scholarly journals Make or buy: the case of harvesting mechanization in coffee crop in Brazil

2018 ◽  
Vol 21 (7) ◽  
pp. 895-914 ◽  
Author(s):  
Gustavo Magalhães de Oliveira ◽  
Decio Zylbersztajn
Keyword(s):  
Vertical Integration ◽  
Path Dependence ◽  
Transaction Cost Economics ◽  
Service Providers ◽  
Probit Model ◽  
Field Investigation ◽  
Coffee Production ◽  
Managerial Implications ◽  
Outsourcing Contracts ◽  
Transaction Pattern

This paper investigates the make-or-buy choice on the harvesting mechanization transaction in Brazilian coffee production. It empirically tests this organization choice following the transaction attributes of asset specificity, uncertainty and path dependence. Using a two-stage probit model conditioned by credit availability in a sample of 105 coffee growers in Brazil, our study evidences that the governance decision follows the efficient alignment argument of the Transaction Cost Economics. The research contributes to the understanding of institutional arrangements in place at coffee grower perspective. An additional descriptive field investigation presented the existence of three different types of arrangement as a solution for coffee harvesting mechanization: total vertical integration (make), outsourcing contracts (buy) and tapped vertical integration. Those results demonstrate a shift from a spot transaction pattern to more sophisticated contractual tools. We present managerial implications by illustrating the determinants of each decision, either make or buy, in the harvesting mechanization transaction in coffee production which can provide support to efficient strategies elaboration by farmers or service providers.

From transaction costs to transaction value: Overcoming the frictional paradigm

2020 ◽  
pp. 51-81
Author(s):  
D. P. Frolov
Keyword(s):  
Transaction Costs ◽  
Transaction Cost ◽  
Path Dependence ◽  
Transaction Cost Economics ◽  
Cost Minimization ◽  
Low Cost ◽  
Coase Theorem ◽  
Transactional Analysis ◽  
Transaction Sector ◽  
Transaction Value

The transaction cost economics has accumulated a mass of dogmatic concepts and assertions that have acquired high stability under the influence of path dependence. These include the dogma about transaction costs as frictions, the dogma about the unproductiveness of transactions as a generator of losses, “Stigler—Coase” theorem and the logic of transaction cost minimization, and also the dogma about the priority of institutions providing low-cost transactions. The listed dogmas underlie the prevailing tradition of transactional analysis the frictional paradigm — which, in turn, is the foundation of neo-institutional theory. Therefore, the community of new institutionalists implicitly blocks attempts of a serious revision of this dogmatics. The purpose of the article is to substantiate a post-institutional (alternative to the dominant neo-institutional discourse) value-oriented perspective for the development of transactional studies based on rethinking and combining forgotten theoretical alternatives. Those are Commons’s theory of transactions, Wallis—North’s theory of transaction sector, theory of transaction benefits (T. Sandler, N. Komesar, T. Eggertsson) and Zajac—Olsen’s theory of transaction value. The article provides arguments and examples in favor of broader explanatory possibilities of value-oriented transactional analysis.

Too much is not always good: the inverted U-shaped link between green customer integration and opportunistic behavior

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Haiqing Shi ◽  
Taiwen Feng ◽  
Zhiyi Li
Keyword(s):  
Social Exchange ◽  
Social Exchange Theory ◽  
Transaction Cost Economics ◽  
Hierarchical Regression ◽  
Opportunistic Behavior ◽  
Moderating Effects ◽  
Customer Integration ◽  
Content Type ◽  
Relational Norms ◽  
Managerial Implications

PurposeThe purpose of this study is to explore the inverted U-shaped relationship between green customer integration (GCI) and opportunistic behavior, as well as the moderating effects of contractual control and relational norms.Design/methodology/approachThe authors conducted hierarchical regression analysis using two-waved data from 206 Chinese manufacturing firms to test hypotheses.FindingsThe authors found that GCI has an inverted U-shaped effect on opportunistic behavior. Furthermore, both contractual control and relational norms negatively moderate the inverted U-shaped relationship between GCI and opportunistic behavior.Originality/valueThis study uncovers an inverted U-shaped link between GCI and opportunistic behavior by combining transaction cost economics and social exchange theory. Furthermore, this study reveals contractual control and relational norms can be deemed as two boundary conditions affecting the inverted U-shaped GCI–opportunistic behavior relationship. This study also offers managerial implications for firms curbing opportunistic behavior that may result from GCI.

Deriving managerial implications through SERVQUAL gap elasticity in UAE banking

2018 ◽  
Vol 35 (4) ◽  
pp. 940-964 ◽  
Author(s):  
Mukesh Kumar ◽  
K.S. Sujit ◽  
Vincent Charles
Keyword(s):  
United Arab Emirates ◽  
Structural Equation ◽  
Service Providers ◽  
Traditional Approach ◽  
Equation Modeling ◽  
Relative Importance ◽  
Linear Regression Models ◽  
Content Type ◽  
Managerial Implications ◽  
The Right

Purpose The purpose of this paper is to propose the microeconomics concept of elasticity to estimate the SERVQUAL gap elasticity to derive important insights for service providers to develop the right strategies to bridge the overall gap in service. Design/methodology/approach The dimensions of SERVQUAL adopted from Parasuraman et al. (1988) and Kumar et al. (2009) are first verified for their unidimensionality using structural equation modeling and reliability in the context of United Arab Emirates banking industry. Furthermore, the technique of dominance analysis is used to derive the relative importance of dimensions for different groups of banks. Finally, the stepwise log-linear regression models are used to estimate the gap elasticity to measure the responsiveness of the overall SERVQUAL gap to a change in customers’ perception on different dimension. Findings The results reveal that the dimension which is prioritized as the most important dimension need not to be the one to be targeted under the resource constraint to react faster to the changes of customers’ banking behavior. Originality/value This is probably the first attempt to examine the service quality through gap elasticity. This method is especially useful when the traditional approach to measure relative importance of critical factors fails to clearly discriminate between two or more dimensions, which, in turn, may lead to failure in decision making to choose the right strategies to bridge the overall gap in the service.

A Complementary Resource Bundle as an Antecedent of E-Channel Success in Small Retail Service Providers

2011 ◽  
Vol 15 (1) ◽  
pp. 111-125 ◽  
Author(s):  
Yun Kyung Cho ◽  
Larry J. Menor
Keyword(s):  
Financial Performance ◽  
Structural Equation ◽  
Service Providers ◽  
Equation Modeling ◽  
Small Scale ◽  
Performance Impact ◽  
Service Channel ◽  
Channel One ◽  
Retail Service ◽  
Managerial Implications

This study proposes an e-service resource bundle (E-SRB) as an antecedent of electronic service channel (e-channel) success in small retail service providers. The E-SRB indicates a collection of three resources: e-market acuity, e-IT competence, and e-service agility. Given the interdependence of these three resources in delivering quality e-services, the authors hypothesize about their complementarity and its positive effect on performance. The results of this structural equation modeling using survey data show support for the proposed hypotheses, demonstrating that the E-SRB positively influences e-channel performance. The performance impact is not limited to perceived financial performance but extends to self-reported dollar-based sales and profits. These results have theoretical implications when it comes to linking e-service quality to financial performance. They also carry managerial implications for small-scale e-retailing, where limited resources can seriously impede the full use of the e-channel. One of these implications concerns what resources are necessary and how to allocate them in order to improve an e-service system. In the end, this study suggests that managers should understand the interrelationships that might exist among resources that collectively influence performance.

Aesthetic Work as Cultural Competence: Chasing Beauty in the Coproduction of Aesthetic Services

2021 ◽  
pp. 109467052110479
Author(s):  
Aphrodite Vlahos ◽  
Anna E. Hartman ◽  
Julie L. Ozanne
Keyword(s):  
Qualitative Study ◽  
Cultural Competence ◽  
Communities Of Practice ◽  
Service Providers ◽  
Social Resources ◽  
Unintended Consequences ◽  
Consumer Participation ◽  
Social Standards ◽  
Managerial Implications

Prior research stresses the importance of consumer participation in service coproduction. We examine the coproduction of aesthetic services, which are services in which beauty is a critical outcome. Consumers face challenges communicating their aesthetic tastes because of technical constraints that are understood by service providers but that consumers do not fully understand. To fill this gap, consumers do aesthetic work in communities of practice. Service providers also face challenges, as they must coproduce with consumers whose aesthetic tastes are formed amid shifting social standards. In this qualitative study, we highlight aesthetic work as a different type of consumer work that involves developing cultural competence. We identify four types of aesthetic coproduction in which cultural competence is distributed differently within the service dyad: aesthetic codesigning, aesthetic consenting, aesthetic yielding, and aesthetic reigning. We explore the managerial implications that arise as consumers increasingly use online social resources that shape and increase aesthetic expectations. We examine the unintended consequences of aesthetic service coproduction in which providers’ technical and aesthetic expertise is difficult for consumers to understand often leading to disappointing outcomes.

Incentives for Shared Services: Multiserver Queueing Systems with Priorities

2021 ◽  
Author(s):  
Hanlin Liu ◽  
Yimin Yu
Keyword(s):  
Cooperative Game ◽  
Cost Allocation ◽  
Service Providers ◽  
Queueing Systems ◽  
Service Level ◽  
Problem Definition ◽  
Shared Services ◽  
Scheduling Policy ◽  
Shared Service ◽  
Managerial Implications

Problem definition: We study shared service whereby multiple independent service providers collaborate by pooling their resources into a shared service center (SSC). The SSC deploys an optimal priority scheduling policy for their customers collectively by accounting for their individual waiting costs and service-level requirements. We model the SSC as a multiclass [Formula: see text] queueing system subject to service-level constraints. Academic/practical relevance: Shared services are increasingly popular among firms for saving operational costs and improving service quality. One key issue in fostering collaboration is the allocation of costs among different firms. Methodology: To incentivize collaboration, we investigate cost allocation rules for the SSC by applying concepts from cooperative game theory. Results: To empower our analysis, we show that a cooperative game with polymatroid optimization can be analyzed via simple auxiliary games. By exploiting the polymatroidal structures of the multiclass queueing systems, we show when the games possess a core allocation. We explore the extent to which our results remain valid for some general cases. Managerial implications: We provide operational insights and guidelines on how to allocate costs for the SSC under the multiserver queueing context with priorities.

Value Co-Creation in Cloud Services

2013 ◽  
pp. 74-91 ◽  
Author(s):  
Ammar Rashid ◽  
William Yu Chung Wang ◽  
Felix B. Tan
Keyword(s):  
Service Providers ◽  
Practical Experience ◽  
Cloud Services ◽  
Future Research ◽  
Research Directions ◽  
Technical Aspects ◽  
Creation Process ◽  
Managerial Implications ◽  
Future Research Directions

In recent years, there has been considerable interest in cloud services in academic literature. Most research in this area has focused on the technical aspects of designing and implementing cloud services, with few studies focusing on understanding the value of cloud services and the processes by which consumer and service providers engage each other to co-create these services. This chapter explains the co-creation processes, and, the role of consumer in the value co-creation process of cloud services. It incorporates extant marketing and information systems literature, industry reports, and practical experience reflections to highlight the significance of cloud services. The drivers of co-creation are explored with the description of co-creation processes and the underlying factors involved in value co-creation of cloud services. The chapter concludes by outlining the opportunities associated with the development of cloud services, noting future research directions and discussing academic and managerial implications.

Classes of Collaborative Networks

2010 ◽  
pp. 364-370
Author(s):  
Luis Camarinha-Matos ◽  
Hamideh Afsarmanesh
Keyword(s):  
Computer Network ◽  
Transaction Cost Economics ◽  
Service Providers ◽  
Virtual Organization ◽  
Virtual Enterprise ◽  
Manufacturing Firms ◽  
Information And Communications Technology ◽  
Communications Technology ◽  
Goods And Services ◽  
Geographically Distributed

A collaborative network (CN) is an alliance constituted by a variety of entities (e.g., organizations and people) that are largely autonomous, geographically distributed, and heterogeneous in terms of their operating environment, culture, social capital, and goals but that collaborate to better achieve common or compatible goals, and whose interactions are supported by computer network. Some authors see the roots of this paradigm in early works of economists like Oliver Williamson in the 1970s. Along his vast work, Williamson established the study of transaction cost economics (Williamson, 1975) and defended that manufacturing firms should make much greater use of externally purchased goods and services, rather than those internally supplied. These ideas had a more evident impact with the booming of the “outsourcing” wave in the 1980s. Outsourcing became very attractive when managers had to reduce the organization overheads and eliminate the internal inefficient services, the so called lean organization, as it transfers the problem to the outside, namely to other efficient service providers. In this line of developments, the idea of virtual enterprise/virtual organization was not “invented” by a single researcher but rather it is a concept that has matured through a long evolution process. Some of the early references first introducing the terms like virtual company, virtual enterprise, or virtual corporation go back to the early 1990s, including the work of Jan Hopland, Nagel and Dove, and Davidow and Malone (Davidow & Malone, 1992; Introna, More, & Cushman, 1999; Walton & Whicker, 1996). Since then, a large but disjoint body of literature has been produced mainly in two communities: the information and communications technology (ICT) community and the management community.

Vertical Integration in Content Provisioning With Cloud Migration

2021 ◽  
pp. 1031-1044
Author(s):  
Branka Mikavica ◽  
Aleksandra Kostic-Ljubisavljevic
Keyword(s):  
Vertical Integration ◽  
Service Providers ◽  
Content Delivery ◽  
Continuous Growth ◽  
Content Delivery Networks ◽  
Resource Investment ◽  
Cloud Migration ◽  
High Bandwidth ◽  
Vertical Interconnection ◽  
Delivery Networks

The continuous growth of internet traffic is significantly pushed by emerging high bandwidth demanding contents. All participants in the content provisioning process including content providers, service providers, Content Delivery Networks (CDN) and customers are influenced by bandwidth requirements. Appropriate bandwidth demand estimation is of great importance for addressing resource investment. Providers in content provisioning process need to consider cloud migration in order to minimize costs. The vertical interconnection between involved providers is necessary. Larger undertakings often perform vertical integration, thus ensuring a higher control over different segments of the process. The vertically integrated content provider's incentives for cloud migration can induce significant changes in interconnection contracts in the content provisioning process. In this chapter different methods of vertical interconnection charging among vertically integrated providers are analyzed and compared.

scholarly journals The Consequences of Participating in the Sharing Economy: A Transparency-Based Sharing Framework

2020 ◽  
Vol 47 (1) ◽  
pp. 317-343 ◽  
Author(s):  
Nils C. Köbis ◽  
Ivan Soraperra ◽  
Shaul Shalvi
Keyword(s):  
Global Economy ◽  
Service Providers ◽  
Empirical Work ◽  
Sharing Economy ◽  
Third Parties ◽  
Future Research ◽  
Psychological Consequences ◽  
Negative Consequences ◽  
For Profit ◽  
Managerial Implications

The sharing economy is estimated to add hundreds of billions of dollars to the global economy and is rapidly growing. However, trust-based commercial sharing—the participation in for-profit peer-to-peer sharing-economy activity—has negative as well as positive consequences for both the interacting parties and uninvolved third parties. To share responsibly, one needs to be aware of the various consequences of sharing. We provide a comprehensive, preregistered, systematic literature review of the consequences of trust-based commercial sharing, identifying 93 empirical papers spanning regions, sectors, and scientific disciplines. Via in-depth coding of the empirical work, we provide an authoritative overview of the economic, social, and psychological consequences of trust-based commercial sharing for involved parties, including service providers, users, and third parties. Based on the aggregate insights, we identify the common denominators for the positive and negative consequences. Whereas a well-functioning infrastructure of payment, insurance, and communication enables the positive consequences, ambiguity about rules, roles, and regulations causes non-negligible negative consequences. To overcome these negative consequences and promote more responsible forms of sharing, we propose the transparency-based sharing framework. Based on the framework, we outline an agenda for future research and discuss emerging managerial implications that arise when trying to increase transparency without jeopardizing the potential of trust-based commercial sharing.

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