bluuebunny/crossref_metadata_2025 huggingface dataset:
Service logic revisited: who creates value? And who co‐creates?
Authors: Grönroos Christian
Published: June 2008

Purpose

In the discussion on service‐dominant logic and its consequences for value creation and marketing the inner meaning of the value‐in‐use notion and the nature of service marketing have not been considered thoroughly. The purpose of this paper is to analyze the meaning of a service logic as a logic for consumption and provision, respectively, and explore the consequences for value creation and marketing.

Design/methodology/approach

Being a research‐based paper, the topic is approached by theoretical analysis and conceptual development.

Findings

Discussing the differences between value‐in‐exchange and value‐in‐use, the paper concludes that value‐in‐exchange in essence concerns resources used as a value foundation which are aimed at facilitating customers' fulfilment of value‐in‐use. When accepting value‐in‐use as a foundational value creation concept customers are the value creators. Adopting a service logic makes it possible for firms to get involved with their customers' value‐generating processes, and the market offering is expanded to including firm‐customer interactions. In this way, the supplier can become a co‐creator of value with its customers. Drawing on the analysis, ten concluding service logic propositions are put forward.

Research limitations/implications

The analysis provides a foundation for further development of a service logic for customers and suppliers, respectively, (“service logic” is preferred over the normally used “service‐dominant logic”) as well for further analysis of the marketing consequences of adopting such a business and marketing logic.

Practical implications

Marketing practitioners will find new ways of understanding customers' value creation and of developing marketing strategies with an aim to engage suppliers with their customers' consumption processes in order to enhance customer satisfaction.

Originality/value

For a scholarly audience, the paper provides a more truly service‐centric understanding of value creation and of its marketing consequences. For a practitioner audience, it offers service‐based means of further developing marketing practices.
Customer centricity: reality or a wild goose chase?
Authors: Gummesson Evert
Published: June 2008

Purpose

With Sweden and Europe and the present and the future as vantage points, the purpose of this paper is to challenge the viability of customer centricity (or customer orientation) and its axiom, the marketing concept, as the basis for marketing and profitability.

Design/methodology/approach

The paper is part of a project in Sweden to stimulate a dialogue on the importance and role of marketing. As such the paper draws on the author's experience as professor, practicing marketer, consumer and citizen and expresses a personal and unorthodox synthesis of ongoing developments in marketing.

Findings

Although customer orientation has been on the agenda for at least half a century it is not whole‐heartedly implemented. The reason may be that it is unrealistic as a general guideline for marketing. First, a single stakeholder can only in special instances be treated as the nucleus of marketing and business; a tradeoff between several stakeholders – “balanced centricity” – stands out as more realistic. Second, the gullibility of human nature and the customer's limited knowledge and time open up for the deployment of diverse tricks in marketing practice. The current evolution of marketing theory and the advent of better methodology to handle complexity could be a step forward once the marketing discipline embraces it fully. Gaps between what marketing textbooks prescribe and the real world confronting marketers need to be narrowed.

Practical implications

Just focusing on the customer and customer satisfaction is not possible in practice; businesses have to balance the interests of many stakeholders, thus balanced centricity.

Originality/value

Customer centricity is hardly ever challenged in the research literature and textbooks and its strategic value is often not understood and accepted in practice.
The Business Genome Project and the advancement of business practice
Authors: Wilkinson Ian F. , Crossfield Roy
Published: June 2008

Purpose

Business innovation comes from combining, recombining and modifying existing ideas, knowledge and know‐how in new ways. The purpose of this paper is to describe an approach to accelerating the business innovation process by priming the combining and recombining process, called the Business Genome Project (BGP).

Design/methodology/approach

Business innovation and evolution is compared to cultural and biological evolution and the Human Genome Project (HGP) is used as a template for developing the business genome concept, which involves identifying and mapping the building blocks of extant businesses.

Findings

The paper describes a way of priming the innovation pump by aiding the identification and sharing of key business ideas, knowledge and know‐how across firms, organisations, industries, technologies and nations. Recent developments in internet‐based technologies, like Wikipedia and the Encyclopedia of Life, suggest the project is feasible.

Practical implications

The BGP can provide a fundamental, new understanding of the commercial world: its businesses, their know‐how, their context and their cultures. It also provides a basis for on‐going collaboration, communication, research and development, amongst businesses (and their stakeholders), which would accelerate the innovation process.

Originality/value

The BGP is an original idea inspired by the HGP that promises to have a similar impact on business practice, policy and research.
Mesmerizing marketing: a compact cultural history
Authors: Brown Stephen
Published: June 2008

Purpose

The purpose of this paper is to examine the widely‐held belief that marketing holds customers in thrall and persuades them to buy things they otherwise would not.

Design/methodology/approach

Rather than adopt a scientific approach to the mesmeric marketing phenomenon, it embraces an artistic perspective, focusing on three crucial cultural “moments” in the emergence of the great manipulator mindset.

Findings

Whereas innumerable scientific experiments show that subliminal advertising does not work, except in certain circumstances, the cultural approach demonstrates that subliminals are, in fact, enormously successful. Regardless of scientific evidence to the contrary, most consumers believe that subliminal advertising not only works but is an established marketing practice.

Practical implications

The paper suggests that marketers should place less reliance on the scientific paradigm. Marketing science has its place – a very important place – but not everything can be captured in a simultaneous equation or linear regression model. Cultural components analysis is just as significant as principal components analysis.

Originality/value

Received wisdom concerning subliminal advertising is challenged and creatively reinterpreted from a supra‐science standpoint.
Floods in Jakarta: when the extreme reveals daily structural constraints and mismanagement
Authors: Texier Pauline
Published: June 2008

Purpose

The purpose of this paper is to analyze the root causes of disaster vulnerability in Jakarta, to highlight the strategies and implications of official policies, and to consider alternatives for vulnerability mitigation. The February 2007 floods which struck Jakarta emphasized the extreme vulnerability of informal poor communities and the inefficiency of the disaster management policy set up by the Indonesian government.

Design/methodology/approach

Detailed field investigations were undertaken before, during and after the February 2007 flood event in several informal districts of Jakarta to collect secondary data and conduct interviews with the population and some stakeholders of the disaster management scene.

Findings

Human factors are dominant in explaining the magnitude of the 2007 flooding episode. Urbanization is partially responsible for the extent of the flooding by waterproofing the soils. Yet floods do not strike the inhabitants of formal and informal settlements in the same way. People from the poor illegal areas are the most affected. Their behaviour and coping strategies during the crisis are not due to a low perception of risk, but rather to some daily and non‐hazard‐related constraints which are not taken into account by the government.

Practical implications

To prevent increasing vulnerability among these communities, it is essential to refocus disaster management strategies on a daily pattern and to integrate them within a global development framework, to de‐marginalize them in terms of access to resources (public services, economic values), and to favoir empowerment.

Originality/value

It is imperative to focus on poverty reduction and to develop economic projects aimed at treating the causes of vulnerability.
Living with increasing floods: insights from a rural Philippine community
Authors: Gaillard Jean‐Christophe , Pangilinan Michael R.M. , Rom Cadag Jake , Le Masson Virginie
Published: June 2008

Purpose

The purpose of this paper is to consider people's ways of coping with increasing flooding in a Philippine rural community.

Design/methodology/approach

The paper relies on extensive field work conducted between July and August 2006. It cross‐checks data from different sources including interviews with key informants, a questionnaire‐based survey, informal group discussions, passive and stationary observations and photographic documentation. Field work was completed by the collection of secondary written documents.

Findings

The paper emphasizes that the capacity of flood‐affected people to cope with increasing hazards is rooted in their ability to adjust their everyday lifestyles. Flood‐affected people seldom rely on extraordinary measures to face nature's extremes. People's ability to adjust their daily life is deeply dependent on the strength of their livelihoods and social network. The kind and variety of livelihoods turned out to be a critical factor in securing the financial means to purchase enough food to satisfy daily needs. Social networking was also found to be critical in providing alternative support in times of crisis.

Practical implications

This paper fosters the use of community‐based disaster risk reduction programmes coupled with development objectives to enhance people's capacity to cope with natural hazards. It further underlines the need to empower people to make them less vulnerable in the face of natural hazards through fair access to resources.

Originality/value

This article contributes to the understanding of how people cope with natural hazards in the Philippines and provides an array of possible remedial strategies for community‐based disaster risk reduction.
Poverty alleviation or poverty traps? Microcredits and vulnerability in Bangladesh
Authors: Gehlich‐Shillabeer Mareen
Published: June 2008

Purpose

It is imperative that microcredit organisations (MCOs) have a high level of awareness of the environmental context in which their clients pursue their livelihoods. This is particularly true for regions that experience regular environmental and economic shocks. However, to date this level of analysis has been largely absent from impact studies. The purpose of this paper is to overcome this lack of contextual analysis by using Bangladesh as a pertinent example.

Design/methodology/approach

Drawing on empirical data and a wide range of literature from a variety of disciplines, including geography, development studies, economics and anthropology, the paper aims to provide an in‐depth analysis of the dual impact of flooding and microcredits in Bangladesh.

Findings

Over the last few years the use of preventive mitigation and coping strategies has declined in Bangladesh. The most widely cited reason for this is financial constraints as a result of declining rural incomes despite a large presence of MCOs in the country. In order to overcome cash shortages many people have resorted to borrowing from a variety of sources, which has become effectively the single most important coping strategy employed. In conjunction with lowered debt capacity and restrictive terms under which microcredits are disbursed, higher indebtedness, creating a potential for poverty traps, is the outcome.

Originality/value

For MCOs to be able to claim that their work alleviates poverty they have to demonstrate sensitivity towards the needs of their clients. Yet, the added risks imposed by recurring environmental stressors have been markedly absent from their studies. This paper proposes that the environmental context not only is important but also draws attention to some of the negative consequences that it can have on livelihood sustainability.
Supply chain management and suppliers' HRM practice
Authors: Othman Rozhan , Abdul Ghani Rohayu
Published: June 2008

Purpose

The purpose of the paper is to examine the impact of supply chain management (SCM) on the HRM practice of suppliers. The paper argues that the performance requirement in an SCM system requires that suppliers develop specific HRM practices.

Design/methodology/approach

A structured interview was used to collect the data from seven companies.

Findings

This paper found evidence to suggest that impact of SCM on the HRM practice of local suppliers is related to the extent of linkage the customers develop with their suppliers.

Research limitations/implications

This paper relied on an examination of seven companies. This limits the generalizability of its findings.

Practical implications

The findings of this paper suggest that a successful supplier‐customer relationship is dependent on the suppliers developing specific HRM practices that will enable them to fulfill customer's requirements.

Originality/value

This paper is probably the first attempt to examine how SCM affects the HRM practice of suppliers.
Trust and knowledge sharing in green supply chains
Authors: Cheng Jao‐Hong , Yeh Chung‐Hsing , Tu Chia‐Wen
Published: June 2008

Purpose

The paper aims to examine how trust interacts with factors affecting interorganizational knowledge sharing in green supply chains, where cooperation and competition coexist.

Design/methodology/approach

A new research model is developed which comprises nine constructs and 13 research hypotheses, with trust as a mediating construct. The nine constructs are measured by well‐supported measures in the literature. The hypotheses are tested on data collected from 288 major green manufacturing firms in Taiwan, using structural equation modeling.

Findings

The paper finds that trust is the pivot of the factors influencing interorganizational knowledge sharing. The more a factor contributes to trust positively (such as participation and communication) or negatively (such as opportunistic behavior), the more the factor contributes to knowledge sharing correspondingly. The factors with no significant influence on trust (such as shared values and learning capacity) have no or less influence on knowledge sharing.

Research limitations/implications

The empirical study is conducted on green supply chains, with data collected from Taiwan's green manufacturing firms. With the research model developed, cross‐industrial studies on various forms of supply chains can be conducted to investigate whether differences between supply chains exist about the role that trust plays in interorganizational knowledge sharing.

Practical implications

The findings of the paper provide useful insights into how supply chain members should reinforce their collaborative behaviors and activities that would enhance the trust‐based relationships, in order to achieve the competitive advantage of knowledge sharing for the supply chain as a whole.

Originality/value

The new research model developed allows the relationships between trust and other influencing factors on interorganizational knowledge sharing to be explored. The model reflects the coexistence of the cooperation and competition relationships between supply chain members, which is not dealt with in previous studies.
Linking order winning and external supply chain integration strategies
Authors: Quesada Gioconda , Rachamadugu Ram , Gonzalez Marvin , Luis Martinez Juan
Published: June 2008

Purpose

The purpose of this paper is to present empirical results of an analysis of the strategic alignment between order winners selection and external supply chain integration strategies.

Design/methodology/approach

The research instrument is an international survey from IMSS II. It was applied in 23 countries. ANOVA was used for statistical analyses.

Findings

The findings show that firms choosing to use price as an order winner do not show any significant difference in the extent of external supply chain integration. On the other hand, firms that use delivery, customer service, quality and/or flexibility as order winners present differences in the extent to which they integrate their external supply chains.

Research limitations/implications

The results should be treated with caution as any empirical study due to generalizability concerns. The data do not necessarily imply causal relationships, which could be an interesting topic to explore in further research.

Practical implications

The study highlights the importance of supply chain integration as a competitive competence, meriting management consideration and resources.

Originality/value

The paper shows empirical evidence with a large sample size that some associations exist between external supply chain integration and order winning strategies.
New configurations in supply chains: the case of a condominium in Brazil's automotive industry
Authors: Pires Sílvio R.I. , Sacomano Neto Mário
Published: June 2008

Purpose

The paper seeks to ascertain some of the implications of the supply chain configuration for important elements of the chain's management at an automaker using the industrial condominium configuration.

Design/methodology/approach

In an attempt to identify the main motivating factors for the adoption of an industrial condominium configuration, a basic case study framework was built to guide and define the key content of the research. The framework considers simplification, cost reduction, process integration, and shared infrastructure as the four main interdependent factors that impel and drive an automaker's implementation of a condominium. It also considers product and process management, logistics management, performance assessment and relationship management as business processes significantly affected by implementation of the condominium. Using an intentional sampling approach, a case study was made of an automaker that uses the industrial condominium configuration, and of four of its representative suppliers.

Findings

The study confirmed that the supply chain's configuration is indeed a determining element in the way the automaker's relationship with its suppliers is conducted and substantiated the importance of the logistics management process within the context of the condominium.

Research limitations/implications

The research reported involved only one case study.

Practical implications

The paper proposes and discusses four interdependent factors that motivate and drive an automaker's implementation of a contemporary industrial condominium in the auto industry.

Originality/value

The study was conducted in a supply chain with an automaker using an industrial condominium and four suppliers situated in different positions, and contributes mainly to the understanding of new forms of supply chain configuration.
An evaluation of risk factors impacting construction cash flow forecast
Authors: Odeyinka Henry A. , Lowe John , Kaka Ammar
Published: June 2008

Purpose

The purpose of this paper is to identify and assess the extent of occurrence and impact of risk factors responsible for the variation between the forecast and actual construction cash flow.

Design/methodology/approach

The study was conducted through a structured questionnaire administered to UK contracting organizations. Adopting a project‐by‐project approach, respondents were asked to provide opinions on the extent of occurrence of some identified risk factors and their impacts on cash flow forecast. Respondents were split into three groups of small, medium and large contracting firms based on their annual turnover so as to be able to investigate statistical differences of opinions between the groups. Statistical analyses were carried out using mean response analysis and univariate analysis of variance (ANOVA) in order to determine significant risk factors and also to investigate differences of opinions between respondents' groupings.

Findings

The research identified 11 significant risk factors out of 26 research risk variables. These significant risk variables can be grouped under three generic factors of “changes in the design or specification”, “project complexity” and “natural inhibition”. The significant risk variables are those ranking high in “extent of occurrence” and with critical impacts on cash flow forecast. The research further showed that there is no statistically significant difference in the opinions of different categories of contractors regarding the extent of risk occurrence and impacts on cash flow forecast.

Research limitations/implications

The research showed that the order of extent of risk occurrence is different from the order of impact in case of occurrence. This suggests that further work needs to be done to measure the impact more objectively on a ratio scale so as to provide an avenue for a more quantitative measure of risk impacts on cash flow forecast. This objective is the next focus of this study.

Practical implications

Based on the finding, it is evident that the knowledge of the identified significant risk factors provides invaluable information to the construction contractor as regards what risk variables to focus attention on in cash flow forecasting.

Originality/value

The paper makes an original contribution of exploring the extent of risk occurrence and its impact on construction cash flow forecast from an objective point of view rather that the usual subjective point of view. The epistemic nature of the investigation makes the finding of practical value to the construction contractor in cash flow forecasting.
Investigating the overhead costs in construction projects in Palestine
Authors: Enshassi Adnan , Rashid Abdul Aziz Abdul , El Karriri Ala'a
Published: June 2008

Purpose

This paper aims to investigate the overhead costs of construction contractors at the Gaza Strip, Palestine, specifically the level of contractors' awareness of the concept of overhead cost, their perception of main components of overhead cost, percentage of overhead to total project cost, method used to manage and control overhead cost, and reasons for increasing overhead cost.

Design/methodology/approach

In the research 40 contractors classified under the Palestinian Contractors Union (PCU) and United Nation Relief Works Agency (UNRWA) list were surveyed.

Findings

The findings indicate that the majority of contractors are aware of overhead costs in construction projects. The staff wages are the highest overhead costs component. The currency exchange rates, inflation, increase in financial costs among others lead to increase in overhead costs. The findings illustrate that the overhead costs are on average 11.1 percent of the total project cost. Controlling and managing overhead costs are considered the main tools to improve the companies' financial situation.

Practical implications

The trend in most companies is to adopt techniques to manage and control their cost components. Using activity based costing (ABCs) is one of the main techniques which the companies should take into consideration. The contractors' knowledge and awareness of the research finding will increase their chances of winning bids within an acceptable profit margin. Applied training courses are recommended for contractors to improve their awareness regarding the importance of overhead costs.

Originality/value

This study will extend contractors' awareness and knowledge through guidance on how to gear their financial resources carefully, and how to bid correctly in order to remain competitive in the market place.
A risk‐based option pricing strategy for property valuation: an empirical study in Hong Kong
Authors: Hui Eddie C.M. , Ng Ivan M.H.
Published: June 2008

Purpose

The purpose of this paper is to apply a risk‐based option‐pricing framework for property developers to come up with the critical investment timings, based on their tolerance of risk.

Design/methodology/approach

The viability of a project is subject to the potential benefit and market conditions. Option embedded in the project is considered a perpetual call option that is an opportunity to establish a new building on a vacant land. With the aid of scenario testing, whether the immediate implementation is appropriate or not can be examined, and which key factor(s) affects the profit most can be assessed.

Findings

The results reveal that the chosen study case, Chelsea Court project, is highly favorable from a financial standpoint.

Research limitations/implications

Since the Samuelson‐McKean model specializes on non‐expired options that in general fit to the evaluation of options of a land development project with no maturity, it may be limited in evaluating projects with multi‐phases and a maturity date.

Practical implications

This valuation framework allows flexibility to assess the plausible investment timing under various suspicious circumstances about the property market.

Originality/value

The valuation framework presented in this paper provides advice for prospective property developers on whether to invest now or at a later stage to yield the best return.
Assessing the reporting of stakeholder reciprocity in the Australian banking industry
Authors: Cuganesan Suresh , Khan Haider
Published: June 2008

Purpose

Companies are increasing the amount of their voluntary disclosures to inform stakeholders about organisational performance. Despite criticism that these are simply “public relations” exercises, there has been little formal evaluation of stakeholder reporting, especially in Australia. In addition, the important aspect of stakeholder reciprocity, where not only stakeholder satisfaction but also their contribution to the organisation is evaluated and reported, has not been examined. This study aims to examine both of these issues.

Design/methodology/approach

The study was conducted using the non‐financial performance indicators of Australia's top five banks, as available in both annual reports and web sites, to examine the nature of stakeholder reporting and the extent to which stakeholder reciprocity is disclosed.

Findings

The results of the study indicate that there is neither consistency in the reporting of key performance indicators, nor is there consistency in reporting across both stakeholder satisfaction and stakeholder contribution. Stakeholder satisfaction dominates and little effort has been directed to evaluate and report on stakeholder contribution. The study also indicates that, other than shareholders, the top five Australian banks have identified customers and employees as their primary key stakeholders.

Originality/value

Despite widespread acknowledgement of the importance of stakeholder dialogue for the enhancement of stakeholder relationships, stakeholder reciprocity and the extent to which it is disclosed is an area that has been insufficiently examined. Thus, the originality and value of the study lie in its examination of corporate disclosures of stakeholder reciprocity.
Valuing human resources: perceptions and practices in UK organisations
Authors: Verma Shraddha , Dewe Philip
Published: June 2008

Purpose

This research aims to explore perceptions and practices in the area of valuing human resources. It focuses on the importance of valuing human resources, current measurement practices, barriers to measurement and the progress expected in this field.

Design/methodology/approach

This research uses a survey questionnaire design to identify and describe perceptions and practices in valuing human resources in three types of UK organizations: traditional companies; knowledge intensive companies; and local authorities.

Findings

While the majority of respondents regarded the measurement of human resources as important to their organization, little or moderate progress was expected in measurement practices over the next few years. The main reasons for this included a lack of organizational support, uncertainties as to what should be reported, lack of precision in current measurement practices and sensitivities around what should be reported.

Research limitations/implications

A limitation was in identifying who in the organization should receive such a questionnaire in order to improve the response rate.

Practical implications

Organizations need to be made more aware of the benefits and strategic importance of measuring human resources particularly in an era of resource‐based strategies – competing through people.

Originality/value

The paper highlights that by reporting the data descriptively it can be used as a context for considering what issues need to be resolved and what barriers need to be overcome to take measurement beyond just recognizing its importance.
Financial implications of accounting for human resources using a liability model
Authors: Theeke Herman , Mitchell John B.
Published: June 2008

Purpose

The purpose of this paper is to: discuss how reporting under a human resource liability paradigm fits into the traditional accounting framework of contingent liabilities; examine the financial effects of such reporting on market valuation and internal planning; and explore measurement of human resource liabilities.

Design/methodology/approach

From reviews of financial effects of human resource liability reporting the paper logically extends those results to support the proposed paradigm.

Findings

Accountants already recognize some liabilities resulting from future expenses for past labor. A fuller treatment of expected costs from human resource polices would provide external and internal financial analyst with different and useful information. Recognizing these future expenses will depress asset turnover and return on asset calculations, while increasing estimates of risk such as higher debt ratio, lower cash flow coverage and higher degrees of operating leverage.

Originality/value

The paper provides support for the feasibility and need to adopt a human resource liability paradigm for valuing, reporting and managing human resources.
Macroeconomics of structural adjustment and public finances in developing countries
Authors: Nayyar Deepak
Published: June 2008

Purpose

This essay aims to analyze the process of structural adjustment in developing countries. Its focus is on macroeconomic stabilization in the short‐term, but the analysis is situated in a wider context to consider how it relates to the implications of structural reform in the medium‐term and the prospects for economic growth in the long‐term.

Design/methodology/approach

The paper begins by setting out the contours of the orthodox, the Keynesian and the heterodox perspectives on stabilization and adjustment to highlight the differences. Such different perspectives on macroeconomic theory and policy, it suggests, are attributable to differences in objectives, assumptions and beliefs. These are made explicit.

Findings

The paper argues that the relationship between stabilization and growth is characterized by inter‐connections rather than trade‐offs and suggests that outcomes depend on modes of adjustment. It also provides a macroeconomic analysis of government deficits and public finances, which are critical in the process of adjustment. This highlights the macroeconomic significance of government deficits and points to the fallacies of deficit fetishism based on accounting frameworks. The intersection of economics and politics in the design and implementation of macroeconomic policies is also explored.

Practical implications

Going beyond a critique of orthodox stabilization programmes, it shows that there are alternatives in macro‐management for economies in crisis, for which it is necessary to shift the focus from the financial to the real economy, from the short‐term to the long‐term, and from equilibrium to development.

Originality/value

The paper develops a heterodox perspective on the macroeconomics of structural adjustment and public finances. And, it sets out an alternative framework which straddles time horizons, to understand the restructuring of economies over time.
The synchronization of business cycles in CARICOM
Authors: Augustine Carlton
Published: June 2008

Purpose

This paper aims to assess the feasibility of the proposed Caribbean Monetary Union (CMU) by examining the synchronization of business cycles within CARICOM. According to the literature on optimum currencies, the synchronization of business cycles is a key requirement for the formation of a monetary union.

Design/methodology/approach

In order to extract the business cycles we use the Hodrick‐Prescott (HP) filter and the band pass (BP) filter. For the purposes of measuring synchronization two concepts are used: the simple correlation coefficient and the Concordance statistic of Pagan and Harding. First, the feasibility of enlarging the Eastern Caribbean Currency Union is examined and then consideration is given to the formation of a new monetary union with Trinidad and Tobago as the center.

Findings

The paper finds the degree of business cycle synchronization to be weak. This casts doubt on the feasibility of the proposed CMU.

Research limitations/implications

This paper has placed emphasis on the synchronization of business cycles. While the synchronization of business cycles is necessary, is not sufficient for a successful monetary union. Other factors such as political cohesion may be just as important.

Originality/value

This paper's main contribution is that it employs a more rigorous framework and a more comprehensive data set than previous studies.
The SPDC and sustainable development in the Niger Delta
Authors: Samuel Ibaba Ibaba
Published: June 2008

Purpose

This paper aims to examine the place of the Shell Petroleum Development Company (SPDC) in the sustainable development of the Niger Delta.

Design/methodology/approach

To achieve this objective, the paper takes an overview of the oil industry and the Niger Delta. The paper further evaluates the sustainable policy of the SPDC, and highlights the strengths and weaknesses.

Findings

The paper establishes that oil industry activities have undermined the sustainable development of the region. Although the SPDC has created wealth for Nigeria, the wealth does not benefit the Niger Delta people due to the culture of politics which promotes individual and parochial interests as against public good. SPDC's investments in the oil producing communities suffer a number of set backs which include faults in implementation strategy and structural deformities in the development process of the country. Also of note is the environment unfriendly operation of the SPDC that pollutes the environment and induces unsustainable exploitation of natural resources and collapse of local economies.

Practical implications

The paper suggests political reforms and changes in oil legislations that will direct the oil wealth to the benefit of the people.

Originality/value

The paper demonstrates that SPDC's sustainable development strategy in the Niger Delta has gaps that constrain efficiency. This understanding can guide the company to reposition its sustainable development programmes and thus become more beneficial to the oil producing communities.
The impacts of the stock price and country risk on the exchange rate in Singapore
Authors: Hsing Yu
Published: June 2008

Purpose

The purpose of this paper is to examine movements of the Singapore dollar exchange rate against the US dollar.

Design/methodology/approach

An extended open macroeconomic model with the IS, LM, and AS functions and comparative static analysis are employed and applied. The Newey‐West method is employed to estimate consistent estimates for the standard error and covariance when the forms of both autocorrelation and heteroskedasticity are unknown.

Findings

The real exchange rate in Singapore is negatively associated with real M1, country risk, the real US treasury bill rate, and a binary variable for the period since the Asian financial crisis, and positively influenced by the real stock price, world output, and the amount of foreign exchange reserves. Real government deficit spending is statistically insignificant.

Research limitations/implications

Other exchange rate models may be considered and compared.

Practical implications

The Reserve Bank of Singapore may use the outcomes of this paper as a reference in monitoring exchange rate movements. Among others, changes in country risk, stock values, foreign exchange, the world interest rate, and world output are expected to influence the exchange rate.

Originality/value

Several important variables such as country risk, the Asian financial crisis, stock values, and the amount of foreign exchange are included to find their impacts on the exchange rate.
Developing countries and fertility: role of agricultural technology
Authors: Self Sharmistha
Published: June 2008

Purpose

The purpose of this paper is to examine the impact of agricultural technology on fertility rates in developing countries.

Design/methodology/approach

It is hypothesized here that agricultural technology transforms production techniques and labor demand patterns which affect fertility rates. The hypothesis is tested empirically using ordinary least squares as well as instrumental variables estimation techniques.

Findings

The results show that agricultural technology has a direct and indirect negative impact on fertility. Once technology is divided into mechanical and biochemical technology, one finds stronger evidence of mechanical technology being the driving force behind reducing fertility.

Research limitations/implications

This paper's main limitation is that it does not take regional, sub‐regional and intra‐country variations into account. Future research should focus on these areas.

Practical implications

The policy implication of these results would be for governments of developing countries to concentrate on modernizing the existing agricultural sector while absorbing more women in the formal labor force.

Originality/value

This paper adds meaningfully to research in an area that has received limited attention thus far. The results of this paper will be of value to researchers in economic development and policy makers in developing countries.
Breaking up mobile: implications for firm strategy
Authors: Zander Martin , Anderson Jamie
Published: June 2008

Purpose

This paper seeks to support and extend other scholars’ examinations of the evolution of technological modularity, vertical specialization and the concepts of the drivers of change in the basis of competition through an analysis of the evolution of the mobile phone industry.

Design/methodology/approach

A two‐year research project was undertaken and in‐depth interviews took place with managers at companies that were responsible for developing the value chain approaches of their firms. Companies were identified from the existing body of literature, observation and personal contact. Additionally, data were collected from developing case studies.

Findings

The paper finds that the mobile phone industry value chain is in the process of deconstructing towards more horizontally stratified structures for some device segments. But, unlike the PC industry, an industry which many analysts suggest provides a precedent for likely evolution of the mobile phone value chain, this trend will not be uniform or consistent across different product types. This will require mobile phone manufacturers to adapt their organizational structures and value chain approaches accordingly, and to rethink the basis for future competitive advantage.

Research limitations/implications

As the research is based on interviews with a limited number of firms within the extended mobile handset industry value chain, it cannot be suggested that the impact of trends identified has equal impact for all firms.

Practical implications

Mobile handset vendors should learn from the PC industry and make sure that their future strategies are not made simply on the basis of cost optimization or speed to market.

Originality/value

The paper fulfils an identified need to understand how industry structures are evolving in one of the most dynamic sectors in the world.
Switching costs and consumer behaviour: implications for telecommunications regulation
Authors: Xavier Patrick , Ypsilanti Dimitri
Published: June 2008

Purpose

This paper aims to examine the extent to which telecommunications consumers decide to switch and why.

Design/methodology/approach

Results from surveys of consumer switching behaviour in a number of countries are examined to ascertain reasons for actual consumer decision making regarding switching.

Findings

Implications for telecommunications regulation are considered. In essence, regulation should require that communications service providers ensure that switching is fast, cheap, predictable and reliable and that consumers are able to switch with minimum difficulty and delay.

Practical implications

The ability and willingness to switch from one to another supplier of telecommunications and internet services are an important aspect in manifesting consumer empowerment. In turn, empowered consumers are important for sustainable competition. If consumers are inert and passive, suppliers will not be under pressure to deliver the potential benefits of competition. And it is empowered assertive consumers, able and willing to switch, who will exert pressure on suppliers to deliver these benefits. Thus, in making well‐informed choices between suppliers, consumers not only benefit from competition but also initiate and sustain it.

Originality/value

Insights from behavioural economics are incorporated in the analysis.
Privacy, trust, and justice considerations for location‐based mobile telecommunication services
Authors: Chen Jengchung V. , Ross William , Huang Shaoyu F.
Published: June 2008

Purpose

The purpose of this paper is to show how the development of location‐based services (such as those using global positioning satellite (GPS) systems) has accompanied the growth of mobile telecommunication, providing mobile telephone users with a variety of functions. The paper aims to considers the benefits and concerns that these location‐based services present to consumers.

Design/methodology/approach

The paper identifies issues based on the academic literature, relevant theory, and current mobile telecommunication developments.

Findings

While location‐based services offer many benefits to consumers, issues pertaining to privacy, trust and justice are significant areas of concern.

Research limitations/implications

Testable research propositions pertaining to consumer behaviour are offered to guide future research.

Practical implications

Socially‐responsible telecommunication firms should consider the issues that are raised here. They should adopt policies to safeguard data, build trust, and offer consumers fair policies as the firms offer location‐based services.

Originality/value

While much has been written about GPS systems and wireless telecommunications, almost no empirical research has been conducted and little theoretical guidance has been offered to prospective researchers. The paper reviews the literature from a variety of disciplines and identifies important theoretical areas to guide future research on consumer behaviour. The paper identifies important issues for researchers and managers.
A case study of DIY ICT
Authors: Uesugi Shiro
Published: June 2008

Purpose

This paper seeks to present a case study of a rural Do It Yourself (DIY) Information and Communication Technology (ICT) project in a Japanese depopulated rural community.

Design/methodology/approach

The paper consists of two parts. First, the technology that enables the project is presented together with policy considerations about why such a technology had to be deployed. An analysis of the results from surveys and interviews is then presented.

Findings

In order to achieve sustainable development of a rural ICT project, which is the key to enabling economic development, it is essential to involve residents' participation. A test‐bed DIY project was constructed in a Japanese rural community in 2004, and surveys were conducted in 2004 and 2006 in order to identify residents' needs and awareness of ICT, determine the information literacy level, and evaluate the attitude toward the acceptance of ICT. Also, individual interviews were conducted to look at the qualitative side of residents' perceptions. In general, the residents were found to be indifferent as far as the statistical significance is concerned. However, insights from individual interviews disclosed some useful factors about how to tackle the digital divide in modern society, including the usefulness of DIY in ICT.

Originality/value

The findings, based on analysis of a unique DIY ICT project, will be of value to operators and regulators.
Metanationality and telecommunications incumbency
Authors: Turner Colin
Published: June 2008

Purpose

This paper sets out to recognise the complexity of the internationalisation process of telecommunications operators via an examination of the metanational forces influencing strategy of European incumbents. Thus as part of a broad strategy of strategic defence incumbents may seek to tap into metanational forces.

Design/methodology/approach

The utilisation of metanational forces for the purposes of strategic defence was examined via a dual case analysis. These were chosen to reflect two different strategic scenarios. The first case (Belgacom) has a purely defensive strategy, while the second (Telefonica) has dual‐faceted strategy based on defence alongside a more offensive international strategy.

Findings

Across both of these cases, there was evidence of emergent metanational strategies. These incumbents accessed the global resource pool to retrieve or acquire skills, capabilities or resources that would aid the competitive positioning of incumbents within their home market. It was found that the strong market position aided their ability to gain access to “valuable” resources. This raises evident policy issues.

Research limitations/implications

A dual case analysis only offers a limited perspective on the influence of metanationality. However, the trend does highlight the increasingly complex nature of international strategy in telecommunications.

Originality/value

The value of the paper lies in understanding that the competitive advantage of incumbent operators can lie beyond their own national borders. This raises issues over the nature of strategic defence for incumbents in an increasingly internationalised marketplace.