Search results1 – 10 of 139
Based on the proceedings of a conference organised by the National Bureau of Economic Research, Chicago, 1999. The Editors demonstrate, through contributions from business…
Based on the proceedings of a conference organised by the National Bureau of Economic Research, Chicago, 1999. The Editors demonstrate, through contributions from business historians and economists, that “advanced research” has superceded the neo‐classical theory of the firm.
Describes how the West Midlands Employment Service has developed a strategy for total quality. Follows the stages an office goes through on their Quality Path using a gardening analogy to describe the process. Acknowledges that TQ initiatives need to continue from the top down, the bottom up and through the middle with every level involved until they become part of business as usual.
In this chapter, we document the growing importance of FDI from BRIC countries in relation to FDI from both developed and developing countries and investigate the types of…
In this chapter, we document the growing importance of FDI from BRIC countries in relation to FDI from both developed and developing countries and investigate the types of firms that are responsible for BRIC FDI.
We follow a two-step empirical approach. First, we provide macro evidence on FDI from BRIC countries. We use UNCTAD data to highlight the patterns of FDI flows and stocks. Second, we provide firm-level evidence on FDI. Using ORBIS data, we elaborate a rich taxonomy of FDI that accounts for the decision to invest abroad and for the location, ownership, and number of foreign subsidiaries. Thus, we characterize BRIC multinationals’ involvement in FDI and examine the relationship between FDI and performance at the firm level.
We unveil new facts about BRIC multinationals. BRIC multinationals are in the minority in their home countries, but they outperform domestic enterprises. Within the group of BRIC investors, those firms that invest in developing countries, that operate in joint ventures, or that have more than five foreign subsidiaries are in the minority, but they outperform those firms that select other FDI strategies.
Our estimates document a positive and robust correlation between FDI and performance; however, the cross-sectional nature of our data does not permit a proper causality analysis.
Our work contributes to the International Economics literature on internationalization and firm performance as well as to the International Business literature on FDI from emerging economies. With respect to the former, we innovate by studying the relation between FDI strategies and firm performance. In relation to the latter, we innovate by introducing firm-level data and a cross-country approach that lets us illustrate the roles and features of FDI from BRIC countries.
While industrial marketers have long bundled their products and services to sell them as packages, to what extent should negotiators also rely on packaging their offers…
While industrial marketers have long bundled their products and services to sell them as packages, to what extent should negotiators also rely on packaging their offers? Clearly, negotiating at a package level can tax the cognitive capacity of the involved parties at some point. Therefore, this study aims to analyze the impact of the number and type of issues that should be negotiated simultaneously to leverage the package strategy efficiently and effectively in multi-issue buyer-seller negotiations.
The authors conducted and analyzed negotiation simulations with 676 students from 2 public universities.
The authors’ results suggest that negotiating three out of six issues simultaneously is the least efficient but most effective strategy in multi-issue buyer-seller negotiations. Moreover, they found that bundling distributive and integrative issues is more efficient and effective than only bundling distributive or integrative negotiation issues in a package offer.
Past research has examined the impact of negotiating a package as compared to each issue separately; however, little empirical attention has been directed toward understanding how to apply a package strategy in complex multi-issue negotiations.
In M&A markets, acquirers face a hold-up problem of losing the value of investments they make in due diligence, negotiations, and post-acquisition planning if targets…
In M&A markets, acquirers face a hold-up problem of losing the value of investments they make in due diligence, negotiations, and post-acquisition planning if targets would pursue the options of waiting for better offers or selling to an alternative bidder. This chapter extends information economics to the literature on M&A contracting by arguing that such contracting problems are more likely to occur for targets with better outside options created by the information available on their resources and prospects. We also argue that acquirers address these contracting problems by using termination payment provisions to safeguard their investments. While previous research in corporate strategy and finance has suggested that certain factors can facilitate an acquisition by reducing a focal acquirer’s risk of adverse selection (e.g., signals, certifications), we note that these same factors can make the target attractive to other potential bidders and can exacerbate the risk of hold-up, thereby leading acquirers to use termination payment provisions as contractual safeguards.
Efficiency wage theory predicts that firms can induce worker effort by the carrot of high wages and/or the stick of monitoring worker performance. Another option available…
Efficiency wage theory predicts that firms can induce worker effort by the carrot of high wages and/or the stick of monitoring worker performance. Another option available to firms is to tilt the remuneration package over time such that the lure of high future earnings acts as a deterrent to current shirking. On the assumption that firms strive for the optimal trade-off between these various instruments, we develop a two-period model of efficiency wages in which increased monitoring attenuates the gradient of the wage-tenure profile. Our empirical analysis, using two cross sections of matched employer-employee British data, provides robust support for this prediction.
The dynamics of the physician knowledge system in the Southern California Region of Kaiser Permanente are explored. The framing and analysis use concepts from the…
The dynamics of the physician knowledge system in the Southern California Region of Kaiser Permanente are explored. The framing and analysis use concepts from the knowledge management literature and network theory. The criticality of this issue to the establishment of sustainable healthcare relates to the lynchpin nature of embedding evidence-based knowledge in healthcare practice and the simultaneous challenge of combining this with clinical knowledge that derives from practice.
The case study is compiled from longitudinal interviews with over 40 physicians and other stakeholders and an examination of archival information including published articles generated by the learning system.
The socio-technical approach to building this learning system was critical given the expectations of physicians for autonomy in making clinical decisions with respect to their patients. This robust learning system builds on rich professional and organizational networks, is led by physicians, and builds on and extends the foundation of evidence relating to quality and value. The goals of the physician practice and a robust measurement and feedback system provide focus for the learning system.
Accelerating the incorporation of evidence-based practice and increasing the scope and reach of the learning system entails building physician networks, having a robust system for critically examining and extending evidence, and a clear linkage to valued outcomes.
Originality/value of paper
This detailed examination of the dynamics of knowledge absorption extends understanding of the capacity of medical care systems to absorb evidence-based knowledge.
This chapter introduces a model of efficiency-wage competition along the lines put forward by Hahn (1987). Specifically, I analyze a two-firm economy in which employers…
This chapter introduces a model of efficiency-wage competition along the lines put forward by Hahn (1987). Specifically, I analyze a two-firm economy in which employers screen their workforce by means of increasing wage offers competing one another for high-quality employees. The main results are the following. First, using a specification of effort such that the problem of firms is well-behaved, optimal wage offers are strategic complements. Second, the symmetric Nash equilibrium can be locally stable under the assumption that firms adjust their wage offers in the direction of increasing profits by conjecturing that any wage offer above (below) equilibrium will lead competitors to underbid (overbid) such an offer. Finally, the exploration of possible labor market equilibria reveals that effort is counter-cyclical.
Given that several publicly announced international merger and acquisition deals have been abandoned in recent years, the purpose of this paper is to present a synthesis…
Given that several publicly announced international merger and acquisition deals have been abandoned in recent years, the purpose of this paper is to present a synthesis of influential articles that examine organizational characteristics of cross-border acquisition transactions. The synthesis is framed through general traits and resources, learning and prior acquisition experience, and top-level management and governance attributes. Specifically, the paper conceptualizes key organizational attributes influencing the propensity of cross-border negotiations, and the most common characteristics and post-deal effects by illustrating several case examples from around the world.
Owing to fairness and integrity principles of the literature survey studies, the paper adopts an exploratory review design to present a synthesis of several influential articles published in strategy, international business and corporate finance journals. Since case method and storytelling are the best qualitative approaches to conceptualizing extant theoretical contributions, a number of case examples—successful, delayed and abandoned—from around the world have been discussed by leveraging the case information from archival sources.
Drawing on resource-based view, organizational learning, upper echelons and agency theory perspectives, the paper underscores three observations. First, organizational characteristics such as firm age, firm size, ownership structure, slack resources, marketing resources, technological intensity, export intensity and business group affiliation have different impacts on the propensity of publicly announced cross-border deals. Second, firm’s prior acquisition experience and firm’s acquisition experience in the target country have positive or moderating effects on the success of a cross-border merger. Third, top-level management characteristics such as CEO foreign nationality and CEO international career experience, and governance characteristics such as board size, the number of independent directors and directors with overseas experience, have mixed effects on the incidence of cross-border acquisitions.
The paper puts forth several recommendations for top-level managers participating in cross-border acquisition negotiations, such as learning from peers in the same industry, learning from predecessors in the target country and learning from failure negotiations in the same industry and other industries.
Nested within the organizational, international business strategy and corporate finance literature, the paper presents a synthesis of influential publications that study organizational characteristics affecting the propensity of cross-border acquisitions. The cases discussed in this paper are unique examples from around the world.