 
Pages: 107-129 
Issue: 1 
Volume: 6 
Year: 1999 
Keywords: Diffusion Of Innovations, Geography, Inter-firm Networking, Spillovers, 
X-DOI: 10.1080/13571519984359 
File-URL: http://www.tandfonline.com/10.1080/13571519984359 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:107-129




Template-Type: ReDIF-Article 1.0
Author-Name: David Butz 
Author-X-Name-First: David 
Author-X-Name-Last: Butz 
Title: The Disconnection Between Principal-Agent Theory and Empirical Work: A Review of Bernard Salanie, The Economics of Contracts 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 131-140 
Issue: 1 
Volume: 6 
Year: 1999 
X-DOI: 10.1080/13571519984368 
File-URL: http://www.tandfonline.com/10.1080/13571519984368 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:1:p:131-140




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Hart 
Author-X-Name-First: Peter 
Author-X-Name-Last: Hart 
Author-Name: Nicholas Oulton 
Author-X-Name-First: Nicholas 
Author-X-Name-Last: Oulton 
Title: Gibrat, Galton and Job Generation 
Abstract:
  The proportionate growth of a company decreases with increases in its
 initial size, in accordance with the Galton model of regression towards
 the mean. Gibrat's Law of proportionate effect does not hold within size
 classes or within industries. In job generation accounting, actual
 increases in employment are even more important than proportionate ones.
 In the UK small and medium sized companies had larger absolute and
 proportionate increases in employment than did large companies and were
 responsible for most of the increase in jobs 1989-93. In fact large
 companies tended to reduce the numbers they employed. 
Journal: International Journal of the Economics of Business 
Pages: 149-164 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Gibrat, Job Creation, Small Firms, Growth, 
X-DOI: 10.1080/13571519984197 
File-URL: http://www.tandfonline.com/10.1080/13571519984197 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:149-164




Template-Type: ReDIF-Article 1.0
Author-Name: Karl Aiginger 
Author-X-Name-First: Karl 
Author-X-Name-Last: Aiginger 
Author-Name: Michael Pfaffermayr 
Author-X-Name-First: Michael 
Author-X-Name-Last: Pfaffermayr 
Title: Product Quality, Cost Asymmetry and the Welfare Loss of Oligopoly 
Abstract:
  When competition is tough, firms which do not implement the least
 expensive technology are forced to exit, or the low cost firms are able to
 increase their market share. Persistent cost or profit differences require
 some form of restricted entry, specific intangible assets or oligopolistic
 co-ordination. If technology or skills is easy to transfer but it is not
 transferred because of collusion, we have to add a cost side effect ('the
 staircase')stemming from the non-proliferation of the best technology- to
 the well-known demand side loss ('the triangle'). This paper presents a
 model with vertical product differentiation and develops a method which
 disentangles cost differences coming from vertical product differences and
 those coming from other sources. Data for the paper industry in the EU, in
 the US and in Japan indicate that cost differences are large. If at least
 some part of them comes from oligopolistic co-ordination, then the welfare
 loss of oligopoly is much larger than the usually measured demand side
 welfare loss. 
Journal: International Journal of the Economics of Business 
Pages: 165-180 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Dead-weight Loss Triangle, Cost Efficiency, Vertical Product Differentiation, Oligopoly, Paper Industry, 
X-DOI: 10.1080/13571519984205 
File-URL: http://www.tandfonline.com/10.1080/13571519984205 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:165-180




Template-Type: ReDIF-Article 1.0
Author-Name: Davide Vannoni 
Author-X-Name-First: Davide 
Author-X-Name-Last: Vannoni 
Title: Entries and Exits in Foreign Markets: Italian Firms' Multinational Expansion in the European Union 
Abstract:
  This paper focuses on the expansion strategies in foreign markets of a
 sample of Italian firms during the period 1987-93. The data reveal strong
 dynamics in entry and exit strategies and an overall increase in Italian
 firms' foreign manufacturing activities. Firms seem to be restructuring
 and reorganising their range of activities in view of the new competitive
 scenario promoted by the completion of the Single European Market. A logit
 model investigating the determinants of entry in foreign markets is tested
 at the firm level. The results suggest that firms' specific resources,
 target industry and foreign country characteristics are important
 explanatory variables. Some new insights concerning the export
 substitution effect, the presence of technological sourcing and the
 multinational/ diversification dichotomy are also discussed. 
Journal: International Journal of the Economics of Business 
Pages: 181-196 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Multinationals, Foreign Direct Investments, Entries And Exits, 
X-DOI: 10.1080/13571519984214 
File-URL: http://www.tandfonline.com/10.1080/13571519984214 
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:181-196




Template-Type: ReDIF-Article 1.0
Author-Name: Yoram Landskroner 
Author-X-Name-First: Yoram 
Author-X-Name-Last: Landskroner 
Author-Name: Jacob Paroush 
Author-X-Name-First: Jacob 
Author-X-Name-Last: Paroush 
Title: Sovereign Debt Restructuring and Bank Capital 
Abstract:
  The focus of this paper is on the interaction between a bail-out loan
 decision of a bank to a sovereign borrower and the adequacy of the bank's
 capital. The new loan is granted on two conditions: First, it must improve
 the likelihood of repayment of the outstanding loan; second the bank
 should have adequate capital.We find that in general a positive
 relationship exists between capital and the bail out loan and between
 existing debt and the new loan. However, under certain circumstances a
 negative relationship exists between the bank's capital and the new loan.
 Empirical results support the main implications of the theoretical model. 
Journal: International Journal of the Economics of Business 
Pages: 197-207 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Sovereign Debt, Bail-out Loans, Capital Adequacy, 
X-DOI: 10.1080/13571519984223 
File-URL: http://www.tandfonline.com/10.1080/13571519984223 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:197-207




Template-Type: ReDIF-Article 1.0
Author-Name: Margarida De Mello 
Author-X-Name-First: Margarida 
Author-X-Name-Last: De Mello 
Author-Name: Antonio Brandao 
Author-X-Name-First: Antonio 
Author-X-Name-Last: Brandao 
Title: Measuring the Market Power of the Portuguese Milk Industry 
Abstract:
  This paper is based on the previous work of Appelbaum (Journal of
 Econometrics, 1979, 9, pp. 283-94; 1982, 19, pp. 287-99). Iwata
 (Econometrics 1974, 42, pp. 947-66) and Rogers (PhD Dissertation,
 GeorgeWashington University, 1983).We estimate the degree of market power
 of an oligopolistic industry, using a linear system and the 2SLS
 estimation method. Our departure point is the work of Appelbaum (1982)
 where a 'market power index' is estimated for each of the sample's 25
 years. As the market power index depends functionally on the conjectural
 elasticity, the goal is to obtain annual estimates for that elasticity.
 For this purpose, Appelbaum defines a non-linear simultaneous-equation
 system and obtains, with non-linear methods, the conjectural elasticity
 estimates for each year of the sample. Considering the conjectural
 elasticity's functional form that Appelbaum adopts, we use a different
 approach and obtain a linear system that is easier to estimate. Due to the
 particular features of the industry analysed, we also derive a much
 simpler form for the equations involved. The model's simplicity is
 appealing and its generalisation to other industries with homogeneous
 products may be implemented with ease. 
Journal: International Journal of the Economics of Business 
Pages: 209-222 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Oligopoly, Market Power, Conjectural Elasticity, 
X-DOI: 10.1080/13571519984232 
File-URL: http://www.tandfonline.com/10.1080/13571519984232 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:209-222




Template-Type: ReDIF-Article 1.0
Author-Name: Phillip McKnight 
Author-X-Name-First: Phillip 
Author-X-Name-Last: McKnight 
Author-Name: Cyril Tomkins 
Author-X-Name-First: Cyril 
Author-X-Name-Last: Tomkins 
Title: Top Executive Pay in the United Kingdom: A Corporate Governance Dilemma 
Abstract:
  This study represents a first attempt in the UK literature to split total
 pay into salary, annual bonus and share options for the purpose of
 empirically verifying how each is related to executive performance. As
 predicted from earlier studies on total pay, salaries were found primarily
 determined by firm size. Contarary to prior research, however, our
 findings suggest a pronounced link does exist between performance and pay
 over both the short- and long-term. This is manifested particularly by the
 magnitude of the coefficient estimates found between changes in
 shareholders return and changes in executive share options. This finding
 strongly suggests that the leverage executives achieve, on average, in
 their rewards as share prices increase may well be substantial; a finding
 that has not been captured in previous research on executive remuneration
 and which is of considerable relevance to the current corporate governance
 debates. 
Journal: International Journal of the Economics of Business 
Pages: 223-243 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Executive Pay, Share Options, Bonus, Salary, Black-scholes, Performance, 
X-DOI: 10.1080/13571519984241 
File-URL: http://www.tandfonline.com/10.1080/13571519984241 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:223-243




Template-Type: ReDIF-Article 1.0
Author-Name: Luigi Filippini 
Author-X-Name-First: Luigi 
Author-X-Name-Last: Filippini 
Title: Leapfrogging in a Vertical Product Differentiation Model 
Abstract:
  The model considers a two-period duopoly game where in the first period
 the leader produces a good with a given quality and the other firm can
 only imitate it. It is the Stackelberg case where, in addition, the leader
 has the choice of the quality of the good and the imitation is costly, but
 not prohibitively so. Under this assumption quantities and profits in
 terms of the quality are derived as subgame perfect equilibrium. In the
 second period there exists the possibility for the leader and/or the
 follower to make an investment. The outcome of this is uncertain: it could
 either be the case that a good of better quality can be introduced, or
 that a cost-reduction in producing the existing good is attained. The
 former case is a product innovation, whereas the latter case is a process
 innovation. By solving the game backwards as a function of the quality of
 the first period, there exists the possibility of an equilibrium where the
 follower chooses to invest and the leader does not invest . 
Journal: International Journal of the Economics of Business 
Pages: 245-256 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Leapfrogging, Product Differentiation, 
X-DOI: 10.1080/13571519984250 
File-URL: http://www.tandfonline.com/10.1080/13571519984250 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:245-256




Template-Type: ReDIF-Article 1.0
Author-Name: Steven Ongena 
Author-X-Name-First: Steven 
Author-X-Name-Last: Ongena 
Title: Lending Relationships, Bank Default and Economic Activity 
Abstract:
  The paper reviews contributions in the literature, which lend theoretical
 and empirical credibility to the idea that the banking relationship is
 valuable and important for the firm. Banks offer a lending relationship as
 the solution to the firm's ongoing credit needs. Bank default disrupts
 this relationship. Hence risk in the banking sector influences the value
 of the relationship, the cost of corporate finance, and the level and
 growth of real activity. As bank default is often the result of fraud and
 internal irregularities, it is hard to predict. Bank default affects the
 economy through a number of different channels. The loss of the
 relationship, benefit for the firm is an important route through which the
 health of the banking sector influences real activity. 
Journal: International Journal of the Economics of Business 
Pages: 257-280 
Issue: 2 
Volume: 6 
Year: 1999 
Keywords: Lending Relationship, Bank Default, 
X-DOI: 10.1080/13571519984269 
File-URL: http://www.tandfonline.com/10.1080/13571519984269 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:257-280




Template-Type: ReDIF-Article 1.0
Author-Name: G.M. Peter Swann 
Author-X-Name-First: G.M. Peter 
Author-X-Name-Last: Swann 
Title: An Economic Analysis of Taste-A Review of Gary S. Becker: Accounting for Tastes 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 281-296 
Issue: 2 
Volume: 6 
Year: 1999 
X-DOI: 10.1080/13571519984278 
File-URL: http://www.tandfonline.com/10.1080/13571519984278 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:2:p:281-296




Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Wadeson 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Wadeson 
Title: Two-way Communication Costs and the Boundaries of the Firm 
Abstract:
  Casson and Wadeson (International Journal of the Economics of Business,
 1998, 5, pp. 5-27) have modelled the dialogue, or conversation, which
 customers have with their suppliers in order to convey their requirements,
 while taking production implications into account. They showed that this
 has important implications for the positioning of the boundaries of the
 firm. Unfortunately, their model has the restriction that communication is
 only costly in the direction of customer to supplier. This paper extends
 their model by introducing two-way communication costs. It shows that the
 level of communication cost in the direction of supplier to customer is a
 key additional factor in determining the nature of the dialogue that takes
 place. It also shows that this has important additional implications for
 the positioning of the boundaries of the firm. Custom computer software
 development is used as an example of an application of the theory. 
Journal: International Journal of the Economics of Business 
Pages: 301-329 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: Communication, Firm, Information, Complexity, Product Development, 
X-DOI: 10.1080/13571519984106 
File-URL: http://www.tandfonline.com/10.1080/13571519984106 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:301-329




Template-Type: ReDIF-Article 1.0
Author-Name: Allen Goodman 
Author-X-Name-First: Allen 
Author-X-Name-Last: Goodman 
Author-Name: Janet Hankin 
Author-X-Name-First: Janet 
Author-X-Name-Last: Hankin 
Author-Name: Eleanor Nishiura 
Author-X-Name-First: Eleanor 
Author-X-Name-Last: Nishiura 
Author-Name: James Sloan 
Author-X-Name-First: James 
Author-X-Name-Last: Sloan 
Title: Impacts of Insurance on the Demand and Utilization of Drug Abuse Treatment: Implications for Insurance Mandates 
Abstract:
  This article addresses costs and utilization for mental health/substance
 abuse treatment, with particular emphasis on the emerging importance of
 self-insured coverage in the 1990s. We estimate drug abuse treatment
 demand and utilization with an insurance claims database from self-insured
 employers. The study population was selected from a large database
 consisting of health insurance claims for all treatment events starting 1
 January 1989 and ending 31 December 1991. Approximately three-quarters of
 the increase in in-patient usage attributable to fractional co-insurance
 is due to increased usage per person (the other one-quarter refers to
 increased numbers of users). About half of the increase in outpatient
 usage is due to increased usage per person. In summary, our estimates
 provide useful measurements of the potential impacts of improved drug
 abuse treatment coverage. Although the potential induced in-patient
 expenditures and dead-weight losses are substantial compared to
 co-insurance rates of 0.5, losses can be trimmed by adjusting
 co-insurance, even at rates of approximately 0.1. 
Journal: International Journal of the Economics of Business 
Pages: 331-348 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: Drug Abuse Treatment, Health Demand, Health Mandates, In-patient Setting, Out-patient Setting, Insurance Claims, 
X-DOI: 10.1080/13571519984115 
File-URL: http://www.tandfonline.com/10.1080/13571519984115 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:331-348




Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Title: Regulation of the Petrol Industry in the UK: Issues and Evidence 
Abstract:
  The petrol industry has been investigated twice by the Monopolies and
 Mergers Commission in the last 20 years. On both occasions the MMC found
 that the conduct of the companies was not against the public interest.
 These findings were based on the perceived stable relationship between oil
 and petrol prices. This paper develops a model of petrol price using a
 co-integration approach, concluding that one must question the findings of
 the MMC. 
Journal: International Journal of the Economics of Business 
Pages: 349-365 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: Petrol Pricing, Regulation, 
X-DOI: 10.1080/13571519984124 
File-URL: http://www.tandfonline.com/10.1080/13571519984124 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:349-365




Template-Type: ReDIF-Article 1.0
Author-Name: Torben Pedersen 
Author-X-Name-First: Torben 
Author-X-Name-Last: Pedersen 
Author-Name: Steen Thomsen 
Author-X-Name-First: Steen 
Author-X-Name-Last: Thomsen 
Title: Economic and Systemic Explanations of Ownership Concentration among Europe's Largest Companies 
Abstract:
  The paper examines causes and effects of ownership concentration among
 the largest companies in 12 European countries. As a reference point the
 paper takes a seminal empirical study on US data and examines to what
 extent the model is applicable in European countries. The findings
 indicate that both general economic effects and system effects are
 significant. Ownership concentration is found to decrease with firm size
 and to increase with earnings volatility. But in support of the system
 theories advocated nationality is also found to have a significant effect
 which is partly attributable to institutional differences between nations
 such as stock market size and the frequency of large banks. Finally
 ownership concentration is found to have an insignificant effect on
 accounting profitability (return on equity) 
Journal: International Journal of the Economics of Business 
Pages: 367-381 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: European Ownership Concentration, Corporate Governance, 
X-DOI: 10.1080/13571519984133 
File-URL: http://www.tandfonline.com/10.1080/13571519984133 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:367-381




Template-Type: ReDIF-Article 1.0
Author-Name: Jon Magnussen 
Author-X-Name-First: Jon 
Author-X-Name-Last: Magnussen 
Author-Name: Lee Rivers Mobley 
Author-X-Name-First: Lee Rivers 
Author-X-Name-Last: Mobley 
Title: The Impact of Market Environment on Excess Capacity and the Cost of an Empty Hospital Bed 
Abstract:
  The health economics literature contains contradictory empirical findings
 regarding the cost of an empty hospital bed. Recent empirical studies
 which account for the endogeneity of reserve capacity produce high
 estimates of these costs, while earlier studies and industry experts
 maintain that empty beds are cheap. This paper provides evidence which
 helps to reconcile the controversy. The cost of excess bed capacity will
 depend upon staffing levels of different types of labor in the hospital.
 We provide a relationship between capacity utilization, productive
 efficiency, and the cost of empty beds, and then compare the utilization
 of bed capacity in four very different market environments. These are the
 highly regulated, public Norwegian hospitals, who face very little
 competitive pressure, and the unregulated, private California hospitals,
 divided into three groups with variation in ownership and competitive
 environment. We find considerable variation in input utilization and
 excess capacity, with different implications for the cost of empty beds
 across the hospital groups and their respective market environments. Our
 findings suggest that the cost of an empty bed varies with market
 conditions, hence the seemingly contradictory findings in the literature
 are to be expected. Our findings also suggest an interesting area of
 future research: the impact of managed care on reserve capacity in
 hospitals. 
Journal: International Journal of the Economics of Business 
Pages: 383-398 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: Hospital, Efficiency, Capacity, Reserve Capacity, Competition, Option Demand, Cost Of An Empty Bed, Staffed Bed, 
X-DOI: 10.1080/13571519984142 
File-URL: http://www.tandfonline.com/10.1080/13571519984142 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:383-398




Template-Type: ReDIF-Article 1.0
Author-Name: John Pickering 
Author-X-Name-First: John 
Author-X-Name-Last: Pickering 
Author-Name: Duncan Matthews 
Author-X-Name-First: Duncan 
Author-X-Name-Last: Matthews 
Title: Rule Making in Pursuit of a Single European Market 
Abstract:
  The paper explores the nature of rule systems in the Single European
 Market. It investigates the influence of firms in the legislative process
 and examines corporate responses in rule-governed conditions within the
 Single Market. It demonstrates that there have been very diverse outcomes
 for different sectors as a result of the manner in which rules have been
 formulated and implemented, and derives interpretations which may have a
 future bearing on the revision and refinement of Single Market legislation 
Journal: International Journal of the Economics of Business 
Pages: 399-416 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: Economic Integration, Regulation, Europe, Single Market, Soft Law, 
X-DOI: 10.1080/13571519984151 
File-URL: http://www.tandfonline.com/10.1080/13571519984151 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:399-416




Template-Type: ReDIF-Article 1.0
Author-Name: W. H. Furtan 
Author-X-Name-First: W. H. 
Author-X-Name-Last: Furtan 
Author-Name: D. F. Kraft 
Author-X-Name-First: D. F. 
Author-X-Name-Last: Kraft 
Author-Name: E. W. Tyrchniewicz 
Author-X-Name-First: E. W. 
Author-X-Name-Last: Tyrchniewicz 
Title: Can the Canadian Wheat Board Extract Monopoly Rents? The Case of the Spring Wheat Market 
Abstract:
  The Canadian Wheat Board (CWB) is a monopoly seller of wheat, durum and
 malting barley from western Canada. This paper examines the question
 whether the CWB monopoly can extract a premium in the international market
 place. Using actual transaction data (i.e. actual transaction prices) we
 estimate that the CWB charged importers an average price premium of
 $13.35/tonne for wheat over the period 1980-94. In periods when high
 quality wheat was in short supply the CWB was able to charge higher
 premiums.We also show that during the period of export subsidies the CWB
 earned farmers a premium by avoiding subsidized markets. 
Journal: International Journal of the Economics of Business 
Pages: 417-437 
Issue: 3 
Volume: 6 
Year: 1999 
Keywords: State Trading, Wheat Marketing, Price Premium, 
X-DOI: 10.1080/13571519984160 
File-URL: http://www.tandfonline.com/10.1080/13571519984160 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:417-437




Template-Type: ReDIF-Article 1.0
Author-Name: Brian Loasby 
Author-X-Name-First: Brian 
Author-X-Name-Last: Loasby 
Title: Making Connections - A Review of Neil M. Kay, Pattern in Corporate Evolution 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 439-452 
Issue: 3 
Volume: 6 
Year: 1999 
X-DOI: 10.1080/13571519984179 
File-URL: http://www.tandfonline.com/10.1080/13571519984179 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:6:y:1999:i:3:p:439-452




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Kennedy 
Author-X-Name-First: Robert 
Author-X-Name-Last: Kennedy 
Title: The Effect of Bankruptcy Filings on Rivals' Operating Performance: Evidence from 51 Large Bankruptcies 
Abstract:
  I examine the operating performance of financially distressed firms and
 their rivals in the periods surrounding 51 bankruptcy filings. The
 analysis indicates that filings are associated with declines in rivals'
 revenues and profit margins. The declines occur prior to and coincident
 with bankruptcy filings, but dissipate quickly after a filing occurs. The
 adverse effect on rivals' profit margins appears to be caused by changes
 in firms' product market conduct, as it is robust to several methods used
 to screen out filings where a common shock has occurred. I then examine
 whether market structure affects the link between filings and rivals'
 profit margins. The market structure effects appear to be small. 
Journal: International Journal of the Economics of Business 
Pages: 5-25 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Financial Distress, Distress And Competition, Bankruptcy, 
X-DOI: 10.1080/13571510084032 
File-URL: http://www.tandfonline.com/10.1080/13571510084032 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:5-25




Template-Type: ReDIF-Article 1.0
Author-Name: Atanu Saha 
Author-X-Name-First: Atanu 
Author-X-Name-Last: Saha 
Author-Name: Lynette Hilton 
Author-X-Name-First: Lynette 
Author-X-Name-Last: Hilton 
Title: A New Approach to Estimating Damages in Mass Torts 
Abstract:
  Damage estimation in mass torts involving hazardous or defective products
 is often complicated by the unknown time-profile of disease incidence or
 failure rate. Because these cases involve diseases with long latencies or
 involve products that fail after years of productive use, estimation of
 the defendants' future liability stream requires a model that can predict
 how the failure rate or the onset of the disease will change over
 time.This paper proposes such a model. The estimation technique allows one
 to compute the 'excess risk' attributable to the hazard or product defect
 distinct from the natural causes of failure or disease incidence and to
 calculate the defendants' future liability stream based on the estimates
 of failure or incidence rates. An application to product failure
 illustrates the working of the model. 
Journal: International Journal of the Economics of Business 
Pages: 27-46 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Product Liability, Hazard, Expo-POWER, 
X-DOI: 10.1080/13571510084041 
File-URL: http://www.tandfonline.com/10.1080/13571510084041 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:27-46




Template-Type: ReDIF-Article 1.0
Author-Name: Mahmud Hassan 
Author-X-Name-First: Mahmud 
Author-X-Name-Last: Hassan 
Author-Name: Gerard Wedig 
Author-X-Name-First: Gerard 
Author-X-Name-Last: Wedig 
Author-Name: Michael Morrisey 
Author-X-Name-First: Michael 
Author-X-Name-Last: Morrisey 
Title: Charity Care by Non-profit Hospitals: The Price of Tax-exempt Debt 
Abstract:
  In this paper, we study the effects of tax-exempt debt on the supply of
 charity care of non-profit hospitals. We hypothesize that hospitals using
 tax-exempt rather than taxable debt are forced to provide higher levels of
 charity care as a condition for gaining access to the tax-exempt market.
 The study uses a panel of 189 California non-profit hospitals. Hospital
 uncompensated care is regressed on the level of uncompensated care by
 other hospitals in the market, lagged values of tax-exempt and taxable
 debt and other control variables.The magnitude of the tax-exempt bond
 subsidy has a positive effect on the flow of charity care and varies
 positively with the charity care provided by other hospitals. We conclude
 that subsidies provided by tax-exempt debt are an effective media to
 increase the supply of charity care by hospitals. Regulators can use
 competition between non-profit hospitals in order to enforce the desired
 behavior. 
Journal: International Journal of the Economics of Business 
Pages: 47-62 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Tax-EXEMPT, Charity Care, 
X-DOI: 10.1080/13571510084050 
File-URL: http://www.tandfonline.com/10.1080/13571510084050 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:47-62




Template-Type: ReDIF-Article 1.0
Author-Name: Earl Thompson 
Author-X-Name-First: Earl 
Author-X-Name-Last: Thompson 
Title: Why World Oil Monopolization Lowers Oil Prices: A Theory of Involuntary Cartelization 
Abstract:
  This paper first shows that, in the absence of long-term production
 commitments, time-consistent monopolistic sellers of a wasting natural
 resource will underconserve their resource. Since the present values of
 the profits of these uncommitted monopolists are generally much lower than
 under competition, the only rational explanation for the persistent
 recurrence of such monopolies in the oil industry is the high profits to
 current generations of oil buyers, who unite to establish such a producer
 monopoly. The victims of such a monopolistic cartel, besides future
 generations of consumers, are the producers who must involuntarily expand
 their current productive capacities in order to benefit the cartel
 leaders, who stand to benefit from the higher future prices. OPEC, rather
 than being a monopolistic cartel, is an excess-capacity cartel, one that
 has been induced by current generations of buyers to supply sufficient
 excess capacity to efficiently accommodate their prospective future
 emergencies. 
Journal: International Journal of the Economics of Business 
Pages: 63-78 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Time-CONSISTENCY, Monopoly, International Cartels, Natural Resources, Conservation, Intergenerational Exploitation, 
X-DOI: 10.1080/13571510084069 
File-URL: http://www.tandfonline.com/10.1080/13571510084069 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:63-78




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Ekelund 
Author-X-Name-First: Robert 
Author-X-Name-Last: Ekelund 
Author-Name: George Ford 
Author-X-Name-First: George 
Author-X-Name-Last: Ford 
Author-Name: John Jackson 
Author-X-Name-First: John 
Author-X-Name-Last: Jackson 
Title: Are Local TV Markets Separate Markets? 
Abstract:
  In sweeping revisions the US Telecommunications Act of 1996 relaxed rules
 respecting broadcast TV ownership regulations. In particular Congress
 directed the Federal Communication Commission (FCC) to conduct a
 rulemaking on whether the 'duopoly rules' preventing businesses from
 owning multiple broadcast stations in the same market should be relaxed,
 modified or eliminated. Naturally, this directive raises questions
 concerning competition. Specifically, would concentration and
 consolidation of local media firms have deleterious effects on advertising
 rates, output and consumer choice? In the present paper we examine, using
 own-price and cross-price elasticity demand estimates, the question of
 whether local TV markets constitute a separate market for advertising. Our
 structural tests, with appropriate caveats, reveal that local TV
 advertising is not, by itself, a distinct market - one relevant for
 antitrust action. 
Journal: International Journal of the Economics of Business 
Pages: 79-97 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Telecommunications, Tv Advertising, Antitrust, 
X-DOI: 10.1080/13571510084078 
File-URL: http://www.tandfonline.com/10.1080/13571510084078 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:79-97




Template-Type: ReDIF-Article 1.0
Author-Name: A. Marvasti 
Author-X-Name-First: A. 
Author-X-Name-Last: Marvasti 
Title: Motion Pictures Industry: Economies of Scale and Trade 
Abstract:
  Recent economic theories find industrial structure to be an important
 determinant of the pattern of trade. In the motion picture industry,
 economies of scale and imperfect competition, in addition to cultural
 sovereignty, are conditions sometimes used to justify protectionist
 policies. This paper examines the significance of the capital-labor ratio,
 VCRs, market share, tariffs, domestic market size, taste similarities,
 stars and domestically popular films on international trade in the
 industry. The results indicate that stars and blockbusters in the domestic
 market do not seem to influence consumption of films overseas, however,
 external economies of scale are present in the industry, tariffs are
 effective trade barriers in the industry, and VCRs increase the chances of
 piracy. 
Journal: International Journal of the Economics of Business 
Pages: 99-114 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Us Motion Picture Trade, Imperfect Competition, Industry Structure, Economies Of Scale, 
X-DOI: 10.1080/13571510084087 
File-URL: http://www.tandfonline.com/10.1080/13571510084087 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:99-114




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Utton 
Author-X-Name-First: Michael 
Author-X-Name-Last: Utton 
Title: Books Are Not Different After All: Observations on the Formal Ending of the Net Book Agreement in the UK 
Abstract:
  By the begining of 1997 resale price maintenance was legally enforceable
 on only two groups of products in the UK, books and non-prescription
 medicines. The Net Book Agreement had been in existence substantially
 unchanged, for close on 100 years. It amounted to a horizontal agreement
 amongst publishers to maintain a vertical restraint on resale prices. The
 Restrictive Practices Court in 1962 had accepted that the abandonment of
 the Agreement would deprive the public of a substantial benefit and that,
 therefore, it could be retained. By the late 1990s, however, the Court was
 persuaded that there had been a material change of circumstances in the
 industry (in production costs, in the length of economic production runs,
 and in the structure of retailing) and that as a result, the arguments
 accepted in 1962 were no longer valid. In particular, the main supporter
 of the Agreement, the Publishers Association, had decided it could no
 longer defend it. The Court decided that the Agreement should be struck
 down. 
Journal: International Journal of the Economics of Business 
Pages: 115-126 
Issue: 1 
Volume: 7 
Year: 2000 
Keywords: Resale Price Maintenance, Vertical Restraints, Material Change Of Circumstances, Restrictive Practices Court, 
X-DOI: 10.1080/13571510084096 
File-URL: http://www.tandfonline.com/10.1080/13571510084096 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:1:p:115-126




Template-Type: ReDIF-Article 1.0
Author-Name: Luke Froeb 
Author-X-Name-First: Luke 
Author-X-Name-Last: Froeb 
Author-Name: Gregory Werden 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Werden 
Title: An Introduction to the Symposium on the Use of Simulation in Applied Industrial Organization 
Abstract:
  Simulation offers a rigorous methodology for addressing policy or
 litigation issues that require a comparison of an observed state of the
 world with an unobserved one. Simulation employs a calibrated, structural
 oligopoly model to describe the unobserved state of the world. Calibration
 involves reliance on real-world observations to set the key parameter
 values in the model. Simulation is an increasingly important tool of the
 industrial organization economist, particularly in analyzing the
 competitive effects of mergers. Papers in this symposium illustrate merger
 simulations in a variety of contexts and one other application of
 simulation. 
Journal: International Journal of the Economics of Business 
Pages: 133-137 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Simulation, Mergers, Antitrust, Patents, Electricity, 
X-DOI: 10.1080/13571510050084479 
File-URL: http://www.tandfonline.com/10.1080/13571510050084479 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:133-137




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Werden 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Werden 
Title: Expert Report in United States v. Interstate Bakeries Corp. and Continental Baking Co. 
Abstract:
  This is a condensed antitrust analysis of the proposed merger of two
 leading bakers of white pan bread. The traditional structural analysis is
 supplemented by merger simulation, which estimates the likely price
 effects of the merger. 
Journal: International Journal of the Economics of Business 
Pages: 139-148 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Simulation, Mergers, Antitrust, Baking, 
X-DOI: 10.1080/13571510050084488 
File-URL: http://www.tandfonline.com/10.1080/13571510050084488 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:139-148




Template-Type: ReDIF-Article 1.0
Author-Name: Atanu Saha 
Author-X-Name-First: Atanu 
Author-X-Name-Last: Saha 
Author-Name: Peter Simon 
Author-X-Name-First: Peter 
Author-X-Name-Last: Simon 
Title: Predicting the Price Effect of Mergers with Polynomial Logit Demand 
Abstract:
  We propose a polynomial logit model to quantify the price effects of
 mergers in a static Nash setting. The proposed model is parsimonious in
 parameters and is shown to have excellent predictive power, rivaling the
 in-sample and out-of-sample predictive accuracy of the widely-used AIDS
 model.The analysis, using actual scanner data on bread sales, demonstrates
 that a linear logit model is likely to over-estimate the merger price
 effect. 
Journal: International Journal of the Economics of Business 
Pages: 149-157 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Mergers, Antitrust, Discrete Choice, Logit, 
X-DOI: 10.1080/13571510050084497 
File-URL: http://www.tandfonline.com/10.1080/13571510050084497 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:149-157




Template-Type: ReDIF-Article 1.0
Author-Name: David Weiskopf 
Author-X-Name-First: David 
Author-X-Name-Last: Weiskopf 
Title: The Impact of Omitting Promotion Variables on Simulation Experiments 
Abstract:
  Using store-level scanner data, elasticity matrices are estimated using a
 twotiered demand system. Two basic models are estimated, one with
 promotion variables and one without. Differences between the estimates
 across the two models are statistically significant. However, when the
 elasticities are used as 'inputs' into several simulation exercises, there
 are only small differences in merger effects and patent damage
 estimates.The results suggest that the differences are not 'economically'
 significant. 
Journal: International Journal of the Economics of Business 
Pages: 159-166 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Antitrust, Aids Demand, Merger Simulation, Patent Damage Simulation, Scanner Data, Omitted Variables Bias, 
X-DOI: 10.1080/13571510050084505 
File-URL: http://www.tandfonline.com/10.1080/13571510050084505 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:159-166




Template-Type: ReDIF-Article 1.0
Author-Name: John Morris 
Author-X-Name-First: John 
Author-X-Name-Last: Morris 
Title: Finding Market Power in Electric Power Markets 
Abstract:
  As part of the regulatory review of electric utility mergers in the
 United States, the Federal Energy Regulatory Commission requires utilities
 to submit market power studies. The Commission has specified a detailed
 method for calculating market concentration in these studies.This paper
 shows that one can simulate the actual price effects from the merger by
 using similar data and models. Using the merger between Union Electric and
 Central Illinois Public Service Company as an example, this paper
 demonstrates that the Commission's method is unsound and often identifies
 competitive problems that are not likely to exist. 
Journal: International Journal of the Economics of Business 
Pages: 167-178 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Electric Utilities, Computer Simulation, Mergers, 
X-DOI: 10.1080/13571510050084514 
File-URL: http://www.tandfonline.com/10.1080/13571510050084514 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:167-178




Template-Type: ReDIF-Article 1.0
Author-Name: Jith Jayaratne 
Author-X-Name-First: Jith 
Author-X-Name-Last: Jayaratne 
Author-Name: Carl Shapiro 
Author-X-Name-First: Carl 
Author-X-Name-Last: Shapiro 
Title: Simulating Partial Asset Divestitures to 'Fix' Mergers 
Abstract:
  In this paper, we apply and extend merger simulation methodology to
 analyze the effectiveness of partial divestitures as a 'fix' to remedy the
 possible anticompetitive effects of horizontal mergers. Typically,
 antitrust agencies require merging firms to divest assets so that the
 status quo before the merger is restored, that is, they favor a 'full
 divestiture'. We focus on the effectiveness of a partial divestiture as an
 antitrust remedy (where a subset of products owned by the merging firms is
 spun off). Although this is not the type of full divestiture favored by
 antitrust agencies, we argue here that a partial divestiture could leave
 consumers better off after the merger than they were before - under
 certain conditions. Using a real-world example, we show how divesting a
 relatively close substitute creates competition that offsets the
 anticompetitive effects of combining products that are relatively distant
 substitutes. This result stands even when the divestee is moderately
 inefficient. 
Journal: International Journal of the Economics of Business 
Pages: 179-200 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Mergers, Antitrust, Simulation, Logit, Divestiture, 
X-DOI: 10.1080/13571510050084523 
File-URL: http://www.tandfonline.com/10.1080/13571510050084523 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:179-200




Template-Type: ReDIF-Article 1.0
Author-Name: Steven Tschantz 
Author-X-Name-First: Steven 
Author-X-Name-Last: Tschantz 
Author-Name: Philip Crooke 
Author-X-Name-First: Philip 
Author-X-Name-Last: Crooke 
Author-Name: Luke Froeb 
Author-X-Name-First: Luke 
Author-X-Name-Last: Froeb 
Title: Mergers in Sealed versus Oral Auctions 
Abstract:
  In this paper, we study mergers in oral or second-price auctions and
 compare them to mergers in sealed-bid or first-price auctions. We use an
 adaptation of the logit qualitative choice model to characterize the
 underlying bidder value distributions. In second-price auctions, this
 model has a closed-form relationship between winning bids (prices) and the
 probabilities of winning (shares), and this relationship gives rise to a
 Herfindahl-like formula that predicts merger effects. We compare mergers
 in second-price auctions to mergers in first-price auctions. Despite their
 differences, sealed-bid merger effects are predicted by the oral
 Herfindahl-like formula.The source of this curious similarity is not
 apparent. 
Journal: International Journal of the Economics of Business 
Pages: 201-212 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Auction, Merger, 
X-DOI: 10.1080/13571510050084532 
File-URL: http://www.tandfonline.com/10.1080/13571510050084532 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:201-212




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Werden 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Werden 
Author-Name: Luke Froeb 
Author-X-Name-First: Luke 
Author-X-Name-Last: Froeb 
Author-Name: James Langenfeld 
Author-X-Name-First: James 
Author-X-Name-Last: Langenfeld 
Title: Lost Profits from Patent Infringement: The Simulation Approach 
Abstract:
  A patent owner is entitled to recover any additional profits that would
 have been earned but for infringement. This paper suggests the use of an
 adaptation of merger simulation to assess lost profits in patent
 infringement cases. A model of the industry with infringement is
 calibrated to observed prices and quantities and estimated demand
 elasticities. Lost profits are then estimated by calculating a new
 equilibrium without the infringing product(s). 
Journal: International Journal of the Economics of Business 
Pages: 213-227 
Issue: 2 
Volume: 7 
Year: 2000 
Keywords: Simulation, Patents, Damages, 
X-DOI: 10.1080/13571510050084541 
File-URL: http://www.tandfonline.com/10.1080/13571510050084541 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:2:p:213-227




Template-Type: ReDIF-Article 1.0
Author-Name: Graham Hall 
Author-X-Name-First: Graham 
Author-X-Name-Last: Hall 
Title: An Appreciation: Simon Domberger, 29.9.49 - 4.5.00 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 237-244 
Issue: 3 
Volume: 7 
Year: 2000 
X-DOI: 10.1080/13571510050197168 
File-URL: http://www.tandfonline.com/10.1080/13571510050197168 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:237-244




Template-Type: ReDIF-Article 1.0
Author-Name: Matthias Greuner 
Author-X-Name-First: Matthias 
Author-X-Name-Last: Greuner 
Author-Name: David Kamerschen 
Author-X-Name-First: David 
Author-X-Name-Last: Kamerschen 
Author-Name: Peter Klein 
Author-X-Name-First: Peter 
Author-X-Name-Last: Klein 
Title: The Competitive Effects of Advertising in the US Automobile Industry, 1970-94 
Abstract:
  Is advertising anticompetitive? One school of thought in industrial
 economics holds that advertising increases profits and reduces consumer
 welfare by creating spurious product differentiation and barriers to
 entry. Another school focuses on the informative character of advertising,
 claiming that advertising makes markets more competitive and reduces
 profits by supplying consumers with information about price and quality.
 We distinguish these views by examining the effect of advertising on
 competition in the US automobile industry. Our data include advertising,
 sales, profit, and market-share figures for General Motors, Ford, and
 Chrysler over a 25-year period from 1970 to 1994.We ask if advertising
 increases or decreases profitability, controlling for market structure and
 other factors affecting demand.Wefind that these firms cannot increase
 their profits above normal levels by increasing their advertising
 expenditures. This evidence supports the view that advertising serves
 primarily to transmit information, not to create entry barriers. 
Journal: International Journal of the Economics of Business 
Pages: 245-261 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Automobile Industry, Advertising, Competition, Entry Barriers, Information, 
X-DOI: 10.1080/13571510050197177 
File-URL: http://www.tandfonline.com/10.1080/13571510050197177 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:245-261




Template-Type: ReDIF-Article 1.0
Author-Name: Frederick Guy 
Author-X-Name-First: Frederick 
Author-X-Name-Last: Guy 
Title: CEO Pay, Shareholder Returns, and Accounting Profits 
Abstract:
  We assess the impact on CEO pay (including salary, cash bonus, and
 benefits in kind) of changes in both accounting and shareholder returns in
 99 British companies in the years 1972-89. After correcting for
 heterogeneity biases inherent in the standard specifications of the
 problem, we find a strong positive relationship between CEO pay and
 within-company changes in shareholder returns, and no statistically
 significant relationship between CEO pay and within-company changes in
 accounting returns. Differences between firms in long-term average
 profitability do appear to have a substantial effect on CEO pay, while
 differences between firms in shareholder returns add nothing to the
 within-firm pay dynamics.These findings call into question the rationale
 for explicitly share-based incentive schemes. 
Journal: International Journal of the Economics of Business 
Pages: 263-274 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Ceo Pay, Random Coefficients, 
X-DOI: 10.1080/13571510050197186 
File-URL: http://www.tandfonline.com/10.1080/13571510050197186 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:263-274




Template-Type: ReDIF-Article 1.0
Author-Name: Grazia Santangelo 
Author-X-Name-First: Grazia 
Author-X-Name-Last: Santangelo 
Title: Inter-European Regional Dispersion of Corporate Research Activity in Information and Communications Technology: The Case of German, Italian and UK Regions 
Abstract:
  The increased geographical dispersion of corporate research seems to
 emphasize the significance of the local dimension over the pace of
 technological development. However, although a large number of studies
 have focused on intra-border analysis in the US, the European regional
 dimension has been explored only recently due to the lack of data
 availability.This paper investigates the regional dispersion of
 European-owned ICT research activity across German, Italian and UK
 regions.The empirical results suggest that locally embedded value added
 and the subsequent localised knowledge spillovers stemming from it are
 promoting spatial agglomeration economies, which generate competitive
 corporate advantage based on untraded externalities. 
Journal: International Journal of the Economics of Business 
Pages: 275-295 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Corporate Research And Development, European Regions, 
X-DOI: 10.1080/13571510050197195 
File-URL: http://www.tandfonline.com/10.1080/13571510050197195 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:275-295




Template-Type: ReDIF-Article 1.0
Author-Name: Graham Hall 
Author-X-Name-First: Graham 
Author-X-Name-Last: Hall 
Author-Name: Patrick Hutchinson 
Author-X-Name-First: Patrick 
Author-X-Name-Last: Hutchinson 
Author-Name: Nicos Michaelas 
Author-X-Name-First: Nicos 
Author-X-Name-Last: Michaelas 
Title: Industry Effects on the Determinants of Unquoted SMEs' Capital Structure 
Abstract:
  This paper reports a study of 3500 unquoted, UK small and medium sized
 enterprises (SMEs). The objectives of the research were to test various
 hypotheses concerning the determinants of SME capital structure and to
 establish whether and how the relationship of these determinants to long-
 and short-term debt varied between industries. Long-term debt was found to
 be related positively to asset structure and company size and negatively
 to age; short-term debt was related negatively to profitability, asset
 structure, size and age and positively to growth. Significant variation
 across industries was found in most of the explanatory variables. The
 effect of growth on short-term debt, however, was consistent across
 industries whilst profitability had no effect on long-term borrowing in
 any industry. 
Journal: International Journal of the Economics of Business 
Pages: 297-312 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Capital Structure, Industry Effects, Smes, 
X-DOI: 10.1080/13571510050197203 
File-URL: http://www.tandfonline.com/10.1080/13571510050197203 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:297-312




Template-Type: ReDIF-Article 1.0
Author-Name: Daphne Hameeteman 
Author-X-Name-First: Daphne 
Author-X-Name-Last: Hameeteman 
Author-Name: Bert Scholtens 
Author-X-Name-First: Bert 
Author-X-Name-Last: Scholtens 
Title: Size, Growth, and Variance among the World's Largest Non-merged Banks 
Abstract:
  This paper analyses growth, size, and variance of the capital, assets,
 and pre-tax profits of large international banks during 1987-97.We test
 hypotheses on whether size matters. It turns out that there is an inverse
 relationship between the amount of bank capital, assets, and profits and
 the growth rate of these items.This is in line with the findings for US
 banks in the pre-BrettonWoods era. Furthermore, we did not find, in
 contrast with Tschoegl's observations for international banks in the
 1970s, a negative relationship between the size of large banks and the
 variability of growth in capital, assets, or profits. We conclude that
 size is not a self-sustaining attribute of international banks. 
Journal: International Journal of the Economics of Business 
Pages: 313-323 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Bank Performance, Bank Size, International Banking, 
X-DOI: 10.1080/13571510050197212 
File-URL: http://www.tandfonline.com/10.1080/13571510050197212 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:313-323




Template-Type: ReDIF-Article 1.0
Author-Name: Uri Ben-Zion 
Author-X-Name-First: Uri 
Author-X-Name-Last: Ben-Zion 
Author-Name: Aharon Hibshoosh 
Author-X-Name-First: Aharon 
Author-X-Name-Last: Hibshoosh 
Author-Name: Uriel Spiegel 
Author-X-Name-First: Uriel 
Author-X-Name-Last: Spiegel 
Title: Price Discrimination by Coupons Restriction 
Abstract:
  In this paper we show how the use of a restricted number of coupons in
 the presence of different types of customers is an effective means of
 implementing a price discriminating policy. Hence, firm profits can be
 increased even when traditional price discrimination is forbidden. 
Journal: International Journal of the Economics of Business 
Pages: 325-331 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Price Discrimination, Coupons, Loyal Customers, Deal Prones, 
X-DOI: 10.1080/13571510050197221 
File-URL: http://www.tandfonline.com/10.1080/13571510050197221 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:325-331




Template-Type: ReDIF-Article 1.0
Author-Name: Nicholas Wilson 
Author-X-Name-First: Nicholas 
Author-X-Name-Last: Wilson 
Author-Name: Barbara Summers 
Author-X-Name-First: Barbara 
Author-X-Name-Last: Summers 
Author-Name: Robert Hope 
Author-X-Name-First: Robert 
Author-X-Name-Last: Hope 
Title: Using Payment Behaviour Data for Credit Risk Modelling 
Abstract:
  In this paper we evaluate payment scores in two contexts; that of
 predicting future payment behaviour and that of corporate failure
 prediction. The assessment of the ability and willingness of a firm to pay
 its creditors, and the likely timeliness of payments, are a major focus of
 both credit risk analysis (from the trade credit perspective) and
 government policy, although the latter issues have not been much studied
 in the academic literature. While failure prediction models are
 traditionally used as indicators of payment behaviour in the UK, payment
 behaviour prediction models are estimated and made available in the USA by
 the leading credit reporting agencies and the predictive abilities of such
 scores in the UK context are, therefore, worthy of consideration.We also
 consider the contribution that payment behaviour scores can make to
 predicting corporate failure. An important question is whether the
 availability of payment behaviour scores increases the overall information
 content of the credit report or merely re-packages information represented
 elsewhere. We find that payment behaviour data can be used to predict
 successfully future payment behaviour in a trade credit context, and can
 add incrementally to the predictivity of corporate failure models. 
Journal: International Journal of the Economics of Business 
Pages: 333-346 
Issue: 3 
Volume: 7 
Year: 2000 
Keywords: Corporate Failure, Payment Behaviour, Trade Credit, Credit Risk, 
X-DOI: 10.1080/13571510050197230 
File-URL: http://www.tandfonline.com/10.1080/13571510050197230 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:7:y:2000:i:3:p:333-346




Template-Type: ReDIF-Article 1.0
Author-Name: Holger Gorg 
Author-X-Name-First: Holger 
Author-X-Name-Last: Gorg 
Author-Name: Frances Ruane 
Author-X-Name-First: Frances 
Author-X-Name-Last: Ruane 
Title: Multinational Companies and Linkages: Panel-Data Evidence for the Irish Electronics Sector 
Abstract:
  This paper analyses the extent and determinants of backward local
 linkages between multinational companies and domestic suppliers in the
 Irish electronics industry, and their effect on indirect employment
 generated in domestic supplier firms. Several models in recent literature
 show that linkages between firms can lead to positive effects on the
 development of indigenous industry, agglomerations, technology spill-overs
 and indirect employment generation. Our empirical analysis, using a
 uniquely generated firm-level panel data set, indicates that the extent of
 linkages is related in a non-linear fashion to the length of time that the
 firm is located in Ireland. In the context of the literature on the
 effects of linkages, we find empirical evidence consistent with the view
 that growth in employment in upstream supplier firms in electronics is
 linked to the development of downstream firms. 
Journal: International Journal of the Economics of Business 
Pages: 1-18 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Multinational Companies, Local Linkages, Indirect Employment, 
X-DOI: 10.1080/13571510151075215 
File-URL: http://www.tandfonline.com/10.1080/13571510151075215 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:8:y:2001:i:1:p:1-18




Template-Type: ReDIF-Article 1.0
Author-Name: Kirsten Foss 
Author-X-Name-First: Kirsten 
Author-X-Name-Last: Foss 
Author-Name: Nicolai Foss 
Author-X-Name-First: Nicolai 
Author-X-Name-Last: Foss 
Title: Assets, Attributes and Ownership 
Abstract:
  The notion of full asset ownership is important in economics, for
 example, in recent work on the boundaries of the firm. Much of this work
 has been taken up with the issue why it matters who owns an asset.
 However, recognizing that assets have multiple attributes, and that these
 may be subject to capture in a world of positive measurement and
 enforcement costs, implies that the notion of full asset ownership is
 problematic. New property rights theorists sidestep these issues by
 implicitly assuming that residual rights of control are perfectly enforced
 (i.e. full asset ownership obtains). We discuss the notion of property
 rights and ownership in a setting characterized by positive costs of
 enforcement, and suggest that in such a setting, the new property rights
 model is a part of a more overarching perspective, which also includes
 older contributions to property rights economics. 
Journal: International Journal of the Economics of Business 
Pages: 19-37 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Ownership, Property Rights, Economic Organization, 
X-DOI: 10.1080/13571510151075233 
File-URL: http://www.tandfonline.com/10.1080/13571510151075233 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:8:y:2001:i:1:p:19-37




Template-Type: ReDIF-Article 1.0
Author-Name: Kent Matthews 
Author-X-Name-First: Kent 
Author-X-Name-Last: Matthews 
Author-Name: Jean Lloyd-Williams 
Author-X-Name-First: Jean 
Author-X-Name-Last: Lloyd-Williams 
Title: The VAT-Evading Firm and VAT Evasion: An Empirical Analysis 
Abstract:
  It has been claimed that an increase in the ratio of VAT reclaimed to VAT
 paid is an indicator of increasing non-compliance. By examining this
 ratio, this paper evaluates the potential for VAT non-compliance in the
 Restaurant and Take-out, Clothing and Footwear, Furniture and
 Floor-coverings, and Hairdressing markets. Estimates of aggregate
 expenditure are used to estimate potential gross VAT payments. These are
 compared with actual gross payments as an indicator of the extent of
 non-compliance. 
Journal: International Journal of the Economics of Business 
Pages: 39-49 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Value Added Tax, Tax Evasion, The Firm, 
X-DOI: 10.1080/13571510151075251 
File-URL: http://www.tandfonline.com/10.1080/13571510151075251 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:8:y:2001:i:1:p:39-49




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Pearce 
Author-X-Name-First: Robert 
Author-X-Name-Last: Pearce 
Title: Multinationals and Industrialisation: The Bases of 'Inward Investment' Policy 
Abstract:
  The paper argues that policies towards inward investment should extend,
 much more decisively and comprehensively, beyond initial attraction in
 order to seek to secure sustained benefits from these operations. The view
 of the modern multinational enterprise as a dynamic differentiated
 network, operating through subsidiaries that have scope for evolution and
 development, provides a basis for the analysis of the potentials in this
 regard. The paper discusses in detail the content of particular phases in
 subsidiary transformation that can then provide a potential for embedding
 their operations in a host country in a creative and dynamic way that
 generates mutually supportive interdependencies in processes of resource
 (notably knowledge) generation and use. 
Journal: International Journal of the Economics of Business 
Pages: 51-73 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Multinationals, Industrialisation, Technology, Government Policy, 
X-DOI: 10.1080/13571510151075279 
File-URL: http://www.tandfonline.com/10.1080/13571510151075279 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:1:p:51-73




Template-Type: ReDIF-Article 1.0
Author-Name: Wilfried Pauwels 
Author-X-Name-First: Wilfried 
Author-X-Name-Last: Pauwels 
Author-Name: Hylke Vandenbussche 
Author-X-Name-First: Hylke 
Author-X-Name-Last: Vandenbussche 
Author-Name: Marcel Weverbergh 
Author-X-Name-First: Marcel 
Author-X-Name-Last: Weverbergh 
Title: Strategic Behaviour under European Antidumping Duties 
Abstract:
  In this paper we develop a dynamic two-period model of imperfect
 competition to analyse the effects of European antidumping duties on firm
 behaviour and domestic welfare. Our model is one of the first to
 complement the European empirical literature on antidumping policy and can
 usefully be compared with papers dealing with the effects of US
 antidumping policy. We arrive at three important conclusions: (a) the
 strategic behaviour of European firms under European antidumping rules may
 run in the opposite direction compared to the incentives for US firms
 provided under the US antidumping rules; (b) US antidumping rules perform
 better than European rules in terms of domestic welfare and in terms of
 protecting domestic value added and employment; (c) the Strategic Trade
 Policy argument for protection need not apply for antidumping duties
 because the level of protection is endogenously determined by the firms
 involved. 
Journal: International Journal of the Economics of Business 
Pages: 75-99 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Antidumping Duties, Two-PERIOD Cournot Oligopoly, Domestic Welfare, 
X-DOI: 10.1080/13571510151075297 
File-URL: http://www.tandfonline.com/10.1080/13571510151075297 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:1:p:75-99




Template-Type: ReDIF-Article 1.0
Author-Name: Roger Svensson 
Author-X-Name-First: Roger 
Author-X-Name-Last: Svensson 
Title: Success Determinants when Tendering for International Consulting Projects 
Abstract:
  A unique database on individual proposals is used to analyse competition
 among consulting firms (CFs) for international projects. CFs, which sell
 services based on human capital, focus on developing countries when
 operating abroad and, thereby, are highly dependent on development
 agencies (DAs). The DAs have strict tender rules and claim that skill and
 experience are the most important factors when proposals are evaluated.
 Both economic theory and the results of the estimations suggest, however,
 that long-term relationships (LTRs) between the CFs and the clients are at
 least as important as traditional skill and experience factors. The LTRs
 are here measured by means of information about whether the CF has
 previously worked for the client (repeat purchases) or has visited the
 client. The results indicate that the client in some cases has pre-decided
 which CF to select. The client invites several CFs to compete for the
 tender anyway, either because he is forced to do so by the financier, or
 because he wants to subject an old supplier to competitive pressure. As
 the tender rules do not seem to be followed, a policy implication would be
 that the DAs can skip, or at least relax, their strict tender rules, or
 strengthen the sanctions associated with violations of the rules. 
Journal: International Journal of the Economics of Business 
Pages: 101-122 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Consulting Firms, Export Proposals, Procurement, Development Agencies, Long-TERM Relationships, Asymmetric Information, 
X-DOI: 10.1080/13571510151075314 
File-URL: http://www.tandfonline.com/10.1080/13571510151075314 
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Template-Type: ReDIF-Article 1.0
Author-Name: Paul Stoneman 
Author-X-Name-First: Paul 
Author-X-Name-Last: Stoneman 
Author-Name: Otto Toivanen 
Author-X-Name-First: Otto 
Author-X-Name-Last: Toivanen 
Title: The Impact of Revised Recommended Accounting Practices on R&D Reporting by UK Firms 
Abstract:
  The R&D reporting practices of UK quoted companies are analysed and the
 impact of the introduction of a revised Statement of Standard Accounting
 Practices in 1989, SSAP13 (Revised), recommending separate R&D disclosure
 for companies meeting certain size thresholds, explored. Using hazard rate
 models the preferred results indicate that the hazard of a firm reporting
 its R&D in its annual accounts shows positive time dependence and that
 large firms, by sales, are more likely to announce than small firms. It is
 also found that the introduction of SSAP13 impacted considerably upon the
 extent of reporting by all firms (whatever their size) with an
 anticipation effect in 1988, and large positive impacts in 1989 and 1990.
 Post-1989 those firms that exceeded the size thresholds embodied in the
 new standard also had a higher hazard of reporting their R&D. 
Journal: International Journal of the Economics of Business 
Pages: 123-136 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: R And D, Accounting Standards, Information Disclosure, 
X-DOI: 10.1080/13571510151075332 
File-URL: http://www.tandfonline.com/10.1080/13571510151075332 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:1:p:123-136




Template-Type: ReDIF-Article 1.0
Author-Name: Ahmad Seyf 
Author-X-Name-First: Ahmad 
Author-X-Name-Last: Seyf 
Title: Can Globalisation and Global Localisation Explain Foreign Direct Investment? Japanese Firms in Europe 
Abstract:
  This paper uses logit regression on the responses of 383 Japanese
 manufacturing firms located in the member countries of the European Union
 to investigate the motives for foreign direct investment. Japan External
 Trade Organisation (JETRO) data, as published in their 8th Annual Survey
 (October 1992) classified by industry, were used. The results confirm that
 decisions leading to FDI cannot be explained by a single factor and,
 furthermore, different types of FDI are influenced by different
 combinations of motives. 
Journal: International Journal of the Economics of Business 
Pages: 137-153 
Issue: 1 
Volume: 8 
Year: 2001 
Keywords: Globalisation, Foreign Direct Investment, Internationalisation, European Union, 
X-DOI: 10.1080/13571510151075350 
File-URL: http://www.tandfonline.com/10.1080/13571510151075350 
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Template-Type: ReDIF-Article 1.0
Author-Name: John Cantwell 
Author-X-Name-First: John 
Author-X-Name-Last: Cantwell 
Author-Name: Rajneesh Narula 
Author-X-Name-First: Rajneesh 
Author-X-Name-Last: Narula 
Title: The Eclectic Paradigm in the Global Economy 
Abstract:
  Economic globalisation and the subsequent growth of global and alliance
 capitalism have fundamentally affected the way in which MNC activities are
 undertaken and organised. The various contributions to this special issue
 have evaluated the eclectic paradigm in the global economy, and its
 validity as a theoretical basis to understand these developments. This
 paper places these contributions into context. We highlight that
 globalisation has increased the interactive dynamics between and among
 'O', 'L' and 'I' characteristics at firm, industry and country level, in
 at least two ways. First, a knowledge-based society has meant that the
 efficient exploitation of MNCs' ownership advantages and the continual
 need to augment and sustain their competitive advantages is ever more
 crucial, leading to a complex interdependence between ownership and
 location advantages. Second, globalisation has affected how MNCs seek to
 organise their cross-border activities coherently in response to changing
 boundaries of the firm. We find that the paradigm continues to provide a
 framework which facilitates how best to synthesise relevant complementary
 theories, or how to choose between potentially competing theories, and
 helps to operationalise them. 
Journal: International Journal of the Economics of Business 
Pages: 155-172 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Eclectic Paradigm, Mncs, Internationalisation, Technological Change, Economic Development, Asset Augmentation, Innovation Alliances, Transaction Cost Theory, 
X-DOI: 10.1080/13571510110051504 
File-URL: http://www.tandfonline.com/10.1080/13571510110051504 
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Template-Type: ReDIF-Article 1.0
Author-Name: John Dunning 
Author-X-Name-First: John 
Author-X-Name-Last: Dunning 
Title: The Eclectic (OLI) Paradigm of International Production: Past, Present and Future 
Abstract:
  This article describes the origins, and traces the subsequent evolution
 of the eclectic paradigm from the mid-1950s to the present day. It does so
 in the light of the changing characteristics of MNE activity and of the
 global economic scenario. The article concludes by asserting that the
 eclectic paradigm still remains a powerful and robust framework for
 examining contextual specific theories of foreign direct investment and
 international production. 
Journal: International Journal of the Economics of Business 
Pages: 173-190 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Eclectic Paradigm, Mnes, Strategy, International Production, Alliances, 
X-DOI: 10.1080/13571510110051441 
File-URL: http://www.tandfonline.com/10.1080/13571510110051441 
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Template-Type: ReDIF-Article 1.0
Author-Name: Paz Estrella Tolentino 
Author-X-Name-First: Paz Estrella 
Author-X-Name-Last: Tolentino 
Title: From a Theory to a Paradigm: Examining the Eclectic Paradigm as a Framework in International Economics 
Abstract:
  Over the course of a quarter of a century, the eclectic paradigm has
 derived its strength from being a general framework of analysis that
 explains the level and pattern of foreign value-added activities of firms,
 and/or of countries, and allows for the co-existence of complementary and
 alternative theories in the discipline of international economics in a
 logically consistent manner without being inextricably wedded to any one
 particular approach. The current study aims to support such broad
 theoretical appeal of the paradigm by refining its theoretical
 interpretations of the concepts of ownership advantages and
 internalisation. To support its view that asset ownership advantages are
 both competitive advantages and monopolistic advantages, the theoretical
 interpretation of asset ownership advantages in the paradigm needs to be
 broadened from a narrow emphasis on Bain-type monopolistic advantages
 which enable firms to erect barriers to entry to new competition and
 exercise monopoly power in final product markets. It must also accommodate
 the theoretical perception of asset ownership advantages as part of the
 rivalrous behaviour or competitive process between firms consistent with
 the approach of Cantillon and the classical economists starting with Adam
 Smith, the Austrian economists such as Schumpeter and Hayek, as well as
 Penrose. The eclectic paradigm must also effectively address the important
 distinction between 'internalisation of ownership advantages or
 intermediate products' and the 'internalisation of the markets for
 ownership advantages or intermediate products' within the context of
 endogenous structural market imperfections in final products and exogenous
 transactional market imperfections in intermediate products. In clearly
 distinguishing between the alternative interpretations of the concepts of
 ownership advantages and internalisation, the paradigm could more
 effectively synthesise alternative theories of the firm and the
 multinational corporation in one cogent framework of economic analysis. 
Journal: International Journal of the Economics of Business 
Pages: 191-209 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Eclectic Paradigm, Theory Of International Production, Theory Of The Multinational Enterprise, 
X-DOI: 10.1080/13571510110051496 
File-URL: http://www.tandfonline.com/10.1080/13571510110051496 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:191-209




Template-Type: ReDIF-Article 1.0
Author-Name: Terutomo Ozawa 
Author-X-Name-First: Terutomo 
Author-X-Name-Last: Ozawa 
Author-Name: Sergio Castello 
Author-X-Name-First: Sergio 
Author-X-Name-Last: Castello 
Title: Toward an 'International Business' Paradigm of Endogenous Growth: Multinationals and Governments as Co-Endogenisers 
Abstract:
  Endogenous growth theory has recently originated in economics. Building
 on this theory, this paper conceptualises the phenomenon of endogenous
 growth in terms of some new ideas developed in the field of international
 business (IB), especially Dunning's eclectic paradigm and his notion of
 macro-organisation policy. These ideas have so far not been linked to the
 notion of endogenous growth. At the same time, mainstream economics has
 not made much progress in exploring the MNC-government relationships
 through which growth-inducing 'mechanics' are created, a topic of great
 importance in IB. Both MNCs and governments complement each other in
 facilitating an efficient matching of ownership-specific assets (notably
 knowledge) with location-specific advantages through Dunning's OLI
 mechanism, thereby enabling the developing host countries to realise
 potential growth in an intensified manner, a new mode of endogenous growth
 that counteracts the law of diminishing returns. The phenomenon of
 MNC-cum-governmentdriven endogenous growth will be conceptualised. 
Journal: International Journal of the Economics of Business 
Pages: 211-228 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: International Business, Eclectic Paradigm, Endogenous Growth, Internalisation, Mnc-CUM-GOVERNMENT-DRIVEN Growth, 
X-DOI: 10.1080/13571510110051450 
File-URL: http://www.tandfonline.com/10.1080/13571510110051450 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:211-228




Template-Type: ReDIF-Article 1.0
Author-Name: Sarianna Lundan 
Author-X-Name-First: Sarianna 
Author-X-Name-Last: Lundan 
Author-Name: John Hagedoorn 
Author-X-Name-First: John 
Author-X-Name-Last: Hagedoorn 
Title: Alliances, Acquisitions and Multinational Advantage 
Abstract:
  This paper reviews recent empirical evidence to assess the implications
 of alliance formation and increasing merger and acquisition activity of
 multinationals in the context of the eclectic paradigm. Specifically, the
 paper will concentrate on the performance implications of international
 expansion via alliances and mergers, and their relationship to the
 so-called asset-augmenting foreign direct investment. It has been argued
 in the literature that the way in which multinationals are able to build
 on their existing advantages and to add to them by virtue of their
 international activities confers specific benefits to multinationality. We
 argue that the growth of cross-border acquisitions and alliances as
 modalities for international expansion has resulted from the continuing
 convergence of value-adding capabilities within the Triad, and while such
 activity can help to augment the asset base of the investing firms, it
 also has potentially anti-competitive implications. 
Journal: International Journal of the Economics of Business 
Pages: 229-242 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Alliances, Mergers, Acquisitions, Multinationals, Performance, 
X-DOI: 10.1080/13571510110051469 
File-URL: http://www.tandfonline.com/10.1080/13571510110051469 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:229-242




Template-Type: ReDIF-Article 1.0
Author-Name: Anoop Madhok 
Author-X-Name-First: Anoop 
Author-X-Name-Last: Madhok 
Author-Name: Anupama Phene 
Author-X-Name-First: Anupama 
Author-X-Name-Last: Phene 
Title: The Co-evolutional Advantage: Strategic Management Theory and the Eclectic Paradigm 
Abstract:
  The eclectic paradigm has been one of the leading frameworks for
 explaining multinational activity over the past two decades. Yet recent
 trends in international business pose a challenge to the explanatory power
 of the paradigm. Strategic management theory, with its focus on
 performance differences between firms, provides a useful complement to the
 OLI framework in understanding the activities of the modern multinational.
 In particular, global competition and the management of a firm's global
 stocks and flows of knowledge merit closer attention.The advent of global
 competition requires us to shift from the existing institutional
 perspective of comparisons of firms and markets or of foreign firms and
 local firms to a firm-level perspective of comparisons of the
 multinational firm to its global competitors. It also necessitates a focus
 on firm-level capabilities in knowledge management relative to
 competitors, the development of these capabilities involving both macro
 and micro co-evolutionary processes. Our arguments incorporate these
 changes to extend the OLI paradigm to accommodate both an economic and a
 strategic management perspective. 
Journal: International Journal of the Economics of Business 
Pages: 243-256 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Eclectic Paradigm, Global Strategy, Multinational Firms, Co-EVOLUTION, Resource-BASED View, 
X-DOI: 10.1080/13571510110051478 
File-URL: http://www.tandfonline.com/10.1080/13571510110051478 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:243-256




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Guisinger 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Guisinger 
Title: From OLI to OLMA: Incorporating Higher Levels of Environmental and Structural Complexity into the Eclectic Paradigm 
Abstract:
  Theorists using the eclectic paradigm have drastically restricted their
 analytic scope to the firm and its subsidiaries, rarely exploring more
 finely grained firm structures, such as business processes. By contrast,
 organisational theorists examining multinational firm behaviour have
 employed a richly differentiated array of firm structural forms though
 without developing a precise delineation of the international business
 environment. Eclectic researchers are adept at handling environmental, but
 not structural, complexity, while the reverse seems true for
 organisational theorists. This study extends the eclectic paradigm by
 incorporating higher levels of environmental and structural complexity
 through two methods: (1) a deconstruction of the multinational firm into
 business processes; and (2) a more complete definition of the
 international business environment, called geovalent elements. The paper
 argues that an enhanced eclectic paradigm called OLMA (for Ownership,
 Location, Mode of entry, and Adjustment) provides the complete set of
 concepts needed for studying the modern multinational firm. 
Journal: International Journal of the Economics of Business 
Pages: 257-272 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Multinational Firms, International Business, Theory, Eclectic Paradigm, Adaptation, Environment, 
X-DOI: 10.1080/13571510110051487 
File-URL: http://www.tandfonline.com/10.1080/13571510110051487 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:257-272




Template-Type: ReDIF-Article 1.0
Author-Name: John Dunning 
Author-X-Name-First: John 
Author-X-Name-Last: Dunning 
Author-Name: Cliff Wymbs 
Author-X-Name-First: Cliff 
Author-X-Name-Last: Wymbs 
Title: The Challenge of Electronic Markets for International Business Theory 
Abstract:
  We examine the extent to which the eclectic paradigm of international
 production, and its composite theories, can help explain the coming
 E-commerce revolution. Our findings are that the basic tenets of the
 paradigm appear to hold well, but the operational application of several
 of the constituent parts and the context in which they are being
 considered, need to be redefined in the light of some of the unique
 characteristics of Internet transport. 
Journal: International Journal of the Economics of Business 
Pages: 273-301 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: E-COMMERCE, Ib Theory, Eclectic Paradigm, 
X-DOI: 10.1080/13571510110051432 
File-URL: http://www.tandfonline.com/10.1080/13571510110051432 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:273-301




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Buckley 
Author-X-Name-First: Peter 
Author-X-Name-Last: Buckley 
Author-Name: Mark Casson 
Author-X-Name-First: Mark 
Author-X-Name-Last: Casson 
Title: The Moral Basis of Global Capitalism: Beyond the Eclectic Theory 
Abstract:
  Dunning's recent discussions of the morality of global capitalism, as
 developed from his eclectic theory, are critically reviewed. It is argued
 that, in highlighting the benefits of globalisation, Dunning has
 underestimated the extent to which globalisation amplifies the costs of
 capitalism. The nature of capitalism varies according to the social and
 religious framework within which economic activity is embedded. An
 effective framework creates a high-trust form of capitalism based on
 self-regulation and self-control. This framework aligns private and social
 interests in cases where the forces of law and competition are weak. Late
 twentieth-century Western culture is secular and atomistic: it has
 fostered a low-trust form of capitalism, based on a selfish,
 individualistic and competitive concept of the entrepreneur. Low-trust
 capitalism provides entrepreneurs with unrivalled opportunities to
 manipulate consumer tastes, and frees them from any inhibitions about
 exercising this power. The globalisation of consumer product markets has
 reinforced this tendency, by strengthening the incentive to refine
 manipulative marketing techniques. The increasing reliance on mass media -
 especially television - for advertising distinguishes modern global
 capitalism from the international capitalism of the late nineteenth
 century. Because of these changes, people's wants are satisfied with
 unprecedented abundance, but their social needs are met much less
 adequately than before. 
Journal: International Journal of the Economics of Business 
Pages: 303-327 
Issue: 2 
Volume: 8 
Year: 2001 
Keywords: Capitalism, Globalisation, Morals, Markets, 
X-DOI: 10.1080/13571510110051423 
File-URL: http://www.tandfonline.com/10.1080/13571510110051423 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:2:p:303-327




Template-Type: ReDIF-Article 1.0
Author-Name: Daniel Hosken 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Hosken 
Author-Name: John David Simpson 
Author-X-Name-First: John David 
Author-X-Name-Last: Simpson 
Title: Have Supermarket Mergers Raised Prices? An Event Study Analysis 
Abstract:
  Antitrust enforcement of supermarket merger activity during the late
 1980s and early 1990s was less stringent than it had been before or has
 been since. For six announcements of supermarket acquisitions during this
 period, this study examines the abnormal stock returns of rival firms to
 determine if investors believed these acquisitions would lead to higher
 retail prices.These abnormal returns imply that investors expected that
 the average retail price change associated with these types of
 acquisitions ranges from a 0.12% decrease to a 0.05% increase. Thus, our
 results suggest that investors generally did not view these acquisitions
 as anticompetitive. 
Journal: International Journal of the Economics of Business 
Pages: 329-342 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Event Study, Supermarket, Mergers, 
X-DOI: 10.1080/13571510110079603 
File-URL: http://www.tandfonline.com/10.1080/13571510110079603 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:329-342




Template-Type: ReDIF-Article 1.0
Author-Name: Luuk Klomp 
Author-X-Name-First: Luuk 
Author-X-Name-Last: Klomp 
Author-Name: George Van Leeuwen 
Author-X-Name-First: George 
Author-X-Name-Last: Van Leeuwen 
Title: Linking Innovation and Firm Performance: A New Approach 
Abstract:
  Using the second Community Innovation Survey (CIS-2) for the Netherlands,
 we analyse the input and output stages of the innovation process and the
 links between the innovation process and overall economic performance. We
 investigate the existence of feedback links running from past economic
 performance to the input and the output stage of the innovation process
 and compare the results of a single-equation approach with the results
 obtained from a simultaneous-equation model. 
Journal: International Journal of the Economics of Business 
Pages: 343-364 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Innovation, Research, Technological Opportunities, Simultaneous-EQUATION Models, Economic Performance, 
X-DOI: 10.1080/13571510110079612 
File-URL: http://www.tandfonline.com/10.1080/13571510110079612 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:343-364




Template-Type: ReDIF-Article 1.0
Author-Name: Terence Tse 
Author-X-Name-First: Terence 
Author-X-Name-Last: Tse 
Author-Name: Khaled Soufani 
Author-X-Name-First: Khaled 
Author-X-Name-Last: Soufani 
Title: Wealth Effects of Takeovers in Merger Activity Eras: Empirical Evidence from the UK 
Abstract:
  Existing studies on the assessment of shareholders' gains in takeovers
 have not taken the characteristics of the prevailing economic activity
 period into consideration. This study investigates the wealth effects to
 shareholders in the event of a merger and acquisition transaction by
 analysing 124 cases in the UK. The paper differs from previous studies in
 that it examines the abnormal returns found in two different economic
 periods. These include a boom period, characterised by high merger
 activity era (HMAE) and a trough period, characterised by low merger
 activity era (LMAE). The sample firms were categorised into friendly
 mergers and hostile takeovers&#x2014; both successful and unsuccessful.
 The empirical findings derived from this work revealed that upon the
 differentiation of the two periods, the wealth effects to shareholders in
 the different transactions is related to the prevailing performance of the
 economy. 
Journal: International Journal of the Economics of Business 
Pages: 365-377 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Merger And Acquisitions, Wealth Effects, Economic Cycle, 
X-DOI: 10.1080/13571510110079829 
File-URL: http://www.tandfonline.com/10.1080/13571510110079829 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:365-377




Template-Type: ReDIF-Article 1.0
Author-Name: John Finch 
Author-X-Name-First: John 
Author-X-Name-Last: Finch 
Author-Name: Nicola Dinnei 
Author-X-Name-First: Nicola 
Author-X-Name-Last: Dinnei 
Title: Capturing Knightian Advantages of Large Business Organisations Through Group Decision-making Processes 
Abstract:
  This paper develops an explanation of how large business organisations
 may achieve advantages of size by virtue of decision-making procedures.
 The argument is inspired by Knight's (Risk, Uncertainty and Profit,
 NewYork: Houghton Mifflin, 1921) model of internal business organisation,
 together with his explanation of profits pertaining to large business
 organisations by being connected with situations that he characterises as
 uncertain rather than risky. Capturing the decision-making advantages is
 fairly straightforward in Knight's explanation. Decision making is
 internalised to individuals who cope with uncertain situations&#x2014;
 beyond the range of normal experience&#x2014; in a manner consistent with
 managerial/entrepreneurial vision. Recent organisation theory has drawn
 attention to the use of groups as an integral part of decision making
 within large business organisations and this has important implications
 for economics. This paper highlights the role of groups in achieving
 Knightian advantages. The argument loosens the identification of
 organisation with a managerial/entrepreneurial vision, adding different
 levels and types of deliberate and automatic selection, the alignment of
 which is likely to be problematic. 
Journal: International Journal of the Economics of Business 
Pages: 379-403 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Decision Making, Uncertainty, Large Business Organisations, Frank Knight, Capabilities, Shared Mental Models, 
X-DOI: 10.1080/13571510110081187 
File-URL: http://www.tandfonline.com/10.1080/13571510110081187 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:379-403




Template-Type: ReDIF-Article 1.0
Author-Name: Catherine Beaudry 
Author-X-Name-First: Catherine 
Author-X-Name-Last: Beaudry 
Title: Entry, Growth and Patenting in Industrial Clusters: A Study of the Aerospace Industry in the UK 
Abstract:
  This paper studies how firm performance is influenced by the strength of
 the industrial cluster (or industrial district) in which it is located.
 The paper presents estimates of firm-level employment and patent growth
 models for a range of '5-digit' aerospace industries in the UK. In these
 models, employment in the firm's own sector and employment in other
 sectors is taken as a measure of the strength of the cluster. Strong
 positive clustering effects are found in many sectors, but nevertheless
 some clustering effects are negative. Entry into clusters of this industry
 is also examined and some sectors are found to attract new entry while
 others are only attracted. 
Journal: International Journal of the Economics of Business 
Pages: 405-436 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Industrial Clusters, Firm Performance, Innovation, Entry, Aerospace, 
X-DOI: 10.1080/13571510110079000 
File-URL: http://www.tandfonline.com/10.1080/13571510110079000 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:405-436




Template-Type: ReDIF-Article 1.0
Author-Name: Daniel Friesner 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Friesner 
Author-Name: Robert Rosenman 
Author-X-Name-First: Robert 
Author-X-Name-Last: Rosenman 
Title: The Property Rights Theory of the Firm and Mixed Competition: A Counter-Example in the US Health Care Industry 
Abstract:
  We present a counter-example to the conventional property rights theory
 of the firm, which indicates that not-for-profit firms are incapable of
 directly competing against strictly profit-maximizing firms without the
 presence of barriers to entry, outside assistance, changing profit status
 or economies of scale and scope. We employ a modified Bertrand duopoly
 model of mixed competition in the health care industry to show that, even
 when these four conditions do not hold, not-for-profit firms may still be
 able to compete and possibly dominate the market. Consequently, market
 fundamentals, rather than market intervention, regulation or uncertainty,
 determine a not-for-profit provider's success or failure in the market. A
 necessary requirement is that the not-for-profit manager must care about
 non-pecuniary benefits but be willing to accept lower than normal returns.
 Moreover, under specific cost and demand conditions, a not-for-profit's
 ability to compete may actually be enhanced by increasing its production
 of non-pecuniary benefits. 
Journal: International Journal of the Economics of Business 
Pages: 437-450 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Duopoly, Quality, Competition, Non-PECUNIARY Benefits, Not-FOR-PROFIT, 
X-DOI: 10.1080/13571510110081204 
File-URL: http://www.tandfonline.com/10.1080/13571510110081204 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:437-450




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor Morgan 
Author-X-Name-First: Eleanor 
Author-X-Name-Last: Morgan 
Title: A Decade of EC Merger Control 
Abstract:
  The introduction of the EC Merger Control Regulation in September 1990
 plugged a serious gap in European competition policy. This paper examines
 aspects of its record over the first ten years. These include the changing
 scope of the policy and the much higher level of activity than originally
 anticipated. Developments in the appraisal of mergers are assessed with
 particular reference to oligopoly, the treatment of non-competition
 effects and dynamic competition, especially in high tech industries. The
 risks of an increasing tendency towards remedial settlements are also
 discussed and some future challenges highlighted . 
Journal: International Journal of the Economics of Business 
Pages: 451-473 
Issue: 3 
Volume: 8 
Year: 2001 
Keywords: Mergers, Competition Policy, Eu Merger Policy, Ec Merger Control Regulation, 
X-DOI: 10.1080/13571510110081213 
File-URL: http://www.tandfonline.com/10.1080/13571510110081213 
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:451-473




Template-Type: ReDIF-Article 1.0
Author-Name: Chris Freeman 
Author-X-Name-First: Chris 
Author-X-Name-Last: Freeman 
Title: A Review of David C. Mowery and Richard R. Nelson, eds: Sources of Industrial Leadership: Studies of Seven Industries 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 475-482 
Issue: 3 
Volume: 8 
Year: 2001 
X-DOI: 10.1080/13571510110081222 
File-URL: http://www.tandfonline.com/10.1080/13571510110081222 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:475-482




Template-Type: ReDIF-Article 1.0
Author-Name: Nicolai Foss 
Author-X-Name-First: Nicolai 
Author-X-Name-Last: Foss 
Title: New Organizational Forms - Critical Perspectives 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 1-8 
Issue: 1 
Volume: 9 
Year: 2002 
X-DOI: 10.1080/13571510110102949 
File-URL: http://www.tandfonline.com/10.1080/13571510110102949 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:1-8




Template-Type: ReDIF-Article 1.0
Author-Name: Nicolai Foss 
Author-X-Name-First: Nicolai 
Author-X-Name-Last: Foss 
Title: 'Coase vs Hayek': Economic Organization and the Knowledge Economy 
Abstract:
  Many writers argue that economic organization is undergoing major
 transformation in the emerging knowledge economy; authority relations are
 withering; legal and ownership-based definitions of the boundaries of
 firms are becoming irrelevant and there are increasingly few constraints
 on the set of feasible combinations of coordination mechanisms. The
 present paper critically deals with these claims, beginning from the basic
 idea that they may be analysed as turning on the implications for the
 Coasian firm of the Hayekian notion that the distributed knowledge is a
 strong constraint on the use of planned coordination. It argues that there
 are efficiency reasons for the existence of authority under Hayekian
 distributed knowledge; that the increasing importance of knowledge in
 production does not render legal and ownership-based notions of the
 boundaries of the firm irrelevant; and that coordination mechanisms will
 also cluster in certain, predictable combinations in the emerging
 knowledge economy. Thus, Coasian firm organization is consistent with
 Hayekian knowledge conditions. 
Journal: International Journal of the Economics of Business 
Pages: 9-35 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: The Knowledge Economy, Authority, Firms' Boundaries, Internal Organization, 
X-DOI: 10.1080/13571510110102958 
File-URL: http://www.tandfonline.com/10.1080/13571510110102958 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:9-35




Template-Type: ReDIF-Article 1.0
Author-Name: Geoffrey Hodgson 
Author-X-Name-First: Geoffrey 
Author-X-Name-Last: Hodgson 
Title: The Legal Nature of the Firm and the Myth of the Firm-Market Hybrid 
Abstract:
  A sharp conceptual distinction used to be drawn between the firm and the
 market. However, since the 1970s, many economists and sociologists have
 argued that the boundaries of the firm are indistinct. Ideas emerged of
 'internal markets' within firms, of the 'quasifirm', of 'hybrid firms' and
 of firms as 'quasi-markets'. This article re-examines the formal, legal
 conception of the firm. It is argued that there is no good reason to
 abandon this conception, even in the light of relational contracting,
 networking, subcontracting and other developments. To avoid confusion,
 additional terms such as 'supplier network' or 'conglomerate' should be
 used to describe these phenomena, rather than abandoning a legally-based
 definition of the firm. With this clarified definition, 'internal markets'
 and 'hybrid firms' disappear from view. 
Journal: International Journal of the Economics of Business 
Pages: 37-60 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: Firm, Market, Relational Exchange, Internal Markets, Hybrids, 
X-DOI: 10.1080/13571510110102967 
File-URL: http://www.tandfonline.com/10.1080/13571510110102967 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:37-60




Template-Type: ReDIF-Article 1.0
Author-Name: Margit Osterloh 
Author-X-Name-First: Margit 
Author-X-Name-Last: Osterloh 
Author-Name: Jetta Frost 
Author-X-Name-First: Jetta 
Author-X-Name-Last: Frost 
Author-Name: Bruno Frey 
Author-X-Name-First: Bruno 
Author-X-Name-Last: Frey 
Title: The Dynamics of Motivation in New Organizational Forms 
Abstract:
  This paper discusses the impact of the dynamics of motivation on new
 organizational forms that are suited to forge value-creating knowledge
 transfers in teams and between organizational units and functions. Our aim
 is to develop the management of motivation as a source of distinctive firm
 competences. We argue that motivation is an endogenous variable and
 introduce it as a crucial link into the theory of the firm. Balancing
 intrinsic and extrinsic motivation helps to overcome social dilemmas in
 firms that are not solvable by hierarchical authority. Integrating the
 dynamics of motivation is a step to a more comprehensive theory of
 organization. It links organizational economics to the knowledge-based
 perspective. 
Journal: International Journal of the Economics of Business 
Pages: 61-77 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: Motivation, Organizational Forms, Knowledge Transfer, Firm-SPECIFIC Pool Resources, 
X-DOI: 10.1080/13571510110102976 
File-URL: http://www.tandfonline.com/10.1080/13571510110102976 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:61-77




Template-Type: ReDIF-Article 1.0
Author-Name: Todd Zenger 
Author-X-Name-First: Todd 
Author-X-Name-Last: Zenger 
Title: Crafting Internal Hybrids: Complementarities, Common Change Initiatives, and the Team-Based Organization 
Abstract:
  Hybrid governance forms that seek to meld the virtues of both market
 control and traditional hierarchical control are alluring. Comparatively
 little research, outside of the M-form literature, has examined internal
 hybrids - hierarchical forms infused with elements of market control. This
 paper contends that common change initiatives, such as TQM,
 re-engineering, autonomous work teams, and group-based rewards, are
 appropriately viewed as attempts to craft internal hybrids by selectively
 infusing elements of market control within hierarchy. However, these
 change initiatives are often implemented in isolation and, as a
 consequence, violate patterns of complementarity that sustain traditional
 hierarchy or support the stable infusion of market control.The paper
 argues that these violations of complementarity often spiral hierarchies
 toward fundamental transformation. The clear trajectory of these
 transformations is to quite radically disaggregated organizations
 structured around teams. The paper presents both theory and evidence
 supporting the existence of complementarities among these common change
 initiatives. 
Journal: International Journal of the Economics of Business 
Pages: 79-95 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: Organizational Forms, Complementarities, Hybrid Structures, Organizational Change, 
X-DOI: 10.1080/13571510110102985 
File-URL: http://www.tandfonline.com/10.1080/13571510110102985 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:79-95




Template-Type: ReDIF-Article 1.0
Author-Name: Bruce Heiman 
Author-X-Name-First: Bruce 
Author-X-Name-Last: Heiman 
Author-Name: Jack Nickerson 
Author-X-Name-First: Jack 
Author-X-Name-Last: Nickerson 
Title: Towards Reconciling Transaction Cost Economics and the Knowledge-based View of the Firm: The Context of Interfirm Collaborations 
Abstract:
  This paper presents a set of relationships that have the potential to
 reconcile the dispute between the knowledge-based view of the firm (KBV)
 and transaction cost economics (TCE). Several KBV scholars have argued
 that governance choice need rely only on bounded rationality and not on
 opportunism where TCE scholars maintain that both behavioural assumptions
 are needed to explain governance choice.We help to resolve part of the
 debate by developing an extension ofTCE to encompass certain
 knowledge-based attributes of transactions.We argue that high-levels of
 two knowledge transfer attributes - knowledge tacitness or problem solving
 complexity - lead to the adoption of the knowledge management practices -
 high-bandwidth channels or idiosyncratic communication codes - to
 economize on the cognitive limitations of man. It is these knowledge
 management practices that generate contracting hazards for whichTCE, and
 its attendant concern about opportunism, predicts equity-based
 collaborations are superior to non-equity-based collaborations.The
 linkages between knowledge transfer attributes, knowledge management
 practices, and governance choice add value via implications for managers
 which are not readily apparent from either theory alone. 
Journal: International Journal of the Economics of Business 
Pages: 97-116 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: Interfirm Collaborations, Knowledge Management, Knowledge Transfer, Governance Choice, 
X-DOI: 10.1080/13571510110103001 
File-URL: http://www.tandfonline.com/10.1080/13571510110103001 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:97-116




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Gooderham 
Author-X-Name-First: Paul 
Author-X-Name-Last: Gooderham 
Author-Name: Svein Ulset 
Author-X-Name-First: Svein 
Author-X-Name-Last: Ulset 
Title: 'Beyond the M-form': Towards a Critical Test of the New Form 
Abstract:
  This paper critically examines Bartlett and Ghoshal's claim that a
 radical new organizational form, distinctly different from the M-form both
 in terms of its structure and psychological underpinnings, may be observed
 among transnationals. The main theoretical dimensions of the M-form and
 the 'New Form' are delineated and compared within the context of the
 discourse between Transaction Costs Economics (TCE) and the Knowledge
 Based Approach on organizational advantage. Thereafter empirical evidence
 centred on ABB is extended and re-examined. On the basis of this analysis
 the thesis of an emergent new form is found to be unsupported. It is thus
 reasonable to assume that any organizational advantage transnational
 companies may possess still resides in hierarchical governance as
 identified by TCE and outlined in its multinational M-form application. To
 the extent to which it exists, normative social control has a secondary
 status. 
Journal: International Journal of the Economics of Business 
Pages: 117-138 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: Governance, Capabilities, Multinational Corporations, 
X-DOI: 10.1080/13571510110103010 
File-URL: http://www.tandfonline.com/10.1080/13571510110103010 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:117-138




Template-Type: ReDIF-Article 1.0
Author-Name: Keld Laursen 
Author-X-Name-First: Keld 
Author-X-Name-Last: Laursen 
Title: The Importance of Sectoral Differences in the Application of Complementary HRM Practices for Innovation Performance 
Abstract:
  Recent theoretical and empirical analysis in the field of economic
 organization has focused almost exclusively on identifying organizational
 practices and complementarities between such practices, without regard for
 the type of activity in question. However, organizational theory suggests
 that more knowledge-intensive production activities often involve higher
 degrees of strategic uncertainty for firms and performance ambiguity in
 relation to individual employees. Therefore, the 'organic' or 'clan' form
 of organization - involving the application of 'new' HRM practices - is
 expected to perform better within knowledge-intensive sectors of the
 economy, as compared to other sectors. A sample of 726 Danish firms with
 more than 50 employees in manufacturing and private services is studied.
 The results show that HRM practices are more effective in influencing
 innovation performance when applied together, as compared with situations
 in which individual practices are applied alone. In other words,
 organizational complementarities obtain. Moreover, the application of
 complementary HRM practices is more effective for firms in
 knowledge-intensive industries ('high' and 'medium' knowledge-intensive
 industries). 
Journal: International Journal of the Economics of Business 
Pages: 139-156 
Issue: 1 
Volume: 9 
Year: 2002 
Keywords: Human Resource Management Practices, Organisational Complementarities, Innovation Performance, 
X-DOI: 10.1080/13571510110103029 
File-URL: http://www.tandfonline.com/10.1080/13571510110103029 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:1:p:139-156




Template-Type: ReDIF-Article 1.0
Author-Name: Aidan Hollis 
Author-X-Name-First: Aidan 
Author-X-Name-Last: Hollis 
Title: Strategic Implications of Learning by Doing 
Abstract:
  This paper examines firm strategy when competitors are at different
 points along the learning curve. It shows that firms high on the learning
 curve will have strong incentives to exclude new competitors, while firms
 that are learning more slowly will have weaker incentives to hinder new
 competitors and may even wish to encourage entry. The same strategies are
 shown to apply when firm reputation is acquired through participation in
 an industry. Several examples of strategic behaviour that take advantage
 of differential learning speeds or heterogeneous reputations are suggested
 and a variety of applications of the principle involved are explored. 
Journal: International Journal of the Economics of Business 
Pages: 157-174 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Learning By Doing, Strategic Behaviour, Entry Deterrence, 
X-DOI: 10.1080/13571510210134637 
File-URL: http://www.tandfonline.com/10.1080/13571510210134637 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:157-174




Template-Type: ReDIF-Article 1.0
Author-Name: Oliver Fabel 
Author-X-Name-First: Oliver 
Author-X-Name-Last: Fabel 
Author-Name: Erik Lehmann 
Author-X-Name-First: Erik 
Author-X-Name-Last: Lehmann 
Title: Adverse Selection and Market Substitution by Electronic Trade 
Abstract:
  Adverse selection induces economic limits to market substitution. If
 quality uncertainty persists in both Internet and traditional
 marketplaces, a second-best equilibrium with parallel market segments may
 arise. The information cost advantage of one marketplace is exactly offset
 by a more severe adverse selection problem associated with non-observable
 quality variables. The electronic marketplace providing dominant search
 means contains all segments, while the traditional market may lack some
 segments. These missing segments are characterized by low quality
 expectations given the set of advertised quality signals. The analytic
 results are confirmed by an empirical investigation of used-car trade.
 Thus the study also provides an estimate of the price differential between
 the electronic and the traditional marketplace. 
Journal: International Journal of the Economics of Business 
Pages: 175-193 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: E-COMMERCE, Market Substitution, Adverse Selection, Efficient Search And Learning, 
X-DOI: 10.1080/13571510210134646 
File-URL: http://www.tandfonline.com/10.1080/13571510210134646 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:175-193




Template-Type: ReDIF-Article 1.0
Author-Name: Naresh Pandit 
Author-X-Name-First: Naresh 
Author-X-Name-Last: Pandit 
Author-Name: Gary Cook 
Author-X-Name-First: Gary 
Author-X-Name-Last: Cook 
Author-Name: G. M. P. Swann 
Author-X-Name-First: G. M. P. 
Author-X-Name-Last: Swann 
Title: A Comparison of Clustering Dynamics in the British Broadcasting and Financial Services Industries 
Abstract:
  This paper compares patterns of industrial clustering in the British
 broadcasting and financial services industries. Recent trends of
 deregulation, rapid technological change, and globalization in both
 industries suggest the significant and increasing importance of clustering
 effects. This study examines the evidence. It investigates the effects of
 cluster strength on the growth of the firm and on rates of surviving
 entry. We find positive, large, and statistically significant clustering
 effects. In both industries: (a) incumbent firms located in a cluster that
 is strong in their own sub-sector of their industry tend to grow faster
 than average; and, (b) new firms are attracted by industry strength in
 certain sub-sectors in a particular region. The results for these largely
 mature service industries are very similar to those observed in earlier
 studies that have examined clustering patterns in newer high technology
 manufacturing industries. 
Journal: International Journal of the Economics of Business 
Pages: 195-224 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Industrial Clusters, Growth, Entry, Broadcasting Industry, Financial Services Industry, 
X-DOI: 10.1080/13571510210134655 
File-URL: http://www.tandfonline.com/10.1080/13571510210134655 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:195-224




Template-Type: ReDIF-Article 1.0
Author-Name: Julia Lane 
Author-X-Name-First: Julia 
Author-X-Name-Last: Lane 
Author-Name: Robert Feinberg 
Author-X-Name-First: Robert 
Author-X-Name-Last: Feinberg 
Author-Name: Harry Broadman 
Author-X-Name-First: Harry 
Author-X-Name-Last: Broadman 
Title: Do Labour Strategies Matter? An Analysis of Two Enterprise-Level Data Sets in China 
Abstract:
  This paper examines the effect of labour strategies and management types
 on firm performance in Chinese enterprises. We use two large panel surveys
 on Chinese enterprises, spanning almost two decades of transition. Our
 findings suggest that, as commonly thought, there are significant
 differences across ownership types in China in the degree to which
 flexible labour market strategies are utilized; and more flexible
 strategies (such as bonus-reward systems) do seem to significantly enhance
 performance. However, after controlling for different degrees of labour
 market flexibility, ownership differences have little influence on
 enterprise performance (with the exception that foreign joint ventures
 clearly outperform other types in growth and labour productivity). This
 important result suggests that the impact of Chinese ownership types on
 performance is felt through cost-impacts rather than via direct
 differences in competitive behaviour or the goals of enterprise
 decision-makers. 
Journal: International Journal of the Economics of Business 
Pages: 225-237 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Chinese Enterprises, Ownership, Labour Market Flexibility, Goals Of The Firm, 
X-DOI: 10.1080/13571510210134661 
File-URL: http://www.tandfonline.com/10.1080/13571510210134661 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:225-237




Template-Type: ReDIF-Article 1.0
Author-Name: James Love 
Author-X-Name-First: James 
Author-X-Name-Last: Love 
Author-Name: Stephen Roper 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Roper 
Title: Internal Versus External R&D: A Study of R&D Choice with Sample Selection 
Abstract:
  This paper extends previous analyses of the choice between internal and
 external R&D to consider the costs of internal R&D. The Heckman two-stage
 estimator is used to estimate the determinants of internal R&D unit cost
 (i.e. cost per product innovation) allowing for sample selection effects.
 Theory indicates that R&D unit cost will be influenced by scale issues and
 by the technological opportunities faced by the firm. Transaction costs
 encountered in research activities are allowed for and, in addition,
 consideration is given to issues of market structure which influence the
 choice of R&D mode without affecting the unit cost of internal or external
 R&D. The model is tested on data from a sample of over 500 UK
 manufacturing plants which have engaged in product innovation. The key
 determinants of R&D mode are the scale of plant and R&D input, and market
 structure conditions. In terms of the R&D cost equation, scale factors are
 again important and have a non-linear relationship with R&D unit cost.
 Specificities in physical and human capital also affect unit cost, but
 have no clear impact on the choice of R&D mode. There is no evidence of
 technological opportunity affecting either R&D cost or the
 internal/external decision. 
Journal: International Journal of the Economics of Business 
Pages: 239-255 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Scale, Market Structure, Cost Of R And D, R And D Mode, 
X-DOI: 10.1080/13571510210134998 
File-URL: http://www.tandfonline.com/10.1080/13571510210134998 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:239-255




Template-Type: ReDIF-Article 1.0
Author-Name: Barbara Summers 
Author-X-Name-First: Barbara 
Author-X-Name-Last: Summers 
Author-Name: Nicholas Wilson 
Author-X-Name-First: Nicholas 
Author-X-Name-Last: Wilson 
Title: An Empirical Investigation of Trade Credit Demand 
Abstract:
  This paper investigates the motivations for a firm's demand for trade
 credit. Demand for credit is modelled as a function of transaction costs
 motivations, financing motivations, operational considerations, seller
 compliance issues and supplier marketing, whilst controlling for the
 firm's business environment and for firm characteristics such as size and
 industry. This paper builds on previous studies by considering a wider
 range of factors that can affect trade credit demand holistically on a
 single sample. It appears that the use of trade credit is widespread, and
 that it is generally perceived as an important short term financing
 option, although the availability of trade credit is not a major influence
 on supplier choice. The level of a firm's trade credit demand is found to
 be significantly influenced by transaction costs, financing, operational
 issues, marketing activities by suppliers, the firm's investment in trade
 debtors and firm size. 
Journal: International Journal of the Economics of Business 
Pages: 257-270 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Trade Credit, Demand For Credit, Short Term Finance, 
X-DOI: 10.1080/13571510210135005 
File-URL: http://www.tandfonline.com/10.1080/13571510210135005 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:257-270




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Goering 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Goering 
Author-Name: Michael Pippenger 
Author-X-Name-First: Michael 
Author-X-Name-Last: Pippenger 
Title: Durable Goods Monopoly and Forward Markets 
Abstract:
  The existence of forward markets has long been explained by risk hedging
 behaviour. More recently, attention has focused on the Cournot competition
 rationale for the emergence of forward markets since the quantity of
 forward transactions can be used as strategic variable. However, an
 important facet of many forward markets that has typically been ignored in
 the literature is the durable nature of output (e.g. nickel and lead). We
 show that forward markets may optimally emerge as long as a monopolist
 sells any fraction of its durable output. In particular, the comparative
 static analysis shows that as the durability of the product increases or
 the fraction of output sold increases, the monopolist will optimally
 increase the number of forward contracts purchased due to an exacerbated
 commitment problem with buyers. Our analysis also provides another
 explanation for differences between the forward price and the expected
 future spot price of a commodity that does not rely on uncertainty or risk
 considerations. 
Journal: International Journal of the Economics of Business 
Pages: 271-282 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Forward Markets, Durable Goods, Monopoly, 
X-DOI: 10.1080/13571510210135005A 
File-URL: http://www.tandfonline.com/10.1080/13571510210135005A 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:271-282




Template-Type: ReDIF-Article 1.0
Author-Name: Jacques Rojot 
Author-X-Name-First: Jacques 
Author-X-Name-Last: Rojot 
Title: Economics and Management Theory: New Developments in France 
Abstract:
  Management theory, initially mostly concerned with establishing a set of
 normative principles aiming to train practicing managers, has developed a
 substantial body of theory and several original strands of research. It
 has traditionally drawn its inspiration largely from economic theory, but
 has integrated elements of sociology, law and social psychology, among
 other disciplines. In France, a set of relevant recent and innovative
 approaches come from recent developments in economic theory gathered
 generally under the label of 'economics of conventions. 'The paper
 attempts to characterize the main features of the'economics of
 conventions' and the ways in which it is relevant and provides fruitful
 new approaches to management theory. 
Journal: International Journal of the Economics of Business 
Pages: 283-294 
Issue: 2 
Volume: 9 
Year: 2002 
Keywords: Management Theory, Impact Of New Developments In French Economic Theory, Perspectives For Analysis Of Power And Culture, 
X-DOI: 10.1080/13571510210135014 
File-URL: http://www.tandfonline.com/10.1080/13571510210135014 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:2:p:283-294




Template-Type: ReDIF-Article 1.0
Author-Name: Catherine Matraves 
Author-X-Name-First: Catherine 
Author-X-Name-Last: Matraves 
Title: European Integration and Market Structure in the Soft Drinks Industry 
Abstract:
  The focus of this paper is the impact of European integration in the soft
 drinks industry. It is shown that the geographic level at which
 competition takes place has moved from the national to the European stage.
 We apply the new theory of industrial structure where the essential notion
 is that in endogenous sunk cost industries such as soft drinks, the
 traditional inverse structure-size relation may break down, due to the
 escalation of overhead fixed expenditures. The evidence is consistent with
 the theory. Moreover, it is shown how the persistence of a first mover
 advantage may affect market concentration. Finally, and in response to
 exogenous structural change, significant restructuring and increased
 multinationality has been observed among the leading manufacturers. 
Journal: International Journal of the Economics of Business 
Pages: 295-310 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Concentration, European Integration, Advertising, Soft Drinks, 
X-DOI: 10.1080/1357151021000010427 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010427 
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:295-310




Template-Type: ReDIF-Article 1.0
Author-Name: Daniel Friesner 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Friesner 
Author-Name: Robert Rosenman 
Author-X-Name-First: Robert 
Author-X-Name-Last: Rosenman 
Title: A Dynamic Property Rights Theory of the Firm 
Abstract:
  We present a dynamic property rights model of the firm with two types of
 non-pecuniary spending: one that is financed through capital markets which
 impacts future firm wealth, and one that does not. Consumption of the
 latter good is consistent with what has been found in previous models. Our
 theoretical model indicates that excess non-pecuniary spending may diverge
 or converge over time, depending on specific management goals and
 constraints, and regulatory factors. Using a panel of Washington State
 hospitals, we find evidence that non-pecuniary spending does fluctuate
 over time and that government policy variables, such as the level of
 Medicare and Medicaid reimbursement have a statistically significant
 impact on a firm's excess non-pecuniary spending. 
Journal: International Journal of the Economics of Business 
Pages: 311-333 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Property Rights, Nonprofit, Inefficiency, Non-PECUNIARY Benefits, 
X-DOI: 10.1080/1357151021000010373 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010373 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:311-333




Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Author-Name: Max Munday 
Author-X-Name-First: Max 
Author-X-Name-Last: Munday 
Author-Name: Annette Roberts 
Author-X-Name-First: Annette 
Author-X-Name-Last: Roberts 
Title: Foreign Direct Investment, Transactions Linkages, and the Performance of the Domestic Sector 
Abstract:
  Using data from the UK Census of Production, including foreign ownership
 data, and information from UK industry input-output tables, this paper
 examines whether the intensity of transactions linkages between foreign
 and domestic firms affects productivity growth in domestic manufacturing
 industries. The implications of the findings for policies promoting
 linkages between multinational and domestic firms in the UK economy are
 outlined. 
Journal: International Journal of the Economics of Business 
Pages: 335-351 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Foreign Direct Investment, Productivity Spillovers, Input-OUTPUT, Tables, 
X-DOI: 10.1080/1357151021000010000 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010000 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:335-351




Template-Type: ReDIF-Article 1.0
Author-Name: Hans Degryse 
Author-X-Name-First: Hans 
Author-X-Name-Last: Degryse 
Author-Name: Steven Ongena 
Author-X-Name-First: Steven 
Author-X-Name-Last: Ongena 
Title: Bank-Firm Relationships and International Banking Markets 
Abstract:
  This paper reviews how long-term relationships between firms and banks
 shape the structure and integration of banking markets worldwide. Bank
 relationships arise to span informational asymmetries that are endemic in
 financial markets. Firm-bank relationships not only entail specific
 benefits and costs for both the engaged firms and banks, but also directly
 affect the structure of banking markets. In particular, the sunk cost of
 screening and monitoring activities and the 'informational capital'
 collected by the incumbent banks may act as a barrier to entry. The
 intensity of the existing firm-bank relationships will determine the
 height of this barrier and shape the structure of international banking
 markets. For example, in Scandinavia where firms maintain few and strong
 relationships, foreign banks may only be able to enter successfully
 through mergers and acquisitions. On the other hand, Southern European
 firms maintain many bank relationships. Therefore, banks may consider
 entering Southern European banking markets through direct investment. 
Journal: International Journal of the Economics of Business 
Pages: 401-417 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Bank-FIRM Relationships, International Banking Markets, 
X-DOI: 10.1080/1357151021000010000A 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010000A 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:401-417




Template-Type: ReDIF-Article 1.0
Author-Name: Eric Brousseau 
Author-X-Name-First: Eric 
Author-X-Name-Last: Brousseau 
Title: The Governance of Transactions by Commercial Intermediaries: An Analysis of the Re-engineering of Intermediation by Electronic Commerce 
Abstract:
  Efficiency arguments explain why commercial intermediaries exist and will
 continue to be involved in the exchanges despite the spread of digital
 networks. Commercial intermediaries provide producers and consumers with a
 set of information, logistic, securization and insurance (and liquidity)
 services. By bundling these services and by dedicating assets and learning
 capabilities to their production, commercial intermediaries allow
 transaction costs to be reduced. Digital networks per se cannot allow
 transacting parties to benefit from such efficient providers of
 intermediation services. Rather than establishing direct relationships
 among producers and consumers, the Internet will support a re-organization
 of existing intermediation chains, because traditional intermediaries will
 reinforce their ability to provide these service by using ITs. The
 analysis of the role of commercial intermediaries thus leads to a better
 understanding of the future of e-commerce. In turn, e-commerce provides
 New-Institutional Economics with a stimulating case study. 
Journal: International Journal of the Economics of Business 
Pages: 353-374 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Transaction Costs, Commercial Intermediation, Distribution Channels, E-COMMERCE, Bundled Services, Digital Economy, 
X-DOI: 10.1080/1357151021000010355 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010355 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:353-374




Template-Type: ReDIF-Article 1.0
Author-Name: Helen Short 
Author-X-Name-First: Helen 
Author-X-Name-Last: Short 
Author-Name: Kevin Keasey 
Author-X-Name-First: Kevin 
Author-X-Name-Last: Keasey 
Author-Name: Darren Duxbury 
Author-X-Name-First: Darren 
Author-X-Name-Last: Duxbury 
Title: Capital Structure, Management Ownership and Large External Shareholders: A UK Analysis 
Abstract:
  This paper examines empirically the effects of management ownership and
 ownership by large external shareholders on the capital structure of the
 firm from an agency theory perspective. The paper extends the US
 literature on the topic by examining the effect of interactions between
 management ownership and ownership by large external shareholders on the
 capital structure of UK firms. For a sample of UK firms, the paper
 provides empirical evidence that suggests the debt ratio is positively
 related to management ownership and negatively related to ownership by
 large external shareholders. Furthermore, the presence of a large external
 shareholder acts to negate the positive relationship between debt ratios
 and management ownership; in the presence of a large external shareholder,
 no significant relationship between debt ratios and management ownership
 exists. These findings are consistent with the hypothesis that the
 presence of large external shareholders affects the agency costs of debt
 and equity. 
Journal: International Journal of the Economics of Business 
Pages: 375-399 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Capital Structure, Management Ownership, External Shareholders, 
X-DOI: 10.1080/1357151021000010382 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010382 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:375-399




Template-Type: ReDIF-Article 1.0
Author-Name: Steve Parsons 
Author-X-Name-First: Steve 
Author-X-Name-Last: Parsons 
Title: Laffont and Tirole's Competition in Telecommunications : A View From the US 
Abstract:
  This article briefly reviews Competition in Telecommunications by Laffont
 andTirole (2000); it presents the major conclusions of the book and
 corrects certain errors. In addition, this article treats related topics,
 some specific to the US telecommunications industry. In US
 telecommunications access to incumbents facilities are priced based on
 cost model estimates. Several of the important sources of
 misunderstandings of telecommunications costs and cost estimates are
 described including: multiple meanings of 'access,'meanings of
 cross-subsidy; nature of loop costs; the many dimensions of marginal costs
 in telecommunications, misuses of long-run cost concepts; and misuses of
 'most efficient' provider assumptions. The methods of cost calculations
 and legal and regulatory requirements in the US are described, as are the
 implications for incentive regulation, changing technology, efficient
 pricing, and measures of efficient competitive entry. 
Journal: International Journal of the Economics of Business 
Pages: 419-436 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Telecommunications, Cost Estimates, Long-RUN Incremental Costs, Access, Regulation, Cross-SUBSIDIES, Cost Proxy Models, Incentive Regulation, Telecommunications, Act, Of, 1996, 
X-DOI: 10.1080/1357151021000010409 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010409 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:419-436




Template-Type: ReDIF-Article 1.0
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Title: Corporate Demography and Empirical Industrial Organization: A Critical Appraisal 
Abstract:
  The emerging field of corporate demography views corporations and
 industries in a similar way to human or animal individuals and groups. In
 spite of a surprisingly large overlap of subject matter with economics,
 corporate demography is not well-known by, nor easily accessible to
 economists. An extremely useful recent book, The Demography of
 Corporations and Industries, by Glenn R. Carroll and Michael T. Hannan
 (2000) should change that. This review essay critically examines corporate
 demography from an economic viewpoint. The very different view of
 competition in corporate demography gets particular attention. 
Journal: International Journal of the Economics of Business 
Pages: 437-448 
Issue: 3 
Volume: 9 
Year: 2002 
Keywords: Entry, Exit, Demography, Survivor Analysis, Firm Growth, 
X-DOI: 10.1080/1357151021000010418 
File-URL: http://www.tandfonline.com/10.1080/1357151021000010418 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:9:y:2002:i:3:p:437-448




Template-Type: ReDIF-Article 1.0
Author-Name: Tommy Staahl Gabrielsen 
Author-X-Name-First: Tommy Staahl 
Author-X-Name-Last: Gabrielsen 
Title: Conglomerate Mergers: Vertical Mergers in Disguise? 
Abstract:
  The article offers a complementary theory for conglomerate mergers. The
 central argument is that a conglomerate merger may be a vertical merger in
 disguise. The acquisition of a non-competing firm takes place to achieve
 control over the target's distribution channel that otherwise could be
 used by rival entrants. The analysis shows that an entrant with a very
 differentiated product is accommodated, and an entrant with a close
 substitute is foreclosed through a conglomerate merger. There also exist
 equilibria with partial foreclosure where the entrant is forced onto less
 efficient distribution channels. Incumbent firms' mergers to achieve
 foreclosure is socially wasteful. 
Journal: International Journal of the Economics of Business 
Pages: 1-16 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Conglomerate Mergers, Distribution Channels, Foreclosure, 
X-DOI: 10.1080/1357151032000043294 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043294 
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:1-16




Template-Type: ReDIF-Article 1.0
Author-Name: Alessandra Tonazzi 
Author-X-Name-First: Alessandra 
Author-X-Name-Last: Tonazzi 
Title: Competition policy and the commercialization of sport broadcasting rights: The decision of the Italian Competition Authority 
Abstract:
  In 1999 the Italian Competition Authority (ICA) stated that the
 regulation of the Italian League allowing it to sell football broadcasting
 rights collectively was a restrictive agreement. The League changed its
 regulation and a new form of revenue redistribution compatible with
 individual commercialization was established. The paper compares the ICA
 decision with other cases concerning the commercialization of sport
 broadcasting rights (especially the decision of the British Restrictive
 Practices Court). It shows that individual commercialization does not
 necessarily imply problems concerning competitive balance when an
 appropriate redistribution system of the revenues is pursued. Some
 implications for competition in the downstream television market are also
 analysed. 
Journal: International Journal of the Economics of Business 
Pages: 17-34 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Competition Policy, Football Broadcasting Rights, Television Industry, 
X-DOI: 10.1080/1357151032000043302 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043302 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:17-34




Template-Type: ReDIF-Article 1.0
Author-Name: Joan-Ramon Borrell 
Author-X-Name-First: Joan-Ramon 
Author-X-Name-Last: Borrell 
Title: Drug Price Differentials Caused by Formularies and Price Caps 
Abstract:
  This paper analyses the behaviour of drug firms facing the threat of
 having their drugs excluded from the formulary of health care providers.
 The paper obtains two main results. One is that drug firms offer discounts
 to health care providers to avoid going off-list when competing in a
 free-entry monopolistically competitive setting, and that discounts
 obtained by health care providers do not cause prices to rise outside
 managed care. The second result is that price caps affect how prices
 evolve over time. Drug firms set higher introductory prices, but raise
 these less dramatically over time, when health care providers find it
 increasingly difficult to off-list older drugs. 
Journal: International Journal of the Economics of Business 
Pages: 35-48 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Drugs, Discounts, Formularies, Price Caps, 
X-DOI: 10.1080/1357151032000043311 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043311 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:35-48




Template-Type: ReDIF-Article 1.0
Author-Name: Harvey James 
Author-X-Name-First: Harvey 
Author-X-Name-Last: James 
Title: Employment Contracts, US Common Law and the Theory of the Firm 
Abstract:
  The purpose of this paper is to show that the common law governing the
 employment of labour in the United States makes the distinction not only
 between employees and independent contractors but also between employees
 characterized as 'servants' and employees as 'agents.' This paper also
 uses an online database of employment contracts to show how written
 contracts of employment support the granting of decision-making authority
 or agency to workers qua agents. In doing so, this paper articulates a
 paradox. The common law embodies 'defaults' that allow firm owners to
 employ workers as 'servants,' but the common law does not contain defaults
 for workers employed as 'agents,' hence the use of formal, written
 contracts. This is paradoxical because many contracts of employment
 contain similar characteristics and clauses, which could in theory be
 incorporated into the common law and thus used as 'defaults' in
 contracting, thereby creating a substantial transaction cost savings in
 the establishment of employment relationships with workers expected to
 possess agency authority. 
Journal: International Journal of the Economics of Business 
Pages: 49-65 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Employment Contracts, Managerial Control, Agency Relations, Common Law, Transaction Cost Economics, 
X-DOI: 10.1080/1357151032000043320 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043320 
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:49-65




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Szilagyi 
Author-X-Name-First: Peter 
Author-X-Name-Last: Szilagyi 
Author-Name: Jonathan Batten 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Batten 
Author-Name: Thomas Fetherston 
Author-X-Name-First: Thomas 
Author-X-Name-Last: Fetherston 
Title: Disintermediation and the Development of Bond Markets in Emerging Europe 
Abstract:
  The recent financial crises in Asia and Russia have shown that emerging
 European economies, due to their strong dependence on foreign capital, are
 highly vulnerable to the excessive volatility of international capital
 flows. Those economies that pursued sound macroeconomic policies,
 including setting up functioning financial market systems, have held up
 well and avoided major spillover effects. We argue that the appropriate
 approach to meet future refinancing needs is through the development of
 viable domestic and international bond markets. A key benefit of this
 strategy will be a reduction in systemic risk and the probability of
 future crisis. 
Journal: International Journal of the Economics of Business 
Pages: 67-82 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Disintermediation, Bond Markets, Emerging Markets, 
X-DOI: 10.1080/1357151032000043339 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043339 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:67-82




Template-Type: ReDIF-Article 1.0
Author-Name: Jonathan Batten 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Batten 
Author-Name: Peter Szilagyi 
Author-X-Name-First: Peter 
Author-X-Name-Last: Szilagyi 
Title: Why Japan Needs to Develop its Corporate Bond Market 
Abstract:
  Analysis of flow of funds data provides evidence of gradual
 disintermediation in Japan's financial system, but the major channel for
 the allocation of domestic savings to productive assets remains bank
 intermediated lending. Overall, the Japanese financial system is still
 bank dominated, with the lending patterns of the past decade bearing
 witness to the adverse selection and moral hazard problems that may arise
 from a market overly reliant on intermediated financing. This study
 recommends further development of Japan's corporate bond market with
 improved access by foreign participants including borrowers, investors and
 investment banks. 
Journal: International Journal of the Economics of Business 
Pages: 83-108 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Bond Markets, Financial System Reform, Japan, 
X-DOI: 10.1080/1357151032000043348 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043348 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:83-108




Template-Type: ReDIF-Article 1.0
Author-Name: Keith Cowling 
Author-X-Name-First: Keith 
Author-X-Name-Last: Cowling 
Title: America and Japan as Industrial Role Models. Reflections on Michael H. Best, The New Competitive Advantage: The Renewal of American Industry 
Abstract:
  Many in the economics profession have a deep suspicion of industrial
 policy, and rightly so: but it is typically a suspicion of the efficacy of
 massive industrial subsidisation of the major corporations by the state.
 Best points the way to a more creative industrial policy aimed at
 providing the enabling conditions for rapid entrepreneurial growth, and he
 is able, as an engineer-economist, to specify what this means in a rapidly
 changing world. Where we must remain somewhat suspicious is in his
 willingness to accept that the position of a major corporation as an
 entrepreneurial firm is unproblematic so long as it adopts the appropriate
 business model. This shows in his treatment of Intel. Whilst recognizing
 that the Intel example contains many desirable characteristics associated
 with dynamic innovation and production, the ultimate congruence between
 the technological trajectory driven by corporations like Intel and the
 public interest cannot be taken for granted. 
Journal: International Journal of the Economics of Business 
Pages: 109-115 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Technology Management, American Renaissance, 
X-DOI: 10.1080/1357151032000043366 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043366 
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:109-115




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Leroy 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Leroy 
Title: Review of Peter Bossaerts, The Paradox of Asset Pricing 
Abstract:
  By 'the paradox of asset pricing' Peter Bossaerts refers to his
 contention that, despite its apparent generality and sophistication, the
 theory of finance has largely been a failure empirically. Bossaerts
 reviews the major areas of finance: theory, empirical methods, empirical
 results and experiments. The explanatory variables for average asset
 returns suggested by theory - market beta and consumption beta - predict
 returns less successfully than variables for which the theoretical basis
 is weak. This reviewer agrees with Bossaerts' assessment. Bossaerts
 proposes weakening the hypothesis of market efficiency from full rational
 expectations to efficient learning: agents update priors optimally - that
 is, according to Bayes' rule - but start with possibly biased priors. He
 develops ingenious empirical implications of this specification. For
 example, he shows that under efficient learning, inverse asset returns are
 fair games going backward in time (under some additional assumptions).
 Empirical implementation of these tests appear promising. 
Journal: International Journal of the Economics of Business 
Pages: 117-126 
Issue: 1 
Volume: 10 
Year: 2003 
Keywords: Market Efficiency, Martingales, Experiments, CAPM, Consumption-based Asset Pricing, 
X-DOI: 10.1080/1357151032000043375 
File-URL: http://www.tandfonline.com/10.1080/1357151032000043375 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:1:p:117-126




Template-Type: ReDIF-Article 1.0
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Title: Introduction 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 133-133 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline Distribution, Price Discrimination, Uniform Pricing, 
X-DOI: 10.1080/13571510305066 
File-URL: http://www.tandfonline.com/10.1080/13571510305066 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:133-133




Template-Type: ReDIF-Article 1.0
Author-Name: William Comanor 
Author-X-Name-First: William 
Author-X-Name-Last: Comanor 
Author-Name: Jon Riddle 
Author-X-Name-First: Jon 
Author-X-Name-Last: Riddle 
Title: The Costs of Regulation: Branded Open Supply and Uniform Pricing of Gasoline 
Abstract:
  This paper examines recent proposals to alter distribution arrangements
 for gasoline within California. Specifically, these proposals would permit
 a company's branded dealer to obtain supplies from any point in its
 affiliated refiner's distribution network. Furthermore, the prices charged
 by refiners at each distribution point would be the same for dealers and
 distributors alike. In this analysis, we consider how the major oil
 companies would likely react to such changes, and how their expected
 reactions would affect the prices that California drivers pay for
 gasoline. For this purpose, we construct an economic model of a
 hypothetical distribution system that might arise if these proposals were
 enacted. The primary finding of this study is that imposing uniform prices
 on the leading refiners in California would lead to higher delivered
 prices of gasoline, on average, than those found currently. This result
 follows from the presence of competitive markets in some local markets
 that would not otherwise exist. By eliminating geographic price
 discrimination, these proposals would suppress competitive pressures and
 promote higher prices. 
Journal: International Journal of the Economics of Business 
Pages: 135-155 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline Distribution, Costs Of Regulation, Price Discrimination And Uniform Pricing Of Gasoline, Branded Open Supply Of Gasoline, 
X-DOI: 10.1080/13571510305060 
File-URL: http://www.tandfonline.com/10.1080/13571510305060 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:135-155




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Keeley 
Author-X-Name-First: Michael 
Author-X-Name-Last: Keeley 
Author-Name: Kenneth Elzinga 
Author-X-Name-First: Kenneth 
Author-X-Name-Last: Elzinga 
Title: Uniform Gasoline Price Regulation: Consequences for Consumer Welfare 
Abstract:
  In this paper, we assess the long-run implications for consumer welfare
 of proposed uniform gasoline price regulation. Such regulation would allow
 lessee dealers to ignore the terms of their lease agreements and purchase
 gasoline at the 'rack' (i.e., a wholesale distribution terminal) or from
 whomever and wherever they choose (most typically a 'jobber', i.e., an
 independent distributor). We show that such regulation would harm consumer
 welfare by raising wholesale and retail prices without benefiting lessee
 dealers. Prices would increase because the proposed regulation would
 prohibit efficient pricing that reflects differences in costs and demand
 that vary by geographic area and by type of distribution. We also show
 that even under the assumption that price differences result solely from
 price discrimination, uniform price regulation will not necessarily
 benefit consumers or all lessee dealers. 
Journal: International Journal of the Economics of Business 
Pages: 157-168 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline Price Regulation, Uniform Price Regulation, Gasoline Distribution, Open Supply, Rack Price, Dtw Price, 
X-DOI: 10.1080/13571510305062 
File-URL: http://www.tandfonline.com/10.1080/13571510305062 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:157-168




Template-Type: ReDIF-Article 1.0
Author-Name: German Coloma 
Author-X-Name-First: German 
Author-X-Name-Last: Coloma 
Title: Price Discrimination and Price Dispersion in the Argentine Gasoline Market 
Abstract:
  This paper analyses the extent of gasoline price differences among
 provinces in Argentina during the period 1998-2000, and tries to impute
 those differences to price discrimination and non-price discrimination
 causes. It also tries to measure the effects of those differences on
 quantities and welfare. We conclude that price discrimination exists but
 it is relatively irrelevant to explain most geographic price differences.
 We also find that, in this case, eliminating price discrimination would
 lead to ambiguous changes in welfare, but moving to a uniform price scheme
 (i.e., preventing all geographic price differences) will almost certainly
 reduce total surplus. 
Journal: International Journal of the Economics of Business 
Pages: 169-178 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline Market, Price Discrimination, Argentina, 
X-DOI: 10.1080/13571510305068 
File-URL: http://www.tandfonline.com/10.1080/13571510305068 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:169-178




Template-Type: ReDIF-Article 1.0
Author-Name: James Langenfeld 
Author-X-Name-First: James 
Author-X-Name-Last: Langenfeld 
Author-Name: Wenqing Li 
Author-X-Name-First: Wenqing 
Author-X-Name-Last: Li 
Author-Name: George Schink 
Author-X-Name-First: George 
Author-X-Name-Last: Schink 
Title: Economic Literature on Price Discrimination and its Application to the Uniform Pricing of Gasoline 
Abstract:
  This article summarizes much of the literature on price discrimination,
 discussing the alterative approaches and the general conclusions on price
 discrimination's impact on output, prices, and welfare. It applies lessons
 from the literature to a specific proposal that would eliminate arbitrage
 in California wholesales gasoline markets, and in effect prevent some
 forms of price discrimination. It concludes that applying extensions of
 the existing models to industry data is very important for gaining a
 better understanding of the implications price discrimination, and the
 current debate on price dispersion would benefit from such research. 
Journal: International Journal of the Economics of Business 
Pages: 179-193 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Price Discrimination, Uniform Pricing, Gasoline, Oligopolistic Competition, Ricardian Equilibrium, 
X-DOI: 10.1080/13571510305065 
File-URL: http://www.tandfonline.com/10.1080/13571510305065 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:179-193




Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Author-Name: Christos Ioannidis 
Author-X-Name-First: Christos 
Author-X-Name-Last: Ioannidis 
Author-Name: David Peel 
Author-X-Name-First: David 
Author-X-Name-Last: Peel 
Title: Some Further Empirical Evidence on the Impact of Oil Price Changes on Petrol Prices 
Abstract:
  This paper analyses the asymmetries in the response of petrol prices to
 oil price shocks. We show that previous work, based on the determination
 of asymmetric responses, can be improved upon by allowing for asymmetries
 in short term dynamics. The paper shows that a significant determinant of
 the response of petrol prices to oil price changes, is the extent to which
 petrol price can be seen to have departed from its long run equilibrium
 level. 
Journal: International Journal of the Economics of Business 
Pages: 195-203 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Petrol Price, Oil Prices, Asymmetric Adjustment, Non-Linearity, Cointegration, 
X-DOI: 10.1080/13571510305063 
File-URL: http://www.tandfonline.com/10.1080/13571510305063 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:195-203




Template-Type: ReDIF-Article 1.0
Author-Name: Roger Blair 
Author-X-Name-First: Roger 
Author-X-Name-Last: Blair 
Author-Name: Laura Daugherty 
Author-X-Name-First: Laura 
Author-X-Name-Last: Daugherty 
Title: Florida's Motor Fuel Marketing Practices Act 
Abstract:
  This paper examines some of the problems associated with Florida's
 statutory prohibition of below-cost gasoline pricing. We show some of the
 difficulties and potential pitfalls that accompany interventionist efforts
 in the gasoline market. 
Journal: International Journal of the Economics of Business 
Pages: 205-212 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline Marketing, Below-cost Pricing, Market Intervention, 
X-DOI: 10.1080/13571510305067 
File-URL: http://www.tandfonline.com/10.1080/13571510305067 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:205-212




Template-Type: ReDIF-Article 1.0
Author-Name: Howard Marvel 
Author-X-Name-First: Howard 
Author-X-Name-Last: Marvel 
Title: On the Economics of Branded Open Supply 
Abstract:
  Branded open supply regulations permit gasoline dealers to incur
 transportation costs to arbitrage price differences among terminal
 locations. This arbitrage increases the overall cost of transporting
 gasoline from refinery to consumer by substituting high-cost truck
 transport for cheap bulk transportation. This paper provides a simple
 model of how arbitrage can lead either to a less dense terminal network
 or, in some instances, to a less dense network of dealers than refiners
 would prefer. Enforceable exclusive supply agreements can increase
 inventory holding, provide protection against excessive price volatility,
 and reduce transportation costs. An end to such agreements will likely
 impair the ability of branded dealers to differentiate themselves from
 unbranded rivals. 
Journal: International Journal of the Economics of Business 
Pages: 213-223 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline, Distribution, Inventories, Open Supply, 
X-DOI: 10.1080/13571510305064 
File-URL: http://www.tandfonline.com/10.1080/13571510305064 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:213-223




Template-Type: ReDIF-Article 1.0
Author-Name: Christopher Taylor 
Author-X-Name-First: Christopher 
Author-X-Name-Last: Taylor 
Author-Name: Jeffrey Fischer 
Author-X-Name-First: Jeffrey 
Author-X-Name-Last: Fischer 
Title: A Review of West Coast Gasoline Pricing and the Impact of Regulations 
Abstract:
  There have been numerous proposals for legislating restrictions on
 vertical supply relationships on the West Coast and elsewhere. However,
 there has not been a systematic examination of gasoline prices on the West
 Cost, relative to the rest of the country, to understand the size of
 possible pricing anomalies. We examine the differences in the price of
 gasoline on the West Coast and the Gulf Coast both at the rack (wholesale)
 and retail. We also examine structural factors that have kept average West
 Coast prices higher than elsewhere, such as the higher costs to produce
 CARB gasoline and higher opportunity costs to produce conventional
 gasoline, higher shipping costs, Unocal's patents on CARB gasoline
 blending, higher taxes, Oregon's ban on self-service gasoline, and higher
 land costs. While a number of these factors are difficult to quantify,
 they would appear to explain most or possibly all of the measured
 difference in average prices. 
Journal: International Journal of the Economics of Business 
Pages: 225-243 
Issue: 2 
Volume: 10 
Year: 2003 
Keywords: Gasoline Pricing, Industry Study-Gasoline, Regulation, Competition Policy, 
X-DOI: 10.1080/13571510305061 
File-URL: http://www.tandfonline.com/10.1080/13571510305061 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:225-243




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Nisbet 
Author-X-Name-First: Peter 
Author-X-Name-Last: Nisbet 
Author-Name: Wayne Thomas 
Author-X-Name-First: Wayne 
Author-X-Name-Last: Thomas 
Author-Name: Stuart Barrett 
Author-X-Name-First: Stuart 
Author-X-Name-Last: Barrett 
Title: UK direct investment in the United States: a mode of entry analysis 
Abstract:
  This article investigates the reasons underlying the high propensity of
 UK firms to directly invest in the United States via acquisition and
 merger. Using a binomial logit model, this study analyses data from 142
 firms in five industrial sectors over the period 1984-1994. Together,
 these sectors account for more than 80% of UK foreign direct investment
 (FDI) in the sample period. The results highlight the role of
 diversification in explaining this behaviour. In contrast, the relative
 lack of evidence to support the role of exchange rates and leverage in
 influencing the decision to merge/acquire continues to fuel division as to
 the role of capital market imperfections in determining mode of entry. 
Journal: International Journal of the Economics of Business 
Pages: 245-259 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Foreign Direct Investment, Mode of Entry, 
X-DOI: 10.1080/1357151032000126229 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126229 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:245-259




Template-Type: ReDIF-Article 1.0
Author-Name: Klaus Gugler 
Author-X-Name-First: Klaus 
Author-X-Name-Last: Gugler 
Title: Corporate governance and investment 
Abstract:
  This article contributes in at least three ways to the investment-cash
 flow literature. First, it finds that the corporate governance environment
 of a firm affects the relationship between investment and cash flow.
 Second, it allows for both asymmetric information and managerial
 discretion explanations for positive investment-cash flow coefficients,
 thereby overcoming most of the ambiguities in this interpretation.
 Finally, by using a GMM estimator most of the problems with traditional
 OLS models are avoided. It is found that family-controlled firms appear to
 suffer from cash constraints as evidenced by a positive and robust
 relationship of investment to cash flow. State-controlled firms also
 exhibit a positive and significant cash flow sensitivity, which we explain
 by managerial discretion. 
Journal: International Journal of the Economics of Business 
Pages: 261-289 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Corporate Governance, Cash Constraints, Managerial Discretion, Rates of Return, 
X-DOI: 10.1080/1357151032000126238 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126238 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:261-289




Template-Type: ReDIF-Article 1.0
Author-Name: John Simpson 
Author-X-Name-First: John 
Author-X-Name-Last: Simpson 
Title: Geographic markets in hospital mergers: a case study 
Abstract:
  In three recent hospital merger cases, the courts concluded that the
 merged hospital would be unable to increase price profitably because of
 competition from distant hospitals. In reaching this conclusion, the
 courts found the following: hospitals earn high margins on the last
 patients that they serve; given these high margins, a small price increase
 would be unprofitable if even a relatively small percentage of patients
 switched to other hospitals; many of the merging hospitals' patients live
 in 'contestable' zip codes, where a large percentage of patients already
 use other hospitals; a price increase at the merging hospitals would
 prompt a large number of these patients to switch to other hospitals; and
 this amount of switching would make the price increase unprofitable. This
 article argues that the courts in these cases erred in accepting the
 defendants' argument that switching by patients living in 'contestable'
 zip codes would make a price increase at the merging hospitals
 unprofitable. Specifically, this article examines the behavior of patients
 following a merger similar to those analyzed by these courts and finds
 that a large price increase prompted little switching by patients living
 in 'contestable' zip codes. 
Journal: International Journal of the Economics of Business 
Pages: 291-303 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Hospital Mergers, Geographic Markets, 
X-DOI: 10.1080/1357151032000126247 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126247 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:291-303




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Webb 
Author-X-Name-First: Robert 
Author-X-Name-Last: Webb 
Title: Levels of efficiency in UK retail banks: a DEA window analysis 
Abstract:
  This article utilizes DEA window analysis in order to investigate the
 relative efficiency levels of large UK retail banks during the period of
 transition 1982-1995. It finds that for the entire sample, the mean
 inefficiency levels are low in comparison to past studies, that the
 overall long run average efficiency trend is falling and that all banks in
 the study show reducing levels of efficiency over the entire time period.
 It then goes on to disaggregate efficiency into scale and pure technical
 efficiency and finds that: (1) scale inefficiencies dominate pure
 technical inefficiencies; (2) less big banks are more likely to report
 technical inefficiency and (3) during the 1990s banks with asset levels
 over £105bn suffer decreasing returns to scale 
Journal: International Journal of the Economics of Business 
Pages: 305-322 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: UK Banking, Efficiency, DEA, Window Analysis, 
X-DOI: 10.1080/1357151032000126256 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126256 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:305-322




Template-Type: ReDIF-Article 1.0
Author-Name: Charles Zech 
Author-X-Name-First: Charles 
Author-X-Name-Last: Zech 
Title: Understanding denominational structures: churches as franchise organizations 
Abstract:
  One of the most complex, yet least-analyzed, organizational relationships
 is that between a religious denomination and its member congregations.
 This study maintains that denominational-congregational relationships in
 US Christian churches can be informed by the franchise model of
 organizations. It is argued that it is possible to envision a continuum of
 church organizational structures, ranging from a branch office, through
 various forms of franchise arrangements (including company owned, business
 format, and trademark franchises) to freestanding entrepreneurial units.
 By studying those situations where the franchise model explains
 denominational behavior, and contrasting them with those situations where
 the franchise model is not a good fit, we can learn more about
 denominational structures. 
Journal: International Journal of the Economics of Business 
Pages: 323-335 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Franchise, Church, Agency, 
X-DOI: 10.1080/1357151032000126265 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126265 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:323-335




Template-Type: ReDIF-Article 1.0
Author-Name: Cesaltina Pacheco Pires 
Author-X-Name-First: Cesaltina Pacheco 
Author-X-Name-Last: Pires 
Author-Name: Duarte Brito 
Author-X-Name-First: Duarte 
Author-X-Name-Last: Brito 
Title: Is there a 'change in efficiency theory'? 
Abstract:
  A standard result in oligopoly models is that the more efficient firms
 have larger market shares. The main question being answered in this paper
 is: 'if a firm increases (decreases) its relative efficiency does it
 increase (decrease) its market share?'. We show that, in two widely used
 models where more efficient firms have larger equilibrium market shares,
 it is possible to have a firm getting relatively less (more) efficient
 than its rivals and, at the same time, increasing (decreasing) its market
 share. 
Journal: International Journal of the Economics of Business 
Pages: 337-345 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Efficiency Hypothesis, Market Share, Dominant Firm, 
X-DOI: 10.1080/1357151032000126274 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126274 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:337-345




Template-Type: ReDIF-Article 1.0
Author-Name: Dennis Halcoussis 
Author-X-Name-First: Dennis 
Author-X-Name-Last: Halcoussis 
Author-Name: Anton Lowenberg 
Author-X-Name-First: Anton 
Author-X-Name-Last: Lowenberg 
Title: The quantity and quality of radio broadcasting: are small markets underprovided? 
Abstract:
  Small radio markets are characterized by less format variety and lower
 listening shares than larger markets. It is frequently argued that lack of
 format variety causes low listenership and that small markets consequently
 are underserved by commercial radio. However, if format variety is treated
 as endogenous, then the relatively low numbers of formats available in
 small markets might reflect underlying taste or lifestyle attributes
 rather than market failure. We argue that residents of smaller towns
 actually enjoy higher quality commercial broadcasts than their
 counterparts in large cities because radio stations in small markets play
 fewer commercials than big-city stations, ceteris paribus. To test this
 hypothesis we develop a measure of the average quantity of commercials
 played per station in each market area. Our findings confirm that
 listeners in small markets benefit from higher quality radio services than
 listeners in large markets, if high quality is defined as fewer commercial
 interruptions. 
Journal: International Journal of the Economics of Business 
Pages: 347-357 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Radio Broadcasting, Public Goods, Market Size, 
X-DOI: 10.1080/1357151032000126283 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126283 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:347-357




Template-Type: ReDIF-Article 1.0
Author-Name: George Ford 
Author-X-Name-First: George 
Author-X-Name-Last: Ford 
Author-Name: Barry Haworth 
Author-X-Name-First: Barry 
Author-X-Name-Last: Haworth 
Author-Name: Audrey Kline 
Author-X-Name-First: Audrey 
Author-X-Name-Last: Kline 
Title: Discrimination and minority ownership in radio broadcasting 
Abstract:
  Minority preferences in the broadcasting industry date to the early 1970s
 when the Federal Communications Commission (FCC) developed programs to
 encourage minority ownership of radio stations. In this article, one
 particular justification for minority preferences in radio broadcasting is
 examined. Specifically, it is evaluated whether or not minority-owned
 radio stations experience a revenue penalty simply because they are
 minority owned. Evidence of such discrimination may support minority
 preferences in radio broadcasting under the more stringent legal standard
 for minority preferences established by the Supreme Court decision of
 Adarand v. Pena. No evidence of discrimination in the radio industry is
 found, at least discrimination that would be detected by a revenue
 handicap for minority-owned stations. 
Journal: International Journal of the Economics of Business 
Pages: 359-371 
Issue: 3 
Volume: 10 
Year: 2003 
Keywords: Broadcasting, Discrimination, Communications, 
X-DOI: 10.1080/1357151032000126292 
File-URL: http://www.tandfonline.com/10.1080/1357151032000126292 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:359-371




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Law 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Law 
Title: Inter-temporal Tie-ins: A Case for Tying Intellectual Property Through Licensing 
Abstract:
  Hybrid licences tie trade secret rights (which have no fixed expiration)
 to related patent rights (which expire). Although level royalty hybrid
 licences, which charge a single royalty for both rights, have been
 prohibited, it can be shown that infinite-term licensing (ITL) for patent
 rights may be better than a limited-term patent, when returns to the
 licensor are fixed. This article explains hybrid licensing as a means of
 privately implementing the efficient ITL outcome when returns to the
 licensor are constrained but not necessarily fixed, without requiring a
 change in the length of the patent term. 
Journal: International Journal of the Economics of Business 
Pages: 3-26 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Licensing, Hybrid Licensing, Intellectual Property Rights, Patents, Trade Secrets, Tying, K11, K21, L42, 
X-DOI: 10.1080/1357151032000172200 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172200 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:3-26




Template-Type: ReDIF-Article 1.0
Author-Name: Harry Bloch 
Author-X-Name-First: Harry 
Author-X-Name-Last: Bloch 
Author-Name: Jo Voola 
Author-X-Name-First: Jo 
Author-X-Name-Last: Voola 
Title: Strategic Responses to Advances in Seismic Technology in the Petroleum Industry 
Abstract:
  The world petroleum industry has been revolutionized by a change in
 exploration technology from two-dimensional (2D) to three-dimensional (3D)
 seismic mapping. One of the main effects of the newer technology has been
 to decrease the cost of finding oil, particularly in offshore fields. We
 examine the impact of the new technology on the exploration activities of
 the major international petroleum companies and find that they have
 aggressively increased petroleum exploration expenditures. As a result, we
 suggest that the companies have achieved a prisoner's dilemma outcome,
 where they are collectively worse off in terms of profits, providing a
 possible explanation for the recent wave of large-scale mergers in the
 industry. 
Journal: International Journal of the Economics of Business 
Pages: 27-36 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Petroleum Industry, Exploration Expenditures, Oligopoly, Strategic Behaviour, JEL Classifications: l71, O32, 
X-DOI: 10.1080/1357151032000172219 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172219 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:27-36




Template-Type: ReDIF-Article 1.0
Author-Name: Caroline Elliott 
Author-X-Name-First: Caroline 
Author-X-Name-Last: Elliott 
Title: Vertical Product Differentiation and Advertising 
Abstract:
  A duopoly model is developed in which firms' strategic variables include
 brand quality, the number of distinct market segments to enter and price.
 Informative advertising is used to overcome consumer ignorance about
 brands. In contrast to many existing models in which firms engage in price
 competition, the subgame perfect equilibria of the game are not
 characterised by the production of vertically differentiated products.
 Further, whilst the firms typically produce identical high quality
 products, in some circumstances the production of homogeneous low quality
 brands can be an equilibrium strategy. 
Journal: International Journal of the Economics of Business 
Pages: 37-53 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Product Differentiation, Advertising, Duopoly, JEL Classifications: C7, D8, L1, 
X-DOI: 10.1080/1357151032000172228 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172228 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:37-53




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Shmanske 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Shmanske 
Title: Market Preemption and Entry Deterrence: Evidence from the Golf Course Industry 
Abstract:
  The population in a given geographical area has to be large enough before
 the area can support the entry of a golf course. The required amount of
 population will be higher if costs are higher, or if the underlying demand
 to golf by residents is lower, or if there is more preexisting competition
 from incumbent golf courses. If incumbent golf courses undertake
 entry-deterring strategies, either explicitly or implicitly, the required
 population will be higher still. If population is expected to grow
 quickly, then the amount of population required by the entry date could be
 lower. These effects are measured and analyzed in this empirical study of
 the entry of 104 golf courses in the greater San Francisco Bay Area
 between 1893 and 2001. 
Journal: International Journal of the Economics of Business 
Pages: 55-68 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Preemptive Entry, Entry Deterrence, Golf Course Economics, Subsidized Pricing, Municipal Golf, Privatization, L11, L33, L83, D43, 
X-DOI: 10.1080/1357151032000172237 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172237 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:55-68




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Clyde 
Author-X-Name-First: Paul 
Author-X-Name-Last: Clyde 
Author-Name: James Reitzes 
Author-X-Name-First: James 
Author-X-Name-Last: Reitzes 
Title: Can Mergers to Monopoly, Price Fixing, and Market-Division Agreements Raise Welfare? 
Abstract:
  Naked market division, price fixing agreements and mergers which result
 in dominant positions have long been opposed by the courts and the
 government because of the high likelihood that they will result in a
 reduction in output and an increase in price. We show that the opposite
 may be true if the market is characterized by marketing spillovers. When
 marketing investment is required to educate consumers about the general
 capabilities or qualities of a product, marketing efforts by one producer
 will benefit rival producers. A theoretical model of these types of
 markets shows that marketing spillovers can forestall entry altogether or
 force incumbent firms to engage in 'limit marketing' that leaves the
 market underserved from a welfare-maximizing perspective. Under these
 circumstances, market output and social welfare are potentially raised not
 only through horizontal agreements among competitors, but also through
 cost-raising strategies and commitments to predatory behavior by incumbent
 firms. 
Journal: International Journal of the Economics of Business 
Pages: 69-90 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Monopoly, Spillovers, Price Fixing, Market Division, Antitrust, L12, L13, L41, K21, 
X-DOI: 10.1080/1357151032000172246 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172246 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:69-90




Template-Type: ReDIF-Article 1.0
Author-Name: Simon Ashby 
Author-X-Name-First: Simon 
Author-X-Name-Last: Ashby 
Author-Name: Swee-Hoon Chuah 
Author-X-Name-First: Swee-Hoon 
Author-X-Name-Last: Chuah 
Author-Name: Robert Hoffmann 
Author-X-Name-First: Robert 
Author-X-Name-Last: Hoffmann 
Title: Industry Self-Regulation: A Game-Theoretic Typology of Strategic Voluntary Compliance 
Abstract:
  We analyse the possibility of successful industry self-regulation in
 terms of the strategic interactions between industry members and
 government. In particular, this article presents a game-theoretic typology
 of generic self-regulatory scenarios and evaluates these in terms of the
 resulting likelihood of collective compliance. We discuss the advertising,
 press and life insurance industries in the UK as examples of the
 scenarios. Conclusions for corporate and public policy are offered. 
Journal: International Journal of the Economics of Business 
Pages: 91-106 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Industry Self-regulation, Voluntary Compliance, Game Theory, Public Goods, Collective Action, JEL Classifications: C72, D7, H11, K20, L51, 
X-DOI: 10.1080/1357151032000172255 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172255 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:91-106




Template-Type: ReDIF-Article 1.0
Author-Name: Switgard Feuerstein 
Author-X-Name-First: Switgard 
Author-X-Name-Last: Feuerstein 
Title: Collusion with Fluctuating Exchange Rates: A Note 
Abstract:
  A fluctuating exchange rate has an impact on how firms value a given
 stream of profits, thereby affecting the ability of an international
 oligopoly to collude implicitly. The conversion effect arises because the
 foreign firm maximizes its profits earned on the home market measured in
 foreign currency. The discount factor effect captures the fact that
 exchange rate fluctuations are connected with fluctuations in the interest
 rates, thereby changing the present value of future profits. Although each
 effect refers to only one of the firms, considered together they have an
 identical impact on the home and the foreign firm. If the foreign country
 is small, the conversion effect and the discount factor effect exactly
 offset each other. Otherwise, the effects analysed make collusion more
 difficult to sustain. 
Journal: International Journal of the Economics of Business 
Pages: 107-116 
Issue: 1 
Volume: 11 
Year: 2004 
Keywords: Implicit Collusion, International Oligopoly, Fluctuating Exchange Rate, D43, F12, L13, 
X-DOI: 10.1080/1357151032000172264 
File-URL: http://www.tandfonline.com/10.1080/1357151032000172264 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:1:p:107-116




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Meier 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Meier 
Author-Name: Bruno Frey 
Author-X-Name-First: Bruno 
Author-X-Name-Last: Frey 
Title: Do Business Students Make Good Citizens? 
Abstract:
  Business students are often portrayed as behaving too egoistically. The
 critics call for more social responsibility and good citizenship behavior
 by business students. We present evidence of pro-social behavior of
 business students. With a large panel data set for real-life behavior at
 the University of Zurich, two specific hypotheses are tested: do selfish
 students select into business studies or does the training in business
 studies negatively indoctrinate students? The evidence points to a
 selection effect. Business education does not seem to change the
 citizenship behavior of business students. 
Journal: International Journal of the Economics of Business 
Pages: 141-163 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: Business Students, Public Good, Giving Behavior, Education, Selection, 
X-DOI: 10.1080/1357151042000222492 
File-URL: http://www.tandfonline.com/10.1080/1357151042000222492 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:141-163




Template-Type: ReDIF-Article 1.0
Author-Name: Frankling Mixon 
Author-X-Name-First: Frankling 
Author-X-Name-Last: Mixon 
Author-Name: Len Trevino 
Author-X-Name-First: Len 
Author-X-Name-Last: Trevino 
Author-Name: Angel Bales 
Author-X-Name-First: Angel 
Author-X-Name-Last: Bales 
Title: Just-below Princing Strategies in the Music Industry: Empirical Evidence 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 165-174 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: Just-below Pricing, Pricing Strategies, Price Theory, 
X-DOI: 10.1080/751245213 
File-URL: http://www.tandfonline.com/10.1080/751245213 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:165-174




Template-Type: ReDIF-Article 1.0
Author-Name: Franz Wirl 
Author-X-Name-First: Franz 
Author-X-Name-Last: Wirl 
Title: Inter-Divisional Contracts 
Abstract:
  This article considers distributed and hierarchical decisions where the
 actions of two units of a firm (divisions, brands, departments) lead to
 externalities. For example, brand 1 plans to offer a new product that
 could have adverse effects on products from brand 2. Each unit has private
 information concerning the benefit ('1') and the harm ('2'). The second
 unit may ask the executives to intervene by either quantitative or
 financial interventions. The executives lack the private information and
 thus impose either a penalty or a standard, probably based on some average
 values. The surprising feature is that the resulting contracts (offered by
 '2') deviate substantially from the conventional contracts. First,
 considering standards, countervailing incentives - 'no distortion' at both
 ends - are optimal. A penalty leads to even more complex arrangements
 covering four different kinds of contracts including 'no distortion at the
 top', 'no distortion at the bottom', 'no distortion at an interior point',
 and a boundary solution (duplicating the executive's intervention). A
 comparison reveals that the standard outperforms the penalty. 
Journal: International Journal of the Economics of Business 
Pages: 197-216 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: Intra-Firm Contracts, Externalities, Organizational Instruments, 
X-DOI: 10.1080/1357151042000222828 
File-URL: http://www.tandfonline.com/10.1080/1357151042000222828 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:197-216




Template-Type: ReDIF-Article 1.0
Author-Name: Bruno Viani 
Author-X-Name-First: Bruno 
Author-X-Name-Last: Viani 
Title: Private Control, Competion, and the Performance of Telephone Firms in Less Developed Countries 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 217-240 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: Telecommunications, Privatization, Competition, Less Developed Countries, 
X-DOI: 10.1080/751245214 
File-URL: http://www.tandfonline.com/10.1080/751245214 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:217-240




Template-Type: ReDIF-Article 1.0
Author-Name: Seth Norton 
Author-X-Name-First: Seth 
Author-X-Name-Last: Norton 
Title: Information Processing in the Theory of the Firm: The Rise of General Motors 
Abstract:
  This article reviews alternative theories of the firm and their
 relationship to the spectacular rise of General Motors during the 1920s.
 The article examines the degree of synchronization of GM's sales to
 dealers with dealers' sales to final consumers, both before and after
 Alfred Sloan's forecasting and information processing reforms. It also
 examines the link between the synchronization and GM's performance during
 the period. The data document a dramatic improvement in GM's information
 processing capabilities and a direct link between those capabilities and
 GM's profitability. 
Journal: International Journal of the Economics of Business 
Pages: 123-140 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: General Motors, Firms, Information, Forecasting, Performance, Vertical Integration, 
X-DOI: 10.1080/1357151042000222483 
File-URL: http://www.tandfonline.com/10.1080/1357151042000222483 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:123-140




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Kotzian 
Author-X-Name-First: Peter 
Author-X-Name-Last: Kotzian 
Title: Pharmaceutical R&D in the Setting of Incomplete European Integration 
Abstract:
  The article analyzes the consequences of national price regulation for
 newly developed medicines in the setting of a partially integrated EU-wide
 market for pharmaceuticals and strategic entry-decisions by pharmaceutical
 enterprises. EU member states can be seen as jointly contributing to
 financing R&D conducted by the pharmaceutical industry. The article
 derives and compares the welfare implications of three regimes to organize
 this kind of collective action. First, a situation in which each
 government of a EU member state grants the price for a medicine it thinks
 appropriate, oriented solely at domestic considerations, but there is no
 spill over of prices among national markets. Second, the current situation
 in the EU of introduced tradability for medicines while price setting
 remained a national competence. Third, the possible situation of a
 centralized price setting procedure leading to a single price with
 compensations for those member states unable to pay this European price.
 The article argues that the process of EU integration in pharmaceuticals
 has left an optimal state without reaching another optimal one, but is
 instead stuck in a state of diminished welfare for all parties concerned. 
Journal: International Journal of the Economics of Business 
Pages: 175-195 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: European Integration, Pharmaceutical R&D, Welfare Effects, Parallel Trade, 
X-DOI: 10.1080/1357151042000222519 
File-URL: http://www.tandfonline.com/10.1080/1357151042000222519 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:175-195




Template-Type: ReDIF-Article 1.0
Author-Name: Jorg Borrmann 
Author-X-Name-First: Jorg 
Author-X-Name-Last: Borrmann 
Author-Name: Klaus Zauner 
Author-X-Name-First: Klaus 
Author-X-Name-Last: Zauner 
Title: Cross-subsidization when Firms Are Allowed to make Non-zero Profits 
Abstract:
  Faulhaber's (1975) concept of cross-subsidization is of crucial
 importance for regulatory activities. Its basic idea that customers
 demanding a good should not pay more than they would if they "stood
 alone" is a fundamental fairness rule which can be applied by
 independent regulators in infrastructure industries. In reality, however,
 regulators frequently do not restrict the pricing policy of a regulated
 firm to zero profits due to the influence of politicians and pressure
 groups or, in the case of state-owned firms, because of a mandate to
 generate profits to reduce the state's budget deficit. They approve of
 prices generating positive economic profits. In this case, Faulhaber's
 (1975) concept is not applicable. We develop a less restrictive concept of
 cross-subsidization which can be applied when regulators are not
 independent and allow firms to make non-zero profits. We generalize the
 usual stand-alone and incremental cost tests to the case when regulated
 firms make positive profits, and provide an equivalence result for the
 (generalized) stand-alone cost (GSAC) test and the (generalized)
 incremental cost (GIC) test. 
Journal: International Journal of the Economics of Business 
Pages: 241-247 
Issue: 2 
Volume: 11 
Year: 2004 
Keywords: Co-operative Game Theory, Cost Allocation, Cross-subsidization, Incremental Cost Test, Stand-alone Cost test, 
X-DOI: 10.1080/1357151042000222546 
File-URL: http://www.tandfonline.com/10.1080/1357151042000222546 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:2:p:241-247




Template-Type: ReDIF-Article 1.0
Author-Name: Werner Bonte 
Author-X-Name-First: Werner 
Author-X-Name-Last: Bonte 
Title: Innovation and employment growth in industrial clusters: evidence from aeronautical firms in Germany 
Abstract:
  This article investigates the impact of various agglomeration forces on
 employment and innovation for a sample of aeronautical cluster firms in
 Northern Germany and a control group of geographically dispersed
 aeronautical firms in other German regions. The findings suggest that
 employment growth is positively affected by labor market pooling but this
 effect is not cluster-specific. The firms' probability of innovating is
 positively influenced by knowledge flows from proximate scientific
 institutions and public information sources as well as demanding local
 customers. However, only the effect of demanding customers is
 cluster-specific. 
Journal: International Journal of the Economics of Business 
Pages: 259-278 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: Industrial Clusters, Innovation, Firm Performance, Aerospace, JEL Classifications: L62, O30, R12, 
X-DOI: 10.1080/1357151042000286393 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286393 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:259-278




Template-Type: ReDIF-Article 1.0
Author-Name: Donald Lacombe 
Author-X-Name-First: Donald 
Author-X-Name-Last: Lacombe 
Author-Name: Harold Winter 
Author-X-Name-First: Harold 
Author-X-Name-Last: Winter 
Title: In or out? explaining state shares of the tobacco Master Settlement Agreement 
Abstract:
  In 1998, 46 states were involved in a Master Settlement Agreement (MSA)
 with the tobacco industry. The other four states settled on their own. Our
 goal is to answer a counter factual question: how would these four states
 have fared had they been included in the MSA? We use data from Viscusi
 (2002) to explain settlement shares for states participating in the 1998
 tobacco MSA, and to predict settlement shares for the four
 nonparticipating states. We find that two nonparticipating states
 (Minnesota and Mississippi) may have fared substantially worse had they
 been included in the MSA. 
Journal: International Journal of the Economics of Business 
Pages: 279-285 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: Tobacco Industry, Tobacco Master Settlement Agreement, JEL Classifications: L6, K3, 
X-DOI: 10.1080/1357151042000286401 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286401 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:279-285




Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Wadeson 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Wadeson 
Title: Multi-dimensional search: choosing the right path 
Abstract:
  This article seeks to analyse processes of decision-making where multiple
 costly observations can be made about individual decision outcomes. It
 presents a simple model of a decision in which information is collected
 sequentially. Most economic models of sequential collection of costly
 information have focused on price-search. It is argued that this is a very
 specialized type of search. This has led such models to focus on the issue
 of when search should stop. The article attempts to show how the
 principles of sequential search can be applied to other types of problems,
 such as innovation, where the choice of path is also of central concern. 
Journal: International Journal of the Economics of Business 
Pages: 287-301 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: Information Logistics, Search, Decision, JEL Classification: D83, D21, D23, L20, 
X-DOI: 10.1080/1357151042000286410 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286410 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:287-301




Template-Type: ReDIF-Article 1.0
Author-Name: Pedro Pereira 
Author-X-Name-First: Pedro 
Author-X-Name-Last: Pereira 
Title: Some implications of search and switching costs for the price dynamics of electronic markets 
Abstract:
  This article develops a model, based on switching costs and technological
 uncertainty, which explains some aspects of the price dynamics of
 e-commerce. Switching costs and intertemporal cost correlation lock-in
 consumers. Firms initially charge low prices to build a customer base. If
 firms fail to reduce costs, and reservation prices are low, firms exit the
 industry. Over time, prices increase if no exit occurs, and decrease if
 exit occurs. Prices may also decrease over time, if the proportion of low
 search cost consumers increases. 
Journal: International Journal of the Economics of Business 
Pages: 303-327 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: E-Commerce, Search, Switching Costs, Learning, Industry Evolution, JEL Classification: D43, D83, L11, L13, L81, O31, O33, 
X-DOI: 10.1080/1357151042000286429 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286429 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:303-327




Template-Type: ReDIF-Article 1.0
Author-Name: Antonis Demos 
Author-X-Name-First: Antonis 
Author-X-Name-Last: Demos 
Author-Name: Fragkiskos Filippaios 
Author-X-Name-First: Fragkiskos 
Author-X-Name-Last: Filippaios 
Author-Name: Marina Papanastassiou 
Author-X-Name-First: Marina 
Author-X-Name-Last: Papanastassiou 
Title: An event study analysis of outward foreign direct investment: the case of Greece 
Abstract:
  The purpose of this article is twofold. Firstly, by applying the event
 study methodology, it provides detailed and updated evidence on the value
 generating effect of different modes of foreign direct investment (FDI)
 entry. Secondly, this is the first paper to empirically evaluate the
 impact of FDI on the stock returns of Greek firms participating in the
 Athens Stock Exchange (ASE). In the case of Greece, the cross-section
 analysis revealed that successful outward FDI projects tend to be located
 in developed countries, performed in a high-technology sector and linked
 to horizontal integration. 
Journal: International Journal of the Economics of Business 
Pages: 329-348 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: Multinational Corporations (MNCs), Foreign Direct Investment, Mergers & Acquisitions, Event Study, JEL Classifications: F23, F30, G14, G34, 
X-DOI: 10.1080/1357151042000286438 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286438 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:329-348




Template-Type: ReDIF-Article 1.0
Author-Name: Mark Rogers 
Author-X-Name-First: Mark 
Author-X-Name-Last: Rogers 
Title: Competition, agency and productivity 
Abstract:
  This article tests a set of hypotheses relating to agency and
 Schumpeterian views on how competition affects performance. A survey data
 set of Australian workplaces is used, with the change in labour
 productivity as the dependent variable. The results show strong support
 for the idea that intense competition raises productivity growth in
 managerial workplaces, but not in non-managerial workplaces (i.e. where
 the principal owner also works). Testing the agency theories in more
 detail, we find no evidence that the number of competitors, the price
 elasticity of demand or a proxy for bankruptcy (pre-tax losses) are the
 mechanisms behind the process. For non-managerial workplaces the results
 indicate support for the idea that greater demand uncertainty reduces
 productivity growth. In contrast, for managerial workplaces, greater
 demand uncertainty tends to raise productivity growth. 
Journal: International Journal of the Economics of Business 
Pages: 349-367 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: Competition, Agency, Schumpeterian, Productivity, JEL Classification: L1, 
X-DOI: 10.1080/1357151042000286447 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286447 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:349-367




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Kuhn 
Author-X-Name-First: Peter 
Author-X-Name-Last: Kuhn 
Title: Is monopsony the right way to model labor markets? a review of Alan Manning's monopsony in motion 
Abstract:
  Manning proposes that the 'traditional' monopsony model, once regarded as
 an analytical curiosity, be adopted as a widely-applicable description of
 firms' behavior in labor markets. In Manning's view, search frictions in
 the labor market generate upward-sloping labor supply curves to individual
 firms even when firms are small relative to the labor market. Thus a model
 of 'monopsonistic competition' best characterizes labor markets as a
 whole. Manning's book applies this new perspective to a wide range of
 'traditional' topics in labor economics, ranging from labor supply, to
 gender discrimination, to the effects of trade unions on wages and
 employment, generating refreshing new insights in each case. Ultimately,
 however, this reader was left unconvinced that monopsony is the 'right'
 model of most firms' labor market behavior in the long run. 
Journal: International Journal of the Economics of Business 
Pages: 369-378 
Issue: 3 
Volume: 11 
Year: 2004 
Keywords: Monopsony, Search, Labor Markets, Wages, Employment, JEL Classification: J00, J42, J63, 
X-DOI: 10.1080/1357151042000286456 
File-URL: http://www.tandfonline.com/10.1080/1357151042000286456 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:11:y:2004:i:3:p:369-378




Template-Type: ReDIF-Article 1.0
Author-Name: Guest Editors 
Author-X-Name-First: Guest 
Author-X-Name-Last: Editors 
Author-Name: Ana Teresa Tavares 
Author-X-Name-First: Ana Teresa 
Author-X-Name-Last: Tavares 
Author-Name: Stephen Young 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Young 
Title: FDI and multinationals: patterns, impacts and policies 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 3-16 
Issue: 1 
Volume: 12 
Year: 2005 
X-DOI: 10.1080/1357151042000323148 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323148 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:12:y:2005:i:1:p:3-16




Template-Type: ReDIF-Article 1.0
Author-Name: Koen De Backer 
Author-X-Name-First: Koen 
Author-X-Name-Last: De Backer 
Author-Name: Leo Sleuwaegen 
Author-X-Name-First: Leo 
Author-X-Name-Last: Sleuwaegen 
Title: A closer look at the productivity advantage of foreign affiliates 
Abstract:
  In analyzing firm productivity in Belgium, this article shows empirically
 that both scale and efficiency contribute positively to the typical
 productivity advantage of foreign affiliates. Stochastic production
 frontier estimation using the translog functional form indicates that
 foreign subsidiaries exploit economies of scale more fully and benefit
 from better (transferred) technological capabilities than Belgian national
 firms (i.e., Belgian owned firms without subsidiaries abroad). Belgian
 multinational enterprises (MNEs), i.e., Belgian owned firms with at least
 one subsidiary abroad, resemble foreign-based MNEs in possessing specific
 technological advantages. While the increasing globalization has
 facilitated the realization of scale effects across borders, this article
 shows that the development of technological capabilities/advantages is
 still a prerequisite for MNEs to compete successfully abroad. 
Journal: International Journal of the Economics of Business 
Pages: 17-34 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Multinational Firms, Productivity, Efficiency, JEL Classification: F23, L10, M20, 
X-DOI: 10.1080/1357151042000323111 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323111 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:1:p:17-34




Template-Type: ReDIF-Article 1.0
Author-Name: Lucia Piscitello 
Author-X-Name-First: Lucia 
Author-X-Name-Last: Piscitello 
Author-Name: Larissa Rabbiosi 
Author-X-Name-First: Larissa 
Author-X-Name-Last: Rabbiosi 
Title: The impact of inward FDI on local companies' labour productivity: evidence from the Italian case 
Abstract:
  The article aims to investigate the impact of inward foreign direct
 investment (FDI) occurring through acquisition upon the local target
 company' performance, as measured by labour productivity. It relies upon
 the idea that multinational enterprises (MNEs) act as a device to transfer
 firm-specific proprietary assets, thus causing their subsidiaries to
 exhibit better performance than their host country rivals. Specifically,
 our results show that foreign acquisitions generally increase the local
 target companies' labour productivity in the medium term after the
 acquisition. The empirical evidence refers to foreign acquisitions that
 occurred in Italy in the period 1994-1997. 
Journal: International Journal of the Economics of Business 
Pages: 35-51 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Inward FDI, Acquisitions, Multinational Enterprises, Target Company's Performance, Labour Productivity, JEL Classifications: F20, F23, L25, 
X-DOI: 10.1080/1357151042000323120 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323120 
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Template-Type: ReDIF-Article 1.0
Author-Name: Frances Ruane 
Author-X-Name-First: Frances 
Author-X-Name-Last: Ruane 
Author-Name: Ali U&#x11f;ur 
Author-X-Name-First: Ali 
Author-X-Name-Last: U&#x11f;ur 
Title: Foreign direct investment and productivity spillovers in Irish manufacturing industry: evidence from plant level panel data 
Abstract:
  It is often argued that foreign firms may enhance the productivity of
 indigenous firms in an economy, through forward or backward linkages. Such
 externality effects typically are called "productivity
 spillovers". In terms of foreign direct investment (FDI), Ireland
 is one of the most globalized economies in the world, having pursued a
 strategy of promoting investment by foreign companies for over 40 years.
 This article examines possible productivity spillovers from foreign-owned
 firms to indigenous firms in the Irish manufacturing sector, using
 plant-level data on all manufacturing firms for the period 1991-1998.
 Despite Irish policy commitment to building linkages between foreign and
 domestic firms, we find only weak evidence of spillovers and this evidence
 is sensitive to the definition and measurement of foreign presence. 
Journal: International Journal of the Economics of Business 
Pages: 53-66 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Foreign Direct Investment, Irish Manufacturing, Productivity. JEL Classifications: F21, F23, 
X-DOI: 10.1080/1357151042000323139 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323139 
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Template-Type: ReDIF-Article 1.0
Author-Name: Frank Barry 
Author-X-Name-First: Frank 
Author-X-Name-Last: Barry 
Author-Name: Holger Gorg 
Author-X-Name-First: Holger 
Author-X-Name-Last: Gorg 
Author-Name: Eric Strobl 
Author-X-Name-First: Eric 
Author-X-Name-Last: Strobl 
Title: Foreign direct investment and wages in domestic firms in Ireland: Productivity spillovers versus labour-market crowding out 
Abstract:
  There is a large literature on the positive spillovers frequently thought
 to be associated with inward foreign direct investment. Aitken et al.
 (1996) identify several cases, however, where inward FDI appears to have
 reduced wages in domestic firms. They suggest that this might arise either
 because foreign firms increase the degree of product-market competition
 that domestic firms face, or because they poach the best workers from
 domestic firms. We concentrate on the second effect, arguing that the
 first is unlikely to arise in the Irish case to which our data pertain. In
 a theoretical section we show that the labour-market poaching effect
 cannot generate the results postulated if labour markets are competitive
 and production functions are of the Cobb-Douglas variety, but that it can
 arise if production functions display higher elasticities of substitution.
 In an empirical section based on a sample of larger Irish firms we show
 that, consistent with our theoretical model, foreign presence has
 different effects on wages and productivity in domestic exporting and
 non-exporting establishments. 
Journal: International Journal of the Economics of Business 
Pages: 67-84 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: FDI, Spillovers, Labour Market, Crowding Out, JEL Classifications: F23, J23, J31, 
X-DOI: 10.1080/1357151042000323102 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323102 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:1:p:67-84




Template-Type: ReDIF-Article 1.0
Author-Name: Sophia Dimelis 
Author-X-Name-First: Sophia 
Author-X-Name-Last: Dimelis 
Title: Spillovers from foreign direct investment and firm growth: technological, financial and market structure effects 
Abstract:
  This article examines spillover effects from inward investment on
 domestic firm growth in the case of a developed host country. The emphasis
 is placed on the role of the technological gap between domestic and
 foreign firms in identifying the importance of technology diffusion from
 the presence of multinationals. An augmented production function is
 employed to account for technological, financial and market structure
 effects. Based on a sample of 2589 manufacturing firms operating in Greece
 between 1992 and 1997, the analysis provides evidence that the
 significance of spillovers varies with the relative technological position
 of domestic firms and is higher in the middle and upper quantiles of the
 growth distribution. It was estimated that a unit increase in the foreign
 presence in Greek industry raises output growth by 7% on average, in a
 five-year period, after controlling for technological differences among
 firms. This result is consistent with the 'absorptive capacity' hypothesis
 that the technological capability of the host country relates positively
 to FDI spillover benefits. 
Journal: International Journal of the Economics of Business 
Pages: 85-104 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Foreign Direct Investment, Growth, Productivity, Spillovers, Technological Gap, Absorptive capacity, JEL Classification: F23, O30, 
X-DOI: 10.1080/1357151042000323094 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323094 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:1:p:85-104




Template-Type: ReDIF-Article 1.0
Author-Name: Lisa De Propris 
Author-X-Name-First: Lisa 
Author-X-Name-Last: De Propris 
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Author-Name: Stefano Menghinello 
Author-X-Name-First: Stefano 
Author-X-Name-Last: Menghinello 
Title: local industrial systems and the location of FDI in Italy 
Abstract:
  This article investigates the determinants of foreign direct investment
 (FDI) location across Italian provinces. Specifically it examines the
 relationship between industry-specific local industrial systems and the
 location of inward FDI. This extends previous analysis beyond the mere
 density of activity, to illustrate the importance of the specific nature
 of agglomerations in attracting inward investment. The article develops a
 model of FDI location choice using a unique FDI database stratified by
 industry and province. The results also suggest that the importance of
 agglomeration differs between industries, and offers some explanation for
 this. 
Journal: International Journal of the Economics of Business 
Pages: 105-121 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Local Industrial Systems, Knowledge Sourcing, Agglomeration, Count Data Econometrics, JEL classification: F23, R12, 
X-DOI: 10.1080/1357151042000323085 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323085 
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Template-Type: ReDIF-Article 1.0
Author-Name: Juan Duran 
Author-X-Name-First: Juan 
Author-X-Name-Last: Duran 
Author-Name: Fernando Ubeda 
Author-X-Name-First: Fernando 
Author-X-Name-Last: Ubeda 
Title: The investment development path of newly developed countries 
Abstract:
  According to foreign direct investment (FDI) path theory, developed
 countries are grouped into two phases, known as the fourth and fifth
 phases. Fourth-phase countries (newly developed economies) show a
 technological and institutional "gap" in comparison with
 fifth-phase economies, which explains their lesser capacity to generate
 direct investment. We found that these countries, which were less
 developed economies in the 1980s, had undergone a deep structural
 transformation. This transformation encouraged the multinationalization of
 firms, which is a differentiating element and one outcome of their
 development process. These results have clear policy implications: the
 governments of newly developed countries should take steps to increase the
 endowment of knowledge-intensive assets. The main contribution of this
 paper is the theoretical reformulation of the fourth phase of the
 investment development path theory. 
Journal: International Journal of the Economics of Business 
Pages: 123-137 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Investment Development Path, Outward Direct Investment Stock, Inward Direct Investment Stock, Economic Development, Technological Gap, JEL Classifications: F21, F23, F43, 
X-DOI: 10.1080/1357151042000323076 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323076 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:1:p:123-137




Template-Type: ReDIF-Article 1.0
Author-Name: Christian Bellak 
Author-X-Name-First: Christian 
Author-X-Name-Last: Bellak 
Title: Adjustment strategies of multinational enterprises to changing national competitiveness 
Abstract:
  This article establishes a link between four combinations of relative
 firm-specific advantages and comparative advantage and the adjustment
 strategies of multinational firms. Based on the distribution of firms
 across advantage combinations, hypotheses on four adjustment strategies
 are developed: expansion, rationalization, exit and relocation. Upon a
 detailed analysis of a representative sample of manufacturing firms for
 1990-2000, a consistent competitiveness ranking of domestic and foreign
 firms across industries and over time is derived. The strategies followed
 by the firms are reflected by the development of employment, value-added
 and exports. Results show that firms are not distributed entirely in line
 with comparative advantage, but the dynamic interaction
 ("match") of location-advantage and firm-specific advantage
 seems to be decisive. Results also confirm that domestic and foreign firms
 partly react differently under a given advantage combination. The
 following principles for location policies are suggested: the empirically
 measured mismatch of firm capabilities and location advantages determine
 when direct and indirect measures should be used. The intensity of policy
 measures should be oriented towards the competitiveness ranking derived. 
Journal: International Journal of the Economics of Business 
Pages: 139-162 
Issue: 1 
Volume: 12 
Year: 2005 
Keywords: Foreign Direct Investment, Multinational Enterprises, Competitiveness, Manufacturing, Country Study, JEL Classification: F10, F23, H540, 
X-DOI: 10.1080/1357151042000323067 
File-URL: http://www.tandfonline.com/10.1080/1357151042000323067 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:1:p:139-162




Template-Type: ReDIF-Article 1.0
Author-Name: T. Randolph Beard 
Author-X-Name-First: T. Randolph 
Author-X-Name-Last: Beard 
Author-Name: George Ford 
Author-X-Name-First: George 
Author-X-Name-Last: Ford 
Title: Are Unbundled and Self-supplied Telecommunications Switching Substitutes? An Empirical Study 
Abstract:
  The Telecommunications Act of 1996 requires incumbent monopoly phone
 companies to lease elements of their networks to rivals. An important
 policy question is whether these unbundled elements are substitutes for
 entry modes that are more facilities-based. In this article, we estimate
 demand curves for unbundled elements with the goal of assessing
 cross-price effects between two of the more popular entry modes that
 differ in the mix of unbundled and self-supplied inputs. As expected, we
 find downward sloping demand curves for unbundled elements. We also find
 own-price elasticities in the elastic region of demand. What we do not
 find is evidence of substitution; we are able to reject the hypothesis of
 effective substitution between the two entry modes. 
Journal: International Journal of the Economics of Business 
Pages: 163-181 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: Telecommunications, Regulation, Utilities, Policy, JEL Classifications: L9, L51, L96, L98, 
X-DOI: 10.1080/13571510500127139 
File-URL: http://www.tandfonline.com/10.1080/13571510500127139 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:163-181




Template-Type: ReDIF-Article 1.0
Author-Name: Enrico Santarelli 
Author-X-Name-First: Enrico 
Author-X-Name-Last: Santarelli 
Author-Name: Francesca Lotti 
Author-X-Name-First: Francesca 
Author-X-Name-Last: Lotti 
Title: The Survival of Family Firms: The Importance of Control and Family Ties 
Abstract:
  The aim of this article is to analyze the survival patterns of a group of
 family firms which have already spent at least 25 years in the market. To
 this end, we use the Kaplan-Meier product limit estimator supplemented
 with qualitative information gathered by direct observation and
 discussions with entrepreneurs. The main findings are that small family
 firms which have reached their 30th year in the market face a very high
 risk of sudden exit, increasing with firm age. Further control carried out
 by means of interviews with entrepreneurs identifies problems connected
 with succession as one of the main causes of the decision to close down. 
Journal: International Journal of the Economics of Business 
Pages: 183-192 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: Succession, Survival Function, Kaplan-Meier Estimator, Hazard Function, Italy, JEL Classifications: L20, C34, C41, M13, 
X-DOI: 10.1080/13571510500127246 
File-URL: http://www.tandfonline.com/10.1080/13571510500127246 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:183-192




Template-Type: ReDIF-Article 1.0
Author-Name: Matthias Krakel 
Author-X-Name-First: Matthias 
Author-X-Name-Last: Krakel 
Title: On the Benefits of Withholding Knowledge in Organizations 
Abstract:
  Transferring knowledge to an agent makes him more successful or
 productive, which is beneficial for the principal. However, knowledge
 transfer also increases the agent's outside option. I identify two reasons
 for withholding knowledge &#x2014; to reduce labor costs within a
 principal-agent relationship, and to weaken the agent in case of a
 separation. Moreover, the role of synergy is discussed both for building
 up a principal-agent relationship and for transferring knowledge. While
 synergy is decisive for knowledge transfer, cooperation between the
 principal and agent may even take place in the absence of synergy.
 Furthermore, I analyze whether the principal is more likely to transfer
 knowledge to a more able or to a less able agent. Finally, the advantages
 and disadvantages of a noncompetition clause are briefly discussed. 
Journal: International Journal of the Economics of Business 
Pages: 193-209 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: Competition, Incentives, Knowledge Transfer, Limited Liability, Organizations, JEL Classifications: J3, M5, 
X-DOI: 10.1080/13571510500127493 
File-URL: http://www.tandfonline.com/10.1080/13571510500127493 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:193-209




Template-Type: ReDIF-Article 1.0
Author-Name: Keizo Mizuno 
Author-X-Name-First: Keizo 
Author-X-Name-Last: Mizuno 
Title: Pre-commitment to an Exclusive Contract under Partial Regulation 
Abstract:
  This article examines the welfare implications of an incumbent's
 pre-commitment to an exclusive contract in a partially regulated
 environment. It shows that the contract offered to customers in a
 competitive market makes the first-best allocation infeasible in the
 partially regulated environment. However, the contract can have a
 welfare-enhancing property through the exclusion of inefficient entry or
 cream skimming in the competitive market, especially when the regulated
 price ceiling is low and the incumbent's technology is characterized by a
 large proportion of common cost in total cost. 
Journal: International Journal of the Economics of Business 
Pages: 211-223 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: Pre-commitment, Exclusive Contract, Partial Regulation, Cream Skimming, JEL classifications: L43, L51, L97, 
X-DOI: 10.1080/13571510500127667 
File-URL: http://www.tandfonline.com/10.1080/13571510500127667 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:211-223




Template-Type: ReDIF-Article 1.0
Author-Name: Harumi Ito 
Author-X-Name-First: Harumi 
Author-X-Name-Last: Ito 
Author-Name: Darin Lee 
Author-X-Name-First: Darin 
Author-X-Name-Last: Lee 
Title: Comparing the Impact of the September 11th Terrorist Attacks on International Airline Demand 
Abstract:
  This article compares the impact of the September 11th terrorist attacks
 and its after-effects on airline demand in the Australia, Canada, Europe,
 Japan and the US. Using a variety of time-series data, we compare how
 changes in risk perception following the attacks impacted domestic and
 international demand. Moreover, we decompose the terrorist attacks'
 effects into their transitory and ongoing components on airline demand. 
Journal: International Journal of the Economics of Business 
Pages: 225-249 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: Airline Demand, International Terrorism, September 11th, Risk Perception, JEL Classifications: R41, L16, L93, 
X-DOI: 10.1080/13571510500127931 
File-URL: http://www.tandfonline.com/10.1080/13571510500127931 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:225-249




Template-Type: ReDIF-Article 1.0
Author-Name: Martin Bandulet 
Author-X-Name-First: Martin 
Author-X-Name-Last: Bandulet 
Author-Name: Karl Morasch 
Author-X-Name-First: Karl 
Author-X-Name-Last: Morasch 
Title: Would You Like to be a Prosumer? Information Revelation, Personalization and Price Discrimination in Electronic Markets 
Abstract:
  Electronic commerce and flexible manufacturing allow personalization of
 initially standardized products at low cost. Will customers provide the
 information necessary for personalization? Assuming that a consumer can
 control the amount of information revealed, we analyze how her decision
 interacts with the pricing strategy of a monopolist who may abuse the
 information to obtain a larger share of total surplus. We consider two
 scenarios, one where consumers have different tastes but identical
 willingness to pay and another with high and low valuation customers. In
 both cases full revelation may only result if the monopolist can commit to
 a maximum price before consumers decide about disclosure. 
Journal: International Journal of the Economics of Business 
Pages: 251-271 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: E-Commerce, Personalization, Asymmetric Information, Price Discrimination, JEL Classifications: D42, D82, L14, 
X-DOI: 10.1080/13571510500128038 
File-URL: http://www.tandfonline.com/10.1080/13571510500128038 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:251-271




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Feinberg 
Author-X-Name-First: Robert 
Author-X-Name-Last: Feinberg 
Author-Name: Mieke Meurs 
Author-X-Name-First: Mieke 
Author-X-Name-Last: Meurs 
Title: Exchange Rate Effects on Domestic Prices in Bulgaria and Poland: Progress in Making Markets? 
Abstract:
  The economic liberalization which has occurred in Central and Eastern
 Europe (CEE) over the past 15 years generally has involved establishing
 domestic markets and privatizing state-owned firms, both with the
 intention of integrating the CEE economies into the global economy and
 allowing the benefits of competition to be realized. We explore how well
 this has been accomplished in two countries, Poland and Bulgaria, and the
 domestic conditions that contribute to its accomplishment. The sensitivity
 of domestic markets to international shocks, as reflected in exchange rate
 effects on domestic prices, may be viewed as an indicator of how
 integrated a country's markets are into the global economy, and a proxy
 for competition in those markets. In explaining variation in exchange-rate
 pass-through, we examine the impact of market structure, economic
 liberalization and infrastructure as factors contributing to the
 development of competitive markets. We find that although integration into
 global markets can significantly increase market competitiveness, domestic
 factors also play a significant role. 
Journal: International Journal of the Economics of Business 
Pages: 273-288 
Issue: 2 
Volume: 12 
Year: 2005 
Keywords: Transition, Market Reform, Exchange Rate Pass-through, Central and Eastern Europe, JEL Classifications: P3, F3, 
X-DOI: 10.1080/13571510500128111 
File-URL: http://www.tandfonline.com/10.1080/13571510500128111 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:2:p:273-288




Template-Type: ReDIF-Article 1.0
Author-Name: Antonio Nicita 
Author-X-Name-First: Antonio 
Author-X-Name-Last: Nicita 
Author-Name: Giovanni Ramello 
Author-X-Name-First: Giovanni 
Author-X-Name-Last: Ramello 
Author-Name: Frederic Scherer 
Author-X-Name-First: Frederic 
Author-X-Name-Last: Scherer 
Title: Intellectual Property Rights and the Organization of Industries: New Perspectives in Law and Economics 
Abstract:
  The process of innovation usually differs from one industry to another,
 according to level of expected rents, the uncertainty over the return of
 investments and competition dynamics. The diversity of industries is
 largely reflected not only in their rate of innovation and growth, but
 also in the evolution of their governance structures. Notwithstanding the
 pervasive diversity of the organization of industries, the legal
 protection accorded by IPRs has evolved as a standard rule that grants the
 same protection across heterogeneous industries. In order to avoid
 economic distortions and rent dissipation, IPRs' definition and
 enforcement should be implemented on a case by case basis. 
Journal: International Journal of the Economics of Business 
Pages: 289-296 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Intellectual Property Rights, Innovation, Industry Organization, 
X-DOI: 10.1080/13571510500299029 
File-URL: http://www.tandfonline.com/10.1080/13571510500299029 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:289-296




Template-Type: ReDIF-Article 1.0
Author-Name: F. M. Scherer 
Author-X-Name-First: F. M. 
Author-X-Name-Last: Scherer 
Title: The Role of Patents in two US Monopolization Cases 
Abstract:
  The histories of two 'great' US monopolization cases involving
 high-technology monopolies are summarized in this article. Its foci are
 the practices that led to antitrust intervention, the timeliness of
 antitrust challenges, how the relevant authorities evaluated the role that
 innovation played as a possible explanation for monopoly, the remedies
 applied, and how those remedies affected incentives for continuing
 technological progress. 
Journal: International Journal of the Economics of Business 
Pages: 297-305 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Patents, Innovation, Antitrust, Monopolization, 
X-DOI: 10.1080/13571510500299128 
File-URL: http://www.tandfonline.com/10.1080/13571510500299128 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:297-305




Template-Type: ReDIF-Article 1.0
Author-Name: Christine Greenhalgh 
Author-X-Name-First: Christine 
Author-X-Name-Last: Greenhalgh 
Author-Name: Mark Longland 
Author-X-Name-First: Mark 
Author-X-Name-Last: Longland 
Title: Running to Stand Still? - The Value of R&D, Patents and Trade Marks in Innovating Manufacturing Firms 
Abstract:
  We have constructed a novel panel dataset of UK manufacturing firms to
 examine how innovation, proxied by R&D and intellectual property (IP,
 covering both patents and trade marks), increases firm performance, as
 measured by firm net output (value added). Knowledge has public good
 characteristics of non-depletability and non-excludability. So, even with
 protection using intellectual property to exclude, imitation and inventing
 around novel products and processes is possible by competitors. We examine
 the size and duration of benefits to doing R&D and obtaining IP protection
 through both patents and trade marks. If non-depletability within the firm
 is correct, this implies that their absolute R&D effort and total IP
 assets are important. We examine this hypothesis against the alternative
 of depletability, where innovative intensity relative to firm size
 matters. Also if IP offers only weak protection against competition, then
 the duration of returns to these intangible assets will be short. The
 empirical results support depletability within firms and poor ability to
 exclude imitation, which implies that firms have to continually renew
 their portfolios of R&D-created knowledge and their IP assets to maintain
 their position in the market. Splitting the sample into industries
 designated as 'high' and 'low' technology, suggests a higher intensity of
 competition in high-technology sectors, as an increase in the intensity of
 patents and trade marks commands no premium in this sector, although
 persistent differences between firms are positively affected by whether or
 not firms are acquiring these IP assets. 
Journal: International Journal of the Economics of Business 
Pages: 307-328 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Intellectual Property, R&D, Value Added, Manufacturing, 
X-DOI: 10.1080/13571510500299326 
File-URL: http://www.tandfonline.com/10.1080/13571510500299326 
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:307-328




Template-Type: ReDIF-Article 1.0
Author-Name: Etienne Pfister 
Author-X-Name-First: Etienne 
Author-X-Name-Last: Pfister 
Author-Name: Bruno Deffains 
Author-X-Name-First: Bruno 
Author-X-Name-Last: Deffains 
Title: Patent Protection, Strategic FDI and Location Choices: Empirical Evidence from French Subsidiaries' Location Choices in Emerging Economies 
Abstract:
  This article studies the location choices of French firms in 17
 developing countries. Detailed attention is paid to the role of the patent
 rights in the host country. On the one hand, the reduction in competition
 that follows greater patent protection can attract foreign subsidiaries.
 On the other hand, foreign direct investment (FDI) can have the
 'strategic' purpose of deterring local competitors. In that case, FDI and
 patent protection are substitutes and a greater enforcement of patent
 rights may reduce the strategic incentives to invest in a country,
 especially if the markets are large enough. Our regressions indicate that
 on average, patent rights exert only a negligible influence on the
 location choices of French firms. However, if the market potential of the
 host countries is sufficiently large or if their expenditures on R&D are
 sufficiently small, a greater effectiveness of patents decreases the
 probability of location. 
Journal: International Journal of the Economics of Business 
Pages: 329-346 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Location Choices, Patent, Conditional Logit, 
X-DOI: 10.1080/13571510500299458 
File-URL: http://www.tandfonline.com/10.1080/13571510500299458 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:329-346




Template-Type: ReDIF-Article 1.0
Author-Name: Shubha Ghosh 
Author-X-Name-First: Shubha 
Author-X-Name-Last: Ghosh 
Title: Market Entry and the Proper Scope of Copyright 
Abstract:
  The author presents a model of copyright law as a means to regulate entry
 into information markets. The model shows under what conditions copyright
 rules may lead to excessive or insufficient entry. The entry conditions
 are used to assess the efficacy of copyright rules in maximizing the sum
 of consumer and producer surplus. 
Journal: International Journal of the Economics of Business 
Pages: 347-359 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Copyright, Market Entry, Industrial Organization, 
X-DOI: 10.1080/13571510500300231 
File-URL: http://www.tandfonline.com/10.1080/13571510500300231 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:347-359




Template-Type: ReDIF-Article 1.0
Author-Name: Ben Depoorter 
Author-X-Name-First: Ben 
Author-X-Name-Last: Depoorter 
Author-Name: Francesco Parisi 
Author-X-Name-First: Francesco 
Author-X-Name-Last: Parisi 
Author-Name: Sven Vanneste 
Author-X-Name-First: Sven 
Author-X-Name-Last: Vanneste 
Title: Problems with the Enforcement of Copyright Law: Is there a Social Norm Backlash? 
Abstract:
  As a result of technological changes, copyright norms have developed in
 opposition to existing copyright law. In this article we examine how
 copyright enforcement efforts, mainly lawsuits against private copying,
 may induce further copyright disobedience by reinforcing the moral and
 social beliefs against conventional copyright law. In this paper we review
 recent theoretical and empirical studies and assess the hypothesis of
 countervailing copyright norm effects from copyright enforcement. 
Journal: International Journal of the Economics of Business 
Pages: 361-369 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Copyright Law, Expressive Law, Social Norms, Enforcement, 
X-DOI: 10.1080/13571510500300264 
File-URL: http://www.tandfonline.com/10.1080/13571510500300264 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:361-369




Template-Type: ReDIF-Article 1.0
Author-Name: Antonio Nicita 
Author-X-Name-First: Antonio 
Author-X-Name-Last: Nicita 
Author-Name: Giovanni Ramello 
Author-X-Name-First: Giovanni 
Author-X-Name-Last: Ramello 
Title: Exclusivity and Antitrust in Media Markets: The Case of Pay-TV in Europe 
Abstract:
  This paper challenges the traditional economic reasons supporting
 copyright licensing exclusivity in dealership agreements in media markets.
 It is argued how exclusive dealings in contents distributions acted in
 Europe as barriers to entry and/or raising rivals' costs strategies
 against new Pay-TV operators. The removal of exclusive dealing clauses, as
 recently implemented by the European Commission, can be economically
 justified when it generates positive impact on technological innovation
 and on the development of alternative transmission platforms for the
 delivery of multimedia services. Recent European Antitrust decisions seem
 to encourage a new 'open access approach' for premium contents
 distribution in media industry. 
Journal: International Journal of the Economics of Business 
Pages: 371-387 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Exclusive Dealings, Copyrights, Market Foreclosure, Pay-TV, 
X-DOI: 10.1080/13571510500300348 
File-URL: http://www.tandfonline.com/10.1080/13571510500300348 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:371-387




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Watt 
Author-X-Name-First: Richard 
Author-X-Name-Last: Watt 
Title: A Unifying Theory of Copyrights and Patents 
Abstract:
  Over the recent past, technological advances (among other effects) have
 opened a grey area of intellectual property that cannot be properly
 covered by either of the two existing legal regimes, patent and copyright.
 Some innovations do not fall easily into either regime, while others seem
 to fall into both. In this paper it is argued that it may be possible to
 define a single body of law that can be molded to fit all types of
 intellectual product. This idea is not new - it was suggested in the legal
 literature some 12 years ago - but it seems to have been ignored. In the
 current paper, the argument goes beyond the simple suggestion that the two
 existing regimes could be unified, and suggests that the degree of
 protection that is granted could usefully be made a choice variable for
 creators, at a price. This is nothing more than the imposition of a
 Pigouvian tax system to cater for the externality that legal protection
 implies for society. 
Journal: International Journal of the Economics of Business 
Pages: 389-402 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Copyright, Patent, Pigouvian Tax, 
X-DOI: 10.1080/13571510500300611 
File-URL: http://www.tandfonline.com/10.1080/13571510500300611 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:389-402




Template-Type: ReDIF-Article 1.0
Author-Name: Eric Brousseau 
Author-X-Name-First: Eric 
Author-X-Name-Last: Brousseau 
Author-Name: Regis Coeurderoy 
Author-X-Name-First: Regis 
Author-X-Name-Last: Coeurderoy 
Title: Combining Institutional and Contractual Mechanisms to Control Transactional Hazards Related to Transfers of Technology: an Empirical Analysis of Supervision Provisions in Technology Licensing Agreements 
Abstract:
  Technology licensing provides innovators with the opportunity to
 substantially leverage their market expansion. But licensing also exposes
 valuable knowledge at appropriation and more generally to opportunism
 since it generates ex-post mutual interdependence. The long-term
 performance of the transfer for the licensor thus strongly depends upon
 its capability to govern the relationship successfully. Designing an
 efficient supervision mechanism is then key to good governance of
 licensing contracts. In this paper we analyse in detail the scope of
 supervision through three dimensions: supervision on sales; supervision on
 product quality; and supervision on industrial and R&D facilities. We show
 that licensors are likely to adjust the scope of supervision in line with
 contractual hazards, which depend upon the scope of the transfer, the
 competitive stakes, and the institutional and relational environment of
 the transfer. Evidence is provided by a cross-section sample of 207
 licensing contracts by American, Japanese and European firms. 
Journal: International Journal of the Economics of Business 
Pages: 403-424 
Issue: 3 
Volume: 12 
Year: 2005 
Keywords: Technology Licensing Agreements, Knowledge Transfers, Intellectual Property Rights, Supervision Clauses, 
X-DOI: 10.1080/13571510500300652 
File-URL: http://www.tandfonline.com/10.1080/13571510500300652 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:12:y:2005:i:3:p:403-424




Template-Type: ReDIF-Article 1.0
Author-Name: Atanu Saha 
Author-X-Name-First: Atanu 
Author-X-Name-Last: Saha 
Author-Name: Henry Grabowski 
Author-X-Name-First: Henry 
Author-X-Name-Last: Grabowski 
Author-Name: Howard Birnbaum 
Author-X-Name-First: Howard 
Author-X-Name-Last: Birnbaum 
Author-Name: Paul Greenberg 
Author-X-Name-First: Paul 
Author-X-Name-Last: Greenberg 
Author-Name: Oded Bizan 
Author-X-Name-First: Oded 
Author-X-Name-Last: Bizan 
Title: Generic Competition in the US Pharmaceutical Industry 
Abstract:
  We develop a simultaneous equations estimation framework to understand
 the interactions among generic entry, prices, and market shares. We base
 our estimates on a panel data sample of 40 brand-name drugs that first
 experienced generic competition during the period July 1992-January 1998.
 We find that generic share and price are simultaneously determined, while
 the number of generic entrants is a key determinant of generic market
 share and the generic-to-brand price ratio. In addition, we find generic
 competition to be particularly intense for blockbuster drugs, which
 experience significantly more generic entrants, price erosion, and generic
 penetration than other drugs. 
Journal: International Journal of the Economics of Business 
Pages: 15-38 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Generic Entry, Competition, JEL Classifications: I11, L11, 
X-DOI: 10.1080/13571510500519905 
File-URL: http://www.tandfonline.com/10.1080/13571510500519905 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:15-38




Template-Type: ReDIF-Article 1.0
Author-Name: William Comanor 
Author-X-Name-First: William 
Author-X-Name-Last: Comanor 
Author-Name: Thomas Wilson 
Author-X-Name-First: Thomas 
Author-X-Name-Last: Wilson 
Title: Advertising and Steiner's Dual Stage Model: Our Assessment 
Abstract:
  Between 1967 and 1979, we produced a number of studies that explored
 different facets of the economics of advertising. This work culminated in
 our 1974 book entitled Advertising and Market Power. Our leading
 hypothesis was that heavy advertising expenditures often but not always
 had anti-competitive effects. And our primary empirical evidence in
 support of this hypothesis was that industries with heavy advertising
 expenditures also reported higher profit rates, which we interpreted as
 indicating that higher prices followed when manufacturers can effectively
 spend large amounts on advertising. Since that time, Robert Steiner has
 developed a model of firm behaviour for consumer goods industries. He
 finds that distribution margins are generally higher where manufacturer
 prices are lower. Furthermore, heavy manufacturer advertising is likely to
 depress distribution margins for heavily advertised products. While our
 earlier work implicitly assumed that distribution margins are generally
 the same regardless of the volume of advertising, Steiner's results raise
 doubt on this assumption. Steiner's model must therefore be acknowledged
 when interpreting our earlier findings. 
Journal: International Journal of the Economics of Business 
Pages: 39-44 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Advertising, Steiner's Model, Manufacturers and Distributors, Market Power, Distribution Margins, JEL Classifications: L15, L22, 
X-DOI: 10.1080/13571510500519939 
File-URL: http://www.tandfonline.com/10.1080/13571510500519939 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:39-44




Template-Type: ReDIF-Article 1.0
Author-Name: Mark Pauly 
Author-X-Name-First: Mark 
Author-X-Name-Last: Pauly 
Author-Name: Bradley Herring 
Author-X-Name-First: Bradley 
Author-X-Name-Last: Herring 
Author-Name: David Song 
Author-X-Name-First: David 
Author-X-Name-Last: Song 
Title: Information Technology and Consumer Search for Health Insurance 
Abstract:
  We explore the impact of information technology on the level of premiums
 paid for individual health insurance by asking which kinds of buyers will
 have larger gains from the use of new technology. We compare 'asking
 price' data posted on an electronic insurance exchange with survey data on
 premiums actually paid before the advent of exchange and examine whether
 the pattern of differences between asking prices and transactions prices
 can be explained using a simple search theory. We hypothesize that older
 consumers, expecting to pay higher premiums for a given policy, had
 engaged in more intensive search than younger consumers, given the same
 distribution of prices and search costs. Therefore, the introduction of an
 electronic exchange that lowers the cost of search should have a larger
 effect on decreasing the level of premiums paid for those who previously
 searched less (i.e., younger consumers). We find evidence consistent with
 this hypothesis. 
Journal: International Journal of the Economics of Business 
Pages: 45-63 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Consumer Search, Price Dispersion, Information Technology, Health Insurance, JEL Classifications: L1, D83, I11, 
X-DOI: 10.1080/13571510500519970 
File-URL: http://www.tandfonline.com/10.1080/13571510500519970 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:45-63




Template-Type: ReDIF-Article 1.0
Author-Name: Blandina Oliveira 
Author-X-Name-First: Blandina 
Author-X-Name-Last: Oliveira 
Author-Name: Adelino Fortunato 
Author-X-Name-First: Adelino 
Author-X-Name-Last: Fortunato 
Title: Testing Gibrat's Law: Empirical Evidence from a Panel of Portuguese Manufacturing Firms 
Abstract:
  The purpose of this paper is to use Dynamic Panel Data (DPD) models with
 serial correlation in the error term to see if Gibrat's law holds and to
 analyse the empirical determinants of firm growth. This paper makes
 significant contributions to the empirical literature on the dynamics of
 firm growth, since it updates the work carried out by previous researchers
 in this field using micro panel data, dynamic firm growth models with
 serial correlation in the error term, panel unit root tests and GMM-system
 estimator. To conduct this study we used an unbalanced panel of Portuguese
 manufacturing firms over the period from 1990 to 2001. The main
 implication of our findings is that firm growth is not quite random since
 there are some determinants which exert influence on firm growth. 
Journal: International Journal of the Economics of Business 
Pages: 65-81 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Firm Growth, Gibrat's Law, GMM-System Estimator, Panel Unit Root Tests, JEL Classifications: L11, C23, 
X-DOI: 10.1080/13571510500519996 
File-URL: http://www.tandfonline.com/10.1080/13571510500519996 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:65-81




Template-Type: ReDIF-Article 1.0
Author-Name: Ian Dobbs 
Author-X-Name-First: Ian 
Author-X-Name-Last: Dobbs 
Title: Defining Markets for Ex Ante Regulation using the Hypothetical Monopoly Test 
Abstract:
  The EU is gradually systematizing its approach to ex ante regulation
 (notably with the publication of the recent regulatory framework for
 Electronic communications). Market definition is viewed as an essential
 first step in this, with the 'Hypothetical Monopoly Test' a useful
 conceptual tool for use in the assessment. This paper examines the use of
 this test for market definition when there are several differentiated
 goods or services under consideration. It sets out an analytic framework,
 discusses the pros and cons of using the test and illustrates its use in a
 Telecom context. 
Journal: International Journal of the Economics of Business 
Pages: 83-109 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Market Definition, Hypothetical Monopoly Test, SSNIP Test, JEL Classifications: L41, L42, L5, 
X-DOI: 10.1080/13571510500520028 
File-URL: http://www.tandfonline.com/10.1080/13571510500520028 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:83-109




Template-Type: ReDIF-Article 1.0
Author-Name: Vicente Esteve 
Author-X-Name-First: Vicente 
Author-X-Name-Last: Esteve 
Author-Name: Francisco Requena 
Author-X-Name-First: Francisco 
Author-X-Name-Last: Requena 
Title: A Cointegration Analysis of Car Advertising and Sales Data in the Presence of Structural Change 
Abstract:
  This paper examines whether there is a long-run stable equilibrium
 relationship between advertising and sales across the market segments of
 the UK car industry over the period 1971-2001. In order to achieve this
 goal, we allow for structural breaks in the series using cointegration
 techniques. The results show the existence of long-run equilibrium
 relationships in all six market segments, although in four of them the
 relationship is not stable. In general, one structural change is detected
 in the late 1970s and another in the early 1990s, coinciding with two
 economic recessions. When we do not account for structural changes, the
 estimated long-run elasticities of advertising on sales are seen to be
 substantially downwardly biased. Finally, a noticeable increase is
 observed in long-run elasticities in most car market segments during the
 nineties with respect to previous decades. 
Journal: International Journal of the Economics of Business 
Pages: 111-128 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Advertising, Sales, Cointegration, Structural Break, Car Industry, JEL Classifications: C12, C22, L10, 
X-DOI: 10.1080/13571510500520036 
File-URL: http://www.tandfonline.com/10.1080/13571510500520036 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:111-128




Template-Type: ReDIF-Article 1.0
Author-Name: Adnan Kasman 
Author-X-Name-First: Adnan 
Author-X-Name-Last: Kasman 
Author-Name: Saadet Kirbas-Kasman 
Author-X-Name-First: Saadet 
Author-X-Name-Last: Kirbas-Kasman 
Title: Technical Change in Banking: Evidence From Transition Countries 
Abstract:
  This paper investigates the effect of technical change on the costs of
 banking firms operating in 11 Central and Eastern European countries using
 Fourier-flexible cost function specification for the period 1995-2002. A
 common cost frontier with country-specific variables is employed in order
 to take into account macro-economic and regulatory conditions that vary
 over country and time. Our findings suggest that the rate of reduction in
 costs resulting from technical change increased during the sample period.
 Banks operating in Hungary, Czech Republic and Poland benefited more from
 technical change than their counterparts. In terms of cost reduction,
 large banks benefited more from technical progress. This indicates that
 large banks are more able to change their optimal input mix in response to
 changes in technology. 
Journal: International Journal of the Economics of Business 
Pages: 129-144 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Technical Change, Banking, Transition Economies, JEL Classifications: G21, D21, 
X-DOI: 10.1080/13571510500520044 
File-URL: http://www.tandfonline.com/10.1080/13571510500520044 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:129-144




Template-Type: ReDIF-Article 1.0
Author-Name: Ashima Goyal 
Author-X-Name-First: Ashima 
Author-X-Name-Last: Goyal 
Title: Corporate Social Responsibility as a Signalling Device for Foreign Direct Investment 
Abstract:
  A rise in CSR (corporate social responsibility) has accompanied rise in
 foreign direct investment (FDI) to developing countries in the 1990s. CSR
 may be serving a signalling function when the entering firm is of an
 unknown type. Although countries are now competing keenly to attract
 foreign firms, even so, excessive tax or excess transfers by firms can
 still cause a Prisoner's Dilemma structure to the payoffs resulting in an
 inefficient Nash equilibrium. CSR allows the accommodating firm to reveal
 its type, making cooperation the equilibrium outcome. The game differs
 from standard models since signalling changes the payoffs. A unique
 separating equilibrium exists where only the accommodating firms signal.
 But, under certain parameter values, a pooling equilibrium where all firms
 signal, becomes possible. A number of results are derived including the
 size of CSR expenditure required as a fraction of profits. An example
 demonstrates their relevance in practical situations. 
Journal: International Journal of the Economics of Business 
Pages: 145-163 
Issue: 1 
Volume: 13 
Year: 2006 
Keywords: Foreign Direct Investment, Corporate Social Responsibility, Signalling, JEL Classifications: O19, F23, C72, D82, 
X-DOI: 10.1080/13571510500520077 
File-URL: http://www.tandfonline.com/10.1080/13571510500520077 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:1:p:145-163




Template-Type: ReDIF-Article 1.0
Author-Name: George Ford 
Author-X-Name-First: George 
Author-X-Name-Last: Ford 
Author-Name: T. Randolph Beard 
Author-X-Name-First: T. Randolph 
Author-X-Name-Last: Beard 
Title: Introduction: Issues in Empirical Merger Analysis 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 165-168 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Antitrust, Empirical Methods, Merger Simulation, Econometrics, 
X-DOI: 10.1080/13571510600783815 
File-URL: http://www.tandfonline.com/10.1080/13571510600783815 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:165-168




Template-Type: ReDIF-Article 1.0
Author-Name: Douglas Davis 
Author-X-Name-First: Douglas 
Author-X-Name-Last: Davis 
Author-Name: Bart Wilson 
Author-X-Name-First: Bart 
Author-X-Name-Last: Wilson 
Title: Equilibrium Price Dispersion, Mergers and Synergies: An Experimental Investigation of Differentiated Product Competition 
Abstract:
  This paper reports an experiment conducted to examine market performance
 and mergers in an asymmetric differentiated product oligopoly. We find
 that static Nash predictions organize mean market outcomes reasonably
 well. Markets on average respond to horizontal mergers with price
 increases as predicted and marginal cost synergies exert the predicted the
 power-mitigating price effects. Nash predictions, however, organize
 outcomes for specific markets and for the different firm-types less
 precisely. The variability of individual markets and firm-level decisions
 undermine the predictive capacity of merger simulations conducted with the
 Antitrust Logit Model, a merger device used by US antitrust authorities to
 help identify problematic mergers. 
Journal: International Journal of the Economics of Business 
Pages: 169-194 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Differentiated products, Antitrust analysis, Synergies, Experimental economics, 
X-DOI: 10.1080/13571510600783922 
File-URL: http://www.tandfonline.com/10.1080/13571510600783922 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:169-194




Template-Type: ReDIF-Article 1.0
Author-Name: Geoffrey Pofahl 
Author-X-Name-First: Geoffrey 
Author-X-Name-Last: Pofahl 
Author-Name: Oral Capps 
Author-X-Name-First: Oral 
Author-X-Name-Last: Capps 
Author-Name: H. Alan Love 
Author-X-Name-First: H. Alan 
Author-X-Name-Last: Love 
Title: Retail Zone Pricing and Simulated Price Effects of Upstream Mergers 
Abstract:
  Despite the oft-recognized reality of zone pricing by food retailers,
 this form of price discrimination has received very little attention
 within the context of upstream merger analysis. Promoting this issue to
 'center stage', we relax the conventional merger simulation assumption of
 uniform pass-through by retailers. Relaxing this assumption allows us to
 explore the potential impacts of zone pricing on post-merger price
 effects. Using the ready-to-eat cereals industry as a backdrop, we show
 empirically that high-income price zones are more significantly affected
 by post-merger price increases than low-income price zones. Ignoring
 retail price discrimination veils a potentially complex and diverse set of
 price effects that are otherwise lost by averaging across all price zones. 
Journal: International Journal of the Economics of Business 
Pages: 195-215 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Merger simulation, Retail price discrimination, LA/AIDS demand model, 
X-DOI: 10.1080/13571510600784433 
File-URL: http://www.tandfonline.com/10.1080/13571510600784433 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:195-215




Template-Type: ReDIF-Article 1.0
Author-Name: T. Randolph Beard 
Author-X-Name-First: T. Randolph 
Author-X-Name-Last: Beard 
Author-Name: George Ford 
Author-X-Name-First: George 
Author-X-Name-Last: Ford 
Author-Name: Richard Saba 
Author-X-Name-First: Richard 
Author-X-Name-Last: Saba 
Title: An Econometric-Driven Merger Simulation: Considerations and Application 
Abstract:
  In this paper, we offer a hybrid approach to merger simulation in which
 we allow rather extensive pre-testing to suggest the 'correct', or most
 desirable, form for the underlying demand curves. Our application is the
 merger between the large mobile telephone companies Cingular and AT&T
 Wireless in 2004. While a somewhat novel approach, our findings are not
 radical in any way, so the econometric determination of demand forms does
 not appear to produce novel conclusion per se. That said, allowing the
 data to inform the researcher about the appropriate form of demand seems a
 worthwhile effort for merger simulations, data permitting. 
Journal: International Journal of the Economics of Business 
Pages: 217-228 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Merger simulation, Demand models, Telecommunications, 
X-DOI: 10.1080/13571510600784466 
File-URL: http://www.tandfonline.com/10.1080/13571510600784466 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:217-228




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Cichello 
Author-X-Name-First: Michael 
Author-X-Name-Last: Cichello 
Author-Name: Douglas Lamdin 
Author-X-Name-First: Douglas 
Author-X-Name-Last: Lamdin 
Title: Event Studies and the Analysis of Antitrust 
Abstract:
  A standard tool in economics and finance is the event study in which one
 examines the impact of an event on stock returns. While hundreds of such
 studies have been published, the concern here is with a small subset: the
 use of event studies to examine antitrust issues. After a brief review of
 the event study technique, we provide a review of the literature that is
 the nexus of event studies and antitrust. The goal is to not only
 chronicle the development of this literature and highlight the major
 findings, but also to comment on important issues concerning
 implementation of this research method and the interpretation of the
 results. 
Journal: International Journal of the Economics of Business 
Pages: 229-245 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Antitrust, Empirical Methods, Event Studies, 
X-DOI: 10.1080/13571510600784557 
File-URL: http://www.tandfonline.com/10.1080/13571510600784557 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:229-245




Template-Type: ReDIF-Article 1.0
Author-Name: John Jackson 
Author-X-Name-First: John 
Author-X-Name-Last: Jackson 
Author-Name: Audrey Kline 
Author-X-Name-First: Audrey 
Author-X-Name-Last: Kline 
Author-Name: Sarah Skinner 
Author-X-Name-First: Sarah 
Author-X-Name-Last: Skinner 
Title: The Impact of Non-Normality and Misspecification on Merger Event Studies 
Abstract:
  Financial event studies using daily stock returns are frequently used to
 evaluate antitrust policy and to 'predict' the consequences of mergers.
 Although there is ample evidence that daily stock returns are not normally
 distributed, traditional asymptotic results are often used for hypothesis
 testing. We suggest some general results concerning the conditions under
 which using &#xb1;1.96 as critical values for hypothesis testing under or
 over state the true significance levels. Further, we investigate the cause
 of non-normal event study residuals and find that a possible alternative
 explanation to one in which non-normality of residuals is the consequence
 of omitted events. 
Journal: International Journal of the Economics of Business 
Pages: 247-264 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Event Studies, Bootstrap Methods, Non-Normality, Market Model, 
X-DOI: 10.1080/13571510600784490 
File-URL: http://www.tandfonline.com/10.1080/13571510600784490 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:247-264




Template-Type: ReDIF-Article 1.0
Author-Name: Orley Ashenfelter 
Author-X-Name-First: Orley 
Author-X-Name-Last: Ashenfelter 
Author-Name: David Ashmore 
Author-X-Name-First: David 
Author-X-Name-Last: Ashmore 
Author-Name: Jonathan Baker 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Baker 
Author-Name: Suzanne Gleason 
Author-X-Name-First: Suzanne 
Author-X-Name-Last: Gleason 
Author-Name: Daniel Hosken 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Hosken 
Title: Empirical Methods in Merger Analysis: Econometric Analysis of Pricing in FTC v. Staples 
Abstract:
  In 1997, the US Federal Trade Commission challenged the proposed merger
 of two office supply superstores, Staples and Office Depot in US District
 Court. Both the government and merging parties presented econometric
 studies examining the merger's likely impact on consumer pricing,
 predicting a price increase of 8.6% and 0.9% respectively. This article
 uses the extensive public record to provide a detailed discussion of the
 econometric models used in the case and to show how differences between
 the models led to the discrepancy between these estimates. 
Journal: International Journal of the Economics of Business 
Pages: 265-279 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Antitrust, Merger Review, Econometrics, Empirical Methods, 
X-DOI: 10.1080/13571510600784706 
File-URL: http://www.tandfonline.com/10.1080/13571510600784706 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:265-279




Template-Type: ReDIF-Article 1.0
Author-Name: John Mayo 
Author-X-Name-First: John 
Author-X-Name-Last: Mayo 
Author-Name: Mirjam Schiffer 
Author-X-Name-First: Mirjam 
Author-X-Name-Last: Schiffer 
Title: Antitrust Economics Meets Antitrust Psychology: A View from the Firms 
Abstract:
  Many theoretical and empirical studies have examined the effects of
 antitrust policies on competition from the perspective of consumer
 welfare. In contrast, this paper examines antitrust policy impacts by
 exploring the perspective of firms subject to varying degrees of antitrust
 exposure. Specifically we draw upon a large, firm-level, worldwide survey
 of firms that allows us to address fundamental questions regarding the
 magnitude of anticompetitive abuses - as perceived by firms - and the
 consequence of the establishment of competition policies on these
 perceptions. Thus, while traditional antitrust economics seeks to collect
 data on market structure, firm conduct and policy interventions in markets
 to gain insights into the role of competition policies, this paper adopts
 the novel, essentially psychological, approach of examining the magnitude
 of anticompetitive threats as perceived by firms and how these perceptions
 vary depending on their market and policy environments. 
Journal: International Journal of the Economics of Business 
Pages: 281-306 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Antitrust, International Antitrust, Anticompetitive Conduct, 
X-DOI: 10.1080/13571510600784821 
File-URL: http://www.tandfonline.com/10.1080/13571510600784821 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:281-306




Template-Type: ReDIF-Article 1.0
Author-Name: Mauro La Noce 
Author-X-Name-First: Mauro 
Author-X-Name-Last: La Noce 
Author-Name: Sergio Bolasco 
Author-X-Name-First: Sergio 
Author-X-Name-Last: Bolasco 
Author-Name: Elisabetta Allegra 
Author-X-Name-First: Elisabetta 
Author-X-Name-Last: Allegra 
Author-Name: Valerio Ruocco 
Author-X-Name-First: Valerio 
Author-X-Name-Last: Ruocco 
Author-Name: Federico Capo 
Author-X-Name-First: Federico 
Author-X-Name-Last: Capo 
Title: Merger Control in Italy 1995-2003: A Statistical Study of the Enforcement Practice by Mining the Text of Authority Resolutions 
Abstract:
  The paper provides a consistency analysis of the decisions taken by the
 Italian Competition Authority within the 1995-2003 period, concerning its
 control over mergers and acquisitions. An ample database was constructed
 using the tools of textual analysis. This data base was generated in a
 semi-automatic manner and handled with statistical methods, the final aim
 being the econometric specification - through a logit model - and
 estimation of the 'de facto' decision model of the Authority, thereby
 making its principles more transparent and predictable. Model simulation
 exercises, dependant on multivariate market scenarios, helped estimate the
 threshold levels triggering Authority intervention. 
Journal: International Journal of the Economics of Business 
Pages: 307-334 
Issue: 2 
Volume: 13 
Year: 2006 
Keywords: Antitrust, Competition Law, Merger, Merger Control, Text-Mining, 
X-DOI: 10.1080/13571510600784862 
File-URL: http://www.tandfonline.com/10.1080/13571510600784862 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:2:p:307-334




Template-Type: ReDIF-Article 1.0
Author-Name: Sourafel Girma 
Author-X-Name-First: Sourafel 
Author-X-Name-Last: Girma 
Author-Name: Steve Thompson 
Author-X-Name-First: Steve 
Author-X-Name-Last: Thompson 
Author-Name: Peter Wright 
Author-X-Name-First: Peter 
Author-X-Name-Last: Wright 
Title: International Acquisitions, Domestic Competition and Firm Performance 
Abstract:
  This paper investigates the impact of foreign acquisition on domestic
 firm productivity. In contrast to previous studies it applies a
 difference-in-differences methodology based on a matched panel of firms in
 order to trace out such changes. It finds evidence of significant positive
 productivity effects following acquisition by US and European
 multinationals, at least in technology importing industries. Higher
 productivity gains are achieved the more competitive the industry in which
 acquisition occurs. 
Journal: International Journal of the Economics of Business 
Pages: 335-349 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Foreign, Acquisition, Productivity, 
X-DOI: 10.1080/13571510600961254 
File-URL: http://www.tandfonline.com/10.1080/13571510600961254 
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:335-349




Template-Type: ReDIF-Article 1.0
Author-Name: Andrew Eckert 
Author-X-Name-First: Andrew 
Author-X-Name-Last: Eckert 
Author-Name: Douglas West 
Author-X-Name-First: Douglas 
Author-X-Name-Last: West 
Title: Exit and Upgrading in Response to Entry: The Case of Gasoline Retailing 
Abstract:
  Spatial competition models have established the importance of localized
 competition in determining competitive outcomes. However, few empirical
 studies attempt to determine to what extent actual local market conditions
 affect strategic decisions. This paper uses data provided by the
 acquisition of the Vancouver area Super-Save chain of retail gasoline
 stations by ARCO to study the role of geographic space in competition, and
 the spatial response of the major competitors in the market to entry. The
 possibility of both accommodating and aggressive capacity responses by the
 major incumbent firms to entry are considered. While the empirical results
 show that proximity to ARCO increased the probability that a station shuts
 down, proximity to ARCO can explain only a limited amount of shutdown
 after ARCO's entry. There is no evidence that incumbent firms used station
 locations and capacity changes to respond aggressively to ARCO's entry
 with a spatial predation strategy. 
Journal: International Journal of the Economics of Business 
Pages: 351-372 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Gasoline Retailing, Spatial Competition, Predation, Accommodation, 
X-DOI: 10.1080/13571510600961270 
File-URL: http://www.tandfonline.com/10.1080/13571510600961270 
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:351-372




Template-Type: ReDIF-Article 1.0
Author-Name: Oleksiy Andriychenko 
Author-X-Name-First: Oleksiy 
Author-X-Name-Last: Andriychenko 
Author-Name: Audrius Girnius 
Author-X-Name-First: Audrius 
Author-X-Name-Last: Girnius 
Author-Name: Atanu Saha 
Author-X-Name-First: Atanu 
Author-X-Name-Last: Saha 
Title: Complementary Goods: Prices and Consumer Welfare Under Duopoly and Monopoly 
Abstract:
  We examine prices, profits, and consumer surplus for differentiated
 complementary goods under duopoly and a multi-product monopoly. We find
 that little can be said about the relative magnitudes of prices of the
 components of a system of complementary goods under the alternative market
 structures. Although demand complementarity can lead to lower prices for
 either the primary or the secondary good under monopoly, both prices are
 not necessarily lower. The results unique to this paper are that, when two
 complementary goods form a system, the system price is unambiguously lower
 and consumer surplus and profits are higher under a multi-product
 monopoly. 
Journal: International Journal of the Economics of Business 
Pages: 373-386 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Complements, Multi-Product Monopoly, 
X-DOI: 10.1080/13571510600961353 
File-URL: http://www.tandfonline.com/10.1080/13571510600961353 
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:373-386




Template-Type: ReDIF-Article 1.0
Author-Name: Irene Bertschek 
Author-X-Name-First: Irene 
Author-X-Name-Last: Bertschek 
Author-Name: Helmut Fryges 
Author-X-Name-First: Helmut 
Author-X-Name-Last: Fryges 
Author-Name: Ulrich Kaiser 
Author-X-Name-First: Ulrich 
Author-X-Name-Last: Kaiser 
Title: B2B or Not to Be: Does B2B E-Commerce Increase Labour Productivity? 
Abstract:
  We implement an endogeneous switching-regression model for labour
 productivity and firms' decisions to use business-to-business (B2B)
 e-commerce. Our approach allows B2B usage to affect any parameter of the
 labour productivity equation and to properly take account of strategic
 complementarities between the input factors and B2B usage. Empirical
 evidence from 1,460 German firms shows that there is a simultaneous
 relationship between labour productivity and the adoption of B2B. Firms
 deciding to use B2B e-commerce employ their input factors more efficiently
 than non-B2B users. Conversely, firms refrain from engaging in B2B
 probably because they expect the cost of B2B adoption will not be
 sufficiently compensated by productivity gains. 
Journal: International Journal of the Economics of Business 
Pages: 387-405 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Business-to-Business E-Commerce, Labour Productivity, Endogenous Switching Regression Model, Survey Data, 
X-DOI: 10.1080/13571510600961395 
File-URL: http://www.tandfonline.com/10.1080/13571510600961395 
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:387-405




Template-Type: ReDIF-Article 1.0
Author-Name: Ricard Gil 
Author-X-Name-First: Ricard 
Author-X-Name-Last: Gil 
Title: Demand Shifts and Changes in Competition: Evidence from the Movie Theatre Industry 
Abstract:
  In this paper, I empirically examine how demand shifts affect firm
 behaviour. In particular, I study how competitive behaviour between firms
 changes across different demand states. For this purpose, I use price and
 concentration data from the Spanish movie theatre industry in 1995 and
 2000. The evidence suggests that demand shifts change the competitive
 nature of the industry under study, and that this change differs across
 different demand shifts. Firms deviate less from tacit collusive behaviour
 when gains of deviation are smaller. 
Journal: International Journal of the Economics of Business 
Pages: 407-428 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Competition, Conjectural Variations, Movie Theatres, 
X-DOI: 10.1080/13571510600961437 
File-URL: http://www.tandfonline.com/10.1080/13571510600961437 
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:407-428




Template-Type: ReDIF-Article 1.0
Author-Name: Nuria Villalba Villalba 
Author-X-Name-First: Nuria Villalba 
Author-X-Name-Last: Villalba 
Title: Cost Flexibility and Firm Size: An Application to Spanish Manufacturing 
Abstract:
  This paper examines the relationship between flexibility and the size of
 establishments for Spanish manufacturing industry. This relationship is
 examined using the Encuesta Industrial, an annual survey which provides
 manufacturing sectorial information for six size categories over the
 period 1980-92. The theoretical framework is that proposed by Mills and
 Schumann (1985), finding in the evidence related to technological
 flexibility and demand fluctuations a greater capacity of small firms to
 adapt to environmental changes, allowing them, in addition, to resist
 competition based on costs, such as that stemming from scale economies.
 The results emerging from the estimations confirm that small
 establishments show greater production variability, employment variability
 and profit variability than large establishments. That is to say, small
 establishments are more flexible than large ones due to their greater
 capacity to absorb demand fluctuations. 
Journal: International Journal of the Economics of Business 
Pages: 429-446 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Firm Flexibility, Technological Diversity, Demand Fluctuations, 
X-DOI: 10.1080/13571510600961460 
File-URL: http://www.tandfonline.com/10.1080/13571510600961460 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:429-446




Template-Type: ReDIF-Article 1.0
Author-Name: Laura Onofri 
Author-X-Name-First: Laura 
Author-X-Name-Last: Onofri 
Author-Name: Antonello Scorcu 
Author-X-Name-First: Antonello 
Author-X-Name-Last: Scorcu 
Title: The Life Cycle of Temporary Cultural Exhibitions: An Empirical Exploration 
Abstract:
  This paper investigates the product life-cycle of temporary cultural
 exhibitions. Using data drawn from 27 exhibitions that took place in Italy
 in the period 2000-01, we identify two different life-cycles patterns. For
 the group of short life exhibitions, except in a few cases of a positive
 'premiere effect,' the number of admissions is roughly constant over time
 and the cycle is linear. For the group of long life exhibitions, the mean
 number of admissions is subject to a decrease over time and a non-linear
 life-cycle emerges. 
Journal: International Journal of the Economics of Business 
Pages: 447-460 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Temporary Exhibitions, Product Life Cycle, 
X-DOI: 10.1080/13571510600961551 
File-URL: http://www.tandfonline.com/10.1080/13571510600961551 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:447-460




Template-Type: ReDIF-Article 1.0
Author-Name: Saralees Nadarajah 
Author-X-Name-First: Saralees 
Author-X-Name-Last: Nadarajah 
Author-Name: Samuel Kotz 
Author-X-Name-First: Samuel 
Author-X-Name-Last: Kotz 
Title: On the New Model for Estimating Damages in Mass Torts - A Note 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 461-462 
Issue: 3 
Volume: 13 
Year: 2006 
Keywords: Damage estimation in mass torts, Failure rate, Lifetime distribution, 
X-DOI: 10.1080/13571510600961635 
File-URL: http://www.tandfonline.com/10.1080/13571510600961635 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:13:y:2006:i:3:p:461-462




Template-Type: ReDIF-Article 1.0
Author-Name: Benjamin Klein 
Author-X-Name-First: Benjamin 
Author-X-Name-Last: Klein 
Title: The Economic Lessons of Fisher Body-General Motors 
Abstract:
  The Fisher Body-General Motors case illustrates the costs of using
 inherently imperfect long-term contracts to solve potential holdup
 problems, and therefore the advantages of vertical integration. Fisher
 Body held up General Motors by renegotiating its body supply contract so
 that, contrary to the original understanding, General Motors made half of
 the required investments in new body plants. This led to a decline in
 Fisher Body's capital to sales ratio and, under the unchanged cost-plus
 contract terms designed to provide Fisher Body with a return on its equity
 capital investments, produced a substantial wealth transfer from General
 Motors to Fisher Body. General Motors accepted this unfavourable contract
 adjustment because it was operating under a long-term exclusive dealing
 contract that limited its ability to negotiate with Fisher over co-located
 body plants. The exclusive dealing contract designed to protect Fisher
 Body's original GM-specific capacity investments against a potential
 holdup by General Motors thereby created a Fisher Body holdup of General
 Motors. The way in which Fisher Body accomplished its holdup demonstrates
 the importance of distinguishing inefficient holdup threats from efficient
 actual holdups. 
Journal: International Journal of the Economics of Business 
Pages: 1-36 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Holdups, Vertical Integration, Exclusive Dealing, Contracts, 
X-DOI: 10.1080/13571510601141112 
File-URL: http://www.tandfonline.com/10.1080/13571510601141112 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:1-36




Template-Type: ReDIF-Article 1.0
Author-Name: Catherine Matraves 
Author-X-Name-First: Catherine 
Author-X-Name-Last: Matraves 
Author-Name: Laura Rondi 
Author-X-Name-First: Laura 
Author-X-Name-Last: Rondi 
Title: Product Differentiation, Industry Concentration and Market Share Turbulence 
Abstract:
  Building on the current theory of industrial concentration, we analyze
 the relation between market size and product differentiation, and show how
 product differentiation impacts market share turbulence. We first propose
 that in markets where vertical product differentiation dominates, firms
 will have an incentive to escalate investment in advertising and/or R&D as
 market size increases. Secondly, such (firm-specific) investments will
 make competitive advantage more sustainable as the firm is less imitable.
 This will not be the case if the market is primarily characterized by
 homogeneous products or horizontal product differentiation. Our
 predictions are tested using an original EU dataset for 1987 and 1997. Our
 results strongly support our predictions - the degree of market share
 turbulence increases with market size. However, this relation is weakened
 by competitive investment in advertising and R&D. 
Journal: International Journal of the Economics of Business 
Pages: 37-57 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Product Differentiation, Market Size, Turbulence, 
X-DOI: 10.1080/13571510601097124 
File-URL: http://www.tandfonline.com/10.1080/13571510601097124 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:37-57




Template-Type: ReDIF-Article 1.0
Author-Name: R. Glenn Hubbard 
Author-X-Name-First: R. Glenn 
Author-X-Name-Last: Hubbard 
Author-Name: Atanu Saha 
Author-X-Name-First: Atanu 
Author-X-Name-Last: Saha 
Author-Name: Jungmin Lee 
Author-X-Name-First: Jungmin 
Author-X-Name-Last: Lee 
Title: To Bundle or Not to Bundle: Firms' Choices under Pure Bundling 
Abstract:
  We examine the economic implications of pure bundling under the settings
 of monopoly and duopoly. We show that under monopoly and pure bundling of
 goods with independent demands, the bundled price is strictly less than
 the sum of the unbundled prices. In the setting of duopoly and Nash
 prices, we examine whether bundling can be used as a tool to deter entry.
 In contrast to the findings of previous studies, we show that with low
 entry costs, entry is deterred by unbundled as opposed to bundled sales.
 With high entry costs, however, the incumbent chooses to bundle. 
Journal: International Journal of the Economics of Business 
Pages: 59-83 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Pure Bundling, Monopoly, Duopoly, Entry Costs, 
X-DOI: 10.1080/13571510601097140 
File-URL: http://www.tandfonline.com/10.1080/13571510601097140 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:59-83




Template-Type: ReDIF-Article 1.0
Author-Name: &#xd8;ystein Foros 
Author-X-Name-First: &#xd8;ystein 
Author-X-Name-Last: Foros 
Title: Price Strategies and Compatibility in Digital Networks 
Abstract:
  We analyze competition between two horizontally differentiated network
 providers. New technologies help the providers to collect
 consumer-specific information, and such technologies increase the
 providers' ability to use price discrimination. One example is the mobile
 providers' choice of investing into third generation mobile systems (3G).
 Compared to the current 2G systems (GSM), 3G gives the providers more
 accurate customer specific information (e.g. with respect to customers'
 location at any time). Since new technologies give the opportunity to
 implement price discrimination, an interesting question is how the price
 strategies (price discrimination or not) affect the incentives to
 unilaterally establish a walled garden where the rival's customers have
 imperfect access. The main message of the paper is that walled garden
 strategies are more likely when firms use price discrimination than when
 they all use linear pricing. 
Journal: International Journal of the Economics of Business 
Pages: 85-97 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Compatibility, Network Effects, Price Discrimination, Internet, Competition, 
X-DOI: 10.1080/13571510601097157 
File-URL: http://www.tandfonline.com/10.1080/13571510601097157 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:85-97




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Feinberg 
Author-X-Name-First: Robert 
Author-X-Name-Last: Feinberg 
Author-Name: James Hartigan 
Author-X-Name-First: James 
Author-X-Name-Last: Hartigan 
Title: Antidumping and Plant Closure 
Abstract:
  As an indicator of 'material injury' in antidumping petitions, companies
 often claim plant closings have been caused by unfairly-traded imports or
 threaten plant closings if no relief is provided. This paper analyzes a
 sample of 91 companies involved in US antidumping proceedings in the 2002
 to 2005 period to examine the determinants of plant closing activity with
 particular emphasis on the role of the antidumping process in the timing
 of plant closing announcements. We find that larger firms and firms in
 declining sectors are more likely to close plants, and that the prize of
 Byrd Amendment funds may help keep plants in operation (especially for
 smaller firms for whom these funds are likely to be more important).
 However, there does not appear to be a consistent and significant
 relationship between antidumping petitions and the timing of plant
 closings. 
Journal: International Journal of the Economics of Business 
Pages: 99-109 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Plant Closure, Antidumping, Byrd Amendment, 
X-DOI: 10.1080/13571510601097165 
File-URL: http://www.tandfonline.com/10.1080/13571510601097165 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:99-109




Template-Type: ReDIF-Article 1.0
Author-Name: Maria De Paola 
Author-X-Name-First: Maria 
Author-X-Name-Last: De Paola 
Author-Name: Vincenzo Scoppa 
Author-X-Name-First: Vincenzo 
Author-X-Name-Last: Scoppa 
Title: Delegation, Skill Acquisition and Turnover Costs 
Abstract:
  The delegation of tasks to a subordinate and his access to key firm
 resources allow an organization to make optimal use of his knowledge and
 ability, but at the same time, thanks to on-the-job learning and the
 possibility of expropriation of these resources, this might increase the
 agent's outside options. We model these risks as an increase in the quit
 propensity of the agent which determines higher turnover costs for the
 firm. The choice of the degree of delegation a principal offers to her
 subordinate is analyzed taking into account its benefits and costs. We
 show that the level of delegation is influenced by the principal's and the
 agent's abilities, but it is lower the higher turnover costs are and the
 lower the degree of specificity of human capital is or the higher the
 degree of expropriability of resources is. Finally, bureaucratic rules
 establishing the documentation of the agent's activity are seen as a
 device to reduce turnover costs and to allow more delegation. 
Journal: International Journal of the Economics of Business 
Pages: 111-133 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Organizational Design, Delegation, Human Capital, Turnover Costs, Bureaucracy, 
X-DOI: 10.1080/13571510601097173 
File-URL: http://www.tandfonline.com/10.1080/13571510601097173 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:111-133




Template-Type: ReDIF-Article 1.0
Author-Name: Stephanie Rosenkranz 
Author-X-Name-First: Stephanie 
Author-X-Name-Last: Rosenkranz 
Author-Name: Utz Weitzel 
Author-X-Name-First: Utz 
Author-X-Name-Last: Weitzel 
Title: Strategic Positioning of Alliances 
Abstract:
  In this paper we use a simple linear demand structure to analyze firms'
 and alliances' strategic positioning with regard to cost reduction and
 product differentiation. In particular, we compare investment decisions
 under competition and in alliances and analyze comparative static
 properties concerning changes in market size. In contrast to Porter
 (1980), this model explicitly allows firms to allocate their budget
 between the two strategies. The analysis reveals that the optimal
 allocation of resources for strategic positioning changes markedly when a
 firm enters an alliance: the general investment level decreases with a
 shift towards more cost reduction and less product differentiation.
 Another finding is that alliances (as well as independent firms) in larger
 markets invest more in both strategies and investment is driven towards
 product differentiation. These results are in line with Klepper's (1996)
 findings as they show that the attractiveness of following cost leadership
 or differentiation strategies changes through industry evolution. 
Journal: International Journal of the Economics of Business 
Pages: 135-149 
Issue: 1 
Volume: 14 
Year: 2007 
Keywords: Alliance, Strategic Positioning, Competitive Strategy, Cost Reduction, Product Differentiation, Innovation, Game Theory, 
X-DOI: 10.1080/13571510601097199 
File-URL: http://www.tandfonline.com/10.1080/13571510601097199 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:1:p:135-149




Template-Type: ReDIF-Article 1.0
Author-Name: Sourafel Girma 
Author-X-Name-First: Sourafel 
Author-X-Name-Last: Girma 
Author-Name: Steve Thompson 
Author-X-Name-First: Steve 
Author-X-Name-Last: Thompson 
Title: Control Transactions: Productivity, Wage and Employment Implications: An Introduction 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 153-159 
Issue: 2 
Volume: 14 
Year: 2007 
X-DOI: 10.1080/13571510701343832 
File-URL: http://www.tandfonline.com/10.1080/13571510701343832 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:153-159




Template-Type: ReDIF-Article 1.0
Author-Name: John Marsh 
Author-X-Name-First: John 
Author-X-Name-Last: Marsh 
Author-Name: Donald S. Siegel 
Author-X-Name-First: Donald S. 
Author-X-Name-Last: Siegel 
Author-Name: Kenneth L. Simons 
Author-X-Name-First: Kenneth L. 
Author-X-Name-Last: Simons 
Title: Assessing the Effects of Ownership Change on Women and Minority Employees: Evidence from Matched Employer-Employee Data 
Abstract:
  While there have been numerous papers on the employment and wage effects
 of mergers and acquisitions, there has been no direct analysis of the
 impact of such ownership changes on minority and female workers. This is
 an unexplored 'equity' dimension of these transactions. We fill this gap
 by analyzing linked employer-employee data for the entire population of
 Swedish workers and approximately 16,000 manufacturing plants for the
 period 1985-1998. For each worker employed in these establishments (as
 well as the entire population of workers), we have data on gender, age,
 national origin, level of education, type of education, location,
 industrial sector, annual earnings, as well as each employee's complete
 work history during the period. We also have data on numerous plant and
 firm-level characteristics, which allows us to control for additional
 factors that might result in changes in labour composition and relative
 compensation. Our findings suggest that ownership change does not
 significantly alter the relative earnings and employment status of
 minority and female workers. 
Journal: International Journal of the Economics of Business 
Pages: 161-178 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: Mergers and Acquisitions, Human Capital, Earnings, 
X-DOI: 10.1080/13571510701343873 
File-URL: http://www.tandfonline.com/10.1080/13571510701343873 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:161-178




Template-Type: ReDIF-Article 1.0
Author-Name: Kevin Amess 
Author-X-Name-First: Kevin 
Author-X-Name-Last: Amess 
Author-Name: Mike Wright 
Author-X-Name-First: Mike 
Author-X-Name-Last: Wright 
Title: The Wage and Employment Effects of Leveraged Buyouts in the UK 
Abstract:
  Using a unique hand-collected dataset, this study determines and
 quantifies the effects of LBOs (leveraged buyouts) on wages and employment
 in 1,350 LBOs. Based on an unbalanced panel 5,369 firms observed over the
 period 1999-2004, we find that all LBOs taken together have an
 insignificant effect on employment growth but have significantly lower
 wage growth than non-LBOs. Disaggregating LBOs we find: (1) wage growth is
 0.31 of a percentage point lower for MBOs (management buyouts) and 0.97 of
 a percentage point lower for MBIs (management buy-ins); and (2) employment
 growth is 0.51 of a percentage point higher for MBOs and 0.81 of a
 percentage point lower for MBIs. The results indicate that MBOs and MBIs
 have a differing impact on firms' wage and employment behaviour and should
 not be treated as homogenous. The results are consistent with: (1) MBIs
 and MBOs involving the adjustment of wages to a more sustainable basis;
 (2) MBOs exploiting growth opportunities that lead to greater employment
 growth; and (3) MBIs not creating new employment opportunities. 
Journal: International Journal of the Economics of Business 
Pages: 179-195 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: Private Equity, Management Buyouts, Management Buy-ins, Employment Demand, Wages, 
X-DOI: 10.1080/13571510701343923 
File-URL: http://www.tandfonline.com/10.1080/13571510701343923 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:179-195




Template-Type: ReDIF-Article 1.0
Author-Name: Yundan Gong 
Author-X-Name-First: Yundan 
Author-X-Name-Last: Gong 
Author-Name: Holger Gorg 
Author-X-Name-First: Holger 
Author-X-Name-Last: Gorg 
Author-Name: Sara Maioli 
Author-X-Name-First: Sara 
Author-X-Name-Last: Maioli 
Title: Employment Effects of Privatisation and Foreign Acquisition of Chinese State-owned Enterprises 
Abstract:
  This paper investigates the effects of domestic privatisation or foreign
 acquisition of Chinese State-owned Enterprises (SOEs) on employment
 growth, using firm level data for China and a combination of propensity
 score matching and difference-in-differences in order to identify the
 causal effect. Our results suggest that, controlling for output growth
 there is some evidence that domestic privatisation leads to
 contemporaneous reductions in employment growth compared to firms that did
 not undergo an ownership change. By contrast, there is some evidence that
 foreign acquisitions show higher employment growth in the post acquisition
 period than non-acquired SOEs. 
Journal: International Journal of the Economics of Business 
Pages: 197-214 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: FDI, Privatisation, Labour Demanding, Matching, China, 
X-DOI: 10.1080/13571510701343972 
File-URL: http://www.tandfonline.com/10.1080/13571510701343972 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:197-214




Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Author-Name: Jun Du 
Author-X-Name-First: Jun 
Author-X-Name-Last: Du 
Title: Privatisation, State Ownership and Productivity: Evidence from China 
Abstract:
  This paper examines the relationship between the transfer of ownership
 between the public and private sectors of Chinese industry, and its
 impacts on performance. We link ownership changes to productivity growth,
 and demonstrate that privatisation contributes significantly. We offer an
 extension that is generally ignored in the literature, in looking at firms
 that are taken back into state ownership, and evaluating the productivity
 growth effects of this. Further, we highlight the well-understood
 simultaneity problems, and demonstrate the hazard of ignoring the issue by
 comparing various estimators, including the modified control function
 approach. In general, the results stress the importance of allowing for
 such endogeneity when evaluating the productivity effects of ownership
 change. 
Journal: International Journal of the Economics of Business 
Pages: 215-239 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: China, Ownership Change, Productivity, 
X-DOI: 10.1080/13571510701344004 
File-URL: http://www.tandfonline.com/10.1080/13571510701344004 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:215-239




Template-Type: ReDIF-Article 1.0
Author-Name: Patrik Karpaty 
Author-X-Name-First: Patrik 
Author-X-Name-Last: Karpaty 
Title: Productivity Effects of Foreign Acquisitions in Swedish Manufacturing: The FDI Productivity Issue Revisited 
Abstract:
  This study analyzes the difference between foreign and domestic ownership
 of firms with respect to productivity. Recent literature has shown that it
 is important to study the counter-factual outcome, i.e. what would the
 outcome be had the domestic firm never been acquired? The analysis is
 based on a panel of Swedish firm level data. In order to isolate the
 casual effects due to a takeover a propensity score matching estimator is
 applied to compare similar treated and untreated firms. The
 difference-in-difference estimations show that there is a positive effect
 of foreign acquisition on productivity. Foreign acquisitions increase the
 productivity in the acquired Swedish firms by between 3 and 11% depending
 on the estimator chosen. Moreover, this productivity difference does not
 occur immediately but starts between 1-5 years post acquisition. 
Journal: International Journal of the Economics of Business 
Pages: 241-260 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: Multinational firms, Foreign acquisitions, Productivity, Matching, Difference-in-difference, 
X-DOI: 10.1080/13571510701344038 
File-URL: http://www.tandfonline.com/10.1080/13571510701344038 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:241-260




Template-Type: ReDIF-Article 1.0
Author-Name: Maria Eugenia Delfino 
Author-X-Name-First: Maria Eugenia 
Author-X-Name-Last: Delfino 
Title: Control Changes and Firm Performance in Banking 
Abstract:
  This paper examines the effect of control changes on efficiency and
 productivity in the banking industry of Argentina. This industry
 represents an interesting case study as banks underwent corporate changes
 of different types including privatization, foreign acquisition of
 domestic banks and mergers and acquisitions among local institutions. Bank
 productivity is measured and decomposed into the effects due to returns to
 scale, technical progress and efficiency, while bank efficiency is related
 to a set of variables controlling for changes in bank ownership. The
 evidence suggests that control changes due to privatization had a positive
 short-term effect on productivity in part as a result of efficiency gains,
 which were then gradually lost over time. Results also indicate that
 foreign acquisitions led to stronger productivity performance of acquired
 banks, though they did not have any significant effect on efficiency.
 Finally, mergers and acquisitions had a negative impact on productivity as
 a result of scale effects despite the long-term efficiency improvements. 
Journal: International Journal of the Economics of Business 
Pages: 261-281 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: Bank ownership, Privatization, Foreign acquisition, M&A, Efficiency, Productivity, 
X-DOI: 10.1080/13571510701344061 
File-URL: http://www.tandfonline.com/10.1080/13571510701344061 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:261-281




Template-Type: ReDIF-Article 1.0
Author-Name: Aoife Hanley 
Author-X-Name-First: Aoife 
Author-X-Name-Last: Hanley 
Author-Name: Vasilios Zervos 
Author-X-Name-First: Vasilios 
Author-X-Name-Last: Zervos 
Title: The Performance of UK Takeovers: Does the Nationality of Acquirers Matter? 
Abstract:
  Using data for 755 acquisitions of manufacturing firms in the UK over a
 seven year period from 1990 to 1996, we find that the direct effect of an
 acquisition induces a labour productivity dip in the immediate aftermath
 of a takeover. This dip is seen for UK, US and the rest of the world
 acquisitions and is of the magnitude of between 6 and 9%. Similar to
 Harris and Robinson (2002) we conclude that the decline in productivity is
 consistent with the adjustment costs of acquisition. 
Journal: International Journal of the Economics of Business 
Pages: 283-297 
Issue: 2 
Volume: 14 
Year: 2007 
Keywords: Acquisitions, Labour Productivity, Adjustment Costs, Multinationals, 
X-DOI: 10.1080/13571510701344095 
File-URL: http://www.tandfonline.com/10.1080/13571510701344095 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:2:p:283-297




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Frank 
Author-X-Name-First: Richard 
Author-X-Name-Last: Frank 
Author-Name: Raymond Hartman 
Author-X-Name-First: Raymond 
Author-X-Name-Last: Hartman 
Author-Name: Benjamin Sommers 
Author-X-Name-First: Benjamin 
Author-X-Name-Last: Sommers 
Title: An Analysis of Price Discrimination in Brand Name Drug Wholesaling 
Abstract:
  Accounting measures of profitability are viewed by the academic
 literature with skepticism, perhaps even disdain. Accounting information
 and accounting rates of return are, however, relied upon extensively by
 market participants to compare and contrast the economic performance of
 alternative investments, alternative companies and alternative industries,
 at a single point in time and over time. We believe that accounting
 information and accounting measures of profitability can be useful under
 specific conditions. We agree that important concerns do arise about the
 appropriateness of accounting measures for certain analyses. However, one
 can take these concerns too far. We describe one such situation - one
 involving an antitrust complaint of price discrimination in a particular
 network industry - wholesaling in pharmaceutical product markets. 
Journal: International Journal of the Economics of Business 
Pages: 299-315 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Network Industry, Accounting Data, Prescription Data, Antitrust, 
X-DOI: 10.1080/13571510701597395 
File-URL: http://www.tandfonline.com/10.1080/13571510701597395 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:299-315




Template-Type: ReDIF-Article 1.0
Author-Name: Neil Kay 
Author-X-Name-First: Neil 
Author-X-Name-Last: Kay 
Title: The Evolution of Co-operation, Pairings and Networks 
Abstract:
  In this paper we develop an approach that may be helpful in analysing a
 variety of issues related to the evolution of corporate activity. We
 analyse the firm as an integrated system concerned with the management and
 organisation of internal and external linkages between businesses, with
 the emergence of co-operative behaviour as an endogenous feature of
 growing systems. It is argued that such a perspective can help illuminate
 a number of topics relating to the theory of the firm, including its
 boundaries and the mode of co-ordination of economic activity,
 particularly the choice between integration and co-operative modes of
 operation. 
Journal: International Journal of the Economics of Business 
Pages: 317-349 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Co-operation, Merger, Diversification, Pairings, Networks, 
X-DOI: 10.1080/13571510701597585 
File-URL: http://www.tandfonline.com/10.1080/13571510701597585 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:317-349




Template-Type: ReDIF-Article 1.0
Author-Name: Moshe Kim 
Author-X-Name-First: Moshe 
Author-X-Name-Last: Kim 
Author-Name: Ana Lozano-Vivas 
Author-X-Name-First: Ana 
Author-X-Name-Last: Lozano-Vivas 
Author-Name: Antonio Morales 
Author-X-Name-First: Antonio 
Author-X-Name-Last: Morales 
Title: Multistrategic Spatial Competition in Banking 
Abstract:
  This paper presents a model whereby banking firms use various strategies
 (price and non-price) simultaneously in a monopolistically competitive
 model of spatial competition when the various strategies are used across
 different markets in the presence of a multioutput technology. The
 theoretical model is estimated with Spanish data pertaining to the pre-
 and post-deregulatory periods in order to investigate the effects of
 deregulation of both interest rates and branches on the (differential)
 strategic conduct of private and savings bank. 
Journal: International Journal of the Economics of Business 
Pages: 351-366 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Spatial Competition, Multistrategic, Banking, 
X-DOI: 10.1080/13571510701597502 
File-URL: http://www.tandfonline.com/10.1080/13571510701597502 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:351-366




Template-Type: ReDIF-Article 1.0
Author-Name: Christine Harbring 
Author-X-Name-First: Christine 
Author-X-Name-Last: Harbring 
Author-Name: Bernd Irlenbusch 
Author-X-Name-First: Bernd 
Author-X-Name-Last: Irlenbusch 
Author-Name: Matthias Krakel 
Author-X-Name-First: Matthias 
Author-X-Name-Last: Krakel 
Author-Name: Reinhard Selten 
Author-X-Name-First: Reinhard 
Author-X-Name-Last: Selten 
Title: Sabotage in Corporate Contests - An Experimental Analysis 
Abstract:
  In corporate contests, employees compete for a prize. Ideally, contests
 induce employees to exert productive effort which increases their
 probability of winning. In many environments, however, employees can also
 improve their own ranking position by harming their colleagues. Such
 negative incentive effects of corporate contests are largely unexplored,
 which can partly be attributed to the fact that sabotaging behavior is
 almost unobservable in the field. In this study we analyze behavior in
 experimental contests with heterogeneous players who are able to mutually
 sabotage each other. We find that sabotaging behavior systematically
 varies with the composition of different types of contestants. Moreover,
 if the saboteur's identity is revealed sabotage decreases while
 retaliation motives prevail. Our results promise to be valuable when
 designing corporate contests. 
Journal: International Journal of the Economics of Business 
Pages: 367-392 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Bullying, Contest, Experiments, Sabotage, Tournament, 
X-DOI: 10.1080/13571510701597445 
File-URL: http://www.tandfonline.com/10.1080/13571510701597445 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:367-392




Template-Type: ReDIF-Article 1.0
Author-Name: Xuxin Yu 
Author-X-Name-First: Xuxin 
Author-X-Name-Last: Yu 
Title: The Industry Determinants of Exchange Rate Pass-Through to Chinese Domestic Prices, 1980-2002 
Abstract:
  Previous research has found industry- and time-varying effects of the
 exchange rate on domestic producer prices in China for the years
 1980-2002. In this study, I examine the determinants of these variations.
 The variation of pass-through elasticity across industries is explained by
 a set of variables that characterize market competitiveness, while the
 change of the pass-through elasticity over time is interpreted by
 infrastructure development and the increasing proportion of
 non-state-owned enterprises in the economy, along with the structural
 break in years 1993-94. This study sheds light on the current debate on
 the effect of the urged appreciation of the Chinese Yuan. 
Journal: International Journal of the Economics of Business 
Pages: 393-408 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Exchange Rate, Pass-Through, Domestic Prices, Determinants, Industry, China, 
X-DOI: 10.1080/13571510701597536 
File-URL: http://www.tandfonline.com/10.1080/13571510701597536 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:393-408




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Standifird 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Standifird 
Author-Name: Marc Weinstein 
Author-X-Name-First: Marc 
Author-X-Name-Last: Weinstein 
Title: The Transaction Cost Economics of Market-based Exchange: The Impact of Reputation and External Verification Agencies 
Abstract:
  In this analysis, we empirically investigate market-based transaction
 costs. We measure market-based transaction costs indirectly by examining
 variations in market prices when selling Morgan Silver Dollars on eBay. We
 find that the reputation of both the seller and the coin-rating agency
 employed significantly influences the price premium obtained. Moreover, we
 find that the use of a coin-rating agency with a poor reputation proved
 more damaging than the use of no coin-rating agency. Thus, we find support
 for the suggestion that the reputation of sellers and third-party
 verification agencies have a significant influence on perceived
 market-based transaction costs. 
Journal: International Journal of the Economics of Business 
Pages: 409-431 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Transaction Costs, Reputation, Online Auctions, 
X-DOI: 10.1080/13571510701597510 
File-URL: http://www.tandfonline.com/10.1080/13571510701597510 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:409-431




Template-Type: ReDIF-Article 1.0
Author-Name: Ekkehardt Bauer 
Author-X-Name-First: Ekkehardt 
Author-X-Name-Last: Bauer 
Author-Name: Hans-Peter Burghof 
Author-X-Name-First: Hans-Peter 
Author-X-Name-Last: Burghof 
Title: The Economics of State Subsidies in Early Stage Financing 
Abstract:
  We analyze the effect of state subsidies on early stage investments. In a
 two-period investment model with incomplete stage financing contracts, we
 describe optimal and second-best investment levels. Optimality depends on
 external effects: given that private early stage financing generates
 positive external effects, the subsidies might be designed to use scarce
 state money most efficiently to mobilize private investment capital.
 However, a subsidy might also contribute to greater efficiency of the
 contractual relationship itself without regard to external effects.
 Refinancing subsidies can be optimal under both perspectives and are
 always optimal under last of the two approaches. The comparison of the
 main types of subsidies, i.e. refinancing subsidies, guarantees and direct
 investments, speaks against the use of guarantees. Finally, we show that
 our results do also hold if some investors (e.g. venture capitalists) have
 a superior screening capability. 
Journal: International Journal of the Economics of Business 
Pages: 433-457 
Issue: 3 
Volume: 14 
Year: 2007 
Keywords: Early Stage Financing, State Subsidies, Investment Decision, Venture Capital, 
X-DOI: 10.1080/13571510701597353 
File-URL: http://www.tandfonline.com/10.1080/13571510701597353 
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Handle: RePEc:taf:ijecbs:v:14:y:2007:i:3:p:433-457




Template-Type: ReDIF-Article 1.0
Author-Name: James Langenfeld 
Author-X-Name-First: James 
Author-X-Name-Last: Langenfeld 
Author-Name: Wenqing Li 
Author-X-Name-First: Wenqing 
Author-X-Name-Last: Li 
Title: Price Discrimination and the Cruise Line Industry: Implications for Market Definition, Competition, and Consumer Welfare 
Abstract:
  This article extends the price discrimination literature and applies it
 to market definition and competitive effects analysis in recent mergers in
 the cruise line industry. In that industry, short run output is fixed. If
 firms want to increase price and restrict output to price-insensitive
 customers, they have to increase the output and lower price to the
 price-sensitive customers. We show that with fixed output (1) it is in
 firms' interest to engage in price discrimination, (2) firms have
 increased ability to engage profitably in price discrimination as the
 intensity of competition decreases, and (3) the average price of
 price-sensitive and -insensitive consumers increase with reduced
 competition. Unlike the economists at the Federal Trade Commission, our
 analysis suggests that cruise lines engage in third-degree price
 discrimination. Moreover, the cruise industry could be a separate market
 and a reduction in the number of competitors might raise average prices. 
Journal: International Journal of the Economics of Business 
Pages: 1-25 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Price Discrimination, Fixed Output, Oligopolistic Competition, Antitrust, Merger, Cruise Industry, 
X-DOI: 10.1080/13571510701830440 
File-URL: http://www.tandfonline.com/10.1080/13571510701830440 
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Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:1-25




Template-Type: ReDIF-Article 1.0
Author-Name: Pascal Courty 
Author-X-Name-First: Pascal 
Author-X-Name-Last: Courty 
Author-Name: Mario Pagliero 
Author-X-Name-First: Mario 
Author-X-Name-Last: Pagliero 
Title: Do Consumers Care about how Prices are Set? 
Abstract:
  Using a survey approach, we ask consumers to reveal their preferences
 over pricing schemes that may differ in terms of the average price of
 consumption, the amount of price variation, and the probability of being
 rationed. We find that consumers dislike pricing schemes that vary prices
 more but that they are willing to trade off price variation and rationing.
 Surprisingly, they are not willing to trade off an increase in price
 variation for a decrease in expected prices. We discuss the implications
 of these findings for firm pricing policies. 
Journal: International Journal of the Economics of Business 
Pages: 27-43 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Consumer Demand, Rationing, Demand Fluctuation, Antagonism, Fairness, 
X-DOI: 10.1080/13571510701830457 
File-URL: http://www.tandfonline.com/10.1080/13571510701830457 
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Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:27-43




Template-Type: ReDIF-Article 1.0
Author-Name: Brian Diepold 
Author-X-Name-First: Brian 
Author-X-Name-Last: Diepold 
Author-Name: Robert Feinberg 
Author-X-Name-First: Robert 
Author-X-Name-Last: Feinberg 
Author-Name: David Round 
Author-X-Name-First: David 
Author-X-Name-Last: Round 
Author-Name: Jeremy Tustin 
Author-X-Name-First: Jeremy 
Author-X-Name-Last: Tustin 
Title: Merger Impacts on Investor Expectations: An Event Study for Australia 
Abstract:
  In previous work, little evidence of share-price response to Australian
 price-fixing investigations was found. However, these investigations often
 involve a small part of a company's operations and antitrust penalties
 have tended to be relatively small; in fact, some weak support was found
 for a greater response by investors when penalties were expected to be
 more significant. Mergers, on the other hand, clearly represent a much
 more significant event, and we would anticipate a clearer share-price
 response both to announced mergers and to associated antitrust challenges.
 While such studies have been done in other countries (primarily for the
 US), we know of no prior research of this sort for Australia. In this
 paper we focus on a sample of about 50 mergers and acquisitions involving
 Australian companies from 1996 to 2003, examining the impact on share
 prices of the announcement of these mergers both on the firms involved and
 on rival firms. For those which were challenged by the Australian
 antitrust enforcers, we also consider the impact of the announcement of
 such a challenge. 
Journal: International Journal of the Economics of Business 
Pages: 45-62 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Mergers, Australian Enforcement, Returns to Acquirers, Event Study, 
X-DOI: 10.1080/13571510701830465 
File-URL: http://www.tandfonline.com/10.1080/13571510701830465 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:45-62




Template-Type: ReDIF-Article 1.0
Author-Name: David Paton 
Author-X-Name-First: David 
Author-X-Name-Last: Paton 
Title: Advertising as an Entry Deterrent: Evidence from UK firms 
Abstract:
  Advertising is widely considered to be an important isolating mechanism
 through which firms may defend an established competitive advantage.
 However, there is relatively little empirical evidence on the extent of
 the strategic use of advertising either to deter or in response to entry.
 In this paper, I report on a study of the advertising practices of 843
 medium-sized and large UK-based firms. Nearly one-quarter of all the
 advertisers surveyed state that they attribute importance to entry
 deterrence as an aim of their advertising. Further, one in five managers
 of advertising firms state that they would increase advertising
 expenditure if a new rival company appeared in their market. It is also
 apparent that there is a strong correlation between the perceived
 importance of advertising as an entry-deterring tool and the intensity of
 advertising spending. Multivariate modelling provides confirmation that
 the existence of a sheltered market position, and the profitability that
 typically accompanies this, provides a statistically significant
 determinant of the decision to use advertising as a strategic
 entry-deterring weapon. 
Journal: International Journal of the Economics of Business 
Pages: 63-83 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Advertising, Survey Data, Entry, 
X-DOI: 10.1080/13571510701830507 
File-URL: http://www.tandfonline.com/10.1080/13571510701830507 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:63-83




Template-Type: ReDIF-Article 1.0
Author-Name: Lukasz Grzybowski 
Author-X-Name-First: Lukasz 
Author-X-Name-Last: Grzybowski 
Title: The Competitiveness of Mobile Telephony across the European Union 
Abstract:
  This paper analyses the competitiveness of the mobile telecommunications
 industry across the European Union. A structural model of demand and
 supply has been estimated for annual data on 15 EU countries from 1998 to
 2002. Estimates of country-specific conjectural variations allow us to
 compare the competitiveness of mobile telephony across the EU, and can
 offer an alternative to the evaluation of competition based on direct
 cross-country price comparisons. Average industry conjectural variations
 decrease over time as a result of regulation. The liberalization of fixed
 telephone lines and the introduction of number portability for mobiles
 increase the competitiveness of the mobile industry. 
Journal: International Journal of the Economics of Business 
Pages: 99-115 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Regulatory Policy, Structural Model, Conjectural Variation, 
X-DOI: 10.1080/13571510701830549 
File-URL: http://www.tandfonline.com/10.1080/13571510701830549 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:99-115




Template-Type: ReDIF-Article 1.0
Author-Name: Magali Chaudey 
Author-X-Name-First: Magali 
Author-X-Name-Last: Chaudey 
Author-Name: Muriel Fadairo 
Author-X-Name-First: Muriel 
Author-X-Name-Last: Fadairo 
Title: Contractual Design as a Determinant of Performance: Evidence from Franchising 
Abstract:
  This empirical note deals with the contractual design of relationships
 between producers and retailers. It provides evidence on the links between
 the features of vertical contracts organizing franchising networks and the
 performances of these networks. An agency perspective is used to
 understand the structure of contracts. We focus on the relevance of
 vertical restraints by the upstream firm to prevent retailers from
 free-riding in the distribution networks. From six frequent contractual
 provisions we distinguish two types of contracts according to the degree
 of constraint imposed on the franchisees. Econometric estimations carried
 out on this basis offer evidence consistent with the hypothesis that
 within franchising systems, more constrained contracts for retailers
 encourage better performance at the network level. 
Journal: International Journal of the Economics of Business 
Pages: 117-127 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Vertical Restraints, Franchising Network Performance, Agency Theory, 
X-DOI: 10.1080/13571510701830556 
File-URL: http://www.tandfonline.com/10.1080/13571510701830556 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:117-127




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Natke 
Author-X-Name-First: Paul 
Author-X-Name-Last: Natke 
Title: Asset Substitution and Capital Use by Firms Facing Financial Repression 
Abstract:
  Firm behavior is examined during a period of financial repression in
 Brazil. Empirical findings indicate that firms experiencing rising
 inflation rates: (1) increase their capital stock while reducing liquid
 asset holdings; (2) experience increases in the productivity of capital
 (i.e. a rise in the output-capital ratio); (3) increase the scale of the
 firm's operations both because of the rising capital productivity and the
 greater quantity of capital; (4) most firms increase liquid asset holdings
 as they expand production, although Brazilian firms do so at about twice
 the rate of multinational firms; (5) do not change overall inventory
 holdings; however, inventories increase as output rises for multinational
 firms while for Brazilian firms inventories decrease as output rises; and
 (6) firms that are more likely to face financial constraints expand their
 scale of operations at a faster rate as they accumulate more debt. 
Journal: International Journal of the Economics of Business 
Pages: 129-145 
Issue: 1 
Volume: 15 
Year: 2008 
Keywords: Complementarity Hypothesis, Capital Utilization, Asset Substitution, Financial Repression, 
X-DOI: 10.1080/13571510701830564 
File-URL: http://www.tandfonline.com/10.1080/13571510701830564 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:1:p:129-145




Template-Type: ReDIF-Article 1.0
Author-Name: Natsuko Iwasaki 
Author-X-Name-First: Natsuko 
Author-X-Name-Last: Iwasaki 
Author-Name: Yasushi Kudo 
Author-X-Name-First: Yasushi 
Author-X-Name-Last: Kudo 
Author-Name: Carol Horton Tremblay 
Author-X-Name-First: Carol Horton 
Author-X-Name-Last: Tremblay 
Author-Name: Victor Tremblay 
Author-X-Name-First: Victor 
Author-X-Name-Last: Tremblay 
Title: The Advertising-price Relationship: Theory and Evidence 
Abstract:
  The relationship between advertising and price is important because the
 welfare effect of advertising depends upon the price effect of
 advertising. We attempt to provide a better understanding of the
 theoretical relationship between advertising and price. We establish
 theoretical conditions sufficient for advertising to raise prices. This
 will occur, for example, when firms play a supermodular game - a structure
 that considers the type of advertising (i.e., persuasive, image creating,
 or informative) and the effect that advertising has on a firm's demand and
 costs. We also compare results from two simple duopoly models, one with
 horizontal and the other with vertical differentiation, and find that only
 the model with horizontal differentiation is supermodular for the forms of
 advertising that are thought to raise price (e.g., persuasive
 advertising). In consideration of these theoretical issues, we then
 develop an empirical model to determine whether advertising raises prices
 in the US brewing and cigarette industries. 
Journal: International Journal of the Economics of Business 
Pages: 149-167 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Advertising, Price, Supermodularity, Brewing Industry, Cigarette Industry, 
X-DOI: 10.1080/13571510802134213 
File-URL: http://www.tandfonline.com/10.1080/13571510802134213 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:149-167




Template-Type: ReDIF-Article 1.0
Author-Name: Joachim Wagner 
Author-X-Name-First: Joachim 
Author-X-Name-Last: Wagner 
Title: Export Entry, Export Exit and Productivity in German Manufacturing Industries 
Abstract:
  This paper contributes to the flourishing literature on exports and
 productivity by using a unique newly available panel of exporting
 establishments from the manufacturing sector of Germany from 1995 to 2004
 to test three hypotheses motivated by a theoretical model by Hopenhayn
 (Econometrica 1992): (H1) Firms that stop exporting in year t were in t-1
 less productive than firms that continue to export in t. (H2) Firms that
 start to export in year t are less productive than firms that export both
 in year t-1 and in year t. (H3) Firms from a cohort of export starters
 that still export in the last year of the panel were more productive in
 the start year than firms from the same cohort that stopped exporting in
 between. While results for West Germany support all three hypotheses, this
 is only the case for (H1) and (H2) in East Germany. 
Journal: International Journal of the Economics of Business 
Pages: 169-180 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Export Entry, Export Exit, Productivity, 
X-DOI: 10.1080/13571510802134270 
File-URL: http://www.tandfonline.com/10.1080/13571510802134270 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:169-180




Template-Type: ReDIF-Article 1.0
Author-Name: Magnus Talberg 
Author-X-Name-First: Magnus 
Author-X-Name-Last: Talberg 
Author-Name: Christian Winge 
Author-X-Name-First: Christian 
Author-X-Name-Last: Winge 
Author-Name: Stein Frydenberg 
Author-X-Name-First: Stein 
Author-X-Name-Last: Frydenberg 
Author-Name: Sjur Westgaard 
Author-X-Name-First: Sjur 
Author-X-Name-Last: Westgaard 
Title: Capital Structure Across Industries 
Abstract:
  The purpose of this article is to examine the capital structure across
 different industries for companies quoted on a stock exchange and
 headquartered in the United States. The paper demonstrates significant
 difference in the capital structure depending on the industry where the
 company operates. The debt ratio sensitivities to the explanatory
 variables differ significantly between the five industries studied. Almost
 every significant coefficient obtained in our regressions is in accordance
 with capital structure theory and other studies. Debt ratio is negatively
 related to profitability, growth, and age, while asset structure and
 company size are positively related. However, the debt ratio of the 50
 largest companies in the sample is negatively related to company size,
 which gives support to a currency hedging hypothesis. 
Journal: International Journal of the Economics of Business 
Pages: 181-200 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Capital Structure, Static Trade-off, Pecking Order, Industry Effects, Listed Companies, 
X-DOI: 10.1080/13571510802134304 
File-URL: http://www.tandfonline.com/10.1080/13571510802134304 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:181-200




Template-Type: ReDIF-Article 1.0
Author-Name: John Cable 
Author-X-Name-First: John 
Author-X-Name-Last: Cable 
Author-Name: Dennis Mueller 
Author-X-Name-First: Dennis 
Author-X-Name-Last: Mueller 
Title: Testing for Persistence of Profits' Differences Across Firms 
Abstract:
  We review the logic and implications underlying both static and dynamic
 models of competition, and associated tests of competitive effectiveness.
 Complications arising due to innovation, mergers and cyclical factors are
 discussed. Points raised in the theoretical discussion are illustrated
 with case histories and estimates for a number of US and UK companies. The
 empirical analysis tests a larger set of models than has been used in most
 previous work, and uses longer time series of company profits. We conclude
 that the patterns of profits observed in both countries are consistent
 with a larger and more complicated set of models of the competitive
 process than has been assumed until now, and that further work remains to
 be done in clarifying both why some firms are persistently profitable, and
 the nature of the 'shocks' that appear to produce structural breaks in the
 time series of companies' profits. 
Journal: International Journal of the Economics of Business 
Pages: 201-228 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Profit Persistence, Competition, Structural Time Series, 
X-DOI: 10.1080/13571510802134353 
File-URL: http://www.tandfonline.com/10.1080/13571510802134353 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:201-228




Template-Type: ReDIF-Article 1.0
Author-Name: John Cable 
Author-X-Name-First: John 
Author-X-Name-Last: Cable 
Author-Name: Richard Jackson 
Author-X-Name-First: Richard 
Author-X-Name-Last: Jackson 
Title: The Persistence of Profits in the Long Run: A New Approach 
Abstract:
  We present a trend-based alternative to the standard first-order
 autoregression model in persistence of profits studies. This is motivated
 by reservations over the interpretation of the standard model, and rests
 on a different concept of dynamic competition. A nine-category taxonomy of
 long-run persistence stereotypes is developed. Structural time series
 estimates are presented for a sample of UK companies. We find the null of
 long run competitive equilibrium not rejected in nearly a third of cases,
 but non-eroding persistence to be present in around 60%. 
Journal: International Journal of the Economics of Business 
Pages: 229-244 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Profit persistence, Competition, Structural Time Series, 
X-DOI: 10.1080/13571510802134403 
File-URL: http://www.tandfonline.com/10.1080/13571510802134403 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:229-244




Template-Type: ReDIF-Article 1.0
Author-Name: John Cable 
Author-X-Name-First: John 
Author-X-Name-Last: Cable 
Author-Name: Adelina Gschwandtner 
Author-X-Name-First: Adelina 
Author-X-Name-Last: Gschwandtner 
Title: On Modelling the Persistence of Profits in the Long Run: A Test of the Standard Model for 156 US Companies, 1950-99 
Abstract:
  'Persistence of profits' studies of competitiveness across samples of
 firms, and for individual firms, have almost always employed a simple
 first order autoregression model. Reservations over the use and
 interpretation of the AR1 in this context raise questions both over the
 reliability of previous results, and for future research strategy. We test
 the standard model on a common sample of 156 US companies over a 50 year
 period against a recently proposed, alternative model that adopts
 structural time series methods. A statistically significant degree of
 consistency is found between the two approaches in identifying firms
 persistently above or below the competitive norm in the long run. However,
 the structural time series method detects a much higher overall incidence
 of persistence, and appears to offer advantages in cases where the profit
 dynamics are more complex. 
Journal: International Journal of the Economics of Business 
Pages: 245-263 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Profit Persistence, Competition, Structural Time Series, 
X-DOI: 10.1080/13571510802134411 
File-URL: http://www.tandfonline.com/10.1080/13571510802134411 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:245-263




Template-Type: ReDIF-Article 1.0
Author-Name: Timothy Brennan 
Author-X-Name-First: Timothy 
Author-X-Name-Last: Brennan 
Title: Conspiracy in Industry or Conspiracy in Academe? A Review of Yoshiro Miwa and J. Mark Ramseyer, The Fable of the Keiretsu: Urban Legends of the Japanese Economy 
Abstract:
  During the 1980s, a widespread belief that the Japanese economy was
 outperforming that of the US led to a search for causes. Perhaps top on
 the list was a view that the Japanese had rejected the US model of private
 market competition, substituting for it the use of very large horizontal
 and vertical cooperatives, known as keiretsu. These keiretsu were thought
 to follow the instruction of main banks and the Japanese government rather
 than their own entrepreneurial insight. Miwa and Ramseyer's book (2006)
 sets out a detailed case against all of these claims. While the argument
 about the role of the keiretsu is significant, perhaps more important is
 the authors' explanation of why the 'fable' was thought real by academics
 as well as the policy and business community. 
Journal: International Journal of the Economics of Business 
Pages: 265-279 
Issue: 2 
Volume: 15 
Year: 2008 
Keywords: Keiretsu, Japan, Industrial Organization, Methodology, 
X-DOI: 10.1080/13571510802134528 
File-URL: http://www.tandfonline.com/10.1080/13571510802134528 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:2:p:265-279




Template-Type: ReDIF-Article 1.0
Author-Name: Andrew Eckert 
Author-X-Name-First: Andrew 
Author-X-Name-Last: Eckert 
Author-Name: Douglas West 
Author-X-Name-First: Douglas 
Author-X-Name-Last: West 
Title: Radius Restrictions on Retail Chains and the Similarity of Neighboring Shopping Centers 
Abstract:
  In Canada and the US, shopping center developers may impose 'radius
 restrictions' on tenants in their shopping centers, prohibiting tenants in
 a particular shopping center from opening another store within a certain
 radius. Whether a radius restriction is imposed on a chain will depend
 upon the relative bargaining positions of the chain and the developer.
 This paper presents an empirical analysis of regional shopping center
 composition in Canada, using variables that reflect the bargaining power
 of retail chains and shopping center developers. We find that large, well
 established, and growing chains are more likely to enter neighboring
 malls, consistent with the hypothesis that whether a chain enters
 neighboring malls depends upon its bargaining power. As well, we find that
 a chain is more likely to enter neighboring malls owned by large
 developers, consistent with large developers trying to keep retail chains
 out of the malls of small developers. 
Journal: International Journal of the Economics of Business 
Pages: 281-300 
Issue: 3 
Volume: 15 
Year: 2008 
Keywords: Retail Chain, Shopping Center, Bargaining Power, Exclusive Dealing, 
X-DOI: 10.1080/13571510802465088 
File-URL: http://www.tandfonline.com/10.1080/13571510802465088 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:3:p:281-300




Template-Type: ReDIF-Article 1.0
Author-Name: Fabio Manenti 
Author-X-Name-First: Fabio 
Author-X-Name-Last: Manenti 
Author-Name: Ernesto Somma 
Author-X-Name-First: Ernesto 
Author-X-Name-Last: Somma 
Title: One-Way Compatibility, Two-Way Compatibility and Entry in Network Industries 
Abstract:
  We study the strategic choice of compatibility between two initially
 incompatible network goods in a two-stage game played by an incumbent and
 an entrant firm. Compatibility may be achieved by means of a converter. We
 derive a number of results under different assumptions about the nature of
 the converter (one-way vs two-way), the existence of property rights and
 the possibility of side payments. With incompatibility, entry deterrence
 occurs for sufficiently strong network effects. In the case of a two-way
 converter, which can only be supplied by the incumbent, incompatibility
 will result in equilibrium unless side payments are allowed and the
 network externalities are sufficiently low. When both firms can build a
 one-way converter and there are no property rights on the necessary
 technical specifications, the unique equilibrium involves full
 compatibility. Finally, when each firm has property rights on its
 technical specifications, full incompatibility is observed at the
 equilibrium with no side payments; when these are allowed the entrant
 sells access to its network to the incumbent which refuses to do the same
 and asymmetric one-way compatibility results in equilibrium. 
Journal: International Journal of the Economics of Business 
Pages: 301-322 
Issue: 3 
Volume: 15 
Year: 2008 
Keywords: Network Externalities, One-way Compatibility, Two-way compatibility, Entry, 
X-DOI: 10.1080/13571510802465096 
File-URL: http://www.tandfonline.com/10.1080/13571510802465096 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:3:p:301-322




Template-Type: ReDIF-Article 1.0
Author-Name: Uriel Spiegel 
Author-X-Name-First: Uriel 
Author-X-Name-Last: Spiegel 
Author-Name: Uri Ben-Zion 
Author-X-Name-First: Uri 
Author-X-Name-Last: Ben-Zion 
Author-Name: Tchai Tavor 
Author-X-Name-First: Tchai 
Author-X-Name-Last: Tavor 
Author-Name: Joseph Templeman 
Author-X-Name-First: Joseph 
Author-X-Name-Last: Templeman 
Title: The Network Industry, Monopoly Regulation, and Social Optimum 
Abstract:
  This paper examines pricing policy, quality levels, consumer surplus and
 social welfare for the monopoly and non-monopoly case. It is shown that
 given certain realistic assumptions, the network industry under
 unregulated monopoly would yield more social welfare than in the case of
 several producers in the industry, and would therefore be socially
 preferred. 
Journal: International Journal of the Economics of Business 
Pages: 323-337 
Issue: 3 
Volume: 15 
Year: 2008 
Keywords: Monopoly, Duopoly, Quality, Network Externalities, Social Optimum, 
X-DOI: 10.1080/13571510802465104 
File-URL: http://www.tandfonline.com/10.1080/13571510802465104 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:3:p:323-337




Template-Type: ReDIF-Article 1.0
Author-Name: Rosa Forte 
Author-X-Name-First: Rosa 
Author-X-Name-Last: Forte 
Author-Name: Antonio Brandao 
Author-X-Name-First: Antonio 
Author-X-Name-Last: Brandao 
Title: A Signalling Model of Firms' Foreign Direct Investment Relocation Decision 
Abstract:
  We analyse whether the foreign government can influence the multinational
 firm's relocation decision, through signalling the amount of subsidy it
 can grant. The foreign country is one of two possible types which differ
 on their investment conditions. Comparing the results obtained with an
 adverse selection model (the government knows the country type but the
 firm does not) with the results of a signalling model, we conclude that
 relocation is more likely, and the necessary subsidy is smaller, in the
 signalling model than with adverse selection. This can explain the
 proliferation of Investment Support Agencies worldwide. 
Journal: International Journal of the Economics of Business 
Pages: 339-357 
Issue: 3 
Volume: 15 
Year: 2008 
Keywords: Multinational Firms, Relocation of Production, Signalling Model, 
X-DOI: 10.1080/13571510802465112 
File-URL: http://www.tandfonline.com/10.1080/13571510802465112 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:3:p:339-357




Template-Type: ReDIF-Article 1.0
Author-Name: Francis Fishwick 
Author-X-Name-First: Francis 
Author-X-Name-Last: Fishwick 
Title: Book Prices in the UK Since the End of Resale Price Maintenance 
Abstract:
  After the Net Book Agreement was abandoned in 1995 and struck down by the
 Restrictive Practices Court in 1997, retail book prices were widely
 expected to fall. Despite deeper and wider retail discounts, official
 indices show that book prices have subsequently risen more than general
 inflation. This apparent anomaly may be explained by an argument accepted
 at the 1962 Restrictive Practices Court hearing: that price competition
 would lead to concentration and greater buying power in bookselling and to
 bigger trade discounts from publishers, who would seek to maintain profits
 by raising list prices. Discounts by retailers would fail to compensate.
 Evidence provides some support for this explanation. While more research
 is required to confirm this analysis, it is relevant wherever there is
 debate about retention of resale price maintenance for books. It also
 supports the argument for case by case consideration of resale price
 maintenance, rather than condemnation on principle 
Journal: International Journal of the Economics of Business 
Pages: 359-377 
Issue: 3 
Volume: 15 
Year: 2008 
Keywords: Resale Price Maintenance, Book Publishing, Price Indices, 
X-DOI: 10.1080/13571510802465120 
File-URL: http://www.tandfonline.com/10.1080/13571510802465120 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:15:y:2008:i:3:p:359-377




Template-Type: ReDIF-Article 1.0
Author-Name: Donald Boudreaux 
Author-X-Name-First: Donald 
Author-X-Name-Last: Boudreaux 
Title: Review of Jean-Jacques Rosa, The Second Twentieth Century 
Abstract:
  The book reviewed here contends that production techniques - and in
 particular today, techniques embodying modern information technology -
 determine political attitudes and, hence, the structure and role of the
 state. The book's author, Jean-Jacques Rosa, is not successful in making a
 compelling case for this thesis. He does, though, offer a host of
 fascinating observations along the way. 
Journal: International Journal of the Economics of Business 
Pages: 379-382 
Issue: 3 
Volume: 15 
Year: 2008 
Keywords: Computer, Information Technology, Decentralization, Role of the State, Ideology, 
X-DOI: 10.1080/13571510802465138 
File-URL: http://www.tandfonline.com/10.1080/13571510802465138 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:15:y:2008:i:3:p:379-382




Template-Type: ReDIF-Article 1.0
Author-Name: Lee Mobley 
Author-X-Name-First: Lee 
Author-X-Name-Last: Mobley 
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Author-Name: Luc Anselin 
Author-X-Name-First: Luc 
Author-X-Name-Last: Anselin 
Title: Spatial Interaction, Spatial Multipliers and Hospital Competition 
Abstract:
  The hospital competition literature shows that estimates of the effect of
 local market structure (concentration) on pricing (competition) are
 sensitive to geographic market definition. Our spatial lag model approach
 effects smoothing of the explanatory variables across the discrete market
 boundaries, resulting in robust estimates of the impact of market
 structure on hospital pricing, which can be used to estimate the full
 effect of changes in prices inclusive of spillovers that cascade through
 the neighboring hospital markets. The full amount, generated by the
 spatial multiplier effect, is a robust estimate of the impacts of market
 factors on hospital competition. We contrast ordinary least squares and
 spatial lag estimates to demonstrate the importance of robust estimation
 in analysis of hospital market competition. In markets where concentration
 is relatively high before a proposed merger, we demonstrate that Ordinary
 Least Squares (OLS) can lead to the wrong policy conclusion while the more
 conservative lag estimates do not. 
Journal: International Journal of the Economics of Business 
Pages: 1-17 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Spatial Econometrics, Hospital Competition, Market Size, Market Extent, Market Boundary, 
X-DOI: 10.1080/13571510802638908 
File-URL: http://www.tandfonline.com/10.1080/13571510802638908 
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Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Author-Name: P.C. (Michelle) Chiang 
Author-X-Name-First: P.C. 
Author-X-Name-Last: (Michelle) Chiang 
Title: The Effects of Offshoring to China: Reallocation, Employment and Productivity in Taiwan 
Abstract:
  We examine the extent to which outward FDI from Taiwan to mainland China
 has contributed to the rising unemployment rate in Taiwan. Further, it
 examines whether outward FDI has contributed to productivity growth in
 Taiwan, and the importance of linkages between sectors in determining
 these effects. We provide strong evidence that Taiwanese firms have
 increased their investments in China, and that this has lead to a
 reduction in employment in such sectors at home. Further, we show that
 these effects are also translated up the supply chain, such that outward
 FDI also leads to a reduction in employment upstream in the supply chain. 
Journal: International Journal of the Economics of Business 
Pages: 19-38 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: FDI, Offshoring, Productivity, 
X-DOI: 10.1080/13571510802638916 
File-URL: http://www.tandfonline.com/10.1080/13571510802638916 
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Template-Type: ReDIF-Article 1.0
Author-Name: Shinsuke Kamoto 
Author-X-Name-First: Shinsuke 
Author-X-Name-Last: Kamoto 
Title: Strategic Investment Decisions under Uncertainty, Tacit Collusion and Product Differentiation 
Abstract:
  This paper examines the effects of uncertainty, tacit collusion and
 product differentiation on strategic investment policy. The model
 demonstrates the equilibrium under competitive investments and under
 cooperative investments. In competitive investments, two firms compete by
 investing to preempt each other, and ultimately one firm invests earlier
 than its rival. In cooperative investments, two firms invest
 simultaneously and collude on their outputs. Cooperative investments are
 likely to be sustainable only under conditions of high volatility of
 future demand, low probability of market extinction and high degree of
 product differentiation, while competitive investments are sustainable for
 any set of these parametric values. 
Journal: International Journal of the Economics of Business 
Pages: 39-54 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Real Options, Imperfect Competition, Tacit Collusion, Product Differentiation, 
X-DOI: 10.1080/13571510802638924 
File-URL: http://www.tandfonline.com/10.1080/13571510802638924 
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Template-Type: ReDIF-Article 1.0
Author-Name: Kevin Green 
Author-X-Name-First: Kevin 
Author-X-Name-Last: Green 
Title: Competition in the Pharmaceutical Industry: The Case of PAH Drugs 
Abstract:
  The nature and extent of competition between different therapies for a
 given medical condition often is an important and controversial issue in
 both antitrust cases and general strategic analysis in the pharmaceutical
 industry. The market for pulmonary arterial hypertension ('PAH') therapies
 provides an interesting case study for analyzing these issues. An event
 study analyzing how the stock prices of PAH therapy providers respond to
 competitive developments in the industry sheds light on the nature of
 competition among different types of therapies. The results support the
 view that the strength of competition between any two drugs for the same
 condition can vary greatly depending on factors such as the stage of the
 patient's disease, the mode of drug delivery, the mechanism of action,
 convenience/ease of use and other characteristics. 
Journal: International Journal of the Economics of Business 
Pages: 55-71 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Pharmaceutical Industry, Relevant Markets, Antitrust, Mergers, 
X-DOI: 10.1080/13571510802638932 
File-URL: http://www.tandfonline.com/10.1080/13571510802638932 
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Template-Type: ReDIF-Article 1.0
Author-Name: Prabirjit Sarkar 
Author-X-Name-First: Prabirjit 
Author-X-Name-Last: Sarkar 
Title: Do the English Legal Origin Countries have More Dispersed Share Ownership and More Developed Financial Systems? 
Abstract:
  The essence of the legal origin hypothesis is that a country with an
 English legal origin provides better investor and creditor protection and
 experiences greater financial development; financial institutions and
 stock markets flourish, the general public participate more in financing
 investment projects of companies and so shareholding is less concentrated.
 The present paper examines this hypothesis on the basis of a cross-country
 study of 85 countries. We find no evidence of more dispersed share
 ownership in the English law countries than in other countries with
 different legal origins irrespective of whether we adjust for the
 existence of transitional economies and less developed countries in the
 sample. Using three indicators of development of banking and other credit
 institutions and four indicators of stock market developments, we also
 find no evidence of more developed financial systems in the English law
 countries. As expected, there is some evidence of lower financial
 development in the less developed countries and transitional countries. It
 is not the English law heritage but the security of persons and goods that
 appears to explain the cross-country variations in financial development. 
Journal: International Journal of the Economics of Business 
Pages: 73-86 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Law and Finance, Legal Origins, Comparative Law, Share Ownership, 
X-DOI: 10.1080/13571510802638940 
File-URL: http://www.tandfonline.com/10.1080/13571510802638940 
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Template-Type: ReDIF-Article 1.0
Author-Name: Eleonora Bartoloni 
Author-X-Name-First: Eleonora 
Author-X-Name-Last: Bartoloni 
Author-Name: Maurizio Baussola 
Author-X-Name-First: Maurizio 
Author-X-Name-Last: Baussola 
Title: The Persistence of Profits, Sectoral Heterogeneity and Firms' Characteristics 
Abstract:
  The analysis of the persistence of profits has long been a controversial
 issue within empirical industrial organisation literature. The aim of our
 paper is to provide new empirical findings that may account for patterns
 of both sectoral and firm profit persistence. The distinctive feature of
 our study is that we analyse a number of firms' ergodic distribution in
 each sector according to their profit level; we then calculate the
 difference between such a distribution and that prevailing in
 manufacturing as a whole. Finally, we break down this distribution; the
 resulting breakdown highlights the impact of each transition probability
 on inter-sectoral differences clearly, and it also emphasises the role of
 intra-sectoral dynamics in determining different persistence patterns. We
 then apply this methodology to both innovating and non-innovating firms,
 and conclude that among surviving firms innovation is indeed crucial to
 the persistence of profits. In addition, we set up an econometric test
 which enables us to estimate the impact of firm and sectoral
 characteristics on a firm's profit condition. 
Journal: International Journal of the Economics of Business 
Pages: 87-111 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Persistence, Profitability, Markov Chains, Ordered Probit, 
X-DOI: 10.1080/13571510802638973 
File-URL: http://www.tandfonline.com/10.1080/13571510802638973 
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Template-Type: ReDIF-Article 1.0
Author-Name: Martin Campbell-Kelly 
Author-X-Name-First: Martin 
Author-X-Name-Last: Campbell-Kelly 
Author-Name: Daniel Garcia-Swartz 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Garcia-Swartz 
Title: Persistence and Change at the Top of the IT Sector 
Abstract:
  We use the DATAMATION index of the top 50 domestic IT companies
 (1975-1995) to track persistence and change at the top of the sector. The
 trends that we uncover are increasing instability, rejuvenation (declining
 average age of entrants coupled with increasing average age of quitters),
 democratization (diminishing revenue inequality at the top) and growing
 supply-side intertwining of sub-sectors and industries within IT due to
 diversification by long-term survivors. 
Journal: International Journal of the Economics of Business 
Pages: 113-138 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Industry Studies (Services): Information and Internet Services, Computer Software, Industry Studies (Manufacturing): Microelectronics, Computers, Communication Equipment, 
X-DOI: 10.1080/13571510802638981 
File-URL: http://www.tandfonline.com/10.1080/13571510802638981 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:1:p:113-138




Template-Type: ReDIF-Article 1.0
Author-Name: John Marshall 
Author-X-Name-First: John 
Author-X-Name-Last: Marshall 
Title: Review of Guillaume Plantin and Jean-Charles Rochet, When Insurers Go Bust: An Economic Analysis of the Role and Design of Prudential Regulation 
Abstract:
  When Insurers Go Bust applies agency theory and the theories of adverse
 selection and moral hazard as the motivation for prudential regulation of
 insurance. The resulting scheme has strong flavors of verifiability,
 simplicity, consistency, and transparency. In consequence, ruin theory
 does not have an operational role. Theory is applied in familiar ways that
 are at best convenient shorthand for correct ideas and at worst acceptably
 suggestive. As in other sources, there is inappropriate emphasis on the
 general theory of excessive risk-taking, which tends to deflect attention
 from the specific nature of insurance firms, but the theoretical excess is
 adequately counterbalanced by thoughtful case studies. This book is useful
 for the insurance scholar and feasible as a segment of an advanced
 undergraduate course. 
Journal: International Journal of the Economics of Business 
Pages: 139-146 
Issue: 1 
Volume: 16 
Year: 2009 
Keywords: Moral Hazard, Adverse Selection, Agency Theory, Insurance Regulation, Ruin Theory, 
X-DOI: 10.1080/13571510802638999 
File-URL: http://www.tandfonline.com/10.1080/13571510802638999 
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Template-Type: ReDIF-Article 1.0
Author-Name: Paul Legerer 
Author-X-Name-First: Paul 
Author-X-Name-Last: Legerer 
Author-Name: Thomas Pfeiffer 
Author-X-Name-First: Thomas 
Author-X-Name-Last: Pfeiffer 
Author-Name: Georg Schneider 
Author-X-Name-First: Georg 
Author-X-Name-Last: Schneider 
Author-Name: Joachim Wagner 
Author-X-Name-First: Joachim 
Author-X-Name-Last: Wagner 
Title: Organizational Structure and Managerial Decisions 
Abstract:
  We investigate how the organizational structure of a firm influences the
 decision making of its top management. Different organizational structures
 lead information to be processed in different ways by the individual
 decision makers, potentially creating an informational cascade within the
 organization. We analyze two organizational structures: the first inducing
 sequential information processing, the second inducing batch information
 processing. In particular, we characterize the optimal organizational
 structure using the signal precision of the top manager, i.e., the value
 of his private information. 
Journal: International Journal of the Economics of Business 
Pages: 147-159 
Issue: 2 
Volume: 16 
Year: 2009 
Keywords: Organization, Informational Cascade, Decision Theory, 
X-DOI: 10.1080/13571510902917483 
File-URL: http://www.tandfonline.com/10.1080/13571510902917483 
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Template-Type: ReDIF-Article 1.0
Author-Name: Rosa Bernardini Papalia 
Author-X-Name-First: Rosa Bernardini 
Author-X-Name-Last: Papalia 
Author-Name: Silvia Bertarelli 
Author-X-Name-First: Silvia 
Author-X-Name-Last: Bertarelli 
Title: The Role of Local Agglomeration Economies and Regional Characteristics in Attracting FDI: Italian Evidence 
Abstract:
  The objective of this paper is to test for the importance of local
 agglomeration externalities in determining inward foreign direct
 investment (FDI) intensity, viewed as a measure of regional attractiveness
 to FDI. The links between the degree of FDI inflow penetration into Italy
 and its determinants at the regional level are examined using alternative
 fixed effects panel data model specifications, also extended to include
 spatial effects. It is found that sectoral and regional specificities are
 relevant in attracting inward FDI into Italy and the different effects of
 intra-sector and inter-sector spillovers can be distinguished. There is
 also evidence that the importance of agglomeration spillovers connected to
 the geographical distance varies across regions, indicating both
 substitution and complementarity effects from FDI inflows into neighboring
 regions. 
Journal: International Journal of the Economics of Business 
Pages: 161-188 
Issue: 2 
Volume: 16 
Year: 2009 
Keywords: International Capital Mobility, Agglomeration Spillovers, Spatial Dependence, Censored Panel Data Models, 
X-DOI: 10.1080/13571510902917442 
File-URL: http://www.tandfonline.com/10.1080/13571510902917442 
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Template-Type: ReDIF-Article 1.0
Author-Name: Jim Lee 
Author-X-Name-First: Jim 
Author-X-Name-Last: Lee 
Title: Does Size Matter in Firm Performance? Evidence from US Public Firms 
Abstract:
  This paper reexamines the determinants of firm performance and, in
 particular, the role that firm size plays in profitability. A
 fixed-effects dynamic panel data model for over 7,000 US publicly-held
 firms during the period 1987-2006 provides evidence that profit rates are
 positively correlated with firm size in a non-linear manner, holding an
 array of firm- and industry-specific characteristics constant. In
 addition, industry-specific fixed effects play a negligible role in the
 presence of firm-specific fixed effects. 
Journal: International Journal of the Economics of Business 
Pages: 189-203 
Issue: 2 
Volume: 16 
Year: 2009 
Keywords: Profit Rates, Panel Data, Firm Size, Industry Effects, Firm Effects, 
X-DOI: 10.1080/13571510902917400 
File-URL: http://www.tandfonline.com/10.1080/13571510902917400 
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Template-Type: ReDIF-Article 1.0
Author-Name: Vicky Bamiatzi 
Author-X-Name-First: Vicky 
Author-X-Name-Last: Bamiatzi 
Author-Name: Graham Hall 
Author-X-Name-First: Graham 
Author-X-Name-Last: Hall 
Title: Firm versus Sector Effects on Profitability and Growth: The Importance of Size and Interaction 
Abstract:
  In this study we contribute to the long-standing debate on the impact of
 firm versus industry effects on firm performance in three distinct ways;
 firstly by testing the firm, industry and their interaction effects on
 performance, secondly by examining the impact of each effect for different
 size groups, and lastly by measuring performance in terms of sales growth
 in addition to profitability. We use data of 71,750 UK firms, between 2002
 and 2004, and employ moderated regression analysis for three sub-samples
 namely micro, SMEs and large firms. With regards to profitability, we find
 the interaction effect to be significant in all sub-samples for broad
 level of industrial aggregation (SIC4). For narrow industrial aggregation
 (SIC2), the interaction effect is only significant for micro firms.
 Neither of the above effects is significant for sales growth. 
Journal: International Journal of the Economics of Business 
Pages: 205-220 
Issue: 2 
Volume: 16 
Year: 2009 
Keywords: Firm Effect, Industry Effect, Interaction, Profitability, Growth, 
X-DOI: 10.1080/13571510902917517 
File-URL: http://www.tandfonline.com/10.1080/13571510902917517 
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Template-Type: ReDIF-Article 1.0
Author-Name: Chrysovalantis Gaganis 
Author-X-Name-First: Chrysovalantis 
Author-X-Name-Last: Gaganis 
Author-Name: Fotios Pasiouras 
Author-X-Name-First: Fotios 
Author-X-Name-Last: Pasiouras 
Title: Efficiency in the Greek Banking Industry: A Comparison of Foreign and Domestic Banks 
Abstract:
  This study uses a sample of foreign and domestic banks operating in
 Greece during 1999-2004 to examine the impact of ownership on efficiency.
 We estimate an input oriented data envelopment analysis (DEA) model under
 variable returns to scale with inputs and outputs selected on the basis of
 a profit-oriented approach. The results indicate an average pure technical
 efficiency equal to 0.7325 showing that the banks in sample could improve
 their efficiency by 26.75%. Over the same period, scale efficiency was
 equal to 0.6830. The comparison of the efficiency scores by group of
 ownership shows that domestic banks have higher pure technical efficiency
 and lower scale efficiency; however, the differences are not statistically
 significant. A DEA window-analysis confirms the results of the
 cross-section estimations. We also estimate a Tobit regression model but
 consistent with the univariate results we find no evidence to support the
 argument that ownership has a statistically significant impact on
 efficiency. 
Journal: International Journal of the Economics of Business 
Pages: 221-237 
Issue: 2 
Volume: 16 
Year: 2009 
Keywords: Banks, DEA, Efficiency, Foreign, Greece, 
X-DOI: 10.1080/13571510902917533 
File-URL: http://www.tandfonline.com/10.1080/13571510902917533 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:2:p:221-237




Template-Type: ReDIF-Article 1.0
Author-Name: Adnan Kasman 
Author-X-Name-First: Adnan 
Author-X-Name-Last: Kasman 
Author-Name: Evrim Turgutlu 
Author-X-Name-First: Evrim 
Author-X-Name-Last: Turgutlu 
Title: Total Factor Productivity in the Turkish Insurance Industry 
Abstract:
  This paper employs the Malmquist total factor productivity (TFP) index to
 examine the total factor productivity change in the life and non-life
 branches of the Turkish insurance sector for the period 2000-2005. The
 Malmquist productivity index is decomposed into two components: the
 efficiency change component and the technical change component. The
 results indicate a decrease of 19.4 % in total factor productivity in the
 life insurance sector and an increase of 6.1% in the non-life insurance
 sector during the sample period. Significant TFP growth in the non-life
 insurance sector has occurred during 2003-2005. This growth is seen to be
 mainly due to the change in production technology. The firms are then
 split into two groups, domestic and foreign firms, according to their
 ownership composition. The results indicate a decline in total factor
 productivity for both groups in the life insurance sector whereas in the
 non-life insurance sector, an increase in the total factor productivity of
 domestic firms is observed. 
Journal: International Journal of the Economics of Business 
Pages: 239-247 
Issue: 2 
Volume: 16 
Year: 2009 
Keywords: Malmquist TFP Index, Turkish Insurance Industry, Technical Efficiency, Scale Efficiency, 
X-DOI: 10.1080/13571510902917558 
File-URL: http://www.tandfonline.com/10.1080/13571510902917558 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:2:p:239-247




Template-Type: ReDIF-Article 1.0
Author-Name: Claude Crampes 
Author-X-Name-First: Claude 
Author-X-Name-Last: Crampes 
Author-Name: Corinne Langinier 
Author-X-Name-First: Corinne 
Author-X-Name-Last: Langinier 
Title: Are Intellectual Property Rights Detrimental to Innovation? 
Abstract:
  Intellectual property rights are legal constraints that limit conditions
 of entry in industries where incumbents are innovators. The set of legal
 constraints is the same for all industries, and there is no consideration
 of the possibility that the externalities created by entry in a given
 industry may not necessarily be negative for the incumbent, or that the
 incumbent's R&D expenditures might actually be detrimental to new
 entrants. We show that one unique set of legal rules can foster innovation
 in some industries and be detrimental in others. Our model is illustrated
 by case studies from the Information and Communication Technologies
 industry. 
Journal: International Journal of the Economics of Business 
Pages: 249-268 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Innovation, Spillover, Leadership, Intellectual Property Rights, 
X-DOI: 10.1080/13571510903227007 
File-URL: http://www.tandfonline.com/10.1080/13571510903227007 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:249-268




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen Wilks 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Wilks 
Title: The Impact of the Recession on Competition Policy: Amending the Economic Constitution? 
Abstract:
  The strengths of the European competition regime are outlined before
 identifying challenges presented by the financial crisis. The argument
 moves from enforcement to systemic threats to the credibility of the
 economic models on which modern competition policy is based. It then turns
 from banking failures to the crisis in the European motor industry. It
 suggests that competition policy comprises an 'economic constitution' for
 the EU which is under threat, but registers the relative complacency of
 the competition agencies, and argues for a redefinition of policy. The
 conclusion suggests that the regulatory relationship between the state and
 the private sector will reflect scepticism about the market and that
 political changes in the UK and Europe offer radical choices between a
 reinforced or a marginalised competition policy which the competition
 policy 'community' needs to confront. 
Journal: International Journal of the Economics of Business 
Pages: 269-288 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Competition Policy, Competition Agencies, Economic Constitution, Industrial Policy, Welfare Economics, Motor Industry, 
X-DOI: 10.1080/13571510903227015 
File-URL: http://www.tandfonline.com/10.1080/13571510903227015 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:269-288




Template-Type: ReDIF-Article 1.0
Author-Name: Dongsoo Shin 
Author-X-Name-First: Dongsoo 
Author-X-Name-Last: Shin 
Author-Name: S. Andrew Starbird 
Author-X-Name-First: S. Andrew 
Author-X-Name-Last: Starbird 
Title: Risk Taking as Self Discipline in Contractual Relationships 
Abstract:
  This paper considers an agency model in which the principal is privately
 informed of her production technology. In our model, the principal can
 require the agent to adopt the principal's technology for production, or
 alternatively, to adopt a technology in the market. Information about the
 market technology's efficiency is publicly available, and thus can be
 acquired. We show that, if the variation in technological efficiency is
 large, the principal prefers to delay acquisition of information about the
 market technology. The reason is that, the principal uses uncertainty as a
 device to provide a truth-telling incentive to herself, which, in turn,
 lowers the cost of inducing the agent to accept the contract. 
Journal: International Journal of the Economics of Business 
Pages: 289-304 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Informed Principal, Self-discipline, Uncertainty, 
X-DOI: 10.1080/13571510903227023 
File-URL: http://www.tandfonline.com/10.1080/13571510903227023 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:289-304




Template-Type: ReDIF-Article 1.0
Author-Name: Giulio Cainelli 
Author-X-Name-First: Giulio 
Author-X-Name-Last: Cainelli 
Author-Name: Donato Iacobucci 
Author-X-Name-First: Donato 
Author-X-Name-Last: Iacobucci 
Title: Do Agglomeration and Technology Affect Vertical Integration? Evidence from Italian Business Groups 
Abstract:
  The aim of this paper is to analyse the role of technology and spatial
 agglomeration in decisions about vertical integration. It starts from the
 hypothesis that the business group, defined as a set of firms under common
 ownership and control, is the appropriate unit to delimit the firm's
 boundary. We use information drawn from input-output tables to detect the
 presence of positive inter-industry exchanges and whether or not
 activities in a group are vertically related. Accounting for endogeneity
 problems, we estimate Probit and Linear Probability models to investigate
 the role of technology and spatial agglomeration on vertical integration
 decisions empirically. Consistent with property rights theory, our results
 show that the technology intensity of acquirers matters for backward
 integration choices and, moreover, that agglomeration plays a role in
 vertical integration only when it operates jointly with technology. 
Journal: International Journal of the Economics of Business 
Pages: 305-322 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Business Groups, Spatial Agglomeration, Technology, Vertical Integration, 
X-DOI: 10.1080/13571510903227049 
File-URL: http://www.tandfonline.com/10.1080/13571510903227049 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:305-322




Template-Type: ReDIF-Article 1.0
Author-Name: Elias Moreno 
Author-X-Name-First: Elias 
Author-X-Name-Last: Moreno 
Author-Name: Francisco Javier Giron 
Author-X-Name-First: Francisco Javier 
Author-X-Name-Last: Giron 
Author-Name: Francisco Jose Vazquez-Polo 
Author-X-Name-First: Francisco Jose 
Author-X-Name-Last: Vazquez-Polo 
Author-Name: Miguel Negrin 
Author-X-Name-First: Miguel 
Author-X-Name-Last: Negrin 
Title: A Bayesian Net Benefit Approach to Cost-effectiveness Analysis in Health Technology Assessment 
Abstract:
  The economic literature on cost-effectiveness analysis in the context of
 decisions by health technology assessment agencies assumes as the quantity
 of interest a linear combination of the mean of the sampling distribution
 of the effectiveness and the cost. We argue that this is not always
 reasonable. Our reasons for this assertion are that (i) treatments are
 compared on the basis of mean values, and for some useful models the mean
 of the distribution of the cost, which is conditional on the available
 data, does not exist, and (ii) even for models for which the mean does
 exist, it might not constitute an accurate reflection of the distribution.
 This paper presents a general Bayesian cost-effectiveness analysis of a
 single treatment, where the quantity of interest is the distribution,
 conditional on the data, of the net benefit. This approach permits a
 natural extension to several treatments, which enables us to make a
 statistical comparison. Illustrations with treatment comparisons for real
 and simulated data are given. 
Journal: International Journal of the Economics of Business 
Pages: 323-345 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Bayesian Analysis, Cost-effectiveness of a Treatment, logStudent Distribution, Net Benefit, Treatment Comparison, 
X-DOI: 10.1080/13571510903227056 
File-URL: http://www.tandfonline.com/10.1080/13571510903227056 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:323-345




Template-Type: ReDIF-Article 1.0
Author-Name: Donald Vitaliano 
Author-X-Name-First: Donald 
Author-X-Name-Last: Vitaliano 
Author-Name: Gregory Stella 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Stella 
Title: A Frontier Approach to Testing the Averch-Johnson Hypothesis 
Abstract:
  The mathematical programming technique Data Envelopment Analysis is used
 to test the famous hypothesis of Averch and Johnson that utility
 regulation leads to overuse of capital because the regulated firm earns a
 return s greater than its cost of capital r, an implicit capital subsidy
 resulting in allocative inefficiency. Technical and allocative
 inefficiency are based on cost and production frontiers from 337 electric
 generating plants using 1970 data, and r is based on the Capital Asset
 Pricing Model. Significant capital overuse and general failure to minimize
 costs is detected, but a second-step regression analysis finds no
 relationship between the overuse and the s-r subsidy. A small updated data
 set covering the period 1980-2004 suggests that overuse of capital is no
 longer a problem, a result that may be owing to recente deregulation and
 restructuring. 
Journal: International Journal of the Economics of Business 
Pages: 347-363 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Electric Utilities, Economics of Regulation, Programming Models, 
X-DOI: 10.1080/13571510903227031 
File-URL: http://www.tandfonline.com/10.1080/13571510903227031 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:347-363




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Sugden 
Author-X-Name-First: Robert 
Author-X-Name-Last: Sugden 
Title: On Nudging: A Review of Nudge: Improving Decisions About Health, Wealth and Happiness by Richard H. Thaler and Cass R. Sunstein 
Abstract:
  This paper reviews the case for libertarian paternalism presented by
 Thaler and Sunstein in Nudge. Thaler and Sunstein argue that individuals'
 preferences are often incoherent, making paternalism is unavoidable;
 however, paternalistic interventions should 'nudge' individuals without
 restricting their choices, and should nudge them towards what they would
 have chosen had they not been subject to specific limitations of
 rationality. I argue that the latter criterion provides inadequate
 guidance to nudgers. It is inescapably normative, and so allows nudgers'
 conceptions of well-being to override those of nudgees. Even if nudgees'
 rationality were unbounded, their revealed preferences might still be
 incoherent. 
Journal: International Journal of the Economics of Business 
Pages: 365-373 
Issue: 3 
Volume: 16 
Year: 2009 
Keywords: Libertarian Paternalism, Soft Paternalism, Nudging, 
X-DOI: 10.1080/13571510903227064 
File-URL: http://www.tandfonline.com/10.1080/13571510903227064 
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Handle: RePEc:taf:ijecbs:v:16:y:2009:i:3:p:365-373




Template-Type: ReDIF-Article 1.0
Author-Name: Pedro Barros 
Author-X-Name-First: Pedro 
Author-X-Name-Last: Barros 
Author-Name: Joseph Clougherty 
Author-X-Name-First: Joseph 
Author-X-Name-Last: Clougherty 
Author-Name: Jo Seldeslachts 
Author-X-Name-First: Jo 
Author-X-Name-Last: Seldeslachts 
Title: How to Measure the Deterrence Effects of Merger Policy: Frequency or Composition? 
Abstract:
  We show that the number of merger proposals (frequency-based deterrence)
 is a more appropriate indicator of underlying changes in merger policy
 than the relative anti-competitiveness of merger proposals
 (composition-based deterrence). This has strong implications for the
 empirical analysis of the deterrence effects of merger policy enforcement,
 and potential implications regarding how to reduce anti-competitive merger
 proposals. 
Journal: International Journal of the Economics of Business 
Pages: 1-8 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: Antitrust, Deterrence, Merger Policy, 
X-DOI: 10.1080/13571510903516920 
File-URL: http://www.tandfonline.com/10.1080/13571510903516920 
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Template-Type: ReDIF-Article 1.0
Author-Name: Thomas Hoehn 
Author-X-Name-First: Thomas 
Author-X-Name-Last: Hoehn 
Title: Structure Versus Conduct - A Comparison of the National Merger Remedies Practice in Seven European Countries 
Abstract:
  This paper provides a comparative analysis of 234 national merger
 remedies decisions in the six major EU countries plus one non-EU country,
 Switzerland. While structural remedies tend to dominate, there are
 significant differences between countries and sectors. Overall, the
 analysis reveals a complex interaction between the features of markets
 which may give rise to competition concerns, the scope for remedial
 solutions and, not least, the extent of structural interventions in well
 established antitrust jurisdictions. In the wholesale and retail sector,
 shop and outlet divestitures are classic. However, they are often
 accompanied by behavioural remedies that seek to remedy vertical
 competition issues. In contrast, there is a preference for behavioural
 remedies in the network and infrastructure industries, with access
 remedies prominent as the case study of the information and communications
 sector shows. 
Journal: International Journal of the Economics of Business 
Pages: 9-32 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: Merger Law and Policy, Concentration, Remedies, 
X-DOI: 10.1080/13571510903516938 
File-URL: http://www.tandfonline.com/10.1080/13571510903516938 
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Template-Type: ReDIF-Article 1.0
Author-Name: Oindrila De 
Author-X-Name-First: Oindrila 
Author-X-Name-Last: De 
Title: Analysis of Cartel Duration: Evidence from EC Prosecuted Cartels 
Abstract:
  This study first analyses the life span of the cartels convicted by the
 European Commission during 1990-2008 and explores certain issues regarding
 the empirical definition of cartel duration. The cross-section analysis
 then investigates the determinants of cartel break up using a competing
 risk Cox proportional hazard model. The result shows that external
 disturbances and changes in the cartels' own structures play a crucial
 role in cartel demise. Moreover, the cartel members' ability to enforce
 their agreement through better organization also dictates its success. The
 analysis also reveals that when a leniency regime is in operation, cartels
 tend to be more fragile. 
Journal: International Journal of the Economics of Business 
Pages: 33-65 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: Cartels, Duration Analysis, External Disturbances, EU Leniency Policy, Cartel Enforcement, 
X-DOI: 10.1080/13571510903516946 
File-URL: http://www.tandfonline.com/10.1080/13571510903516946 
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Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor Morgan 
Author-X-Name-First: Eleanor 
Author-X-Name-Last: Morgan 
Title: Criminal Cartel Sanctions Under the UK Enterprise Act: An Assessment 
Abstract:
  The focus of this paper is on the deterrence of 'hard core' cartels
 through appropriate sanctions. The UK has the toughest provisions in the
 EU, with a dual system of administrative regulation and fines directed at
 firms and penalties, including criminal proceedings, targeted at the
 individuals involved. The paper considers experiences since the
 introduction of personal criminal sanctions for the UK's 'cartel offence'
 under the Enterprise Act 2002. Although an enforcement lag was to be
 expected, the threat of criminal sanctions against individuals to date has
 seemed more apparent than real. Problems in applying the policy are
 identified through an assessment in terms of the necessary prerequisites
 for the successful criminalisation of antitrust offences proposed by Wils
 (2005) and ongoing developments in the UK are discussed. The findings shed
 some light on the difficulties of introducing effective criminal sanctions
 on individual cartel behaviour at Member State level and suggest more
 general consideration be given to non criminal director disqualifications. 
Journal: International Journal of the Economics of Business 
Pages: 67-86 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: UK Competition Policy, Cartels, Cartel Offence, Criminalisation, Criminal Sanctions, Director Disqualification, 
X-DOI: 10.1080/13571510903516953 
File-URL: http://www.tandfonline.com/10.1080/13571510903516953 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:1:p:67-86




Template-Type: ReDIF-Article 1.0
Author-Name: Caroline Elliott 
Author-X-Name-First: Caroline 
Author-X-Name-Last: Elliott 
Author-Name: Yingqi Wei 
Author-X-Name-First: Yingqi 
Author-X-Name-Last: Wei 
Title: The Impact of Regulatory Intervention in the UK Store Card Industry 
Abstract:
  The paper examines the impact of regulatory intervention on store card
 interest rates, for a panel of UK store cards. Panel data estimation
 methods are used in conjunction with intervention analysis so that the
 impact of the investigations on store card interest rates can be examined.
 Results suggest that there is a significant negative impact on store card
 interest rates. The impact of macroeconomic factors and credit card
 interest rates on store card interest rates are also taken into account,
 results indicating that store cards and credit cards should be considered
 as competing sources of credit. 
Journal: International Journal of the Economics of Business 
Pages: 87-98 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: Store Card Industry, Competition Policy, Panel Data Estimation, 
X-DOI: 10.1080/13571510903516961 
File-URL: http://www.tandfonline.com/10.1080/13571510903516961 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:1:p:87-98




Template-Type: ReDIF-Article 1.0
Author-Name: Sven Michal 
Author-X-Name-First: Sven 
Author-X-Name-Last: Michal 
Author-Name: Frank Stussi 
Author-X-Name-First: Frank 
Author-X-Name-Last: Stussi 
Title: Evaluation of Swiss Competition Law 
Abstract:
  After several decades of a rather cooperative approach towards the
 prosecution of competition restrictions in Switzerland, the Federal Act on
 Cartels and Other Restraints of Competition (Cartel Act) of 1995
 introduced a range of new provisions into Swiss competition law. In 2003,
 the Cartel Act was partially revised and new instruments were introduced,
 namely financial sanctions, a leniency program and dawn raids. The revised
 Cartel Act requires the Swiss government to evaluate the effectiveness of
 the Cartel Act and to submit a report and recommendations on further steps
 to Parliament. In the evaluation, 15 legal and economic studies were
 conducted along a policy model comprising concept, implementation, output,
 impact and economic outcome of competition policy in Switzerland. All in
 all, the instruments provided in the revision of the Cartel Act in 2003
 accomplish the goals of the legislator. However, the studies together
 suggest that some improvements are feasible and necessary in order to
 achieve its goals more efficiently from an economic perspective. 
Journal: International Journal of the Economics of Business 
Pages: 99-109 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: Competition Policy, Antitrust, Evaluation, 
X-DOI: 10.1080/13571510903516979 
File-URL: http://www.tandfonline.com/10.1080/13571510903516979 
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Template-Type: ReDIF-Article 1.0
Author-Name: Joseph Clougherty 
Author-X-Name-First: Joseph 
Author-X-Name-Last: Clougherty 
Title: Competition Policy Trends and Economic Growth: Cross-National Empirical Evidence 
Abstract:
  Motivated by the general lack of empirical scholarship concerning the
 cross-national environment for competition policy, I present measures here
 of the overall resources dedicated to competition policy and the merger
 policy work-load for thirty-two antitrust jurisdictions over the 1992-2007
 period. The data allow a number of perceived trends in competition policy
 over the last two decades to be analysed, and allow the generation of some
 factual insights concerning these trends: e.g. the budgetary commitment to
 competition policy in the cross-national environment for antitrust has
 substantially increased over this period; budgetary increases appear to be
 commensurate with increased antitrust workloads, and yet, the role of
 economics does not appear to have substantially increased relative to the
 role of law. Moreover, I am also able to provide some evidence that
 budgetary commitments to antitrust institutions yield economic benefits in
 terms of improved economic growth: i.e. higher budgetary commitments to
 competition policy are associated with higher levels per-capita GDP
 growth. 
Journal: International Journal of the Economics of Business 
Pages: 111-127 
Issue: 1 
Volume: 17 
Year: 2010 
Keywords: Growth, Antitrust, Competition Policy, Trends, 
X-DOI: 10.1080/13571510903516995 
File-URL: http://www.tandfonline.com/10.1080/13571510903516995 
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Template-Type: ReDIF-Article 1.0
Author-Name: David Mills 
Author-X-Name-First: David 
Author-X-Name-Last: Mills 
Title: Inducing Downstream Selling Effort with Market Share Discounts 
Abstract:
  Loyalty discounts and rebates are pricing schemes that offer incentives
 to buyers for reaching or exceeding certain sales thresholds. In the case
 of market share discounts, thresholds are expressed as a percentage of the
 buyer's total purchase requirements. Although market share discounts may
 have exclusionary effects under certain circumstances when a seller has
 significant market power, there are plausible non-exclusionary reasons for
 offering them as well. Two such reasons - rent extraction and inducing
 downstream selling effort - are explored in this paper. The paper
 considers the case of a manufacturer who sells a differentiated good
 through a network of heterogeneous, non-exclusive retailers. The
 manufacturer offers market share discounts to induce non-contractible
 selling effort such as brand-specific information or customer service from
 those retailers who possess certain unobservable characteristics. In some
 instances, market share discounts induce increased selling effort and
 improve market performance as compared to linear pricing. In other
 instances, they have no effect on aggregate benefits, but merely shift the
 rents created by induced selling effort upstream to the manufacturer. In
 no instance, as long as the producers of substitute goods retain
 sufficient sales to remain viable, do market share discounts impair market
 performance. 
Journal: International Journal of the Economics of Business 
Pages: 129-146 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Market Share Discounts, Loyalty Discounts, Exclusionary Behavior, Procompetitive Effects, 
X-DOI: 10.1080/13571516.2010.483082 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483082 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:2:p:129-146




Template-Type: ReDIF-Article 1.0
Author-Name: Jay Squalli 
Author-X-Name-First: Jay 
Author-X-Name-Last: Squalli 
Title: Advertising Expenditure, Enplanement, and Market Concentration 
Abstract:
  This paper investigates the long-run relationship between advertising
 expenditure and enplanement (representing the number of passengers
 boarding an aircraft), advertising expenditure across carriers, and
 advertising expenditure and market concentration for the six largest US
 airlines. Advertising expenditure is evidenced to be strategic, although
 not clearly effective at increasing enplanement, suggesting collusive
 behavior. Advertising is also evidenced to be, for the most part,
 balancing in nature across rival carriers. Further tests suggest a
 positive and linear relationship with positive bi-directional causality
 between advertising and market concentration. This paper's findings raise
 three important questions. First, if advertising is not clearly effective
 at increasing enplanement, then why advertise? Second, if advertising
 increases market concentration, then shouldn't airline activities be under
 some degree of scrutiny, or even be partially regulated? Third, could
 airline advertising be important in explaining higher post-deregulation
 fares? 
Journal: International Journal of the Economics of Business 
Pages: 147-166 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Airlines, Advertising, Market Concentration, Enplanement, Bounds Test, Causality, 
X-DOI: 10.1080/13571516.2010.483084 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483084 
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Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Goering 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Goering 
Title: Distribution Channel Decentralization and Strategic Durability Choice 
Abstract:
  In a simple two-period setting we examine a decentralized distribution
 (marketing) channel consisting of an up-stream durable-goods manufacturer
 and down-stream retailer. The manufacturer sets the wholesale price and
 the product's durability while the retailer selects an output level. We
 show that in this setting, the profit-maximizing manufacturer
 unambiguously selects a higher durability than the socially efficient
 (cost-minimizing) level in both uncommitted sales and rental markets. We
 show this 'reversed planned obsolescence' result is due to the strategic
 benefit of durability in this double-marginalization (double monopoly
 mark-up) setting. This is in stark contrast to the usual integrated
 channel result where the profit-maximizing manufacturer will select an
 efficient level of durability in rental markets and an inefficiently low
 durability in uncommitted sales markets (due to the selling firm's
 commitment problem with potential buyers). Intuitively, with a
 decentralized distribution channel, the manufacturer faces potential
 commitment problems with both current buyers and its down-stream retailer.
 We show, only in cases where both sources of commitment issues are removed
 (i.e. the manufacturer can credibly commit to both potential buyers and
 its retailer), will the profit-maximizing durability choice be socially
 efficient. 
Journal: International Journal of the Economics of Business 
Pages: 167-186 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Channel Decentralization, Durable Goods, Strategy, 
X-DOI: 10.1080/13571516.2010.483086 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483086 
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Template-Type: ReDIF-Article 1.0
Author-Name: Franz Wirl 
Author-X-Name-First: Franz 
Author-X-Name-Last: Wirl 
Title: Optimal Pricing of Nondurables when Demand is Dynamic and Stochastic 
Abstract:
  This paper derives optimal pricing strategies for nondurables if demand
 is sluggish and stochastic. The puzzling result is that moving from a
 static demand to a dynamic relation alters the marketing strategy
 dramatically if the equilibrium demand is convex (in price): the profit
 maximizing price policy is to switch between a low and a high price
 depending on current demand while a continuous price policy is optimal for
 concave demand relations. However, the formal existence of such a price
 switching policy is restricted to the anyway more realistic stochastic
 version of the model. The clear cut implications of the model provide also
 a criterion to test empirically the characteristics and the optimality of
 actual price strategies. 
Journal: International Journal of the Economics of Business 
Pages: 187-206 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Price Switching, Ito Process, Sluggish, Stochastic and Convex Demand, Nondurables, 
X-DOI: 10.1080/13571516.2010.483096 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483096 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:2:p:187-206




Template-Type: ReDIF-Article 1.0
Author-Name: Leonard Wang 
Author-X-Name-First: Leonard 
Author-X-Name-Last: Wang 
Author-Name: Ya-Chin Wang 
Author-X-Name-First: Ya-Chin 
Author-X-Name-Last: Wang 
Title: Input Pricing and Market Share Delegation in a Vertically Related Market: Is the Timing Order Relevant? 
Abstract:
  This paper adds to the literature on the strategic use of managers'
 contracts in competition by examining whether market-share delegation, in
 which managers receive rewards based on a combination of profits and
 market share, and the order of moves affect input pricing in a vertically
 related market. It shows that: (i) input pricing is not affected by
 delegation form and the order of moves between upstream and downstream
 firms under quantity competition; (ii) downstream firms obtain the same
 profit as in the simple Nash equilibrium regardless of delegation forms in
 a delegation-input price-quantity competition game; and (iii) the upstream
 monopolist will set input price beforehand regardless of the delegation
 form. Since the outcomes in our model create higher quantity and lower
 price in a Cournot product market, it lessens the double-marginalization
 problem in such a vertically separated industry. 
Journal: International Journal of the Economics of Business 
Pages: 207-221 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Vertical Externality, Input Pricing, Market-share Delegation, Sales Delegation, Timing Order, 
X-DOI: 10.1080/13571516.2010.483088 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483088 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:2:p:207-221




Template-Type: ReDIF-Article 1.0
Author-Name: Martin Campbell-Kelly 
Author-X-Name-First: Martin 
Author-X-Name-Last: Campbell-Kelly 
Author-Name: Daniel Garcia-Swartz 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Garcia-Swartz 
Title: The Move to the Middle: Convergence of the Open-Source and Proprietary Software Industries 
Abstract:
  In this paper we focus on open-source software within the broader
 framework of the software industry. More specifically, we compare
 proprietary and open-source software (OSS) companies in terms of three
 criteria: (a) approaches to the production of software; (b) business
 models; and (c) strategic interactions. We postulate three convergence
 hypotheses. First, there is evidence of convergence in production
 approaches: leading OSS firms tend to rely on R&D and acquisitions as
 intensely as leading proprietary companies do. Second, there is evidence
 of convergence in business models: through dual-licensing models, top OSS
 firms derive substantial portions of their revenues from licenses, just as
 many proprietary companies do. Third, there is evidence of convergence in
 strategic interactions: the competitive strategies that a company follows
 do not really hinge on the 'proprietary versus open-source' dichotomy, but
 on whether a firm feels threatened in the software layer where its core
 assets are located. This evidence of convergence raises a number of
 interesting questions for economic theory and for the analysis of the
 industry's future evolution. 
Journal: International Journal of the Economics of Business 
Pages: 223-252 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Industry Studies, Software, Open-Source Software, Production of Software, Business Models, Price Discrimination, 
X-DOI: 10.1080/13571516.2010.483091 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483091 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:2:p:223-252




Template-Type: ReDIF-Article 1.0
Author-Name: Rumki Majumdar 
Author-X-Name-First: Rumki 
Author-X-Name-Last: Majumdar 
Title: Did Liberalization Impact Productivity of the Indian Electronics Hardware Industry? 
Abstract:
  In this paper, we analyse the trends in productivity, both partial and
 total, in the four sectors of the Indian electronics hardware industry
 after liberalization. Using an innovative combination of two established
 but independent methodologies, we estimate the contributions of technical
 efficiency change and technological progress to total factor productivity
 growth (TFPG) and thereby to output growth. Contrary to expectations, we
 found that none of the four sectors in the industry achieved impressive
 growth in capital productivity and TFPG despite the new economic reforms.
 The firms emphasised technological progress at the cost of technical
 efficiency change but failed to sustain TFPG as the liberalization of
 policies intensified further. Surprisingly the firms' effort to employ
 skilled labour, larger scales of production and their strategy to improve
 production technology through R&D and/or imports did not benefit
 productivity substantially. In a comparative study with China, we found
 that the Indian electronics hardware industry did not perform as well as
 that of China due to the persistent rigid and bureaucratic procedures,
 labour market inefficiencies and inadequate infrastructure, among others. 
Journal: International Journal of the Economics of Business 
Pages: 253-273 
Issue: 2 
Volume: 17 
Year: 2010 
Keywords: Indian Electronics Hardware Industry, Total Factor Productivity Growth, Stochastic Production Function, Liberalization, Technical Efficiency Change, Partial Productivity, Technological Progress, 
X-DOI: 10.1080/13571516.2010.483093 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.483093 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:2:p:253-273




Template-Type: ReDIF-Article 1.0
Author-Name: Michelle Haynes 
Author-X-Name-First: Michelle 
Author-X-Name-Last: Haynes 
Author-Name: Steve Thompson 
Author-X-Name-First: Steve 
Author-X-Name-Last: Thompson 
Title: Proposal for special issue of the International Journal of the Economics of Business on the theme of Developments in Electronic Markets 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 275-276 
Issue: 2 
Volume: 17 
Year: 2010 
X-DOI: 10.1080/13571516.2010.492669 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.492669 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:17:y:2010:i:2:p:275-276




Template-Type: ReDIF-Article 1.0
Author-Name: Mei Qiu 
Author-X-Name-First: Mei 
Author-X-Name-Last: Qiu 
Author-Name: Bo La 
Author-X-Name-First: Bo 
Author-X-Name-Last: La 
Title: Firm Characteristics as Determinants of Capital Structures in Australia 
Abstract:
  This study investigates capital structures of Australian firms in
 relation to firm characteristics. Using an unbalanced panel of 367 firms
 observed over a 15-year period from 1992 to 2006, our panel data
 regression results show that debt-asset ratio is positively related to
 asset tangibility but inversely related to growth prospects and business
 risk measured by unlevered beta of equity. We also find that although
 levered firms are generally more profitable than unlevered firms,
 profitability decreases the debt ratio of levered firms. We do not find
 that firm size affects the capital structure of Australian firms. These
 results are consistent with the pecking order and the agency cost theories
 but contradict the trade-off theory. 
Journal: International Journal of the Economics of Business 
Pages: 277-287 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Capital Structure, Asset Tangibility, Growth, Business Risk, Profitability, 
X-DOI: 10.1080/13571516.2010.513810 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513810 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:277-287




Template-Type: ReDIF-Article 1.0
Author-Name: Jenny Meyer 
Author-X-Name-First: Jenny 
Author-X-Name-Last: Meyer 
Title: Does Social Software Support Service Innovation? 
Abstract:
  Recent Internet technologies and web-based applications, such as social
 software, are being increasingly applied in firms. Social software can be
 employed for knowledge management and for external communication enabling
 access to internal and external knowledge. Knowledge, in turn, constitutes
 one of the main inputs to service innovation. Hence, social software has
 the potential to support service innovation. Using data from German IT and
 knowledge-intensive service firms, this is the first paper that
 empirically analyses whether the use of social software applications
 triggers innovation. It refers to a knowledge production function in which
 social software use constitutes the knowledge sourcing activity. The
 results reveal a positive relationship between social software and service
 innovation. Since this result is robust when controlling for former
 innovative activities and the previous propensity to adopt new
 technologies and to change processes, the analysis suggests that the
 causality runs from social software to innovation. 
Journal: International Journal of the Economics of Business 
Pages: 289-311 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Social Software, Web 2.0, Service Innovation, Knowledge Management, 
X-DOI: 10.1080/13571516.2010.513814 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513814 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:289-311




Template-Type: ReDIF-Article 1.0
Author-Name: Johannes Schoder 
Author-X-Name-First: Johannes 
Author-X-Name-Last: Schoder 
Author-Name: Michele Sennhauser 
Author-X-Name-First: Michele 
Author-X-Name-Last: Sennhauser 
Author-Name: Peter Zweifel 
Author-X-Name-First: Peter 
Author-X-Name-Last: Zweifel 
Title: Fine-Tuning of Health Insurance Regulation - Unhealthy Consequences for an Individual Insurer 
Abstract:
  This paper sheds light on some unexpected consequences of health
 insurance regulation that may pose a big challenge to insurers' risk
 management. Because mandated uniform contributions to health insurance
 trigger risk-selection efforts, risk adjustment (RA) schemes become
 necessary. A good deal of research into the optimal RA formula has been
 performed. A recent proposal in Switzerland has been to add
 'Hospitalization exceeding three days during the previous year' as an
 indicator of high risk. Applying the new formula to an individual Swiss
 health insurer, its payments into the RA scheme are predicted to increase
 substantially, reaching up to 13% of premium income. Its mistake had been
 to implement Managed Care successfully, resulting in low rates of
 hospitalization. The expected risk management response is to extend
 hospital stays beyond three days, contrary to stated policy objectives. 
Journal: International Journal of the Economics of Business 
Pages: 313-327 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Health Insurance, Regulation, Risk Management, Risk Adjustment, 
X-DOI: 10.1080/13571516.2010.513812 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513812 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:313-327




Template-Type: ReDIF-Article 1.0
Author-Name: Bhagaporn Wattanadumrong 
Author-X-Name-First: Bhagaporn 
Author-X-Name-Last: Wattanadumrong 
Author-Name: Alan Collins 
Author-X-Name-First: Alan 
Author-X-Name-Last: Collins 
Author-Name: Martin Snell 
Author-X-Name-First: Martin 
Author-X-Name-Last: Snell 
Title: Still Big in Bangkok? An Empirical Analysis of the Regional Distribution of Foreign Direct Investment in Thailand 
Abstract:
  This paper analyses regional Foreign Direct Investment (FDI) in Thailand.
 Its determinants are identified using a unique assembled panel dataset
 comprising all 76 Thai provinces during the period 1985-2005. The work is
 premised on the view that foreign investors consider various determinants
 of location choices in each province (including labour costs, Gross
 Provincial Products (GPP) per head, areas of industrial estates,
 communication and transportation issues, population characteristics,
 educational attainment, population density and distance from the centre of
 town to the main ports of Thailand) as well as government incentives,
 before deciding to undertake FDI in a given region. Our econometric model
 estimates suggest that government regional policy, and the effect of
 zoning in particular, however, has a significant and positive effect on
 regional FDI, drawing FDI to those zones where the greatest incentives are
 on offer. The other possible determinants of FDI amongst regions are
 largely shown to be insignificant. 
Journal: International Journal of the Economics of Business 
Pages: 329-348 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Multinational Firms, Asia, Regional Economic Development, 
X-DOI: 10.1080/13571516.2010.516105 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.516105 
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:329-348




Template-Type: ReDIF-Article 1.0
Author-Name: Vicente Salas-Fumas 
Author-X-Name-First: Vicente 
Author-X-Name-Last: Salas-Fumas 
Title: Governance of Knowledge-Intensive Firms in the Modern Market Economy 
Abstract:
  We model contracting for joint production between workers and
 shareholders when investment in knowledge is non-verifiable and the
 resulting specific human capital embedded in the workers is non-tradable.
 The model explains how the effective cost of human capital services will
 vary depending on whether the investment in knowledge is financed by the
 workers or by the shareholders. We apply the results of the modeling to
 identify which firms are expected to gain and which to lose from posted
 trends in higher employability and lower empowerment of workers in modern
 market economies. Finally, we present conditions on the self-interest of
 current shareholders to empower workers as a way to stimulate their
 investment in firm-specific human capital. 
Journal: International Journal of the Economics of Business 
Pages: 349-372 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Corporate Governance, Specific Human Capital, Stakeholders, Knowledge Management, 
X-DOI: 10.1080/13571516.2010.513811 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513811 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:349-372




Template-Type: ReDIF-Article 1.0
Author-Name: Dirk Schindler 
Author-X-Name-First: Dirk 
Author-X-Name-Last: Schindler 
Author-Name: Guttorm Schjelderup 
Author-X-Name-First: Guttorm 
Author-X-Name-Last: Schjelderup 
Title: Profit Shifting in Two-Sided Markets 
Abstract:
  We investigate how multinational two-sided platform firms set their
 prices on intra-firm transactions. Two-sided platform firms derive income
 from two customer groups that are connected through at least one positive
 network externality from one group to the other. A main finding is that,
 even in the absence of taxation, transfer prices deviate from marginal
 cost of production. A second result of the paper is that it is inherently
 difficult to establish arm's length prices in two-sided markets. Finally,
 we find that differences in national tax rates may be welfare enhancing,
 despite the use of (abusive) transfer prices as a profit-shifting device. 
Journal: International Journal of the Economics of Business 
Pages: 373-383 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Multinational Enterprises, Two-Sided Markets, Profit Shifting, 
X-DOI: 10.1080/13571516.2010.513815 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513815 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:373-383




Template-Type: ReDIF-Article 1.0
Author-Name: Fatma Abdel-Raouf 
Author-X-Name-First: Fatma 
Author-X-Name-Last: Abdel-Raouf 
Title: Trade-Adjusted Concentration Ratios in the US Manufacturing Sector 
Abstract:
  This paper incorporates international trade into the four-firm
 concentration ratio to get a more realistic measure of market structure in
 the US manufacturing sector using 1997 and 2002 NAICS data. As expected,
 trade-adjusted CR4 is significantly lower than the published CR4.
 Moreover, the effect of international trade is higher in 2002 than in
 1997, offsetting the increase in domestic concentration and leaving the US
 manufacturing sector in 2002 as competitive as it was in 1997.
 Furthermore, different tests are used to check the validity of the
 results. All of them confirm that trade-adjusted CR4s are significantly
 lower than their published counterparts. 
Journal: International Journal of the Economics of Business 
Pages: 385-403 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Concentration Ratio, International Trade, Manufacturing Sector, NAICS, 
X-DOI: 10.1080/13571516.2010.513816 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513816 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:385-403




Template-Type: ReDIF-Article 1.0
Author-Name: Jin Luo 
Author-X-Name-First: Jin 
Author-X-Name-Last: Luo 
Author-Name: Li Way Lee 
Author-X-Name-First: Li Way 
Author-X-Name-Last: Lee 
Title: Supramonopoly: Theory and Evidence from the US Air Passenger Service Markets 
Abstract:
  A supramonopoly is the market structure of a homogeneous good that is
 priced higher than the monopoly level. We present evidence of
 supramonopoly in the US air passenger service. For four airline mergers
 during the period of 1993 to 2009, we identify routes that dropped fares
 for no other reason than the increase in market power due to merger.
 Therefore each of those routes had fare higher than the monopoly level
 before the merger to monopoly. We explain supramonopoly as the result of a
 cartel with strongly punitive matching rules. We also discuss the striking
 implications for antitrust and regulatory policies. 
Journal: International Journal of the Economics of Business 
Pages: 405-426 
Issue: 3 
Volume: 17 
Year: 2010 
Keywords: Supramonopoly, Cartel, Airline Mergers, Antitrust, Regulation, 
X-DOI: 10.1080/13571516.2010.513817 
File-URL: http://www.tandfonline.com/10.1080/13571516.2010.513817 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:17:y:2010:i:3:p:405-426




Template-Type: ReDIF-Article 1.0
Author-Name: Deborah Haas-Wilson 
Author-X-Name-First: Deborah 
Author-X-Name-Last: Haas-Wilson 
Author-Name: Michael Vita 
Author-X-Name-First: Michael 
Author-X-Name-Last: Vita 
Title: Mergers between Competing Hospitals: Lessons from Retrospective Analyses 
Abstract:
  In April 2002, the Federal Trade Commission (FTC) announced the Hospital
 Merger Retrospective Project to study consummated hospital mergers. This
 project was precipitated by a long string of unsuccessful hospital merger
 challenges by the FTC, the US Department of Justice, and the state of
 California. Accordingly, a principal goal of the retrospective study
 included "studying consummated hospital mergers to determine
 whether particular hospital mergers have led to higher prices". The
 studies presented here represent the output of this project. Collectively,
 these studies provide important empirical insights into a variety of
 issues relevant to hospital antitrust analysis, including the scope of
 relevant geographic markets in hospital merger analysis, the relevance of
 not-for-profit status on post-merger pricing behavior, and the impact of
 hospital mergers on clinical quality. 
Journal: International Journal of the Economics of Business 
Pages: 1-4 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Mergers, Competition in Markets for Hospital Services, Antitrust Policy, 
X-DOI: 10.1080/13571516.2011.542947 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542947 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:1-4




Template-Type: ReDIF-Article 1.0
Author-Name: Orley Ashenfelter 
Author-X-Name-First: Orley 
Author-X-Name-Last: Ashenfelter 
Author-Name: Daniel Hosken 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Hosken 
Author-Name: Michael Vita 
Author-X-Name-First: Michael 
Author-X-Name-Last: Vita 
Author-Name: Matthew Weinberg 
Author-X-Name-First: Matthew 
Author-X-Name-Last: Weinberg 
Title: Retrospective Analysis of Hospital Mergers 
Abstract:
  Retrospective analyses of hospital mergers may be uniquely valuable
 because they speak directly to two important issues - the methods used for
 delineating relevant geographic markets in hospital merger analysis, and
 the implications of not-for-profit status on post-merger hospital pricing
 - that have been systematically misunderstood by the courts and other
 policy analysts, and which likely have led to systematically biased
 judicial decisions. By identifying these systematic analytical errors and
 their implications for judicial decision making, retrospective studies of
 consummated hospital mergers have the capacity to greatly improve the
 quality of future antitrust policy making. 
Journal: International Journal of the Economics of Business 
Pages: 5-16 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Anticompetitive Practice, Concentration, Horizontal Integration, 
X-DOI: 10.1080/13571516.2011.542951 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542951 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:5-16




Template-Type: ReDIF-Article 1.0
Author-Name: Deborah Haas-Wilson 
Author-X-Name-First: Deborah 
Author-X-Name-Last: Haas-Wilson 
Author-Name: Christopher Garmon 
Author-X-Name-First: Christopher 
Author-X-Name-Last: Garmon 
Title: Hospital Mergers and Competitive Effects: Two Retrospective Analyses 
Abstract:
  We present empirical analyses of the effects of two hospital mergers -
 both occurring in the northern suburbs of Chicago in 2000 - on the pre-
 and post-merger prices negotiated with commercial health insurers. Using
 difference-in-differences methodology and data on actual transaction
 prices, specifically the prices paid by private health insurance companies
 and patients for inpatient care, we find one of the mergers was
 anticompetitive. Relative to price increases at other hospitals, the
 merger between Evanston Northwestern and Highland Park Hospitals led to
 large and statistically significant post-merger price increases. Our
 results are robust across data sources, control groups, and case-mix
 adjustment methods. 
Journal: International Journal of the Economics of Business 
Pages: 17-32 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Mergers, Competition in Markets for Health Care Services, Antitrust Policy, 
X-DOI: 10.1080/13571516.2011.542952 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542952 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:17-32




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Adams 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Adams 
Author-Name: Monica Noether 
Author-X-Name-First: Monica 
Author-X-Name-Last: Noether 
Title: Comment on "Hospital Mergers and Competitive Effects: Two Retrospective Analyses" 
Abstract:
  This note explains why the difference-in-differences methodology, as
 applied by Deborah Haas-Wilson and Christopher Garmon in their paper
 "Hospital Mergers and Competitive Effects: Two Retrospective
 Analyses" contained in this issue, does not produce credible
 results when applied to an assessment of the merger of Evanston and
 Highland Park Hospital, north of Chicago. Because of data deficiencies, an
 inability to control adequately for variation in factors that might affect
 the rate of price changes, and questionable assumptions about the
 pre-merger equilibrium, the econometric results are inconsistent with
 other market factors that indicated that the merging hospitals were not
 close competitors. These market conditions are instead consistent with the
 view of the largest payer, who opined that the transaction had no effect
 on its ability to obtain competitive rates. 
Journal: International Journal of the Economics of Business 
Pages: 33-40 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Difference-in-Differences Analysis, Hospital Merger, Competition, Antitrust, Retrospective Analysis, 
X-DOI: 10.1080/13571516.2011.542953 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542953 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:33-40




Template-Type: ReDIF-Article 1.0
Author-Name: Christopher Garmon 
Author-X-Name-First: Christopher 
Author-X-Name-Last: Garmon 
Author-Name: Deborah Haas-Wilson 
Author-X-Name-First: Deborah 
Author-X-Name-Last: Haas-Wilson 
Title: The Use of Multiple Control Groups and Data Sources as Validation in Retrospective Studies of Hospital Mergers 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 41-44 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Mergers, Competition in Markets for Health Care Services, Antitrust Policy, 
X-DOI: 10.1080/13571516.2011.542954 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542954 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:41-44




Template-Type: ReDIF-Article 1.0
Author-Name: Patrick Romano 
Author-X-Name-First: Patrick 
Author-X-Name-Last: Romano 
Author-Name: David Balan 
Author-X-Name-First: David 
Author-X-Name-Last: Balan 
Title: A Retrospective Analysis of the Clinical Quality Effects of the Acquisition of Highland Park Hospital by Evanston Northwestern Healthcare 
Abstract:
  In 2004, the Federal Trade Commission brought a legal action
 retrospectively challenging the 2000 acquisition of Highland Park Hospital
 by Evanston Northwestern Healthcare in Evanston, Illinois. A major issue
 in that case was whether the merger had resulted in improved clinical
 quality at Highland Park. In this paper, we describe the conceptual
 framework that guided our analysis of that issue and we report our
 findings. Specifically, we examine numerous quantitative measures of
 clinical quality. We find little evidence that the merger improved
 quality. We also discuss the applicability of our framework to the
 prospective analysis of unconsummated hospital mergers. 
Journal: International Journal of the Economics of Business 
Pages: 45-64 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Mergers, Merger Retrospectives, Antitrust Enforcement, Health Care Quality, 
X-DOI: 10.1080/13571516.2011.542955 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542955 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:45-64




Template-Type: ReDIF-Article 1.0
Author-Name: Steven Tenn 
Author-X-Name-First: Steven 
Author-X-Name-Last: Tenn 
Title: The Price Effects of Hospital Mergers: A Case Study of the Sutter-Summit Transaction 
Abstract:
  We conduct a retrospective study of the Sutter-Summit hospital merger to
 assess whether antitrust enforcement in this matter was appropriate. This
 consummated merger combined two hospitals located close together in the
 Oakland-Berkeley region of the San Francisco Bay Area. The greater
 metropolitan area contained many other hospitals that offered a similar
 range of services, but which were located farther away. A central issue
 raised by the Sutter-Summit transaction was whether travel costs were low
 enough such that these hospitals were a sufficient constraint on the
 merging parties to prevent an anticompetitive price increase. We use
 detailed claims data from three large health insurers to compare the
 post-merger price change for the merging parties to the price change for a
 set of control-group hospitals. Our results show that Summit's price
 increase was among the largest of any comparable hospital in California,
 indicating this transaction may have been anticompetitive. 
Journal: International Journal of the Economics of Business 
Pages: 65-82 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital, Merger, Antitrust, 
X-DOI: 10.1080/13571516.2011.542956 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542956 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:65-82




Template-Type: ReDIF-Article 1.0
Author-Name: Gautam Gowrisankaran 
Author-X-Name-First: Gautam 
Author-X-Name-Last: Gowrisankaran 
Title: Estimating the Impact of a Hospital Merger Using the Difference-in-Differences of Prices 
Abstract:
  This paper comments on "The Price Effects of Hospital Mergers: A
 Case Study of Sutter-Summit Transaction" by Steven Tenn. I exposit
 a simple model of differentiated products competition and consider the
 implications of Tenn's findings in the context of this model. I find that
 Tenn provides compelling evidence that the merger led to a price increase
 at Summit Hospital. The causes of the price increase and the welfare
 implications of the merger are less clear, particularly since anecdotal
 evidence suggests that quality increased at Summit Hospital post-merger. A
 difference-in-differences analysis using quality and quantity data can
 shed more light on the consequences of the merger. 
Journal: International Journal of the Economics of Business 
Pages: 83-89 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Mergers, Hospital Quality, Discrete Choice Models, Bertrand Equilibrium, 
X-DOI: 10.1080/13571516.2011.542957 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542957 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:83-89




Template-Type: ReDIF-Article 1.0
Author-Name: Aileen Thompson 
Author-X-Name-First: Aileen 
Author-X-Name-Last: Thompson 
Title: The Effect of Hospital Mergers on Inpatient Prices: A Case Study of the New Hanover-Cape Fear Transaction 
Abstract:
  The Federal Trade Commission initiated a Hospital Merger Retrospective
 Project in 2002 to analyze the effects of consummated mergers. One of the
 mergers studied was the 1998 acquisition by New Hanover Regional Medical
 Center ("New Hanover") of Columbia Cape Fear Memorial
 Hospital ("Cape Fear") in Wilmington, North Carolina. In
 this paper, we employ patient-level claims data from four different
 insurers to estimate the effects of this merger on inpatient prices. Our
 results provide mixed evidence. Two of the insurers experienced
 substantial post-merger price increases relative to the control group of
 hospitals. The post-merger price changes for another insurer, however,
 were comparable to those for the control group, while the fourth insurer
 actually experienced a significant price decrease following the merger.
 Thus it is difficult to draw conclusions about the impact of this merger
 on inpatient pricing. 
Journal: International Journal of the Economics of Business 
Pages: 91-101 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Competition, Mergers, Nonprofit, 
X-DOI: 10.1080/13571516.2011.542958 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542958 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:91-101




Template-Type: ReDIF-Article 1.0
Author-Name: Gregory Leonard 
Author-X-Name-First: Gregory 
Author-X-Name-Last: Leonard 
Author-Name: G. Steven Olley 
Author-X-Name-First: G. Steven 
Author-X-Name-Last: Olley 
Title: What Can Be Learned About the Competitive Effects of Mergers from "Natural Experiments"? 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 103-107 
Issue: 1 
Volume: 18 
Year: 2011 
X-DOI: 10.1080/13571516.2011.542959 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542959 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:103-107




Template-Type: ReDIF-Article 1.0
Author-Name: Ryan Mutter 
Author-X-Name-First: Ryan 
Author-X-Name-Last: Mutter 
Author-Name: Patrick Romano 
Author-X-Name-First: Patrick 
Author-X-Name-Last: Romano 
Author-Name: Herbert Wong 
Author-X-Name-First: Herbert 
Author-X-Name-Last: Wong 
Title: The Effects of US Hospital Consolidations on Hospital Quality 
Abstract:
  The spate of hospital consolidations that occurred in the late 1990s and
 early 2000s had a profound impact on the US hospital industry. However,
 only two published studies using data from five states examined the
 effects of these consolidations on inpatient quality of care. This paper
 examines the impacts of hospital consolidations that occurred in 1999 and
 2000 in 16 states on 25 measures of quality using pre-post,
 difference-in-differences models. We categorize hospitals participating in
 consolidations as acquiring institutions, target institutions, or
 participants in a "merger of equals". We find that the
 quality effects of consolidations differ by the hospital's role and the
 quality measure used. Acquiring hospitals experienced significantly
 improved quality with respect to iatrogenic pneumothorax and postoperative
 hemorrhage or hematoma, but the quality impacts for target hospitals and
 "mergers of equals" were mixed. Hospital consolidations
 appear to have complex, inconsistent effects on quality, as measured using
 all-payer administrative data, suggesting the need for antitrust agencies
 to conduct prospective and retrospective reviews of individual mergers. 
Journal: International Journal of the Economics of Business 
Pages: 109-126 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospitals, Consolidations, Quality, 
X-DOI: 10.1080/13571516.2011.542961 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542961 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:109-126




Template-Type: ReDIF-Article 1.0
Author-Name: Robert Town 
Author-X-Name-First: Robert 
Author-X-Name-Last: Town 
Title: The Effects of US Hospital Consolidations on Hospital Quality: A Comment 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 127-131 
Issue: 1 
Volume: 18 
Year: 2011 
X-DOI: 10.1080/13571516.2011.542962 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542962 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:127-131




Template-Type: ReDIF-Article 1.0
Author-Name: Kenneth Elzinga 
Author-X-Name-First: Kenneth 
Author-X-Name-Last: Elzinga 
Author-Name: Anthony Swisher 
Author-X-Name-First: Anthony 
Author-X-Name-Last: Swisher 
Title: Limits of the Elzinga-Hogarty Test in Hospital Mergers: The Evanston Case 
Abstract:
  The Elzinga-Hogarty (E-H) test for geographic market definition has been
 widely used by both government enforcement agencies and merging parties in
 hospital merger cases. However, two characteristics of hospital services
 markets - the Silent Majority Fallacy and the Payer Problem - may tend to
 undermine the utility of the E-H test in hospital merger cases. Where
 direct evidence of anticompetitive effects attributable to a merger is
 available, its use may diminish the need to rely on geographic market
 definition tools such as the E-H test. Such direct evidence is most
 readily available in post-closing merger challenges such as the FTC's
 Evanston case. It remains to be seen, however, whether the E-H test will
 continue to be relied on in more traditional, pre-closing merger
 challenges. 
Journal: International Journal of the Economics of Business 
Pages: 133-146 
Issue: 1 
Volume: 18 
Year: 2011 
Keywords: Hospital Mergers, Elzinga-Hogarty Test, Relevant Markets, Antimerger Policy, 
X-DOI: 10.1080/13571516.2011.542963 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.542963 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:133-146




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor Morgan 
Author-X-Name-First: Eleanor 
Author-X-Name-Last: Morgan 
Author-Name: H.E. Frech III 
Author-X-Name-First: H.E. 
Author-X-Name-Last: Frech III 
Title: International Journal of the Economics of Business Best Paper Prize Announcement 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 147-147 
Issue: 1 
Volume: 18 
Year: 2011 
X-DOI: 10.1080/13571516.2011.559817 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.559817 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:1:p:147-147




Template-Type: ReDIF-Article 1.0
Author-Name: C. Daniel Mullins 
Author-X-Name-First: C. Daniel 
Author-X-Name-Last: Mullins 
Author-Name: John Vernon 
Author-X-Name-First: John 
Author-X-Name-Last: Vernon 
Title: Introduction: Economics of the Pharmaceutical Industry: Essays in Honor of Henry G. Grabowski 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 149-150 
Issue: 2 
Volume: 18 
Year: 2011 
X-DOI: 10.1080/13571516.2011.584415 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584415 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:149-150




Template-Type: ReDIF-Article 1.0
Author-Name: Ernst Berndt 
Author-X-Name-First: Ernst 
Author-X-Name-Last: Berndt 
Title: An Overview of Henry Grabowski's Scholarly Contributions 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 151-154 
Issue: 2 
Volume: 18 
Year: 2011 
X-DOI: 10.1080/13571516.2011.584417 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584417 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:151-154




Template-Type: ReDIF-Article 1.0
Author-Name: F. M. Scherer 
Author-X-Name-First: F. M. 
Author-X-Name-Last: Scherer 
Title: Academic Research and Public Policy 
Abstract:
Journal: International Journal of the Economics of Business 
Pages: 155-160 
Issue: 2 
Volume: 18 
Year: 2011 
X-DOI: 10.1080/13571516.2011.584419 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584419 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:155-160




Template-Type: ReDIF-Article 1.0
Author-Name: Henry Grabowski 
Author-X-Name-First: Henry 
Author-X-Name-Last: Grabowski 
Title: The Evolution of the Pharmaceutical Industry Over the Past 50 Years: A Personal Reflection 
Abstract:
  The pharmaceutical industry has an outstanding record of innovative
 performance over the past 50 years. The R&D process has become more
 knowledge-based and a market for innovation has emerged between research
 start-ups, development-stage firms, and the larger, multinational
 companies. At the same time, R&D costs have increased several fold over
 time and generic products now dominate many traditional therapeutic areas.
 The current challenge for the industry is to discover new therapies for
 chronic diseases with high unmet needs like Alzheimer's disease and
 various auto-immune diseases and cancers that afflict an increasingly
 aging population. Recent advances in molecular biology and related fields
 provide a scientific foundation to undertake these R&D efforts, although
 the time path and outcomes remain subject to many risks and uncertainties. 
Journal: International Journal of the Economics of Business 
Pages: 161-176 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Pharmaceuticals, Innovation, R&D, Biotechnology, Generics, Alliances, 
X-DOI: 10.1080/13571516.2011.584421 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584421 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:161-176




Template-Type: ReDIF-Article 1.0
Author-Name: Ernst Berndt 
Author-X-Name-First: Ernst 
Author-X-Name-Last: Berndt 
Author-Name: Murray Aitken 
Author-X-Name-First: Murray 
Author-X-Name-Last: Aitken 
Title: Brand Loyalty, Generic Entry and Price Competition in Pharmaceuticals in the Quarter Century after the 1984 Waxman-Hatch Legislation 
Abstract:
  We examine market share and price trends in the quarter century since the
 1984 Waxman-Hatch legislation. The generic share of US retail
 prescriptions has grown from 18.6% in 1984 to 74.5% in 2009, with a
 notable acceleration in recent years. Whereas in 1994 the generic price
 index fell from 100 to 65 in the 24 months following initial generic
 entry, in 2009 the comparable price index was 28. For the prescription
 drugs most commonly used by beneficiaries in Medicare Part D, rather than
 increasing by 25-28% as has been reported by the American Association of
 Retired Persons (focusing entirely on brand prices), we find that once one
 incorporates substitution to lower priced generics following patent
 expiration, average price per prescription fell by 21.3% from 2006-09.
 Finally, we find that the weighted mean reduction in pharmaceutical daily
 treatment cost across nine therapeutic areas equaled 35.1% at 24 months
 post-generic entry. 
Journal: International Journal of the Economics of Business 
Pages: 177-201 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Pharmaceuticals, Waxman-Hatch Legislation, Price Competition, Brand Drugs, Generic Drugs, Branded Generic Drugs, 
X-DOI: 10.1080/13571516.2011.584423 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584423 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:177-201




Template-Type: ReDIF-Article 1.0
Author-Name: Ernst Berndt 
Author-X-Name-First: Ernst 
Author-X-Name-Last: Berndt 
Author-Name: Nathan Blalock 
Author-X-Name-First: Nathan 
Author-X-Name-Last: Blalock 
Author-Name: Iain Cockburn 
Author-X-Name-First: Iain 
Author-X-Name-Last: Cockburn 
Title: Diffusion of New Drugs in the Post-TRIPS Era 
Abstract:
  We examine the international diffusion of new drugs under the post-TRIPS
 intellectual property rights regime. Even after controlling for drug
 characteristics and variation in national health expenditure, we find
 substantial differences across countries in the probability of a drug
 being commercially available, lowest in countries such as Brazil, China
 and India with historically weak patent protection. Notwithstanding
 obligations now in force under the TRIPS Agreement to provide patent
 protection for pharmaceutical products, sellers of new drugs are much less
 likely to have market exclusivity in these countries. Conditional upon
 being launched, a drug is five to 25 times more likely to be
 generic/multisource in these countries than in, for example, Spain. 
Journal: International Journal of the Economics of Business 
Pages: 203-224 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: TRIPS Agreement, Pharmaceuticals, Patents, Multisource, 
X-DOI: 10.1080/13571516.2011.584426 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584426 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:203-224




Template-Type: ReDIF-Article 1.0
Author-Name: Joseph Cook 
Author-X-Name-First: Joseph 
Author-X-Name-Last: Cook 
Author-Name: Joseph Golec 
Author-X-Name-First: Joseph 
Author-X-Name-Last: Golec 
Author-Name: John Vernon 
Author-X-Name-First: John 
Author-X-Name-Last: Vernon 
Author-Name: George Pink 
Author-X-Name-First: George 
Author-X-Name-Last: Pink 
Title: Real Option Value and Path Dependence in Oncology Innovation 
Abstract:
  Drug innovation relies on cumulative, path-dependent, incremental
 research and development (R&D). In oncology, path-dependence may not be
 along a single dimension, such as steadily improving efficacy or survival
 against a given endpoint in the same population, but innovation builds on
 itself. The next innovation may use a recently developed drug in a new way
 - e.g., a new line of therapy, or a new indication in a different
 population, or in combination with other drugs. Of course, in some cases,
 innovation on a current drug can be the development of a next generation
 drug. Yet, few have studied how path-dependence impacts the decisions of
 oncology pharmaceutical producers, consumers, and insurers/payers. This
 study illustrates how real options can be used to value the effects of
 path-dependence, that is, the additional value that incremental innovation
 adds when the innovation is a first step along a path to a major
 innovation. We show how rational pharmaceutical producers and consumers
 recognize the additional real option value. However, today, many payers,
 particularly European governments, may use some form of drug evaluation
 method that ignores this option value. Observers may wonder how closely
 the US will follow Europe in its development of comparative-effectiveness
 research (CER). The American Recovery and Reinvestment Act of 2009
 authorizes $1.1 billion to study CER. Previous attempts to measure or
 compare the value of medicines typically focus only on the direct effect
 on the initial setting for which the drug receives regulatory approval,
 and, hence, they ignore real option value. If CER were interpreted this
 way, its widespread use could reduce oncology R&D, and reduce intermediate
 innovations that could have led to breakthrough innovations more rapidly
 and simply. When a particular drug has option value, but payers who set
 the terms of exchange do not account for that value, the resulting mix of
 R&D spending will be suboptimal from a social economic welfare
 perspective. 
Journal: International Journal of the Economics of Business 
Pages: 225-238 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Pharmaceutical R&D, Real Options, Innovation, Path Dependence, Oncology Drugs, 
X-DOI: 10.1080/13571516.2011.584428 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584428 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:225-238




Template-Type: ReDIF-Article 1.0
Author-Name: Patricia Danzon 
Author-X-Name-First: Patricia 
Author-X-Name-Last: Danzon 
Author-Name: Nuno Sousa Pereira 
Author-X-Name-First: Nuno 
Author-X-Name-Last: Sousa Pereira 
Title: Vaccine Supply: Effects of Regulation and Competition 
Abstract:
  In US vaccine markets, competing producers with high fixed, sunk costs
 face relatively concentrated demand. The resulting price and quality
 competition leads to the exit of all but one or very few producers per
 vaccine. Our empirical analysis of exits from US vaccine markets supports
 the hypothesis that high fixed costs and both price and quality
 competition contribute to vaccine exits. We find no evidence that
 government purchasing has significant effects, possibly because government
 purchase tends to increase volume but lower price, with offsetting
 effects. Evidence from the flu vaccine market confirms that government
 purchasing is not a necessary condition for exits and the existence of few
 suppliers per vaccine in the US. 
Journal: International Journal of the Economics of Business 
Pages: 239-271 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Vaccines, Government, Procurement, Firm Exit, Pharmaceuticals, 
X-DOI: 10.1080/13571516.2011.584429 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584429 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:239-271




Template-Type: ReDIF-Article 1.0
Author-Name: David Grabowski 
Author-X-Name-First: David 
Author-X-Name-Last: Grabowski 
Author-Name: John Bowblis 
Author-X-Name-First: John 
Author-X-Name-Last: Bowblis 
Author-Name: Judith Lucas 
Author-X-Name-First: Judith 
Author-X-Name-Last: Lucas 
Author-Name: Stephen Crystal 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Crystal 
Title: Labor Prices and the Treatment of Nursing Home Residents with Dementia 
Abstract:
  An important aspect of dementia care for nursing home residents is the
 management of symptoms such as behavioral problems and wandering. Nursing
 homes can manage these symptoms using a mix of labor, medications and
 physical restraints. Medications such as antipsychotics are hypothesized
 to be a substitute for direct care staff, while physical restraints are
 considered to be a complement to staff time. Using an instrumental
 variables approach, we investigate whether an increase in nursing home
 wages leads to greater substitution towards antipsychotic medications and
 away from the use of physical restraints. Our results suggest a 10%
 increase in weekly nursing home wages increases the inappropriate use of
 antipsychotics among dementia patients by 1.1% to 3.5%, while it decreases
 the use of physical restraints by roughly 26% to 28%. These findings
 suggest policymakers should consider nursing home market factors when
 overseeing and regulating issues of nursing home quality. 
Journal: International Journal of the Economics of Business 
Pages: 273-292 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Factor Substitution, Nursing Homes, Long-Term Care, 
X-DOI: 10.1080/13571516.2011.584431 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584431 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:273-292




Template-Type: ReDIF-Article 1.0
Author-Name: Frank Lichtenberg 
Author-X-Name-First: Frank 
Author-X-Name-Last: Lichtenberg 
Title: Has Pharmaceutical Innovation Reduced Social Security Disability Growth? 
Abstract:
  This paper analyzes longitudinal state-level data during the period
 1995-2004 to investigate whether use of newer prescription drugs has
 reduced the ratio of the number of workers receiving Social Security
 Disability Insurance benefits to the working-age population (the
 "DI recipiency rate"). All of the estimates indicate that
 there is a significant inverse relationship between disability recipiency
 and a good indicator of pharmaceutical innovation use: the mean vintage
 (FDA approval year) of Medicaid prescriptions. From 1995 to 2004, the
 actual disability rate increased 30%, from 2.62% to 3.42%. The estimates
 imply that in the absence of any post-1995 increase in drug vintage, the
 increase in the disability rate would have been 30% larger: the disability
 rate would have increased 39%, from 2.62% to 3.65%. This means that in the
 absence of any post-1995 increase in drug vintage, about 418,000 more
 working-age Americans would have been DI recipients. 
Journal: International Journal of the Economics of Business 
Pages: 293-316 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Pharmaceutical, Innovation, Disability Social Security, 
X-DOI: 10.1080/13571516.2011.584432 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584432 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:293-316




Template-Type: ReDIF-Article 1.0
Author-Name: C. Daniel Mullins 
Author-X-Name-First: C. Daniel 
Author-X-Name-Last: Mullins 
Author-Name: Jonathan Ratner 
Author-X-Name-First: Jonathan 
Author-X-Name-Last: Ratner 
Author-Name: Daniel Ball 
Author-X-Name-First: Daniel 
Author-X-Name-Last: Ball 
Title: How Do US Health Care Payers React to and Use Pharmacoeconomic Information? 
Abstract:
  In 1997, Grabowski and Mullins described why pharmacy benefit management
 use of pharmacoeconomics was limited. The current manuscript examines
 recent changes in health care payers' use of pharmacoeconomic information,
 payers' perceptions of that information's value for informing formulary
 decision making, and payers' attitudes toward the generation and
 dissemination of pharmacoeconomic evidence. Despite a perceived
 improvement in the scientific rigor and "real-world
 applicability" of pharmacoeconomic information, payers remain
 skeptical of pharmacoeconomic evidence generated or funded by
 pharmaceutical manufacturers. This skepticism is reinforced when
 transparency is limited and when the picture provided of the comparative
 effectiveness of alternative products is incomplete. Payers suggest that
 greater two-way communications between payers and drug manufacturers could
 improve the usefulness of pharmacoeconomic information. 
Journal: International Journal of the Economics of Business 
Pages: 317-330 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Insurance, Pharmacoeconomics, Cost-effectiveness Analysis, Decision Making, 
X-DOI: 10.1080/13571516.2011.584433 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584433 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:317-330




Template-Type: ReDIF-Article 1.0
Author-Name: Adrian Towse 
Author-X-Name-First: Adrian 
Author-X-Name-Last: Towse 
Author-Name: Priya Sharma 
Author-X-Name-First: Priya 
Author-X-Name-Last: Sharma 
Title: Incentives for R&D for New Antimicrobial Drugs 
Abstract:
  Antimicrobial resistance (AMR) is becoming a major global public health
 threat and has begun to command attention from European and US policy
 makers. An initial focus on monitoring AMR and conserving existing
 treatments by cutting down on misuse has been complemented by moves
 towards addressing the paucity of new drugs in the R&D pipeline of the
 pharmaceutical industry. We identify five economic challenges: the
 utilisation externality; the lack of incentives for R&D arising from use
 restrictions, low prices, and scientific and regulatory challenges; the
 global joint sunk nature of R&D cost; the need for access to drugs in
 middle and low income countries; and failures in the market for point of
 care diagnostics. We analyse "push," "pull"
 and hybrid incentives and conclude that higher prices linked to targeted
 use with diagnostic tests and/or an AMC-based "prize" for
 registering (but not necessarily using) desired new drugs would be
 effective, and could be linked to push measures. US and European
 collaboration on incentives would be desirable but not if achieving
 agreement leads to delays. Action on conservation needs to be global and
 linked to use of new products. This will not be easy given TRIPS
 provisions and national sensitivities on this issue as seen in the 2010
 reaction to evidence on the origins of NDM-1. 
Journal: International Journal of the Economics of Business 
Pages: 331-350 
Issue: 2 
Volume: 18 
Year: 2011 
Keywords: Antimicrobial Resistance, Incentives, Research and Development, Antibacterials, Net Present Value and Europe, 
X-DOI: 10.1080/13571516.2011.584434 
File-URL: http://www.tandfonline.com/10.1080/13571516.2011.584434 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:2:p:331-350




Template-Type: ReDIF-Article 1.0
Author-Name: John Baldwin 
Author-X-Name-First: John 
Author-X-Name-Last: Baldwin 
Author-Name: Yanling Wang 
Author-X-Name-First: Yanling 
Author-X-Name-Last: Wang 
Title: Plant Size, Nationality, and Ownership Change 
Abstract:
  <title>Abstract</title> This paper asks whether the motivations behind
 mergers manifest themselves in different ways across small versus large
 plants, and between foreign- and domestic-owned plants. The sample
 consists of all the manufacturing plants in Canada between 1973 and 1999
 and is divided into size quartiles by industry and grouped into foreign-
 and domestic-owned producers. We find that characteristics that are
 postulated to be associated with the type of synergy upon which ownership
 changes rely are found to be important factors leading to plant ownership
 changes across most size classes. However, the importance of synergies
 increases across size classes in domestic plants. Foreign-owned plants are
 more likely to experience control changes than domestic plants across all
 size classes. These differences are closely related to the characteristics
 possessed by foreign plants that offer takeover synergies. There is also
 evidence of a managerial failure motive for mergers in the foreign sector
 that is not found in the domestic sector. 
Journal: International Journal of the Economics of Business 
Pages: 351-380 
Issue: 3 
Volume: 18 
Year: 2011 
Month: 11 
X-DOI: 10.1080/13571516.2011.618607 
File-URL: http://hdl.handle.net/10.1080/13571516.2011.618607 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:3:p:351-380




Template-Type: ReDIF-Article 1.0
Author-Name: Richard   I. Harris 
Author-X-Name-First: Richard   I. 
Author-X-Name-Last: Harris 
Author-Name: Qian   Cher Li 
Author-X-Name-First: Qian   Cher 
Author-X-Name-Last: Li 
Title: The Determinants of Firm Exit from Exporting: Evidence for the UK 
Abstract:
  <title>Abstract</title> This study seeks to understand to what extent new
 exporters are able to survive in international markets and whether exit
 from exporting is more likely to be associated with firm-level
 heterogeneity or more general factors such as trade costs and/or barriers
 to entry and exit (such as sunk costs). This study presents the first
 analysis undertaken for a nationally representative group of UK firms on
 the determinants of exit from exporting, using panel data covering all
 market-based sectors of the UK during 1997--2003. Our findings suggest
 that the probability of a firm ceasing to export is directly influenced by
 its productivity and other attributes associated with firm-level
 productivity differences (such as size and foreign ownership).
 Micro-finance factors, such as profitability and the ability to finance
 through long-term debt, play an additional role. Lastly, sectoral
 differences (e.g. industrial concentration) also help explain the
 firm&#x2019;s exit decision, whilst trade costs lead to a higher
 probability of exiting from selling internationally. 
Journal: International Journal of the Economics of Business 
Pages: 381-397 
Issue: 3 
Volume: 18 
Year: 2011 
Month: 11 
X-DOI: 10.1080/13571516.2011.618611 
File-URL: http://hdl.handle.net/10.1080/13571516.2011.618611 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:3:p:381-397




Template-Type: ReDIF-Article 1.0
Author-Name: Thierry P�nard 
Author-X-Name-First: Thierry 
Author-X-Name-Last: P�nard 
Author-Name: Emmanuel Raynaud 
Author-X-Name-First: Emmanuel 
Author-X-Name-Last: Raynaud 
Author-Name: St�phane Saussier 
Author-X-Name-First: St�phane 
Author-X-Name-Last: Saussier 
Title: Monitoring Policy and Organizational Forms in Franchised Chains 
Abstract:
  <title>Abstract</title> Franchising is nowadays a prominent way to
 organize the distribution sector. While previous literature suggests that
 monitoring issues are a critical determinant of organizational choices, it
 is rather silent on the optimal monitoring strategy once the organization
 of the chain is set. In this article, we analyze the monitoring policy of
 chains with both franchised and company-owned units. We develop a model in
 which a chain monitors its outlets under asymmetric information on local
 demands and managers&#x2019; efforts. We show that partial monitoring
 (i.e., when the franchisor monitors only a subset of its outlets)
 represents an optimal monitoring policy. Second, we identify the units
 that should be monitored. Finally, we discuss the impact of information
 technologies and outlet location on monitoring policy and how it may
 affect the proportion of franchised and company-owned units within the
 mixed chains. 
Journal: International Journal of the Economics of Business 
Pages: 399-417 
Issue: 3 
Volume: 18 
Year: 2011 
Month: 11 
X-DOI: 10.1080/13571516.2011.618613 
File-URL: http://hdl.handle.net/10.1080/13571516.2011.618613 
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:3:p:399-417




Template-Type: ReDIF-Article 1.0
Author-Name: Ralph   M. Sonenshine 
Author-X-Name-First: Ralph   M. 
Author-X-Name-Last: Sonenshine 
Title: Effect of R&D and Market Concentration on Merger Outcomes -- An Event Study of US Horizontal Mergers 
Abstract:
  <title>Abstract</title> This study examines the pattern of abnormal
 returns for merging companies and rivals, to determine investor
 expectations regarding the impact of horizontal mergers challenged by the
 government. Prior studies have indicated that the government may have
 challenged efficiency-enhancing mergers, as evidenced by the pattern of
 abnormal returns to rivals during merger events. This study uses a
 two-stage regression approach to examine those patterns, using challenged
 mergers from 1997 to 2007, and finds evidence of potential price effects
 from approved mergers. The results also show the mergers to have
 differential effects depending on the level of R&D, market concentration,
 and product sales. 
Journal: International Journal of the Economics of Business 
Pages: 419-439 
Issue: 3 
Volume: 18 
Year: 2011 
Month: 11 
X-DOI: 10.1080/13571516.2011.618615 
File-URL: http://hdl.handle.net/10.1080/13571516.2011.618615 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:18:y:2011:i:3:p:419-439




Template-Type: ReDIF-Article 1.0
Author-Name: Sailesh Tanna 
Author-X-Name-First: Sailesh 
Author-X-Name-Last: Tanna 
Author-Name: Fotios Pasiouras 
Author-X-Name-First: Fotios 
Author-X-Name-Last: Pasiouras 
Author-Name: Matthias Nnadi 
Author-X-Name-First: Matthias 
Author-X-Name-Last: Nnadi 
Title: The Effect of Board Size and Composition on the Efficiency of UK Banks 
Abstract:
  <title>Abstract</title> We examine a sample of 17 banking institutions
 operating in the UK between 2001 and 2006 to provide empirical evidence on
 the association between the efficiency of UK banks and board structure,
 namely board size and composition. Our approach is to use data envelopment
 analysis to estimate several measures of the efficiency of banks, and then
 to use panel data regressions for investigating the impact of board
 structure on efficiency. After controlling for bank size and capital
 strength, we find some evidence of a positive association between board
 size and efficiency, although this is not robust across all our
 specifications. Board composition, by contrast, has a robustly significant
 and positive impact on all measures of efficiency. 
Journal: International Journal of the Economics of Business 
Pages: 441-462 
Issue: 3 
Volume: 18 
Year: 2011 
Month: 11 
X-DOI: 10.1080/13571516.2011.618617 
File-URL: http://hdl.handle.net/10.1080/13571516.2011.618617 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:3:p:441-462




Template-Type: ReDIF-Article 1.0
Author-Name: Zafeira Kastrinaki 
Author-X-Name-First: Zafeira 
Author-X-Name-Last: Kastrinaki 
Author-Name: Paul Stoneman 
Author-X-Name-First: Paul 
Author-X-Name-Last: Stoneman 
Title: Merger Patterns in the European Food Supply Chain 
Abstract:
  <title>Abstract</title> This paper investigates merger activity in the
 food supply chain in Europe as a whole, with an emphasis upon eight
 individual countries that were most merger active. It finds that M&A
 activity (vertical, horizontal, inward, and outward) has been substantial
 in both the production and distribution parts of the supply chain. Using
 spectral analysis, it also concludes that: (i) there are regular cyclical
 patterns in merger activity in seven of the eight countries; (ii) most
 countries exhibit strong coherency with overall EU merger activity in the
 food industry; (iii) the relative cyclical pattern of mergers in food
 manufacturing and retailing varies country to country; (iv) there is some
 evidence that mergers in manufacturing lead or Granger cause mergers in
 retailing; and (iv) patterns of merger activity in each of the countries
 studied (except for the UK and the Netherlands) are linked, at least in
 part, to business and capital market cycles. 
Journal: International Journal of the Economics of Business 
Pages: 463-487 
Issue: 3 
Volume: 18 
Year: 2011 
Month: 11 
X-DOI: 10.1080/13571516.2011.618618 
File-URL: http://hdl.handle.net/10.1080/13571516.2011.618618 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:18:y:2011:i:3:p:463-487




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen McDonald 
Author-X-Name-First: Stephen 
Author-X-Name-Last: McDonald 
Author-Name: Colin Wren 
Author-X-Name-First: Colin 
Author-X-Name-Last: Wren 
Title: Informative Brand Advertising and Pricing Strategies in Internet Markets with Heterogeneous Consumer Search 
Abstract:
  <title>Abstract</title> The use of information intermediaries has been
 shown to undermine the effect of brand in online markets. In this paper,
 the effect of consumer search on the relationship between brand
 advertising and pricing strategies is analysed. Price data are taken from
 the leading UK motor insurance comparison website, with the advantage that
 prices can be related to the search characteristics of consumers and to
 the advertising expenditure of firms. The paper finds that more-advertised
 firms have lower price rankings at the comparison site, indicating that
 advertising is informative in this market. The main result is that
 consumer search weakens the relationship between advertising and pricing.
 An implication is that increased usage of price comparison sites will make
 informative brand advertising less important. 
Journal: International Journal of the Economics of Business 
Pages: 103-117 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642642 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642642 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:103-117




Template-Type: ReDIF-Article 1.0
Author-Name: Shane Greenstein 
Author-X-Name-First: Shane 
Author-X-Name-Last: Greenstein 
Author-Name: Sarit Markovich 
Author-X-Name-First: Sarit 
Author-X-Name-Last: Markovich 
Title: Pricing Experience Goods in Information Good Markets: The Case of eBusiness Service Providers 
Abstract:
  <title>Abstract</title>  <italic>We study the pricing strategies of firms
 providing a service in experience good markets with switching costs. Using
 data on vendors providing &#x201C;hosting and related services&#x201D; at
 an early stage of the market, we test for pricing distortions that follow
 from oligopolistic competition with quality uncertainty and switching
 costs. We find that firms with a brand name charge a premium for their
 product -- leveraging the reputation accumulated in closely related
 markets. As the theoretical literature suggests, we also find that the
 type of pricing distortions along the product line depends on
 consumers&#x2019; expectations about quality. If consumers underestimate
 the quality of the product, firms behave as if they discount introductory
 contracts in order to build trust, and later on markup upgraded contract.
 In contrast, firms that offer a quality level that is lower than
 consumers&#x2019; expectations markup initial contracts while discounting
 upgraded ones</italic>. 
Journal: International Journal of the Economics of Business 
Pages: 119-139 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642643 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642643 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:119-139




Template-Type: ReDIF-Article 1.0
Author-Name: John   K. Ashton 
Author-X-Name-First: John   K. 
Author-X-Name-Last: Ashton 
Title: Do Depositors Benefit from Bank Mergers? An Examination of the UK Deposit Market 
Abstract:
  <title>Abstract</title>  <italic>This study examines whether depositors
 benefit from bank mergers Specifically, do horizontal retail bank mergers
 influence the availability and interest rates of deposit services? This
 examination is important, as the effect of mergers on customers is a
 primary merger assessment criterion in the European Union and the United
 States. The research question is addressed by considering 57 UK banking
 mergers over the period 1989--2008. It is reported that different deposit
 services and deposits of different values face statistically insignificant
 levels of interest-rate change after mergers. The availability of notice
 deposit services for low and high levels of investment are reduced after
 mergers and are largely unchanged for other deposit services. It is
 concluded that UK depositors benefit little from bank mergers, and
 different types of depositor face differences in the availability of
 deposit services after mergers</italic>. 
Journal: International Journal of the Economics of Business 
Pages: 1-23 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642636 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642636 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:1-23




Template-Type: ReDIF-Article 1.0
Author-Name: Michael Waterson 
Author-X-Name-First: Michael 
Author-X-Name-Last: Waterson 
Author-Name: Chris Doyle 
Author-X-Name-First: Chris 
Author-X-Name-Last: Doyle 
Title: Your Call: eBay and Demand for the iPhone 4&#x2606; 
Abstract:
  <title>Abstract</title> The iPhone 4 was introduced into the UK market on
 24-super-th June 2010 to significant consumer interest. Demand revealed
 itself exceeding supply through conventional channels, since there was
 very extensive activity in terms of bidding on eBay auctions for the
 product. We monitored all UK eBay transactions on the iPhone 4 for six
 weeks from introduction, with total transactions amounting to around
 &#xA3;1.5m. We analyse determinants of winning bids in terms of
 characteristics of the phone, the seller, and the buyer. Our most notable
 and novel finding relative to previous studies is a very significant
 premium over list price being paid in almost all cases, with positive
 uplift factors including whether the phone was unlocked and whether it
 could be sold overseas. Demand fell over time, as evidenced by lower
 achieved prices, but the fall in price was relatively modest. A
 significant premium of 32GB over 16GB versions is revealed. 
Journal: International Journal of the Economics of Business 
Pages: 141-152 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642644 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642644 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:141-152




Template-Type: ReDIF-Article 1.0
Author-Name: Michelle Haynes 
Author-X-Name-First: Michelle 
Author-X-Name-Last: Haynes 
Author-Name: Steve Thompson 
Author-X-Name-First: Steve 
Author-X-Name-Last: Thompson 
Title: The Economic Significance of User-Generated Feedback 
Abstract:
  <title>Abstract</title> This paper examines the impact of user-generated
 feedback on price at a price comparison site or shopbot. It employs a
 modified hedonic price function to explore the use made by current
 potential consumers of the experience of past actual consumers in
 evaluating quality attributes that were not observable when the product
 was initially launched on to the market. Using a database of daily
 observations on 211 digital cameras traded on NexTag.com, we find that the
 product&#x2019;s star rating, reflecting all the available individual
 assessments of the product, has a significant negative impact on the
 discount on the manufacturer&#x2019;s recommended selling price at which
 the product is offered. 
Journal: International Journal of the Economics of Business 
Pages: 153-166 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642645 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642645 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:153-166




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor Morgan 
Author-X-Name-First: Eleanor 
Author-X-Name-Last: Morgan 
Author-Name: H.E. Frech 
Author-X-Name-First: H.E. 
Author-X-Name-Last: Frech 
Title: International Journal of the Economics of Business Best Paper Prize Announcement 
Journal: International Journal of the Economics of Business 
Pages: 167-167 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.655616 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.655616 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:167-167




Template-Type: ReDIF-Article 1.0
Author-Name: John Aloysius 
Author-X-Name-First: John 
Author-X-Name-Last: Aloysius 
Author-Name: Cary Deck 
Author-X-Name-First: Cary 
Author-X-Name-Last: Deck 
Author-Name: Amy Farmer 
Author-X-Name-First: Amy 
Author-X-Name-Last: Farmer 
Title: A Comparison of Bundling and Sequential Pricing in Competitive Markets: Experimental Evidence 
Abstract:
  <title>Abstract</title> Technological advances enable sellers to identify
 relationships among offered goods. Sellers can leverage this information
 through pricing strategies such as bundling and sequential pricing. While
 these strategies have primarily been studied under monopoly assumptions,
 the strategies are available to competitive firms as well. This paper
 reports on a series of laboratory experiments comparing bundling and
 sequential pricing while varying the underlying relationship between the
 goods in markets where a fraction of buyers comparison shop. The results
 indicate that sequential pricing is generally as profitable to the seller;
 however, there is evidence that sequential pricing may be more harmful to
 consumers than bundling when the goods have complementary values or the
 buyer&#x2019;s values are positively correlated. 
Journal: International Journal of the Economics of Business 
Pages: 25-51 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642637 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642637 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:25-51




Template-Type: ReDIF-Article 1.0
Author-Name: Neng Jiang 
Author-X-Name-First: Neng 
Author-X-Name-Last: Jiang 
Author-Name: Paul   A. Kattuman 
Author-X-Name-First: Paul   A. 
Author-X-Name-Last: Kattuman 
Title: China&#x2019;s WTO Accession and Long-Term Profitability of Chinese Firms 
Abstract:
  <title>Abstract</title> As emerging economies integrate their markets
 with the rest of the world, competition-driven changes in profitability
 are increasingly affected by shocks of various types from the business
 environment. We examine the dynamics of profitability distributions under
 such conditions using China&#x2019;s WTO accession as a natural experiment
 to carry out before and after comparisons. Our results suggest that after
 WTO accession, the long-run (ergodic) distribution of conditional
 profitability rates of Chinese firms has become more dispersed. Due to the
 large proportion of firms at the poor performance end, this suggests that
 the financial stability of the Chinese economy will be endangered if the
 business environment were to deteriorate. There is an urgent need to
 reduce the widening span of the distribution of profitability at the lower
 end by accelerating the restructuring of Chinese companies. 
Journal: International Journal of the Economics of Business 
Pages: 53-73 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642638 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642638 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:53-73




Template-Type: ReDIF-Article 1.0
Author-Name: Adam Cox 
Author-X-Name-First: Adam 
Author-X-Name-Last: Cox 
Title: Live Broadcasting, Gate Revenue, and Football Club Performance: Some Evidence 
Abstract:
  <title>Abstract</title> This paper presents new evidence concerning the
 main argument of the English Premier League for collective arrangements in
 selling television broadcast rights. Matches that are broadcast live on
 television can be considered as a substitute for watching at the stadium.
 New panel-data show that broadcasting live has a small negative effect on
 gate revenue for the best performing clubs and a much larger effect for
 the worst performing clubs. However, the marginal cost is outweighed by
 the marginal revenue, concluding that restrictions on quantity stemming
 from collective arrangements are detrimental to the consumers,
 broadcasters, and clubs themselves. 
Journal: International Journal of the Economics of Business 
Pages: 75-98 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.643668 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.643668 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:75-98




Template-Type: ReDIF-Article 1.0
Author-Name: Michelle Haynes 
Author-X-Name-First: Michelle 
Author-X-Name-Last: Haynes 
Author-Name: Steve Thompson 
Author-X-Name-First: Steve 
Author-X-Name-Last: Thompson 
Title: Developments in Electronic Markets: An Introduction 
Journal: International Journal of the Economics of Business 
Pages: 99-102 
Issue: 1 
Volume: 19 
Year: 2012 
Month: 2 
X-DOI: 10.1080/13571516.2012.642641 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642641 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:1:p:99-102




Template-Type: ReDIF-Article 1.0
Author-Name: Joachim Wagner 
Author-X-Name-First: Joachim 
Author-X-Name-Last: Wagner 
Title: The Post-entry Performance of Cohorts of Export Starters in German Manufacturing Industries&#x2606; 
Abstract:
  <title>Abstract</title> This paper investigates four cohorts of firms
 from German manufacturing industries that started to export between 1998
 and 2002, and follows them for five years after the start. Export starters
 are a rare species and small in Germany. Around 30--40% of those starters
 studied became continuous exporters. The share of total exports
 contributed by export starters of a cohort is tiny in the start year, and
 it remains so over the years that follow. Contrary to the market selection
 hypothesis, there is no evidence that productivity in the start year is
 systematically related to survival in the export market. There is no
 evidence of a negative impact of a smaller firm size in the start year on
 the chance of surviving in the export market. Starting with a higher share
 of exports in total sales, however, tends to increase the probability of
 continuing to export. 
Journal: International Journal of the Economics of Business 
Pages: 169-193 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.686010 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.686010 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:169-193




Template-Type: ReDIF-Article 1.0
Author-Name: Yacine Belghitar 
Author-X-Name-First: Yacine 
Author-X-Name-Last: Belghitar 
Author-Name: Ephraim A. Clark 
Author-X-Name-First: Ephraim A. 
Author-X-Name-Last: Clark 
Title: The Effect of CEO Risk Appetite on Firm Volatility: An Empirical Analysis of Financial Firms&#x2606; 
Abstract:
  <title>Abstract</title> This paper examines the effect of CEO risk
 appetite on the return volatility of a sample of large, listed financial
 firms over the period 2000--2008. After controlling for firm specific
 characteristics, the results give strong evidence that the CEO risk
 appetite has an important effect on firm volatility. The biographical
 measures for CEO risk appetite are significant explanatory variables of
 all measures of firm volatility employed in this study. The effect of CEO
 age is significant and positive for all four volatility measures, while
 CEO education and current job tenure are negative and significant for all
 four measures. Executive experience with other firm boards has a negative
 and significant effect on total and idiosyncratic volatility.
 Interestingly, CEO wealth is complementary to the other biographical
 variables with a positive effect on all but the default volatility
 measure. Our results carry implications for shareholders, financial
 regulators, governments, and managers. 
Journal: International Journal of the Economics of Business 
Pages: 195-211 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.642640 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.642640 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:195-211




Template-Type: ReDIF-Article 1.0
Author-Name: Michela Ponzo 
Author-X-Name-First: Michela 
Author-X-Name-Last: Ponzo 
Title: On-the-job Search in Italian Labor Markets: An Empirical Analysis 
Abstract:
  <title>Abstract</title> This paper analyzes the determinants of
 on-the-job search activities of Italian workers. Using several waves of
 the Bank of Italy Survey on Household Income and Wealth (SHIW), a Probit
 model is used to estimate how individual socio-demographic characteristics
 and economic variables affect the probability of on-the-job search. We
 find that the probability of being engaged in job search activities is
 higher for low wage earners, for workers with low tenure and higher levels
 of education, for males, and for residents in large cities. Moreover, we
 find significant differences in the determinants of on-the-job search
 activities across sectors. Public sector employees show a considerably
 lower probability of on-the-job search compared to private sector workers.
 White collar workers and teachers search much less than blue collar
 workers. Results suggest that, even controlling for wage levels, the
 attractiveness of jobs varies considerably. 
Journal: International Journal of the Economics of Business 
Pages: 213-232 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684933 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684933 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:213-232




Template-Type: ReDIF-Article 1.0
Author-Name: J.Robert Branston 
Author-X-Name-First: J.Robert 
Author-X-Name-Last: Branston 
Author-Name: Philip   R. Tomlinson 
Author-X-Name-First: Philip   R. 
Author-X-Name-Last: Tomlinson 
Author-Name: James   R. Wilson 
Author-X-Name-First: James   R. 
Author-X-Name-Last: Wilson 
Title: &#x201C;Strategic Failure&#x201D; in the Financial Sector: A Policy View 
Abstract:
  <title>Abstract</title> Analysis of the recent financial crisis has
 tended to focus upon &#x201C;market&#x201D; and corresponding
 &#x201C;regulatory&#x201D; failures. While this provides important
 insights, it may neglect deeper issues at the root of recent problems. In
 this paper, we take a broader perspective, drawing upon the stategic
 choice approach to the theory of the firm (Cowling and Sugden, 1998,
 1999). We present a governance-based analysis which emphasises the process
 of engaging interested &#x201C;publics&#x201D; in corporate
 decision-making processes. We illustrate our arguments with respect to
 three UK cases -- Northern Rock, Bradford and Bingley, and HBOS banks --
 which each required major interventions by the UK Government and whose
 recent history reveals significant changes in ownership, governance and
 corporate strategy. We argue that the current period of reform for these
 former building societies represents an ideal opportunity to address
 serious concerns over governance within the financial sector, and we
 propose a revised mutual solution as one appropriate way forward. 
Journal: International Journal of the Economics of Business 
Pages: 233-253 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684927 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684927 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:233-253




Template-Type: ReDIF-Article 1.0
Author-Name: Nathan Yang 
Author-X-Name-First: Nathan 
Author-X-Name-Last: Yang 
Title: Burger King and McDonald&#x2019;s: Where&#x2019;s the Spillover? 
Abstract:
  <title>Abstract</title> This paper studies how spillover effects from
 competitors&#x2019; choices affect a firm&#x2019;s decision to open a
 store. Using panel data from the UK&#x2019;s fast food industry, I propose
 and estimate a game of entry under incomplete information that
 incorporates spillover effects between firms&#x2019; entry decisions. A
 positive spillover is identified for Burger King -- increasing the stock
 of existing McDonald&#x2019;s by one outlet increases Burger King&#x2019;s
 estimated equilibrium probability of opening a new store by approximately
 18 percentage points. Furthermore, the estimated model suggests that this
 spillover affects Burger King&#x2019;s variable profit, as opposed to its
 fixed cost of entry. It is less clear whether this externality matters for
 McDonald&#x2019;s. 
Journal: International Journal of the Economics of Business 
Pages: 255-281 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684929 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684929 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:255-281




Template-Type: ReDIF-Article 1.0
Author-Name: H.E. Frech 
Author-X-Name-First: H.E. 
Author-X-Name-Last: Frech 
Title: Introduction 
Journal: International Journal of the Economics of Business 
Pages: 283-284 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684932 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684932 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:283-284




Template-Type: ReDIF-Article 1.0
Author-Name: Jean-Jacques Rosa 
Author-X-Name-First: Jean-Jacques 
Author-X-Name-Last: Rosa 
Author-Name: Julien Hanoteau 
Author-X-Name-First: Julien 
Author-X-Name-Last: Hanoteau 
Title: The Shrinking Hand: Why Information Technology Leads to Smaller Firms 
Abstract:
  <title>Abstract</title> We explain the firm downsizing trend of the
 recent decades by the new abundance of information -- the ICT revolution.
 Production processes differ in their information requirements: while
 decentralized production by means of market exchanges is information
 intensive, less information per unit of output is needed in the
 hierarchically integrated production of firms, and the information/output
 ratio is decreasing firm size. We formulate a quantity of information
 theory of the firm embodying these differences and derive a
 Coase--Rybczinski effect for the aggregate economy, which predicts a
 decreasing employment share of large firms and an increasing share of
 small ones when the aggregate quantity of information increases Panel data
 regressions and other evidence provide support for this hypothesis. 
Journal: International Journal of the Economics of Business 
Pages: 285-314 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684931 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684931 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:285-314




Template-Type: ReDIF-Article 1.0
Author-Name: Edward   N. Wolff 
Author-X-Name-First: Edward   N. 
Author-X-Name-Last: Wolff 
Title: Downsizing in US Manufacturing, 1967 to 1997 
Abstract:
  <title>Abstract</title> Using US Census of Manufacturing data covering
 the period from 1967 to 1997, I analyze factors affecting downsizing in
 manufacturing. The data show that average establishment size declined in
 manufacturing, from an average of 60.5 employees in 1967 to 46.5 in 1997.
 The econometric results indicate considerable support for the hypotheses
 that foreign competition puts pressure on enterprises to downsize and that
 falling profits lead to a reduction in establishment size. However, the
 findings reject the notions that unions are an effective impediment to
 downsizing and that faster information-technology capital formation leads
 to downsizing. 
Journal: International Journal of the Economics of Business 
Pages: 315-335 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684928 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684928 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:315-335




Template-Type: ReDIF-Article 1.0
Author-Name: Martin Campbell-Kelly 
Author-X-Name-First: Martin 
Author-X-Name-Last: Campbell-Kelly 
Author-Name: Daniel   D. Garcia-Swartz 
Author-X-Name-First: Daniel   D. 
Author-X-Name-Last: Garcia-Swartz 
Author-Name: Dhiren Patki 
Author-X-Name-First: Dhiren 
Author-X-Name-Last: Patki 
Title: Information Technology and Establishment Size in America: Rybczynski Redivivus&#x2606; 
Abstract:
  <title>Abstract</title> The Rybczynski Theorem is one of the staples of
 international trade theory. In their article in this issue of the journal,
 J.J. Rosa and J. Hanoteau apply the theorem to a two-by-two world in which
 the two &#x201C;industries&#x201D; are small firms and large firms, and
 the two inputs are information and all other. The assumption that small
 firms are more information intensive, coupled with the fact that
 information has become pervasive in recent decades, allows them to derive
 the prediction that small firms will account for increasingly larger
 proportions of total output and employment in the economy. We highlight a
 couple of issues that we find problematic in the Rosa--Hanoteau study, and
 then develop two different empirical strategies to probe the connections
 between IT and the size distribution of establishments. First, we combine
 County Business Patterns with input--output data to explore whether the
 share of small plants has grown at a faster pace among industries that
 demand IT more heavily. Second, we explore, on an industry-by-industry
 basis and taking into account the potential endogeneity of IT location,
 whether clustering of IT firms in specific US counties is associated with
 a relatively large share of small establishments, on average, in those
 counties. 
Journal: International Journal of the Economics of Business 
Pages: 337-357 
Issue: 2 
Volume: 19 
Year: 2012 
Month: 7 
X-DOI: 10.1080/13571516.2012.684930 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.684930 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:2:p:337-357




Template-Type: ReDIF-Article 1.0
Author-Name: Alfred Endres 
Author-X-Name-First: Alfred 
Author-X-Name-Last: Endres 
Author-Name: Tim Friehe 
Author-X-Name-First: Tim 
Author-X-Name-Last: Friehe 
Title: Strategic R&D Investment Under Liability Law 
Abstract:
  <title>Abstract</title>  <italic>This paper analyzes the incentives of
 duopolists to invest in advanced care technology under liability law. We
 establish that investment incentives under strict liability are in line
 with the taxonomy of Fudenberg and Tirole (1984), whereas the investment
 incentives under negligence most likely are not. Indeed, investment
 incentives under negligence are dependent on the timing of the policy
 maker&#x2019;s regulations, whether or not due care is firm specific, and
 whether or not precautionary measures are durable</italic>. 
Journal: International Journal of the Economics of Business 
Pages: 359-376 
Issue: 3 
Volume: 19 
Year: 2012 
Month: 11 
X-DOI: 10.1080/13571516.2012.715270 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.715270 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:3:p:359-376




Template-Type: ReDIF-Article 1.0
Author-Name: Satomi Kimino 
Author-X-Name-First: Satomi 
Author-X-Name-Last: Kimino 
Author-Name: Nigel Driffield 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Driffield 
Author-Name: David Saal 
Author-X-Name-First: David 
Author-X-Name-Last: Saal 
Title: Do Keiretsu Really Hinder FDI into Japanese Manufacturing? 
Abstract:
  <title>Abstract</title> This paper examines an issue that has received
 considerable comment but little analysis. It has often been argued that
 the presence of the keiretsu in Japan has been instrumental in deterring
 multinational firms from entering Japan, though evidence for this is
 patchy. We present some new analysis of this issue, thereby evaluating the
 effects of keiretsu on inward investment penetration in Japan. In contrast
 to previous work in this area, our results suggest that there is little
 relationship between inward FDI and keiretsu networks, once one controls
 for endogeneity and unobservable heterogeneity. The results illustrate
 some important interaction effects between keiretsu and other explanatory
 variables that explain differences in inward investment penetration. 
Journal: International Journal of the Economics of Business 
Pages: 377-395 
Issue: 3 
Volume: 19 
Year: 2012 
Month: 11 
X-DOI: 10.1080/13571516.2012.715273 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.715273 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:3:p:377-395




Template-Type: ReDIF-Article 1.0
Author-Name: Jun Du 
Author-X-Name-First: Jun 
Author-X-Name-Last: Du 
Author-Name: Sourafel Girma 
Author-X-Name-First: Sourafel 
Author-X-Name-Last: Girma 
Title: Firm Size, Source of Finance, and Growth - Evidence from China 
Abstract:
  <title>Abstract</title> Using a comprehensive firm-level data set from
 China spanning the period 1998--2005, this study investigates the
 relationship between firm size, financing sources, and total factor
 productivity growth. Controlling for the endogeneity of financing sources,
 we find that firm size plays an important role in the way financial
 structure affects the growth process. Domestic bank loans are more
 effective for bigger firms, while self-raised finance is more beneficial
 to smaller firms&#x2019; growth. We also uncover evidence that ownership
 mediates the relationship between firm size, finance, and growth. 
Journal: International Journal of the Economics of Business 
Pages: 397-419 
Issue: 3 
Volume: 19 
Year: 2012 
Month: 11 
X-DOI: 10.1080/13571516.2012.715272 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.715272 
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Template-Type: ReDIF-Article 1.0
Author-Name: Jia Liu 
Author-X-Name-First: Jia 
Author-X-Name-Last: Liu 
Title: The Dynamics of Listed SMEs in China 
Abstract:
  <title>ABSTRACT</title>  <italic>We examine the dynamics of Chinese
 listed SMEs with respect to their post-market viability and growth after
 going public. The Kaplan--Meier estimation shows that SMEs are more likely
 to transition to a non-viable state than large firms. Further examination
 using the Cox model and the random effects model shows that SME dynamics
 are shaped by heterogeneous firm and industry characteristics, as well as
 the underlying financial and institutional environments. SME viability is
 distinguished by its ability to grow through learning along with age,
 aided by lower business risk, more focused business, easier access to
 equity finance, and less exposure to competition in remote regions. SME
 growth is constrained by a dispersed ownership structure, insufficient
 infrastructure to protect firms which are active in R&D, and the limited
 financing role of equity markets. The study also reveals that government
 initiatives in support of strategic development in the service industries
 and in the coastal regions are of importance in spurring SME
 growth</italic>. 
Journal: International Journal of the Economics of Business 
Pages: 421-450 
Issue: 3 
Volume: 19 
Year: 2012 
Month: 11 
X-DOI: 10.1080/13571516.2012.715274 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.715274 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:3:p:421-450




Template-Type: ReDIF-Article 1.0
Author-Name: Daniela Grieco 
Author-X-Name-First: Daniela 
Author-X-Name-Last: Grieco 
Title: Economics Perspectives on the Entrepreneurial Decision 
Abstract:
  <title>Abstract</title> The pervasiveness of the entrepreneurial
 phenomenon draws scholars&#x2019; attention to what determines the
 decision to become an entrepreneur. Entrepreneurial decisions imply
 judgemental decisions. Different approaches in economics conceive such
 judgemental decisions as firm entry, or real investment in the creation of
 a new business, or making a career choice in favour of a particular type
 of self-employment. In this paper, the literature on entrepreneurs&#x2019;
 features, motives, and markets is enriched with theoretical and empirical
 results from industrial organization, financial economics, and labour
 economics. 
Journal: International Journal of the Economics of Business 
Pages: 451-467 
Issue: 3 
Volume: 19 
Year: 2012 
Month: 11 
X-DOI: 10.1080/13571516.2012.716218 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.716218 
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Handle: RePEc:taf:ijecbs:v:19:y:2012:i:3:p:451-467




Template-Type: ReDIF-Article 1.0
Author-Name: Jason E. Taylor 
Author-X-Name-First: Jason E. 
Author-X-Name-Last: Taylor 
Author-Name: Mona Moldoveanu 
Author-X-Name-First: Mona 
Author-X-Name-Last: Moldoveanu 
Author-Name: Jerry L. Taylor 
Author-X-Name-First: Jerry L. 
Author-X-Name-Last: Taylor 
Title: Product Characteristics and the Effectiveness of Dow's Countermeasure for Predatory Pricing 
Abstract:
	      <title>Abstract</title>				 
 <italic>Predatory pricing theoretically occurs when a firm cuts its price
 below cost with the intention of driving competitors out of the market so
 that the predatory firm can then act as a monopolist. Herbert H. Dow,
 founder of the Dow Chemical Company, saw his company face such a predator,
 the German Bromkonvention, in the American market for bromine in the early
 20-super-th century. Dow responded with an ingenious gambit -- he secretly
 purchased the low cost German bromine and then repackaged and resold it on
 the European market at a profit. This case has been offered as evidence
 that predatory pricing is unlikely to exist in the real world, since the
 prey can simply do what Dow did. This paper explores the product and
 market attributes that must be present in order for the Dow Gambit, or
 variations of it, to be used as a successful countermeasure for predatory
 pricing. We examine product and market attributes in 15 other well-known
 cases of predatory pricing to gain some empirical insight. In only two of
 these were the product and market characteristics as favorable for the
 prey to employ the Dow Gambit as they were toward Dow himself. We conclude
 that the Dow Gambit can only be employed in a narrow set of
 circumstances</italic> 		      
Journal: International Journal of the Economics of Business 
Pages: 1-14 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.750043 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.750043 
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Template-Type: ReDIF-Article 1.0
Author-Name: Mohammad Shakeri 
Author-X-Name-First: Mohammad 
Author-X-Name-Last: Shakeri 
Author-Name: Richard S. Gray 
Author-X-Name-First: Richard S. 
Author-X-Name-Last: Gray 
Title: The Industry Determinants of Exchange Rate Pass-Through into Canadian Producer Prices 
Abstract:
	      <title>Abstract</title>		  This paper models and
 estimates exchange rate pass-through and its determinants in Canadian
 manufacturing industries. The paper predicts theoretically that the
 exchange rate pass-through should be between one and zero, where it is
 positively affected by the share of tradable inputs in production costs
 and the domestic firms' market share, and negatively by the elasticity of
 marginal cost with respect to output. The sign for the degree of product
 differentiation is not theoretically clear. Results of estimation indicate
 that pass-through is incomplete and is mostly affected by the share of
 tradable inputs in production costs (positively) and the elasticity of
 marginal cost with respect to output (negatively).	     
Journal: International Journal of the Economics of Business 
Pages: 15-38 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.750044 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.750044 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:1:p:15-38




Template-Type: ReDIF-Article 1.0
Author-Name: Adelina Gschwandtner 
Author-X-Name-First: Adelina 
Author-X-Name-Last: Gschwandtner 
Author-Name: Jesus Crespo Cuaresma 
Author-X-Name-First: Jesus Crespo 
Author-X-Name-Last: Cuaresma 
Title: Explaining the Persistence of Profits: A Time-Varying Approach 
Abstract:
	      <title>Abstract</title>				 
 <italic>The present paper analyzes the determinants of profit persistence
 using a newly developed methodology that allows the persistence parameter
 to vary with time. It therefore addresses a significant limitation of
 previous persistence models, which have assumed unrealistically that
 persistence is fixed over relatively long periods of 20 years and upwards.
 The concentration of the industry is found to have a significant positive
 impact on profit persistence. However, at firm level, market share and
 risk have a surprisingly negative impact</italic>			 
Journal: International Journal of the Economics of Business 
Pages: 39-55 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.750051 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.750051 
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Template-Type: ReDIF-Article 1.0
Author-Name: Oliver Fabel 
Author-X-Name-First: Oliver 
Author-X-Name-Last: Fabel 
Author-Name: Razvan Pascalau 
Author-X-Name-First: Razvan 
Author-X-Name-Last: Pascalau 
Title: Recruitment of Seemingly Overeducated Personnel: Insider--Outsider Effects on Fair Employee Selection Practices 
Abstract:
	      <title>Abstract</title>				 
 <italic>Fair employment policies constrain employee selection:
 specifically, applicants&#x2019; professional experience can be a
 substitute for formal education. However, reflecting firm-specific job
 requirements, this substitution rule applies less strictly to applicants
 from outside the firm. Further, setting low educational job requirements
 decreases the risk of disparate impact charges. Using data from a large US
 public employer, we show that successful outsider candidates exhibit
 higher levels of formal education than insiders. Also, this gap in
 educational attainments between outsiders and insiders widens with lower
 advertised degree requirements. More generally, we find strong
 insider'outsider effects on hiring decisions</italic>. 	 
Journal: International Journal of the Economics of Business 
Pages: 57-82 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.715271 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.715271 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:1:p:57-82




Template-Type: ReDIF-Article 1.0
Author-Name: Gherardo Girardi 
Author-X-Name-First: Gherardo 
Author-X-Name-Last: Girardi 
Title: Second Sourcing with Capacity Constrained Firms and Locked-In Buyers 
Abstract:
	      <title>Abstract</title>				  <italic>I
 begin by surveying the motivations for second-sourcing agreements in the
 absence of licensing fees. I then focus on a particular motivation -- that
 of an incumbent wanting to relax a capacity constraint. I develop a
 general model with buyers locked into a product, and find necessary and
 sufficient conditions for an incumbent to benefit from the presence of
 rivals without any need to sign contracts with them, in contrast with Dick
 (1992) and with the literature on subcontracting. I show that multiple
 equilibria due to the self-fulfilling expectations of rivals are possible.
 With regards to policy, I find that, with homogeneous buyers, a monopolist
 incumbent will produce where price and marginal cost coincide. I
 illustrate the model's results with observations from the semiconductor
 industry</italic>.	     
Journal: International Journal of the Economics of Business 
Pages: 83-95 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.750046 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.750046 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:1:p:83-95




Template-Type: ReDIF-Article 1.0
Author-Name: Louis Silvia 
Author-X-Name-First: Louis 
Author-X-Name-Last: Silvia 
Author-Name: Christopher T. Taylor 
Author-X-Name-First: Christopher T. 
Author-X-Name-Last: Taylor 
Title: Petroleum Mergers and Competition in the Northeast United States 
Abstract:
	      <title>Abstract</title>		  Sunoco's 2004 acquisition
 of El Paso's, New Jersey refinery and Valero's 2005 acquisition of
 Premcor's Delaware refinery significantly consolidated refinery control in
 the US Northeast. The Federal Trade Commission investigated both
 transactions but challenged neither. We examine the FTC's enforcement
 rationale and test whether these mergers were associated with post-merger
 price increases in either gasoline or diesel at retail and wholesale. Our
 findings indicate that the transactions were largely competitively
 neutral. There was some indication that some unbranded rack prices may
 have increased after the mergers, but this result was not robust across
 controls or assumptions. In some other instances, prices in
 merger-affected areas may have fallen relative to prices elsewhere.	    
Journal: International Journal of the Economics of Business 
Pages: 97-124 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.715275 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.715275 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:1:p:97-124




Template-Type: ReDIF-Article 1.0
Author-Name: Victor J. Tremblay 
Author-X-Name-First: Victor J. 
Author-X-Name-Last: Tremblay 
Author-Name: Carol Horton Tremblay 
Author-X-Name-First: Carol Horton 
Author-X-Name-Last: Tremblay 
Author-Name: Kosin Isariyawongse 
Author-X-Name-First: Kosin 
Author-X-Name-Last: Isariyawongse 
Title: Cournot and Bertrand Competition when Advertising Rotates Demand: The Case of Honda and Scion 
Abstract:
	      <title>Abstract</title>				 
 <italic>We develop a model to explain why firm behavior differs in the
 market for small cars. Firms such as Honda compete in output (Cournot) and
 produce marketing campaigns with universal appeal, while firms such as
 Scion compete in price (Bertrand) and produce targeted marketing
 campaigns. We show that this mixture of Cournot and Bertrand behavior can
 occur when advertising rotates demand. When behaving as a Cournot-type
 firm such as Honda, it is more profitable to pursue a mass-market
 advertising campaign that rotates demand counterclockwise when it faces
 relatively low unit costs and a flat demand function. When behaving as a
 Bertrand-type firm such as Scion, it pays to pursue a niche-market
 advertising campaign that rotates demand clockwise when it faces
 relatively high unit costs and a steep demand</italic>.	  
Journal: International Journal of the Economics of Business 
Pages: 125-141 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.750045 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.750045 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:1:p:125-141




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor J. Morgan 
Author-X-Name-First: Eleanor J. 
Author-X-Name-Last: Morgan 
Author-Name: H.E. Frech III 
Author-X-Name-First: H.E. 
Author-X-Name-Last: Frech III 
Title: International Journal of the Economics of Business Best Paper Prize Announcement 
Journal: International Journal of the Economics of Business 
Pages: 143-143 
Issue: 1 
Volume: 20 
Year: 2013 
Month: 2 
X-DOI: 10.1080/13571516.2012.750463 
File-URL: http://hdl.handle.net/10.1080/13571516.2012.750463 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:1:p:143-143




Template-Type: ReDIF-Article 1.0
Author-Name: Malcolm B. Coate 
Author-X-Name-First: Malcolm B. 
Author-X-Name-Last: Coate 
Title: Unilateral Effects in Merger Analysis: Models, Merits, and Merger Policy 
Abstract:
	      <title>Abstract</title>				 
 <italic>This paper models the Federal Trade Commission's (FTC) unilateral
 effects merger policy using a sample of 192 investigations undertaken
 between 1993 and 2010</italic>. <italic>Statistical analysis shows that
 the number of significant rivals represents a reasonable structural proxy
 for the FTC' merger challenge decision, although other variables, such as
 impediments to entry, fringe share, clear evidence of head-to-head
 competition between the merging firms, competitive effects' evidence, and
 efficiency-related proxies, also affect the decision to challenge a
 merger. Some of these variables suggest that the innovations in the 2010
 Merger Guidelines had already been applied in FTC merger
 analysis</italic>.	     
Journal: International Journal of the Economics of Business 
Pages: 145-162 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.782975 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782975 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:145-162




Template-Type: ReDIF-Article 1.0
Author-Name: Mark Casson 
Author-X-Name-First: Mark 
Author-X-Name-Last: Casson 
Author-Name: Nigel Wadeson 
Author-X-Name-First: Nigel 
Author-X-Name-Last: Wadeson 
Title: The Economic Theory of International Supply Chains: A Systems View 
Abstract:
	      <title>Abstract</title>				 
 <italic>This paper offers an integrated analysis of outsourcing,
 offshoring, and foreign direct investment within a systems view of
 international business. This view takes the supply chain rather than the
 firm as the basic unit of analysis. It argues that competition in the
 global economy selects supply chains that maximise the joint profit of all
 the firms in the chain. The systems view is compared with the firm-centred
 view commonly used in strategy literature. The paper shows that a firm's
 strategy must be embedded within an efficient supply-chain strategy, and
 that this strategy must be negotiated with, rather than imposed upon,
 other firms. The paper analyses the conditions under which various
 supply-chain strategies -- and by implication various firm-level
 strategies -- are efficient. Only by adopting a systems view of supply
 chains is it possible to determine which firm-level strategies will
 succeed in a volatile global economy</italic>. 	 
Journal: International Journal of the Economics of Business 
Pages: 163-186 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.783514 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.783514 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:163-186




Template-Type: ReDIF-Article 1.0
Author-Name: Alexei Alexandrov 
Author-X-Name-First: Alexei 
Author-X-Name-Last: Alexandrov 
Title: Effects of Joint Outsourcing on Consumer Welfare 
Abstract:
	      <title>Abstract</title>				 
 <italic>This work models outsourcing under oligopolistic competition with
 nonlinear costs. I show that in a covered market, if each firm's marginal
 cost before outsourcing is lower than the industry's average cost,
 outsourcing leads to increased prices and decreased consumer welfare.
 Joint outsourcing is more profitable if the firms' equilibrium quantity
 produced is in the economies of scale part of their cost curve</italic>.   
Journal: International Journal of the Economics of Business 
Pages: 187-202 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.795062 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.795062 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:187-202




Template-Type: ReDIF-Article 1.0
Author-Name: Gary A.S. Cook 
Author-X-Name-First: Gary A.S. 
Author-X-Name-Last: Cook 
Author-Name: Naresh R. Pandit 
Author-X-Name-First: Naresh R. 
Author-X-Name-Last: Pandit 
Author-Name: Hans L��f 
Author-X-Name-First: Hans 
Author-X-Name-Last: L��f 
Author-Name: B�rje Johansson 
Author-X-Name-First: B�rje 
Author-X-Name-Last: Johansson 
Title: Clustering, MNEs, and Innovation: Who Benefits and How? 
Abstract:
	      <title>Abstract</title>				 
 <italic>This paper explores three under-researched questions in the
 literature on multinational enterprises (MNEs), clustering, and
 innovation. First, to what extent does multinationality lead to higher
 rates of innovation activity and performance? Second, what, if any, is the
 link between MNE cluster location and innovation inputs and outputs?
 Third, are there any significant differences between enterprises belonging
 to domestic and overseas MNEs in these regards? Evidence is based
 primarily on 11,775 firms derived from the UK Community Innovation Survey
 2007. Diversity in the regional economy exerts the most consistent
 positive influence, followed by the scale of employment in the
 enterprise's own industry. Enterprises belonging to domestic MNEs appear
 to exert higher levels of innovation effort. However, evidence regarding
 their superiority in innovation outputs was weaker. Contrary to Michael
 Porter&#x2019;s work, it appears that enterprises belonging to overseas
 firms benefit more than domestic firms</italic>.	   
Journal: International Journal of the Economics of Business 
Pages: 203-227 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.782980 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782980 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:203-227




Template-Type: ReDIF-Article 1.0
Author-Name: Chrysovalantis Gaganis 
Author-X-Name-First: Chrysovalantis 
Author-X-Name-Last: Gaganis 
Author-Name: Fotios Pasiouras 
Author-X-Name-First: Fotios 
Author-X-Name-Last: Pasiouras 
Author-Name: Angelos Tsaklanganos 
Author-X-Name-First: Angelos 
Author-X-Name-Last: Tsaklanganos 
Title: Taxation and Bank Efficiency: Cross-Country Evidence 
Abstract:
	      <title>Abstract</title>				 
 <italic>This paper investigates the relationship between the effective tax
 rate on bank income and bank profit efficiency. Our sample consists of
 3,472 observations from 533 publicly quoted commercial banks operating in
 46 countries between 2001 and 2009. We estimate a global frontier while
 controlling for various country-specific characteristics such as
 regulations, macroeconomic conditions, market concentration, and financial
 and overall development. The results indicate that a higher tax rate
 results in higher pre-tax profit efficiency. However, the relationship is
 non-linear, indicating that there is a point after which a further
 increase in taxation reduces bank profit efficiency. We also find that
 concentration in the banking sector enhances the effect of taxation on
 profit efficiency. Overall, the results provide some support to the
 tax-shifting hypothesis. However, there is no robust evidence that the
 impact of taxation on profit efficiency is influenced by the extent of
 private monitoring.</italic>			    
Journal: International Journal of the Economics of Business 
Pages: 229-244 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.782984 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782984 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:229-244




Template-Type: ReDIF-Article 1.0
Author-Name: Alessandro Arrighetti 
Author-X-Name-First: Alessandro 
Author-X-Name-Last: Arrighetti 
Author-Name: Andrea Lasagni 
Author-X-Name-First: Andrea 
Author-X-Name-Last: Lasagni 
Title: Assessing the Determinants of High-Growth Manufacturing Firms in Italy 
Abstract:
	      <title>Abstract</title>				 
 <italic>Few firms grow rapidly, but their contribution to employment
 growth is often impressive. The main purpose of this paper is to analyse
 both the external and internal factors that can affect the probability of
 being a high-growth firm (HGF) in Italy. We found that HGFs are, on
 average, young firms and are present in different industries, but the role
 of demand is important to understanding their performance at the sectoral
 level. Moreover, our findings show that financial constraints and
 profitability are not associated with the probability of being a HGF.
 HGFs, on average, are characterised by high productivity, but only when
 growth is measured in terms of sales. The most original results of this
 study concern the endogenous determinants of rapid growth, which have yet
 to be adequately examined in the literature. First, we found that the
 concentration of ownership is important for HGFs that experienced rapid
 growth in their sales. Second, the quality of human capital is a strong
 point for firms experiencing rapid employment growth</italic>. 	 
Journal: International Journal of the Economics of Business 
Pages: 245-267 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.783456 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.783456 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:245-267




Template-Type: ReDIF-Article 1.0
Author-Name: Andros Gregoriou 
Author-X-Name-First: Andros 
Author-X-Name-Last: Gregoriou 
Title: Liquidity Constraints and Investment Opportunities: New Evidence from Large and Small Businesses in the UK 
Abstract:
	      <title>Abstract</title>				 
 <italic>In this paper, we compare the liquidity constraints and investment
 opportunities for large and small businesses. This is done by examining
 the relationship between stock liquidity and investment opportunities in a
 sample of large and small enterprises listed on the London Stock Exchange.
 We find a positive statistical association between stock liquidity and
 investment opportunities, regardless of the size of the enterprise. This
 unique result in the London Stock Exchange suggests that firm size does
 not influence corporate investment decisions because there is no
 significant change in the cost of capital between large and small
 enterprises</italic>.		
Journal: International Journal of the Economics of Business 
Pages: 269-279 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.782985 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782985 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:269-279




Template-Type: ReDIF-Article 1.0
Author-Name: Dev Vencappa 
Author-X-Name-First: Dev 
Author-X-Name-Last: Vencappa 
Author-Name: Paul Fenn 
Author-X-Name-First: Paul 
Author-X-Name-Last: Fenn 
Author-Name: Stephen Diacon 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Diacon 
Title: Productivity Growth in the European Insurance Industry: Evidence from Life and Non-Life Companies 
Abstract:
	      <title>Abstract</title>				 
 <italic>This paper estimates and decomposes productivity growth for a
 sample of European insurance companies using Standard and Poor's
 Eurothesys panel data set of company accounts. We focus on a period
 (1995-2008) where substantial deregulation took place, as well as
 significant shocks to global capital markets and unforeseen climatic and
 terrorism-related events. We estimate parametric stochastic production
 frontiers for life and non-life insurance from which we decompose
 productivity growth using a derivative-based approach. In order to capture
 the inherent variability of productivity in the insurance sector, we
 explore the consequences of adopting three different proxy measures for
 insurance output. In each case, we observe temporal variations in overall
 productivity growth for both life and non-life insurance, corresponding to
 systematic shocks to the market. The decomposition of these fluctuations
 provides important lessons for the measurement of long-term productivity
 growth in insurance markets and more generally in sectors which are
 exposed to stochastic and market-wide systematic shocks to performance.
 Our findings cast doubt on many previous studies of productivity growth in
 the financial service sector where outputs are inevitably difficult to
 measure due to their contingent nature. The choice of output proxies
 appears to be critical, particularly when exploring long-term productivity
 trends</italic>.	   
Journal: International Journal of the Economics of Business 
Pages: 281-305 
Issue: 2 
Volume: 20 
Year: 2013 
Month: 7 
X-DOI: 10.1080/13571516.2013.782979 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782979 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:2:p:281-305




Template-Type: ReDIF-Article 1.0
Author-Name: Yanling Wang 
Author-X-Name-First: Yanling 
Author-X-Name-Last: Wang 
Title: Foreign Acquisition, Domestic Acquisition and Plant Survival 
Abstract:
				 <title>Abstract</title>		   
		      <italic>The literature has postulated that foreign
 capital participation (through mergers and acquisitions) is associated
 with more advanced technologies being injected into the acquired targets,
 and thus it might be reasonable to assume that foreign acquisitions would
 generate larger effects than domestic acquisitions to the acquired
 targets. This paper contributes to the discussion by examining the effects
 of foreign acquisitions versus domestic acquisitions on plant survival to
 both born-domestic and born-foreign plants. Using 26 cohorts of plants
 born in Canada between 1973 and 1998, the paper finds that both foreign
 acquisitions and domestic acquisitions significantly increase life
 durations of born-domestic plants, although domestic acquisitions generate
 larger effects. For born-foreign plants, neither foreign acquisitions nor
 domestic acquisitions significantly change their life span</italic>.	    
Journal: International Journal of the Economics of Business 
Pages: 307-324 
Issue: 3 
Volume: 20 
Year: 2013 
Month: 11 
X-DOI: 10.1080/13571516.2013.835974 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.835974 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:3:p:307-324




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen P. King 
Author-X-Name-First: Stephen P. 
Author-X-Name-Last: King 
Title: Countervailing Power and Input Pricing: When is a Waterbed Effect Likely? 
Abstract:
				 <title>Abstract</title>		   
		      <italic>A downstream firm with countervailing power
 can extract a reduced price from an input supplier. A waterbed effect
 occurs if this price reduction leads the input supplier to raise the price
 that it charges another downstream firm. Policy makers have been concerned
 that this waterbed effect could undermine downstream competition and it
 was considered in detail in the 2008 UK grocery inquiry. This paper
 presents a simple but parsimonious model to investigate if and when a
 waterbed effect may arise. It shows that the effect may arise through
 optimal pricing behaviour, but that this critically depends on the nature
 of upstream technology, downstream competition and consumer demand. In
 particular, downstream competition tends to work against a waterbed
 effect, but convex upstream costs support the effect. The analysis is
 complementary to recent academic work on the waterbed effect that focuses
 on bargaining constraints</italic>.			    
Journal: International Journal of the Economics of Business 
Pages: 325-340 
Issue: 3 
Volume: 20 
Year: 2013 
Month: 11 
X-DOI: 10.1080/13571516.2013.835982 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.835982 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:3:p:325-340




Template-Type: ReDIF-Article 1.0
Author-Name: Emmanuel Mamatzakis 
Author-X-Name-First: Emmanuel 
Author-X-Name-Last: Mamatzakis 
Author-Name: Antonios Nikolaos Kalyvas 
Author-X-Name-First: Antonios Nikolaos 
Author-X-Name-Last: Kalyvas 
Author-Name: Jenifer Piesse 
Author-X-Name-First: Jenifer 
Author-X-Name-Last: Piesse 
Title: Does Regulation in Credit, Labour and Business Matter for Bank Performance in the EU-10 Economies? 
Abstract:
				 <title>Abstract</title>		   
		      <italic>Cost efficiency scores for banks in ten new
 EU member countries of Central and Eastern Europe are estimated using a
 parametric approach (data envelopment analysis) for the period prior to
 and immediately following their accession (2000--2010). These are then
 used in both fixed effects and dynamic panels to estimate the impact of
 regulation on bank specific efficiency in the transition economies of the
 EU. Using the Fraser Index of Economic Freedom (Gwartney, Hall, and Lawson
 2012) we find that, among all the indices of economic freedom, the
 composite regulation index that includes regulation in credit, labour and
 business has more importance for the banking sector as results suggest a
 positive and statistically significant impact on bank efficiency. By
 decomposing the regulation index into its three components (credit,
 business and labour regulation) we find that strict labour regulation is
 associated with lower bank cost efficiency while certain aspects of credit
 regulation such as foreign ownership and competition as well as private
 ownership are significantly associated with improved efficiency. The
 dynamic panel vector autoregression (VAR) results using impulse response
 functions and variance decomposition further support the validity of these
 results. These findings are valuable for both academics and policy makers
 in their attempts to understand the drivers of bank efficiency</italic>.   
Journal: International Journal of the Economics of Business 
Pages: 341-385 
Issue: 3 
Volume: 20 
Year: 2013 
Month: 11 
X-DOI: 10.1080/13571516.2013.835981 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.835981 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:3:p:341-385




Template-Type: ReDIF-Article 1.0
Author-Name: Apostolos Dasilas 
Author-X-Name-First: Apostolos 
Author-X-Name-Last: Dasilas 
Author-Name: Stergios Leventis 
Author-X-Name-First: Stergios 
Author-X-Name-Last: Leventis 
Title: Corporate Governance, Dividend Status, Ownership Structure, and the Performance of Greek Seasoned Equity Offerings 
Abstract:
				 <title>Abstract</title>		   
		      <italic>We examine the short-term and long-term
 share-price behaviour surrounding the announcement of seasoned equity
 offerings (SEOs) by firms listed on the Athens Stock Exchange. (ASE) The
 idiosyncrasies of the ASE make for an interesting investigation of SEO
 announcements in relation to the effect of corporate governance
 mechanisms, ownership structure, and dividend-paying status. We examine
 changes in leverage and systematic risk, as well as the long-term share
 price and operating performance of those firms involved in a SEO. We
 report significant share-price appreciations on SEO announcement day. We
 find a share-price rally before the announcement of SEOs and subsequent
 share-price reversals. Our results suggest that corporate governance
 structures, dividend status, and ownership concentration enhance the
 information content of SEOs. Finally, we report evidence that the
 long-term operating performance and the capital structure of firms
 announcing a SEO deteriorates for up to two years following the
 announcement</italic>. 		      
Journal: International Journal of the Economics of Business 
Pages: 387-419 
Issue: 3 
Volume: 20 
Year: 2013 
Month: 11 
X-DOI: 10.1080/13571516.2013.783527 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.783527 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:3:p:387-419




Template-Type: ReDIF-Article 1.0
Author-Name: Gbenga Ibikunle 
Author-X-Name-First: Gbenga 
Author-X-Name-Last: Ibikunle 
Author-Name: Andros Gregoriou 
Author-X-Name-First: Andros 
Author-X-Name-Last: Gregoriou 
Author-Name: Naresh R. Pandit 
Author-X-Name-First: Naresh R. 
Author-X-Name-Last: Pandit 
Title: Price Discovery and Trading after Hours: New Evidence from the World's Largest Carbon Exchange 
Abstract:
				 <title>Abstract</title>		   
		      <italic>We investigate the impact of after-hours
 trading on magnitude and timing of price discovery over the close-to-close
 period on the world's largest carbon trading platform, the European
 Climate Exchange (ECX). Low-volume trading in carbon financial instruments
 can lead to relatively high levels of price discovery, but the generated
 pricing has low efficiency levels. This is associated with high levels of
 informed trades and low levels of liquidity trades. Our results show
 higher trading volume per minute and greater price efficiency for after
 hours when compared with regular trading hours. As a result of a higher
 proportion of informed trades, adverse selection costs for trades after
 hours are significantly larger than those for trades during the regular
 trading day</italic>.			      
Journal: International Journal of the Economics of Business 
Pages: 421-445 
Issue: 3 
Volume: 20 
Year: 2013 
Month: 11 
X-DOI: 10.1080/13571516.2013.782986 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782986 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:3:p:421-445




Template-Type: ReDIF-Article 1.0
Author-Name: R. Forrest McCluer 
Author-X-Name-First: R. Forrest 
Author-X-Name-Last: McCluer 
Author-Name: Martha A. Starr 
Author-X-Name-First: Martha A. 
Author-X-Name-Last: Starr 
Title: Using Difference in Differences to Estimate Damages in Healthcare Antitrust: A Case Study of Marshfield Clinic 
Abstract:
				 <title>Abstract</title>		   
		      <italic>In calculating damages in healthcare
 antitrust cases, the difference-in-differences (DID) approach provides a
 potentially valuable means of controlling for lawful factors that
 influence prices, such as case mix and quality of care, as distinct from
 price differentials due to unlawful behavior. After comparing DID to
 traditional methods of estimating damages, this paper uses DID to analyze
 data from a well-known case against Marshfield Clinic, a large
 multi-specialty group practice that was found to have illegally allocated
 markets for physician services in Central Wisconsin. Using a specification
 similar to what was used in the case, we find that illegal behavior
 accounted for about one-half of the Clinic's extra increase in costs per
 patient during the damage period. The courts, however, were not persuaded
 that the analysis adequately controlled for legal factors. We discuss
 potential pitfalls in using DID to estimate damages suggested by the case,
 as well as possible ways around them</italic>. 		     
Journal: International Journal of the Economics of Business 
Pages: 447-469 
Issue: 3 
Volume: 20 
Year: 2013 
Month: 11 
X-DOI: 10.1080/13571516.2013.800323 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.800323 
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Handle: RePEc:taf:ijecbs:v:20:y:2013:i:3:p:447-469




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor J. Morgan 
Author-X-Name-First: Eleanor J. 
Author-X-Name-Last: Morgan 
Author-Name: H. E. Frech 
Author-X-Name-First: H. E. 
Author-X-Name-Last: Frech 
Title: Introduction to the 20-super-th Anniversary Forum -- "Economics of Business: Perspectives on Research" 
Journal: International Journal of the Economics of Business 
Pages: 1-1 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.869123 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.869123 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:1-1




Template-Type: ReDIF-Article 1.0
Author-Name: Peter J. Buckley 
Author-X-Name-First: Peter J. 
Author-X-Name-Last: Buckley 
Title: The Applied Economics of (International) Business: A Personal Perspective 
Abstract:
					 <italic>The applied economics of
 international business (IB) has been successful in explaining foreign
 direct investment, the existence and growth of multinational enterprises
 (MNEs) and in integrating new concepts such as trust in the analysis of
 joint ventures. It now needs to face challenges in fully integrating
 culture into the rubric and into a comprehensive analysis of the varied
 phenomena of globalisation.</italic>			    
Journal: International Journal of the Economics of Business 
Pages: 3-6 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864114 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864114 
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Template-Type: ReDIF-Article 1.0
Author-Name: Mark Casson 
Author-X-Name-First: Mark 
Author-X-Name-Last: Casson 
Title: Entrepreneurship: A Personal View 
Abstract:
					 <italic>Entrepreneurship studies
 is a booming area of research, but, as previous commentators have noted,
 the literature has become pluralistic and diffuse. There is a profusion of
 concepts, many of them ill defined. Theory and empiricism are only weakly
 linked. There is a distinct lack of historical perspective. It is proposed
 that entrepreneurship studies get "back to basics" and develop the
 theoretical tradition established by the early literature. This will
 involve greater use of formal models and greater attention to cognition
 and information processing. It will lead to a more rigorous and relevant
 body of theory and to more meaningful empirical research.</italic>	    
Journal: International Journal of the Economics of Business 
Pages: 7-13 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864115 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864115 
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Template-Type: ReDIF-Article 1.0
Author-Name: Nicolai J. Foss 
Author-X-Name-First: Nicolai J. 
Author-X-Name-Last: Foss 
Title: Toward an Organizational Economics of Heterogeneous Capabilities 
Abstract:
					 <italic>The notion of "capability"
 has long been influential in management research as an approach to address
 firm-level heterogeneity and heterogeneity in competitive outcomes. I
 discuss how recent advances in economics may allow for a more rigorous
 understanding and measurement of capability that take organizational
 practices into account. However, economists may also learn from work on
 capabilities in management research.</italic>			 
Journal: International Journal of the Economics of Business 
Pages: 15-19 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864117 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864117 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:15-19




Template-Type: ReDIF-Article 1.0
Author-Name: Francine Lafontaine 
Author-X-Name-First: Francine 
Author-X-Name-Last: Lafontaine 
Title: Franchising: Directions for Future Research 
Abstract:
					 <italic>There have been important
 contributions to the literature on franchising in recent years, but many
 interesting questions have received less attention than they deserve. In
 this paper, I briefly highlight four of these: (i) the existence of master
 franchising and multi-unit ownership, (ii) the differences in the
 intensity of franchising across sectors, (iii) international franchising,
 and (iv) the problems surrounding the adoption of new technologies and
 adaptation in franchised chains. While not exhaustive, this set of topics
 illustrates the variety of potential franchise-related research
 topics.</italic>		     
Journal: International Journal of the Economics of Business 
Pages: 21-25 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864124 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864124 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:21-25




Template-Type: ReDIF-Article 1.0
Author-Name: F.M. Scherer 
Author-X-Name-First: F.M. 
Author-X-Name-Last: Scherer 
Title: Two Paradoxes in the Theory of Capital Investment and Competition 
Abstract:
					 <italic>This paper considers two
 paradoxes concerning the relationship between capital investment decisions
 and competition. First, conventional capital budgeting methods imply that
 substantial infra-marginal surpluses are attained above the cost of
 capital, but this is inconsistent with the premise that returns on capital
 equal the cost of capital in competitive markets. Second, contrasts in the
 pharmaceutical industry between high reported returns on capital invested,
 the accounting treatment of research and development outlays, and
 inter-firm competition in research and development are explored.</italic>  
Journal: International Journal of the Economics of Business 
Pages: 27-31 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864125 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864125 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:27-31




Template-Type: ReDIF-Article 1.0
Author-Name: Vernon L. Smith 
Author-X-Name-First: Vernon L. 
Author-X-Name-Last: Smith 
Title: New Insights into Old Discoveries: Two Kinds of Markets 
Abstract:
					 <italic>The first supply and
 demand experiments in the 1950s converged more strongly and quickly than
 people thought likely. Equally surprising, the first asset market
 experiments in the 1980s converged far less strongly and rapidly than
 expected. The economic crisis in 2008 brought a re-thinking of these old
 discoveries, motivated new experimental exercises and led to new
 insights.</italic>			 
Journal: International Journal of the Economics of Business 
Pages: 33-35 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864493 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864493 
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Template-Type: ReDIF-Article 1.0
Author-Name: Lars S�rgard 
Author-X-Name-First: Lars 
Author-X-Name-Last: S�rgard 
Title: From Research on Mergers to Merger Policy 
Abstract:
					 <italic>Since at least the early
 1990s, researchers have criticized the antitrust authorities' method for
 assessing the possible anticompetitive effects of mergers. Despite this,
 only recently, a method with a more sound economic foundation was included
 in the merger guidelines. We discuss how a sound economic foundation was
 developed and finally applied to merger control.</italic>		    
Journal: International Journal of the Economics of Business 
Pages: 37-42 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864119 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864119 
File-Format: text/html
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Template-Type: ReDIF-Article 1.0
Author-Name: Michael Waterson 
Author-X-Name-First: Michael 
Author-X-Name-Last: Waterson 
Title: Structural versus Quasi-Experimental Approaches to Industrial Organization 
Abstract:
					 <italic>This paper charts some key
 milestones in the empirical developments in Industrial Organization,
 focusing on the types of questions examined and the empirical approaches
 adopted, specifically contrasting the structural and quasi-experimental
 approaches. Both have strengths and weaknesses, and both involve some art
 as well as science. The questions asked have become narrower but better
 specified.</italic>		      
Journal: International Journal of the Economics of Business 
Pages: 43-47 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864491 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864491 
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Template-Type: ReDIF-Article 1.0
Author-Name: Lawrence J. White 
Author-X-Name-First: Lawrence J. 
Author-X-Name-Last: White 
Title: A Close Connection between the Disciplines of Industrial Organization and Finance: A Worthy Objective or a Bridge Too Far? 
Abstract:
					 <italic>Periodically, the question
 of whether there ought to be a substantially closer connection between the
 disciplines of industrial organization (IO) and finance has been a topic
 of conversation within the IO discipline. After documenting three such
 initiatives that ultimately failed to have lasting effects, this article
 argues that a goal of a close interweaving of IO and finance is a chimera
 -- but that more modest interactions have been and continue to be
 possible.</italic>		      
Journal: International Journal of the Economics of Business 
Pages: 49-54 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864492 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864492 
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Template-Type: ReDIF-Article 1.0
Author-Name: Philippe Cyrenne 
Author-X-Name-First: Philippe 
Author-X-Name-Last: Cyrenne 
Title: Dual Distribution and the Penrose Effect 
Abstract:
					 <italic>This paper develops an
 approach to analyzing an equilibrium in markets where firms can choose
 dual distribution to sell their products. Dual distribution involves a
 firm selling its product both through company-owned stores and through
 independently owned franchises. For a monopoly firm, the use of
 company-owned stores is assumed to play a number of roles. When the total
 number of markets is variable, an increase in company-owned stores can
 signal the quality of the product to potential franchisees, increasing the
 total number of markets served by the monopolist. Additional company-owned
 stores may also increase the royalty rate received by the franchisor, as
 well as increase demand in the local markets. There are limits, however,
 to the benefits of company ownership, called the "Penrose Effect." For an
 equilibrium to exist, the monopoly firm must have no incentive to alter
 the the number of company-owned stores vis-�-vis franchised stores. The
 approach taken here yields a number of testable implications, which can
 form the basis of empirical tests of dual distribution.</italic>	    
Journal: International Journal of the Economics of Business 
Pages: 55-76 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.800325 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.800325 
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Template-Type: ReDIF-Article 1.0
Author-Name: Alistair Bruce 
Author-X-Name-First: Alistair 
Author-X-Name-Last: Bruce 
Author-Name: David Marginson 
Author-X-Name-First: David 
Author-X-Name-Last: Marginson 
Title: Power, Not Fear: A Collusion-Based Account of Betting Market Inefficiency 
Abstract:
					 <italic>We examine racetrack
 betting market inefficiency. We argue that the overround -- an established
 measure of inefficiency -- may be seen as a reflection of bookmakers'
 collusive returns maximising behaviour, rather than simply as their
 response to an adverse selection problem. We test, and find empirical
 support for, several proposed market effects of bookmaker (market maker)
 collusion. Besides number of race participants, overround varies
 significantly according to (1) whether or not the race is the last at the
 race meeting, (2) racetrack location, (3) day of the week (weekday vs.
 weekend), (4) type of race (handicap vs. non-handicap), and (5) type of
 race event (Flat/National Hunt). The study provides fresh insight into the
 origins of betting market inefficiency, where the link between market
 structure and context and bookmaker behaviour is a key feature. Regarding
 the broader implications, the study alerts us to the potential for
 financial market inefficiencies such as the bid-ask spread to be
 explained, in part, as a consequence of market makers' opportunistic
 behaviour wherever and whenever it is possible for intermediaries to
 exploit their understanding of investor behaviour</italic>.		    
Journal: International Journal of the Economics of Business 
Pages: 77-97 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.782982 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.782982 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:77-97




Template-Type: ReDIF-Article 1.0
Author-Name: Kam Hon Chu 
Author-X-Name-First: Kam Hon 
Author-X-Name-Last: Chu 
Title: Economies as an Antitrust Defense Revisited: The Welfare Trade-offs and Safe Harbors 
Abstract:
					 <italic>This paper incorporates a
 Cournot model of oligopoly pricing into Williamson's (1968a) model to
 assess the welfare effect of a merger that yields economies and market
 power simultaneously. The results show: (i) in most cases, economies from
 mergers can offset price increases due to market power such that there are
 positive net allocative effects, and (ii) the safe harbors in the merger
 guidelines may fail to screen out mergers correctly. The reliability,
 however, can be improved by considering cost savings and price
 elasticities in addition to the current use of increases in HHI and
 post-merger HHIs.</italic>			   
Journal: International Journal of the Economics of Business 
Pages: 99-119 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864116 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864116 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:99-119




Template-Type: ReDIF-Article 1.0
Author-Name: John K. Ashton 
Author-X-Name-First: John K. 
Author-X-Name-Last: Ashton 
Author-Name: Robert S. Hudson 
Author-X-Name-First: Robert S. 
Author-X-Name-Last: Hudson 
Title: Do Lenders Cross-Subsidise Loans by Selling Payment Protection Insurance? 
Abstract:
					 <italic>This study examines the
 recent UK regulatory decision to ban the joint provision of consumer
 lending and payment protection or credit insurance (hereafter PPI). This
 case has wide regulatory implications following concerns that the sale of
 PPI has been detrimental to customers due to overpriced PPI and a
 cross-subsidy flowing from PPI to unsecured lending. The study examines
 whether interest rate setting of unsecured lending is influenced by banks
 issuing PPI or otherwise to help establish whether such cross-subsidies
 have been made. This assessment is undertaken over time for a diverse and
 comprehensive selection of banks offering unsecured lending with and
 without PPI between 1998 and 2011 for three levels of borrowing. It is
 reported that offering PPI is a significant explanatory variable of
 unsecured lending interest rate levels. When unsecured lending is offered
 with PPI, interest rates are lower, a finding consistent with a
 cross-subsidy flowing from PPI remiums to unsecured lending.</italic>	    
Journal: International Journal of the Economics of Business 
Pages: 121-138 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.864118 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.864118 
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Template-Type: ReDIF-Article 1.0
Author-Name: John Goddard 
Author-X-Name-First: John 
Author-X-Name-Last: Goddard 
Author-Name: Hong Liu 
Author-X-Name-First: Hong 
Author-X-Name-Last: Liu 
Author-Name: Donal Mckillop 
Author-X-Name-First: Donal 
Author-X-Name-Last: Mckillop 
Author-Name: John O.S. Wilson 
Author-X-Name-First: John O.S. 
Author-X-Name-Last: Wilson 
Title: The Size Distribution of US Banks and Credit Unions 
Abstract:
					 <italic>This study examines the
 firm size distribution of US banks and credit unions. A truncated
 lognormal distribution describes the size distribution, measured using
 assets data, of a large population of small, community-based commercial
 banks. The size distribution of a smaller but increasingly dominant cohort
 of large banks, which operate a high-volume low-cost retail banking model,
 exhibits power-law behaviour. There is a progressive increase in skewness
 over time, and Zipf's Law is rejected as a descriptor of the size
 distribution in the upper tail. By contrast, the asset size distribution
 of the population of credit unions conforms closely to the lognormal
 distribution</italic>. 			
Journal: International Journal of the Economics of Business 
Pages: 139-156 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.835970 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.835970 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:139-156




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Zweifel 
Author-X-Name-First: Peter 
Author-X-Name-Last: Zweifel 
Title: A Review of Insurance and Behavioral Economics: Improving Decisions in the Most Misunderstood Industry 
Abstract:
					 <italic>This book indeed goes a
 long way towards clearing up misconceptions about insurance both on the
 part of consumers and, even more importantly, insurance managers and
 regulators. However, in the eyes of this reviewer, the authors are too
 quick to jump on the bandwagon of 'Behavorial Economics' in their attempts
 to explain seeming anomalies in decisionmaking with repect to insurance.
 This said, the case studies included, statistics cited, and arguments
 proffered in this the volume make for interesting reading</italic>.	    
Journal: International Journal of the Economics of Business 
Pages: 157-162 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2013.835959 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.835959 
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Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor J. Morgan 
Author-X-Name-First: Eleanor J. 
Author-X-Name-Last: Morgan 
Title: International Journal of the Economics of Business Best Paper Prize Announcement 
Journal: International Journal of the Economics of Business 
Pages: 163-163 
Issue: 1 
Volume: 21 
Year: 2014 
Month: 2 
X-DOI: 10.1080/13571516.2014.880597 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.880597 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:1:p:163-163




Template-Type: ReDIF-Article 1.0
Author-Name: Michelle Haynes 
Author-X-Name-First: Michelle 
Author-X-Name-Last: Haynes 
Author-Name: Steve Thompson 
Author-X-Name-First: Steve 
Author-X-Name-Last: Thompson 
Title: Hit and Run or Sit and Wait? Contestability Revisited in a Price-Comparison Site-Mediated Market 
Abstract:
 <title>Abstract</title>The price-comparison site, with its (near-)zero
 sunk costs of entry, would appear to approximate the "almost perfectly
 contestable market" envisaged by the contestability theorists where
 "hit-and-run" entry was conjectured to constrain sellers to zero-profit
 outcomes. We investigate hit and run using a unique unbalanced panel of
 295 digital-camera markets mediated by NexTag.com. We find, however, in
 line with Farrell (1986a)'s prediction, a bifurcation of strategies with
 low reputation/smaller participants favouring a hit-and-run strategy
 involving lower entry prices and shorter forays into the market than their
 high reputation/larger rivals. Furthermore, the former entrants induce a
 much larger price response from low-reputation incumbents, reflecting the
 more intense rivalry for the price-sensitive consumers willing to eschew
 retailer reputations.
Journal: International Journal of the Economics of Business 
Pages: 165-190 
Issue: 2 
Volume: 21 
Year: 2014 
Month: 7 
X-DOI: 10.1080/13571516.2014.912450 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.912450 
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Template-Type: ReDIF-Article 1.0
Author-Name: Ben R. Craig 
Author-X-Name-First: Ben R. 
Author-X-Name-Last: Craig 
Author-Name: Valeriya Dinger 
Author-X-Name-First: Valeriya 
Author-X-Name-Last: Dinger 
Title: The Duration of Bank Retail Interest Rates 
Abstract:
 <title>Abstract</title><italic>We examine the rigidity of retail deposit
 and loan rates by applying duration analysis on uniquely rich data. We
 find that the retail rate dynamics are state-dependent. An important
 determinant of the duration of retail interest rates are the dynamics of
 the wholesale (market and monetary policy) interest rates. We also show
 that the reaction to positive and negative wholesale interest rate changes
 is strongly asymmetric. Moreover, retail rate durations are significantly
 modified by bank and market characteristics, such as the size of the bank,
 its market share in a given local market, and its geographical
 scope.</italic>
Journal: International Journal of the Economics of Business 
Pages: 191-207 
Issue: 2 
Volume: 21 
Year: 2014 
Month: 7 
X-DOI: 10.1080/13571516.2014.909173 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.909173 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:2:p:191-207




Template-Type: ReDIF-Article 1.0
Author-Name: Antonios Georgopoulos 
Author-X-Name-First: Antonios 
Author-X-Name-Last: Georgopoulos 
Author-Name: Dionysios-Antonios Lalountas 
Author-X-Name-First: Dionysios-Antonios 
Author-X-Name-Last: Lalountas 
Author-Name: Ioannis-Dionysios Salavrakos 
Author-X-Name-First: Ioannis-Dionysios 
Author-X-Name-Last: Salavrakos 
Title: Foreign versus Domestic Survival in a Changing Environment 
Abstract:
 <title>Abstract</title>This paper explores whether and how environmental
 dynamics can affect foreign and domestic survival. Utilizing a unique
 longitudinal data set with 420 manufacturing plants created in the
 protected developing Greek economy (1960-1980), we test these plants'
 ability to survive in the new, integrated environment (1981-2001), when
 Greece became a member of the European Union (EU). After controlling for
 time and age effects, we find that environmental dynamics in terms of
 integration and economic development negatively influence the survival of
 all tariff-jumping and unskilled labor-intensive plants, regardless of
 their ownership. However, survival evolution of foreign-owned and domestic
 plants differs over time depending on the country's degree of economic
 integration. Specifically, during the shallow integration period
 (1981-1990), foreign-controlled plants tend to retain a survival premium,
 which they appear to have acquired in the protectionism era. This means
 that foreign-owned plants benefited more from external environmental
 dynamics in terms of tariff protection compared to domestic ones.
 Nevertheless, in the deep integration period (1991-2001), the declining
 survival rates tend to converge, and the foreign survival premium
 completely disappears. Consequently, in the long run, environmental change
 similarly affects foreign and domestic survival.
Journal: International Journal of the Economics of Business 
Pages: 209-229 
Issue: 2 
Volume: 21 
Year: 2014 
Month: 7 
X-DOI: 10.1080/13571516.2013.878547 
File-URL: http://hdl.handle.net/10.1080/13571516.2013.878547 
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Template-Type: ReDIF-Article 1.0
Author-Name: Gregory E. Goering 
Author-X-Name-First: Gregory E. 
Author-X-Name-Last: Goering 
Title: Self-Sabotage and Durable-Goods Monopoly 
Abstract:
 <title>Abstract</title><italic>We analyze a simple two-period linear
 demand durable-goods monopoly model with "self-sabotage." The firm has the
 ability to sabotage its own production by increasing its future (period
 two) manufacturing costs. We find that an uncommitted monopoly seller has
 an incentive to engage in such self-sabotage, while a committed seller or
 renter has no such incentive. Unlike the previous papers on self-sabotage,
 we show this occurs even though the firm faces no rivals in the output
 market. In our durable-goods setting, the incentive for self-sabotage
 arises from the seller's commitment problem with period-one buyers (the
 so-called Coase conjecture). Interestingly, we also find that this sort of
 self-sabotage can not only be profit enhancing for the uncommitted firm,
 but may also increase social welfare (in contrast to the earlier models on
 self-sabotage.)</italic>
Journal: International Journal of the Economics of Business 
Pages: 231-243 
Issue: 2 
Volume: 21 
Year: 2014 
Month: 7 
X-DOI: 10.1080/13571516.2014.903109 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.903109 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:2:p:231-243




Template-Type: ReDIF-Article 1.0
Author-Name: Steven B. Caudill 
Author-X-Name-First: Steven B. 
Author-X-Name-Last: Caudill 
Author-Name: Franklin G. Mixon 
Author-X-Name-First: Franklin G. 
Author-X-Name-Last: Mixon 
Author-Name: Scott Wallace 
Author-X-Name-First: Scott 
Author-X-Name-Last: Wallace 
Title: Life on the Red Carpet: Star Players and Referee Bias in the National Basketball Association 
Abstract:
 <title>Abstract</title><italic>Fans of the National Basketball Association
 (NBA) have long considered the idea that NBA referees are biased in
 various ways, such as when certain "star players" benefit from so-called
 "phantom fouls" committed against them or are sheltered from calls against
 fouls they commit. Using two data sets, the first based on Wallace,
 Caudill, and Mixon (</italic><italic>2013</italic><italic>), and a second
 based on all player games during the 2011 NBA Playoffs series, including
 dozens of NBA All Stars, the present study empirically investigates this
 potential form of referee bias by examining both early- and late-game free
 throw shooting in these most critical games of any season for NBA players,
 coaches, owners, and fans. The empirical results suggest that marquee NBA
 players are the beneficiaries of referee bias that occurs near the end of
 NBA Playoffs contests. More specifically, through regression models with
 various fixed effects, we find that NBA All Stars are awarded with an
 additional 0.32 free attempts per minute during the fourth quarter of NBA
 Playoff games.</italic>
Journal: International Journal of the Economics of Business 
Pages: 245-253 
Issue: 2 
Volume: 21 
Year: 2014 
Month: 7 
X-DOI: 10.1080/13571516.2014.903110 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.903110 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:2:p:245-253




Template-Type: ReDIF-Article 1.0
Author-Name: Andrew C. Godley 
Author-X-Name-First: Andrew C. 
Author-X-Name-Last: Godley 
Title: Creativity and Growth in: Edmund Phelps (2013), <italic>Mass Flourishing. How Grassroots Innovation Created Jobs, Challenge and Change</italic> 
Abstract:
 <title>Abstract</title>This article reviews the thesis presented by Edmund
 Phelps, <roman>Mass Flourishing. How Grassroots Innovation Created Jobs,
 Challenge and Change</roman> (Princeton University Press, 2013) that
 modern economic growth is an indirect outcome of human creativity, and
 that the object of enlightened policy ought to be to promote this
 creativity, or flourishing, rather than economic growth per se. The book
 is a remarkable contribution to the literature on economic growth, with
 its focus on how entrepreneurship and innovation generates endogenous
 growth and, more importantly to the author, improves human satisfaction.
Journal: International Journal of the Economics of Business 
Pages: 255-260 
Issue: 2 
Volume: 21 
Year: 2014 
Month: 7 
X-DOI: 10.1080/13571516.2014.919737 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.919737 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:2:p:255-260




Template-Type: ReDIF-Article 1.0
Author-Name: Stergios Leventis 
Author-X-Name-First: Stergios 
Author-X-Name-Last: Leventis 
Author-Name: Apostolos Dasilas 
Author-X-Name-First: Apostolos 
Author-X-Name-Last: Dasilas 
Author-Name: Stephen Owusu-Ansah 
Author-X-Name-First: Stephen 
Author-X-Name-Last: Owusu-Ansah 
Title: The Effect of Timeliness and Credit Ratings on the Information Content of Earnings Announcements 
Abstract:
 This paper investigates the impact of timeliness and credit ratings on the
 information content of the earnings announcements of Greek listed firms
 from 2001 to 2008. Using the classical event study methodology and
 regression analysis, we find that firms tend to release good news on time
 and are inclined to delay the release of bad news. We also provide
 evidence that the level of corporate risk differentiates the information
 content of earnings according to the credit rating category. Specifically,
 firms displaying high creditworthiness enjoy positive excess returns on
 earnings announcement dates. In contrast, firms with low creditworthiness
 undergo significant share price erosions on earnings announcement days. We
 also observe a substitution effect between timeliness and credit ratings
 in relation to the information content of earnings announcements.
 Specifically, we find that as the credit category of earnings-announcing
 firms improves, the informational role of timeliness is mitigated.
Journal: International Journal of the Economics of Business 
Pages: 261-289 
Issue: 3 
Volume: 21 
Year: 2014 
Month: 11 
X-DOI: 10.1080/13571516.2014.947194 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.947194 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:3:p:261-289




Template-Type: ReDIF-Article 1.0
Author-Name: Ioannis Giotopoulos 
Author-X-Name-First: Ioannis 
Author-X-Name-Last: Giotopoulos 
Title: Dynamics of Firm Profitability and Growth: Do Knowledge-Intensive (Business) Services Persistently Outperform? 
Abstract:
 <italic>This paper explores the persistence of profitability and growth
 for firms operating in the Greek service sector, paying special attention
 to knowledge-intensive services (KIS) and knowledge-intensive business
 services (KIBS). The generalized method of moments is used on a rich panel
 of firms over a recent nine-year period. Quantile regressions are
 complementarily applied for KIS and KIBS industries. The key results from
 both growth and profit dynamics suggest that firms in KIS and KIBS
 industries persistently outperform firms in less knowledge-intensive
 service industries, pointing to strategic advantages of the former.
 Importantly, KIS and KIBS seem to be able to sustain their growth and
 profitability persistent trends even in times of crisis. Further insight
 into these issues is provided by the quantile analysis, the exploration of
 the profitability and growth inter-linkages, and the investigation of
 differences among various size groups in KIS and KIBS.</italic>
Journal: International Journal of the Economics of Business 
Pages: 291-319 
Issue: 3 
Volume: 21 
Year: 2014 
Month: 11 
X-DOI: 10.1080/13571516.2014.921364 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.921364 
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:3:p:291-319




Template-Type: ReDIF-Article 1.0
Author-Name: J. Alejandro Gelves 
Author-X-Name-First: J. Alejandro 
Author-X-Name-Last: Gelves 
Title: Differentiation and Cost Asymmetry: Solving the Merger Paradox 
Abstract:
 This paper investigates the impact of product differentiation and of cost
 asymmetry on the merger paradox using a Cournot framework. It finds that
 when all firms share the same costs, two-firm mergers in an n firm market
 generate at least no profit loss when goods are sufficiently
 differentiated. This result contrasts with that of Salant, Switzer, and
 Reynolds (1983) where mergers of strategic substitutes are rarely
 profitable, and Deneckere and Davidson (1985) where competition among
 strategic complements yields profitable mergers. Critically, when costs
 are asymmetric, a merger between an efficient and inefficient firm, with
 differentiated products, can be more profitable to participants than to
 excluded rivals. Following this merger, welfare is shown to increase given
 that the cost asymmetry between insiders is large enough.
Journal: International Journal of the Economics of Business 
Pages: 321-340 
Issue: 3 
Volume: 21 
Year: 2014 
Month: 11 
X-DOI: 10.1080/13571516.2014.959258 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.959258 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:3:p:321-340




Template-Type: ReDIF-Article 1.0
Author-Name: Paul L. Baker 
Author-X-Name-First: Paul L. 
Author-X-Name-Last: Baker 
Title: An Analysis of Double Taxation Treaties and their Effect on Foreign Direct Investment 
Abstract:
 Double taxation treaties (DTTs) are intended to eliminate double taxation
 and thereby increase foreign direct investment (FDI). DTTs are also meant
 to prevent tax evasion which previous literature argues has a negative
 effect on FDI. Using matching econometrics and a large data set of
 developed to less developed country-pairs, I show that despite their
 intentions and the significant costs of entering into DTTs, the treaties
 have no effect on the flows of FDI. An analysis of the treaties in
 conjunction with the related domestic tax legislation shows why this is
 the case. Developed countries unilaterally provide for the relief of
 double taxation and the prevention of fiscal evasion regardless of the
 treaty status of a host country. This eliminates the key economic benefit
 and the risk that these treaties would otherwise create for the FDI
 location decisions of multinational enterprises.
Journal: International Journal of the Economics of Business 
Pages: 341-377 
Issue: 3 
Volume: 21 
Year: 2014 
Month: 11 
X-DOI: 10.1080/13571516.2014.968454 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.968454 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:21:y:2014:i:3:p:341-377




Template-Type: ReDIF-Article 1.0
Author-Name: Harry Bloch 
Author-X-Name-First: Harry 
Author-X-Name-Last: Bloch 
Author-Name: B. Curtis Eaton 
Author-X-Name-First: B. Curtis 
Author-X-Name-Last: Eaton 
Author-Name: R. Rothschild 
Author-X-Name-First: R. 
Author-X-Name-Last: Rothschild 
Title: A Dynamic Model of Oligopolistic Market Structure, Featuring Positioning Investments 
Abstract:
 In their efforts to create and maintain a position in a market, firms make
 positioning investments of various sorts, in R&D, plant, advertising, and
 location, or more generally, in product development and maintenance. In an
 environment where the success of positioning investments is stochastic,
 the positioning game played by firms that compete to serve a market is
 necessarily dynamic. We model the positioning and operating decisions of
 firms in an environment of this sort. When the market is large enough to
 support at least one active firm, in the steady state equilibrium, the
 expected number of firms serving the market at a point in time is a nearly
 continuous function of market size, in sharp contrast to the familiar
 integer-valued step function seen in classic models, and expected total
 and consumer surplus are higher than standard non-stochastic models would
 indicate. This suggests that the classic models are not always a sound
 guide for policy.
Journal: International Journal of the Economics of Business 
Pages: 379-411 
Issue: 3 
Volume: 21 
Year: 2014 
Month: 11 
X-DOI: 10.1080/13571516.2014.956431 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.956431 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:3:p:379-411




Template-Type: ReDIF-Article 1.0
Author-Name: Terry Robinson 
Author-X-Name-First: Terry 
Author-X-Name-Last: Robinson 
Author-Name: Robert Simmons 
Author-X-Name-First: Robert 
Author-X-Name-Last: Simmons 
Title: Gate-Sharing and Talent Distribution in the English Football League 
Abstract:
 Using a database of the movements of more than 2,000 professional
 footballers in the top two divisions of the English Football League
 between 1969 and 1995, this article examines the impact on talent
 distribution via the movement of players after abolition of gate revenue
 sharing in 1983. We compare the results with the predictions of the
 Walrasian and Nash theoretical models presented in the sports economics
 literature. Our key finding is that the termination of gate revenue
 sharing brought about increased rates of transfers of quality players
 towards top division teams. We also find that there is an increased
 probability that better quality players will be transferred within
 divisions to bigger teams. These results go against one of the main
 theoretical predictions of the sports economics literature - that gate
 sharing will have no effect on competitive balance. Instead, they offer
 support for models based on win maximisation rather than profit
 maximisation.
Journal: International Journal of the Economics of Business 
Pages: 413-429 
Issue: 3 
Volume: 21 
Year: 2014 
Month: 11 
X-DOI: 10.1080/13571516.2014.947705 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.947705 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:21:y:2014:i:3:p:413-429




Template-Type: ReDIF-Article 1.0
Author-Name: Ian Mcquin Dobbs 
Author-X-Name-First: Ian Mcquin 
Author-X-Name-Last: Dobbs 
Title: Ladder Pricing - A New Form of Wholesale Price Discrimination 
Abstract:
 Wholesale 'ladder pricing' involves setting the wholesale price a retailer
 faces as a non-linear (generally increasing) function of the price chosen
 by that retailer. The special case where the ladder-pricing contract is
 linear is shown to be equivalent to a form of revenue sharing. Optimal
 profit maximizing ladder pricing/revenue sharing is examined, given that
 retailers are privately informed of their demands and costs, and have
 control over whether they participate, and if so, what retail price they
 set. The profit performance of the solution is compared with the
 alternative of wholesale quantity discounting, as the relative level of
 retailer demand/cost heterogeneity is varied; ladder pricing/revenue
 sharing tends to outperform quantity discounting by an increasing amount
 the greater retailer demand heterogeneity is relative to cost
 heterogeneity. Ladder pricing has recently been implemented for 08 and
 related calls in UK telecoms and has been subject to extended legal
 dispute; the case and issues involved are discussed.
Journal: International Journal of the Economics of Business 
Pages: 1-21 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2014.991558 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.991558 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:1-21




Template-Type: ReDIF-Article 1.0
Author-Name: Jing-Lin Duanmu 
Author-X-Name-First: Jing-Lin 
Author-X-Name-Last: Duanmu 
Title: External Finance and the Foreign Direct Investment Decision: Evidence from Privately Owned Enterprises in China 
Abstract:
 Access to external finance is found to be a statistically significant
 factor explaining the probability of privately owned enterprises (POEs) in
 China undertaking foreign direct investment (FDI). The significance of
 external finance is magnified in industries featuring a heavy dependence
 on external finance, high technology, low tangibility, and high inventory.
 The external finance and FDI linkage is weaker for POEs with group
 affiliation, but stronger for those with generous employment welfare
 practices.
Journal: International Journal of the Economics of Business 
Pages: 23-45 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2014.992118 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.992118 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:23-45




Template-Type: ReDIF-Article 1.0
Author-Name: David Bailey 
Author-X-Name-First: David 
Author-X-Name-Last: Bailey 
Author-Name: Helena Lenihan 
Author-X-Name-First: Helena 
Author-X-Name-Last: Lenihan 
Title: A Critical Reflection on Irish Industrial Policy: A Strategic Choice Approach 
Abstract:
 This paper offers a critical evaluation of recent Irish industrial policy
 (IP) experience. It argues that whilst Ireland managed to get some things
 "right" through its IP, substantial tensions arose through making foreign
 direct investment (FDI) attraction the centrepiece of policy, without at
 the same time adopting a more holistic approach in IP which inter alia
 also placed an emphasis on indigenous firms and entrepreneurship more
 generally. In particular, greater efforts should have been made much
 earlier in attempting to embed transnational corporation (TNC)-led
 activity better into the wider economy, in fostering domestic small firms
 and entrepreneurship, in promoting clusters, and more generally in
 evaluating IP more fully - notwithstanding the context which mitigated
 against such actions. As a result, Ireland as an economy remained
 vulnerable to strategic decisions made elsewhere by TNC decision makers,
 with IP effectively contributing to a situation that can be characterised
 as institutional and strategic failure. Overall, the paper suggests that
 wholesale emulation of the Irish IP approach is problematic.
Journal: International Journal of the Economics of Business 
Pages: 47-71 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2014.993218 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.993218 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:47-71




Template-Type: ReDIF-Article 1.0
Author-Name: David R. Collie 
Author-X-Name-First: David R. 
Author-X-Name-Last: Collie 
Author-Name: Vo Phuong Mai Le 
Author-X-Name-First: Vo Phuong Mai 
Author-X-Name-Last: Le 
Title: Product Differentiation, the Volume of Trade and Profits under Cournot and Bertrand Duopoly 
Abstract:
 This article analyses how product differentiation affects the volume of
 trade under duopoly using Shubik-Levitan demand functions rather than the
 Bowley demand functions used by Bernhofen (2001). The drawback of Bowley
 demand functions is that an increase in product differentiation increases
 the size of the market so the increase in the volume of trade may be the
 result of the increase in the size of the market rather than the increase
 in product differentiation <italic>per se</italic>. The Shubik-Levitan
 demand functions have the advantage that an increase in product
 differentiation does not increase the size of the market, but consumers
 still have a 'love of variety'. It is shown that the volume of trade in
 terms of quantities falls with increasing product differentiation when the
 trade cost is relatively low, but rises with increasing product
 differentiation when the trade cost is relatively high. Among the results,
 it is shown that the trade liberalisation is more likely to be profitable
 under Cournot duopoly than under Bertrand duopoly for differentiated
 products with a positive trade cost.
Journal: International Journal of the Economics of Business 
Pages: 73-86 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2014.950476 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.950476 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:73-86




Template-Type: ReDIF-Article 1.0
Author-Name: Rekha Rao-Nicholson 
Author-X-Name-First: Rekha 
Author-X-Name-Last: Rao-Nicholson 
Author-Name: Julie Salaber 
Author-X-Name-First: Julie 
Author-X-Name-Last: Salaber 
Title: Impact of the Financial Crisis on Banking Acquisitions: A Look at Shareholder Wealth 
Abstract:
 This paper examines the influence of the 2007-08 financial crisis on value
 creation for acquirer's shareholders in the banking industry using a
 sample of 883 deals over 2004-12. Applying an exploratory and top-down
 approach, banking acquisitions are considered at the global level,
 narrowing the analysis step by step to consider domestic versus
 cross-border acquisitions. Then cross-border deals are split based on the
 economic development of the acquirer and target countries. It is observed
 that only acquisitions involving emerging-economy acquirers and
 developed-economy targets generate positive and significant returns to
 shareholders after the crisis. Major changes in the global acquisition
 landscape are also observed since 2007, with emerging-economy banks
 increasing their acquisition activity, both nationally and
 internationally.
Journal: International Journal of the Economics of Business 
Pages: 87-117 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2014.982901 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.982901 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:87-117




Template-Type: ReDIF-Article 1.0
Author-Name: Nathan E. Wilson 
Author-X-Name-First: Nathan E. 
Author-X-Name-Last: Wilson 
Title: Local Market Structure and Strategic Organizational Form Choices: Evidence from Gasoline Stations 
Abstract:
 An extensive literature shows that agency issues and transaction costs
 impact vertical integration decisions. Another mature literature indicates
 that market structure influences competitive behavior. Less consideration
 has been given to how vertical integration and market structure may
 interact. I address this gap by focusing on the potential for moral hazard
 arising from intra-firm competition. Focusing on retail gasoline sales, I
 argue that when multiple stations share a common brand in a market, a
 vertically separated station has an incentive to deviate from the
 cooperative strategy that the brand-owning refiner would prefer. I
 empirically test this prediction using rich data, and find evidence of
 both such moral hazard and the desire to avoid it.
Journal: International Journal of the Economics of Business 
Pages: 119-140 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2015.1005954 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1005954 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:119-140




Template-Type: ReDIF-Article 1.0
Author-Name: Xuan Dong Nguyen 
Author-X-Name-First: Xuan Dong 
Author-X-Name-Last: Nguyen 
Author-Name: Xavier de Vanssay 
Author-X-Name-First: Xavier 
Author-X-Name-Last: de Vanssay 
Author-Name: Craig Parsons 
Author-X-Name-First: Craig 
Author-X-Name-Last: Parsons 
Title: The Japanese Automobile Tyre Industry under Scrutiny 
Abstract:
 This paper investigates the evolution of competition in the Japanese tyre
 market from 1976 to 2010 (35&nbsp;years). An innovative measure of
 competition developed by Jan Boone is employed, as well as traditional
 competition indices and price-cost margin regressions, using accounting
 data at the firm level. Traditional indicators such as the concentration
 ratio and Herfindahl-Hirschman Index (HHI) suggest a very high market
 concentration. However, regressions using the two Boone measures and
 price-cost margin suggest that some competitive behavior in the Japanese
 tyre industry exists. By introducing dummy variables for the
 Sumitomo-Ohtsu merger and antimonopoly action by the Japan Fair Trade
 Commission, the Boone-style regressions also suggest that the merger had
 no impact, but the cartel breakup did have a statistically significant
 (p&nbsp;>&nbsp;0.1) impact on firm's profitability in this oligopolistic
 market.
Journal: International Journal of the Economics of Business 
Pages: 141-162 
Issue: 1 
Volume: 22 
Year: 2015 
Month: 2 
X-DOI: 10.1080/13571516.2014.993567 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.993567 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:1:p:141-162




Template-Type: ReDIF-Article 1.0
Author-Name: Joel W. Hay 
Author-X-Name-First: Joel W. 
Author-X-Name-Last: Hay 
Title: A Special Commemorative Issue Honoring William S. Comanor and 50 Years of Pharmaceutical Economics 
Abstract:
 An introduction to the special issue on pharmaceutical economics and
 policy commemorating William S. ('Bill') Comanor and 50&nbsp;years of
 pharmaceutical economics.
Journal: International Journal of the Economics of Business 
Pages: 165-168 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045742 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045742 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:165-168




Template-Type: ReDIF-Article 1.0
Author-Name: William S. Comanor 
Author-X-Name-First: William S. 
Author-X-Name-Last: Comanor 
Title: Pharmaceutical Economics Since the 1960s: Plus &Ccedil;a Change, Plus C'est La M&ecirc;me Chose 
Abstract:
 This brief introduction discusses the early days of pharmaceutical
 economics.
Journal: International Journal of the Economics of Business 
Pages: 169-171 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7
X-DOI: 10.1080/13571516.2015.1045740 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045740 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:169-171




Template-Type: ReDIF-Article 1.0
Author-Name: Keith M. Drake 
Author-X-Name-First: Keith M. 
Author-X-Name-Last: Drake 
Author-Name: Martha A. Starr 
Author-X-Name-First: Martha A. 
Author-X-Name-Last: Starr 
Author-Name: Thomas G. McGuire 
Author-X-Name-First: Thomas G. 
Author-X-Name-Last: McGuire 
Title: Do "Reverse Payment" Settlements Constitute an Anticompetitive Pay-for-Delay? 
Abstract:
 Brand and generic drug manufacturers frequently settle patent litigation
 on terms that include a payment to the generic manufacturer. The Federal
 Trade Commission contends that these agreements extend the brand's market
 exclusivity and amount to anticompetitive market division. Involved
 parties defend the settlements as normal business agreements that reduce
 business risk. The anticompetitive hypothesis implies brand stock prices
 should rise with settlement announcements. We classify 68 brand-generic
 settlements into those with and without indication of a "reverse payment,"
 and conduct an event study of the settlement announcement's influence on
 the brand's stock price. For settlements with indication of a reverse
 payment, brand stock prices rise on average 6% at the announcement. A
 control group of brand-generic settlements without indication of a reverse
 payment had no significant effect. Our results support the hypothesis that
 settlements with a reverse payment increase the expected profits of the
 brand manufacturer and are anticompetitive.
Journal: International Journal of the Economics of Business 
Pages: 173-200 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045744 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045744 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:173-200




Template-Type: ReDIF-Article 1.0
Author-Name: Ali Shajarizadeh 
Author-X-Name-First: Ali 
Author-X-Name-Last: Shajarizadeh 
Author-Name: Paul Grootendorst 
Author-X-Name-First: Paul 
Author-X-Name-Last: Grootendorst 
Author-Name: Aidan Hollis 
Author-X-Name-First: Aidan 
Author-X-Name-Last: Hollis 
Title: Newton's First Law as Applied to Pharmacies: Why Entry Order Matters for Generics 
Abstract:
 The first generic entrant into Canadian pharmaceutical markets has a
 surprisingly durable impact on market share: consistent with past
 research, we show that first entrants have a boost of roughly 25% in their
 expected market share some six years after entry. There appears to be
 considerable inertia in pharmacies' choice of which generic drug to stock.
 In this article, we empirically explore possible explanations for this
 puzzling phenomenon, including reputation, pharmacy "gratitude," patient
 resistance to switching, and transactions costs.
Journal: International Journal of the Economics of Business 
Pages: 201-217 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045746 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045746 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:201-217




Template-Type: ReDIF-Article 1.0
Author-Name: Aslam H. Anis 
Author-X-Name-First: Aslam H. 
Author-X-Name-Last: Anis 
Author-Name: Stephanie Harvard 
Author-X-Name-First: Stephanie 
Author-X-Name-Last: Harvard 
Title: A Ban on "Private Label" Generic Pharmaceuticals: Legal and Economic Context 
Abstract:
 In 2010, the Canadian province of Ontario passed regulations to prohibit
 pharmacy chains from selling their own "private label" (PL) generic drugs.
 Pharmacy chain owners Shoppers Drug Mart Corporation and Katz Group Canada
 challenged the regulations, stating they fell outside the purpose and
 authority of their overarching legislation that was meant to promote low
 drug prices. In 2013, the Supreme Court of Canada ruled in favor of the
 ban, prohibiting PL generic drugs in Ontario. However, the Supreme Court
 was limited to examining the legality of the ban, not its impact on drug
 prices. This article reviews the legal case and also discusses the likely
 impact of PL generics on drug prices, taking into consideration the
 competitive effects of vertical integration and the price-caps on generic
 drugs currently in place in Canada.
Journal: International Journal of the Economics of Business 
Pages: 219-229 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045738 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045738 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:219-229




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Manning 
Author-X-Name-First: Richard 
Author-X-Name-Last: Manning 
Author-Name: Christopher Stomberg 
Author-X-Name-First: Christopher 
Author-X-Name-Last: Stomberg 
Author-Name: Benjamin Scher 
Author-X-Name-First: Benjamin 
Author-X-Name-Last: Scher 
Author-Name: Kathleen Twigg 
Author-X-Name-First: Kathleen 
Author-X-Name-Last: Twigg 
Author-Name: Andrew Huson 
Author-X-Name-First: Andrew 
Author-X-Name-Last: Huson 
Title: Similar Products at Different Prices: Can Biopharmaceutical Companies Segment Markets? 
Abstract:
 New data on Medicare Part B payments show provider-level utilization of
 two similar but distinct biologic medications used to treat wet
 age-related macular degeneration. Their interaction provides insight into
 the ability of manufacturers to effectively segment markets and suggests
 some analogies for the future interplay between originator biologics and
 biosimilars. In particular, most ophthalmologists administer a mix of
 Avastin (used off-label), Lucentis, and other drugs; only a small share
 exclusively choose Lucentis. This is inconsistent with the hypotheses that
 (1) the manufacturer is able to effectively segment the market, and (2)
 the major factor driving physicians' product choice is the financial
 motivation. The data are consistent with the notion that physicians
 typically exercise medical judgment on a patient-by-patient basis and that
 product choice is driven largely by factors other than simple financial
 interests. This raises important dynamic efficiency considerations
 regarding incentives for future biologic competition.
Journal: International Journal of the Economics of Business 
Pages: 231-243 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045739 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045739 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:231-243




Template-Type: ReDIF-Article 1.0
Author-Name: Patricia M. Danzon 
Author-X-Name-First: Patricia M. 
Author-X-Name-Last: Danzon 
Title: Pharmacy Benefit Management: Are Reporting Requirements Pro- or Anticompetitive? 
Abstract:
 The market-based US healthcare system relies on pharmacy benefit managers
 (PBMs) to control pharmaceutical costs, in contrast to most other
 countries that regulate drug prices and access. Optimal structuring and
 regulation of PBM contracts pose significant agency challenges for private
 and public payers. However, recent reporting requirements for PBMs may be
 counterproductive and reflect the interests of competitors rather than
 customers.
Journal: International Journal of the Economics of Business 
Pages: 245-261 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045741 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045741 
File-Format: text/html
File-Restriction: Access to full text is restricted to subscribers. 
Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:245-261




Template-Type: ReDIF-Article 1.0
Author-Name: Adrian Towse 
Author-X-Name-First: Adrian 
Author-X-Name-Last: Towse 
Author-Name: Michele Pistollato 
Author-X-Name-First: Michele 
Author-X-Name-Last: Pistollato 
Author-Name: Jorge Mestre-Ferrandiz 
Author-X-Name-First: Jorge 
Author-X-Name-Last: Mestre-Ferrandiz 
Author-Name: Zeba Khan 
Author-X-Name-First: Zeba 
Author-X-Name-Last: Khan 
Author-Name: Satyin Kaura 
Author-X-Name-First: Satyin 
Author-X-Name-Last: Kaura 
Author-Name: Louis Garrison 
Author-X-Name-First: Louis 
Author-X-Name-Last: Garrison 
Title: European Union Pharmaceutical Markets: A Case for Differential Pricing? 
Abstract:
 Differential pricing has been considered extensively for its potential to
 increase access to medicines in low- and middle-income countries. A
 differential pricing system applied within an economic union (such as the
 European Union [EU]) comprising high-income and middle-income countries
 would also increase access and provide stronger incentives to invest in
 the R&D of innovative medicines. Access to innovative medicines is limited
 in EU markets with relatively low GDP per capita, indicating that the
 current pricing system does not promote efficient access. This article
 looks at how theory could be put into practice suggesting ways to
 implement a differential pricing system in the EU that can enhance overall
 welfare.
Journal: International Journal of the Economics of Business 
Pages: 263-275 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045747 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045747 
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Template-Type: ReDIF-Article 1.0
Author-Name: Frank R. Lichtenberg 
Author-X-Name-First: Frank R. 
Author-X-Name-Last: Lichtenberg 
Title: Pharmaceutical Innovation, Longevity, and Medical Expenditure in Greece, 1995-2010 
Abstract:
 Longitudinal, disease-level data are used to analyze the impact of
 pharmaceutical innovation on longevity (mean age at death), hospital
 utilization, and medical expenditure in Greece during the period
 1995-2010. The estimates indicate that pharmaceutical innovation increased
 mean age at death by 0.87&nbsp;years (10.4&nbsp;months) - about 44% of the
 total increase in longevity - and that diseases with larger increases in
 the cumulative number of drugs launched one to four years earlier had
 smaller increases in the number of hospital days. Real per capita
 pharmaceutical expenditure increased rapidly during this period, but 62%
 of the increase in pharmaceutical expenditure was offset by a reduction in
 hospital expenditure attributable to pharmaceutical innovation. The
 baseline estimate of the cost per life-year gained from pharmaceutical
 innovation in Greece is $17,117, which is a very small fraction of leading
 economists' estimates of the value of (or consumers' willingness to pay
 for) a one-year increase in life expectancy.
Journal: International Journal of the Economics of Business 
Pages: 277-299 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045743 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045743 
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:2:p:277-299




Template-Type: ReDIF-Article 1.0
Author-Name: Richard G. Frank 
Author-X-Name-First: Richard G. 
Author-X-Name-Last: Frank 
Author-Name: Raymond S. Hartman 
Author-X-Name-First: Raymond S. 
Author-X-Name-Last: Hartman 
Title: The Nature of Pharmaceutical Competition: Implications for Antitrust Analysis 
Abstract:
 Competition among alternative pharmaceutical products occurs within
 therapeutic areas and is importantly conditioned upon whether it occurs
 among therapeutic substitutes (alternative molecules - differentiated
 products) or within a particular molecule (a brand-name drug and its
 generic substitutes - homogeneous products). Healthcare institutions treat
 substitution among brand-name and generic drugs differently. Hence,
 competition among therapeutic substitutes may be considerably different
 from competition between a brand-name drug and its generics. We address
 these distinct competitive behaviors in the context of an active antitrust
 issue - foreclosure of generic entry. We empirically examine the contours
 of the relevant antitrust markets in two ways. We use the hypothetical
 monopolist test of the <italic>DOJ Merger Guidelines</italic>, and we
 conduct exemplar empirical analyses for two therapies (alpha blockers and
 antidepressants). We demonstrate that price competition occurs primarily
 at the level of the molecule. Our work provides a general framework for
 analyzing and defining antitrust markets in the pharmaceutical industry.
Journal: International Journal of the Economics of Business 
Pages: 301-343 
Issue: 2 
Volume: 22 
Year: 2015 
Month: 7 
X-DOI: 10.1080/13571516.2015.1045745 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1045745 
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Template-Type: ReDIF-Article 1.0
Author-Name: Bernadette Power 
Author-X-Name-First: Bernadette 
Author-X-Name-Last: Power 
Author-Name: Gavin C. Reid 
Author-X-Name-First: Gavin C. 
Author-X-Name-Last: Reid 
Title: Performance and Strategy: Simultaneous Equations Analysis of Long-lived Firms 
Abstract:
 A simultaneous equations model of performance, strategy and size is tested
 using fieldwork evidence on long-lived firms in Scotland. Estimation is by
 I3SLS, with correction for sample selection bias. The contributions of
 this paper are that it: (a) grounds estimation on fieldwork evidence; (b)
 calibrates performance and competitive strategy; (c) tests and models
 endogeneity; and (d) computes robust trade-off elasticities between firm
 size and performance. It shows how this trade-off provides the
 entrepreneur with two strong incentives: (i) to seek greater efficiency
 typically by an increase in the human capital of the 'core' workforce;
 (ii) to achieve higher levels of performance by adopting more diverse
 competitive strategies.
Journal: International Journal of the Economics of Business 
Pages: 345-377 
Issue: 3 
Volume: 22 
Year: 2015 
Month: 11 
X-DOI: 10.1080/13571516.2015.1051751 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1051751 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:3:p:345-377




Template-Type: ReDIF-Article 1.0
Author-Name: Marcelo Resende 
Author-X-Name-First: Marcelo 
Author-X-Name-Last: Resende 
Author-Name: Eduardo P. Ribeiro 
Author-X-Name-First: Eduardo P. 
Author-X-Name-Last: Ribeiro 
Author-Name: Rodrigo Zeidan 
Author-X-Name-First: Rodrigo 
Author-X-Name-Last: Zeidan 
Title: Dynamic Entry and Exit Linkages in the Brazilian Manufacturing Industry: An Econometric Investigation 
Abstract:
 The paper investigates dynamic linkages between entry and exit rates in
 Brazilian manufacturing in the context of 231 (four-digit) industries
 during the 1996-2005 period. The empirical analysis focuses on the
 estimation of a dynamic panel data model for entry and exit rates, and
 controls for the business cycle and structural characteristics, such as
 industrial concentration and suboptimal scale. The empirical evidence is
 partially consistent with a multiplier effect where synergetic factors
 prevail by exit inducing exit. Evidence partially supports a competition
 effect that could be related to a selection process favoring efficiency,
 as exit induces entry. The business cycle control variable and the
 aforementioned structural variables appear to play no role in delineating
 entry and exit linkages. The results are similar, although not identical,
 to previous evidence for developed countries.
Journal: International Journal of the Economics of Business 
Pages: 379-392 
Issue: 3 
Volume: 22 
Year: 2015 
Month: 11 
X-DOI: 10.1080/13571516.2015.1009684 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1009684 
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:3:p:379-392




Template-Type: ReDIF-Article 1.0
Author-Name: Kenneth Fjell 
Author-X-Name-First: Kenneth 
Author-X-Name-Last: Fjell 
Author-Name: &Oslash;ystein Foros 
Author-X-Name-First: &Oslash;ystein 
Author-X-Name-Last: Foros 
Author-Name: Hans Jarle Kind 
Author-X-Name-First: Hans 
Author-X-Name-Last: Jarle Kind 
Title: On the Choice of Royalty Rule to Cover Fixed Costs in Input Joint Ventures 
Abstract:
 In a model where two competing downstream firms establish an input joint
 venture (JV), we analyze how different royalty rules for covering fixed
 costs affect channel profits. Under running royalties, the downstream
 firms' perceived marginal costs are above the true marginal costs since
 fixed costs are incorporated. We find that tougher competition between the
 JV partners may actually increase channel profit under such a scheme.
 However, lump-sum royalties are preferable if the competitive pressure is
 weak.
Journal: International Journal of the Economics of Business 
Pages: 393-406 
Issue: 3 
Volume: 22 
Year: 2015 
Month: 11 
X-DOI: 10.1080/13571516.2014.965898 
File-URL: http://hdl.handle.net/10.1080/13571516.2014.965898 
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:3:p:393-406




Template-Type: ReDIF-Article 1.0
Author-Name: Evangelos C. Charalambakis 
Author-X-Name-First: Evangelos C. 
Author-X-Name-Last: Charalambakis 
Title: On the Prediction of Corporate Financial Distress in the Light of the Financial Crisis: Empirical Evidence from Greek Listed Firms 
Abstract:
 This paper evaluates the impact of accounting and market-driven
 information on the prediction of bankruptcy for Greek firms using the
 discrete hazard approach. The findings show that a hazard model that
 incorporates three accounting ratio components of Z-score and three
 market-driven variables is the most appropriate model for the prediction
 of corporate financial distress in Greece. This model outperforms a
 univariate model that uses the expected default frequency (EDF) derived
 from the Merton distance to default model, a multivariate model that is
 exclusively based on accounting variables, a model that combines the EDF
 and accounting variables, and a multivariate model that uses only
 market-driven variables. Classification accuracy and bankruptcy forecast
 tests confirm the main results. The model is also able to sustain high
 long-term performance when augmenting the forecast horizon from one to two
 and three years.
Journal: International Journal of the Economics of Business 
Pages: 407-428 
Issue: 3 
Volume: 22 
Year: 2015 
Month: 11 
X-DOI: 10.1080/13571516.2015.1020131 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1020131 
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:3:p:407-428




Template-Type: ReDIF-Article 1.0
Author-Name: Pekka S��skilahti 
Author-X-Name-First: Pekka 
Author-X-Name-Last: S��skilahti 
Title: Monopoly Pricing of Social Goods 
Abstract:
 We analyse the roles of network connectivity and topology on the monopoly
 pricing of network goods which enable social interaction between
 consumers. Connectivity between network members induces the well-known
 network externalities effect, while the topological effect is caused by
 the incompleteness of the social network's linkage, and it has not been
 previously recognised in this context. We find that the topological effect
 counteracts, and dominates, the connectivity effect by reducing the
 monopoly's capacity to extract consumer surplus. Our results are seen to
 hold in real cases of social network businesses. The monopolist benefits
 from price discrimination based on consumers' social connections, but this
 has a social cost as consumer surplus loss is higher than the increase in
 profits, with the highly connected consumers being the primary losers.
 Therefore, privacy policies restricting excessive social profiling and
 tracking can have an antitrust role too. Our approach also extends the
 theory of multi-sided markets in relation to the underlying relations
 graph of different market sides.
Journal: International Journal of the Economics of Business 
Pages: 429-448 
Issue: 3 
Volume: 22 
Year: 2015 
Month: 11 
X-DOI: 10.1080/13571516.2015.1008731 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1008731 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:3:p:429-448




Template-Type: ReDIF-Article 1.0
Author-Name: Babatunde Buraimo 
Author-X-Name-First: Babatunde 
Author-X-Name-Last: Buraimo 
Author-Name: Rob Simmons 
Author-X-Name-First: Rob 
Author-X-Name-Last: Simmons 
Title: Uncertainty of Outcome or Star Quality? Television Audience Demand for English Premier League Football 
Abstract:
 This paper presents new evidence on the relevance of uncertainty of
 outcome for demand for sports viewing. Using television viewing figures
 for eight seasons from the English Premier League, we show that
 uncertainty of outcome does not have the hypothesised effect on television
 audience demand. Separating uncertainty of outcome effects by season, the
 results show that, at best, uncertainty of outcome had imprecise effects
 on audiences in earlier seasons, but zero effects in later seasons.
 Television audiences have evolved to exhibit preferences for talent. We
 suggest that the notion of a pure sporting contest in which uncertainty of
 outcome matters is no longer relevant and more important is the extent to
 which sports teams and leagues can increase the quality of the talent on
 show.
Journal: International Journal of the Economics of Business 
Pages: 449-469 
Issue: 3 
Volume: 22 
Year: 2015 
Month: 11 
X-DOI: 10.1080/13571516.2015.1010282 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1010282 
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Handle: RePEc:taf:ijecbs:v:22:y:2015:i:3:p:449-469




Template-Type: ReDIF-Article 1.0
Author-Name: Kim P. Huynh 
Author-X-Name-First: Kim P. 
Author-X-Name-Last: Huynh 
Author-Name: Robert J. Petrunia 
Author-X-Name-First: Robert J. 
Author-X-Name-Last: Petrunia 
Title: Post-Entry Struggle for Life and Pre-Exit Shadow of Death from a Financial Perspective 
Abstract:
 The success or failure of small, young, and private firms depends highly
 on the evolution of their financial position. This paper considers the
 post-entry/pre-exit adjustment process of firms, with focus on financial
 (debt-to-asset ratio) and labor productivity dynamics. Empirically
 examining financial relationships has been difficult, due to a lack of
 data on small, young, and private firms. We find that the post-entry
 struggle for life results in highly productive entrants reducing their
 leverage. Pre-exit dynamics see firm growth and relative firm size fall,
 with rising leverage. Increasing leverage hints at a <italic>shadow of
 death</italic>. Selection and survivor effects contribute to post-entry
 dynamics, while turnover and transition effects contribute to pre-exit
 dynamics.
Journal: International Journal of the Economics of Business 
Pages: 1-18 
Issue: 1 
Volume: 23 
Year: 2016 
Month: 2 
X-DOI: 10.1080/13571516.2015.1084153 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1084153 
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Template-Type: ReDIF-Article 1.0
Author-Name: Morten Hviid 
Author-X-Name-First: Morten 
Author-X-Name-Last: Hviid 
Author-Name: Matthew Olczak 
Author-X-Name-First: Matthew 
Author-X-Name-Last: Olczak 
Title: Raising Rivals&#x2019; Fixed Costs 
Abstract:
 This article demonstrates that raising fixed costs can serve as a credible
 mechanism for a well placed firm to exclude its rivals. We identify a
 number of credible avenues, such as increased regulation, vexatious
 litigation and increased prices for essential inputs, through which such a
 firm can raise fixed costs. We show that for a wide range of oligopoly
 models this may be a profitable strategy, even if the firm&#x2019;s own
 fixed costs are affected as much (or even more) than its rivals and even
 if it is less efficient. The resulting reduction in the number of firms in
 the market is detrimental to consumer welfare and hence worthy of scrutiny
 by competition and regulatory authorities.
Journal: International Journal of the Economics of Business 
Pages: 19-36 
Issue: 1 
Volume: 23 
Year: 2016 
Month: 2 
X-DOI: 10.1080/13571516.2015.1055913 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1055913 
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Template-Type: ReDIF-Article 1.0
Author-Name: Sven Heim 
Author-X-Name-First: Sven 
Author-X-Name-Last: Heim 
Author-Name: Kai H&#xfc;schelrath 
Author-X-Name-First: Kai 
Author-X-Name-Last: H&#xfc;schelrath 
Author-Name: Ulrich Laitenberger 
Author-X-Name-First: Ulrich 
Author-X-Name-Last: Laitenberger 
Title: The Duration of the EC Merger Control Process: Determinants and the Impact of the 2004 Merger Regulation Reform 
Abstract:
 The duration of merger proceedings held by competition authorities is an
 important determinant of the efficiency of the entire merger control
 process. A data set of 2953 Phase I and 92 Phase II investigations
 completed by the European Commission (EC) between 1999 and 2008 is used to
 examine the key determinants of their duration. Differentiating between
 authority- and case-related drivers, the findings show that while the
 duration of Phase I investigations largely depends on the type of decision
 and use of simplified procedure, the duration of Phase II investigations
 is driven by factors such as industry knowledge, the duration of the
 preceding Phase I investigation, the origin of the notifying firm, or the
 number of identified relevant markets. Evidence is also provided that the
 significant increase in average duration identified after the 2004 merger
 regulation reform does not imply a decrease in administrative efficiency,
 as the probability of in-depth investigations was correspondingly reduced.
Journal: International Journal of the Economics of Business 
Pages: 37-62 
Issue: 1 
Volume: 23 
Year: 2016 
Month: 2 
X-DOI: 10.1080/13571516.2015.1105446 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1105446 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:23:y:2016:i:1:p:37-62




Template-Type: ReDIF-Article 1.0
Author-Name: Werner G&#xfc;th 
Author-X-Name-First: Werner 
Author-X-Name-Last: G&#xfc;th 
Author-Name: Kirsten H&#xe4;ger 
Author-X-Name-First: Kirsten 
Author-X-Name-Last: H&#xe4;ger 
Author-Name: Oliver Kirchkamp 
Author-X-Name-First: Oliver 
Author-X-Name-Last: Kirchkamp 
Author-Name: Joachim Schwalbach 
Author-X-Name-First: Joachim 
Author-X-Name-Last: Schwalbach 
Title: Testing Forbearance Experimentally: Duopolistic Competition of Conglomerate Firms 
Abstract:
 Like Feinberg and Sherman (1985) and Phillips and Mason (1992), we test
 experimentally whether conglomerate firms, i.e. firms competing on
 multiple, structurally unrelated markets, effectively limit competition
 through forbearance. Unlike these authors, our more general analysis
 assumes differentiated rather than homogeneous products and distinguishes
 strategic substitutes as well as complements to test their forbearance
 hypothesis. We vary the duration of the interaction to disentangle effects
 of forbearance and repetition. Surprisingly, rather than limiting
 competition, conglomerate firms foster it. In line with our expectations,
 we find more cooperation with strategic complements than with strategic
 substitutes and also more cooperation with long term than with short term
 interaction.
Journal: International Journal of the Economics of Business 
Pages: 63-86 
Issue: 1 
Volume: 23 
Year: 2016 
Month: 2 
X-DOI: 10.1080/13571516.2015.1049841 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1049841 
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Template-Type: ReDIF-Article 1.0
Author-Name: Ben Ferrett 
Author-X-Name-First: Ben 
Author-X-Name-Last: Ferrett 
Author-Name: Joanna Poyago-Theotoky 
Author-X-Name-First: Joanna 
Author-X-Name-Last: Poyago-Theotoky 
Title: Horizontal Agreements and R&D Complementarities: Merger versus RJV 
Abstract:
 We study the decision of two firms within an oligopoly concerning whether
 to enter into a horizontal agreement to exploit complementarities between
 their R&D activities and if so, whether to merge or form a research joint
 venture (RJV). In contrast to horizontal merger and motivated by
 real-world evidence, we incorporate a probability that an RJV contract
 will fail to enforce R&D sharing. We find that a horizontal agreement
 always arises in equilibrium, which is consistent with empirical findings
 that R&D complementarities between firms positively influence the
 formation of horizontal agreements. The insiders&#x2019; merger/RJV choice
 involves a trade-off: While merger offers certainty that R&D
 complementarities will be exploited, it leads to a profit-reducing
 reaction by outsiders on the product market, where competition is Cournot.
 Greater contract enforceability (quality) and R&D investment costs both
 favour RJV. Interestingly, the insiders may choose to merge even when RJV
 contracts are always enforceable, and they may opt to form an RJV even
 when the likelihood of enforceability is negligible. We also explore the
 welfare implications of the firms&#x2019; merger/RJV choice.
Journal: International Journal of the Economics of Business 
Pages: 87-107 
Issue: 1 
Volume: 23 
Year: 2016 
Month: 2 
X-DOI: 10.1080/13571516.2015.1049848 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1049848 
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Template-Type: ReDIF-Article 1.0
Author-Name: Guttorm Schjelderup 
Author-X-Name-First: Guttorm 
Author-X-Name-Last: Schjelderup 
Title: The Tax Sensitivity of Debt in Multinationals: A Review 
Abstract:
 The OECD in its BEPS Action Plan Four addresses tax base erosion by profit
 shifting through the use of tax deductible interest payments. Their main
 concern is interest deductions between outbound and inbound investment by
 groups. Studies of multinational firms show that the tax sensitivity of
 debt is more modest than one would expect given the incentives for profit
 shifting. The purpose of this paper is to review existing literature and
 add to knowledge on multinational firm behavior that pertains to the use
 of debt.
Journal: International Journal of the Economics of Business 
Pages: 109-121 
Issue: 1 
Volume: 23 
Year: 2016 
Month: 2 
X-DOI: 10.1080/13571516.2015.1115661 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1115661 
File-Format: text/html
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Handle: RePEc:taf:ijecbs:v:23:y:2016:i:1:p:109-121




Template-Type: ReDIF-Article 1.0
Author-Name: Ernst R. Berndt 
Author-X-Name-First: Ernst R. 
Author-X-Name-Last: Berndt 
Author-Name: Pierre Dubois 
Author-X-Name-First: Pierre 
Author-X-Name-Last: Dubois 
Title: Impacts of Patent Expiry on Daily Cost of Pharmaceutical Treatments in Eight OECD Countries, 2004--2010<xref ref-type="fn" rid="FN0001"/> 
Abstract:
 Variability in regulatory frameworks, industrial policy,
 physician/pharmacy autonomy, brand/generic distinctions, and the practice
 of medicine contribute to ambiguous interpretations of cross-country
 pharmaceutical cost comparisons. Here, we report cross-country comparisons
 that: (i) focus on ten therapeutic classes experiencing patent expiration
 and loss of exclusivity 2004--2010 in eight industrialized countries; (ii)
 convert revenues and unit sales to cost per day of treatment and number
 patient days treated using the World Health Organization&#x2019;s Defined
 Daily Dosage metrics; (iii) compare patterns in costs per day of treatment
 with price index measures based on average price per day of treatment for
 each molecule computed over all molecule versions; (iv) utilizing
 econometric methods, model and quantify various factors affecting
 variations in daily treatment price indexes such as national regulatory
 and reimbursement policy changes, physician/pharmacy autonomy, and other
 factors; and (v) simulate changes in expenditures by country and
 therapeutic class had counterfactual policies been implemented.
Journal: International Journal of the Economics of Business 
Pages: 125-147 
Issue: 2 
Volume: 23 
Year: 2016 
Month: 7 
X-DOI: 10.1080/13571516.2015.1122969 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1122969 
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Template-Type: ReDIF-Article 1.0
Author-Name: Henry G. Grabowski 
Author-X-Name-First: Henry G. 
Author-X-Name-Last: Grabowski 
Author-Name: Richard L. Manning 
Author-X-Name-First: Richard L. 
Author-X-Name-Last: Manning 
Title: An Economic Analysis of Global Policy Proposals to Prohibit Compensation of Blood Plasma Donors<xref ref-type="fn" rid="FN0001"/> 
Abstract:
 Human blood plasma and its derivative therapies have been used
 therapeutically for more than 50&#xa0;years, after first being widely used
 to treat injuries during World War II. In certain countries, manufacturers
 of these therapies -- known as plasma-derived medicinal products (PDMPs)
 -- compensate plasma donors, raising healthcare and ethical concerns among
 some parties. In particular, the World Health Organization has taken a
 strong advocacy position that compensation for blood donations should be
 eliminated worldwide. This review evaluates the key economic factors
 underlying the supply and demand for PDMPs and the evidence pointing to
 the policy options that are most likely to maintain a reliable supply of
 life-sustaining therapies. It concludes that compensated plasma donation
 is important for maintaining adequate and consistent supplies of plasma
 and limits the risk of under-treatment for the foreseeable future.
Journal: International Journal of the Economics of Business 
Pages: 149-166 
Issue: 2 
Volume: 23 
Year: 2016 
Month: 7 
X-DOI: 10.1080/13571516.2016.1182690 
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1182690 
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Handle: RePEc:taf:ijecbs:v:23:y:2016:i:2:p:149-166




Template-Type: ReDIF-Article 1.0
Author-Name: Philippe Cyrenne 
Author-X-Name-First: Philippe 
Author-X-Name-Last: Cyrenne 
Title: The Determinants of Dual Distribution Revisited 
Abstract:
 This paper examines the use of what has been called &#x201c;dual
 distribution&#x201d; by firms. Dual distribution involves a firm using
 both company-owned stores and independently owned franchises to sell its
 product or service. Using panel data from 1048 companies for the years
 2005 to 2009, I use a variety of estimators to determine the factors that
 influence the relative use of franchising by companies. A key focus of the
 paper is to control for the possible endogeneity of the franchise fee,
 royalty rate, and franchise ratio for the companies in the respective
 industries. Using a panel data estimator and lagged values of the
 franchise fee and royalty rate as instruments, I find that one reason the
 franchise fee and royalty rate do not appear to influence the relative use
 of franchising is due to industry- and firm-level fixed effects, which
 capture the variation in royalty rates and franchise fees at the company
 level.
Journal: International Journal of the Economics of Business 
Pages: 167-182 
Issue: 2 
Volume: 23 
Year: 2016 
Month: 7 
X-DOI: 10.1080/13571516.2015.1108518 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1108518 
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Handle: RePEc:taf:ijecbs:v:23:y:2016:i:2:p:167-182




Template-Type: ReDIF-Article 1.0
Author-Name: XiaoHua Chen 
Author-X-Name-First: XiaoHua 
Author-X-Name-Last: Chen 
Author-Name: Edna Solomon 
Author-X-Name-First: Edna 
Author-X-Name-Last: Solomon 
Author-Name: Thanos Verousis 
Author-X-Name-First: Thanos 
Author-X-Name-Last: Verousis 
Title: Asymmetric Post-Announcement Drift to Good and Bad News: Evidence from Voluntary Trading Disclosures in the Chinese Stock Market 
Abstract:
 This article investigates the post-announcement drift (PAD) of stock
 returns in the Chinese stock market. We use a sample of voluntary trading
 disclosures to test the hypothesis that an asymmetric PAD exists in a
 market in which managers are more likely to suppress negative news. We
 show that a pattern of short-term momentum and long-term reversal in
 returns persists for up to 250 trading days following the announcement of
 trading statements in the Chinese stock market. This finding is stronger
 for positive announcements in terms of the magnitude and the variance of
 stock returns. Our findings are in line with both Shin&#x2019;s
 theoretical predictions and the credibility hypothesis, in which
 disclosure and asset returns are jointly determined and the adoption of a
 &#x201c;sanitisation strategy&#x201d; in information disclosure generates
 more volatile returns for firms issuing good news. Further, we show that
 the latter effect is more pronounced for firms which are partially
 state-owned, suggesting that they potentially receive more government
 support, a finding which is in line with the hypothesis that the incentive
 to suppress negative information is related to a country&#x2019;s
 legal/judicial system.
Journal: International Journal of the Economics of Business 
Pages: 183-198 
Issue: 2 
Volume: 23 
Year: 2016 
Month: 7 
X-DOI: 10.1080/13571516.2015.1048974 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1048974 
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Template-Type: ReDIF-Article 1.0
Author-Name: Fabienne Rasel 
Author-X-Name-First: Fabienne 
Author-X-Name-Last: Rasel 
Title: Combining Information Technology and Decentralized Workplace Organization: SMEs versus Larger Firms 
Abstract:
 This paper examines whether information technology (IT) and decentralized
 and incentive-based workplace organization are complementary only for
 large firms or also for smaller firms. Previous empirical evidence
 suggesting complementarity between IT and decentralization is mainly based
 on large firms. Using data from a sample of 3,288 small and medium-sized
 enterprises (SMEs) and 595 larger firms from the manufacturing and service
 sector in Germany, it appears that SMEs with decentralized and
 incentive-based work practices tend to use IT more intensively. Moreover,
 for the sample of SMEs, IT and workplace organization are individually
 associated with higher productivity, but the combination of IT and
 decentralization does not yield a productivity premium. In contrast, the
 productivity of IT depends positively on decentralization for large firms.
 The findings suggest that combining IT and decentralized workplace
 organization seems only to be a successful strategy for larger firms.
Journal: International Journal of the Economics of Business 
Pages: 199-241 
Issue: 2 
Volume: 23 
Year: 2016 
Month: 7 
X-DOI: 10.1080/13571516.2015.1106065 
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1106065 
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Template-Type: ReDIF-Article 1.0
Author-Name: Caroline Elliott 
Author-X-Name-First: Caroline 
Author-X-Name-Last: Elliott 
Author-Name: Palitha Konara 
Author-X-Name-First: Palitha 
Author-X-Name-Last: Konara 
Author-Name: Yingqi Wei 
Author-X-Name-First: Yingqi 
Author-X-Name-Last: Wei 
Title: Competition, Cooperation and Regulatory Intervention Impacts on Independent School Fees 
Abstract:
 This paper examines the factors determining fee levels set by independent
 schools, focusing on the impact of competition, cooperation and regulatory
 intervention in the sector. Results indicate that, once account is taken
 of factors such as the extent of local competition between independent
 schools, the impact of the 2003--2005 Office of Fair Trading investigation
 into the fee-setting cartel on independent school fees becomes
 insignificant. Meanwhile, the extent of competition between independent
 schools has a significant effect on levels of boarding school fees.
 Results highlight the importance of considering pricing strategies of
 groups within a cartel.
Journal: International Journal of the Economics of Business 
Pages: 243-262 
Issue: 2 
Volume: 23 
Year: 2016 
Month: 7 
X-DOI: 10.1080/13571516.2016.1144011 
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1144011 
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Template-Type: ReDIF-Article 1.0
Author-Name: Andrew A. Toole
Author-X-Name-First: Andrew A.
Author-X-Name-Last: Toole
Author-Name: Richard D. Miller
Author-X-Name-First: Richard D.
Author-X-Name-Last: Miller
Title: Editors’ Introduction
Journal: International Journal of the Economics of Business
Pages: 1-4
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2018.1553277
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1553277
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Template-Type: ReDIF-Article 1.0
Author-Name: Jeffrey M. Kuhn
Author-X-Name-First: Jeffrey M.
Author-X-Name-Last: Kuhn
Author-Name: Neil C. Thompson
Author-X-Name-First: Neil C.
Author-X-Name-Last: Thompson
Title: How to Measure and Draw Causal Inferences with Patent Scope
Abstract: 
 This paper presents an easy-to-use measure of patent scope that is grounded both in patent law and in the practices of patent attorneys. We validate our measure by showing both that patent attorneys’ subjective assessments of scope agree with our estimates, and that the behavior of patenters is consistent with it. Using our validation exercise, we find that previous measures of patent scope (i.e., the number of patent classes, the number of citations made by future patents, and the number of claims in a patent) are uninformative or misleading. To facilitate drawing causal inferences with our measure, we show how it can be used to create an instrumental variable, patent examiner scope toughness, which we also validate. We then demonstrate the power of this instrument by examining standard-essential patents. We show that an (exogenous) diminishment of patent scope leads to patents being much less likely to be declared standard essential.
Journal: International Journal of the Economics of Business
Pages: 5-38
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2018.1553284
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1553284
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Template-Type: ReDIF-Article 1.0
Author-Name: In-Uck Park
Author-X-Name-First: In-Uck
Author-X-Name-Last: Park
Author-Name: Andreas Panagopoulos
Author-X-Name-First: Andreas
Author-X-Name-Last: Panagopoulos
Title: Patent Protection, Startup Takeovers, and Open Innovation
Abstract: 
 Open innovation largely relies on startup innovators transferring their R&D to incumbent firms. Yet, such innovators are at a disadvantage when faced with incumbents holding patent portfolios, raising the question why do such Lilliputian firms choose to innovate? In view of this, we study the impact of patent protection on the innovation incentives of startup firms in a dynamic model where an incumbent faces a sequence of potential startups and the incumbent’s chance of winning an infringement lawsuit increases with the size of its patent portfolio. It is shown that open innovation–style takeover deals generate extra benefits for the incumbent via its enhanced future bargaining positions, a part of which accrues to the current startup as an increased bargaining share, justifying R&D activity that would not have taken place otherwise.
Journal: International Journal of the Economics of Business
Pages: 39-64
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2018.1553285
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1553285
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Template-Type: ReDIF-Article 1.0
Author-Name: Alan C. Marco
Author-X-Name-First: Alan C.
Author-X-Name-Last: Marco
Author-Name: Richard D. Miller
Author-X-Name-First: Richard D.
Author-X-Name-Last: Miller
Title: Patent Examination Quality and Litigation: Is There a Link?
Abstract: 
 In this study, we use carefully constructed matched samples of litigated and non-litigated patents to investigate the characteristics that predict litigation. We define different control groups based on filing characteristics and value correlates (or both), and test the extent to which examination characteristics predict litigation. This paper is the first to use detailed examination characteristics to understand the resulting patent rights. By controlling (at least in part) for patent value, the estimation strategy has implications for the degree to which patent examination characteristics are correlated with uncertainty. We find that some examination characteristics predict litigation, but that the bulk of the predictive power in the model comes from filing characteristics.
Journal: International Journal of the Economics of Business
Pages: 65-91
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2018.1553286
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1553286
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Template-Type: ReDIF-Article 1.0
Author-Name: Dirk Czarnitzki
Author-X-Name-First: Dirk
Author-X-Name-Last: Czarnitzki
Author-Name: Kristof Van Criekingen
Author-X-Name-First: Kristof
Author-X-Name-Last: Van Criekingen
Title: New Evidence on Determinants of Intellectual Property Litigation: A Market-Based Approach
Abstract: 
 We contribute to the economic literature on patent litigation by taking a new perspective. In the past, scholars mostly focused on specific litigation cases at the patent level and related technological characteristics to the event of litigation. However, observing intellectual property (IP) disputes suggests that not only technological characteristics may trigger litigation suits, but also the market positions of firms, and that firms dispute not only over single patents but often over portfolios. This paper examines the occurrence of IP litigation cases in Belgian firms using the 2013 Community Innovation Survey with supplemental information on IP litigation and patent portfolios. The rich survey information regarding firms’ general innovation strategies enables us to introduce market-related variables such as sales with new products, as well as sales based mainly on imitation and incremental innovation. Our results indicate that when controlling for firms’ IP portfolios, the composition of sales in terms of innovation and imitation has additional explanatory power regarding litigation propensities. Firms with high sales from innovations are more likely to become plaintiffs in court. Contrastingly, firms with high sales from incremental innovation and imitation are more likely to become defendants in court and, moreover, are more likely to negotiate settlements outside of court.
Journal: International Journal of the Economics of Business
Pages: 93-115
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2019.1553289
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1553289
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Template-Type: ReDIF-Article 1.0
Author-Name: Dirk Crass
Author-X-Name-First: Dirk
Author-X-Name-Last: Crass
Author-Name: Francisco Garcia Valero
Author-X-Name-First: Francisco
Author-X-Name-Last: Garcia Valero
Author-Name: Francesco Pitton
Author-X-Name-First: Francesco
Author-X-Name-Last: Pitton
Author-Name: Christian Rammer
Author-X-Name-First: Christian
Author-X-Name-Last: Rammer
Title: Protecting Innovation Through Patents and Trade Secrets: Evidence for Firms with a Single Innovation
Abstract: 
 This paper analyzes the use and effectiveness of patents and trade secrets designed to protect innovation. While previous studies have usually considered patents and trade secrets as substitutes for one another, we investigate to what extent and in what situations the two protection methods are used jointly. We identify protection strategies for single innovation firms and hence overcome the assignment problem of existing empirical studies, that is, whether firms using both protection methods do so for the same innovation or for different innovations. Employing firm panel data from Germany, we find fairly few differences between the determinants for choosing secrecy and patenting. Single innovators that combine both strategies, 39% of the group, tend to aim at a higher level of innovation and act in a more uncertain technological environment. Firms combining both protection methods yield significantly higher sales with new-to-market innovations, providing some evidence for a complementarity of the two protection methods.
Journal: International Journal of the Economics of Business
Pages: 117-156
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2019.1553291
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1553291
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Template-Type: ReDIF-Article 1.0
Author-Name: Dirk Crass
Author-X-Name-First: Dirk
Author-X-Name-Last: Crass
Author-Name: Dirk Czarnitzki
Author-X-Name-First: Dirk
Author-X-Name-Last: Czarnitzki
Author-Name: Andrew A. Toole
Author-X-Name-First: Andrew A.
Author-X-Name-Last: Toole
Title: The Dynamic Relationship Between Investments in Brand Equity and Firm Profitability: Evidence Using Trademark Registrations
Abstract: 
 Most marketing practitioners and scholars agree that marketing assets such as brand equity significantly contribute to a firm’s financial performance. In this paper, we model brand equity as an unobservable stock that results from up to 30 years of past brand-related investment flows. Using firm-specific trademarks as investment proxies, our results show a significant long-run impact on financial performance. The dynamic profile of brand-related investments has an inverted-U shape that reaches its peak after 11 years. On average, it takes four years before brand-related investments show a positive return, and investments older than 19 years show no significant impact. For the median trademarking firm, brand equity contributes €265,000 to annual profits.
Journal: International Journal of the Economics of Business
Pages: 157-176
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2019.1553292
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1553292
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Template-Type: ReDIF-Article 1.0
Author-Name: Michael D. Smith
Author-X-Name-First: Michael D.
Author-X-Name-Last: Smith
Author-Name: Rahul Telang
Author-X-Name-First: Rahul
Author-X-Name-Last: Telang
Author-Name: Yi Zhang
Author-X-Name-First: Yi
Author-X-Name-Last: Zhang
Title: I Want You Back: The Interplay Between Legal Availability and Movie Piracy
Abstract: 
 Although it is well known in the academic literature that anti-piracy measures can reduce the demand for pirated content, there are relatively few papers analyzing how legal availability impacts piracy. In this study, we answer two relevant research questions: (1) Does the availability of movies in legal digital channels reduce the demand for digital piracy? (2) Is the level of piracy prior to a movie’s release in a legal digital channel a reliable signal of legal demand after release? We answer these questions using a unique data set provided by a major motion picture studio. Our data contain 1520 catalog movies introduced to iTunes between April 2011 and April 2012. We find that iTunes availability leads to an 11.8% decrease in monthly piracy. We also find that pre-release piracy positively correlates with post-release electronic sell-through sales but not with video-on-demand sales.
Journal: International Journal of the Economics of Business
Pages: 199-216
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2019.1553293
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1553293
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Template-Type: ReDIF-Article 1.0
Author-Name: Luis Castro Peñarrieta
Author-X-Name-First: Luis
Author-X-Name-Last: Castro Peñarrieta
Author-Name: Gustavo Canavire-Bacarreza
Author-X-Name-First: Gustavo
Author-X-Name-Last: Canavire-Bacarreza
Title: Can Intellectual Property Rights Affect Multinational Enterprises’ Entry Modes? The Chilean Case
Abstract: 
 Multinational Enterprises (MNEs) can choose between exporting, introducing foreign direct investment (FDI), and licensing to a domestic firm among other modes of entry to a new market. Yet, this decision may be affected by the strength of intellectual property rights (IPR). Thus, this paper analyzes the effect of stronger IPR on the entry modes chosen by MNEs. We propose a theoretical model that predicts that in the presence of stronger IPR, MNEs would choose licensing instead of FDI as an entry mode. We test the predictions of the model using plant-level data for Chile for the period 2001–2007. We exploit the exogenous reform of IPR in 2005, controlling for the activities of industries where high levels of technology transfer and imitation are important factors. The main results show that stronger IPR change the mode of entry chosen by MNEs. In this case, FDI is replaced by licensing. This is explained by Chile’s high absorptive capacity during this period. We test whether this effect differs across high- and low-tech industries and conclude that the displacement of FDI is less severe in high-tech industries.
Journal: International Journal of the Economics of Business
Pages: 177-198
Issue: 1
Volume: 26
Year: 2019
Month: 1
X-DOI: 10.1080/13571516.2019.1553656
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1553656
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Template-Type: ReDIF-Article 1.0
Author-Name: John K. Ashton
Author-X-Name-First: John K.
Author-X-Name-Last: Ashton
Author-Name: Andros Gregoriou
Author-X-Name-First: Andros
Author-X-Name-Last: Gregoriou
Title: Does an Overdraft Facility Influence the Customer Costs of Using a Personal Current Account?
Abstract: 
 This study examines whether personal current accounts offering an overdraft facility cost customers less to use than accounts not offering this service. This analysis uses a UK data set of 222 personal current accounts, recorded monthly between 1995 and 2011, in combination with interest rates from 1200 instant-access deposit accounts offered contemporaneously by the same firms. Our results indicate personal current accounts offering overdraft facilities have higher deposit and payment service costs than accounts not offering this service. The finding is robust to varying service attributes. This result is inconsistent with suggestions that overdraft users have been cross-subsidising other personal current account users as widely reported in theoretical and policy literatures. It is concluded that implicit and inertia costs of personal current account use may be more influential than previously reported in the pricing of these accounts.
Journal: International Journal of the Economics of Business
Pages: 1-26
Issue: 1
Volume: 24
Year: 2017
Month: 1
X-DOI: 10.1080/13571516.2016.1222990
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1222990
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Template-Type: ReDIF-Article 1.0
Author-Name: Oleksandr Talavera
Author-X-Name-First: Oleksandr
Author-X-Name-Last: Talavera
Author-Name: Charlie Weir
Author-X-Name-First: Charlie
Author-X-Name-Last: Weir
Author-Name: Lin Xiong
Author-X-Name-First: Lin
Author-X-Name-Last: Xiong
Title: Time Allocation and Performance: The Case of Chinese Entrepreneurs
Abstract: 
 This paper analyses the effect of time allocation on the financial performance of entrepreneurial firms. We apply the Lewbel estimator to a pooled data set of Chinese private manufacturing firms that are managed by their owners. Time is allocated between management, networking, and study activities. After accounting for endogeneity, we find an inverted U-shaped relationship between management hours and firm performance and between networking and firm performance. However, no relationship between time spent studying and firm performance is observed. We also find that the managing hours–performance relationship is particularly strong for companies managed by entrepreneurs who own more than 75% of share, for companies that are managed by owners with previous experience, for male entrepreneurs, and for smaller-sized firms.
Journal: International Journal of the Economics of Business
Pages: 27-51
Issue: 1
Volume: 24
Year: 2017
Month: 1
X-DOI: 10.1080/13571516.2016.1199458
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1199458
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Template-Type: ReDIF-Article 1.0
Author-Name: Nigel Wadeson
Author-X-Name-First: Nigel
Author-X-Name-Last: Wadeson
Title: Profit-Maximising Rigid Prices and Vertical Integration
Abstract: 
 This article explores profit-maximising rigid pricing for a price-setting firm and relates the results to vertical integration, which is an important area of corporate strategy and antitrust policy. The setting of a profit-maximising rigid price is investigated in the face of a known distribution of short-run demand levels as a compromise between the flexible prices that would be appropriate in the short run at different levels of demand. The price and level of capacity are therefore set to maximise expected profits across varying levels of demand. With the help of computer simulations, it is shown that price rigidity increases the incentives for vertical integration, particularly where upstream production is capital intensive, due to the increased importance of rationing. The incentives will also be particularly strong for more efficient and more capital-intensive downstream production with low short-run marginal costs.
Journal: International Journal of the Economics of Business
Pages: 53-72
Issue: 1
Volume: 24
Year: 2017
Month: 1
X-DOI: 10.1080/13571516.2016.1199457
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1199457
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Template-Type: ReDIF-Article 1.0
Author-Name: Arpita Agnihotri
Author-X-Name-First: Arpita
Author-X-Name-Last: Agnihotri
Author-Name: Saurabh Bhattacharya
Author-X-Name-First: Saurabh
Author-X-Name-Last: Bhattacharya
Title: Corporate Name Change and the Market Valuation of Firms: Evidence from an Emerging Market
Abstract: 
 Investors’ responses to a firm’s name change and the determinants of their response are scantly explored areas in the field of behavioral finance. Based on a sample of 415 Indian firms from 2005 to 2014, this study suggests that investors respond positively to the announcement of firm name changes. Furthermore, the study indicates that when firms do not indicate geographical specificity in the name and have a specific rather than generic name, then the firm will experience greater abnormal returns. Also, when firm names are fluent and are associated with the owner’s family name, again, abnormal returns generated are positive. Nevertheless, as a firm ages and investors gain more information about it, then abnormal returns due to name change decrease.
Journal: International Journal of the Economics of Business
Pages: 73-90
Issue: 1
Volume: 24
Year: 2017
Month: 1
X-DOI: 10.1080/13571516.2016.1253186
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1253186
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Template-Type: ReDIF-Article 1.0
Author-Name: Michael L. Polemis
Author-X-Name-First: Michael L.
Author-X-Name-Last: Polemis
Author-Name: Mike G. Tsionas
Author-X-Name-First: Mike G.
Author-X-Name-Last: Tsionas
Title: Asymmetric Price Adjustment in the US Gasoline Industry: Evidence from Bayesian Threshold Dynamic Panel Data Models
Abstract: 
 This paper investigates the gasoline price adjustment to changes in the input cost price for a panel of 48 US states using a monthly data set covering the period 1994–2011. We build, for the first time, a non-linear threshold panel vector-error-correction model (PVECM) and propose efficient Markov chain Monte Carlo (MCMC) Bayesian techniques. Our findings indicate that states with high margin experience a slower adjustment and a more asymmetric response to input price cost shocks. Our results are robust to potential structural breaks in the threshold parameter, which is important as market conditions change over time and are very sensitive to production/consumption constraints. Lastly, we attribute fluctuations in the gasoline prices to input cost shocks, arguing that the peak responses occurring one month after the shock are short-lived.
Journal: International Journal of the Economics of Business
Pages: 91-128
Issue: 1
Volume: 24
Year: 2017
Month: 1
X-DOI: 10.1080/13571516.2016.1221628
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1221628
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Template-Type: ReDIF-Article 1.0
Author-Name: The Editors
Title: International Journal of the Economics of Business Best Paper Prize Announcement
Journal: International Journal of the Economics of Business
Pages: 129-129
Issue: 1
Volume: 24
Year: 2017
Month: 1
X-DOI: 10.1080/13571516.2017.1278914
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1278914
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Template-Type: ReDIF-Article 1.0
Author-Name: Victor S.H. Wong
Author-X-Name-First: Victor S.H.
Author-X-Name-Last: Wong
Author-Name: Suzanna El Massah
Author-X-Name-First: Suzanna
Author-X-Name-Last: El Massah
Title: Recent Evidence on the Oil Price Shocks on Gulf Cooperation Council Stock Markets
Abstract: 
 The recent plunge in the price of oil affected many countries, especially major oil producers and exporters, such as the Gulf Cooperation Council (GCC), which accounts for half of the global oil reserves. This paper examines the impact of oil price changes on GCC stock markets, including Bahrain, Kuwait, Oman, Qatar, Kingdom of Saudi Arabia, and United Arab Emirates over a 10-year period, 2005–2015. We examine the direction of influence and influence absorption through Granger causality and impulse response function. The results are important for portfolio management at the international level, and provide insights for government and regulatory authorities in times of oil price change. Additionally, the evidence suggests the need for more economic diversification at the country level in the GCC region to mitigate high volatility in the event of oil shocks.
Journal: International Journal of the Economics of Business
Pages: 297-312
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2017.1379216
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1379216
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:2:p:297-312




Template-Type: ReDIF-Article 1.0
Author-Name: Dusanee Kesavayuth
Author-X-Name-First: Dusanee
Author-X-Name-Last: Kesavayuth
Author-Name: Sang-Ho Lee
Author-X-Name-First: Sang-Ho
Author-X-Name-Last: Lee
Author-Name: Vasileios Zikos
Author-X-Name-First: Vasileios
Author-X-Name-Last: Zikos
Title: Merger and Innovation Incentives in a Differentiated Industry
Abstract: 
 This paper considers a duopoly with product differentiation and examines the interaction between merger and innovation incentives. The analysis reveals that a merger tends to discourage innovation, unless the investment cost is sufficiently low. This result holds irrespective of whether side payments between firms are allowed. When side payments between insiders within the merged firm are permitted, a standard result in the literature is reconfirmed, which suggests that a bilateral merger-to-monopoly is always profitable. When such side payments are not permitted, however, it is shown that a merger is not profitable when the efficiency of the new technology is relatively high and the investment cost is below a particular level.
Journal: International Journal of the Economics of Business
Pages: 207-221
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2017.1389818
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1389818
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:2:p:207-221




Template-Type: ReDIF-Article 1.0
Author-Name: Adelina Gschwandtner
Author-X-Name-First: Adelina
Author-X-Name-Last: Gschwandtner
Title: The Organic Food Premium: A Local Assessment in the UK
Abstract: 
 The present study combines stated and revealed preferences in order to estimate the hypothetical bias of a sample of organic food consumers from Canterbury in the UK. It uses contingent valuation and hedonic pricing to compare stated and revealed preferences, and employs the Almost Ideal Demand System to estimate the elasticity of organic products. The results show that the average price premium is fairly large (approximately 10%). They also demonstrate, crucially, that the size of this estimate is encouragingly similar whether a willingness-to-pay or hedonic pricing method is used. The estimated elasticity of organic products is on average &gt;1, suggesting an elastic response to pricing policy in the present sample. Desirable next steps and potential policy applications for future research are also discussed.
Journal: International Journal of the Economics of Business
Pages: 313-338
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2017.1389842
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1389842
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:2:p:313-338




Template-Type: ReDIF-Article 1.0
Author-Name: Franz Wirl
Author-X-Name-First: Franz
Author-X-Name-Last: Wirl
Title: Agency Model and Wholesale Pricing: Apple versus Amazon in the E-Book Market
Abstract: 
 Apple’s choice of the agency model (i.e., Apple demands a share from the retail price set by the publishers) when entering the e-book market was surprising because: (i) the upstream firms can accrue all rents in a simultaneous move game if it determines the retail price; and (ii) the incumbent, Amazon, used wholesale pricing arrangements. This paper compares the two different contract types, pure and mixed: one retailer opts for wholesale, the other for the agency model. Departing from a standard and symmetric oligopolistic setup of Bertrand competing retailers and producers, the model accounts for retailers having (a) a significant contribution to the final value and (b) a strategic first-mover advantage. Both conditions combined are necessary (but not sufficient) in order to explain Apple’s choice and the possibility of an asymmetric equilibrium.
Journal: International Journal of the Economics of Business
Pages: 243-264
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2017.1401282
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1401282
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:2:p:243-264




Template-Type: ReDIF-Article 1.0
Author-Name: Richard Friberg
Author-X-Name-First: Richard
Author-X-Name-Last: Friberg
Author-Name: André Romahn
Author-X-Name-First: André
Author-X-Name-Last: Romahn
Title: Pass-Through by Multi-Product Firms
Abstract: 
 How does cost pass-through to prices depend on the set of products a multi-product firm owns? Using a structural demand model for the Swedish beer market, we simulate equilibrium cost pass-through for varying counterfactual ownership patterns. We find that a firm with a larger number of products in its portfolio and a higher degree of substitutability among these products adopts a lower pass-through of costs. While the direction of results is robust, our simulations show that the muting effect on pass-through is limited when comparing pass-through by stand-alone firms to pass-through under the actual, moderately concentrated market structure.
Journal: International Journal of the Economics of Business
Pages: 265-295
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2018.1426411
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1426411
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Template-Type: ReDIF-Article 1.0
Author-Name: Rosa Forte
Author-X-Name-First: Rosa
Author-X-Name-Last: Forte
Author-Name: Ana Salomé Moreira
Author-X-Name-First: Ana
Author-X-Name-Last: Salomé Moreira
Title: Financial Constraints and Small and Medium-Sized Firms’ Export Propensity: Evidence from Portuguese Manufacturing Firms
Abstract: 
 The internationalization of firms through exports is often crucial to their survival and growth in this era of globalization. This is particularly the case for small and medium-sized enterprises (SMEs) operating in small and saturated markets, as is the case in Portugal. However, firms face several barriers to exporting, and this study aims to verify whether financial constraints influence a firm’s export propensity. The empirical analysis is based on a sample of 12,732 Portuguese manufacturing SMEs during the period 2008–2012, and tests two different proxies of financial constraints: the liquidity and leverage ratios. The results indicate that the SMEs in less healthy financial positions are less likely to export than the others are, although the impact of financial constraints on these Portuguese firms appears to be relatively small.
Journal: International Journal of the Economics of Business
Pages: 223-241
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2018.1437011
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1437011
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:2:p:223-241




Template-Type: ReDIF-Article 1.0
Author-Name: The Editors
Title: Corrigendum
Journal: International Journal of the Economics of Business
Pages: (X)-(X)
Issue: 2
Volume: 25
Year: 2018
Month: 5
X-DOI: 10.1080/13571516.2018.1473990
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1473990
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Template-Type: ReDIF-Article 1.0
Author-Name: Donald F. Vitaliano
Author-X-Name-First: Donald F.
Author-X-Name-Last: Vitaliano
Title: A Profit Function Approach to Wage–Risk Differentials
Abstract: 
 A variable profit function is used in a novel way to estimate wage–risk premiums in Ohio bituminous coal mining. Unlike the dominant hedonic method, the profit function does not assume equilibrium and allows inferences about the marginal opportunity cost of accidents to mining companies. The profit function risk premium, expressed as a value of a statistical life (VSL), is $12,000 (in 1915 prices), and is below published estimates covering this period. The hedonic method is also used and yields a very similar VSL, a robustness check. It is also shown that the use of piece rate–based wages of coal loaders (the main group of miners) yields more plausible hedonic estimates than the fixed daily wage of “inside” miners typically employed.
Journal: International Journal of the Economics of Business
Pages: 217-231
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2018.1512187
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1512187
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:2:p:217-231




Template-Type: ReDIF-Article 1.0
Author-Name: Mahito Okura
Author-X-Name-First: Mahito
Author-X-Name-Last: Okura
Title: Coopetition with a Risk-Pooling Arrangement in the Railroad Industry
Abstract: 
 The main purpose of this study was to investigate coopetition with a risk-pooling arrangement in the railroad industry. The study discusses whether railroad companies voluntarily sign free alternative transportation contracts, which are contracts where non-suspended lines provide railroad services to affected passengers when some lines are suspended. The main results of this study can be summarized as follows. First, railroad companies do voluntarily wish to sign free alternative transportation contracts. In other words, coopetition with a risk-pooling arrangement is always realized. Second, in the case of a monopolistic line, when the probability of an accident occurring is relatively high, it is desirable for policy makers to provide a new line and achieve a risk-pooling arrangement.
Journal: International Journal of the Economics of Business
Pages: 233-248
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2018.1524702
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1524702
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Template-Type: ReDIF-Article 1.0
Author-Name: Tristan Canare
Author-X-Name-First: Tristan
Author-X-Name-Last: Canare
Author-Name: Jamil Paolo Francisco
Author-X-Name-First: Jamil Paolo
Author-X-Name-Last: Francisco
Author-Name: Jose Fernando Morales
Author-X-Name-First: Jose Fernando
Author-X-Name-Last: Morales
Title: Long- and Short-run Relationship Between Firm Creation and the Ease and Cost of Doing Business
Abstract: 
 To promote private-sector growth, many countries have implemented reforms aimed at making it easier and less costly to do business. Using data from Philippine cities and municipalities from 2011 to 2015, this paper tested for the relationship between business creation and the ease and cost of doing business. The results provide evidence that the overall ease and cost of doing business is indeed associated with business creation, but the relationship becomes more apparent with disaggregation. In particular, lower cost of doing business is found to be a much stronger predictor of business creation than ease of doing business. The specific indicators that drive this relationship are minimum wage, price of electricity, price of water, and price of land from the “cost” dimension, and number of days to process a new business permit from the “ease” dimension. These relationships have implications on policy making, especially in designing programs that target firm creation.
Journal: International Journal of the Economics of Business
Pages: 249-275
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2018.1558636
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1558636
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:2:p:249-275




Template-Type: ReDIF-Article 1.0
Author-Name: Robert M. Feinberg
Author-X-Name-First: Robert M.
Author-X-Name-Last: Feinberg
Title: Market Definition and the Measurement of Multimarket Contact
Abstract: 
 The focus of this note is the appropriate definition of markets in which two (or more) firms compete for the purpose of measuring multimarket contact (MMC). Through several examples, it is shown that one cannot assume a particular trade-off with MMC as a broader or narrower approach to market definition is taken, suggesting that research using MMC measures seek robustness with alternative market definitions.
Journal: International Journal of the Economics of Business
Pages: 277-281
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2019.1570748
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1570748
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:2:p:277-281




Template-Type: ReDIF-Article 1.0
Author-Name: Kevin Amess
Author-X-Name-First: Kevin
Author-X-Name-Last: Amess
Author-Name: David Paton
Author-X-Name-First: David
Author-X-Name-Last: Paton
Author-Name: H. E. Frech
Author-X-Name-First: H. E.
Author-X-Name-Last: Frech
Title: International Journal of the Economics of Business Best Paper Prize Announcement
Journal: International Journal of the Economics of Business
Pages: 327-327
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2019.1591666
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1591666
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:2:p:327-327




Template-Type: ReDIF-Article 1.0
Author-Name: Bijoy Rakshit
Author-X-Name-First: Bijoy
Author-X-Name-Last: Rakshit
Author-Name: Samaresh Bardhan
Author-X-Name-First: Samaresh
Author-X-Name-Last: Bardhan
Title: Bank Competition and its Determinants: Evidence from Indian Banking
Abstract: 
 This paper measures the degree of bank competition in India using a sample of 70 commercial banks over the period 1996–2016. To assess the degree of competition, we estimate the market power of each bank in our sample employing three nonstructural measures: the Lerner index, the adjusted Lerner index, and the Boone indicator. Bank-wise and year-wise estimates of the marginal cost required in all these measures are obtained using the semi-parametric method. The paper further attempts to undertake a comprehensive assessment of competition in Indian banking and identifies various bank-specific, macroeconomic, structural, and contestability indicators, which are supposed to explain level and variation of the degree of competition over time. Empirical findings reveal that public-sector banks in India exercise a relatively higher degree of bank competition compared to private and foreign-sector banks. However, aggregate results support that the Indian banking system is competitive in general. Unlike the structure-conduct-performance paradigm, which advocates that a concentrated banking system impairs competitiveness, our findings reveal that concentration measures hardly exert any effect on bank competition. Rather, contestability measures play a significant role in the determination of bank competition.
Journal: International Journal of the Economics of Business
Pages: 283-313
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2019.1592995
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1592995
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:2:p:283-313




Template-Type: ReDIF-Article 1.0
Author-Name: Maman Setiawan
Author-X-Name-First: Maman
Author-X-Name-Last: Setiawan
Title: Persistence of Price–Cost Margin and Technical Efficiency in the Indonesian Food and Beverage Industry
Abstract: 
 This research investigates the persistence of price–cost margin (PCM) and technical efficiency (TE) of firms and the relation between these two factors in 44 subsectors of the Indonesian food and beverage industry in the period 1980–2014. Data envelopment analysis with a bootstrapping approach is applied to estimate TE. An autoregressive model, accounting for endogeneity, is applied to estimate the persistence coefficients of PCM and TE. A cross-sectional regression model is also applied to estimate the relation between the persistence of the PCM and the persistence of TE. The results show that for these food and beverage firms, high PCM and low TE persist. Furthermore, the persistence of PCM negatively affects the persistence of TE in the industry.
Journal: International Journal of the Economics of Business
Pages: 315-326
Issue: 2
Volume: 26
Year: 2019
Month: 5
X-DOI: 10.1080/13571516.2019.1592996
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1592996
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:2:p:315-326




Template-Type: ReDIF-Article 1.0
Author-Name: Dennis C. Mueller
Author-X-Name-First: Dennis C.
Author-X-Name-Last: Mueller
Title: Corporate Governance and Neoclassical Economics
Abstract: 
 Although the term “corporate governance” is relatively new in the economist’s lexicon, the issues with which it is concerned are as old as the profession itself. In this article, first I try to illustrate this, and then I trace the development of the literature, including discussions of the so-called managerial discretion literature and the principal–agent literature. Following a discussion of asset bubbles, I illustrate the tension between concerns about corporate governance and neoclassical economics by examining the literature on managerial compensation and mergers. This literature reveals a wide gap between traditional neoclassical economics and more recent developments in behavioral economics.
Journal: International Journal of the Economics of Business
Pages: 47-64
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1374038
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1374038
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:47-64




Template-Type: ReDIF-Article 1.0
Author-Name: Peter Zweifel
Author-X-Name-First: Peter
Author-X-Name-Last: Zweifel
Title: Energy, Insurance, and Health: Viewpoints of a Microeconomist
Abstract: 
 This contribution reviews developments in the microeconomic analysis applied to three fields that are rarely considered in combination – energy, insurance, and health – focusing on four themes. First, it finds that stocks are crucial not only in energy but also motivate (in the guise of assets) demand for insurance coverage, as well as healthcare services designed to maintain one’s stock of health. Second, however, the three fields strongly diverge in terms of their industry structure. While oil and, until recently, electricity are vertically integrated, healthcare has been the leading example of a cottage industry, with private insurance in between. Third, the structure of innovation also differs. In energy and private insurance, process and organizational innovation prevail; in healthcare, it is product innovation, meaning new characteristics at higher cost, facilitated by health insurance. Finally, government regulation impinges on all three industries.
Journal: International Journal of the Economics of Business
Pages: 191-204
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1374562
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1374562
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:191-204




Template-Type: ReDIF-Article 1.0
Author-Name: Klaus E. Meyer
Author-X-Name-First: Klaus E.
Author-X-Name-Last: Meyer
Title: Catch-Up and Leapfrogging: Emerging Economy Multinational Enterprises on the Global Stage
Abstract: 
 Over the past decade, emerging economy (EE) multinational enterprises (MNEs), especially from China, have been aggressively catching up with global leaders, often by acquiring companies in advanced economies. This raises the question if and how theories of the MNE should be adjusted. I argue that the nature of their firm-specific advantages differs and, as a consequence, their motives, strategies, and operations. Also the institutional and policy environment is more complex. Yet, the phenomenon of EE MNEs can largely be explained through appropriate application of existing theories. However, important research questions remain with respect to the implementation of catch-up strategies, the role of the policy environment, and the performance implications.
Journal: International Journal of the Economics of Business
Pages: 19-30
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1374624
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1374624
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Template-Type: ReDIF-Article 1.0
Author-Name: Jean-Jacques Rosa
Author-X-Name-First: Jean-Jacques
Author-X-Name-Last: Rosa
Title: Information and the Production of Management in a Theory of the Firm
Abstract: 
 I show that the three main contributions to the theory of the business of the last century – those of Cobb and Douglas (1928), Coase (1937), and Lucas (1978) – are actually complementary and can be fitted into a general model of the firm size choice as the solution to a problem of optimal allocation of decision making in the economy. Decisions require information, and the availability and cost of information drives the optimization of firm size by the relevant decision makers - managers and entrepreneurs - pursuing the maximization of profits. Trends in firm size, and their reversals, are shown to depend on the aggregate information/output ratio.
Journal: International Journal of the Economics of Business
Pages: 31-45
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1390082
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1390082
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:31-45




Template-Type: ReDIF-Article 1.0
Author-Name: Timothy J. Brennan
Author-X-Name-First: Timothy J.
Author-X-Name-Last: Brennan
Title: The Rise of Behavioral Economics in Regulatory Policy: Rational Choice or Cognitive Limitation?
Abstract: 
 Laboratory results and empirical examples challenging rational choice theory have increased attention toward behavioral economics. That attention has moved from academia to regulation, notably in energy efficiency policy, but more widely as an institutionalized method for justifying regulations to correct for cognitive biases or limits. However, behavioral economics short circuits attempts to explain puzzling behavior as rational responses to imperfect information and is inconsistent with measuring benefits and costs by consumer surplus estimated from revealed preference. Nevertheless, ethical assessment, rational delegation, and weakness of will challenge the direct application of conventional economics to business regulation.
Journal: International Journal of the Economics of Business
Pages: 97-108
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1390833
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1390833
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:97-108




Template-Type: ReDIF-Article 1.0
Author-Name: Paul Stoneman
Author-X-Name-First: Paul
Author-X-Name-Last: Stoneman
Title: The Diffusion of Innovations: Some Reflections
Abstract: 
 This paper discusses a number of interrelated topics relating to the economics of innovation diffusion that merit further research and study. These topics encompass: how innovations are not just technological, may be horizontal or vertical, and may develop over time; the role in the diffusion process of complementarities across and substitutability between different technologies and innovations; how the many different sources of innovation other than R&amp;D are given insufficient attention in the literature; the international dimensions of the diffusion process with emphasis on cross-country effects; the role played by different market structures in the industries supplying goods embodying new technologies; the imbalance in the relative emphases upon intra- and intra-firm diffusion in the existing diffusion literature; the need for more research on the relationship between firm performance and the diffusion of innovations, and government policy on diffusion.
Journal: International Journal of the Economics of Business
Pages: 85-95
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1390834
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1390834
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:85-95




Template-Type: ReDIF-Article 1.0
Author-Name: Louis Silvia
Author-X-Name-First: Louis
Author-X-Name-Last: Silvia
Title: Economics and Antitrust Enforcement: The Last 25 Years
Abstract: 
 Economics has reshaped antitrust enforcement over the last quarter century. Its impact has been most dramatic in merger analysis, with the shift toward unilateral effects theories and away from market concentration-related theories of collusion. Progress on both the theoretical and empirical fronts has also changed enforcement priors and competitive analyses concerning vertical restraints and monopolization. Economists also have made valuable assessments of the effectiveness of antitrust enforcement, though more work in this area is needed.
Journal: International Journal of the Economics of Business
Pages: 119-129
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1392748
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1392748
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:119-129




Template-Type: ReDIF-Article 1.0
Author-Name: Mark V. Pauly
Author-X-Name-First: Mark V.
Author-X-Name-Last: Pauly
Title: The Business of Healthcare and the Economics of Healthcare: Shall Ever the Twain Meet?
Abstract: 
 This note discusses the differing viewpoints of economic analysis and business leader perceptions of the causes and possible remedies for rising medical care spending that has persisted for many years. The economic approach does not necessarily view spending growth as harmful if the additional beneficial but costly new technology it has historically purchased is worth the cost, and if the additional cost is perceived by decision makers to be ultimately borne by workers in lower wages, not by owners as higher compensation costs or lower capital returns. Possible accommodations to our inability to eliminate (or even define) “waste” in the medical care sector are discussed.
Journal: International Journal of the Economics of Business
Pages: 181-189
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1395241
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1395241
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:181-189




Template-Type: ReDIF-Article 1.0
Author-Name: Richard L Manning
Author-X-Name-First: Richard L
Author-X-Name-Last: Manning
Title: Prices and Related Controversies in the Biopharmaceutical Industry
Abstract: 
 This essay reviews selected developments in the economics of the pharmaceutical industry and the public policy issues that arise with respect to the industry. It briefly discusses certain results, provides points of entry into the literature on these key issues, and offers high-level comments about fruitful areas for continuing academic research.
Journal: International Journal of the Economics of Business
Pages: 157-166
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1396008
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1396008
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:157-166




Template-Type: ReDIF-Article 1.0
Author-Name: Kenneth Lehn
Author-X-Name-First: Kenneth
Author-X-Name-Last: Lehn
Title: Corporate Governance, Agility, and Survival
Abstract: 
 Most corporate research has focused on (i) dimensions of governance that are relatively easy to measure (e.g., ownership structure, boards of directors, and executive compensation) and (ii) the role that governance arrangements play in mitigating agency costs. This paper takes an evolutionary perspective to corporate governance in which the concept of corporate agility, i.e., the ease with which firms adapt to changes in their respective environments, plays a prominent role. I argue that decentralization, which is understudied in the literature, promotes agility and predict that it is directly related to corporate performance and survival during periods of rapidly changing environments. The paper also discusses how some governance features that often are viewed through the lens of either mitigating or exacerbating agency costs are cast in a different light when their effects on corporate agility are considered.
Journal: International Journal of the Economics of Business
Pages: 65-72
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1396661
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1396661
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:65-72




Template-Type: ReDIF-Article 1.0
Author-Name: Stephen P. King
Author-X-Name-First: Stephen P.
Author-X-Name-Last: King
Title: Technology and Competition Economics
Abstract: 
 Advances in technology are creating new business models. The internet means that consumers can access a wide variety of potential suppliers. Those suppliers may have extensive data on individual consumers, and the interactions between buyers and sellers may be moderated by large, potentially dominant, platforms such as Google and Facebook. Competition authorities and policy makers are grappling with the issues raised by technology. However, the tools available to regulators are often laws that were designed for a pre-internet world. It is not clear if these laws can adapt. This article briefly surveys three areas of particular concern for both economic researchers and competition authorities: the competitive implications of two-sided markets; price restrictions imposed by internet platforms on retailers; and the use of personalized data by sellers.
Journal: International Journal of the Economics of Business
Pages: 109-118
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1397879
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1397879
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:109-118




Template-Type: ReDIF-Article 1.0
Author-Name: Harry Bloch
Author-X-Name-First: Harry
Author-X-Name-Last: Bloch
Title: Innovation and the Evolution of Industry Structure
Abstract: 
 Great advances have been made in recent decades enriching the economic theory of innovation and in understanding the role innovation plays in the survival and success of businesses. Advances have also been made in theoretical and empirical research into the relationship between innovation and industry structure. In what follows I comment on these advances and point to areas in which more theoretical work might extend our understanding of the links between innovation and industry structure.
Journal: International Journal of the Economics of Business
Pages: 73-83
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1399555
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1399555
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:73-83




Template-Type: ReDIF-Article 1.0
Author-Name: Philip Molyneux
Author-X-Name-First: Philip
Author-X-Name-Last: Molyneux
Title: Developments in Banking Research and Areas for Future Study
Abstract: 
 There has been an explosion of research into banking issues following the global financial crisis of 2007–08. What was once regarded as a somewhat esoteric subject area, nestled halfway between economics and finance, has now become mainstream attracting significant academic and policy attention. The following review aims to outline areas of topicality and highlight possibilities for future research. This paper covers recent empirical work on: bank capital; systemic risk; corporate governance; consumer protection and financial inclusion; size and diversification; and the impact of government intervention and unconventional monetary policy in banking.
Journal: International Journal of the Economics of Business
Pages: 167-179
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1399654
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1399654
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:167-179




Template-Type: ReDIF-Article 1.0
Author-Name: John Kay
Author-X-Name-First: John
Author-X-Name-Last: Kay
Title: Theories of the Firm
Abstract: 
 Since the seminal contributions of Coase, Williamson, Jensen and Meckling, and Easterbrook and Fischel, the characterisation of the firm as a nexus of contracts, its boundaries determined by the relative costs of markets and hierarchical organisation, has dominated the economic theory of the firm. The capabilities-based approach of Penrose, largely ignored by economists but developed in the resource-based theory of business strategy, provides a more illuminating perspective on a globalised and evolving business environment.
Journal: International Journal of the Economics of Business
Pages: 11-17
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1402468
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1402468
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:11-17




Template-Type: ReDIF-Article 1.0
Author-Name: Catherine Waddams Price
Author-X-Name-First: Catherine
Author-X-Name-Last: Waddams Price
Title: Back to the Future? Regulating Residential Energy Markets
Abstract: 
 Regulation in many markets is responding to ‘behavioural’ consumers who do not conform to the model of self-interested maximisation inherent in the classical economic models which informed the regulatory framework of privatised UK industries. This paper traces the discussion of residential energy prices from the opening of markets in 1996 and removal of caps on retail prices in 2002 to the call for their reintroduction at the 2017 election. Price discrimination has been a policy issue at several points on this journey, and its interpretation has changed as the market has moved from monopoly supply to a market with many firms. The focus has moved from company offers to consumer response and outcomes, incorporating the demand side as well as the supply side. As in many areas, regulatory practice runs ahead of theory, challenging economists to develop new models which can inform policy in such markets.
Journal: International Journal of the Economics of Business
Pages: 147-155
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1402469
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1402469
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:147-155




Template-Type: ReDIF-Article 1.0
Author-Name: Robert H. Topel
Author-X-Name-First: Robert H.
Author-X-Name-Last: Topel
Title: Contractual Discounts and Competition: Interpreting Unilateral Conduct under Section 2 of the Sherman Act
Abstract: 
 Quantity commitment discounts (QCDs) are vertical agreements in which a seller conditions price discounts on the specified quantity or share of a product line that the buyer commits to purchase from the seller. QCDs are a natural outcome of sales-promoting competition among differentiated sellers and would be commonly used absent any possibility of excluding rivals. Both economic theory and the law recognize that in some cases pricing and business practices of sellers may harm or weaken rivals and might also reduce social welfare. Absent clear standards defining the bounds of illegal conduct, the mere threat of antitrust liability may dampen rivalry among firms, with resulting harm to the competitive process and, ultimately, consumers. Existing tests for exclusionary effects are unreliable and biased in favor of finding anticompetitive harm.
Journal: International Journal of the Economics of Business
Pages: 131-146
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1402479
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1402479
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:131-146




Template-Type: ReDIF-Article 1.0
Author-Name: John Roberts
Author-X-Name-First: John
Author-X-Name-Last: Roberts
Title: Needed: More Economic Analyses of Management
Abstract: 
 Management is an important and understudied factor of production. This essay argues for the value for economists of studying management and offers a brief, selective review of the burgeoning recent research on the subject.
Journal: International Journal of the Economics of Business
Pages: 3-10
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2017.1403199
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1403199
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:3-10




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor J. Morgan
Author-X-Name-First: Eleanor J.
Author-X-Name-Last: Morgan
Author-Name: H.E. Frech III
Author-X-Name-First: H.E.
Author-X-Name-Last: Frech III
Title: International Journal of the Economics of Business Best Paper Prize Announcement
Journal: International Journal of the Economics of Business
Pages: 205-205
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2018.1415034
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1415034
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:205-205




Template-Type: ReDIF-Article 1.0
Author-Name: Eleanor J. Morgan
Author-X-Name-First: Eleanor J.
Author-X-Name-Last: Morgan
Title: Preface to the 25th Anniversary Issue
Journal: International Journal of the Economics of Business
Pages: 1-1
Issue: 1
Volume: 25
Year: 2018
Month: 1
X-DOI: 10.1080/13571516.2018.1432173
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1432173
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:1:p:1-1




Template-Type: ReDIF-Article 1.0
Author-Name: Neng Jiang
Author-X-Name-First: Neng
Author-X-Name-Last: Jiang
Author-Name: Paul Kattuman
Author-X-Name-First: Paul
Author-X-Name-Last: Kattuman
Author-Name: Ananya Kotia
Author-X-Name-First: Ananya
Author-X-Name-Last: Kotia
Title: Polarisation and Reversion under Competition: Profitability of Indian Firms
Abstract: 
 We analyse profitability dynamics in a large emerging economy, India, over the two-and-a-half decades since economic liberalisation began in earnest. We find that the average rate at which Indian firms reverted to normal profitability increased significantly, particularly for firms earning supernormal profits. In contrast, firms earning below-normal profitability have been marked by little reversion to normal. Inducing underperforming firms to improve their profitability is of great policy importance. The pattern in profitability dynamics of Indian firms in the early years was consistent with a polarised long-run profitability distribution. The polarisation tendency was reversed in later years, but the projected long-run profitability distribution has a substantial underperforming tail.
Journal: International Journal of the Economics of Business
Pages: 131-151
Issue: 2
Volume: 24
Year: 2017
Month: 5
X-DOI: 10.1080/13571516.2017.1290750
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1290750
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:2:p:131-151




Template-Type: ReDIF-Article 1.0
Author-Name: Priscila Ferreira
Author-X-Name-First: Priscila
Author-X-Name-Last: Ferreira
Author-Name: George Saridakis
Author-X-Name-First: George
Author-X-Name-Last: Saridakis
Title: Firm Shutdown During the Financial and the Sovereign Debt Crises: Empirical Evidence from Portugal
Abstract: 
 This paper examines Portuguese firms’ survival over the business cycle and investigates whether the effect of firm size varies across the phases of the cycle and with the type of shock associated with periods of economic contraction. Our results show that smaller firms are more likely to shut down than larger firms. Within each size band, however, we found that during the two crises examined, micro firms experienced hazards of closing (relative to large firms) at least similar to those observed in the pre-crisis period, while medium-sized firms were found to have been more vulnerable during the financial crisis period but showed more resilience during the sovereign debt crisis. The results suggest that during the sovereign debt crisis, firms faced a higher probability of closing than they did during the financial crisis.
Journal: International Journal of the Economics of Business
Pages: 153-179
Issue: 2
Volume: 24
Year: 2017
Month: 5
X-DOI: 10.1080/13571516.2017.1309105
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1309105
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:2:p:153-179




Template-Type: ReDIF-Article 1.0
Author-Name: Andreas Behr
Author-X-Name-First: Andreas
Author-X-Name-Last: Behr
Author-Name: Jurij Weinblat
Author-X-Name-First: Jurij
Author-X-Name-Last: Weinblat
Title: Default Patterns in Seven EU Countries: A Random Forest Approach
Abstract: 
 This study uses the relatively new “random forest” (RF) approach, which is based on decision-tree analysis by combining the results of a large set of decision trees. RFs have so far been little used for default prediction but offer an interesting alternative to well-established default prediction techniques. Based on accounting data from 945,062 observed European firms from seven countries in 2010 and 1,019,312 firms in 2011, we provide evidence on the country-specific default patterns. Because of the strong imbalance of the data sets with regard to the solvency status, standard RF implementations have to be modified to allow the estimation of realistic default propensities. We find that by far most accurate out-of-sample default propensities can be obtained for Italy followed by Portugal and Spain and the least accurate for the UK and Finland. The debt ratio, rate of return on sales, dynamic gearing ratio, and the rate of return on assets are found to be the most important variables for default prediction. The variable importance rankings are rather country specific, pointing to heterogeneity in the default patterns across the countries studied.
Journal: International Journal of the Economics of Business
Pages: 181-222
Issue: 2
Volume: 24
Year: 2017
Month: 5
X-DOI: 10.1080/13571516.2016.1252532
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1252532
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:2:p:181-222




Template-Type: ReDIF-Article 1.0
Author-Name: G.M. Peter Swann
Author-X-Name-First: G.M. Peter
Author-X-Name-Last: Swann
Title: A Welcome Revolution in Innovation
Abstract: 
 This review considers a major new book on von Hippel’s concept of user innovation. Von Hippel’s work has led to a welcome revolution in the economics of innovation. When producers are the innovators, there is an important difference in the interests of innovators and users. This can lead to dysfunctional innovation, especially in mature markets that are monopolised. In contrast, when users innovate, there are no such problems, as the innovator and the user are the same. User innovation can help enhance the power of innovation in wealth creation, and this edited collection helps to establish user innovation as a fully fledged field of the economics of innovation.
Journal: International Journal of the Economics of Business
Pages: 223-231
Issue: 2
Volume: 24
Year: 2017
Month: 5
X-DOI: 10.1080/13571516.2017.1279862
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1279862
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:2:p:223-231




Template-Type: ReDIF-Article 1.0
Author-Name: James Langenfeld
Author-X-Name-First: James
Author-X-Name-Last: Langenfeld
Title: The Empirical Basis for Antitrust: Cartels, Mergers, and Remedies
Abstract: 
 There have been a number of studies attempting to quantify the impact of cartels and mergers on prices. The state of the art of empirical analysis related to antitrust is best illustrated by the research of John Connor and John Kwoka. Connor summarizes the existing empirical research that estimates the magnitude of the impact of cartels on prices. He estimates that cartels increase prices by &gt;20% on average, and concludes that fines and damage awards do not sufficiently deter cartels and should be larger. Kwoka summarizes research estimating the impact of mergers on prices and other market outcomes, and recommends tighter merger regulation. Since the works of both have been used to support more aggressive antitrust enforcement, it is important to understand the basis for their research and how it is best weighed. This article critiques their substantial efforts to add more empirical content as the basis for antitrust policies.
Journal: International Journal of the Economics of Business
Pages: 233-250
Issue: 2
Volume: 24
Year: 2017
Month: 5
X-DOI: 10.1080/13571516.2017.1279376
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1279376
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:2:p:233-250




Template-Type: ReDIF-Article 1.0
Author-Name: Myint Moe Chit
Author-X-Name-First: Myint Moe
Author-X-Name-Last: Chit
Title: Financial Information Credibility, Legal Environment, and SMEs’ Access to Finance
Abstract: 
 There remains academic debate on the association between credible financial information and small firms’ access to diversified sources of finance. This study investigates the role of credible financial information and its interaction with a country’s legal and regulatory environment on the access of small- and medium-sized enterprises (SMEs) to diversified sources of finance in 129 developing countries. The findings indicate positive impacts of financial information quality and a country’s legal and regulatory environment on small firms’ access to diversified sources of finance. SMEs operating in a weak legal and regulatory environment benefit more from providing credible financial information. The findings are robust after controlling for the endogeneity of firms audit decision using a two-stage instrumental variable method. Our evidence suggests that firms’ credible signaling of the quality of their financial information helps reduce the adverse selection problem for finance suppliers, increasing small firms’ access to diversified sources of finance.
Journal: International Journal of the Economics of Business
Pages: 329-354
Issue: 3
Volume: 26
Year: 2019
Month: 9
X-DOI: 10.1080/13571516.2019.1645379
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1645379
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:3:p:329-354




Template-Type: ReDIF-Article 1.0
Author-Name: Morten Hviid
Author-X-Name-First: Morten
Author-X-Name-Last: Hviid
Author-Name: Sofia Izquierdo-Sanchez
Author-X-Name-First: Sofia
Author-X-Name-Last: Izquierdo-Sanchez
Author-Name: Sabine Jacques
Author-X-Name-First: Sabine
Author-X-Name-Last: Jacques
Title: From Publishers to Self-Publishing: Disruptive Effects in the Book Industry
Abstract: 
 This paper explores the structure of the book publishing industry post digitalisation, analysing the choices of the publishers and authors. The introduction of successful e-book readers has belatedly given digitalisation the characteristics of a disruptive technology by making self-publishing a serious option for authors. This has been supported by the entry of new types of intermediaries and the strengthening of others. These changes have reduced the general requirements for an author to get a book self-published. As a result, a larger share of the surplus from the book industry is likely to go to authors, explaining the significant increase in the supply of books. The potential oversupply of books has created a new problem by increasing competition and making consumer searches more difficult. We argue that digitalisation has shifted the potential for market failure from an inadequate supply of books to asymmetric information about quality. It remains to be seen whether the market will provide appropriate intermediaries to solve the asymmetric information problem.
Journal: International Journal of the Economics of Business
Pages: 355-381
Issue: 3
Volume: 26
Year: 2019
Month: 9
X-DOI: 10.1080/13571516.2019.1611198
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1611198
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:3:p:355-381




Template-Type: ReDIF-Article 1.0
Author-Name: Jean-Philippe Serbera
Author-X-Name-First: Jean-Philippe
Author-X-Name-Last: Serbera
Title: Separation versus Affiliation with Partial Vertical Ownership in Network Industries
Abstract: 
 The separation of integrated monopolies and new market entrants has changed vertical interactions between suppliers and dealers. Firms have substituted full integration with vertical restraints, leading to collusive behaviour harmful to competition. We examine how a partial vertical ownership (an affiliation) of one of the competing downstream retailers by the upstream monopoly could help internalise the production decision after a complete divestiture. Our results in a Cournot framework confirm the positive role of partial integration on firms’ profits and consumer surplus in increasing social welfare. These results are consistent with empirical studies of economies after vertical separation in network industries.
Journal: International Journal of the Economics of Business
Pages: 383-397
Issue: 3
Volume: 26
Year: 2019
Month: 9
X-DOI: 10.1080/13571516.2019.1602462
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1602462
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:3:p:383-397




Template-Type: ReDIF-Article 1.0
Author-Name: Raymond S. Hartman
Author-X-Name-First: Raymond S.
Author-X-Name-Last: Hartman
Author-Name: Keith M. Drake
Author-X-Name-First: Keith M.
Author-X-Name-Last: Drake
Author-Name: Thomas G. McGuire
Author-X-Name-First: Thomas G.
Author-X-Name-Last: McGuire
Title: Event Study Analysis in Cases with Multiple Brand-Generic Reverse-Payment Settlements
Abstract: 
 Event studies of stock price movements have been used to assess the anticompetitive impact of ‘reverse-payment’ settlement of patent disputes in the drug industry. Evidence for an anticompetitive effect is found when financial markets reward a brand manufacturer with larger stock market capitalization – signaling the agreed upon generic entry date was more profitable (i.e. later) than investors’ expectations. In practice, reverse-payment cases can involve multiple generic competitors and settlements. This paper considers how event-study methodology applies in such cases, with a study of the stock price movements of Cephalon, manufacturer of the drug Provigil. Cephalon entered into four patent litigation settlements with potential generic competitors over a two-month period beginning in December 2005. Event study methods can readily be applied to such a case. Cephalon’s total increase in stock value across four narrow windows around each settlement totaled over $1.0 billion, indicating the agreements delayed generic entry beyond the market's expectation.
Journal: International Journal of the Economics of Business
Pages: 399-410
Issue: 3
Volume: 26
Year: 2019
Month: 9
X-DOI: 10.1080/13571516.2019.1651151
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1651151
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:3:p:399-410




Template-Type: ReDIF-Article 1.0
Author-Name: Anton-Giulio Manganelli
Author-X-Name-First: Anton-Giulio
Author-X-Name-Last: Manganelli
Title: Reverse Payments and Risk of Bankruptcy Under Private Information
Abstract: 
 In the pharmaceutical industry, a reverse payment (pay-for-delay) is a payment from an originator to a generic producer to delay her entry. In some recent cases, the US and EU antitrust authorities have banned these agreements per se, while in others they have used a rule of reason. This paper analyzes their dynamic effects and shows that a ban per se may reduce consumer surplus when the generic producer may go bankrupt and her financial situation is private information. Reverse payments are more beneficial when competition among few players is soft, the economy is in a downturn, and the period of drug usage after patent expiry is long. Results suggest that a rule of reason is more suited than a ban per se.
Journal: International Journal of the Economics of Business
Pages: 411-429
Issue: 3
Volume: 26
Year: 2019
Month: 9
X-DOI: 10.1080/13571516.2019.1613146
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1613146
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:3:p:411-429




Template-Type: ReDIF-Article 1.0
Author-Name: Jarle Møen
Author-X-Name-First: Jarle
Author-X-Name-Last: Møen
Author-Name: Dirk Schindler
Author-X-Name-First: Dirk
Author-X-Name-Last: Schindler
Author-Name: Guttorm Schjelderup
Author-X-Name-First: Guttorm
Author-X-Name-Last: Schjelderup
Author-Name: Julia Tropina Bakke
Author-X-Name-First: Julia
Author-X-Name-Last: Tropina Bakke
Title: International Debt Shifting: The Value-Maximizing Mix of Internal and External Debt
Abstract: 
 We study the capital structure of multinationals and expand previous theory by incorporating international debt tax shield effects from both internal and external capital markets. We show that: (i) multinationals’ firm value is maximized if both internal and external debt are used to save tax; (ii) the use of internal and external debt is independent of each other; and (iii) multinationals have a tax advantage over domestic firms, which cannot shift debt across international borders. We test our model using a large panel of German multinationals and find that internal and external debt shifting are of about equal importance.
Journal: International Journal of the Economics of Business
Pages: 431-465
Issue: 3
Volume: 26
Year: 2019
Month: 9
X-DOI: 10.1080/13571516.2019.1599189
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1599189
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Handle: RePEc:taf:ijecbs:v:26:y:2019:i:3:p:431-465




Template-Type: ReDIF-Article 1.0
Author-Name: Chiara Bentivogli
Author-X-Name-First: Chiara
Author-X-Name-Last: Bentivogli
Author-Name: Litterio Mirenda
Author-X-Name-First: Litterio
Author-X-Name-Last: Mirenda
Title: Foreign Ownership and Performance: Evidence from Italian Firms
Abstract: 
 This paper studies the impact of foreign ownership on a firm’s economic performance. We use a unique panel data set to test the foreign ownership premium by comparing our sample of firms based in Italy and owned by a foreign subject to a sample of purely domestic firms that, in order to have a proper counterfactual, were selected using propensity score matching. Our difference-in-differences results show the existence of a premium for the size, profitability, and financial soundness of the foreign-owned companies. The premium increases with time, is concentrated in the service sector, and disappears if the foreign investor is based in a fiscal haven.
Journal: International Journal of the Economics of Business
Pages: 251-273
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1343542
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1343542
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:3:p:251-273




Template-Type: ReDIF-Article 1.0
Author-Name: Øyvind Thomassen
Author-X-Name-First: Øyvind
Author-X-Name-Last: Thomassen
Title: An Empirical Model of Automobile Engine Variant Pricing
Abstract: 
 This paper estimates a random-coefficients structural model of the demand for car model engine variants. It uses a new identification approach that assumes the mean unobserved quality is the same for all engine variants within a model. The demand estimates imply that absolute markups increase in horsepower within a car model, while percentage markups are constant or falling in horsepower. The estimated results–as well as simulations of a simple theory model–show that prices are not typically cost-plus-fixed-fee, and absolute markups may increase in quality.
Journal: International Journal of the Economics of Business
Pages: 275-293
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1333733
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1333733
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Handle: RePEc:taf:ijecbs:v:24:y:2017:i:3:p:275-293




Template-Type: ReDIF-Article 1.0
Author-Name: Tamara Todorova
Author-X-Name-First: Tamara
Author-X-Name-Last: Todorova
Author-Name: Aleksandar Vasilev
Author-X-Name-First: Aleksandar
Author-X-Name-Last: Vasilev
Title: Some Transaction Cost Effects of Authoritarian Management
Abstract: 
 This paper studies the transaction cost economizing effects of authoritarian management in organizations and systems subject to higher transaction costs originating from various sources. We analyze the nature, mechanisms, and transaction cost aspects of the authoritarian management style. We argue that the higher the transaction costs of internal organization, the more autocratic the manager is likely to be. We discuss the features of authoritarian managers, illustrating some of our key hypotheses with the example of Henry Ford and his running of the Ford Motor Company. In the context of non-market economies, we relate authoritarian leadership to economic centralism in high transaction cost systems such as East European societies with significant transactional or organizational opportunism, as well as other sources of market failure.
Journal: International Journal of the Economics of Business
Pages: 295-314
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1322258
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1322258
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Template-Type: ReDIF-Article 1.0
Author-Name: Quan Dong
Author-X-Name-First: Quan
Author-X-Name-Last: Dong
Author-Name: Juan Carlos Bárcena-Ruiz
Author-X-Name-First: Juan Carlos
Author-X-Name-Last: Bárcena-Ruiz
Author-Name: Joana Díaz-Benito
Author-X-Name-First: Joana
Author-X-Name-Last: Díaz-Benito
Title: Managerial Firms, Entry, and Switching Costs
Abstract: 
 Empirical evidence shows that switching costs are important in many industries. We analyze the welfare effects of entry into markets with switching costs when firms can be run by managers and the entrant may be partially foreign-owned. We find that with profit-maximizing firms, the welfare effect of entry depends crucially on the ownership of the entrant firm. We also show that entry is less likely with managerial firms than it is with profit-maximizing firms. In the latter case, entry always reduces welfare if the share of the entrant firm owned by foreign investors is high. However, with managerial firms, entry always increases welfare.
Journal: International Journal of the Economics of Business
Pages: 315-327
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1309750
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1309750
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Template-Type: ReDIF-Article 1.0
Author-Name: John M. Connor
Author-X-Name-First: John M.
Author-X-Name-Last: Connor
Author-Name: Robert H. Lande
Author-X-Name-First: Robert H.
Author-X-Name-Last: Lande
Title: Comment on “The Empirical Basis for Antitrust: Cartels, Mergers, and Remedies”
Abstract: 
 In this journal, James Langenfeld critically reviewed four of the present authors’ articles that analyze the size of cartel overcharges and their antitrust policy implications. In this comment, we explain why we believe Langenfeld errs in his criticism of our work. In particular, this comment discusses the variation in research quality of the sources used to compile a large sample of historical cartel overcharges; the advisability of trimming outliers or large estimates from the sample; alleged publication bias; why our 25% median estimate is much more likely to be correct than the US Sentencing Guideline’s 10% presumption; and the implications of the average cartel overcharges results for optimal deterrence and antitrust policy.
Journal: International Journal of the Economics of Business
Pages: 329-338
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1339950
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1339950
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Template-Type: ReDIF-Article 1.0
Author-Name: James Langenfeld
Author-X-Name-First: James
Author-X-Name-Last: Langenfeld
Title: Reply to Connor and Lande on Cartel Overcharges
Abstract: 
 John Connor and Robert Lande have written a detailed critique of my review article, “The Empirical Basis for Antitrust: Cartels, Mergers, and Remedies,” published in this Journal earlier in the year. Connor and Lande apparently misunderstand the purpose of my review article and some of my conclusions. This reply is intended to clear up some of the misunderstandings, and to shed light on an apparent disagreement.
Journal: International Journal of the Economics of Business
Pages: 339-343
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1365434
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1365434
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Template-Type: ReDIF-Article 1.0
Author-Name: Koki Arai
Author-X-Name-First: Koki
Author-X-Name-Last: Arai
Author-Name: Emi Morimoto
Author-X-Name-First: Emi
Author-X-Name-Last: Morimoto
Title: Construction Industry and Competition Policy in Japan
Abstract: 
 This study sheds light on the operation of Japanese competition policy by focusing on a public procurement bid-rigging case in the construction industry. The analysis demonstrates a firm-entry effect on the construction market and shows that the bidding and winning price levels before an investigation by the Japan Fair Trade Commission were higher than they were after the investigation. According to these results, price levels in the bid-rigging period were approximately 6% higher than with competition, and the result is statistically significant. Firm entry is associated with an approximate 2% price reduction, an effect that comes from introducing competition into a coordinated setting.
Journal: International Journal of the Economics of Business
Pages: 345-363
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1332130
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1332130
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Template-Type: ReDIF-Article 1.0
Author-Name: The Editors
Title: CONTENTS AND AUTHOR INDEX, VOLUME 24, 2017
Journal: International Journal of the Economics of Business
Pages: 364-367
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1375777
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1375777
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Template-Type: ReDIF-Article 1.0
Author-Name: The Editors
Title: Editorial Board
Journal: International Journal of the Economics of Business
Pages: ebi-ebi
Issue: 3
Volume: 24
Year: 2017
Month: 9
X-DOI: 10.1080/13571516.2017.1375778
File-URL: http://hdl.handle.net/10.1080/13571516.2017.1375778
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Template-Type: ReDIF-Article 1.0
Author-Name: Kristie Briggs
Author-X-Name-First: Kristie
Author-X-Name-Last: Briggs
Author-Name: David L. Buehler
Author-X-Name-First: David L.
Author-X-Name-Last: Buehler
Title: An Analysis of Technologically Radical Innovation and Breakthrough Patents
Abstract: 
 Breakthrough innovations – commonly defined by innovations with patents surpassing a critical threshold of forward citations – generate benefits for innovators, businesses, and society. Analyzing more than five million patents and citations from 1976 to 2017, this paper adds to the existing literature by examining whether the radicalness of a patented good – that is, the more technology classes cited as contributing prior arts not identified in the patent’s own technology identity – impacts the likelihood an innovation is a breakthrough. In essence, the paper tests the common belief that it is beneficial to “think outside the box” when innovating. The results show that increased radicalness increases the likelihood of a breakthrough up to a certain threshold, after which increased radicalness decreases the likelihood of a breakthrough. Additionally, established innovators and university ownership of a patent each extend the range for which increased radicalness increases the probability of a breakthrough, while joint patent ownership decreases the range.
Journal: International Journal of the Economics of Business
Pages: 341-365
Issue: 3
Volume: 25
Year: 2018
Month: 9
X-DOI: 10.1080/13571516.2018.1438873
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1438873
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Template-Type: ReDIF-Article 1.0
Author-Name: Nicolae Stef
Author-X-Name-First: Nicolae
Author-X-Name-Last: Stef
Author-Name: Sami Ben Jabeur
Author-X-Name-First: Sami Ben
Author-X-Name-Last: Jabeur
Title: The Bankruptcy Prediction Power of New Entrants
Abstract: 
 This study aims to determine if the number of new entrants provides a useful tool for forecasting the probability of a firm’s liquidation. We assess how the formation of new firms in a firm’s geographical location influences the likelihood of liquidation. Using a sample of 825 non-listed French industrial firms located in small cities, our estimates show that an increase in the number of new industrial firms in a firm’s location has a positive and significant impact on the probability of a firm being liquidated. The emergence of new firms seems to have stronger power in predicting bankruptcy than other financial variables such as leverage or the rate of exports.
Journal: International Journal of the Economics of Business
Pages: 421-440
Issue: 3
Volume: 25
Year: 2018
Month: 9
X-DOI: 10.1080/13571516.2018.1455389
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1455389
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:3:p:421-440




Template-Type: ReDIF-Article 1.0
Author-Name: James H. Cardon
Author-X-Name-First: James H.
Author-X-Name-Last: Cardon
Author-Name: Mark H. Showalter
Author-X-Name-First: Mark H.
Author-X-Name-Last: Showalter
Title: Wages, Health Insurance Benefits, and Worker Sorting Under Asymmetric Information
Abstract: 
 Employer-sponsored health insurance is the single largest source of health insurance in the USA. In this paper, we explore a model that treats a firm as a de facto insurance company. More specifically, we model a firm as both a producer of goods for an output market and a health insurance company for their employees. The model accounts for the joint provision of wages and health insurance, including the possibility of asymmetric information in employee health status. With this structure, a firm can choose to pay their workers in some combination of cash wages and health insurance. We characterize optimal employment contracts and show that the Rothschild–Stiglitz model results under asymmetric information extend to employer provided insurance. We also find that employment-based insurance offers pooling options that are typically not available when insurance is sold as a standalone product, suggesting a stability to employer-based insurance that is not dependent on the tax system.
Journal: International Journal of the Economics of Business
Pages: 367-390
Issue: 3
Volume: 25
Year: 2018
Month: 9
X-DOI: 10.1080/13571516.2018.1505231
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1505231
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:3:p:367-390




Template-Type: ReDIF-Article 1.0
Author-Name: Elie Bouri
Author-X-Name-First: Elie
Author-X-Name-Last: Bouri
Author-Name: Donald Lien
Author-X-Name-First: Donald
Author-X-Name-Last: Lien
Author-Name: David Roubaud
Author-X-Name-First: David
Author-X-Name-Last: Roubaud
Author-Name: Syed Jawad Hussain Shahzad
Author-X-Name-First: Syed Jawad
Author-X-Name-Last: Hussain Shahzad
Title: Fear Linkages Between the US and BRICS Stock Markets: A Frequency-Domain Causality
Abstract: 
 We employ a spectral causality approach to uncover short-, medium-, and long-run causal relations between the US implied volatility index and the five individual implied volatility indexes of BRICS markets from 16th March 2011 to 31st January 2018. We show that the volatility causal relations differ between the short and long run in many cases. Although the results indicate the dominant role played by US uncertainty in shaping uncertainty in all BRICS markets, there is also evidence of a feedback effect from Brazil, Russia, and China to the US that differs across the spectrum. The implications for hedging and risk management practices are explored.
Journal: International Journal of the Economics of Business
Pages: 441-454
Issue: 3
Volume: 25
Year: 2018
Month: 9
X-DOI: 10.1080/13571516.2018.1505241
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1505241
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Template-Type: ReDIF-Article 1.0
Author-Name: Ichiro Iwasaki
Author-X-Name-First: Ichiro
Author-X-Name-Last: Iwasaki
Title: Corporate Governance System and Regional Heterogeneity: Evidence from East and West Russia
Abstract: 
 Using a unique firm-level dataset obtained from a large-scale questionnaire survey conducted in late 2015, we examined the generality and heterogeneity of corporate governance systems between the eastern and western regions of Russia. The survey results strongly suggest that the governance system in the surveyed firms is generally characterized by: the dominance of closed corporate forms, the polarization trend in boards of directors and audit committees in terms of their independence from senior management, the reluctance to employ independent directors or expert auditors, and the strong preference for local auditors and indigenous audit firms as external auditors. At the same time, however, we also found that the probability of establishment of the governance bodies, appointment of independent directors and expert auditors, and execution of external audit in the eastern companies is significantly lower than that in the western counterparts. This finding is robust, even after a series of firm-level attributes are simultaneously controlled for.
Journal: International Journal of the Economics of Business
Pages: 391-420
Issue: 3
Volume: 25
Year: 2018
Month: 9
X-DOI: 10.1080/13571516.2018.1505252
File-URL: http://hdl.handle.net/10.1080/13571516.2018.1505252
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Template-Type: ReDIF-Article 1.0
Author-Name: Kevin Amess
Author-X-Name-First: Kevin
Author-X-Name-Last: Amess
Author-Name: David Paton
Author-X-Name-First: David
Author-X-Name-Last: Paton
Title: A New Era for the International Journal of the Economics of Business
Journal: International Journal of the Economics of Business
Pages: 339-339
Issue: 3
Volume: 25
Year: 2018
Month: 9
X-DOI: 10.1080/13571516.2019.1570711
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1570711
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Handle: RePEc:taf:ijecbs:v:25:y:2018:i:3:p:339-339




Template-Type: ReDIF-Article 1.0
Author-Name: Dirk Schindler
Author-X-Name-First: Dirk
Author-X-Name-Last: Schindler
Author-Name: Guttorm Schjelderup
Author-X-Name-First: Guttorm
Author-X-Name-Last: Schjelderup
Title: Multinationals and Income Shifting by Debt
Abstract: 
 Existing literature studies debt shifting and transfer pricing separately. In practice, however, the choice of debt-to-asset ratios in affiliates and the interest rate on internal debt are interrelated management decisions that are also mutually affected by government regulation. Therefore, this paper models these strategies as simultaneous decisions made by the management. We find that the tax sensitivity of the corporate tax base depends on whether debt shifting and transfer pricing are cost complements or substitutes. A second result is that stricter regulation of debt shifting and transfer pricing may have the effect of fostering such activities.
Journal: International Journal of the Economics of Business
Pages: 263-286
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2015.1129095
File-URL: http://hdl.handle.net/10.1080/13571516.2015.1129095
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Handle: RePEc:taf:ijecbs:v:23:y:2016:i:3:p:263-286




Template-Type: ReDIF-Article 1.0
Author-Name: Shaopeng Huang
Author-X-Name-First: Shaopeng
Author-X-Name-Last: Huang
Author-Name: Darryl Holden
Author-X-Name-First: Darryl
Author-X-Name-Last: Holden
Title: The R&amp;D Boundaries of the Firm: A Problem-Solving Perspective
Abstract: 
 This paper considers, theoretically and empirically, how different organization modes are aligned to govern the efficient solving of technological problems. The data set is from the Chinese consumer electronics industry. Following the problem-solving perspective (PSP) within the knowledge-based view (KBV), we develop and test several PSP and KBV hypotheses, whilst controlling for some relevant transaction cost economics and other variables, in an examination of the determinants of the firms’ R&amp;D organization choice. The results show that a firm’s existing knowledge base is the most important explanatory factor. Problem complexity and decomposability are also found to be important, but it is suggested, contrary to the view of PSP, that they are better treated as separate variables, and that equity-based alliances tend to be reserved for the most complex problems.
Journal: International Journal of the Economics of Business
Pages: 287-317
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2016.1156247
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1156247
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Template-Type: ReDIF-Article 1.0
Author-Name: Spyros Arvanitis
Author-X-Name-First: Spyros
Author-X-Name-Last: Arvanitis
Author-Name: Euripidis N. Loukis
Author-X-Name-First: Euripidis N.
Author-X-Name-Last: Loukis
Author-Name: Vasiliki Diamantopoulou
Author-X-Name-First: Vasiliki
Author-X-Name-Last: Diamantopoulou
Title: Are ICT, Workplace Organization, and Human Capital Relevant for Innovation? A Comparative Swiss/Greek Study
Abstract: 
 This paper investigates and compares the relationships for Swiss and Greek firms between indicators for the intensity of use of modern information and communications technologies (ICT), several forms of workplace organization, and human capital, on the one hand, and several measures of innovation performance at firm level, on the other hand. For the Swiss firms, we find that ICT contribute to innovation activities (a) as enablers of process innovation (but not of product innovation) and (b) as means for increasing the efficiency of the R&amp;D process. The organizational variables for “work design” and “employee voice” show significant positive correlations for most innovation indicators. Human capital matters primarily for R&amp;D activities. The findings for the Greek firms indicate positive correlations of ICT with product and process innovation and of new “work design” with product innovation and R&amp;D. No correlation of human capital with innovation could be found. No complementarities for the three factors with respect to innovation performance could be detected in either country.
Journal: International Journal of the Economics of Business
Pages: 319-349
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2016.1186385
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1186385
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Template-Type: ReDIF-Article 1.0
Author-Name: Celine Gimet
Author-X-Name-First: Celine
Author-X-Name-Last: Gimet
Author-Name: Sandra Montchaud
Author-X-Name-First: Sandra
Author-X-Name-Last: Montchaud
Title: What Drives European Football Clubs’ Stock Returns and Volatility?
Abstract: 
 The article studies the main determinants of European football clubs’ stock returns and volatility. A panel-data analysis of a sample of 24 European football clubs was conducted to test the influence of several variables, based on a matrix of internal/external and real/financial dimensions, on both stock returns and their volatility. The results show that clubs’ stock returns are influenced by the real and financial context and by a set of internal variables such as profit considered as a reflection of accounting discipline, capitalization as an indicator of size and stadium attendance as a proxy indicator of reputation. The volatility of stock returns seems particularly vulnerable to the overall instability on stock markets and dependent on clubs’ profit and net players’ transfers and, to a lesser extent, on sporting outcomes.
Journal: International Journal of the Economics of Business
Pages: 351-390
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2016.1204686
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1204686
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Template-Type: ReDIF-Article 1.0
Author-Name: Thomas W. Hazlett
Author-X-Name-First: Thomas W.
Author-X-Name-Last: Hazlett
Title: Understanding the Disruptive Innovation Wrought by Computers and the Internet: A Review
Abstract: 
 This review essay amalgamates the economic dynamics found in the rise of the computer industry, as detailed in Martin Campbell-Kelly and Daniel D. Garcia-Swartz, From mainframes to smartphones: A history of the international computer industry (Harvard University Press, 2015), and the metamorphosis of data networks in Shane Greenstein, How the Internet became commercial: Innovation, privatization, and the birth of a new network (Princeton University Press, 2015). These developments have altered the fields of industrial organization and public policy, while shaping the economy of the future. Both books offer deep and illuminating histories that inform our understanding of markets, technology, and government regulation.
Journal: International Journal of the Economics of Business
Pages: 391-408
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2016.1220472
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1220472
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Template-Type: ReDIF-Article 1.0
Author-Name: The Editors
Title: Contents and Author Index, Volume 23, 2016
Journal: International Journal of the Economics of Business
Pages: 409-412
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2016.1240462
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1240462
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Handle: RePEc:taf:ijecbs:v:23:y:2016:i:3:p:409-412




Template-Type: ReDIF-Article 1.0
Author-Name: The Editors
Title: Editorial Board
Journal: International Journal of the Economics of Business
Pages: ebi-ebi
Issue: 3
Volume: 23
Year: 2016
Month: 9
X-DOI: 10.1080/13571516.2016.1213021
File-URL: http://hdl.handle.net/10.1080/13571516.2016.1213021
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Template-Type: ReDIF-Article 1.0
Author-Name: Z. John Lu
Author-X-Name-First: Z. John
Author-X-Name-Last: Lu
Author-Name: William S. Comanor
Author-X-Name-First: William S.
Author-X-Name-Last: Comanor
Author-Name: Elliot Cherkas
Author-X-Name-First: Elliot
Author-X-Name-Last: Cherkas
Author-Name: Llad Phillips
Author-X-Name-First: Llad
Author-X-Name-Last: Phillips
Title: U.S. Pharmaceutical Markets: Expenditures, Health Insurance, New Products and Generic Prescribing from 1960 to 2016
Abstract: 
 Between 1960 and 2016 per capita expenditures on retail pharmaceuticals increased from $85.12 to $922.50 in 2009 prices, while the share of spending covered by insurance programs grew to 86%. The introduction of new molecular entities followed only a weak upward trend. Following passage of the Hatch Waxman Act in 1984, the share of retail prescriptions dispensed as generics has expanded from 19% to almost 90%. By employing a three-equation Vector Auto-Regressive (VAR) model and Granger causality, this paper assesses empirically the interdependence among these variables. Our most important finding is that increases in insurance coverage on pharmaceuticals contributed significantly to the spending growth, which in turn led to further insurance expansion. In addition, introduction of new drugs also has contributed to enhanced insurance coverage. While the expansion of generic prescribing has had a strong negative effect on spending, this effect has been largely offset by rapid increases in coverage.
Journal: International Journal of the Economics of Business
Pages: 1-26
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2019.1651150
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1651150
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Template-Type: ReDIF-Article 1.0
Author-Name: Rena M. Conti
Author-X-Name-First: Rena M.
Author-X-Name-Last: Conti
Author-Name: Ernst R. Berndt
Author-X-Name-First: Ernst R.
Author-X-Name-Last: Berndt
Title: Four Facts Concerning Competition in US Generic Prescription Drug Markets
Abstract: 
 We establish four facts concerning competition among US generic drug suppliers, using IQVIA’s National Sales Perspective™ 2004 Q4–2016 Q3 data. We define a unique product market (“molform”), consisting of the combination of a molecule active ingredient and a route of administration formulation, aggregated over different doses and strengths. We find: (1) supply exhibits substantial churning in entrants and exits; (2) volume-weighted use concentrates in older generic molform cohorts; (3) the extent of competition is greatest for the oldest molform cohorts and is smallest for the youngest molform cohorts. With a median of one competitor, the extent of competition in the youngest molform cohort is very limited; and (4) supplier-molform annual revenues are typically small, are largest for relatively young drugs, but are heavily right skewed. These four facts provide an empirical platform on which to construct and empirically evaluate hypotheses regarding generic drug market structure, performance, and possible policy reforms.
Journal: International Journal of the Economics of Business
Pages: 27-48
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2019.1654324
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1654324
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Template-Type: ReDIF-Article 1.0
Author-Name: Joel Stiebale
Author-X-Name-First: Joel
Author-X-Name-Last: Stiebale
Author-Name: Nicole Wößner
Author-X-Name-First: Nicole
Author-X-Name-Last: Wößner
Title: M&As, Investment and Financing Constraints
Abstract: 
 We use a panel data set of European firms to analyse the effects of domestic and international M&As on target firms’ investment, growth and financial constraints. Combining propensity score matching with a difference-in-differences estimator, our results indicate that upon acquisition, target firms obtain better access to external finance, are characterized by higher levels of tangible and intangible assets, and display lower dependence of investments and cash savings on the availability of internal funds. We also provide evidence that these effects are driven by acquisitions during the 2007–2009 financial crisis and relatively small target firms.
Journal: International Journal of the Economics of Business
Pages: 49-92
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2019.1653719
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1653719
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Template-Type: ReDIF-Article 1.0
Author-Name: Alyson C. Ma
Author-X-Name-First: Alyson C.
Author-X-Name-Last: Ma
Author-Name: Ryan D. Ratcliff
Author-X-Name-First: Ryan D.
Author-X-Name-Last: Ratcliff
Title: Liability of Foreignness: Product Distance, Institutional Distance and FDI
Abstract: 
 We empirically analyze the relevance of a country’s export mix in offsetting the liability of foreignness when internationalizing through foreign direct investment. Using a gravity model, we demonstrate that countries with a similar mix of exports will tend to have higher FDI flows between them, even when controlling for per-capita income. We also show that the inclusion of export mix reduces the estimated importance of institutional similarities. Lastly, we discuss which firm-level motivations for internationalization are most consistent with our country level evidence.
Journal: International Journal of the Economics of Business
Pages: 93-110
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2019.1651152
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1651152
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:1:p:93-110




Template-Type: ReDIF-Article 1.0
Author-Name: Laura Barbieri
Author-X-Name-First: Laura
Author-X-Name-Last: Barbieri
Author-Name: Daniela Bragoli
Author-X-Name-First: Daniela
Author-X-Name-Last: Bragoli
Author-Name: Flavia Cortelezzi
Author-X-Name-First: Flavia
Author-X-Name-Last: Cortelezzi
Author-Name: Giovanni Marseguerra
Author-X-Name-First: Giovanni
Author-X-Name-Last: Marseguerra
Title: Public Funding and Innovation Strategies. Evidence from Italian SMEs
Abstract: 
 Using a dataset which combines Community Innovation Survey (CIS) and accounting information on Italian manufacturing firms, we adopt a two step econometric procedure to investigate whether the receipt of public funding determines firms’ innovation strategy selection. In the first step an innovation selection equation is estimated, in the second we adopt a bivariate probit model. The main finding is that public funding influences whether firms select the make, the buy or the make&buy strategy, favoring the latter. The composite strategy is the one linked to the build up of absorptive capacity which, according to the empirical evidence, turns out to be associated to a better innovative performance.
Journal: International Journal of the Economics of Business
Pages: 111-134
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2019.1664834
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1664834
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Template-Type: ReDIF-Article 1.0
Author-Name: Tchai Tavor
Author-X-Name-First: Tchai
Author-X-Name-Last: Tavor
Author-Name: Limor Dina Gonen
Author-X-Name-First: Limor Dina
Author-X-Name-Last: Gonen
Author-Name: Uriel Spiegel
Author-X-Name-First: Uriel
Author-X-Name-Last: Spiegel
Title: Pricing and Inventory Policies Under a Deterministic Supply Cycle
Abstract: 
 The research investigates optimal pricing and inventory policies in the case in which the demands of different periods are identical. However, the supplies fluctuate due to cycles in nature as well as additional environmental and other factors. Each cycle contains two periods or seasons. A peak season with a large given supply is followed by a regular season with a small supply. The model deals with deterministic supply and the question of what policy is adopted regarding the quantities produced and sold in the markets at each period. It first considers the case without the use of inventory for delivery between periods. In the second case, inventory that can be produced at the peak period is only for sale at the regular period. It is sold as non-fresh inventory that is a ‘supplement’ to the fresh output produced at the regular period.
Journal: International Journal of the Economics of Business
Pages: 135-155
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2019.1684637
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1684637
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Template-Type: ReDIF-Article 1.0
Author-Name: Kevin Amess
Author-X-Name-First: Kevin
Author-X-Name-Last: Amess
Author-Name: David Paton
Author-X-Name-First: David
Author-X-Name-Last: Paton
Author-Name: H. E. Frech
Author-X-Name-First: H. E.
Author-X-Name-Last: Frech
Title: International Journal of the Economics of Business Best Paper Prize Announcement
Journal: International Journal of the Economics of Business
Pages: 157-157
Issue: 1
Volume: 27
Year: 2020
Month: 1
X-DOI: 10.1080/13571516.2020.1719639
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1719639
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Template-Type: ReDIF-Article 1.0
Author-Name: Atanu Saha
Author-X-Name-First: Atanu
Author-X-Name-Last: Saha
Author-Name: Heather Roberts
Author-X-Name-First: Heather
Author-X-Name-Last: Roberts
Title: Pharmaceutical industry’s changing market dynamics
Abstract: 
 Using a panel dataset of 82 drugs that lost exclusivity between 2009 and 2018, we examine three key variables: the number of generic entrants, the generic-to-brand price ratio, and generic share. We also undertake a comparative analysis of these variables using an earlier dataset of 40 drugs that lost exclusivity in 1992–1998. Our principal findings are: a marked decrease in the number of generic manufacturers per drug, higher generic concentration, and higher generic-to-brand price ratios in the more recent years. Despite higher generic-to-brand price ratios, however, the generics have garnered higher market share, reflecting their rising market power and the ongoing major structural changes in the pharmaceutical industry.
Journal: International Journal of the Economics of Business
Pages: 159-175
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2020.1752044
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1752044
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Template-Type: ReDIF-Article 1.0
Author-Name: Mourad Zmami
Author-X-Name-First: Mourad
Author-X-Name-Last: Zmami
Author-Name: Ousama Ben-Salha
Author-X-Name-First: Ousama
Author-X-Name-Last: Ben-Salha
Title: Foreign Ownership and Labor Demand by Skill in the Tunisian Manufacturing Industry: A Firm-Level Investigation
Abstract: 
 This paper aims to examine the impact of foreign ownership on the employment of different skill groups in Tunisian manufacturing industries. The empirical investigation is based on a rich and unique firm-level dataset covering the period 1997–2007. The estimation of a dynamic labor demand function using the system GMM estimator brings out many interesting findings. First, results indicate that foreign ownership has a positive effect on total employment. Second, when decomposing employment according to skill level, we reveal that the foreign ownership of firms affects positively unskilled labor demand and negatively skilled labor demand. Furthermore, the effects are higher in small and medium-sized enterprises and firms belonging to low technology industries. Findings also suggest no significant differences between short- and long-run effects of foreign ownership on the employment of different skill groups. Finally, the main results of the research hold even when estimating the labor demand functions simultaneously using the three-stage least squares estimator. The policy implications are correspondingly derived.
Journal: International Journal of the Economics of Business
Pages: 177-201
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2019.1678295
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1678295
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:2:p:177-201




Template-Type: ReDIF-Article 1.0
Author-Name: Inès Ben Dkhil
Author-X-Name-First: Inès Ben
Author-X-Name-Last: Dkhil
Author-Name: Khaireddine Jebsi
Author-X-Name-First: Khaireddine
Author-X-Name-Last: Jebsi
Title: Access Regulation and Broadband Deployment: Evidence from a Worldwide Dataset
Abstract: 
 This paper explores whether the differences in national regulatory policy practices explain gaps in the fixed broadband uptake across countries worldwide. In doing this, we consider a dataset covering 107 developed and developing countries during 2004–2015. Based on data about regulatory practices gathered from several relevant sources, we compute an index to quantify the degree of regulation in the fixed telecommunication segment. Overall, our findings exhibit clearly an inverted U-shape relationship, meaning that high degrees of regulation harm broadband investment. However, isolating the behavior of the least developing countries from the rest of our worldwide panel, we obtain different results. In fact, access regulation is a relatively recent practice in many developing countries. Moreover, the use of this novel data set has allowed us to investigate the specific impact of each one of these regulatory policies. We argue that most findings are in line with the theoretical predictions.
Journal: International Journal of the Economics of Business
Pages: 203-253
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2019.1684093
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1684093
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Template-Type: ReDIF-Article 1.0
Author-Name: Francisco Jareño
Author-X-Name-First: Francisco
Author-X-Name-Last: Jareño
Author-Name: Marta Tolentino
Author-X-Name-First: Marta
Author-X-Name-Last: Tolentino
Author-Name: María de la O González
Author-X-Name-First: María de la O
Author-X-Name-Last: González
Author-Name: M. Ángeles Medina
Author-X-Name-First: M. Ángeles
Author-X-Name-Last: Medina
Title: Interest rate exposure of European insurers
Abstract: 
 This paper focuses on analysing the sensitivity and behaviour of some of the leading insurers currently operating in the Euro area to changes in benchmark interest rates. The methodology used is the Quantile Regression (QR) approach and the period analysed covers from 2003 to 2015 around the recent global financial crisis. The empirical results show that European insurance market returns have a statistically significant sensitivity to interest rate variations and that there are important differences according to the period analysed, being the sensitivity most pronounced in extreme market conditions.
Journal: International Journal of the Economics of Business
Pages: 255-268
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2019.1681789
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1681789
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Template-Type: ReDIF-Article 1.0
Author-Name: Adnan Kasman
Author-X-Name-First: Adnan
Author-X-Name-Last: Kasman
Author-Name: Saadet Kasman
Author-X-Name-First: Saadet
Author-X-Name-Last: Kasman
Author-Name: Gamze Gökalp
Author-X-Name-First: Gamze
Author-X-Name-Last: Gökalp
Title: Stability, Competition, and Concentration in the Turkish Insurance Sector
Abstract: 
 This paper examines the impact of competition and concentration on stability in the Turkish insurance sector over the period 2002–2014. The main results indicate that non–life insurers are more stable in a less competitive and highly concentrated environment. This finding provides support for the competition–fragility view in the Turkish non–life insurance sector. In contrast, life/pension insurers are more stable in a highly competitive and more concentrated market. Hence, our findings provide support for the competition–stability view for Turkish life/pension insurers. The results further indicate that higher market power decreases (increases) earnings volatility in the non–life (life/pension) insurance sector. A quadratic term of the competition measures was also used in this study to capture a possible nonlinear relationship between competition and risk. The results suggest an inverse U-shaped pattern for the non–life insurer’s case. That is, market power increases insurer stability until a threshold level. As for the life/pension insurer’s case, the results also support a U-shaped relationship between market power and stability. The results further show that there is no nonlinear relationship between competition and stability.
Journal: International Journal of the Economics of Business
Pages: 269-289
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2019.1664835
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1664835
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Template-Type: ReDIF-Article 1.0
Author-Name: Ajay Sharma
Author-X-Name-First: Ajay
Author-X-Name-Last: Sharma
Title: Misleading advertising in mixed markets: non-profit orientation and welfare outcomes
Abstract: 
 In this article, we analyse misleading advertising competition between private firms (profit oriented) and consumer-oriented firms (concerned about consumer welfare) in the context of mixed markets. The nature of advertising in this article is assumed to be non-rival in nature and is beneficial to all the firms in the market. We find that, both private and consumer-oriented firms incur positive expenditure on misleading advertising. Further, the profit of consumer-oriented firms is higher than that of private firms. Moreover, irrespective of whether firms are concerned about consumer welfare or not, the level of misleading advertising is socially excessive.
Journal: International Journal of the Economics of Business
Pages: 291-302
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2019.1674491
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1674491
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:2:p:291-302




Template-Type: ReDIF-Article 1.0
Author-Name: Naoshi Doi
Author-X-Name-First: Naoshi
Author-X-Name-Last: Doi
Author-Name: Hitoshi Hayakawa
Author-X-Name-First: Hitoshi
Author-X-Name-Last: Hayakawa
Title: Electronic word-of-mouth: a survey from an economics perspective
Abstract: 
 This paper reviews existing studies investigating online communication on products and services, also known as, electronic word-of-mouth (eWOM). The first half of the paper summaries what is known about eWOM in the literature. Existing studies largely relate to the marketing field and are generally conducted from a marketing firms' point of view. To investigate eWOM from the perspective of social welfare, the latter half of the paper discusses theoretical frameworks of economics that are potentially applicable to the context of eWOM, especially focusing on theories about social learning and signaling. We discuss implications obtained by applying these theories to eWOM and outline possible directions for future research.
Journal: International Journal of the Economics of Business
Pages: 303-320
Issue: 2
Volume: 27
Year: 2020
Month: 5
X-DOI: 10.1080/13571516.2020.1747853
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1747853
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:2:p:303-320




Template-Type: ReDIF-Article 1.0
Author-Name: Marcelo Resende
Author-X-Name-First: Marcelo
Author-X-Name-Last: Resende
Author-Name: Daniel Penido Amorim
Author-X-Name-First: Daniel Penido
Author-X-Name-Last: Amorim
Author-Name: Pedro O. Valente
Author-X-Name-First: Pedro O.
Author-X-Name-Last: Valente
Title: Switching Costs in the Brazilian Airline Sector
Abstract: 
 This paper calculates the switching costs in the context of the Brazilian airline industry by considering an indirect approach, and econometrically evaluates its determinants during the 2005-2017 period. Evidence suggests non-negligible switching costs that display a decreasing trend over time, which is consistent with an increase in the competition in the sector, as also exhibited in other countries. An instrumental variables estimation suggests that variables referring to the number of flights, a frequent flyer program and the entry/presence of competitors play a role in determining the magnitude of switching costs.
Journal: International Journal of the Economics of Business
Pages: 321-339
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1787746
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1787746
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:3:p:321-339




Template-Type: ReDIF-Article 1.0
Author-Name: Ramon Fauli-Oller
Author-X-Name-First: Ramon
Author-X-Name-Last: Fauli-Oller
Title: Buyer power of retailers with limited selling capacity
Abstract: 
 We have two upstream firms producing each one a different good. Demands of the goods are independent, symmetric and linear. Goods are sold to consumers through retailers. The units of both goods sold by retailers cannot exceed the industry selling capacity that it is distributed symmetrically among retailers. Taking as given the industry selling capacity, when the number of retailers decreases, they become bigger in the sense that their selling capacity increases. Therefore, changing the number of retailers, we can check whether the countervailing power theory, that states that bigger retailers obtain better deals from suppliers, holds in our model. We obtain that the lower the number of retailers, the lower the wholesale prices, only when the industry selling capacity is high.
Journal: International Journal of the Economics of Business
Pages: 341-355
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1792226
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1792226
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Template-Type: ReDIF-Article 1.0
Author-Name: Matthias Glaser
Author-X-Name-First: Matthias
Author-X-Name-Last: Glaser
Author-Name: Michal Jirasek
Author-X-Name-First: Michal
Author-X-Name-Last: Jirasek
Author-Name: Josef Windsperger
Author-X-Name-First: Josef
Author-X-Name-Last: Windsperger
Title: Ownership Structure of Franchise Chains: Trade-Off Between Adaptation and Control
Abstract: 
 This study provides a new explanation of the ownership structure of franchise firms by highlighting a trade-off between adaptation and control under increasing uncertainty. Franchise chains are formed to reduce transaction costs by combining franchisee outlets as an adaptation mechanism and company-owned outlets as a control mechanism. We argue that under low to moderate uncertainty, franchisors prioritize local responsiveness to profit opportunities by operating a lower proportion of company-owned outlets (PCO); by contrast, under high environmental uncertainty, franchisors prefer more central control through a higher PCO to coordinate interdependent local market outlets better. Hence, the franchisor must find an optimal PCO by balancing the PCO decreasing effect of higher local adaptation with the PCO increasing effect of higher central coordination under increasing uncertainty. Therefore, we posit a U-shaped relationship between the PCO and environmental uncertainty. Data from German and Swiss franchise systems provide support for the study’s hypotheses.
Journal: International Journal of the Economics of Business
Pages: 357-375
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1718460
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1718460
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Template-Type: ReDIF-Article 1.0
Author-Name: Paula Sarmento
Author-X-Name-First: Paula
Author-X-Name-Last: Sarmento
Author-Name: António Brandão
Author-X-Name-First: António
Author-X-Name-Last: Brandão
Title: Networks in Decline: Should Price Regulation Be Abolished?
Abstract: 
 Some utilities such as postal services, gas and electricity are facing significant decline in demand within several of their business segments. In this context, an important matter for regulators, firms and consumers is to consider if maintaining price regulation is welfare enhancing compared with the no regulation alternative. From a model with one firm that is simultaneously monopolist in a regulated market and is in competition in a liberalized market, we conclude that welfare can be higher when price regulation is preserved.
Journal: International Journal of the Economics of Business
Pages: 377-389
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1718472
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1718472
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:3:p:377-389




Template-Type: ReDIF-Article 1.0
Author-Name: Selçuk Özaydın
Author-X-Name-First: Selçuk
Author-X-Name-Last: Özaydın
Author-Name: Murat Donduran
Author-X-Name-First: Murat
Author-X-Name-Last: Donduran
Title: Efficiency analysis of social performance – the case of Turkish super league
Abstract: 
 Undoubtedly, due to its impact on both revenues and the home advantage, social performance is a key factor of success for football clubs. Growing revenues and the government’s eagerness to promote football in Turkey in recent years have created desirable conditions for Turkish clubs. However, research into the impact of social performance success has not received much attention, especially in Turkey, despite Turkey being one of the major leagues in Europe. This study aims to fill this gap in the literature. It does so by investigating social performance using a two-stage stochastic frontier analysis drawing on evidence from the Turkish Super League between the 2012/2013 and 2017/2018 seasons. Results from the first stage illustrate that social efficiency leaders change almost every season. Results from the second stage of research identify which specific factors are diminishing the social technical efficiency for clubs in the Turkish Super League. It emerges that the fundamental source of social inefficiency in Turkey is the Passolig, an identification system implemented in 2014. Furthermore, it transpires that heterogeneity among the clubs’ hometowns is also highly influential on social efficiency. However, even though attendance has managed to recover back to pre-Passolig levels, social efficiency is still lower than the pre-Passolig levels.
Journal: International Journal of the Economics of Business
Pages: 391-409
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1787786
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1787786
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:3:p:391-409




Template-Type: ReDIF-Article 1.0
Author-Name: Ranjan DasGupta
Author-X-Name-First: Ranjan
Author-X-Name-Last: DasGupta
Author-Name: Soumya G. Deb
Author-X-Name-First: Soumya G.
Author-X-Name-Last: Deb
Title: Exploring the Relationship between Risk and Performance in Listed Indian Firms
Abstract: 
 This paper analyses the relationship between a firm’s accounting risk and performance for a large sample of listed Indian firms observed over the period 2000–2015. We find evidence that the relationship is not absolute but contingent on the level of firm performance. We show that poorly performing firms below a threshold level of performance exhibit a ‘paradoxical’ or inverse relationship, while the firms above the threshold exhibit a non-linear relationship with a clear point of inflection. We posit that the former observation is due to a risk-seeking behaviour by the poor performers in line with behavioural finance theories while the latter is a result of a mixed-risk-behaviour.
Journal: International Journal of the Economics of Business
Pages: 411-430
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1767981
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1767981
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Handle: RePEc:taf:ijecbs:v:27:y:2020:i:3:p:411-430




Template-Type: ReDIF-Article 1.0
Author-Name: Sam Williams
Author-X-Name-First: Sam
Author-X-Name-Last: Williams
Author-Name: Christopher Pickard
Author-X-Name-First: Christopher
Author-X-Name-Last: Pickard
Author-Name: Karli Glass
Author-X-Name-First: Karli
Author-X-Name-Last: Glass
Author-Name: Anthony Glass
Author-X-Name-First: Anthony
Author-X-Name-Last: Glass
Title: Benchmarking Water Retail Cost Efficiency in England and Wales
Abstract: 
 Privatised water companies in England and Wales are subject to economic regulation by the industry regulator (Ofwat). Ofwat sets 5-year caps on the prices’ companies can charge their customers. These caps are in part based on the benchmarking of companies’ costs. Ofwat has not previously used econometrics to benchmark domestic retail costs, but it undertook such modelling in its 2019 price review analysis. This is the first journal article to present an efficiency analysis of domestic water retail costs in England and Wales. Our approach is different from Ofwat’s, as we propose two new ways of accounting for differences in the effect on cost of the number of single and dual service customers (water/sewerage-only and water and sewerage). Some companies’ cost efficiencies vary greatly between the two ways. Depending on the approach to price capping, this could possibly have non-negligible implications for companies’ caps.
Journal: International Journal of the Economics of Business
Pages: 431-467
Issue: 3
Volume: 27
Year: 2020
Month: 9
X-DOI: 10.1080/13571516.2020.1790979
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1790979
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Template-Type: ReDIF-Article 1.0
Author-Name: John Kwoka
Author-X-Name-First: John
Author-X-Name-Last: Kwoka
Author-Name: Pinshuo Wang
Author-X-Name-First: Pinshuo
Author-X-Name-Last: Wang
Title: Raising Rivals Costs by Customer Diversion: Evidence from Airline Baggage Fees
Abstract: 
 This study examines the effects of airline baggage fees as a method for diverting high cost passengers to rival airlines that do not charge such fees. We show that the latter in turn must raise their fares, thereby weakening their competitive constraint on carriers with fees and permitting the latter actually to raise their fares. Our empirical evidence focuses on routes where legacy carriers with baggage fees compete with Southwest, which has never had such fees. Consistent with the above implications of the model, we find nontrivial cost and price increases for Southwest and corresponding nontrivial fare increases by legacy carriers on routes on which they overlap with Southwest. These results provide support for the theory of "raising rivals’ costs", this in airlines, but common in other settings where unbundled pricing shifts customers between firms.
Journal: International Journal of the Economics of Business
Pages: 1-18
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2020.1805279
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1805279
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Template-Type: ReDIF-Article 1.0
Author-Name: Panagiotis Fotis
Author-X-Name-First: Panagiotis
Author-X-Name-Last: Fotis
Author-Name: Michael Polemis
Author-X-Name-First: Michael
Author-X-Name-Last: Polemis
Title: The impact of regulation in shelf life on milk price
Abstract: 
 The scope of this paper is to investigate the impact of market deregulation on the level of farm-gate prices and the competitiveness of raw milk producers in Greece along the suggested lines of OECD. For this purpose, we use a dynamic panel data approach. We argue that the full openness of the relevant milk market segment had significant implications for the level of farmgate prices in the industry. On the one hand, market deregulation causes the increase of farmgate prices and, on the other hand, a fiercer market competition proxied by the increase in the number of firms in the industry results in a decrease in farmgate milk prices. Lastly, our empirical findings remain robust under different methodologies and sample splitting, providing a focal point to policymakers and government officials for the ex-post evaluation of the proposed OECD deregulation strategies.
Journal: International Journal of the Economics of Business
Pages: 19-47
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2020.1819084
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1819084
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Template-Type: ReDIF-Article 1.0
Author-Name: Øystein Foros
Author-X-Name-First: Øystein
Author-X-Name-Last: Foros
Author-Name: Mai Nguyen-Ones
Author-X-Name-First: Mai
Author-X-Name-Last: Nguyen-Ones
Author-Name: Frode Steen
Author-X-Name-First: Frode
Author-X-Name-Last: Steen
Title: The Effects of a Day off from Retail Price Competition: Evidence on Consumer Behavior and Firm Performance in Gasoline Retailing
Abstract: 
 First, we analyze how regular days off from competition and a time-dependent price pattern affect firm performance. Second, we examine the effects on firms' profitability from consumers’ changing search- and timing behavior. We use microdata from gasoline retailing in Norway. From 2004 to 2017, firms practiced an industry-wide day off from competition, starting on Mondays at noon, by increasing prices to a common level given by the recommended prices (decided and published in advance). In turn, a foreseeable low-price window is open before every restoration. During the data period, we observe an additional weekly restoration on Thursdays at noon. The additional day off from competition increases firm performance. As expected, a conventional price search of where to buy reduces firms’ profitability. In contrast, consumers who are aware of the cycle and spend effort on when to buy have a positive impact on firms’ profitability. If consumers spend effort on when to buy, they attempt to tank during low price windows. By its very nature, this shrink consumers’ ability to compare prices at several outlets. Consequently, more attention to when to buy may soften price competition.
Journal: International Journal of the Economics of Business
Pages: 49-87
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2020.1843381
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1843381
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Template-Type: ReDIF-Article 1.0
Author-Name: Geert Woltjer
Author-X-Name-First: Geert
Author-X-Name-Last: Woltjer
Author-Name: Michiel van Galen
Author-X-Name-First: Michiel
Author-X-Name-Last: van Galen
Author-Name: Katja Logatcheva
Author-X-Name-First: Katja
Author-X-Name-Last: Logatcheva
Title: Industrial Innovation, Labour Productivity, Sales and Employment
Abstract: 
 This article examines the relationship between firm-level innovation and employment growth for industrial firms in the Netherlands. The empirical analysis uses four waves of the CIS survey for the period 2002-2010. It extends the literature by making an explicit split between the expansion effect of innovation and the labour productivity effect. The results show that both product and process innovation increase labour productivity and therefore induce direct reductions in employment. However, these negative employment effects are more than compensated by increases in sales, implying that both process and product innovations increase employment. In this article for the first time the relationship between both product and process innovations and employment is decomposed in a systematic manner based on explicit econometric equations on the relationship between innovation and labour productivity respectively sales. It is argued that the effects for sales and labour productivity are probably underestimated in all research that uses CIS survey data because these do not show the price effects of increased productivity, but that this effect cancels out in the estimated employment equation.
Journal: International Journal of the Economics of Business
Pages: 89-113
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2019.1695448
File-URL: http://hdl.handle.net/10.1080/13571516.2019.1695448
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Template-Type: ReDIF-Article 1.0
Author-Name: Roope Ohlsbom
Author-X-Name-First: Roope
Author-X-Name-Last: Ohlsbom
Author-Name: Mika Maliranta
Author-X-Name-First: Mika
Author-X-Name-Last: Maliranta
Title: Management Practices and Allocation of Employment: Evidence from Finnish Manufacturing
Abstract: 
 We analyse variation in the management practices across countries and across regions within a country. For cross-country comparisons we use the Finnish Management and Organizational Practices Survey (FMOP) to calculate a management score for Finnish manufacturing that is compared to corresponding measures obtained from similar data in the US and Germany. Scores measured by unweighted averages of the establishments in these countries show that Finland is only slightly behind the US and on par with those of Germany. With the FMOP data, we then perform an Olley-Pakes decomposition of the management score using a moment-based estimation procedure. Our decomposition shows no statistically significant differences in the unweighted average scores between Finnish regions, but reveal some significant differences in the employment weighted averages (i.e. aggregate scores) that can be attributed to the differences in the allocation of the labour force between establishments within regions.
Journal: International Journal of the Economics of Business
Pages: 115-138
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2020.1800343
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1800343
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Template-Type: ReDIF-Article 1.0
Author-Name: Bernd Brandl
Author-X-Name-First: Bernd
Author-X-Name-Last: Brandl
Title: Trust Relationships in Employment Relationships: the Role of Trust for Firm Profitability
Abstract: 
 Trust between actors in firms per se as well as in the employment relationship, i.e. between the representatives of employees and the management, is usually seen in the literature to affect firm performance positively, yet to date there has been no systematic analysis of the effect of different forms of trust, including mutual trust, on firms’ financial performance. In this article we argue that only mutual trust, rather than all forms of trust, is sufficient to systematically constitute an advantage for firms and ultimately materialize in firms’ profitability increases. We test our hypotheses on the basis of a representative and matched employee/employer side data set of firms in the member states of the European Union. Our analysis confirms our hypothesis that only strong mutual trust is able to systematically impact increases in firm profitability positively and weaker forms of trust and unilateral trust do not suffice.
Journal: International Journal of the Economics of Business
Pages: 139-161
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2020.1802213
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1802213
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Template-Type: ReDIF-Article 1.0
Author-Name: Asif M. Huq
Author-X-Name-First: Asif M.
Author-X-Name-Last: Huq
Author-Name: Sven-Olov Daunfeldt
Author-X-Name-First: Sven-Olov
Author-X-Name-Last: Daunfeldt
Author-Name: Fredrik Hartwig
Author-X-Name-First: Fredrik
Author-X-Name-Last: Hartwig
Author-Name: Niklas Rudholm
Author-X-Name-First: Niklas
Author-X-Name-Last: Rudholm
Title: Free to Choose: Do Voluntary Audit Reforms Increase Employment Growth?
Abstract: 
 Many European countries have abolished mandatory audits for small firms to reduce the regulatory and administrative burden for these firms. However, we still lack knowledge on whether such legislative changes affect employment growth for those firms that become free to choose to have external audits. We investigate this question using a Swedish reform that made audits voluntary for small firms fulfilling certain requirements. The reform created an almost ideal natural experiment, which we use to evaluate the effects of voluntary audits on employment growth for small firms using a difference-in-difference estimator. We find that firms which fulfilled the requirements for voluntary auditing, compared to a control group of similar firms that did not, increased their employment growth rate by 0.59%. This corresponds to 2,770 jobs being created in the year following the reform, suggesting that mandatory audits act as a growth barrier for small firms.
Journal: International Journal of the Economics of Business
Pages: 163-178
Issue: 1
Volume: 28
Year: 2021
Month: 1
X-DOI: 10.1080/13571516.2020.1802963
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1802963
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Template-Type: ReDIF-Article 1.0
Author-Name: K. R. Sinimole
Author-X-Name-First: K. R.
Author-X-Name-Last: Sinimole
Author-Name: Kanti Mohan Saini
Author-X-Name-First: Kanti Mohan
Author-X-Name-Last: Saini
Title: Performance evaluation of R&D organisations: an Asian perspective
Abstract: 
 Asian countries have enhanced their innovation capabilities through the advancements in science, technology and innovation with skilled workers and R&D institutions. Regardless of the investments made in R&D, a country’s objective of nurturing economic growth might not be fulfilled if R&D resources are used inefficiently. The aim of this paper is to evaluate and compare the R&D performance of Asian countries divided into two groups based on a threshold expenditure of 1% of GDP on R&D. Using an output-oriented DEA model, the study finds that five countries (Bahrain, Armenia, Oman, Georgia and Vietnam) in the first group and two countries (Singapore and Israel) in the second group are operating in the efficiency frontier. The study also reveals the relevance of parameters such as ‘ease of doing business’ strategies, regulatory policies, trade policies, industry academia collaboration, strategic collaboration between nations and public and private partnership on R&D efficiency.
Journal: International Journal of the Economics of Business
Pages: 179-196
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2020.1858703
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1858703
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Template-Type: ReDIF-Article 1.0
Author-Name: Yong Tan
Author-X-Name-First: Yong
Author-X-Name-Last: Tan
Author-Name: Marco Chi Keung Lau
Author-X-Name-First: Marco Chi Keung
Author-X-Name-Last: Lau
Author-Name: Giray Gozgor
Author-X-Name-First: Giray
Author-X-Name-Last: Gozgor
Title: Competition and Profitability: Impacts on Stability in Chinese Banking
Abstract: 
 This study contributes to the banking literature by testing the joint impacts of profitability and industry environment on several types of risk (credit risk, liquidity risk, capital risk, and insolvency risk) in a sample of Chinese commercial banks over the period 2003–2015. The results show that a more highly developed banking sector increases the liquidity risk and credit risk of Chinese commercial banks but decreases their capital risk. It is further suggested that profitability may lead to a reduction in credit risk and insolvency risk. The findings from the current study thus have important policy implications in terms of improving stability in the Chinese banking industry.
Journal: International Journal of the Economics of Business
Pages: 197-220
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2020.1724009
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1724009
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Template-Type: ReDIF-Article 1.0
Author-Name: Preeya S. Mohan
Author-X-Name-First: Preeya S.
Author-X-Name-Last: Mohan
Title: Violent Crime and Firm Performance: Evidence from the Caribbean
Abstract: 
 Crime and growing the private sector are pertinent development challenges. Despite their importance there is a paucity of research on crime and business performance, particularly in developing countries, partly because of limited firm level data. This study used cross sectional firm data from the Productivity Technology Innovation survey (PROTEqIN) gathered in 2014 across 13 Caribbean countries to investigate violent crimes and company performance using Ordinary Least Squares regression, and several robustness checks including Instrumental Variables and Propensity Score Matching. The Caribbean provides an apt study given that a key characteristic of the business environment is high exposure to crime. The study found that firm sales and violent crime are negatively associated, even after firm characteristics, other factors which influence sales, and country and sector fixed effects were taken into account. The findings of this study underscore the importance for crime prevention, control and reduction policies to grow the private sector.
Journal: International Journal of the Economics of Business
Pages: 309-327
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2021.1896926
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1896926
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Template-Type: ReDIF-Article 1.0
Author-Name: Hernan Herrera-Echeverri
Author-X-Name-First: Hernan
Author-X-Name-Last: Herrera-Echeverri
Author-Name: John Rosso
Author-X-Name-First: John
Author-X-Name-Last: Rosso
Author-Name: Daniel Felipe Fragua
Author-X-Name-First: Daniel Felipe
Author-X-Name-Last: Fragua
Title: Effects of Foreign Investment on Domestic Private Equity
Abstract: 
 Using a sample of 23 OECD countries, studied over a period of 20 years (1995–2015), we find that direct foreign investment has a spillover effect on private equity (PE) in that it supports the development of the domestic PE industry. We also show how contextual variables influence the investment process. Our results suggest that a positive effect on domestic PE dynamics can be seen if the number of foreign PE deals is measured, while calculations using the value of foreign PE investments show mixed results. The positive effect of foreign investment on domestic PE activity persists where low gross capital formation is adopted and in low value-added environments. Foreign PE investment increases overseas activity in the host country’s domestic PE industry. These effects are proportional to the size of the foreign fund. Foreign PE activity related to firms in the early stages of development encourage domestic PE industry activity in the same kind of firms.
Journal: International Journal of the Economics of Business
Pages: 247-279
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2020.1783938
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1783938
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Template-Type: ReDIF-Article 1.0
Author-Name: Bent Petersen
Author-X-Name-First: Bent
Author-X-Name-Last: Petersen
Author-Name: Gabriel R. G. Benito
Author-X-Name-First: Gabriel R. G.
Author-X-Name-Last: Benito
Author-Name: Lawrence S. Welch
Author-X-Name-First: Lawrence S.
Author-X-Name-Last: Welch
Title: Foreign operation mode flexibility: tradeoffs and managerial responses
Abstract: 
 Firms’ ability to change foreign operation modes appears highly desirable in an increasingly volatile and unpredictable global environment. We propose and discuss mode flexibility as a management capability, with the aim at curbing the potential downsides of flexibility; in particular, the extra costs of coordination and contracting as well as revenue losses due to diminished partner commitment. We model the balancing and shifting of essential tradeoffs in relation to the two dimensions of mode flexibility – multiplicity and switchability – and highlight modularization and reciprocal use of real options as examples of tradeoff-shifting mechanisms that may improve the cost-benefit balance of mode flexibility.
Journal: International Journal of the Economics of Business
Pages: 281-307
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2021.1889917
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1889917
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Handle: RePEc:taf:ijecbs:v:28:y:2021:i:2:p:281-307




Template-Type: ReDIF-Article 1.0
Author-Name: Getinet Haile
Author-X-Name-First: Getinet
Author-X-Name-Last: Haile
Title: Creating Good Jobs: An Industry-Based Strategy
Journal: International Journal of the Economics of Business
Pages: 329-333
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2020.1846450
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1846450
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Template-Type: ReDIF-Article 1.0
Author-Name: Derek J. Clark
Author-X-Name-First: Derek J.
Author-X-Name-Last: Clark
Author-Name: Anita Michalsen
Author-X-Name-First: Anita
Author-X-Name-Last: Michalsen
Author-Name: Leif Roger Olsen
Author-X-Name-First: Leif Roger
Author-X-Name-Last: Olsen
Title: The EU Block Exemption and Horizontal R&D Agreements
Abstract: 
 We analyze the effect of the European Union Competition Authority’s block exemption towards R&D cooperatives in a horizontal market structure, valid as long as the combined product market share is not too large. Two less efficient firms attempt to catch up with a technological leader, and may use the safe harbour provided by the legislation. We consider when the incentives of the R&D-performing firms are aligned with those of consumers, and when increases in the market share limit improves welfare. We show that an effective policy within this framework might be elusive. The market share restriction must be set in order that it is optimal for firms to use the safe harbour, and that this leads to more R&D than under competition. Even in this case, further increases in the market share restriction can harm welfare. This has widespread implications for how the EU Competition authority should respond to calls for an increase in the market share restriction.
Journal: International Journal of the Economics of Business
Pages: 221-245
Issue: 2
Volume: 28
Year: 2021
Month: 5
X-DOI: 10.1080/13571516.2020.1823188
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1823188
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Template-Type: ReDIF-Article 1.0
Author-Name: Jules Duberga
Author-X-Name-First: Jules
Author-X-Name-Last: Duberga
Title: Competition analysis of the UK intercity coach market: a structural econometric model
Abstract: 
 This paper investigates the effectiveness of liberalization policy on the intercity coach market in England and Wales and evaluates its impact in promoting competition and enhancing welfare. The paper adds to the current literature by assessing this policy focusing on natural monopolies, deriving a structural model of the industry and using web-scraped key market-level data in the study. Regression analysis and descriptive statistics suggest peripheral routes with a small market size are natural monopolies, where passengers pay higher prices. We estimate a structural model, currently absent from the literature, which shows that these routes are characterized by lower welfare levels. The model allows us to simulate a policy promoting competition on such routes showing that a regulator could generate net welfare gains by implementing a more competitive equilibrium on these routes. This paper confirms the dominant conclusion that unregulated coach industries detrimentally consolidate, as demonstrated in other European markets.
Journal: International Journal of the Economics of Business
Pages: 377-408
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2020.1838227
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1838227
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Template-Type: ReDIF-Article 1.0
Author-Name: Sabeeh Ullah
Author-X-Name-First: Sabeeh
Author-X-Name-Last: Ullah
Author-Name: Sumaira Khan
Author-X-Name-First: Sumaira
Author-X-Name-Last: Khan
Author-Name: Shahzad Hussain
Author-X-Name-First: Shahzad
Author-X-Name-Last: Hussain
Author-Name: Mehtab Alam
Author-X-Name-First: Mehtab
Author-X-Name-Last: Alam
Author-Name: Muhammad Haroon
Author-X-Name-First: Muhammad
Author-X-Name-Last: Haroon
Title: Political Connections, Family Ownership, and Firm Performance: An Emerging Economy
Abstract: 
 Emerging economies are characterised by a high proportion of family-owned businesses, significant political corruption, and a weak legal system which creates a more favourable environment for politically-connected family firms. Hence, we investigate the effect of political connections on firm performance in family and non-family-owned firms through advanced panel estimation techniques. Our result is based on a sample of publicly listed 150 non-financial firms from Pakistan Stock Exchange (PSX) over the period 2013–2018. We demonstrate that politically connected family-owned firms perform better than non-family owned connected firms. These findings have important policy implications for countries such as Pakistan which have experienced recent increases in the number of family-owned firms.
Journal: International Journal of the Economics of Business
Pages: 471-487
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2021.1941715
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1941715
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Template-Type: ReDIF-Article 1.0
Author-Name: Khanh Hoang
Author-X-Name-First: Khanh
Author-X-Name-Last: Hoang
Author-Name: Liem Nguyen
Author-X-Name-First: Liem
Author-X-Name-Last: Nguyen
Author-Name: Son Tran
Author-X-Name-First: Son
Author-X-Name-Last: Tran
Title: Multimarket Contact, Income Diversification and Bank Performance
Abstract: 
 Faced with intense competition, banks may find geographic and income diversification strategies indispensable to remain competitive. Surprisingly, the literature has only discussed the two strategies separately, and there appears little effort in considering both strategies simultaneously, at least in the investigation of their intertwined impact on bank performance. We adopt System Generalized Method of Moments for a panel dataset covering commercial banks in Vietnam to investigate the impact of these diversification strategies on bank performance. The research findings suggest that multimarket contact has a positive impact on performance, supporting the mutual forbearance hypothesis. Income diversification is also positively related to bank profitability. Importantly, our results show that the interaction between multimarket contact and income diversification has a negative effect on bank profitability. This evidence implies that facing with multimarket contacts, a bank with diversified businesses is more likely to choose to compete, thus raising the competition and lowering its profitability.
Journal: International Journal of the Economics of Business
Pages: 439-455
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2021.1967084
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1967084
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Handle: RePEc:taf:ijecbs:v:28:y:2021:i:3:p:439-455




Template-Type: ReDIF-Article 1.0
Author-Name: Timothy Flannery
Author-X-Name-First: Timothy
Author-X-Name-Last: Flannery
Author-Name: Stephen Roberts
Author-X-Name-First: Stephen
Author-X-Name-Last: Roberts
Title: Agent Motivation and Principal Anticipation: Non-Monotonicity, Intentions, and Other Factors
Abstract: 
 We design an experiment to test what motivates agents to choose higher effort and how well principals anticipate agent responses. Principals rank five contracts where a higher ranking increases the likelihood of a contract's implementation. In one treatment, those rankings remain hidden from agents; in the other, agents view the rankings. Agent response to contract structure and monetary incentives largely conforms to our predictions: agents demonstrate a preference for monotonic contracts over non-monotonic contracts, and the vast majority responds favorably to contracts where high effort is a best response. Surprisingly, offering a flat contract that exactly compensates agents for effort performs no better than offering nothing. Principals, however, poorly anticipate agent response to contracts, regardless of the observability of rankings. Additionally, although differences in observable rankings only affect agent behavior in minor ways, principals' rankings between the two treatments indicate principals believed different rankings would significantly influence agents when observable.
Journal: International Journal of the Economics of Business
Pages: 335-361
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2021.1893570
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1893570
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Handle: RePEc:taf:ijecbs:v:28:y:2021:i:3:p:335-361




Template-Type: ReDIF-Article 1.0
Author-Name: Atanu Saha
Author-X-Name-First: Atanu
Author-X-Name-Last: Saha
Author-Name: Yong Xu
Author-X-Name-First: Yong
Author-X-Name-Last: Xu
Title: The ‘Generic Competition Paradox’ Revisited
Abstract: 
 Using a panel dataset of 78 branded drugs for the period January 2009 through March 2020, we examine whether brand prices react to the onset of generic competition. Contrary to the findings of several prior academic studies, we show that the rate of change of brand prices (both nominal and CPI-deflated) are significantly lower after generics enter the market; notably, we also find branded drug manufacturers raise their prices in the six-month period just before generic entry and lower them in the six-month period after, with the differences in the rates of change being highly significant. We also show in markets with an authorized generic and in ones with large pre-entry brand sales, manufacturers raise prices at a higher (or decrease CPI-deflated prices at a shallower) rate.
Journal: International Journal of the Economics of Business
Pages: 363-375
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2021.1880252
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1880252
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Handle: RePEc:taf:ijecbs:v:28:y:2021:i:3:p:363-375




Template-Type: ReDIF-Article 1.0
Author-Name: Syeda Tamkeen Fatima
Author-X-Name-First: Syeda Tamkeen
Author-X-Name-Last: Fatima
Author-Name: Muhammad Yar Khan
Author-X-Name-First: Muhammad Yar
Author-X-Name-Last: Khan
Title: Rent-Seeking and Firm Performance: Do Institutional and Firm-Specific Characteristics Matter?
Abstract: 
 This paper looks at the differential impact of bribery and lobbying onto the productivity of firms using data from 28 Eastern European and Central Asian economies. It is hypothesized that since the intent of lobbying is fundamentally different from that of bribery their consequences may differ. The empirical results reveal that while lobbying increases firm performance, bribery decreases it. Also, there is a need to improve institutions to mitigate some of the negative effects of bribery onto firm performance. As far as firm-level characteristics are concerned larger sized-, service sector- and exporter-firms need to be particularly shielded from bribery practices as the negative impact of bribery onto these types of firms are more pronounced. On the other hand, lobbying is found to be more successful for larger-, export oriented- and older firms, implying that such firms need to be encouraged to collaborate and forward valuable information for effective policy making.
Journal: International Journal of the Economics of Business
Pages: 409-438
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2020.1812998
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1812998
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Handle: RePEc:taf:ijecbs:v:28:y:2021:i:3:p:409-438




Template-Type: ReDIF-Article 1.0
Author-Name: Thuy T. T. Dao
Author-X-Name-First: Thuy T. T.
Author-X-Name-Last: Dao
Author-Name: Xuan T. T. Mai
Author-X-Name-First: Xuan T. T.
Author-X-Name-Last: Mai
Author-Name: Thanh Ngo
Author-X-Name-First: Thanh
Author-X-Name-Last: Ngo
Author-Name: Tu Le
Author-X-Name-First: Tu
Author-X-Name-Last: Le
Author-Name: Huong Ho
Author-X-Name-First: Huong
Author-X-Name-Last: Ho
Title: From Efficiency Analyses to Policy Implications: a Multilevel Hierarchical Linear Model Approach
Abstract: 
 This paper examines the key factors that influenced the cost efficiency of 7,633 Vietnamese manufacturing firms during 2010–2016 via a hierarchical linear modelling (HLM) approach. The main reason for using HLM in this case is that observations in the same group may not be independent from each other (e.g. firms operate within the same city), and some variables may not vary across those observations. Although most of the findings are consistent with previous studies, the statistical power of our HLM model is higher than that of the traditional single-level analysis, suggesting that HLM can provide better analytical insights. The results further indicate a case for cities or provinces pursuing different policies aimed at improving the performance of their local firms.
Journal: International Journal of the Economics of Business
Pages: 457-470
Issue: 3
Volume: 28
Year: 2021
Month: 9
X-DOI: 10.1080/13571516.2021.1981750
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1981750
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Handle: RePEc:taf:ijecbs:v:28:y:2021:i:3:p:457-470




Template-Type: ReDIF-Article 1.0
Author-Name: Amrit Judge
Author-X-Name-First: Amrit
Author-X-Name-Last: Judge
Author-Name: Anna Korzhenitskaya
Author-X-Name-First: Anna
Author-X-Name-Last: Korzhenitskaya
Title: Do Credit Ratings Determine Capital Structure?
Abstract: 
 This paper examines whether the possession of a credit rating has an impact on firms leverage ratio. The issue of access to alternative sources of debt finance has received special attention in the wake of 2007–2009 financial crisis when banks significantly cut back on loans and firms became credit-constrained. Consequently, policy makers have been examining ways of facilitating access to non-bank finance. An overreliance on bank sourced debt finance when credit markets tighten has the potential to slow down the speed of economic recovery. This paper provides empirical evidence in support of the hypothesis that the possession of a credit rating is associated with higher leverage ratios. The effect for UK firms seems higher than that observed for similar US firms. This might be because there is greater financial transparency in the US implying lower levels of information asymmetry and so negating somewhat the effects of possessing a rating.
Journal: International Journal of the Economics of Business
Pages: 89-118
Issue: 1
Volume: 29
Year: 2022
Month: 1
X-DOI: 10.1080/13571516.2021.1961563
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1961563
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Template-Type: ReDIF-Article 1.0
Author-Name: Mariarosaria Agostino
Author-X-Name-First: Mariarosaria
Author-X-Name-Last: Agostino
Author-Name: Lucia Errico
Author-X-Name-First: Lucia
Author-X-Name-Last: Errico
Author-Name: Sandro Rondinella
Author-X-Name-First: Sandro
Author-X-Name-Last: Rondinella
Author-Name: Francesco Trivieri
Author-X-Name-First: Francesco
Author-X-Name-Last: Trivieri
Title: Lending Relationships and SMEs’ Productivity. Does Social Capital Matter?
Abstract: 
 This work investigates to what extent the relevance of close bank-firm ties is affected by the endowment of social capital characterising the environment in which enterprises operate. By estimating the link between the duration of lending relationships and Italian SMEs’ productivity, we empirically test whether there is complementarity or substitutability between credit relations and social capital. According to our results, the duration of lending relationships seems to be a positive and significant determinant of SMEs’ performance in less civic regions. Additionally, the influence of enduring lending relationships decreases as social capital increases, suggesting that social capital might act as a substitute for lending relationships.
Journal: International Journal of the Economics of Business
Pages: 57-87
Issue: 1
Volume: 29
Year: 2022
Month: 1
X-DOI: 10.1080/13571516.2021.1949241
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1949241
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Handle: RePEc:taf:ijecbs:v:29:y:2022:i:1:p:57-87




Template-Type: ReDIF-Article 1.0
Author-Name: Abdelkader Derbali
Author-X-Name-First: Abdelkader
Author-X-Name-Last: Derbali
Author-Name: Lamia Jamel
Author-X-Name-First: Lamia
Author-X-Name-Last: Jamel
Author-Name: Mohamed Bechir Chenguel
Author-X-Name-First: Mohamed Bechir
Author-X-Name-Last: Chenguel
Title: The nexus between governance structure and cost of debt
Abstract: 
 The purpose of this study is to investigate whether creditors consider the governance characteristics of the enterprise in deciding the cost of the debt. Starting from a sample of 486 American firms during the period from 1998 to 2017, we integrate governance in six factorial axes by using estimation by OLS regressors. We validate that audit quality as well as financial expertise are informative tools for creditors who provide information on the quality and reliability of financial information. They negatively and significantly affect the cost of the debt. Moreover, the creditors appreciate the existence of independent directors on the board of directors and reduce the cost of indebtedness required. Then, the attributes of the board of directors are poorly perceived by the creditors who will improve the interest rate. Additionally, the cost of debt improves with the concentration of managerial property and majority shareholders.
Journal: International Journal of the Economics of Business
Pages: 119-136
Issue: 1
Volume: 29
Year: 2022
Month: 1
X-DOI: 10.1080/13571516.2020.1858702
File-URL: http://hdl.handle.net/10.1080/13571516.2020.1858702
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Template-Type: ReDIF-Article 1.0
Author-Name: Douglas W. Allen
Author-X-Name-First: Douglas W.
Author-X-Name-Last: Allen
Title: Covid-19 Lockdown Cost/Benefits: A Critical Assessment of the Literature
Abstract: 
 An examination of over 100 Covid-19 studies reveals that many relied on false assumptions that over-estimated the benefits and under-estimated the costs of lockdown. The most recent research has shown that lockdowns have had, at best, a marginal effect on the number of Covid-19 deaths. Generally speaking, the ineffectiveness stemmed from individual changes in behavior: either non-compliance or behavior that mimicked lockdowns. The limited effectiveness of lockdowns explains why, after more than one year, the unconditional cumulative Covid-19 deaths per million is not negatively correlated with the stringency of lockdown across countries. Using a method proposed by Professor Bryan Caplan along with estimates of lockdown benefits based on the econometric evidence, I calculate a number of cost/benefit ratios of lockdowns in terms of life-years saved. Using a mid-point estimate for costs and benefits, the reasonable estimate for Canada is a cost/benefit ratio of 141. It is possible that lockdown will go down as one of the greatest peacetime policy failures in modern history.
Journal: International Journal of the Economics of Business
Pages: 1-32
Issue: 1
Volume: 29
Year: 2022
Month: 1
X-DOI: 10.1080/13571516.2021.1976051
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1976051
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Template-Type: ReDIF-Article 1.0
Author-Name: Vera Brenčič
Author-X-Name-First: Vera
Author-X-Name-Last: Brenčič
Title: Developments in the Market for Employment Websites in the U.S
Abstract: 
 With the wide-spread adoption of the Internet, websites that host job boards and CV banks have become important intermediaries in the labor market. Despite their popularity and conflicting evidence about their effectiveness, we know relatively little about the market for these websites and about their decision making. We address this void in two ways. First, we document how the market for employment websites evolved in the U.S. Second, we explore how a rapid expansion of Craigslist into local markets in the U.S. impacted market concentration and decision-making of competing websites.
Journal: International Journal of the Economics of Business
Pages: 33-56
Issue: 1
Volume: 29
Year: 2022
Month: 1
X-DOI: 10.1080/13571516.2021.1963185
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1963185
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Template-Type: ReDIF-Article 1.0
# input file: catalog-resolver2834911611653769190.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220713T202513 git hash: 99d3863004
Author-Name: María Celeste Gómez
Author-X-Name-First: María Celeste
Author-X-Name-Last: Gómez
Author-Name: Carina Borrastero
Author-X-Name-First: Carina
Author-X-Name-Last: Borrastero
Title: The productivity impact of innovation on industry in Argentina
Abstract: 
 This paper assesses the innovative process of Argentinian manufacturing firms and its impact on labour productivity. Applying a CDM model, we combined firms’ innovative decisions with innovation results and their impacts on labour productivity. We used recent data from Argentina’s National Survey on Employment and Innovation Dynamics (ENDEI in Spanish) from 2010-2012 and 2014-2016. Our findings verify the innovative process which links innovation with productivity regardless of prevailing macroeconomic and industrial conditions.
Journal: International Journal of the Economics of Business
Pages: 183-205
Issue: 2
Volume: 29
Year: 2022
Month: 5
X-DOI: 10.1080/13571516.2021.1971485
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1971485
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Template-Type: ReDIF-Article 1.0
# input file: catalog-resolver-4054362689420162114.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220713T202513 git hash: 99d3863004
Author-Name: Soumaïla Gansonré
Author-X-Name-First: Soumaïla
Author-X-Name-Last: Gansonré
Author-Name: Sugrinoma Aristide Ouédraogo
Author-X-Name-First: Sugrinoma Aristide
Author-X-Name-Last: Ouédraogo
Title: Product market competition and management quality among small and medium-sized enterprises: Evidence from Burkina Faso
Abstract: 
 We examine how management quality is related to product market competition when firms are managed by their founders instead of hired managers. While the relationship between competition and managerial incentives is mostly found to be ambiguous in theory, testing it empirically has been challenged by the lack of robust quantitative data. Using a survey on Small and Medium-sized Enterprises from Burkina Faso, we measure management quality, building on the Management and Organizational Practices Survey, and find suggestive evidence that management quality increases with competition. Although the results are robust across a range of measures of competition and sub-indicators of management quality, no significant association is observed in larger firms.
Journal: International Journal of the Economics of Business
Pages: 161-182
Issue: 2
Volume: 29
Year: 2022
Month: 5
X-DOI: 10.1080/13571516.2022.2088987
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2088987
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Template-Type: ReDIF-Article 1.0
# input file: catalog-resolver-5456393776698773418.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220713T202513 git hash: 99d3863004
Author-Name: Pradipta Kumar Sahoo
Author-X-Name-First: Pradipta Kumar
Author-X-Name-Last: Sahoo
Author-Name: Viet Le
Author-X-Name-First: Viet
Author-X-Name-Last: Le
Author-Name: Badri Narayan Rath
Author-X-Name-First: Badri Narayan
Author-X-Name-Last: Rath
Title: The Determinants of Firm Competitiveness: Evidence from the Indian Manufacturing Sector
Abstract: 
 This paper investigates the determinants of competitiveness of Indian manufacturing sector. First, based on multi-variate Industrial Competitiveness Index (ICI), the result reveals that capital-intensive firms are more competitive than labor-intensive firms. Second, the results also indicate that foreign-owned firms are more competitive than domestic firms. Third, the determinants of competitiveness derived from Feasible Generalized Least Squares (FGLS) and dynamic panel GMM model indicate that the firms' external factors such as Information and Communication Technology (ICT) and infrastructure positively affect manufacturing firms' competitiveness. However, internal factors such as firm age and debt have a negative effect on Indian manufacturing firms' competitiveness, but the lag effect of R&D intensity and advertisement intensity has a positive impact on firms' competitiveness. Our results are robust in different sub-categories based on industry sub-sectors and firm ownership structure.
Journal: International Journal of the Economics of Business
Pages: 139-159
Issue: 2
Volume: 29
Year: 2022
Month: 5
X-DOI: 10.1080/13571516.2021.1959251
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1959251
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Template-Type: ReDIF-Article 1.0
# input file: catalog-resolver-4245499316879057600.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220713T202513 git hash: 99d3863004
Author-Name: Kevin Amess
Author-X-Name-First: Kevin
Author-X-Name-Last: Amess
Author-Name: David Paton
Author-X-Name-First: David
Author-X-Name-Last: Paton
Author-Name: H. E. Frech III
Author-X-Name-First: H. E.
Author-X-Name-Last: Frech III
Title: International Journal of the Economics of Business Best Paper Prize Announcement
Journal: International Journal of the Economics of Business
Pages: 137-137
Issue: 2
Volume: 29
Year: 2022
Month: 5
X-DOI: 10.1080/13571516.2022.2071707
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2071707
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Handle: RePEc:taf:ijecbs:v:29:y:2022:i:2:p:137-137



Template-Type: ReDIF-Article 1.0
# input file: catalog-resolver-5160781708078061003.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220713T202513 git hash: 99d3863004
Author-Name: Paul Farah
Author-X-Name-First: Paul
Author-X-Name-Last: Farah
Author-Name: Hui (Michael) Li
Author-X-Name-First: Hui (Michael)
Author-X-Name-Last: Li
Title: The Effects of CEO Succession Planning on Shareholder Wealth
Abstract: 
 We examine the lack of planning in CEO successions and its effect on shareholder wealth for 162 cases of no succession planning. We attribute the lack of potential or actual permanent replacement at the time of the announcement of departure or actual departure of the CEO to the great need for an outsider selection to lead the company. Our findings suggest that the effect of relaxing the time constraint to choose a successor is mixed. An increase in shareholders wealth will reward boards that are able to select an outsider. Companies that appoint an insider after an interim period have a poorer performance than companies that appoint an insider in an orderly succession process. We find that the lack of succession planning does not affect long term performance if boards are willing to put effort towards selecting the most suitable candidates.
Journal: International Journal of the Economics of Business
Pages: 207-222
Issue: 2
Volume: 29
Year: 2022
Month: 5
X-DOI: 10.1080/13571516.2021.1945856
File-URL: http://hdl.handle.net/10.1080/13571516.2021.1945856
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Template-Type: ReDIF-Article 1.0
# input file: catalog-resolver-4051082999698813659.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220713T202513 git hash: 99d3863004
Author-Name: Okan Yilmaz
Author-X-Name-First: Okan
Author-X-Name-Last: Yilmaz
Author-Name: Oleksandr Talavera
Author-X-Name-First: Oleksandr
Author-X-Name-Last: Talavera
Author-Name: Joy Yihui Jia
Author-X-Name-First: Joy Yihui
Author-X-Name-Last: Jia
Title: Rental Market Liquidity, Seasonality, and Distance to Universities
Abstract: 
 This paper explores how liquidity in the UK rental markets reacts to variations in demand across time and space. We employ a survival analysis approach with a non-parametric hazard rate to investigate whether the probability of a property to exit the market changes across calendar months. Our unique dataset comes from Zoopla.com and contains 300,198 rental listings in 13 major UK university cities over the 2015–2017 period. Our results suggest that the probability of exit is lower during the winter season compared to summer. This could be explained by students’ higher housing demand at the start of the academic term. The results become more pronounced (i.e. the seasonal difference is higher) when the distance between marketed property and university campuses is taken into account.
Journal: International Journal of the Economics of Business
Pages: 223-239
Issue: 2
Volume: 29
Year: 2022
Month: 5
X-DOI: 10.1080/13571516.2022.2033078
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2033078
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Template-Type: ReDIF-Article 1.0
# input file: CIJB_A_2106092_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220907T060133 git hash: 85d61bd949
Author-Name: Miguel Mello
Author-X-Name-First: Miguel
Author-X-Name-Last: Mello
Author-Name: Jorge Ponce
Author-X-Name-First: Jorge
Author-X-Name-Last: Ponce
Title: Structure and Competition in the Uruguayan Banking Sector
Abstract: 
 Using quarterly data for Uruguayan banks we find that this sector is a concentrated oligopoly that exhibits global economies of scale. Specific product economies of scale are statistically significant in households and corporate loans. There are economies of scope between varieties of loans, deposits in local currency and portfolio management. The credit market to households is the least competitive, behaving like a monopoly or under implicit collusion. The credit market to firms exhibits greater competition than that suggested by the structure of the market, especially in local currency. Overall, the results suggest that there exists room for development and increasing competition in the Uruguayan banking sector.
Journal: International Journal of the Economics of Business
Pages: 271-300
Issue: 3
Volume: 29
Year: 2022
Month: 9
X-DOI: 10.1080/13571516.2022.2106092
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2106092
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# input file: CIJB_A_2138091_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220907T060133 git hash: 85d61bd949
Author-Name: Ismail Saglam
Author-X-Name-First: Ismail
Author-X-Name-Last: Saglam
Title: Can Rivalry in R&D be Harmful Under Supply Function Competition?
Abstract: 
 We consider a duopoly with cost asymmetry and demand uncertainty and show that rivalry in (process) R&D can be extremely harmful to both firms even in the presence of spillovers if the firms produce under supply function competition. However, if they produce under Cournot competition, firms can earn higher profits in the presence of R&D rivalry than what they could earn when they (mutually) invested in no R&D. We also show that R&D rivalry always works to widen the efficiency gap between the firms under Cournot competition, and also under supply function competition if R&D spillovers are present. On the other hand, consumers’ welfare is affected by R&D rivalry only under supply function competition. Under this competition, consumers always prefer the presence of R&D rivalry with or without spillovers to the absence of R&D rivalry; however, they obtain their highest surplus under R&D rivalry when there are no R&D spillovers.
Journal: International Journal of the Economics of Business
Pages: 317-344
Issue: 3
Volume: 29
Year: 2022
Month: 9
X-DOI: 10.1080/13571516.2022.2138091
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2138091
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# input file: CIJB_A_2132808_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220907T060133 git hash: 85d61bd949
Author-Name: Keith M. Drake
Author-X-Name-First: Keith M.
Author-X-Name-Last: Drake
Author-Name: Robert He
Author-X-Name-First: Robert
Author-X-Name-Last: He
Author-Name: Thomas G. McGuire
Author-X-Name-First: Thomas G.
Author-X-Name-Last: McGuire
Author-Name: Alice Ndikumana
Author-X-Name-First: Alice
Author-X-Name-Last: Ndikumana
Title: No Free Launch: At-Risk Entry by Generic Drug Firms
Abstract: 
 After receiving FDA approval, a generic drug manufacturer can launch ‘at risk’ before any patent infringement litigation concludes, but it risks paying damages if it ultimately loses the litigation. A generic can eliminate the risk by waiting to launch until after the appeals process is complete but waiting has downsides too. We examine FDA approvals of generic drug applications with ‘first-filer’ status (which precludes other generics from entering beforehand) to examine empirical patterns of at-risk entry. In our data, litigants usually settled prior to a legal decision. For the remainder, drugs that received FDA approval prior to a favorable district court decision were always launched at risk. Generics without FDA approval before a favorable district court decision launched upon approval unless the approval was close in time to the appeal decision, or it had forfeited the first-filer exclusivity (indicating a low cost of waiting).
Journal: International Journal of the Economics of Business
Pages: 301-315
Issue: 3
Volume: 29
Year: 2022
Month: 9
X-DOI: 10.1080/13571516.2022.2132808
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2132808
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# input file: CIJB_A_2095889_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20220907T060133 git hash: 85d61bd949
Author-Name: Alice Aguiar-Noury
Author-X-Name-First: Alice
Author-X-Name-Last: Aguiar-Noury
Author-Name: Pedro Garcia-del-Barrio
Author-X-Name-First: Pedro
Author-X-Name-Last: Garcia-del-Barrio
Title: Performance and Revenues in European Football: Clubs’ Media Visibility and Brand Value
Abstract: 
 This paper contributes to understanding the financial situation of European football clubs and the role of their media visibility and historical brand status. By estimating production and revenue equations, the study tests hypotheses concerning the relationships between teams’ sporting performance (current and past), historical status, media exposure, annual revenues, and annual wages. The empirical analysis is carried out on an extensive dataset, which comprises records, for seasons 1995/1996 to 2015/2016, of teams competing in the 1st division of the Premier League, La Liga, Serie A, and Ligue 1. In the study, we use two innovative variables: the Elo Rating, as a ‘proxy’ to capture clubs’ historical sporting status (brand value), and the Media Visibility Index, to measure clubs’ abilities to capture the attention of the fans and the media. These two variables have proven to be key assets in the revenue-generating capacity of European football clubs.
Journal: International Journal of the Economics of Business
Pages: 241-269
Issue: 3
Volume: 29
Year: 2022
Month: 9
X-DOI: 10.1080/13571516.2022.2095889
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2095889
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# input file: CIJB_A_2133337_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Wei Kang
Author-X-Name-First: Wei
Author-X-Name-Last: Kang
Author-Name: John K. Ashton
Author-X-Name-First: John K.
Author-X-Name-Last: Ashton
Author-Name: Ayan Orujov
Author-X-Name-First: Ayan
Author-X-Name-Last: Orujov
Author-Name: Yang Wang
Author-X-Name-First: Yang
Author-X-Name-Last: Wang
Title: Realizing Gender Diversity on Corporate Boards
Abstract: 
 This study examines the effectiveness of soft law through scrutinizing national policies for enhancing the proportion of women on corporate boards. Soft laws, which have less precision and obligation dimensions than conventional laws, are widespread within financial regulation. Despite this widespread use there relative performance is unexplored. To resolve this, we undertake a comparative examination of 14,012 firms from 99 nations, using a three-stage analysis to examine the effect of different policies, their format and influence of institutional factors on female board representation. We report that soft laws are effective for promoting gender equality on corporate boards. The effectiveness of policies is strongly influenced by the enforcement, implementation and compliance dimensions of policy, and institutional factors. Policies are most potent when enforced using a moderate level of sanctions, with a longer compliance period and a diversity target less distant from a firm’s precedent gender diversity level.
Journal: International Journal of the Economics of Business
Pages: 1-29
Issue: 1
Volume: 30
Year: 2023
Month: 1
X-DOI: 10.1080/13571516.2022.2133337
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2133337
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# input file: CIJB_A_2154490_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Emmanuel Apergis
Author-X-Name-First: Emmanuel
Author-X-Name-Last: Apergis
Author-Name: Nicholas Apergis
Author-X-Name-First: Nicholas
Author-X-Name-Last: Apergis
Author-Name: James W. Saunoris
Author-X-Name-First: James W.
Author-X-Name-Last: Saunoris
Title: ICT Capital Formation, Unemployment, and the Solow Paradox
Abstract: 
 This study explores the impact of ICT on unemployment and labour productivity. Using a time-varying modelling approach, quarterly US data from 1972 to 2020 estimate the relationships between unemployment and ICT capital investments. The results highlight that ICT capital investments reduce unemployment and increase labour productivity, showing no evidence supporting the Solow Paradox. The mechanisms behind the relationship between ICT and enhanced labour productivity are identified by Data Envelopment Analysis (DEA) and include improved access to information and an improvement in the labour structure.
Journal: International Journal of the Economics of Business
Pages: 79-105
Issue: 1
Volume: 30
Year: 2023
Month: 1
X-DOI: 10.1080/13571516.2022.2154490
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2154490
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# input file: CIJB_A_2135883_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Molly Frean
Author-X-Name-First: Molly
Author-X-Name-Last: Frean
Author-Name: Mark V. Pauly
Author-X-Name-First: Mark V.
Author-X-Name-Last: Pauly
Title: Do Higher Deductibles Slow Health Spending Growth?
Abstract: 
 High health care spending growth is regarded in all countries as a potential policy problem. The potential for patient cost-sharing to reduce spending levels has been studied extensively; however, there has been very little work on how cost-sharing may also influence spending growth. In this paper, we relate deductibles as a measure of cost-sharing to health care spending growth at the market level. We analyze a novel combination of US state-level panel datasets from 2002 to 2012 and find that higher deductible levels in private group insurance are associated with significantly lower spending growth, particularly for pharmaceuticals. We observe similar results in both OLS and instrumental variables models, where we use measures of employer and worker preferences as instruments for deductible levels. We theorize and conclude that cost-sharing affects spending growth by constraining the use of more costly new technology, a major driver of health care spending growth worldwide.
Journal: International Journal of the Economics of Business
Pages: 31-49
Issue: 1
Volume: 30
Year: 2023
Month: 1
X-DOI: 10.1080/13571516.2022.2135883
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2135883
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# input file: CIJB_A_2154734_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Marc Escrihuela-Villar
Author-X-Name-First: Marc
Author-X-Name-Last: Escrihuela-Villar
Title: Output Delegation, Collusion Sustainability, and Mergers with Quantity-Setting Firms
Abstract: 
 We develop a quantity competition model where a subset of firms belongs to a holding firm that can delegate or centralize the output decisions while the other (decentralized) firms make decisions independently. We show that output centralization may have a procompetitive effect because it reduces firms’ incentives to collude among those firms whose decision is made independently. Furthermore, we find that the merger of decentralized firms may also reduce the incentives to collude. Therefore, in our setup, one can interpret that the antitrust authorities should be wary regarding the restrictions imposed on merging firms concerning the decision-making structure because, under some circumstances, centralization might prevent the market as a whole to collude.
Journal: International Journal of the Economics of Business
Pages: 107-119
Issue: 1
Volume: 30
Year: 2023
Month: 1
X-DOI: 10.1080/13571516.2022.2154734
File-URL: http://hdl.handle.net/10.1080/13571516.2022.2154734
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# input file: CIJB_A_2168994_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Karen M. Hogan
Author-X-Name-First: Karen M.
Author-X-Name-Last: Hogan
Author-Name: Gerard T. Olson
Author-X-Name-First: Gerard T.
Author-X-Name-Last: Olson
Author-Name: Jackson D. Mills
Author-X-Name-First: Jackson D.
Author-X-Name-Last: Mills
Author-Name: Peter A. Zaleski
Author-X-Name-First: Peter A.
Author-X-Name-Last: Zaleski
Title: An Analysis of Cyber Breaches and Effects on Shareholder Wealth
Abstract: 
 Cyber data breaches are an evolving risk facing all firms and threatens their ability to conduct business activity. Due to a lack of available information, very little is known about the frequency and severity of data breaches and the financial markets’ responses to them. This study uses a unique proprietary data set that includes cyber data breach information for 3,992 publicly traded firms during the 1990 to 2019 period. We find cyber breaches vary with time and cyber criminals focus on particular industries, types of information, access sources, and countries. We find significant short run negative abnormal returns around the announcement of cyber events and larger negative returns in industries with higher frequencies of attacks and attacks involving personal financial information. Additionally, we find increasing negative cumulative abnormal returns up to 250 days after the announcement.
Journal: International Journal of the Economics of Business
Pages: 51-78
Issue: 1
Volume: 30
Year: 2023
Month: 1
X-DOI: 10.1080/13571516.2023.2168994
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2168994
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# input file: CIJB_A_2186086_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: The Editors
Title: International Journal of the Economics of Business Best Paper Prize Announcement
Journal: International Journal of the Economics of Business
Pages: 121-121
Issue: 1
Volume: 30
Year: 2023
Month: 1
X-DOI: 10.1080/13571516.2023.2186086
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2186086
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# input file: CIJB_A_2168996_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Andres Mauricio Gomez-Sanchez
Author-X-Name-First: Andres Mauricio
Author-X-Name-Last: Gomez-Sanchez
Author-Name: Elsy Lorena Rosero-Ceballos
Author-X-Name-First: Elsy Lorena
Author-X-Name-Last: Rosero-Ceballos
Author-Name: Daniel Andres Mosquera
Author-X-Name-First: Daniel Andres
Author-X-Name-Last: Mosquera
Title: Imports-ICT Linkage in Colombian Manufacturing
Abstract: 
 The objective of this paper is to explore the ICT impact on firm’s import decision and on firm’s performance in import markets in Colombian manufacturing. This is the first document exploring this linkage in Latin America. We analyse firms’ imports of raw materials (not exports as the tradition) because of the decisive role imports play in firms’ exports. To deal with the problem of sample selection bias we replicate the Tobit II-Heckman procedure, by using a dynamic random effects probit model with panel data for decision process and a dynamic Generalized Linear Model (GLM) for performance process including Mills ratio. We include the influence of exports on imports, the initial conditions problem and the depreciation pattern of import experience. Our main results reveal a strong and direct impact of ICT on imports, especially for SMEs. Other results also suggest sunk costs/persistence, self-selection, cross-effects, and a decreasing import experience.
Journal: International Journal of the Economics of Business
Pages: 185-205
Issue: 2
Volume: 30
Year: 2023
Month: 5
X-DOI: 10.1080/13571516.2023.2168996
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2168996
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# input file: CIJB_A_2205340_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Steven C. Michael
Author-X-Name-First: Steven C.
Author-X-Name-Last: Michael
Title: Following the Talent in Entrepreneurial Firms
Abstract: 
 Entrepreneurial firms are often founded by uniquely talented individuals. Given that talent does not always beget talent, succession can be challenging. An analytical model is used to explore dynamic tradeoffs of competence in the choice between an insider and an outsider in the succession of a talented individual. The model is illustrated with an application to family business.
Journal: International Journal of the Economics of Business
Pages: 123-138
Issue: 2
Volume: 30
Year: 2023
Month: 5
X-DOI: 10.1080/13571516.2023.2205340
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2205340
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# input file: CIJB_A_2173933_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Thanh Ngo
Author-X-Name-First: Thanh
Author-X-Name-Last: Ngo
Author-Name: Kan Wai Hong Tsui
Author-X-Name-First: Kan Wai Hong
Author-X-Name-Last: Tsui
Title: Price reaction in New Zealand’s duopolistic airline market
Abstract: 
 This study investigates the price reaction in a duopolistic market where two airlines (a full-service and a low-cost carrier) dominate the domestic aviation market. Utilising a rich dataset of 53,463 matched airfares for Air New Zealand and Jetstar in New Zealand from September to December 2019, we found a U-shaped relationship (from Jetstar to Air New Zealand) and an inverted U-shaped relationship (from Air New Zealand to Jetstar) between the two airfares. While distinguishing their different business models, such behaviour has not been empirically discussed in the literature. This study can be extended to larger and more complex markets.
Journal: International Journal of the Economics of Business
Pages: 159-184
Issue: 2
Volume: 30
Year: 2023
Month: 5
X-DOI: 10.1080/13571516.2023.2173933
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2173933
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# input file: CIJB_A_2176636_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Phil Kerpen
Author-X-Name-First: Phil
Author-X-Name-Last: Kerpen
Author-Name: Stephen Moore
Author-X-Name-First: Stephen
Author-X-Name-Last: Moore
Author-Name: Casey B. Mulligan
Author-X-Name-First: Casey B.
Author-X-Name-Last: Mulligan
Title: A Final Report Card on the States’ Response to COVID-191
Abstract: 
 Two and a half years ago COVID-19 spread to the United States. Following the federalism model (New State Ice Co. vs Liebmann; Cheng and Lee 2019), the 50 states and their governors and legislators made many of their own pandemic policy choices to mitigate the damage from the virus. States learned from one another over time about what policies worked most and least effectively in terms of containing the virus while minimizing the negative effects of lockdown strategies on businesses and children.This study is an expanded and updated version of an October 2020 report card of how pandemic health, economy, and policy varied across the 50 states and the District of Columbia (Committee to Unleash Prosperity 2020). It examines three variables: health outcomes, economic performance throughout the pandemic, and impact on education. We find no relationship between reduced economic activity during the pandemic and mortality.
Journal: International Journal of the Economics of Business
Pages: 139-158
Issue: 2
Volume: 30
Year: 2023
Month: 5
X-DOI: 10.1080/13571516.2023.2176636
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2176636
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# input file: CIJB_A_2213127_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: António Miguel Martins
Author-X-Name-First: António Miguel
Author-X-Name-Last: Martins
Author-Name: Cesaltina Pacheco Pires
Author-X-Name-First: Cesaltina Pacheco
Author-X-Name-Last: Pires
Title: Do CEO Characteristics Matter in Product Recalls?
Abstract: 
 This study examines the effect of CEO characteristics such as gender, age, tenure, functional background, stock ownership, compensation scheme and dual role on the stock market returns of automobile companies, around the announcement of product recalls. Using an event study, for a sample of 2,576 product recalls in the US automobile industry, between January 2010 and June 2021, we observe that the stock market’s reaction to a product recall announcement is negative. However, the impacts on the cumulative abnormal returns around the announcement of product recalls of the company’s CEO being female, the CEO tenure, the CEO having an operations or marketing background, the ratio of CEO long-term compensation to total compensation and the CEO and Chairperson being the same person are all positive and statistically significant, showing that these CEO characteristics mitigate the negative effects on a company’s financial value caused by product recalls.
Journal: International Journal of the Economics of Business
Pages: 207-232
Issue: 3
Volume: 30
Year: 2023
Month: 9
X-DOI: 10.1080/13571516.2023.2213127
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2213127
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# input file: CIJB_A_2231176_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Rimvie Enoc Kaboré
Author-X-Name-First: Rimvie Enoc
Author-X-Name-Last: Kaboré
Title: Manufacturing Export Performance, Public Capital and Proximity to the Technological Frontier of Countries*
Abstract: 
 The paper seeks to understand the pattern of manufacturing exports in 35 developed and developing countries and 99 industrial sectors over the period 1999-2013 using a methodological approach that relies on propositions of the neoclassical trade theory. Next to the impact of traditional factors such as the endowment of public capital, we look at the importance of accounting for public capital heterogeneity, by distinguishing countries based on their proximity to the technology frontier. We consider public capital as a non-rival factor, which has a property of “creation of atmosphere” in a model that treats factor intensity as a mechanism of industrial development. We use the system GMM technique to estimate the elasticities of public capital. Our results show that public capital plays a differentiated role in the capacity to export industrial goods depending on whether countries are far or close to the technological frontier.
Journal: International Journal of the Economics of Business
Pages: 233-272
Issue: 3
Volume: 30
Year: 2023
Month: 9
X-DOI: 10.1080/13571516.2023.2231176
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2231176
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# input file: CIJB_A_2232767_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Yoong Hon Lee
Author-X-Name-First: Yoong Hon
Author-X-Name-Last: Lee
Title: Efficiency in Film Distribution
Abstract: 
 The motion picture industry is indeed a risky sector. The difficulties in predicting success and the sheer amount of production budgets have led to spectacular failures and in some cases even bankruptcies as well. Despite the adverse nature of the industry, there are winners who not only are able to find success but are also capable of doing it consistently. Using data envelopment analysis and finance-related techniques on risk analysis, I compare the performances among a group of major film distributors/studios. I find that one studio, i.e. Disney, consistently operates on the efficient frontier and performed best when it comes to the risk and return analysis. Its strategies are distinct in that it focuses on fewer movies but bigger budgets per movie. It also restricts the genre of movies, with a significant weightage on PG- and PG-13 rated adventure films, with almost all of them, part of serialised franchises.
Journal: International Journal of the Economics of Business
Pages: 273-292
Issue: 3
Volume: 30
Year: 2023
Month: 9
X-DOI: 10.1080/13571516.2023.2232767
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2232767
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# input file: CIJB_A_2256037_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20230119T200553 git hash: 724830af20
Author-Name: Sonal Dua
Author-X-Name-First: Sonal
Author-X-Name-Last: Dua
Title: What Motivates Mergers and Acquisitions in India?
Abstract: 
 This paper attempts to explore the motives behind merger and acquisition strategy of Indian corporates. Covering the domestic activity over two decades, 1998--2017, the firm-level determinants of acquiring and acquired firms are studied to analyze the merger motives. The results from Logit and discrete-time hazard model show that firms with higher technological and financial productivity are more likely to go for acquisitions. On the other hand, firms that have potential to grow in the future but are struggling at present owing to low profits or losses are more likely to be acquired. The managements of firms that are not actively involved in research activities are also likely to be replaced. The findings of the article, therefore, suggest that Indian firms are using mergers for expansionary and efficiency-enhancing motives.
Journal: International Journal of the Economics of Business
Pages: 293-314
Issue: 3
Volume: 30
Year: 2023
Month: 9
X-DOI: 10.1080/13571516.2023.2256037
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2256037
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# input file: CIJB_A_2260107_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20231214T103247 git hash: d7a2cb0857
Author-Name: Robert J. Petrunia
Author-X-Name-First: Robert J.
Author-X-Name-Last: Petrunia
Author-Name: Karl Skogstad
Author-X-Name-First: Karl
Author-X-Name-Last: Skogstad
Title: Half-Century of Stagnation: Labor Productivity in Ontario’s Gold Mining Industry
Abstract: 
 This paper explores labor productivity in Ontario’s gold mining industry from 1920 to 1970. The gold produced by a worker is nearly identical in 1920 and 1970, suggesting that the industry experiences no productivity gains over this period. Further, labor productivity in the intervening years was nearly 30% lower than these values, raising concerns about the ability of the industry to remain profitable given a fixed gold price. We look at over 180 different Ontario gold mines comprising nearly the entire industry to determine whether workers become less efficient over time, or whether other factors, such as entry and exit into the industry, declining ore quality, or changes in capital stock, are the primary drivers of this stagnation. This analysis considers the impact of events, such as a sudden 70% rise in the price of gold in 1934, World War II, and the post-war subsidization of the industry on productivity within the industry.
Journal: International Journal of the Economics of Business
Pages: 25-47
Issue: 1
Volume: 31
Year: 2024
Month: 1
X-DOI: 10.1080/13571516.2023.2260107
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2260107
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# input file: CIJB_A_2271755_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20231214T103247 git hash: d7a2cb0857
Author-Name: Ren Lu
Author-X-Name-First: Ren
Author-X-Name-Last: Lu
Author-Name: Fei Zheng
Author-X-Name-First: Fei
Author-X-Name-Last: Zheng
Author-Name: Shan-Na Ma
Author-X-Name-First: Shan-Na
Author-X-Name-Last: Ma
Author-Name: Ruilin Yang
Author-X-Name-First: Ruilin
Author-X-Name-Last: Yang
Title: Unpacking the Inverted U-shape between Regional AI and Business Performance
Abstract: 
 This study examines how regional artificial intelligence (AI) influences firms’ business performance from the viewpoint of economic geography. We employ the instrumental variable method to analyze 3633 American listed companies. We find the “regional AI and business performance” relationship appears in an inverted U-shape. By applying the plausible instrumental variable method, our robustness check suggests that our findings are reliable. Theoretically, our paper enriches current regional AI studies with firm-level evidence; practically, our paper sheds light on how to make firm location decisions in the AI era.
Journal: International Journal of the Economics of Business
Pages: 49-70
Issue: 1
Volume: 31
Year: 2024
Month: 1
X-DOI: 10.1080/13571516.2023.2271755
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2271755
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# input file: CIJB_A_2286027_J.xml processed with: repec_from_jats12.xsl darts-xml-transformations-20231214T103247 git hash: d7a2cb0857
Author-Name: Antonis A. Michis
Author-X-Name-First: Antonis A.
Author-X-Name-Last: Michis
Title: Hedonic Decomposition of Beer Prices: Consumer Ratings and Quantity Discounts
Abstract: 
 A hedonic regression framework is proposed for evaluating the determinants of beer prices and consumer ratings. This study specifically addresses the endogeneity problem associated with the impact of consumer ratings on beer prices using a set of beer sensory and chemical characteristics as instrumental variables in the estimation procedure. The results suggest that beer prices tend to be influenced by consumer ratings and the objective characteristics of beers, while consumer ratings tend to be influenced by the sensory and chemical characteristics of beers. Also, limited evidence is found for the use of quantity discounts by beer producers.
Journal: International Journal of the Economics of Business
Pages: 1-23
Issue: 1
Volume: 31
Year: 2024
Month: 1
X-DOI: 10.1080/13571516.2023.2286027
File-URL: http://hdl.handle.net/10.1080/13571516.2023.2286027
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