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1 – 10 of over 249000This chapter proposes three different definitions for the market power in the antitrust case, such as dynamic monopoly power, static monopoly power and market power.The chapter…
Abstract
This chapter proposes three different definitions for the market power in the antitrust case, such as dynamic monopoly power, static monopoly power and market power.
The chapter presents simple economic models to analyse which definition of the three market powers is consistent with predatory pricing or tying.
The prerequisite market power is simply market power in the predatory pricing case or static monopoly power in the tying case.
Dynamic monopoly power defined as the market power from an antitrust perspective by the Antitrust Modernization Commission should not be the prerequisite market power in the case of the abuse of dominance or the violation of Section 2 of the Sherman Act.
A possession of substantial market power or monopoly power is typically understood as a prerequisite in abuse of dominance in Korea and EU or violation of Section 2 of the Sherman Act in the United States. However, the antitrust law does not clearly indicate the meaning of market power or monopoly power. This chapter proposes three different definitions for the market power in the antitrust case and analyses which definition of the three market powers is consistent with predatory pricing or tying.
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Adnène Sghaier and Taher Hamza
This study investigates the relationship between CEO power and the risk profile (RP) of acquiring banks through mergers and acquisitions (M&A) transactions.
Abstract
Purpose
This study investigates the relationship between CEO power and the risk profile (RP) of acquiring banks through mergers and acquisitions (M&A) transactions.
Design/methodology/approach
The analysis is based on 214 transactions between 2010 and 2022 involving European Union-based acquirers. To assess the impact of M&A on the acquiring bank’s RP, we compare changes in the acquirer’s RP to control banks. We use linear regression with two-stage least squares instrumental variables (2SLS-IV) to examine the effect of CEO power on changes in merger-related risk.
Findings
The findings suggest that CEO power reduces the RP of the acquiring bank. Specifically, CEOs who hold both the CEO and board chair positions tend to take fewer risks. Additionally, CEOs with high ownership, CEO pay and extensive experience (measured by tenure and acquisition experience) decrease the RP. However, prestige power is positively correlated with an increase in RPs.
Practical implications
This research examines CEO influence on bank risk post-mergers, providing insights into governance, risk and strategic choices. The findings can guide banks in CEO selection and governance to mitigate M&A risks, improving risk management and decision-making in the financial sector.
Originality/value
This study is the first empirical investigation introducing diverse executive power metrics to analyze the link between executive power and risk-taking in the European banking sector, with a specific emphasis on the impact on M&A as critical investment choices.
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Naiding Yang, Xianglin Zhu, Mingzhen Zhang and Yu Wang
This study aims to investigate the influence of network power on exploratory and exploitative innovation and examines the moderating effects of power distance and procedural…
Abstract
Purpose
This study aims to investigate the influence of network power on exploratory and exploitative innovation and examines the moderating effects of power distance and procedural justice on these untested relationships.
Design/methodology/approach
This study uses survey data collected from firms in China and explores the influential mechanisms of network power, power distance and procedural justice in firm innovation.
Findings
This study empirically shows that network power has an inverted U-shaped effect on exploratory and exploitative innovation. Power distance weakens the effect of network power on exploratory and exploitative innovation, and procedural justice enhances the effect of network power on exploratory and exploitative innovation.
Research limitations/implications
This study extends resource dependence theory and contributes to the literature on innovation management. Future studies should use different collection channels or research methods to provide more evidence for model promotion. In addition, the dynamic power game among network members and the roles of other mediators or moderators warrant further consideration.
Practical implications
Managers should exercise power strategies properly and ensure that their innovation income exceeds expenditures. Managers need to pay serious attention to power distance and procedural justice in the network and formulate suitable cooperation strategies based on actual conditions.
Originality/value
This study applies the resource dependence theory to investigate the influence of network power on exploratory and exploitative innovation. In addition, the moderating roles of power distance and procedural justice in the above relationships, which have rarely been discussed in previous studies, were tested.
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While size asymmetry in buyer–supplier relationships has been studied in non-disruption contexts, this research explores how supplier size influences positive and negative supply…
Abstract
Purpose
While size asymmetry in buyer–supplier relationships has been studied in non-disruption contexts, this research explores how supplier size influences positive and negative supply chain disruptions. Anchoring on the commitment-trust theory (CTT), we explore buyer commitment as a mediating variable and examine how buying firms' mediated power usage depends on different supplier sizes and types of supplier-induced disruptions.
Design/methodology/approach
Through two scenario-based behavioral experiments, we discover different patterns in buyers' use of mediated power, contingent on the types of supplier-induced disruptions.
Findings
In negative disruptions, buyers prefer more mediated power with large suppliers to control uncertainties, using reward or coercive power strategies. In positive disruptions, we find opposite results, indicating different buyers' perceptions and actions are contingent on both the supplier size and the types of disruptions. These findings underscore the complex interplay between supplier size, buyer commitment and mediated power strategies, revealing that disruption type significantly shapes buyer responses.
Research limitations/implications
This paper extends the CTT framework by considering new antecedents and outcomes. We also provide a more comprehensive understanding of buyer behavior when facing positive and negative supplier-induced disruptions. Our study has limitations. Through vignette-based behavioral experiments, there is a risk that scenarios may not accurately represent real-life situations and that decision-making dynamics could be oversimplified. Future research should incorporate nuanced measurements and conduct additional qualitative research for a comprehensive understanding.
Originality/value
This study enriches the understanding of the buyer-supplier relationship by expanding the CTT framework for a more comprehensive picture. We also offer nuanced insights into size dynamics and disruption types, emphasizing tailored strategies in supply chain management. The findings underscore the importance of understanding these nuances to employ tailored strategy in a business-to-business (B2B) context, as mediated power is contingent on multiple factors.
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The-Ngan Ma, Ying-Jung Yvonne Yeh, Han-Yu Lee and Hong Van Vu
The primary purpose of this study is to analyze the effects of customer incivility on employees' negative emotions (i.e. anger, fear and sadness) considering the moderating role…
Abstract
Purpose
The primary purpose of this study is to analyze the effects of customer incivility on employees' negative emotions (i.e. anger, fear and sadness) considering the moderating role of organizational power distance.
Design/methodology/approach
A survey sample comprising 312 service employees was collected from 51 Taiwanese and Vietnamese companies spanning different industries. Given the multilevel characteristics of the data structure, hierarchical linear modeling was used to rigorously test the proposed hypotheses.
Findings
The results indicate a significant contribution of customer incivility to employees' negative emotions. Notably, this impact is more pronounced among employees in organizations characterized by low power distance compared to those in organizations with high power distance.
Originality/value
This research significantly advances our understanding of the emotional repercussions of customer incivility on employees by integrating cognitive–motivational–relational theory and organizational culture perspectives. The findings not only provide valuable theoretical insights but also offer practical implications for effectively managing employee well-being in culturally diverse contexts. The study recognizes certain limitations and puts forth suggestions for future research directions.
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Peng Chen, Li Lan, Mingxing Guo, Fei Fei and Hua Pan
By comparing and contrasting the two scenarios of power producers investing in renewable energy and electricity sellers investing in renewable energy, we explore the conditions…
Abstract
Purpose
By comparing and contrasting the two scenarios of power producers investing in renewable energy and electricity sellers investing in renewable energy, we explore the conditions under which profit growth and carbon emission reduction can be realized, and provide a theoretical basis for decision-making on renewable energy investment by electric power companies as well as for government policy formulation.
Design/methodology/approach
This paper constructs a game model of a grid supply chain consisting of a leader generator and a follower seller in the context of the C&T mechanism, considering two scenarios in which the generator and the seller invest in renewable energy. Conclusions are drawn by comparing and analyzing the equilibrium solutions in different scenarios.
Findings
The scenario where electricity sellers invest in renewable energy exhibits a higher investment volume compared to the scenario involving power generators. In scenarios where power producers invest in renewable energy, electricity sellers achieve lower profits than power generators, while scenarios with electricity seller' investments yield higher profits for them. Increasing the cost coefficient of renewable energy investment reduces investment volume, electricity prices and electricity demand, leading to decreased profits for electricity seller but increased profits for power generator. A rise in the preference coefficient for renewable energy results in increased profits for electricity seller but decreased profits for power generator.
Originality/value
Addressing a literature gap in the context of low carbon, this study examines the investment scenario of electricity sellers in low carbon technologies, complementing existing research focused on power generators and consumers. The findings enrich knowledge in low carbon investment. By analyzing the investment decisions of both power producers and electricity sellers, this study explores the practical implications of renewable energy investments on the decision-making and operational dynamics of power supply chain enterprises. It sheds light on their profitability and investment strategies.
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Ming Zhang, Hantao Zhang, WeiYe Tao, Yan Yang and Yingjun Sang
This study aims to solve the problem that both the speed and the required driving power of electric vehicles (EVs) will change during the dynamic wireless charging (DWC) process…
Abstract
Purpose
This study aims to solve the problem that both the speed and the required driving power of electric vehicles (EVs) will change during the dynamic wireless charging (DWC) process, making it difficult to charge EVs with a constant power considering the overall efficiency of DWC system, the numbers of EVs and the power supply capacity. Therefore, this paper proposes the power control and efficiency optimization strategies for multiple EVs.
Design/methodology/approach
The wireless power charging system for multiple loads with a structure of double-sided LCC compensation topology is established. The expressions of optimal transmission efficiency and optimal equivalent impedance are derived. Taking the Tesla Model 3 as an example, a method to determine the number of EVs allowed by one transmitter coil and the overall charging power is proposed considering EV speed, power supply capacity, safe braking distance and overall efficiency. Then, the power control strategy, which can adapt to the changes of EV speed and the efficiency optimization strategy under different numbers of EVs are proposed.
Findings
In this paper, a method to determine the numbers of EVs allowed by one transmitter coil and the overall charging power is proposed considering EVs speed, power supply capacity, safe braking distance and overall efficiency. The accuracy of the charging power is good enough and the overall efficiency reaches a maximum of 91.79% when the load resistance changes from 5Ω to 20Ω.
Originality/value
In this paper, the power control and efficiency optimization strategy of DWC system for multiple EVs are proposed. Specifically, a method of designing the number of EVs and charging power allowed by one transmitter coil considering the factors of EV speed, power supply capacity, safe braking distance and overall efficiency is designed. The overall efficiency of the experiment reaches a maximum of 91.79% after adopting the optimization strategy.
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