Why it matters

Physicians everywhere are facing changes in the ways they are paid, and in their relationships with their patients. In the United States, an increasing number of physicians are being confronted with the choice to join their practice to a physician service organization (PSO) or some other capitated financial structure in which they collectively put themselves at financial risk for the health of their patients. In all these decisions, the biggest handicap is fear. Some physicians let fear keep them from changing. Others let fear drive them too quickly into change that turns out to be unwise. The fear of change-the fear of the unknown, of things that, deep down, under the professional veneer, we wonder whether we can handle-is quite real. It is immediate and nearly constant. How can you drive out the fear? There is no simple answer. The complex answer starts with daily practice, with taking the practice deeper, taking it wall-to-wall. Here are some ideas for dealing with the fear of change, from owning up to your true feelings, to acknowledging failure, to breaking the change down into its smallest components.     

Psychic distance and ownership in acquisitions: Direction matters

Recent research has begun to explore the impact of country-of-origin and direction on internationalization decisions in response to controversy over the use of symmetrical and absolute values of distance. In this paper we contribute to this stream of research by studying the moderating influence of direction on the distance–ownership relationship as it relates to cross-border acquisitions. We ground our arguments in transaction cost economics and supplement this lens using institutional theory to contextualize the home-host country relationship through moderating effects. Through our study of 25,440 full and partial acquisitions (9577 MNEs, 25 countries, 15 years), we demonstrate that the distance–ownership relationship is moderated by direction. We further find that acquisition ownership decisions made by emerging country MNEs differ significantly from those made by developed country MNEs. Our findings demonstrate that future research on the impact of distance should consider the differences between MNEs from emerging versus developed economies, in addition to host country characteristics.     

Dilution of ownership in multinational concerns

This paper examines the issue of ownership dilution of foreign operations on a voluntary or involuntary basis. Involving some 628 cases of foreign ownership dilution by British multinationals in various parts of the world, the paper highlights two main aspects: (1) the degree of dilution, and (2) the geographical spread.A framework of corporate policies on ownership dilution and foreign investment policies of host nations involved has been developed. Twenty-one cases of changes in national and corporate policies are monitored for the entire operational period of these investments. Since some of the statistics obtained during the study are still being consolidated, the findings are not wholly conclusive.     

Corporate governance,family ownership and performance

Using a sample of 56 Italian IPOs issued between 1999 and 2005, several hypotheses are tested on the interplay between corporate governance, family ownership and performance. Specifically tested is which approach among all agency, stewardship, and contingency theory is most appropriate for Italian family firms. Findings suggest that board independence increases with family disinvestment at IPO, presence of venture capitalists, establishment of large and active boards, and existence of appointment and compensation committees. At the same time, results indicate that the presence of independent directors affects performance positively but with little statistical significance, while family involvement and the presence of execution committees negatively impact share performance.     

Institutional distance and ownership in foreign acquisitions

In this study, we take a balanced view on cross-border distances and argue that there are both costs and benefits when multinational companies (MNCs) operate in distant environments. When conducting cross border acquisitions (CBAs), MNCs attempt to minimize the costs while also maximizing the benefits offered by institutionally distant host countries. MNCs do so by sharing the equity ownership with the local partners who help MNCs navigate the local environment and derive location-specific advantages. We also propose that the effect of institutional distance is directional such that firms are more likely to opt for shared ownership when the target is located in a country with less developed institutions than in a country with more developed institutions. Further, firm-specific and context-specific factors impact the costs and benefits of operating in distant countries and condition the relationship between institutional distance and the likelihood of a firm opting for shared ownership in CBAs. We test our arguments on a sample of 37,588 CBAs involving 52 home and 54 host countries over 17 years (1996–2013).     

Transfer of ownership: antidote to closure

In the 1990s, many hospitals will continue to be confronted with financial, regulatory, and medical staff issues that threaten their survival. Inadequate reimbursement, HCFA certification problems, and aging medical staffs are just a few examples of the many difficult issues health care institutions face today and that have contributed to the phenomenal number of failing hospitals. Failing hospitals must consider all their options, such as turnaround process, modification of service mix, change to a specialty hospital, transfer to a new owner, or closure. Selection of the most appropriate option hinges on the hospital's goals and mission, its need in the community, and its owner's and sponsor's desire or ability to continue in the health care business. This article will discuss the transfer of ownership option.     

Effects of corporate equity ownership on firm value

We investigate the valuation effects related to corporate minority block purchases for a European sample of 113 purchases over 1993–2006. We argue that corporate block ownership, as opposed to institutional or individual block ownership, has several unique characteristics and can create significant short- and long-term wealth for target and acquiring firm shareholders. Because target firms that exhibit signs of inefficient monitoring or agency problems benefit the most, we conclude that corporate block ownerships can align incentives and mitigate information problems in corporate business relationships.     

Business ethics,company value and ownership structure

This paper examines the effect of ethical performance on the value of a company and the attractiveness of its stocks for major owners; institutional investors and insiders. Using the Ethisphere^® Institute Ethics Quotient to distinguish between ethical and unethical companies, results show that good ethical performance enhanced company value for a sample of 240 large US companies. Furthermore, strong evidence is found that institutional investors are attracted to ethical companies, but that insiders do not show any investment preferences based on the ethical performance of a company.

     

Why We Don't Reinforce

No abstract available for this article.     

Why activity-based costing works

With advancing technology and the quest for delineating the true cost of a procedure or diagnostic test, cost accounting techniques are being re-explored in the health care setting. Activity-based costing (ABC), adopted from other businesses, is one such example that has applications in the health industry. The purpose of this paper is to enhance the understanding of health care costs among physician providers, emphasizing a new approach--activity-based costing.     

Why middle managers quit

The current trends in organizational downsizing may be causing the involuntary loss of high-performing, middle-level managers. This article reports on the perceived causes of turnover and how managers at differing levels of the organization have dramatically differing perceptions. Lower- and middle-level managers place greatest importance on lack of control and input on the job, while upper-lever managers see dissatisfaction with rewards and interpersonal conflicts as the critical causes of middle manager turnover.     

Insider ownership and corporate performance: evidence from Germany

In this paper we address the question whether insider ownership affects corporate performance. Evidence from studies dealing with Anglo-Saxon countries is rather inconclusive, especially because results seem to be significantly affected by endogeneity. Economically, this is due to the fact that in these countries insider ownership seems to be mainly driven by management’s compensation contracts. We argue that Germany is different in this regard, as insider ownership is often related to family control, stock-based compensation is less widespread, and the market for corporate control used to be less developed. Starting from this presumption, our data allows an unbiased observation as to whether insider ownership affects firm performance. Using a pooled data set of 648 firm observations for the years 2003 and 1998, we find evidence for a positive and significant relationship between corporate performance—as measured by stock price performance, market-to-book ratio and return on assets—and insider ownership. This relationship seems to be rather robust, even if we account for potential endogeneity by applying a 2SLS regression approach. Furthermore, the results hold for a sub-sample of firms that did not have a stock-based compensation program in place. Moreover, we find outside block ownership as well as more concentrated insider ownership to have a positive impact on corporate performance. Overall, the results indicate that ownership structure might be an important variable explaining the long term value creation in the corporate sector.

Foundation ownership and shareholder value: an event study

Review of Managerial Science - Some of the largest listed firms in Western and Northern Europe are partly owned by foundations. So far, little research exists about the shareholder value effects of...     

Delivery and funding are provincial matters in Canada

The following article is one of a series that deal with the provision of health care services around the world. Other countries in the series include Germany, Italy, Japan, Mexico, the Netherlands, and the United States. Countries scheduled for coverage in the series include Austria, France, Singapore, Spain, and the United Kingdom. The countries are described using a grid of characteristics so that comparisons may be made more easily. All of the analyses, along with further comparative data, will be gathered into a freestanding book to be published later in the year. Dr. Mendoza serves as editor for the project.     

基金持股与交易行为对股价联动的影响分析

将中国文化下员工“私有”的顾客信任区分为人情信任和交易信任,探讨这两种信任向企业“公有”信任的转移过程,分析员工与企业间行为相似和精神相似在转移过程中的调节效用.以保险业的顾客为研究对象,采用问卷调查法收回有效问卷205份,运用结构方程模型对员工“私有”信任向企业“公有”信任的转移过程进行实证检验.研究结果表明,顾客与员工间“私有”的人情信任和交易信任对企业“公有”信任有显著正向影响,交易信任部分中介人情信任到企业“公有”信任的转移;员工与企业间行为上的相似性对交易信任到企业“公有”信任的转移有调节作用;员工与企业间精神上的相似性对人情信任到企业“公有”信任的转移有调节作用.研究结论为提高顾客关系管理效率提供了理论思路.     

The future pattern of U.K. share ownership

This article reports the present pattern of ordinary share ownership in the U.K. and forecasts the future pattern of share ownership towards the end of the present century. The authors forecast that institutional shareholders will own 50 per cent of U.K. registered and managed companies by 1977 and that they will own 68 per cent by 1990. Holdings by individuals, executors and trustees will fall from 47·4 per cent in 1970 to 34 per cent in 1977 and 14 per cent in 1990.     

Why physician managers fail--Part Two

In this second part of the authors' two-part article, they continue with the list of flaws that can cause failure for a physician manager and offer some suggestions for avoiding or overcoming potentially destructive flaws. The authors' findings are based on interviews with a sample of 14 physician executives and on comments received from attendees at workshops of the American College of Physician Executives.     

Why some managers fail.

Among modern societies, the American culture is one of the most competitive. And within that culture, physicians are among the most success-oriented professionals. This is easy to understand, in that, for our patients, success is equated with well-being and continuance of life. This emphasis upon success is also finely honed in the physician executive. Commonly, our institutional goals revolve around providing a high-quality health care product in a cost-effective manner. For the physician executive, success is based largely upon the extent to which institutional goals have been attained or, in the present environment, if it has survived. But the actual ingredients for the physician executive's success will depend upon a variety of diverse factors, both personal and environmental.     

Why such a hurry?

Over the past decade or so, federal health policy has chased health care costs that grew out of control largely because of federal intervention in the form of the Medicare/Medicaid programs. Having implemented a prospective pricing system for institutional providers, the government has followed up with a resource-based relative value system for physicians. The prognosis for this new effort may be no better than that for past attacks on health care costs, and the outcome could be substantially worse.