Search results

1 – 10 of over 4000
Article
Publication date: 8 January 2024

K.R. Jayasimha, Himanshu Shekhar Srivastava, K. Sivakumar and Manoharan Sivaraman

This study aims to explore consumer motivations to mitigate the contagion effect in access-based consumption after instances of prior customer misbehavior. Reverse contagion…

Abstract

Purpose

This study aims to explore consumer motivations to mitigate the contagion effect in access-based consumption after instances of prior customer misbehavior. Reverse contagion, demonstrated through customer citizenship behavior, entails using both firm-provided and personal resources to cocreate value, even in the presence of norm violations by others. The research delves into the influence of empathy, narrative appeal and past misbehavior severity on customer behavior, specifically in the context of reverse contagion.

Design/methodology/approach

Two scenario-based studies and a field study were used within the context of scooter-sharing to assess the conceptual model. Study 1 (n = 156) and Study 2 (n = 97) were conducted through surveys. Study 3 (n = 54) was a field study.

Findings

The results emphasize the crucial role of empathy in breaking the cycle of misbehavior contagion. Specifically, the findings suggest that narrative appeals have the potential foster greater empathy, encouraging customers to counteract the contagion. However, the intensity of prior misbehavior lessens the efficacy of narrative appeals in triggering reverse contagion, thereby moderating the mediating effect of empathy.

Originality/value

This study investigates reverse contagion stemming from customer misbehavior in accessed-based consumption. It delves into the impact of empathy, narrative appeal and previous misbehavior on the dynamics of value codestruction and cocreation. This comprehensive examination of these factors within a unified framework represents a new contribution to the literature. The results illuminate this intricate phenomenon, offering valuable insights for managers to address adverse customer behavior and harness the positive aspects of reverse contagion.

Details

Journal of Consumer Marketing, vol. 41 no. 1
Type: Research Article
ISSN: 0736-3761

Keywords

Open Access
Article
Publication date: 18 September 2023

Fabio Monteduro, Giuseppe D'Onza and Riccardo Mussari

Corruption is a major social problem, and scholars have devoted considerable attention to this phenomenon. However, less attention has been paid to how corruption spreads among…

Abstract

Purpose

Corruption is a major social problem, and scholars have devoted considerable attention to this phenomenon. However, less attention has been paid to how corruption spreads among organizations and what factors can make its spread more likely. This study aims to fill the gap by modelling corruption as an interorganizational contagion.

Design/methodology/approach

The authors used social contagion theory to model corruption as an interorganizational contagion, influenced by the susceptibility of organizations and the strength of contagion sources. The study analysed 736 medium and large Italian municipalities over a five-year period, with 3,146 observations (excluding missing data). The authors conducted a longitudinal analysis using panel logistic regression techniques and performed robustness and endogeneity checks through a dynamic panel data model.

Findings

The authors found that municipalities with a higher percentage of corrupt neighbouring municipalities were more likely to experience corruption. The probability of experiencing corruption was also significantly higher for municipalities with weaker organizational resistance to corruption contagion.

Originality/value

Previous studies have not clearly explained the organizational mechanisms behind the spread of corruption at the interorganizational level. The study suggests that corruption contagion at the municipal level occurs via reduced uncertainty in decision-makers and is influenced by the prevalence of corruption locally. The spread can be driven by conscious or unconscious mechanisms. This study challenges the idea that corruption contagion is immediate and inevitable. Organizational resistance to corruption can affect the risk of contagion, highlighting the importance of anti-corruption controls and ethical systems in preventing it.

Details

International Journal of Public Sector Management, vol. 37 no. 1
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 7 September 2023

Nadia Ben Abdallah, Halim Dabbou and Mohamed Imen Gallali

This paper explores whether the Euro-area sovereign credit default swap market is prone to contagion effects. It investigates whether the sharp increase in sovereign CDS spread of…

Abstract

Purpose

This paper explores whether the Euro-area sovereign credit default swap market is prone to contagion effects. It investigates whether the sharp increase in sovereign CDS spread of a given country is due to a deterioration of the macroeconomic variables or some form of contagion.

Design/methodology/approach

For this purpose, the authors use an innovative approach, i.e. spatial econometrics. Although modeling spatial dependence is an attractive challenge, its application in the field of finance remains limited.

Findings

The empirical findings show strong evidence of spatial dependence highlighting the presence of pure contagion. Furthermore, evidence of wake-up call contagion-increased sensitivity of investors to fundamentals of neighboring countries and shift contagion-increased sensitivity to common factors are well recorded.

Originality/value

This study aims to study a crucial financial issue that gained increased research interest, i.e. financial contagion. A methodological contribution is made by extending the standard spatial Durbin model (SDM) to analyze and differentiate between several forms of contagion. The results can be used to understand how shocks are spreading through countries.

Details

The Journal of Risk Finance, vol. 24 no. 5
Type: Research Article
ISSN: 1526-5943

Keywords

Article
Publication date: 19 October 2022

John Goodwin, Pamela Fae Kent, Richard Kent and James Routledge

The purpose of this study is to examine if partner cross-contagion in audit offices is associated with client reporting quality. To this end, the authors test if the presence in…

Abstract

Purpose

The purpose of this study is to examine if partner cross-contagion in audit offices is associated with client reporting quality. To this end, the authors test if the presence in an audit office of a partner with a highly aggressive style is associated with the reporting quality of other partners’ clients. Partners with a highly aggressive style are identified by their tendency to approve favorable client reporting. The authors add to the existing literature that provides limited and equivocal evidence on audit office cross-contagion.

Design/methodology/approach

Partner style is determined in an estimation period from 2010 to 2014. Aggressive style is identified when partners tend to approve favorable client reporting, which is shown by a positive value for their clients’ median discretionary accruals. Partners are considered to exhibit a highly aggressive style if they have positive median client discretionary accruals within the 90th percentile. Cross-contagion analysis is then conducted in a test period from 2015 to 2019 by determining if the presence in an office of a partner with a highly aggressive style is associated with the reporting quality of other partners’ clients. Two measures of client reporting quality used. These are the accuracy of current-period accruals in predicting period-ahead cash flows and earnings management related to benchmark beating.

Findings

This study finds partner cross-contagion of highly aggressive style in Big 4 offices that is associated with lower client reporting quality for non-Metals and Mining industry clients. This cross-contagion only occurs when the contagious partner has a very high level of aggressive style. This study finds Big 4 partners are susceptible to aggressive style cross-contagion regardless of their own idiosyncratic style. The results of this study show more cross-contagion in small Big 4 offices and mitigation of cross-contagion for economically important clients. Cross-contagion in non-Big 4 offices is observed for Metals and Mining industry clients.

Originality/value

By determining style from partners’ past clients’ discretionary accruals, this study extends prior cross-contagion research that relies on restatements to identify style. This study examines several other cross-contagion issues not addressed in prior studies. These include differences in cross-contagion for Big 4 and non-Big 4 offices and for large and small Big 4 offices, partners’ susceptibility to cross-contagion and the influence of client importance.

Details

Managerial Auditing Journal, vol. 38 no. 1
Type: Research Article
ISSN: 0268-6902

Keywords

Article
Publication date: 30 September 2013

Karen Jehn, Sonja Rispens, Karsten Jonsen and Lindred Greer

– The purpose of this paper is to build theory and present a model of the development of conflicts in teams.

7937

Abstract

Purpose

The purpose of this paper is to build theory and present a model of the development of conflicts in teams.

Design/methodology/approach

The paper develops a conceptual model based on past theory and research.

Findings

The model brings a multi-level perspective to the process of intragroup conflict by showing the mechanisms by which an interpersonal, dyadic conflict can spread to other team members over time through a process of conflict contagion.

Originality/value

This study provides a new model for conflict escalation and it sheds light on factors which can either ameliorate or exacerbate the speed and extent of conflict contagion. The repercussions of different degrees of conflict involvement within a team are discussed.

Details

International Journal of Conflict Management, vol. 24 no. 4
Type: Research Article
ISSN: 1044-4068

Keywords

Article
Publication date: 29 March 2013

Mikko Ranta

The purpose of this paper is to examine contagion among the major world markets during the last 25 years and propose a new way to analyze contagion with wavelet methods.

Abstract

Purpose

The purpose of this paper is to examine contagion among the major world markets during the last 25 years and propose a new way to analyze contagion with wavelet methods.

Design/methodology/approach

The analysis uses a novel way to study contagion using wavelet methods. The comparison is made between co‐movements at different time scales. Co‐movement methods of the discrete wavelet transform and the continuous wavelet transform are applied.

Findings

Clear signs of contagion among the major markets are found. Short time scale co‐movements increase during the major crisis while long time scale co‐movements remain approximately at the same level. In addition, gradually increasing interdependence between markets is found.

Research limitations/implications

Because of the chosen method, the approach is limited to large data sets.

Practical implications

The research has practical implications to portfolio managers etc. who wish to have better view of the dynamics of the international equity markets.

Originality/value

The research uses novel wavelet methods to analyze world equity markets. These methods allow the markets to be analyzed in the whole state space.

Details

International Journal of Managerial Finance, vol. 9 no. 2
Type: Research Article
ISSN: 1743-9132

Keywords

Article
Publication date: 16 July 2021

Da-Eun Yoon, Tonmoy Choudhury, Anup Kumar Saha and Mamunur Rashid

Globally influential Islamic banks from the Middle East and Southeast Asia carry voluminous correspondence banking with banks from China and India, leading to potential spillover…

Abstract

Purpose

Globally influential Islamic banks from the Middle East and Southeast Asia carry voluminous correspondence banking with banks from China and India, leading to potential spillover effect of contagion among the banks from these regions. This study aims to investigate the Islamic banks systemic risk contagion with major banks from China and India.

Design/methodology/approach

Having the option pricing theory in the backdrop, the authors calculated three different distance to risk measurements (default, insolvency and capital). The authors have included top six listed globally influential Islamic banks, top seven Indian banks and top eight Chinese banks based on their net asset value. They then measured the banks’ extreme shocks based on the extreme value theory by using the logistic regression model. These extreme shocks helped the authors to map the spillover among the selected banks from multiple regions.

Findings

The authors have found strong evidences of directional risk spillover among the banks in this sample. Islamic banks are receiving a significant risk spillover from the other sample banks but transmitting less toward the other banks from India and China. Hence, there is strong one-directional risk contagion toward the Islamic banks in the study sample.

Practical implications

This research would be particularly useful to the regulators and bankers from emerging and Islamic markets to understand the conniving nature of the crisis by effectively mapping the source, destination and implementation of the shock transmission mechanism of the potential financial contagion.

Originality/value

Even though the corresponding banking among the top Islamic banks from the Middle East and Southeast Asian countries, and banks from India and China, is on the rise, the assessment of risk among these banks has been limited. In particular, the authors extended on the extreme value theory to focus on the wider impact of spillover, including significant direction of contagion from non-Islamic banks to Islamic banks.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. 15 no. 3
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 4 October 2021

Rangga Handika

This paper offers an alternative approach to assessing contagions in price and load in the Australian interconnected power markets. This approach enabled us to identify a…

Abstract

Purpose

This paper offers an alternative approach to assessing contagions in price and load in the Australian interconnected power markets. This approach enabled us to identify a high-risk region and assess the direction of contagions from both buyers' and sellers' perspectives.

Design/methodology/approach

The author used a multinomial logit method to measure contagions. Having identified the exceedance and coexceedances, the author estimated the multinomial logit coefficients of the covariates explaining the probability of a certain number of coexceedances.

Findings

Market participants should recognize the presence of contagion risk and scrutinize price and load dynamics in the NSW and VIC regions to anticipate any simultaneous extreme changes. Regulators need to stabilize the demand and supply sides in those regions to minimize any possible contagions.

Originality/value

This paper presents a pioneering study investigating contagion in the Australian interconnected power markets.

Details

The Journal of Risk Finance, vol. 22 no. 3/4
Type: Research Article
ISSN: 1526-5943

Keywords

Article
Publication date: 6 November 2017

Neha Seth and Monica Sighania

The purpose of this paper is to review and organize the status of research already conducted on financial market contagion so as to provide easy access to future researchers…

Abstract

Purpose

The purpose of this paper is to review and organize the status of research already conducted on financial market contagion so as to provide easy access to future researchers. Additional objective of the study is to classify the available literature and provide a complete bibliography on the subject and analyze the findings of the studies considered for review.

Design/methodology/approach

A number of resources were looked at to review the past literature and out of hundreds of papers, 104 research papers form the sample for the present study. These 104 research papers are further classified on the basis of various variables so as to know the status of research done on the topic.

Findings

This paper classifies the past research done on financial market contagion and found that the research work in this field has increased significantly during recent times, particularly between 2011 and 2015. Apart from the above finding, many other findings were revealed by the studies used for this paper.

Practical implications

This paper presents the concise view of available literature. It helps the future researchers with the same research interest. This is the major implication of such literature review paper.

Originality/value

This paper provides collection, classification and comprehensive bibliography on financial market contagion. This paper is surely going to be of great value for academicians, practitioners and future researchers who study the existing research work as well as for conducting future research in the same subject.

Details

Qualitative Research in Financial Markets, vol. 9 no. 4
Type: Research Article
ISSN: 1755-4179

Keywords

Article
Publication date: 29 July 2014

Wasim Ahmad, N.R. Bhanumurthy and Sanjay Sehgal

This paper aims to examine the contagion effects of Greece, Ireland, Portugal, Spain and Italy (GIPSI) and US stock markets on seven Eurozone and six non-Eurozone stock markets…

1236

Abstract

Purpose

This paper aims to examine the contagion effects of Greece, Ireland, Portugal, Spain and Italy (GIPSI) and US stock markets on seven Eurozone and six non-Eurozone stock markets.

Design/methodology/approach

In this paper, a dynamic conditional correlation (DCC) model popularly known as DCC-GARCH (Generalized Autoregressive Conditional Heteroscedasticity) model given by Engle (2002) is applied to estimate the DCCs across sample markets.

Findings

Analyzing the Eurozone crisis period, the empirical results suggest that among GIPSI stock markets, Spain, Italy, Portugal and Ireland appear to be most contagious for Eurozone and non-Eurozone markets. The study finds that France, Belgium, Austria and Germany in Eurozone and UK, Sweden and Denmark in non-Eurozone are strongly hit by the contagion shock.

Practical implications

The findings of the study have significant implications for the concerned regulatory authorities, as it may provide an important direction for further policy research with regard to financial integration in the European Union (EU). From global investors’ perspective, the EU-based diversification strategies seem to be inefficient especially during Eurozone crisis.

Originality/value

To the best of the authors’ knowledge, this is the first study that examines the issue of financial contagion of Eurozone crisis for a large basket of stock markets of European countries comprising seven Eurozone and six non-Eurozone markets for the period 2009-2012. The study uses the Markov regime switching model to identify crisis period and utilizes the DCC estimates of DCC-GARCH to examine the patterns of financial contagion. The finding of this study is quite interesting and is different in several ways than existing studies in the literature.

Details

Studies in Economics and Finance, vol. 31 no. 3
Type: Research Article
ISSN: 1086-7376

Keywords

1 – 10 of over 4000