Jeffrey A. Born, Hugo J. Faria and Emery A. Trahan
Explains why executive severance contracts contingent on a change in control (i.e. golden parachutes) have developed and reviews previous relevant research. Develops a…
Abstract
Explains why executive severance contracts contingent on a change in control (i.e. golden parachutes) have developed and reviews previous relevant research. Develops a mathematical model of their effects on shareholder wealth and uses it to determine an optimal contract which aligns the interests of shareholders and managers (i.e. where marginal benefit to shareholders equals marginal cost of the contract). Points out that these contracts alone do not guarantee that managers will aim to maximize shareholders wealth: they should form only part of a package of compensation agreements to align their interests.
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This review identifies low self-concept clarity (SCC) as a source of consumer vulnerabilities and explains how the uncertainty associated with low SCC leads to processes that…
Abstract
This review identifies low self-concept clarity (SCC) as a source of consumer vulnerabilities and explains how the uncertainty associated with low SCC leads to processes that result in materialistic behaviors and overspending, product dissatisfaction, and potential self-harm. Processes include uncertainty reduction efforts through symbolic self-completion and social comparison, responses to everyday self-concept threats that result in feelings of deficiency and reduced consumption constraints, and susceptibility to interpersonal and marketer influences. In addition, the negative association between SCC and materialism is explained, risk factors for low SCC are described, and the need for research to help low SCC consumers deal with their vulnerabilities is explored.
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Paula A. Smith and Otto H. MacLin
This paper combines an experimental design and an artifical neural network to investigate the behavior of the Federal Reserve Board of Governors. The evidence suggests that FOMC…
Abstract
This paper combines an experimental design and an artifical neural network to investigate the behavior of the Federal Reserve Board of Governors. The evidence suggests that FOMC decision making has been influenced by the presidential administration, with particularly strong evidence that influence from the Kennedy‐Johnson administrations led to easier policy.
The purpose of this study is to address the surging reliance on influencer marketing in evolving business models, focusing on a novel approach – the influencer e-commerce…
Abstract
Purpose
The purpose of this study is to address the surging reliance on influencer marketing in evolving business models, focusing on a novel approach – the influencer e-commerce storefront. This study investigates various influencer advertising disclosures, social media activities and their impact on consumer engagement and sales within the influencer e-commerce storefront.
Design/methodology/approach
Secondary data was collected on 734 influencers from an e-commerce website based on “influencer” storefronts, and the influencer’s social media activity and content were collected from Instagram. Two-stage seemingly unrelated regression model was used to examine the research model.
Findings
Influencer social media use, encompassing daily posts, story posts and average comments, positively influences consumer engagement and sales on influencer e-commerce storefronts. Notably, the study reveals that different advertising disclosure languages yield varying effects. Unclear disclosures (e.g. branded Highlights) positively impact engagement and sales, while obvious disclosures (e.g. “Sponsored Ad”) negatively affect both.
Originality/value
The study contributes to Persuasion Knowledge Theory, examining influencer e-commerce storefronts and revealing the persuasive impact of undisclosed language in advertising. This study innovatively explores the effects of obvious and undisclosed sponsorship on coping mechanisms, offering insights into consumer reactions. The recommended use of undisclosed language suggests that ambiguity can enhance ad persuasion, guiding practitioners in crafting more effective messages. Moreover, the study extends co-creation theory and service-dominant logic by underscoring the significance of influencers’ social media engagement in co-creating value for consumers. Influencers’ active engagement on social media fosters co-creation, strengthening connections and boosting consumer loyalty.