Capital Market Imperfections and the Sensitivity of Investment to Stock Prices


Journal of Financial and Quantitative Analysis

juin 2009, vol. 44, pp.551-578

Départements : Finance, GREGHEC (CNRS)

Category Activation Model: A Spreading Activation Network Model of Subcategory Positioning When Categorization Uncertainty Is High

Z. Katona, J. LAJOS, M. Sarvary, A. Chattopadhyay

Journal of Consumer Research

juin 2009, vol. 36, n°1, pp.122-136

Départements : Marketing

sous affiliation INSEADWe develop a spreading activation model, which we call the category activation model, to predict where within a category structure consumers are likely to position a subcategory that they have created to accommodate a new hybrid product. Based on this model, we hypothesize that the probability that an individual will position a new category subordinate to a particular category / is proportional to the relative number of categories that are already subordinate to /. We report the results of two studies that support this hypothesis and provide evidence that accessibility is an underlying mechanism.

Causation, counterfactuals and competitive advantage

R. DURAND, E. Vaara

Strategic Management Journal

décembre 2009, vol. 30, n°12, pp.1245-1264

Départements : Stratégie et Politique d’Entreprise, GREGHEC (CNRS)

Mots clés : causation, counterfactuals, competitive advantage, epistemology

Causation needs more attention in strategy research. Confusion prevails around the statistical or causal nature of core relationships between resources, competitive advantage, and performance in the strategy corpus. Based on a discussion of alternative epistemological perspectives on causation, we define epistemological conditions that help to both dispel some of this confusion and to provide a basis for a counterfactual approach to causation. In particular, we argue that a counterfactual approach ' that builds on a systematic analysis of 'what-if' questions ' can advance our understanding of key causal mechanisms in strategy research. We offer two concrete methodologies ' counterfactual history and causal modeling ' as methodological solutions for causal strategy research. We show that counterfactual methods can open up new avenues for historical analysis, which has been very limited in our field, but maintain that such studies should take into account the inherent cognitive biases of retrospective constructions. We also illustrate that causal modeling provides opportunities for new conceptualizations and empirical testing of the relationships between resources and performance. In particular, resource properties can be regarded as mediating mechanisms in these causal relationships.

CEO Ambivalence and Responses to Strategic Issues


Organization Science

novembre-décembre 2009, vol. 20, n°6, pp.993-1010

Départements : Stratégie et Politique d’Entreprise, GREGHEC (CNRS)

Mots clés : Ambivalent evaluations, Organizational action, Behavioral theory of the firm

We examine how executives' ambivalent evaluation of a strategic issue relates to organizational actions taken in response. Ambivalence occurs when a decision maker evaluates an issue as simultaneously positive and negative, a state that has received scant attention in organizational research. We integrate findings in social psychology with the behavioral theory of the firm to suggest how executives' ambivalence prompts wider and more vigorous search for action responses and enables broader participation. Data from a two-wave survey of 104 German CEOs who evaluated the enlargement of the European Union in 2004 and reported their organizations' responses show that organizations whose CEOs evaluated the event as both positive and negative were more likely to take action when both evaluations were also strongly held. The reported actions were also of greater scope, novelty, and riskiness. The study contributes to research on organizational decision making by theorizing the role of top executives' ambivalence and by providing a first systematic test of how ambivalence affects responses to strategic issues

Choix individuel et décision fondée sur l'expérience : une étude expérimentale


Revue Economique

2009, vol. 60, n°4

Départements : GREGHEC (CNRS), Economie et Sciences de la décision

La plupart des résultats expérimentaux en théorie de la décision ont été obtenus dans un cadre où les options offertes aux individus sont parfaitement décrites en termes de conséquences mais également en termes de vraisemblance des événements. Ce type de décision peut être qualifié de décision fondée sur la description. Dans cet article, nous envisageons un contexte d'incertitude où la seule information disponible provient des réalisations observées de certains événements. Ce type de décision peut être qualifié de décision fondée sur l'expérience. Les études récentes sur la décision fondée sur l'expérience suggèrent que, dans ce cadre, les événements rares sont sous-pondérés par les individus et non surpondérés comme le suppose la grande majorité de la littérature. L'objectif de cet article expérimental est d'envisager dans quelle mesure les décisions fondées sur l'expérience diffèrent des décisions fondées sur la description.

Citizen Trust Development for E-Government Adoption and Usage: Insights from Young Adults in Singapore


Communications of the AIS

2009, vol. 25, n°31, pp.359-378

Départements : Information Systems and Operations Management, GREGHEC (CNRS)

Trust, which has been found to be a significant facilitator for the adoption and usage of new business paradigms like e-commerce, is relatively unexplored in the context of e-government. Using trust literature as the theoretical lens, we propose an e-government trust grid for the adoption and usage of e-government, comprising two dimensions: 'trust in government' and 'trust in Internet technology.' Based on their levels of trust in the two identified dimensions, nations can fall into one of four quadrants: Adversarial, Competitive, Cooperative, and Collaborative. Using focus groups and interviews with young adults in Singapore, we find that in recent years, Singapore is evolving from the cooperative (low trust in Internet technology and high trust in government) to the collaborative (high trust in Internet technology and high trust in government) quadrant. The study delineates a set of lessons learned from the Singapore experience for engendering citizen trust in e-government. These lessons for governments are: solicit feedback from citizens, demonstrate top leadership commitment and support, build institutional trust, cultivate IT literacy, and enact comprehensive and effective legal systems.

Commissions des impôts : un nouveau souffle ?

I. Roblot-Minssen, M. HAYAT

La Semaine Juridique

23 octobre 2009, n°943

Départements : Droit et fiscalité

Les modifications apportées au fonctionnement des commissions départementales des impôts et la création de la Commission nationale des impôts directs et des taxes sur le chiffre d'affaires n'ont sans doute pas encore eu tous les effets attendus en terme d'efficacité. Les explications en sont multiples.

Commonality in Liquidity: A Global Perspective

P. Brockman, DY. Chung, C. PERIGNON

Journal of Financial and Quantitative Analysis

août 2009, vol. 44, n°4, pp.851-882

Départements : Finance, GREGHEC (CNRS)

Mots clés : Liquidity, Commonality, Bid-Ask Spreads, Depths

We conduct a comprehensive study of commonality in liquidity using intraday spread and depth data from 47 stock exchanges. We find that firm-level changes in liquidity are significantly influenced by exchange-level changes across most of the world’s stock exchanges. Emerging Asian exchanges have exceptionally strong commonality, while those of Latin America exhibit little if any commonality. After documenting the pervasive role of commonality within individual exchanges, we examine commonality across exchanges. We find evidence of a distinct, global component in bid-ask spreads and depths. Local (exchange-level) sources of commonality represent roughly 39% of the firm’s total commonality in liquidity, while global sources contribute an additional 19%. We also investigate potential sources of exchange-level and global commonality. We show that commonality is driven by both domestic and U.S. macroeconomic announcements

Communication environnementale et réputation de l'organisation

D. Philippe, R. DURAND

Revue Française de Gestion

mai 2009, n°194, pp.45-63

Départements : Stratégie et Politique d’Entreprise, GREGHEC (CNRS)

Dans cet article, les auteurs avancent l'idée que les informations publiées par l'organisation sur son comportement environnemental constituent des signaux qui auront des impacts différenciés sur la réputation organisationnelle en fonction de leur nature, leur visibilité et leur cohérence. Les résultats indiquent que la conformité, la coprésence de signaux conformes et non conformes, et la visibilité du signal rejaillissent favorablement sur la réputation. Enfin, l'impact des signaux de conformité peu visibles dépend de la réputation antérieure de l'organisation, et ce à l'avantage des organisations bénéficiant d'une réputation plus élevée que la moyenne. Ces résultats permettent ainsi de contribuer à la fois à la littérature sur la communication environnementale et à celle sur le management de la réputation. *BUSINESS enterprises -- Environmental aspects*BUSINESS communication*COMMUNICATION in organizations*BUSINESS planning*INDUSTRIAL managementREPUTATION (Sociology)

Competing technology options and stakeholder interests for tracking freight railcars in Indian Railways


Journal of Information Technology

décembre 2009, vol. 24, n°4, pp.392-400

Départements : Information Systems and Operations Management, GREGHEC (CNRS)

Mots clés : RFID, GPS, Technology choice, Options, Railroad, India

This teaching case examines the implementation of a new technology for tracking individual freight railcars (wagons) by Indian Railways. After exploring multiple ‘technological options,’ the Indian Railways decided to undertake a pilot project based on time-tested Automatic Equipment Identification system using Radio Frequency Identification (RFID) technology. However, a number of other technological options are now available, which include EPC Gen2-based RFID systems, Global Positioning System solutions, Optical Character Recognition (OCR)-based systems, and manual hand-held data collection devices integrated with the current Freight Operations System. Each of these systems has its own advantages and limitations. Although Indian Railways officials are going ahead with the pilot project, they are uncertain as to the appropriate technological choice, given the wide range of available technology options. Further, they are faced with competing interests from different stakeholder groups (departments), who favor different technologies.