The how and why of a firm’s approach to CSR and sustainability: a case study of a large European company

This paper aims to analyse “how” and “why” a company engages in CSR and sustainability. The “how” concerns the features of the firm’s CSR and sustainability approach, defined in terms of a firm’s strategy (implemented issues, initiatives and activities) and organization (organizational structures and roles and managerial systems adopted). The “why” refers to the key determinants, both internal and external, of CSR and sustainability. Finally, how the firm’s CSR and sustainability approach evolves over time and the relation between CSR determinants in various stages of the CSR evolutionary path are also investigated. The research method is based on the longitudinal analysis of a case study concerning a large multinational company operating in the telecommunications industry in Europe. The analysis of the case study shows that sub-cultural differences in the approach to CSR and sustainability may occur across hierarchical levels and functional units. Moreover, embedding CSR and sustainability principles doesn’t follow a linear and continuous process, made by sequential stages. Indeed, it can be characterized by an up and down evolutionary path, based on different stages with a changing emphasis given to CSR and sustainability issues. Finally, we find that the firm CSR and sustainability approach is not an autonomous choice, but it is a consequence of the contingent role played by both the external and the internal drivers and by their relative importance during the company’s CSR history.     

Explaining the demand for structured financial products: survey and field experiment evidence

In many countries structured investment products are popular among retail investors. We explain the demand for these products using unique field data where we let subjects freely design their “favorite” structured product. Results suggest that the supply with capital protected products (guarantee certificates) might indeed be demand-driven. This does not seem to be the case for other product categories where marketing and sales practices might play a more important role. In a survey among financial practitioners we find furthermore that a demand for capital protected products can be explained by loss aversion and saving motifs, e.g. for buying a house.     

中国省区城市化水平的马尔可夫预测

首先将中国省区的城市化水平划分为四种状态,并建立一个吸收的Markov随机过程,描述中国省区城市化水平状态的变化规律;其次,利用Markov预测模型,对省区城市化水平的变动趋势进行预测;最后,通过吸收Markov链的基本矩阵,对各种"非吸收状态"进入"吸收状态"(高度城市化水平状态)所需的时间进行预测,并对其进行分析.     

Conservative accounting as a signaling device in debt covenants

This paper provides a signaling explanation for benefits of conservative accounting in a debt contracting setting. It develops a model in which firms want to finance more or less risky projects through debt, which is private information. Creditors price the risk on average riskiness, which implies a relatively high interest rate for low-risk firms. These firms can signal their low-risk type by implementing a conservative accounting system. The accounting signal is used in a debt covenant that stipulates early repayment in case of a bad signal. Thus, the low-risk firms benefit from a lower interest cost, but at the cost of higher risk of being forced to liquidate a profitable project. The analysis establishes conditions for separating and pooling equilibria and determines their individual and social welfare implications. It shows that conservative accounting by low-risk firms can even increase social welfare if it mitigates underinvestment.     

Intensity, timeliness, and success of incumbent response to technological discontinuities: a synthesis and empirical investigation

The extant literature highlights numerous different factors influencing the timeliness and intensity of incumbent response to discontinuous technological change. However, this literature has so far not been synthesized and is therefore limited in its analytical, predictive, and normative power. We develop a comprehensive model of incumbent response that organizes different explanatory factors into the three distinct dimensions of (1) identification and interpretation, (2) decision making, and (3) organizational implementation. We also conceptualize how response intensity and timeliness affect business performance in new technological domains. We test the model against data from 320 firms from the German dental lab industry, finding substantial support for the majority of our hypotheses. This study offers unique empirical insight in observing that cognitive constructs such as framing and management flexibility have the strongest impact on both intensity and timeliness of incumbent response to technological, and thus, strategic discontinuities. Together, our findings have important implications for both theory and practice.     

Was there compression of disability for older Americans from 1992 to 2003?

Medical advances and the growth of the elderly population have focused interest on trends in the health of the elderly. Three theories have been advanced to describe these trends: compression of morbidity, expansion of morbidity, and dynamic equilibrium. We applied multistate life table methods to the Medicare Current Beneficiary Survey to estimate active and disabled life expectancy from 1992 to 2003, defining disability as having difficulty with instrumental activities of daily living or activities of daily living. We found increases in active life expectancy past age 65 and decreases in life expectancy with severe disability. These trends are consistent with elements of both the theory of compression of morbidity and the theory of dynamic equilibrium.     

Using age and spatial flow structures in the indirect estimation of migration streams

This article outlines a formal model-based approach for inferring interregional age-specific migration streams in settings where such data are incomplete, inadequate, or unavailable. The estimation approach relies heavily on log-linear models, using them to impose some of the regularities exhibited by past age and spatial structures or to combine and borrow information drawn from other sources. The approach is illustrated using data from the 1990 and 2000 U.S. and Mexico censuses.     

As low birth weight babies grow,can well-educated parents buffer this adverse factor? A research note

This research note combines two national Taiwanese data sets to investigate the relationships among low birth weight (LBW) babies, their parents' educational levels, and their future academic outcomes. We find that LBW is negatively correlated with the probability of such children attending college at age 18; however, when both parents are college or high school graduates, such negative effects may be partially offset. We also show that discrimination against daughters occurs, but only for daughters who were LBW babies. Moreover high parental education can buffer the LBW shock only among moderately LBW children (as compared with very LBW children) and full-term LBW children (as compared with preterm LBW children).     

Race,military service,and marital timing: Evidence from the NLSY-79

I use data from the 1979 National Longitudinal Study of Youth to examine the relationship between military service and marital timing for white men and black men during the 1980s. I use information about active-duty and reserve-duty service as well as veteran status to implement strong controls for selectivity. I find that active-duty military service increases the probability of first marriage for both whites and blacks. In part, this relationship is due to positive selectivity into the military and, for whites, to greater income and economic stability. Above and beyond the effects of selectivity, income, and economic stability, the effect of active-duty military service is particularly strong for black men.