The paradigm of international marketing in the digital age

As globalization and the internationalization of economies develop, traditional marketing strategies are gradually fading into the background. The digital age is coming, which is forming a new paradigm of international marketing. At the same time, as a result of the COVID–19 pandemic, the processes of transition to digitalization have accelerated. The new paradigm of international marketing is manifested in the intensification of competition, frequent changes in the product range, the need to expand partnerships and the reduction of asymmetry of information. In order to attract and retain customers in the era of advanced digital technologies, successful companies are forced to develop new strategies. New technologies such as Big Data and artificial intelligence are becoming an alternative. Consumer preferences are also changing regarding the form of advertising. Online advertising becomes preferable. With the aim of to identify the main features of the new marketing paradigm, preliminary qualitative secondary and primary studies were conducted. To study secondary information, a search for scientific literature on the research topic was carried out in the databases SCOPUS, Science Direct and Springer, which allowed us to understand the main trends in the development of international marketing in the era of digitalization. To conduct primary research, we compiled a questionnaire, consisted of open-ended questions. The survey was conducted using a Google Form. The questionnaire contained four sections on the following topics: (I) Manifestations of a new marketing paradigm; (II) Marketing strategies in a digital environment; (III) Big data VS Marketing research; and (IV) Online Advertising. A sample of convenience, based on 12 respondents – marketing specialists, allowed formulating marketing strategies in the context of the digitalization of the world.

Delayed Evacuation after a Disaster Because of Irrational Prediction of the Future Cumulative Precipitation Time Series under Asymmetry of Information

This study investigated biased prediction of cumulative precipitation, using a variety of patterns of histories of cumulative precipitation, to explore how such biased prediction could delay evacuation or evacuation orders. The irrationality in predicting the future of cumulative precipitation was examined to obtain insights into the causes of delayed evacuation or evacuation orders using a simulated prediction of future cumulative precipitation based on the cumulative precipitation history. Anchoring and adjustment, or availability bias stemming from asymmetry of information, was observed in the prediction of cumulative precipitation, and found to delay evacuation or evacuation orders.

Irrationality of Attitudes toward Safety under Complexity and Uncertainty Leading to Asymmetry of Information

This study investigated how complexity and uncertainty, the probability of accidents, and the probability of financial trouble affected individuals’ recognition of validity of irrational risk-seeking decisions. As a result of conducting a multiple regression analysis on the validation score for irrational risk-seeking alternative obtained by a questionnaire survey, we found that the validity score for an irrational risk-seeking alternative was higher when both complexity and uncertainty were high than when both complexity and uncertainty were low, which means that high complexity and high uncertainty in the situation of decision making more readily leads to an irrational risk-seeking behavior that might trigger a major accident. Beyond complexity and uncertainty, the damage of major accident α, the decrease of the probability of major accidents and the increase of the probability of financial trouble (economic factor) were also found to promote the choice of irrational risk-seeking alternatives. Some implications for safety management under high complexity and uncertainty are discussed.

Decision support in complex organizational systems using neural network technologies

In complex organizational systems in which there is asymmetry of information, an important element of effective work is equal access to objective statistics. Because of the benefits to one of the parties in such systems, key elements of effective management and making the right decisions, it is necessary to develop independent approaches. The developed approach makes it possible to assess risks in various situations and with various interactions within the system, and also allows you to recreate the missing information for decision-making from open statistical databases. The key element of the developed approach is the use of self-organizing Kohonen neural networks, which make it possible to classify objects based on the reconstructed information. The importance of the correct grouping of system objects makes it possible to recommend a management decision with greater accuracy. The developed approach allows you to reduce uncertainty (risk), and, as a result, reduce losses and maximize profits.

PUBLIC GOVERNANCE DAN KORUPSI: BUKTI PENGUJIAN DARI INDONESIA MENGGUNAKAN PERSPEKTIF TEORI KEAGENAN

This article explores public governance impact on the corruption’s probability in Indonesian local government practices. The research employs data of Indonesian local governments in 2012. Data were analyzed using logistic regression. The study results found that good public governance has a negative effect on corruptio’s probability. The results of this research conclude that the greater public governance index, the less the local government’s engagement in corruption. The results are rugged when area type is added as control variable. Area type do not affect the corruption’s probability in Indonesian local governments. This study found good public governance decreases the asymmetry of information between agents and principals, so that the opportunity to commit corruption are reduced. Improvement of public governance can be done by implementing e-Government to supervise the implementation of government activities and public services in local government, Indonesia.

Analysis of information asymmetry in the instructions for medical use on the example of Enterol

There may be variations in the texts of instructions for medical use of medicines (hereinafter – the instructions) containing the same active pharmaceutical ingredient, and registered in the pharmaceutical markets of different countries. First of all this applies to medicines manufactured in one country and distributed to other countries. Therefore, there are questions related to incorrect use of medicines due to the existing asymmetry of information. This problem is especially relevant in connection with tourist activity and labour migration. The aim of the study was to identify discrepancies in the instructions of Enterol, registered in different countries. The materials of the study were the registers of medicines in France, Ukraine, Belarus, Bulgaria, Poland, the Czech Republic and Russia, as well as the texts of instructions of Enterol (Biocodex, France), registered in the above countries. Methods of generalization, systematization, as well as contextual and comparative analysis were used. It was found that the original (French) instruction has two indications for the use of Enterol (treatment of acute diarrhea in children under 12 years old; prevention of antibiotic-associated diarrhea caused by Clostridium difficile or recurrence of diarrhea caused by Clostridium difficile), while Belarusian and Russian instructions have one indication. Polish instruction contains 5 indications, while Bulgarian and Czech – 8. The largest number of indications for the use of Enterol (11) is given in Ukrainian instruction. A contradictory information is in the sections «Therapeutic Indications», «Posology and method of administration», «Contraindications», «Undesirable effects», «Special warnings and precautions for use», including «Pregnancy and lactation». In the text of one instruction there is no information available in the text of another, and none of the instructions is identical to the instructions of Enterol, registered in France (country of manufacture). Actually, these information discrepancies, as well as the patient's perception of information, can lead to improper use of medicines and, as a consequence, drug-related problems. Thus, to minimize the asymmetry of information, the applicant during the registration of the drug must submit a notarized translation of the manufacturer's instructions.

Intraorganization conflicts of interest in hospitals adapting to a changing ecosystem

PurposeHealth systems function in an ecosystem that is turbulent and competitive because of demographic, economic, political, technological and lifestyle changes and sociopolitical influences, requiring hospitals to adopt comprehensive business strategies. Failure to do so may result in duplication, waste and deficits. This original article uses the prism of agency theory to examine differences in approach at two levels of hospital management and the consequent problems in the incorporation of necessary changes. Agency theory posits an inherent conflict of interest in organizations, including health organizations: the managers (agents) always aim to maximize their profit or personal interest instead of that of the owner or organization (principal), potentially causing difficulty in managing the organization. The aim is to generate recommendations for policymakers.Design/methodology/approachThe study is based on 30 semi-structured, in-depth interviews with key figures in the health system and on two levels of hospital management: senior managers and heads of selected departments. The analysis used a categorical qualitative methodology.FindingsThe main findings are five key themes: views of business behavior, asymmetry of interests, asymmetry of information, transparency and cooperation between various levels of management and ambivalence toward business in hospitals. The two levels of management are clearly divided in terms of interests, information and activity, leading to difficulty in cooperation, efficiency and achievement of organizational goals.Originality/valueUsing agency theory, this study provides a systemic and organizational view of hospitals' management and environmental adaptation. Understanding the processes and increasing cooperation at various managerial levels can help make the system more efficient and ensure its survival in a dynamic market.

AN EMPIRICAL STUDY ON IMPACT OF CREDIT RATING ON CREDIT RISK OF BANKS: A LITERATURE REVIEW

In the financial markets, for investors, lenders, and issuers, credit rating agencies (CRAs) have a critical part in reducing the asymmetry of information between various parties. Credit ratings allow us to recognize the credit impending of a region's individuals. The paper clearly describes the role played in the establishment of a nation by credit rating agencies; there is a rise in new start-ups as all investors are rated favorably. Banks are helping to recognize the investment position of India. The main aim of the study is to analyze the research gap on the impact of credit rating on credit risk with a review of the literature. The study briefly explains the research gap which helps to analyze the factors which are responsible for credit risk. The study analyzes the definitions of basic terms, the origin of credit rating agencies’ objectives, and the scope of the present study and the literature review by assessing the credit rating users and examined the consequence of credit rating agencies on the Indian financial markets. Based on the nationwide and worldwide literature it is found that if the credit history of the investors is good then their credit score would be better and positive. It would also be incredibly convenient to collect loans. Finally, it is concluded that there is a positive impact of Credit Rating on Credit Risk of banking sectors in India.

Asymmetric Risk Spillover of the International Crude Oil Market in the Perspective of Crude Oil Dual Attributes

The heterogeneity of investor sentiment plays a key role in causing the asymmetry of information transmission patterns and transmission intensity between markets. This paper analyzes the asymmetric risk spillover between the international crude oil market and other markets, including commodity market and financial market, using monthly data from June 2006 to October 2020. The risk from the international crude oil market is separated into upside and downside risks. The empirical results suggest that, first, from the perspective of static spillover, the risk spillover between the international oil market and commodity market or financial market enhances significantly in response to rising return; second, from the perspective of dynamic spillover, the asymmetric risk spillover of international crude oil market manifests the key roles played by important events happening in the crude oil market and alternating attributes of crude oil. Some policy suggestions are proposed in light of these empirical results.