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This paper aims to examine the applicability of real options methodology with respect to developing internal transfer pricing mechanisms. A pervasive theme in existing models is their inability to handle the dynamic and volatile nature of today’s business environment, as well as their lack of objective managerial flexibility. The authors address these and other issues and develop a transfer pricing mechanism based on Black–Scholes and the binomial options pricing methodology, which is better suited in today’s dynamic business environment.

The authors use a conceptual approach in developing theoretical justifications and show, practically, how a transfer price can be developed using two different real options pricing models.

The authors find that real options transfer price mechanism (real options framework [ROF]) can effectively deal with many of the issues that permeate a modern organization with complex multi-dimensional operations. The authors argue that uncertainty and behavioral issues commonly associated with setting transfer prices are better handled using a transfer pricing mechanism that preserves flexibility at the business unit level, the managerial level and the firm level. The approach allows for different managerial styles in both centralized and decentralized sub-units within the same organization. The authors argue that an open multi-dimensional framework using real options is suitable under conditions of uncertainty and managerial opportunism.

ROF-based transfer pricing may be significant in that firms can use it as a tool to manage an organization by setting the prices centrally and at the same time allowing managers to select the transfer price that best suits their specific situation and operating conditions. This may result in a more efficient and more profitable organization.

The contribution of the paper is the melding of the ROF from the finance literature with the accounting problem of setting a transfer price for items lacking a competitive market price. The authors also contribute to existing research by explicitly developing a framework that values managerial flexibility, takes into account uncertainty and considers the behavioral aspects of the transfer pricing process. The authors establish the conditions under which a generic real options model is a feasible alternative in determining a transfer price.

This article investigates the impact of auditing on the commission of financial reporting irregularities by managers. We also examine whether the deterrent effect of auditing is affected by individual demographics. An experiment, using three case scenarios, was employed. Our findings indicated that auditing had a strong deterrent effect when the following conditions were present: material dollar amounts, irregularities involving asset overstatements, unambiguous violations of accounting principles, and low incentive for misstating income. While age, experience, and contact with auditors did not influence the deterrent effect of auditing, we found evidence that respondents with accounting and finance specializations perceived auditing as a greater deterrent than other respondents.

This paper views the outputs of the accounting information system as elements of a control system. These outputs may be of a financial accounting nature as well as a managerial accounting nature. Rewards for management are often based on measures typically found in the annual reports. Managers have an interest in making sure these measures are favorable. This paper presents ways for management to deal with situations where what is good (bad) for the manager may be bad (good) for the company.

The purpose of this paper is to examine the use of financial information and valuation methods among private equity funds in Europe and India. The authors analyze differences in the choice of valuation methods and how the use of financial information differs among funds in the UK, Pan Europe and India.

A survey approach was utilized in collecting proprietary data from European and Indian private equity funds. The data were classified according to fund type, country grouping, size, risk profile, labor cost and industry structure and analyzed using MANOVA and ANOVA.

The results show that the use of valuation models is relatively homogeneous across countries and that the use of financial information appears to be driven to a large extent by fund type and fund focus. The use of audited financial statements appears to increase as firms mature. Significant differences were found in standard financial adjustments between the two fund types and between the country groupings. Results based on labor cost are weakly significant whereas industry structure does not appear to have an impact on how fund managers evaluate investments.

The results indicate that fund managers adapt their decision‐making behavior according to investment type and risk. The authors argue that understanding asymmetrical and structural issues may potentially improve investment decision‐making processes. The main conclusion for researchers is that buy‐out and venture capital funds should not be combined as one asset class. Since a survey approach was used, the study is subject to the belief that fund managers do not internalize decisions well, which could reduce the effectiveness of the research design.

There are few studies in the areas covered by this paper due to the proprietary nature of the private equity industry. The results are important because they help in understanding how fund managers use decision aids such as financial statements and valuation techniques. A better understanding of current practices will help fund managers and fund sponsors in devising improved decision aids and processes, which ultimately may lead to fewer non‐performing investments. This is especially important in private equity since investment decisions are often irreversible and binary.

Investigates the differences in protocols between arbitral tribunals and courts, with particular emphasis on US, Greek and English law. Gives examples of each country and its way of using the law in specific circumstances, and shows the variations therein. Sums up that arbitration is much the better way to gok as it avoids delays and expenses, plus the vexation/frustration of normal litigation. Concludes that the US and Greek constitutions and common law tradition in England appear to allow involved parties to choose their own judge, who can thus be an arbitrator. Discusses e‐commerce and speculates on this for the future.

Understanding the context surrounding a brand's role is paramount to knowing what drives consumers to want what they want. The purpose of this paper is to highlight eight mega‐trends that are currently influencing the consumers' world and, in turn, how marketers deliver brand messages.

The integrated brand development and marketing firm, Hiebing, conducted secondary research to help define and identify the eight mega‐trends referenced in this paper. Since 1981, Hiebing has helped hundreds of clients find, design and deliver powerful communications that have increased brands' impact and profits.

Consumers drive the universe. Not brands. Not products. Not businesses. And today's consumers are more sophisticated than ever at tuning out messages that do not resonate immediately with their own desires or needs. Relevancy – the role that a particular brand plays in consumers' lives – is what it is all about. Unless your brand plays a role that consumers value, you are wasting your time.

This paper identifies and elaborates on eight mega‐trends that are critical for marketers to understand. Staying current with them is the first step toward creating powerful communications between your targets and a brand that will withstand the test of time.

Coping style has been examined across a variety of stressful encounters, but surprisingly little is known about coping in the emergency or disaster context. Examines coping strategies and impact of events in emergency workers who generally have not been exposed to major events in the course of their emergency role. The profile of scores suggests that emergency workers are problem‐focused and are less inclined to assuage problems through emotion‐focused coping, thus supporting the popular notion of emergency workers as task‐oriented and committed to action. Discusses the extent to which this profile may enhance wellbeing and prevent stress symptoms following emergency events.

Contemporary branding transpires in a complex technological and media environment whose key contextual characteristics remain largely unexplained. The article provides a conceptual understanding of the elements of contemporary branding as they take place using networked platforms and explains them as an increasingly important practice that affects customer and manager experience.

This article draws on a variety of recent sources to synthesize a model that offers a more contextualized, comprehensive and up-to-date understanding of how branding has become and is being altered because of the use of branded service platforms and algorithms.

Core terminology about technoculture, technocultural fields, platform assemblages, affordances, algorithms and networks of desire set the foundation for a deeper conceptual understanding of the novel elements of algorithmic branding. Algorithmic branding transcended the mere attachment of specific “mythic” qualities to a product or experience and has morphed into the multidimensional process of using media to manage communication. The goal of marketers is now to use engagement practices as well as algorithmic activation, amplification, customization and connectivity to drive consumers deeper into the brand spiral, entangling them in networks of brand-related desire.

The model has a range of important managerial implications for brand management and managerial relations. It promotes a understanding of platform brands as service brands. It underscores and models the interconnected role that consumers, devices and algorithms, as well as technology companies and their own service brands play in corporate branding efforts. It suggests that consumers might unduly trust these service platforms. It points to the growing importance of platforms' service brands and the consequent surrender of branding power to technology companies. And it also provides a range of important ethical and pragmatic questions that curious marketers, researchers and policy-makers may examine.

This model provides a fresh look at the important topic of branding today, updating prior conceptions with a comprehensive and contextually grounded model of service platforms and algorithmic branding.

This paper aims to elucidate instances whereby celebrity endorsements by social media influencers (SMIs) embedded within online consumption communities are perceived as transgressive by their fellow community members. In doing so, this study provides insights into the new challenges and considerations that such community contexts present for celebrity endorsement.

The research team conducted a longitudinal, netnographic study of the YouTube beauty community, involving an initial phase of netnographic immersion followed by an investigative netnography that examined community members’ response to celebrity endorsements by 12 SMIs within the community.

This study identifies five recurring celebrity endorsement transgressions, each violating an established moral responsibility within the community. The paper explores how community members attribute responsibility for transgressive endorsements and identifies consequences for both the SMI and the endorsed brand.

This study focused on a single consumption community, developing a deep understanding of the distinct moral responsibilities that shape the reception of celebrity endorsements within this context.

The paper presents managerial recommendations that will aid both SMIs and brands in implementing celebrity endorsements that avoid communal perceptions of transgression.

The analysis extends prior study on celebrity endorsement by SMIs by explaining when and why SMI endorsements are likely to be perceived as transgressive by the community and providing new insights into community member responses to transgressive SMI endorsements. It also extends wider theories of celebrity endorsement by highlighting the influence of consumption community contexts upon endorsement reception and examining consumer responses to celebrity endorsements perceived as transgressive in and of themselves.

This paper aims to the intricate relationship between digital influencers (DIs) and their followers, aiming to develop a comprehensive framework that explains how influence works in the digital world. It focuses on understanding the cultural aspects that shape these relationships in today’s global and digital marketplace.

This study employs a holistic methodology, intertwining historical, cultural and theoretical insights to decode the DI phenomenon. Applying a Grounded Theory approach, this paper coded articles into categories, developed abstract concepts and refined them through cycles of literature collection and analysis that allowed identifing gaps in the Influencer Marketing field. This comprehensive review and inductive analysis of globalization, mediated communication and digital interactions aim to unravel the intricacies of digital and virtual influence. This paper’s theoretical development advances propositions that dissect the facets influencing digital adoption, usage, interest and value perception, leading to a detailed model of digital influence grounded in both theory and real-world examples.

This research uncovers the significant impact DIs have, driven by global connections and the way we communicate in the digital age. Historical context situates DIs within the broader narrative of mediated persuasive communication. A preliminary typology of DIs and influence contexts forms the foundation for further exploration.

This study enhances the discussion around DIs by considering the influence of technology and culture together. It draws from the thoughts of leading thinkers on how technology connects us, providing a strong foundation for future studies.

As digital influence and the surrounding technology continue to change, it’s important to think critically about these trends. This research offers valuable insights for businesses looking to navigate the digital landscape effectively, helping them make better strategic decisions about their online presence.

This study breaks new ground by offering a detailed categorization of DIs and proposing a fresh way to understand their role. It links important ideas from the past about persuasion through media to the current state of digital influence, offering insights into how digital trends might affect communication strategies.