Self-control today, indulgence tomorrow? How judgment bias and temporal distance influence self-control decisions

2018 ◽  
Vol 35 (5) ◽  
pp. 480-490
Author(s):  
Wagner Junior Ladeira ◽  
Fernando Oliveira Santini ◽  
Diego Costa Pinto ◽  
Clécio Falcao Araujo ◽  
Fernando A. Fleury
Keyword(s):  
Perceived Control ◽  
Self Control ◽  
Temporal Distance ◽  
Content Type ◽  
Judgment Bias ◽  
Mediating Role ◽  
Judgment Biases ◽  
Research Findings ◽  
Short And Long Term

Purpose This paper aims to analyze how judgment bias (optimism vs pessimism) and temporal distance influence self-control decisions. This research also analyzes the mediating role of perceived control on judgment bias and temporal distance. Design/methodology/approach Three studies (one laboratory and two online experiments) analyze how judgment bias and temporal distance influence self-control decisions on consumers’ willingness to pay. Findings The findings uncover an important boundary condition of temporal distance on self-control decisions. In contrast to previous research, the findings indicate that individuals exposed to optimism (vs pessimism) bias display more self-control in the future and make choices that are more indulgent in the present. The findings also reveal that perceived control mediates the effects of judgment bias and temporal distance. Practical implications The findings help managers to adapt short- and long-term marketing efforts, based on consumers’ momentary judgment biases and on their chronic judgment bias orientation. Originality/value This research contributes to the literature on self-control and temporal distance, showing that judgment bias reverses previous research findings on self-control decisions.

Management of competition among sellers and its performance implications for business-to-business electronic platforms

2015 ◽  
Vol 6 (2) ◽  
pp. 199-222 ◽  
Author(s):  
Xiaoling Li ◽  
Xingyao Ren ◽  
Xu Zheng
Keyword(s):  
Longitudinal Research ◽  
Time Windows ◽  
Customer Relationship ◽  
Effective Control ◽  
Marketing Tactics ◽  
Long Term Effects ◽  
Content Type ◽  
Short And Long Term ◽  
Term Performance

Purpose – This paper aimed to analyze the short- and long-term effects of the breadth and depth of seller competition on the performance of platform companies, and investigated the underlying mechanisms of customers’ two-sided marketing tactics on the structure of the competition between sellers. Design/methodology/approach – A longitudinal research design was adopted by gathering daily market objective data on e-commerce platforms for 250 days, and the dynamic evolution effects was analyzed by using a vector autoregression model which compared the differences between the short- and long-term effectiveness of different customer relationship management (CRM) strategies. Findings – The breadth of competition amongst sellers improves the performance of platforms, whilst the depth of competition among sellers has a positive effect on the short-term performance. However, it has a negative effect on the long-term performance of their platforms. In both the short and long terms, advertising tactics that attract new buyers contribute more to increases in the breadth of seller competition than those that attract existing buyers do. Subsidies for new sellers decrease the depth of seller competition more than those for old sellers. Research limitations/implications – Further research could be undertaken to investigate the validity of marketing tactics other than advertising tactics, and thus expand the time windows of the available data. Practical implications – It is imperative for platform companies to implement effective control over seller competition to balance the interests of the sellers and of themselves. Originality/value – The dyadic paradigm of CRM research has been extended by considering the perspective of the electronic platform company, how the tactics of exploitation and exploration of two-sided customers impact upon seller competitive structures have been delved into and why new customers have a unique value to platform companies has been identified.

Help us to help you

2019 ◽  
Vol 35 (10) ◽  
pp. 29-30
Keyword(s):  
Asia Pacific ◽  
Asia Pacific Region ◽  
Content Type ◽  
Pertinent Information ◽  
Short And Long Term ◽  
Long Term Performance ◽  
Performance Gains ◽  
Term Performance ◽  
Practical Implications

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Hotels in the Asia-Pacific region have yet to fully utilize social media to promote their CSR initiatives. This means there is huge potential for improved stakeholder engagement, leading to short- and long-term performance gains. Originality The briefing saves busy executives, strategists and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

scholarly journals Environmental and social sustainability priorities

2015 ◽  
Vol 35 (2) ◽  
pp. 216-245 ◽  
Author(s):  
Annachiara Longoni ◽  
Raffaella Cagliano
Keyword(s):  
Business Strategy ◽  
Social Sustainability ◽  
Operations Strategy ◽  
Manufacturing Strategy ◽  
Competitive Priorities ◽  
Content Type ◽  
Short And Long Term ◽  
Using Data ◽  
Term Performance

Purpose – Environmental and social sustainability are becoming key competitive priorities for companies, but the way in which they are integrated in operations strategies remains an open issue. The purpose of this paper is to determine whether established operations strategy configuration models (i.e. price-oriented, market-oriented and capability-oriented models) are modified to include environmental and social priorities and whether different operations strategy configuration models are equally successful in the short and long term. Design/methodology/approach – Analyses were performed using data from the International Manufacturing Strategy Survey (2009), including companies in the assembly industry in 21 different countries. According to previous studies, cluster analysis of competitive priorities and ANOVA analysis of the business strategy and short- and long-term performance were performed. Findings – The results show that traditional operations strategy configuration models are slightly modified. Market-oriented and capability-oriented operations strategies are complemented by environmental and social sustainability priorities. These operations strategies are adopted by companies with a differentiation and innovation business strategy. Moreover, capability-oriented companies, which are the most committed to environmental and social sustainability, perform better in both the short and long term. Practical implications – This research shows to companies that traditional operations strategies focusing on specific competitive priorities (e.g. low price) are being replaced by more holistic strategies that include sustainability priorities. However, environmental and social priorities contribute to competitive advantage when complementing capability-oriented operations strategies. Originality/value – This paper extends operations strategy configuration models highlighting how environmental and social sustainability priorities can be deployed together with traditional competitive operations priorities.

The effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction

2020 ◽  
Vol 32 (3) ◽  
pp. 543-558 ◽  
Author(s):  
Neale J. Slack ◽  
Gurmeet Singh
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Loyalty ◽  
Policy Makers ◽  
Content Type ◽  
Mediating Role ◽  
Corporate Resources ◽  
Customer Satisfaction And Loyalty

PurposeThe purpose of this study is to determine the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.Design/methodology/approachIn total, 480 supermarket customers participated in an intercept survey in four urban centres of Fiji. Descriptive statistics were used to determine the level of service quality provided by supermarkets, and inferential statistics to determine the gap between customer's service quality expectations and perceptions and to test the research hypotheses.FindingsThe findings indicate service quality of supermarkets is perceived as being unsatisfactory, service quality significantly affects customer satisfaction and loyalty and customer satisfaction partially mediates the relationship between service quality and customer loyalty reducing customer's perceptions of service quality, leading to lower customer loyalty.Practical implicationsThis study provides an indication as to where supermarkets should target their marketing attention and scarce corporate resources and may help in their efforts to service, satisfy, retain and attract more long-term loyal customers in the increasingly competitive supermarket sector. This research could inform government policy makers in sequencing the supermarket sector transformation and assist local supermarkets to adapt to this changing retail landscape.Originality/valueThis study advances our understanding of the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.

scholarly journals Substitute or complement? The use of trade credit as a financing source among SMEs

2017 ◽  
Vol 40 (1) ◽  
pp. 10-27 ◽  
Author(s):  
Darush Yazdanfar ◽  
Peter Öhman
Keyword(s):  
Fixed Effects ◽  
Trade Credit ◽  
Generalized Method Of Moments ◽  
Short Term ◽  
Content Type ◽  
System Models ◽  
Accounts Payable ◽  
Short And Long Term ◽  
Retained Earnings

Purpose This study aims to investigate trade credit as a financing source among small- and medium-sized enterprises (SMEs), particularly the influence of short-term debt, long-term debt and profitability on the use of such credit. Design/methodology/approach Ordinary least squares (OLS), fixed-effects and generalized method of moments (GMM) system models were used to analyze a large cross-sectional panel data set of 15,897 Swedish SMEs in five industry sectors for the 2009-2012 period. Findings The study provides empirical evidence that long-term debt and profitability each significantly and negatively influence trade credit (i.e. accounts payable) and that short-term debt positively influences trade credit. Notably, while trade credit seems to complement other short-term debt, it replaces long-term debt. Moreover, firm size in terms of sales is positively related and firm age is negatively related to accounts payable. Industry affiliation is another significant explanatory variable. Practical implications The results provide debt holders, potential investors, policymakers and academic researchers with insights into the relationship between trade credit demand, on the one hand, and external financing (i.e. short- and long-term debt) and internal retained earnings (i.e. profit), on the other. From a manager’s perspective, the findings may be important for decision-making regarding trade credit use. Originality/value When investigating trade credit determinants, the literature has seldom distinguished between short- and long-term debt and considered that they may influence the use of trade credit in different ways. The present study adds to the literature by using OLS, fixed-effects and GMM system models to analyze a large cross-sectoral sample in a high-tax country where both bank loans and trade credit are considered important financing instruments.

scholarly journals Bad or good neighbours: a spatial financial contagion study

2020 ◽  
Vol 37 (4) ◽  
pp. 753-776
Author(s):  
Matteo Foglia ◽  
Alessandra Ortolano ◽  
Elisa Di Febo ◽  
Eliana Angelini
Keyword(s):  
Spatial Dimension ◽  
Credit Spread ◽  
Credit Spreads ◽  
Financial Contagion ◽  
Content Type ◽  
Long Run ◽  
Credit Default ◽  
Short And Long Term ◽  
Dynamic Spatial Durbin Model

Purpose The purpose of this paper is to study the evolution of financial contagion between Eurozone banks, observing the credit default swaps (CDSs) market during the period 2009–2017. Design/methodology/approach The authors use a dynamic spatial Durbin model that enables to explore the direct and indirect effects over the short and long run and the transmission channels of the contagion. Findings The results show how contagion emerges through physical and financial market links between banks. This finding implies that a bank can fail because people expect other related financial institutions to fail as well (self-fulfilling crisis). The study provides statistically significant evidence of the presence of credit risk spillovers in CDS markets. The findings show that equity market dynamics of “neighbouring” banks are important factors in risk transmission. Originality/value The research provides a new contribution to the analysis of EZ banking risk contagion, studying CDS spread determinants both under a temporal and spatial dimension. Considering the cross-dependence of credit spreads, the study allowed to verify the non-linearity between the probability of default of a debtor and the observed credit spreads (credit spread puzzle). The authors provide information on the transmission mechanism of contagion and, on the effects among the largest banks. In fact, through the study of short- and long-term impacts, direct and indirect, the paper classify banks of systemic importance according to their effect on the financial system.

Are share prices of Gulf corporate council banks predictable? A time-series analysis

2020 ◽  
Vol 21 (1) ◽  
pp. 9-28
Author(s):  
Hesham I. Almujamed
Keyword(s):  
Moving Average ◽  
Weak Form ◽  
Efficient Market Hypothesis ◽  
Accounting Disclosure ◽  
Content Type ◽  
Share Prices ◽  
Market Participants ◽  
Short And Long Term ◽  
Future Evaluation

Purpose This research aimed to evaluate the predictability of moving-average strategies and examined the validity of the weak form of the efficient market hypothesis (EMH) for securities of banks listed in the Gulf Cooperation Council (GCC) stock markets of Bahrain, Kuwait, Qatar and Saudi Arabia. Design/methodology/approach Several statistical analyses and eight moving-average rules were employed where buy and sell signals were produced by comparing a security price’s short- and long-term moving averages. The study covered the daily closing share prices of 40 GCC-listed banks over the 18-year period ending 31 December 2017. Findings The results suggest that securities of banks in the GCC were not weak-form efficient because share prices were predictable. Investors who traded using moving-average strategies could generate higher profits. Analysis of variance found that securities of Kuwaiti banks were the most efficiently priced. Practical implications The findings supported the idea that profitability depended on the moving-average rules and country chosen. Transaction costs did not affect the returns obtained using different trading rules. Originality/value This work facilitates future evaluation of accounting disclosure environments as well as the market efficiency and the performance of securities in the GCC countries. The performance of moving average rules among representative countries that share similar characteristics was analyzed. Different market participants, including investors, analysts and regulators, can benefit from this study for decision-making. These results suggest that new regulations might be drafted that would improve the timeliness of accounting information and the banks’ level of efficiency.

How do children make sense of food well-being? Food for thought for responsible retailers

2019 ◽  
Vol 47 (6) ◽  
pp. 605-622
Author(s):  
Valérie Hémar-Nicolas ◽  
Pascale Ezan
Keyword(s):  
Design Methodology ◽  
Well Being ◽  
Content Type ◽  
Five Dimensions ◽  
Graphic Data ◽  
Food Retailers ◽  
Data Collection And Analysis ◽  
Short And Long Term ◽  
Practical Implications

Purpose The purpose of this paper is to provide a better understanding of what well-being means to children in the food context and to formulate recommendations about the way food retailers may take actions to promote children’s food well-being (FWB). Design/methodology/approach A qualitative study based on a child-centric perspective is conducted with 25 French children aged 6–11 years. The data collection and analysis use both verbal and graphic data methods including focus groups and drawings in order to help children express their feelings and thoughts. Findings The findings put forward that according to children, the concept of FWB relies on five dimensions: sensory taste, health, commensality, empowerment and altruistic behaviours. Their discourses suggest that food practices contributes to objective, hedonic, eudaemonic and social well-being on the short and long term. Practical implications Based on children’s intrinsic needs for pleasure and empowerment, our recommendations highlight how food retailers might rethink their own-label offering, retail environment and communication to take into account young consumers’ FWB. Originality/value Drawing upon the concept of FWB and positive psychology, the authors do not only examine children’s food representations through a nutritional lens, but enlarge the scope to show how physical, emotional, psychological and social factors, involved in food context, contribute to different aspects of well-being.

Geospatial data in the UK

2019 ◽  
Vol 33 (1) ◽  
pp. 27-41 ◽  
Author(s):  
Suzanne Jozefowicz ◽  
Merlin Stone ◽  
Eleni Aravopoulou
Keyword(s):  
Western Country ◽  
Geospatial Data ◽  
Content Type ◽  
Research Findings ◽  
Potential Benefits ◽  
Uk Government ◽  
The Government ◽  
The Uk

Purpose The purpose of this paper is to explain the rise of geospatial data, its importance for business and some of the problems associated with its development and use. Design/methodology/approach The paper reviews a certain amount of previously published literature but is based mainly on analysis of the very large number of responses to a consultation paper on geospatial data published by the UK Government. Findings The findings are that while there is strong appreciation of the potential benefits of using geospatial data, there are many barriers to the development, sharing and use of geospatial data, ranging from problems of incompatibility in data definitions and systems to regulatory issues. The implication for governments and for providers and users of geospatial data relates to the need to take a long-term approach to planning in resolving the issues identified. Research limitations/implications The research findings are limited to the UK, but similar findings would be likely in any other large Western country. Practical implications This paper confirms the need for a strong and coherent approach to the planning of geospatial data and systems for the establishment of a clear basis for the different parties to work together and the need to clearly separate the roles of the government in establishing frameworks and standards and the role of the private sector in developing applications and solutions. Social implications Society is increasingly dependent on the use of geospatial data, in improving living standards and dealing with social problems. The recommendations identified in this paper, if followed, will facilitate these improvements. Originality/value The value of this paper is the tight synthesis that it provides of a wide ranging and complex range of responses to the UK Government consultation and placing these responses in the wider context of the development of geospatial data.

Trade-off between value creation and value appropriation?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Cleo Schmitt Silveira ◽  
Marta Olivia Rovedder de Oliveira ◽  
Rodrigo Heldt ◽  
Fernando Bins Luce
Keyword(s):  
Value Creation ◽  
Generalized Method Of Moments ◽  
Impulse Response Functions ◽  
Value Appropriation ◽  
Trade Off ◽  
Content Type ◽  
Short And Long Term ◽  
Long Term Performance ◽  
Term Performance

PurposeManagers face the challenge of balancing resources needed to support value creation and value appropriation. In this study the authors analyze the impacts of innovation investments (i.e. value creation: VC) on advertising expenditures (i.e. value appropriation: VA), and vice versa, and verify the effects of these options on short- and long-term performance.Design/methodology/approachThe effects of these two activities on short- and long-term performance were analyzed observing a panel of 4,090 companies of Standard and Poor's Compustat database from a 40-year period. The authors adopted the panel vector autoregressive (VAR) approach, using the generalized method of moments (GMM).FindingsAlthough there is a trade-off between the strategic emphases on creating and appropriating value, there is also a synergy between them. The results from the impulse response functions support the argument for a virtuous business circle: companies that choose to intensify their investments in R&D tend to increase advertising expenditures, and vice versa.Practical implicationsManagers, rather than having to deal with a trade-off between allocating resources either on VC or VA activities, can capitalize on synergetic benefits resulting from the interaction among them.Originality/valueThe relationship between the VC and VA activities transcends the trade-off imposed by resource restrictions, since the interaction between them creates additional benefits afforded by the synergy of these activities.

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