Catch-up as a Survival Strategy in the Solar Power Industry

We evaluate the strategies of the emerging market firms in the context of nascent industries. We use the Indian solar power industry as the empirical setting, against the backdrop of the evolution of the global industry, While in traditional industries emerging market firms learn from advanced economy multinational enterprises (MNEs) and slowly upgrade their capabilities, in the intensely competitive environment of nascent innovative industries, emerging market firms are exposed to global competition in their home market right from the early years. This shortens their catch-up clock. As a result, their long-term survival depends on their ability to catch-up fast, both in output and innovation capabilities. In the solar power industry, we find that innovations stem, in the main, from advanced economy firms. Further, Chinese firms are beginning to move from cost-based imitation to innovation. In contrast, with a few key exceptions, most firms in the Indian solar industry remain locked within a narrow niche of downstream site-based installation. Their operations are opportunistic, short term, and without specific catch-up goals, a scenario that does not bode well for the industry's future in India.     

Consolidation and fragmentation in environmental scanning: A review and research agenda

Environmental scanning is a broadly defined concept, having first received attention from scholars in the late 1960s. Over the years a number of similar and overlapping constructs have emerged in management literature. The aim of this study, via a systematic review and thematic analysis of relevant empirical research, is to consolidate foundation environmental scanning knowledge, demonstrate how scanning research has developed and fragmented over time, and propose an agenda for future research. The first contribution of our review is a new typology of environmental scanning research made up of five discrete research views, which provides a more comprehensive and contemporary overview of the field than previous studies. The second is a proposed agenda for future research that explicitly acknowledges the role of technology, an area that is presently underdeveloped in foundation scanning literature. The third contribution is to signpost future directions for research on scanning and organisational performance using a number of theoretical perspectives. The overall outcome of our review is to move scanning research on from increasingly incremental contributions concerned with context to a place where the changing role of technology and the mechanisms through which environmental scanning contributes to competitive advantage can be more thoroughly understood.     

Let's Call it Quits: Break‐Even Effects in the Decision to Stop Taking Risks

“Chasing” behavior, whereby individuals, driven by a desire to break even, continue a risky activity (RA) despite incurring large losses, is a commonly observed phenomenon. We examine whether the desire to break even plays a wider role in decisions to stop engaging in financially motivated RA in a naturalistic setting. We test hypotheses, motivated by this research question, using a large data set: 707,152 transactions of 5,379 individual financial market spread traders between September 2004 and April 2013. The results indicate strong effects of changes in wealth around the break‐even point on the decision to cease an RA. An important mediating factor was the individual's historical long‐term performance. Those with a more profitable trading history were less affected by a fall in cash balance below the break‐even point compared to those who had been less profitable. We observe that break‐even points play an important role in the decision of nonpathological risk takers to stop RAs. It is possible, therefore, that these nonpathological cognitive processes, when occurring in extrema, may result in pathological gambling behavior such as “chasing.” Our data set focuses on RAs in financial markets and, consequently, we discuss the implications for institutions and regulators in the effective management of risk taking in markets. We also suggest that there may be a need to consider carefully the nature and role of “break‐even points” associated with a broader range of nonfinancially‐focused risk‐taking activities, such as smoking and substance abuse.     

The Value of a Statistical Life for Risk‐Averse and Risk‐Seeking Individuals

This article estimates the value of a statistical life (VSL) for Chile under the hedonic wage method while accounting for individual risk preferences. Two alternative measures of risk aversion are used. First, risk aversion is directly measured using survey measures of preferences over hypothetical gambles, and second, over observed individual behaviors that may proxy for risk preferences, such as smoking status, are used. I reconcile the results with a theoretical model of economic behavior that predicts how the wage‐risk tradeoff changes as risk aversion differs across individuals. The VSL estimates range between 0.61 and 8.68 million dollars. The results using smoking behavior as a proxy for risk attitudes are consistent with previous findings. However, directly measuring risk aversion corrects the wage‐risk tradeoff estimation bias in the opposite direction. The results are robust to other observed measures of risk aversion such as drinking behavior and stock investments. Results suggest that, consistent with the literature that connects smoking behavior with labor market outcomes, smoking status could be capturing poor health productivity effect in addition to purely risk preferences.     

Day care in working-class ethnic neighborhoods: implications for social policy.

Implications for social service planning are contained in the findings of a survey to determine preferences in day care for children in working-class families of Polish and Italian extraction.     

Learning about radon's risk

This article reports the results of an evaluation of the effectiveness of different types of information materials in communicating the risk from exposure to radon, a naturally occurring indoor air pollutant. The study involved a panel of 2300 homeowners who actually experienced risks from radon, and the information program used to explain these risks. The analysis considered information transfer and performance on specific tasks requiring information on the risk from radon to measure learning. The results suggest a systematic learning process, but indicate that the process can be influenced by how risk information is presented.     

Predicting the Risk of Biological Invasions Using Environmental Similarity and Transport Network Connectedness

Understanding the risk of biological invasions associated with particular transport pathways and source regions is critical for implementing effective biosecurity management. This may require both a model for physical connectedness between regions, and a measure of environmental similarity, so as to quantify the potential for a species to be transported from a given region and to survive at a destination region. We present an analysis of integrated biosecurity risk into Australia, based on flights and shipping data from each global geopolitical region, and an adaptation of the “range bagging” method to determine environmental matching between regions. Here, we describe global patterns of environmental matching and highlight those regions with many physical connections. We classify patterns of global invasion risk (high to low) into Australian states and territories. We validate our analysis by comparison with global presence data for 844 phytophagous insect pest species, and produce a list of high‐risk species not previously known to be present in Australia. We determined that, of the insect pest species used for validation, the species most likely to be present in Australia were those also present in geopolitical regions with high transport connectivity to Australia, and those regions that were geographically close, and had similar environments.     

The exponential distribution analog of the Grubbs–Weaver method

Abstract

Grubbs and Weaver (1947 Grubbs, F. E., and C. L. Weaver. 1947. The best unbiased estimate of population standard deviation based on group ranges. Journal of the American Statistical Association 42 (238):224–41. doi: 10.2307/2280652.[Taylor & Francis Online], [Web of Science ®] , [Google Scholar]) suggest a minimum-variance unbiased estimator for the population standard deviation of a normal random variable, where a random sample is drawn and a weighted sum of the ranges of subsamples is calculated. The optimal choice involves using as many subsamples of size eight as possible. They verified their results numerically for samples of size up to 100, and conjectured that their “rule of eights” is valid for all sample sizes. Here we examine the analogous problem where the underlying distribution is exponential and find that a “rule of fours” yields optimality and prove the result rigorously.     

20 years of Bologna - a story of success,a story of failure

The Bologna Process is a unique harmonisation process taking place outside the policy-making framework of the European Union. It aims at enhancing the comparability and compatibility of higher education structures and degrees across Europe, as well as to institutionalise quality assurance mechanisms. The aim of this article is to provide a condensed, up-to-date overview of the Bologna Process with regard to structural characteristics, before embedding it into a discussion on processes on voluntary policy convergence and to which extent we should be able to find this kind of policy harmonisation in the realm of the Bologna Process. Related to this are questions why this, in principle, completely voluntary process of policy harmonisation, has appealed to so many countries and why they might or might not feel committed to the implementation of its policies and tools.