Strategic Product/Service Innovations of an Online Firm

We study the incentives that drive an online firm to make various types of innovations in a competitive environment. We develop and use a simplified price competition model between two retailers, one online and one offline. A given fraction of consumers, called the Internet penetration, comparison shop online, independent of their customer type, thereby creating two markets for the offline retailer, a captive market and a competitive market. The online product has the steeper of the two linear utility functions, which means that the customers who buy online in our model are high end. We focus on the competitive region in which both retailers are (strictly) profitable in the competitive market and consider innovations that increase high‐end appeal, low‐end appeal, and/or reduce unit cost. We find that the online firm has a strong incentive to invest in innovations that either reduce unit cost and/or, equivalently, increase the appeal to all consumers equally. Investments of this type are strategic complements: implementing one increases the value of another, so the value of two innovations of this type is more than the sum of the values of each individually. We identify a relative strength measure of the online firm such that, as its high‐end appeal increases and/or its unit cost decreases, we say that the online firm is stronger. This strength measure facilitates drawing an explicit dividing line between strong and weak online firms. If Internet penetration increases, the online firm's profits increase if and only if it is strong. If penetration increases over time, it is possible for a strong firm to turn weak and see its profits decrease and possibly disappear completely. A strong online firm has more opportunity to profit from low‐end innovations than does a weak one, while the opposite is true for high‐end innovations. Interestingly, some innovations may actually decrease the online firm's profits. We discuss the implications of our results for existing and future online innovations.     

A new discrete distribution involving laguerre polynomials

A discrete distribution in which the probabilities are expressible as Laguerre polynomials is formulated in terms of a probability generating function involving three parameters. The skewness and kurtosis is given for members of the family corresponding to various parameter values. Several estimators of the parameters are proposed, including some based on minimum chi-square. All the estimators are compared on the basis of asymptotic relative efficiency.     

Residency differentials in Mormon fertility

Although one of the most consistent findings of recent fertility studies is the convergence of the religious differentials in fertility, few data have been analysed to discover Mormon fertility trends and differentials. This paper, based on data obtained on 1,001 Mormon couples, is concerned with describing the effects that the dispersion of Mormon families from the Mormon centre in Utah to surrounding areas with various social conditions is having on the fertility of the re-located Mormon families. Data presented clearly show that such families do, on the average, have a lower fertility than do their Mormon contemporaries residing in the homogeneous Mormon society in Utah. They probably compromise their religious obligations to have children with the contradicting demands of their new environment. Their loyalty to these religious beliefs, however, is confirmed by data which show that they tend to have larger families in their new environments than do their non-Mormon neighbours.     

Identifying Factors that Influence State-specific Hunger Rates in the U.S.: A Simple Analytic Method for Understanding a Persistent Problem

An existing measure of food insecurity with hunger in the United States may serve as an effective indicator of quality of life. State level differences in that measure can reveal important differences in quality of life across places. In this study, we advocate and demonstrate two simple methods by which analysts can explore state-specific contributions to state-specific hunger rates. Using existing survey data and the U.S. Department of Agriculture measure of household food insecurity with hunger, we illustrate how comparing group-specific hunger rates within states and how the demographic method of standardization can both be used to assess how a state’s population and local characteristics influence hunger rates and other quality of life indicators associated with hunger.     

Uncertainty and the Rise of the Work‐Family Dilemma

Existing research argues that women's wages, consumerism, and changing attitudes dismantled the male bread‐winner system. Families' economic need is dismissed with the suggestion that mothers' rhetoric of “need” was a smoke screen to defend against social stigma for working mothers. Drawing on biennial data from 1965 to 1987, I suggest that consumptive certainty of the 1950s and 1960s gave way to economic uncertainty in the 1970s and beyond. Economic uncertainty provided impetus, legitimacy, and justification for young families to adopt new work‐family arrangements. Hence, economic uncertainty is conceptualized as a real circumstance that substantiates families' reasonable perceptions of need.     

Servant leaders inspire servant followers: Antecedents and outcomes for employees and the organization

Despite widespread adoption of servant leadership, we are only beginning to understand its true utility across multiple organizational levels. Our purpose was to test the relationship between personality, servant leadership, and critical follower and organizational outcomes. Using a social influence framework, we proposed that leader agreeableness and extraversion affect follower perceptions of servant leadership. In turn, servant leaders ignite a cycle of service by role-modeling servant behavior that is then mirrored through coworker helping behavior and high-quality customer service, as well as reciprocated through decreased withdrawal. Using a multilevel, multi-source model, we surveyed 224 stores of a U.S. retail organization, including 425 followers, 110 store managers, and 40 regional managers. Leader agreeableness was positively and extraversion was negatively related to servant leadership, which was associated with decreased follower turnover intentions and disengagement. At the group-level, service climate mediated the effects of servant leadership on follower turnover intentions, helping and sales behavior.     

Bayes sequential estimation in a life test and asymptotic properties

For a life test without replacement on M machines, assuming an exponential distribution for failure times, the Bayes sequential procedure for estimating the failure rate is studied. Estimation error is assumed to be measured by one of a family of loss functions, and the cost of sampling consists of a cost per machine failure c, >, 0 and a cost per unit time c > 0. Assuming a conjugate prior on 9, the Bayes sequential procedure and its asymptotic Bayesian and sampling theory properties are obtained as c1, z9 - 0 and M + jointly.