We study a two-stage model in which the information processed by consumers at the first stage (advance selling stage) is endogenously determined. In the model, the firm decides whether to introduce an advance selling program, chooses what attribute information to disclose, and determines an advance selling price and a retail price. Forward-looking consumers strategically choose, based on the disclosed

This study measures an individual's evaluation of the situation of COVID-19 and the result of such an evaluation on their business venturing decision. We have considered a three-step model of exposure–evaluation–action using partial least squares (PLS)-based structural equation modeling with a sample of 497 working-class members and small business owners. Unlike previous researches on “economic uncertainty

We examine whether owners' decisions to delegate corporate responsibilities to overconfident managers improve welfare. We develop a dynamic model with product differentiation, where firms compete in cost-reducing research and development (R&D) and output. Before firms compete, each owner makes a strategic decision whether to hire an overconfident manager. The results reveal that when R&D technology

We examine the cost implications of using corporate social responsibility (CSR) as a vehicle to build sustainable corporate ethical identity (CEI). CSR investment is recognized as one of the effective channels to promote a firm's CEI. However, excessive CSR could divert resources from other strategic projects, and shareholder may not favor such initiatives. We address this managerial dilemma with a

Based on the perspective of environmental protection incentives, this paper discusses the influence of air pollution control on industrial land leasing behavior theoretically and empirically. Air pollution control significantly inhibits the behavior of industrial land leasing, and the results are still robust after taking into account the robustness checks. Environmental protection incentives are key

The objective of this study is to examine the impact of economic openness on the efficiency of 25 emerging stock markets. By employing two measures of market efficiency, variance ratios with different time lags and short-run reversal returns, we find that in majority of the emerging markets in our sample, there is strong evidence to show that the market efficiency improves with market openness. This

In this paper, we consider whether third-party sellers on retail platforms are willing to disclose additional information to facilitate consumers' decision-making process. Interestingly, we find that even when the additional information is unfavorable to sellers, sellers may still have the incentive to disclose such information, since disclosing additional information can lower consumer uncertainty

The threat to enterprise information security is growing through advancing in information and communications technology; in order to enhance the efficiency of information security sharing platform, it is necessary to analyze the process about information security sharing between enterprises that take part in the sharing platform. In this paper, the evolutionary game theory (EGT) is applied to form

Considering the severe environmental climate in frontier Asia and the substantial role of the manufacturing industry for any economy, the present study investigates the mechanism of sustainable leadership-environmental performance based on the upper echelon theory (UET). Data were collected from 500 employees of large manufacturing firms listed under the Pakistan Stock Exchange, Pakistan. The response

We study the second-price auctions without and with default, where bidders are assumed to be risk averse and have uncertain valuations. We show that without default both the equilibrium bid and the seller's expected revenue decrease with risk aversion, and with default the equilibrium bid still decreases but the seller's expected revenue may decrease or increase as risk aversion increases. These results

This study investigates how retailers invest in-store service by considering the possible service failure that occurs in a store, and consumers' disappointment concerns it causes. Specifically, we establish an analytical framework to examine several competitive scenarios. The results reveal that, first, the presence of disappointment concerns always decreases the in-store service level in equilibrium

This paper studies the optimal team contract when the principal observes a noisy ranking of the efforts of the two team members. The objective of this paper is to understand whether it is optimal to use this competition-promoting noisy ranking in a team setting. It is shown that noisy ranking is always part of the optimal contract both in static and repeated settings. Even though noisy ranking promotes

The community is crucial in preventing COVID-19 pandemic. By employing 313 online surveys, it is found that the community safety support enhances risk perception, disruption recognition, and criticality recognition but it negatively impacts on novelty recognition. Additionally, risk communication could moderate the relationship between risk perception and health tourism intention. These findings reveal

The current research tests the effect of the psychological connection between sport fans and their favorite team. The results indicate that both the degree of identification and the perceived performance of the team affect the consumption behavior of the fans in the case of consumption of all goods and services. The degree of identification weakens the relationship between the team's performance and

We consider an independent agents setting, where only the highest or lowest achievement affects the principal. An example of highest achievement scenario is the output of parallel research and development (R&D) teams, when only the highest/best achievement matters. An example of lowest achievement could be an assembly system, where the number of product units that can be assembled equals the lowest

This paper investigates the impacts of four distinct types of political connection on financial reporting quality (FRQ) using a unique sample of Malaysian listed firms during 2002–2016. Using a battery of regression techniques, we show that political connections associate with lower FRQ only in firms connected to the government through government-linked investments and politically connected directors

This paper constructs an oligopoly model incorporating corporate social responsibility (β) and consumer sensitivity (e). We analyze the impacts of β and e on overcapacity, profits, consumer surplus, and social welfare under Cournot competition, Stackelberg competition, and Price Leadership competition. The results show that different competition modes produce different degrees of overcapacity. β has

This study examines the association between corporate social responsibility (CSR) and earnings management (EM) among manufacturing firms from a developing economy, Pakistan. To deal with the CSR measurement and data bias, a multimethod approach has applied to measure CSR (both qualitative and quantitative approaches). This research has also established CSR disclosure indices and CSR monetary spending

I study the role the agent's wealth plays in the principal–agent matching with moral hazard and limited liability. I consider wealth and talent as the agent's type and size as the firm's (principal's) type. Wealthier agents match with bigger firms, when talent is homogeneous among them, whereas for equally wealthy agents, more talented agents will match with bigger firms. I describe economic conditions

Product pricing is challenging for most companies due to its strategic nature and because numerous factors affect it. Recently, government support also started to gain high impact on business decisions especially in case of new products or new companies. The paper investigates how state aid, accumulated productivity knowledge, and the efficiency of learning determine product pricings dynamic nature

This paper uses the time-varying parameter–stochastic volatility–vector autoregression (TVP-SV-VAR) model to analyze the time-varying impact of housing price fluctuations on banking financial risk under different macrocontrol policy backgrounds. The results indicate that the impact of housing price fluctuations on banking financial risk at different time points has always been positive, showing a “hump-shaped”

Earnings management is a concerning issue for investors and regulators as it reduces the informativeness of financial reporting. Discretionary accruals are acknowledged to be proxies for earnings management. The study is conducted on firms in the US markets from 1975 to 2012, and the quantitative methodology is applied. Earnings management is revealed by an abnormal level of accruals relative to the

This study analyzes the effect of control enhancing mechanisms (CEMs) on a firm's innovation activities. In the light of conflicting theoretical prophecies on the role of ultimate control, we analyze the ownership concentration by examining the cash flow and control rights deviation which embolden ultimate owners to expropriate. Empirical evidence suggests that CEMs have a negative effect on core and

The study examines the role of a CEO in enhancing a firm's performance through the mediating effect of investment decisions in the emerging economy of Pakistan. Distinctly, fixed-effects panel regression method is employed to examine the said nexus of nonfinancial firms listed at the Pakistan Stock Exchange. It is empirically unearthed that CEO attributes, namely, age, tenure, ownership, financial

This research introduces endogenous codetermination in a Cournot duopoly. Unlike the received literature (Kraft, 1998), this work assumes that firms bargain with their own union bargaining units under codetermination if and only if they can choose an ad hoc bargaining effort by maximising profits (three-stage non-cooperative game). There are remarkable differences compared with the main findings of

We model open access as facilitating full-text acquisition, which, while often increasing cites, can reduce cites from readers who refrain from citing superficially after realizing the article is not worth citing. We test the theory with data on over 200,000 science articles binned by cites in the pre-study period. Consistent with theory, we find that opening access to an article on the journal's website

Using data on more than 100 emerging nations, this paper considers the impact of informal competition on the performance of formal sector firms. Unique aspects include comparing the effects on input performance (via total factor productivity [TFP]) with those on output performance (via sales per worker). Grounding the empirical analysis in the theory of vertical integration into research, results show

I analyze how information structure influences the profitability of advance selling in the presence of a competitor. Two firms produce different brands serving heterogeneous consumers. In advance, consumers know the utility they will get from their preferred brand but can be uninformed about its identity, how much they will dislike their nonpreferred brand, or both. The firms set prices in the main

No abstract is available for this article.

The coronavirus disease (COVID-19) outbreak has raised consumer concerns about health. By employing 306 online questionnaires, we identify COVID-19's effect on online organic agriculture product consumption and rural health tourism intention based on stimulus-organism-response theory and event system theory by incorporating risk information disclosure of COVID-19 as the moderating variable and health

The choice of an appropriate e-commerce strategy for the listing in price comparison platforms (eBay, Amazon, and price search engines) is crucial for the survival of online stores in B2C e-commerce business. We use a comprehensive dataset from the Austrian price search engine geizhals.at to identify successful e-commerce strategies with regard to these listing decisions. An e-commerce strategy is