{"title":"Optimizing Pricing Strategies for Product Lines and Value-Added Services: Accounting for Reference Prices and Network Effects","authors":"Wei Qi, Ziwei Li, Yongfeng Ma, Xuwang Liu","doi":"10.1002/mde.4408","DOIUrl":"https://doi.org/10.1002/mde.4408","url":null,"abstract":"<div>\u0000 \u0000 <p>Customer choice behavior is increasingly influenced by the reference price effect and negative network effect as customers become more rational and personalized. This study, considering customers as pivotal stakeholders for enterprise development, employs the multinomial logit (MNL) model and develops pricing and strategy optimization models for pure bundling and mixed bundling strategies of an enterprise's product line. The main focus is to analyze how these effects impact optimal pricing and strategy selection. The results indicate that stronger effects lead to lower enterprise profits, and ignoring them can cause substantial losses. Generally, mixed bundling strategies yield higher profits.</p>\u0000 </div>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 2","pages":"862-878"},"PeriodicalIF":2.5,"publicationDate":"2024-10-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143118157","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"How Does AI Affect the Pay Gap Within Firms: Mechanism Analysis Based on Personnel Structure and Corporate Investment","authors":"Qiang Wu","doi":"10.1002/mde.4400","DOIUrl":"https://doi.org/10.1002/mde.4400","url":null,"abstract":"<div>\u0000 \u0000 <p>This study examines how AI impacts the internal pay gap within enterprises. Using data from listed companies in China and a panel data two-way fixed effect model, findings reveal that AI widens pay gap, with executives in AI-applied companies earning 0.327 times more than average employees. AI increases executive pay while hindering employee salary growth, especially in nonmanufacturing and private firms. Labor substitution AI reduces employee compensation growth, whereas labor enhancement AI boosts executive pay without affecting employee compensation. AI also influences personnel structure and enterprise investment in fixed assets and R&D, highlighting its “job substitution effect” and “productivity effect”.</p>\u0000 </div>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 2","pages":"717-733"},"PeriodicalIF":2.5,"publicationDate":"2024-10-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143117329","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Resilience in Cyclicality: Impact of Inventory Management Efficiency on Operational Profitability","authors":"Samuel Yeboah, Frode Kjærland, Irena Kustec","doi":"10.1002/mde.4406","DOIUrl":"https://doi.org/10.1002/mde.4406","url":null,"abstract":"<p>The cyclical and non-cyclical nature of the consumer goods industry presents unique dynamics that require discernment in analyzing working capital (WC). These firms often deal with considerable inventory levels that create costs and liquidity challenges, particularly during economic downturns. This paper investigates the impact of inventory days (InvD) on operating margin (OM) in both demand-stable and demand-sensitive businesses. The empirical analysis employs system GMM regression with a sample of publicly traded US consumer goods firms from 2010 to 2022. The findings reveal an inverted U-shaped relationship between InvD and OM among cyclical companies, indicating that these firms require a comparatively lower optimal inventory level (108 days) to maximize profitability at 3%. The results highlight the importance of strategic inventory management (IM) under varying economic and demand conditions and balancing the risks of stock-outs against the costs of overstocking to optimize profitability. This paper contributes to the literature on the impact of inventory dynamics on operating profit in stable and volatile markets. It estimates the optimal inventory level that enhances profitability and predicts the optimal inventory dynamics for maximum profit.</p>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 2","pages":"832-842"},"PeriodicalIF":2.5,"publicationDate":"2024-10-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/mde.4406","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143115533","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Influence of R&D Intensity on Supply Chain Transparency: Evidence From the Disclosure Substitution Perspective","authors":"Junqin Sun, Fangjun Wang, Chongchong Lyu, Yu Wang","doi":"10.1002/mde.4402","DOIUrl":"https://doi.org/10.1002/mde.4402","url":null,"abstract":"<div>\u0000 \u0000 <p>This paper shows that the existence of disclosure-related costs and benefits explains the influence of R&D intensity on supply chain transparency. We find that R&D-active firms are more likely to redact supply chain identities but disclose supply chain distribution as a substitution. The effect of withholding (disclosing) the specific identities (distribution) of supply chain is more (less) pronounced when firms are in higher competitive industries or non–state-owned enterprises. Our study provides evidence of disclosure substitution behavior in a unified voluntary setting of supply chain transparency and shows that partial disclosure of nonproprietary information may be optimal.</p>\u0000 </div>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 2","pages":"755-777"},"PeriodicalIF":2.5,"publicationDate":"2024-10-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143115532","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Foreign Corrupt Practices Act (FCPA) and market quality in emerging economies","authors":"Krishnendu Ghosh Dastidar, Makoto Yano","doi":"10.1002/mde.4399","DOIUrl":"https://doi.org/10.1002/mde.4399","url":null,"abstract":"<p>In many emerging economies with antiquated laws, bribes paid to government officials reduce economic impediments and serve as a device to improve market competition, thereby contributing to the modernization of an economy. In this context, this paper uses a simple two-stage game theoretic model to investigate the effects of the US Foreign Corrupt Practices Act (FCPA) on such economies. We demonstrate, among others, that while an increase in fines under FCPA reduces overall corruption, it leads to a deterioration in the market quality in an emerging economy. In the presence of FCPA, an increase in the US firm's technological advantage unambiguously leads to a decrease in the market quality in an emerging economy.</p>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 1","pages":"641-665"},"PeriodicalIF":2.5,"publicationDate":"2024-10-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142861284","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Policies for Selecting the Advance Selling Mode in a Supply Chain Considering Network Externalities","authors":"Mei Han, Qi Lyu, Guoliang Feng","doi":"10.1002/mde.4403","DOIUrl":"https://doi.org/10.1002/mde.4403","url":null,"abstract":"<div>\u0000 \u0000 <p>The marketing strategy of advance selling new products through e-commerce channels is becoming increasingly popular among merchants and users. In advance selling on e-commerce platforms, network externalities and the probability of consumer satisfaction with products are important factors affecting consumers' strategic behavior. This study considers network externalities and the probability of consumer satisfaction with products in the advance selling decision-making problem in the supply chain. Using game theory and prospect theory, three scenario models—advance selling considering network externalities, advance selling without considering network externalities, and nonadvance selling—are designed to construct theoretical models for supply chain decision-making. The optimal decision-making problem of supply chain members is discussed. Furthermore, through a comparison of pricing, demand and profits, the impacts of advance selling with or without considering network externalities on the decisions of retailers and manufacturers are analyzed. By comparing the differences in decision-making between manufacturers and retailers, the feasible area for advance selling under network externalities is obtained. Furthermore, through numerical experiments, the impacts of the strength of network externalities, and the probability of consumer satisfaction with products on the decision-making of supply chains are analyzed.</p>\u0000 </div>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 2","pages":"778-794"},"PeriodicalIF":2.5,"publicationDate":"2024-10-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143114399","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Retailer information sharing under manufacturer encroachment and production cost reduction","authors":"Zhibao Li, Beifen Wang","doi":"10.1002/mde.4395","DOIUrl":"https://doi.org/10.1002/mde.4395","url":null,"abstract":"<p>This study investigates retailer's sharing decisions concerning ex ante information about demand when the encroaching manufacturer can reduce production cost. Equilibrium information sharing decisions with encroachment are quite different from that with no encroachment. The encroaching manufacturer's cost reduction efficiency is key to determine equilibrium results, and these thresholds regarding cost reduction efficiency depend on competition intensity between the encroaching manufacturer's direct channel and retailer channel. Furthermore, through investigating the encroachment decisions of the manufacturer, we prove that the equilibrium information sharing decisions under encroachment is robust in general.</p>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 1","pages":"602-626"},"PeriodicalIF":2.5,"publicationDate":"2024-10-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142860806","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Behavior in long-run projects and elicited time preferences","authors":"Zafer Akin, Abdullah Yavaş","doi":"10.1002/mde.4396","DOIUrl":"https://doi.org/10.1002/mde.4396","url":null,"abstract":"<p>We investigate behavior in long-run projects and its relationship with experimentally elicited time preferences. Participants engage in a longitudinal project requiring sustained real effort, with their time preferences estimated through monetary outcomes. We observe a tendency to front-load real effort, with choices reflecting both present and future bias, the former being more prevalent and severe. We also find evidence of naive choice reversals. However, there is no support for the quasi-hyperbolic discounting model in monetary choices, and its predictions do not align with real effort allocation patterns. Nevertheless, discount rate and present bias parameters derived from monetary outcomes demonstrate predictive power over real effort allocation.</p>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 1","pages":"627-640"},"PeriodicalIF":2.5,"publicationDate":"2024-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142860039","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"A configuration analysis of the driving path of corporate physical investments: Necessary condition analysis and qualitative comparative analysis based on fuzzy sets","authors":"Zhen Wang, Hongyan Zhao","doi":"10.1002/mde.4397","DOIUrl":"https://doi.org/10.1002/mde.4397","url":null,"abstract":"<p>Corporate physical investments are an important foundation for sustainable economic development. This study investigates the causal relationships and complex mechanisms of the five antecedent conditions under the “Merger–Organization–Environment” (MOE) framework with corporate physical investments. These antecedent conditions include green mergers and acquisitions (M&A), financing constraints, main business performance, corporate governance capacities, and government environmental concerns. Combining the necessary condition analysis and fuzzy-set qualitative comparative analysis, a sample of 40 heavily polluting listed enterprises in China's A-share market from 2016 to 2020 is used. The results found that (1) individual antecedent conditions do not constitute the necessary conditions for corporate physical investments; (2) there are four configurations that generate high corporate physical investments, i.e., proactive change-oriented type, main business focus-oriented type, performance-driven oriented type, and passive change-oriented type; and (3) there are four configurations that generate non-high corporate physical investments, i.e., performance-bound type, funding-bound type, M&A-bound type, and strategically bound type. This demonstrates the asymmetry of the configurations that generate high and non-high corporate physical investments, which helps to formulate incentives for corporate physical investments from multiple perspectives.</p>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 1","pages":"681-697"},"PeriodicalIF":2.5,"publicationDate":"2024-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142860016","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Excess control of family board seats and corporate financing constraints","authors":"Yuqi Yang, Tianle Meng","doi":"10.1002/mde.4367","DOIUrl":"https://doi.org/10.1002/mde.4367","url":null,"abstract":"<p>We examine the relationship between excess control of family board seats (ECFBS) and financing constraints (FCs) using 2008–2021 data for listed family firms in China. We find that ECFBS intensifies Type II agency problems, thereby worsens corporate FCs. We also investigate the impact of family firm founder characteristics, family owner characteristics, and external shareholder equity structure on the ECFBS and FCs. Our findings provide evidence of the encroachment effect of family control.</p>","PeriodicalId":18186,"journal":{"name":"Managerial and Decision Economics","volume":"46 1","pages":"166-182"},"PeriodicalIF":2.5,"publicationDate":"2024-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142860038","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}