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1 – 10 of 28Stephen L. Liedtka and Nandkumar Nayar
The current and widespread view in option trading is that early exercise of call options is suboptimal unless there are large dividend payments on the underlying stock (e.g.…
Abstract
The current and widespread view in option trading is that early exercise of call options is suboptimal unless there are large dividend payments on the underlying stock (e.g., Finucane, 1997; Hull, J. C. (2008). Options, futures and other derivatives (7th ed.). Upper Saddle River, NJ: Prentice Hall; Poteshman & Serbin (2003)). Our study substantially refines this view by demonstrating that U.S. tax rules governing capital gain holding periods can create incentives for early exercise under certain conditions. Hence, this study adds to the factors that investors likely consider when making option exercise decisions. We further note that recent research documents early exercises in the absence of large dividends, and refers to these option exercises as “clearly irrational.” Predictions of early exercise from our tax-based model are consistent with the observed patterns of early exercise, suggesting that the criteria for denoting an option exercise as “irrational” should be refined to incorporate capital gain holding periods.
Nicolas Rösch, Victor Tiberius and Sascha Kraus
Design thinking has become an omnipresent process to foster innovativeness in various fields. Due to its popularity in both practice and theory, the number of publications has…
Abstract
Purpose
Design thinking has become an omnipresent process to foster innovativeness in various fields. Due to its popularity in both practice and theory, the number of publications has been growing rapidly. The authors aim to develop a research framework that reflects the current state of research and allows for the identification of research gaps.
Design/methodology/approach
The authors conduct a systematic literature review based on 164 scholarly articles on design thinking.
Findings
This study proposes a framework, which identifies individual and organizational context factors, the stages of a typical design thinking process with its underlying principles and tools, and the individual as well as organizational outcomes of a design thinking project.
Originality/value
Whereas previous reviews focused on particular aspects of design thinking, such as its characteristics, the organizational culture as a context factor or its role on new product development, the authors provide a holistic overview of the current state of research.
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The topic of whistleblowing is achieving prominence as a question of social policy. Some influential voices are suggesting that far from whistleblowing — informing on…
Abstract
The topic of whistleblowing is achieving prominence as a question of social policy. Some influential voices are suggesting that far from whistleblowing — informing on organisations —, being socially undesirable, it may in certain circumstances be an activity deserving high praise. Inevitably it entails huge risks to the activist, and these risks need to be personally and carefully considered. John Banham, Director General of the Confederation of British Industry, wrote in support of the Social Audit report on the subject (Winfield 1990), and a committee established by the Speaker of the House of Commons has suggested the possibility of honouring whistleblowers in the British Honours system for their good corporate citizenship. There have also been landmark reports in America, Australia and Canada (Leahy 1978, Electoral and Administrative Review Commission 1990, Ontario Law Reform Commission 1986).
Stephen McCarthy, Wendy Rowan, Nina Kahma, Laura Lynch and Titiana Petra Ertiö
The dropout rates of open e-learning platforms are often cited as high as 97%, with many users discontinuing their use after initial acceptance. This study aims to explore this…
Abstract
Purpose
The dropout rates of open e-learning platforms are often cited as high as 97%, with many users discontinuing their use after initial acceptance. This study aims to explore this anomaly through the lens of affordances theory, revealing design–reality gaps between users' diverse goals and the possibilities for action provided by an open IT artefact.
Design/methodology/approach
A six-month case study was undertaken to investigate the design implications of user-perceived affordances in an EU sustainability project which developed an open e-learning platform for citizens to improve their household energy efficiency. Thematic analysis was used to reveal the challenges of user continuance behaviour based on how an open IT artefact supports users in achieving individual goals (e.g. reducing energy consumption in the home) and collective goals (lessening the carbon footprint of society).
Findings
Based on the findings, the authors inductively reveal seven affordances related to open e-learning platforms: informing, assessment, synthesis, emphasis, clarity, learning pathway and goal-planning. The findings centre on users' perception of these affordances, and the extent to which the open IT artefact catered to the goals and constraints of diverse user groups. Open IT platform development is further discussed from an iterative and collaborative perspective in order to explore different possibilities for action.
Originality/value
The study contributes towards research on open IT artefact design by presenting key learnings on how the designers of e-learning platforms can bridge design–reality gaps through exploring affordance personalisation for diverse user groups. This can inform the design of open IT artefacts to help ensure that system features match the expectations and contextual constraints of users through clear action-oriented possibilities.
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The case of corporations establishing a relationship with young people – because of the moral responsibility involved – allows us to illustrate the complexities of trying to…
Abstract
Purpose
The case of corporations establishing a relationship with young people – because of the moral responsibility involved – allows us to illustrate the complexities of trying to decide what is morally correct to collectively ensure children's well-being. This paper aims to discuss these issues.
Design/methodology/approach
Applying the “stakeholder theory” to child industries – under which term this paper includes all business activities that establish a commercial relationship involving children, either as the recipient or user of the final product or beneficiary of a specific service, or as a co-decision-maker for purchases within his/her family or social circles – reveals a series of conceptual challenges...
Findings
The limited understanding of stakeholder theory within the CSR managerial perspective leads companies to overlook some important moral issues about children's well-being, and exposes them to particularly hard criticisms of their actions and marketing policies.
Research limitations/implications
If children have been overlooked by the stakeholder theory, how may the interests of youth be represented in a stakeholder perspective?
Practical implications
To deal with some of the dilemmas entailed by considering children's representatives as legitimate spokespersons, the paper suggests drawing on the ethics of care to attempt delineating a corporate social responsibility towards young people.
Originality/value
This paper emphasises a number of issues relevant to young consumers, including the absence of children in stakeholder theory and how that absence speaks to the presumed extent and boundaries of corporate social responsibility.
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Fitting ethical responsibilities into day‐to‐day business practice represents a challenge for marketers who have to operate at the customer interface. When young children are the…
Abstract
Purpose
Fitting ethical responsibilities into day‐to‐day business practice represents a challenge for marketers who have to operate at the customer interface. When young children are the target market the puzzle becomes more complex. Based on a case study of the toy industry, this paper examines the moral issues of “care” and “vulnerability” and evaluates toy company practice.
Design/methodology/approach
The paper builds upon Ross' proposed prima facie duties of benevolence, fidelity, and nonmaleficence (1938), which it argued are particularly relevant when vulnerable consumers are involved. The supporting fieldwork is based on qualitative interviews with senior managers in 12 leading UK‐based toy companies and compares the findings with other documentary evidence.
Findings
Evidence of some ethical responsible practice was discovered although this appeared to be primarily driven by external forces rather than company philanthropy. Although the companies argued that targeting children directly is supported by their human rights, this practice will always attract criticism on moral grounds because of children's widely accepted vulnerability. The study identifies a paradox that it is parents who fund most toy purchases but are often overlooked in the marketing process who are vulnerable as well as their children.
Originality/value
This paper adds to the limited literature on ethical issues in marketing to children and provides empirical evidence from an important children's market. The paper seeks to provide a balanced account of where the toy companies are adopting a responsible approach and where they still need to improve their moral credentials.
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