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1 – 10 of 877Feng Yang, Jingyi Peng and Zihao Zhang
This paper aims to explore the promotion decisions of heterogeneous sellers on a decentralized platform under competitive conditions and analyze how seller behaviors impact…
Abstract
Purpose
This paper aims to explore the promotion decisions of heterogeneous sellers on a decentralized platform under competitive conditions and analyze how seller behaviors impact platform profit, seller revenue, buyer surplus and social welfare.
Design/methodology/approach
This paper considers a Cournot model consisting of a platform charging a commission rate and two sellers with different conversion rates and browsing costs. Promotion efforts by sellers can increase traffic, but they also incur promotion costs for sellers. The sellers decide on promotion effort by weighing these two effects. The authors also explore the equilibrium when the platform charges a fixed usage fee.
Findings
The seller’s profit improves as its conversion rate increases and worsens as browsing costs increase. Also, increasing the commission rate charged by the platform makes the seller invest less in promotional efforts. Therefore, the platform must consider this trade-off to determine an optimal rate. The analysis shows that the seller with a high conversion rate and high browsing cost plays a greater role in generating more overall revenue. When the market favors such a seller, the platform tends to charge less in order not to impair its profitability.
Originality/value
This paper incorporates conversion rate, buyer’s browsing cost, unit promotion cost and the fee charged by the platform into the model to study sellers’ promotion decisions on decentralized platforms.
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Simeon Kaitibie, Arnold Missiame, Patrick Irungu and John N. Ng'ombe
Qatar, a wealthy country with an open economy has limited arable land. To meet its domestic food demand, the country heavily relies on food imports. Additionally, the over three…
Abstract
Purpose
Qatar, a wealthy country with an open economy has limited arable land. To meet its domestic food demand, the country heavily relies on food imports. Additionally, the over three year-long economic embargo enforced by regional neighbors and the covariate shock of the COVID-19 pandemic have demonstrated the country's vulnerability to food insecurity and potential for structural breaks in macroeconomic data. The purpose of this paper is to examine short- and long-run determinants of Qatar's imports of aggregate food, meats, dairy and cereals in the presence of structural breaks.
Design/methodology/approach
The authors use 24 years of food imports, gross domestic product (GDP) and consumer price index (CPI) data obtained from Qatar's Planning and Statistics Authority. They use the autoregressive distributed lag (ARDL) cointegration framework and Chambers and Pope's exact nonlinear aggregation approach.
Findings
Unit root tests in the presence of structural breaks reveal a mixture of I (1) and I (0) variables for which standard cointegration techniques do not apply. The authors found evidence of a significant long-run relationship between structural changes and food imports in Qatar. Impulse response functions indicate full adjustments within three-quarters of a year in the event of an exogenous shock to imports.
Research limitations/implications
An exogenous shock of one standard deviation on this variable would reduce Qatar's food imports by about 2.5% during the first period but recover after the third period.
Originality/value
The failure of past aggregate food demand studies to go beyond standard unit root testing creates considerable doubt about the accuracy of their elasticity estimates. The authors avoid that to provide more credible findings.
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Zheng Liu, Na Huang, Chunjia Han, Mu Yang, Yuanjun Zhao, Wenzhuo Sun, Varsha Arya, Brij B. Gupta and Lihua Shi
The aim of this study was to analyze the effects of carbon reduction efforts and preservation efforts on system benefits in the cold chain industry of fresh products.
Abstract
Purpose
The aim of this study was to analyze the effects of carbon reduction efforts and preservation efforts on system benefits in the cold chain industry of fresh products.
Design/methodology/approach
This study develops an optimal decision game model for the fresh products in the cold chain, incorporating the retailer's preservation effort and the supplier's carbon emission reduction effort. It quantifies the relationship between carbon emission reduction effort, preservation effort and system profit. The model considers parameters like carbon trading price, consumer low-carbon preference and consumer freshness preference, reflecting real-world conditions and market trends. Numerical simulations are conducted by varying these parameters to observe their impact on system profit.
Findings
Under the carbon cap-and-trade policy, the profit of the fresh cold chain system is higher than that of the fresh cold chain system without carbon constraints, and the profit of the supplier under decentralized decision-making is increased by nine times in the simulation results. The increase in carbon trading prices can effectively improve the freshness level of fresh products cold chain, carbon emission reduction level and system profit.
Originality/value
This study comprehensively considers the factors of freshness and carbon emission reduction, provides the optimal low-carbon production decision-making reference for the fresh food cold chain and promotes the sustainable development of the fresh food cold chain.
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The purpose of this study is to examine the welfare effects of product standards (which fall under Non-Tariff Barriers (NTBs)) on an exporting country when the country by its own…
Abstract
The purpose of this study is to examine the welfare effects of product standards (which fall under Non-Tariff Barriers (NTBs)) on an exporting country when the country by its own choice prefers to follow the null standard for the domestic market, which is not possible due to high set up cost at two different standards. The model has used a theoretical framework to analyze the effects and has derived some important results. If the standard is not linked with a true negative externality, the exporting country, given the assumptions of the model will always prefer to be discriminated by “tariff” and the importing country will prefer to protect its market by “tariff” rather than going for NTB. The typical assumptions taken here resemble the trade between developed and developing countries when the developed country imposes some minimum standard on a product but becomes relatively “costly” for the developing country to comply with. As the importing country is not free to set tariffs, it will use NTB as a minimum standard (as it is welfare-improving than free trade). However, the minimum standard also affects the exporting country's local producers and consumers. So NTB leads to a worse situation for both countries and definitely worst for the exporting country. Using a game theoretic framework, the study shows that the imposition of standards which does not address any real externality can be an optimum response for an importing country leading to a loss in the global welfare compared to a free trade situation.
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Qian Zhang and Huiyong Yi
With the evolution of the turbulent environment constantly triggering the emergence of a trust crisis between organizations, how can university–industry (U–I) alliances respond to…
Abstract
Purpose
With the evolution of the turbulent environment constantly triggering the emergence of a trust crisis between organizations, how can university–industry (U–I) alliances respond to the trust crisis when conducting green technology innovation (GTI) activities? This paper aims to address this issue.
Design/methodology/approach
The authors examined the process of trust crisis damage, including trust first suffering instantaneous impair as well as subsequently indirectly affecting GTI level, and ultimately hurting the profitability of green innovations. In this paper, a piecewise deterministic dynamic model is deployed to portray the trust and the GTI levels in GTI activities of U–I alliances.
Findings
The authors analyze the equilibrium results under decentralized and centralized decision-making modes to obtain the following conclusions: Trust levels are affected by a combination of hazard and damage (short and long term) rates, shifting from steady growth to decline in the presence of low hazard and damage rates. However, the GTI level has been growing steadily. It is essential to consider factors such as the hazard rate, the damage rate in the short and long terms, and the change in marginal profit in determining whether to pursue an efficiency- or recovery-friendly strategy in the face of a trust crisis. The authors found that two approaches can mitigate trust crisis losses: implementing a centralized decision-making mode (i.e. shared governance) and reducing pre-crisis trust-building investments. This study offers several insights for businesses and academics to respond to a trust crisis.
Research limitations/implications
The present research can be extended in several directions. Instead of distinguishing attribution of trust crisis, the authors use hazard rate, short- and long-term damage rates and change in marginal profitability to distinguish the scale of trust crises. Future scholars can further add an attribution approach to enrich the classification of trust crises. Moreover, the authors only consider trust crises because of unexpected events in a turbulent environment; in fact, a trust crisis may also be a plateauing process, yet the authors do not study this situation.
Practical implications
First, the authors explore what factors affect the level of trust and the level of GTI when a trust crisis occurs. Second, the authors provide guidelines on how businesses and academics can coordinate their trust-building and GTI efforts when faced with a trust crisis in a turbulent environment.
Originality/value
First, the interaction between psychology and innovation management is explored in this paper. Although empirical studies have shown that trust in U–I alliances is related to innovation performance, and scholars have developed differential game models to portray the GTI process, building a differential game model to explore such an interaction is still scarce. Second, the authors incorporate inter-organizational trust level into the GTI level in university–industry collaboration, applying differential equations to portray the trust building and GTI processes, respectively, to reveal the importance of trust in CTI activities. Third, the authors establish a piecewise deterministic dynamic game model wherein the impact of crisis shocks is not equal to zero, which is inconsistent with most previous studies of Brownian motion.
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Iman Harymawan, Damara Ardelia Kusuma Wardani and John Nowland
This study investigates the relationship between companies with military directors and audit fees in Indonesia.
Abstract
Purpose
This study investigates the relationship between companies with military directors and audit fees in Indonesia.
Design/methodology/approach
Using upper echelon and audit pricing theories, the authors examine military directors' roles in the demand for and supply of auditing services. The authors use Indonesia as their research setting as their military forces have a long history of involvement in business. The study sample includes 898 firm-year observations on the Indonesia Stock Exchange during 2014–2018.
Findings
The authors find a negative relationship between military connections and audit fees. This is consistent with auditors assessing lower audit risk and charging lower audit fees to companies that have leaders with military experience. The study findings are strongest where there is military experience on the board of directors and where the military experience is from the Army.
Originality/value
This study extends the literature on the benefits of military experience in company leadership, especially in the context of auditing research. The study findings also have implications for the selection of board candidates and auditor risk assessments.
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This study aims to introduce the design and the design process for an innovative sanitary fixture to be used in public facilities for the purpose of ablution. This purpose-made…
Abstract
Purpose
This study aims to introduce the design and the design process for an innovative sanitary fixture to be used in public facilities for the purpose of ablution. This purpose-made fixture is needed to support the hygienic, safe and comfortable performance of this essential function in public facilities in many parts of the world. The study also clarifies the need for this function and critically reviews current designs to address it.
Design/methodology/approach
The study started by critically reviewing the standard built-in models for ablution. It also identified and analyzed new approaches to designing standalone ablution fixtures. The study then specified the characteristics of a better ablution fixture and involved drafting a design based on these characteristics, making a wooden prototype to test the design and receiving users’ feedback. The design was adjusted and tested again for more feedback. Finally, the study resulted in the development of a final design. It used digital fabrication to create the design prototype with improved aesthetics, tested it again and received user feedback.
Findings
A survey of users showed that they found the innovative fixture more comfortable and safer than the commonly used built-in models. The main concern was the potential for water to splash on clothes from the high faucet.
Originality/value
In addition to showing an innovative design for a purpose-made sanitary fixture for ablution, the study makes the reader aware of the various challenges of providing a hygienic, safe and comfortable facility for users to perform this function. This is very useful for the many designers and facility managers who deal with the issue.
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The purpose of this paper is to show the effect of Turkey's geopolitical risk on the number of international tourist arrivals to the country. When Turkish economy in 2019 is…
Abstract
Purpose
The purpose of this paper is to show the effect of Turkey's geopolitical risk on the number of international tourist arrivals to the country. When Turkish economy in 2019 is analyzed, it is seen that the share of tourism in national income is 11%. For this reason, national economy is significantly affected by changing of the number of international tourist arrivals. Security problems are an important variable affecting tourist arrivals.
Design/methodology/approach
The paper focused on secondary data for the period 2000–2019 for macroeconomic variables. Accordingly, the number of international tourist arrivals was added as a dependent variable, geopolitical risk as an independent variable, gross domestic product (GDP) and economic freedom index as control variables and inflations as an external variable to the model. The residual augmented least squares–the autoregressive distributive lag (RALS-ADL) cointegration test and the dynamic ordinary least squares (DOLS) coefficient estimator were used. It allows for more robust results to be obtained when the residues do not have a normal distribution.
Findings
The RALS-ADL cointegration test result shows that there is a cointegration relationship between variables at a 1% significance level. Moreover, the DOLS coefficient estimator results indicate that an increase in economic freedom and GDP increase the number of international tourists, whereas an increase in the Geopolitical Risk Index and inflation decreases the number of international tourism arrival. It can be said that tourists consider the security and economic stability of the host country when making tourism decisions.
Originality/value
Turkey is one of the most risky developing countries, as well as one of the most popular travel destinations. When the literature is examined, it has been found that studies for Turkey usually determine the relationship between the variables for a short period of time. However, to ensure sustainable growth and environment of confidence, the long-run relationship between variables should be determined so that policymakers can make more impactful decisions. Therefore, the aim of this study is to make a literature contribution, taking into account the long-term effects. In addition, unlike other studies, this study fills the gap in literature using the RALS-ADL cointegration test, which produces robust estimators.
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Jiaquan Yang, Jinyu Fang and Jiafu Su
This paper aims to identify the conditions under which encroachment is a viable strategy for a manufacturer to gain competitive advantage and achieve higher profitability in the…
Abstract
Purpose
This paper aims to identify the conditions under which encroachment is a viable strategy for a manufacturer to gain competitive advantage and achieve higher profitability in the presence of the store-brand.
Design/methodology/approach
This paper proposes game-theoretic models in a two-echelon supply chain consisting of a manufacturer (him) and a retailer (her), in which he distributes his national brand through the retailer, and endogenously determines whether to establish a new direct sales channel to sell the national brand when the retailer introduces her store-brand.
Findings
Analytical results show that the bar for the manufacturer to encroach the end market in the presence of the store-brand is always higher than that for him to encroach in the absence of the store-brand. Although incurring channel competition, encroaching with the national brand in the presence of the retailer's store-brand can lead to either a win-lose or win-win result for the manufacturer and the retailer. Numerical studies claim that, higher brand substitution can push down the retailer's enthusiasm to introduce her new brand. Counterintuitively, when the retailer introduces her store-brand, higher brand substitution does not necessarily push up the manufacturer's enthusiasm to respond with national-brand encroachment. When consumer preferences for the two brands are heterogeneous, a higher consumer preference for the retailer's store-brand results in the retailer's higher enthusiasm to introduce her store-brand and the manufacturer's lower enthusiasm to encroach with his national brand.
Originality/value
This study can help researchers to better understand the retailer's store-brand introduction, manufacturer encroachment and their interaction theoretically, and further provide decision support for enterprises to choose brand and channel strategies in practice.
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Prior research has extensively examined how bringing technology from work into the non-work life domain creates conflict, yet the reverse pathway has rarely been studied. The…
Abstract
Purpose
Prior research has extensively examined how bringing technology from work into the non-work life domain creates conflict, yet the reverse pathway has rarely been studied. The purpose of this study is to bridge this gap and examine how the non-work use of smartphones in the workplace affects work–life conflict.
Design/methodology/approach
Drawing from three literature streams: technostress, work–life conflict and role boundary theory, the authors theorise on how limiting employees' ability to integrate the personal life domain into work, by means of technology use policy, contributes to stress and work–life conflict. To test this model, the authors employ a natural experiment in a company that changed its policy from fully restricting to open smartphone access for non-work purposes in the workplace. The insights gained from the experiment were explored further through qualitative interviews.
Findings
Work–life conflict declines when a ban on using smartphones for non-work purposes in the workplace is revoked. This study's results show that the relationship between smartphone use in the workplace and work–life conflict is mediated by sensed stress. Additionally, a post-hoc analysis reveals that work performance was unchanged when the smartphone ban was revoked.
Originality/value
First, this study advances the authors' understanding of how smartphone use policies in the workplace spill over to affect non-work life. Second, this work contributes to the technostress literature by revealing how, in specific situations, engagement with ICT can reduce distress and strain.
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