Trading activity on social trading platforms – a behavioral approach*

PurposeSocial trading platforms are considered to be amongst the major innovations in online trading. The purpose of this article is to analyze the trading activity of traders on social trading networks by taking a behavioral approach. Additionally, the authors investigate the factors that influence the irrational part of trading activity derived from the key characteristics of these platforms, i.e. those dealing with social interaction.Design/methodology/approachThe investigation utilizes an extensive set of trading data from two major platforms in Germany to study the trading behavior. The authors apply a fixed effects two-stage least squares (2SLS) approach to quantify the relationship between trading activity and performance and define overconfidence as the part of trading activity that is irrationally motivated and results in negative returns.FindingsThe results provide evidence for the negative relationship between overconfidence and return on social trading platforms. The authors find that the number of followers and some platform-specific features significantly affect the trading behavior of the traders.Originality/valueThe authors contribute to the existing literature by exploring how the novel social interaction characteristics of online trading impact trading activity by giving rise to a new dimension of overconfidence. In addition, the authors evidence that the different frameworks of the platforms motivate heterogenous behavioral responses by the signalers. Finally, the authors refine existing studies by applying a distinct methodology for modeling overconfidence.

Overview of Leadership Approaches

Leadership is the backbone of organizational success, and it is evident from the fact that leadership has been researched for more than 50 years. In literature, leadership has been discussed based on different schools of thoughts. This chapter articulates different leadership approaches in order to provide a clear understanding of leadership development with the passage of time. It describes trait approach, behavioral approach, and contingency approach to leadership. Furthermore, it also explains full range leadership model and some emerging leadership styles in the organizational context.

LABOR MIGRATION: CURRENT AND PERSPECTIVE CHALLENGES FOR UKRAINE

The main purpose of this study was to analyze the labor resources migration phenomenon from Ukraine in the context of theoretical basics of it generalization and against the background of its evolution and world trends, to identify its specific features, real consequences and possible perspectives regarding the regulation possibility taking into account the specifics of the nature and structure of this phenomenon in this country. The research methodology is formed on the basis of the classic economic theory of migration in combination with the behavioral approach and the interpretation of human as homo oeconomicus. Methods were used in the research process: dialectical, historical and semantic analysis, method of theoretical generalization and scientific abstraction, induction and deduction, monographic, graphic, statistical and analytical. The main findings are related to the detection of the tendency to increase the scale of labor migration from Ukraine even under conditions of pandemic, the identification of threats and harms connected with this phenomenon. Substantiated recommendations for eliminating the threats and harms of international labor migration from Ukraine may have practical applications. The originality of the article is determined by its timeliness and by diversified set of used sources of information, what together forms its value as well.

Muzakki's Commitment Improvement Model in Distributing ZIS Funds Through Prosocial Values Behavioral Approach

<p><em>The presence of Islamic insurance is an alternative, in order to avoid conventional insurance which is considered to have elements of usury, maytsir, gharar and zholim. In the era of economic disruption, Islamic insurance players and customers are waiting for the direction of strategic policies from the government as regulator and facilitator. The formulation of a sharia insurance development strategy policy begins with analyzing the obstacles to developing sharia insurance in Indonesia. These constraints mean that the number of sharia insurance customers in Indonesia is not maximal. These obstacles include the lack of socialization and promotion, inadequate use of technology, lack of product and service development, lack of knowledge, and the existence of conventional insurance. Based on these constraints, strategies for developing sharia insurance in Indonesia that can be carried out include maximizing socialization and promotion, maximizing the use of technology, developing products and services, increasing literacy, and market penetration. This research is aimed at analyzing the constraints and development strategies of Islamic insurance using a mathematical method, namely the Analytic Network Process (ANP) method, so that policy recommendations are supported by scientific studies. Furthermore, in this study the ANP method was adopted in a survey design involving a number of respondents. The heterogeneity of the assessments of a number of respondents is expected to provide a more rational alternative. The results of the analysis using the ANP method are priority constraints in order to get more attention and priority strategies that can be used to formulate policies to make them more focused.</em></p>

How can biases affect entrepreneurial decision making? toward a behavioral approach to unicorns

How can cognitive biases affect the birth and evolution of entrepreneurial ventures? In Entrepreneurial Decision Making (EDM), this lively research question remains largely unaddressed when the world of Unicorns, as a per se entrepreneurial species, is considered. Thus, through this conceptual article, we aim to contribute toward knowledge creation in this context. We start by proposing a conceptual framework of Unicorns’ EDM based on a behavioral approach. Through three propositions, this novel framework advances how the birth, transition, and consolidation of a Unicorn may be explained by the sequentially intertwined occurrence of biases, from which establishment and legitimization eventually emerge. We complement the framework with examples from the social media industry and then discuss its main implications for theory and practice.

Oxytocin enhances neural approach towards social and non-social stimuli of high personal relevance

Oxytocin (OT) plays a pivotal role in a variety of complex social behaviors by modulating approach-avoidance motivational tendencies, but recently, its social specificity has been challenged. Here, a randomized, double-blind, placebo-controlled study was conducted with forty young adult men, investigating the effect of a single-dose of OT (24 IU) on behavioral and neural approach-avoidance. Frontal alpha asymmetry, indexing neurophysiological approach-avoidance, was obtained from electroencephalographic recordings while participants were presented with a series of pictures, individually rated in terms of personal relevance (i.e., high versus low positive/negative emotional evocativeness) and categorized as social or non-social. Additionally, participants could prolong (approach) or shorten (avoid) the viewing-time of each picture, providing a measure of behavioral approach-avoidance. Intranasal OT enhanced both behavioral and neural approach (increased viewing-time), particularly towards negatively valenced pictures of both social and non-social nature, thus challenging the notion that OT’s effects are specific to social stimuli. Neurally, OT specifically amplified approach-related motivational salience of stimuli that were self-rated to have high personal relevance, but irrespective of their social nature or rated affective valence (positive/negative). Together, these findings provide support to the General Approach-Avoidance Hypothesis of OT, suggesting a role of OT in amplifying the motivational salience of environmental stimuli with high (personal) relevance, but irrespective of their social/non-social nature.Clinical Trial Number: The study design was registered at ClinicalTrials.gov (NCT04443647; 23/06/2020; https://clinicaltrials.gov/ct2/show/NCT04443647).