To analyse some proposals of the Younger German Historical School as to how to reduce unemployment and to examine them with regard to their application to contemporary…
Abstract
Purpose
To analyse some proposals of the Younger German Historical School as to how to reduce unemployment and to examine them with regard to their application to contemporary unemployment. The more general issue of this paper is: Can we learn from the Younger Historical School how to solve current problems?
Design/methodology/approach
A review and discussion of the proposals of the Younger German Historical School.
Findings
Even though the Younger German Historical School saw the unemployment problem from an integrated point of view, many proposed solutions appear in a very modern light. Economic and social policy was called on to stimulate economic activity and to coordinate the different economic policies, taking account of the level of employment.
Originality/value
Highlights the fact that unemployment is not only a present day phenomenon. The dramatic impact of unemployment on individuals and societies has been well‐known, at least since the start of industrialization.
Details
Keywords
Roland Dillmann, Daniel Eissrich, Hans Frambach and Oliver Herrmann
Attempts to throw some light on the sensible use of mathematics in economic theory. Argues that mathematics is a valuable and useful tool which economists should and must apply as…
Abstract
Attempts to throw some light on the sensible use of mathematics in economic theory. Argues that mathematics is a valuable and useful tool which economists should and must apply as long as its use is economically sensible. The dangers of going beyond the “frontier” of what is economically sensible occur when economists depart from the actual (empirical) subject matter because of the applied mathematical instruments, when the underlying value judgements are not, or only insufficiently, taken into consideration, when the recording and measurement of empirical magnitudes as an economic problem is underestimated or is even subordinate under the requirements of the formal language, and when the process of mathematization is considered as a substitute for the process of Verstehen. Concludes that although mathematical reasoning is one way of logical deduction, which secures a style of logical consistency in reasoning, it is a fallacy to believe that mathematical reasoning alone can secure logical, consistent reasoning. Mathematization for the sake of mathematization is useless.
Details
Keywords
In view of current catchwords like globalisation, internationalisation and flexible markets, it should be remembered that many of the fundamental economic positions which are…
Abstract
Purpose
In view of current catchwords like globalisation, internationalisation and flexible markets, it should be remembered that many of the fundamental economic positions which are assigned to those terms were already put forward by promoters of the social question. The questions discussed are whether the social question and modern market economics are related to each other – if at all – and to what extent the strategies of the social question can be helpful, may be even to the solution of present problems.
Design/methodology/approach
Different issues and methods are compared which lead both the Historical School and modern economic theory to similar results. “Historical” hermeneutical and modern analytical (e.g. game theoretic) thinking are described and compared.
Findings
It turns out that parts of the Historical School agree with the fundamental principles of modern market economics. It is also shown (in contrast to widely spread opinions) that von Schmoller can be considered as a great forerunner of the social market economy in many of his views.
Research limitations/implications
The analysis of the social question is restricted to the example of von Schmoller's treatment of the labour question. Comparison is reduced to certain issues such as the role of productivity, free competition, bargaining.
Practical implications
The comparison of different methods of analysis recommends not to thoughtlessly refusing the results of the Historical School. It makes sense to assess some of these old results in relation to the current conditions and circumstances.
Originality/value
The solution to the social question is linked to the harmonious development of individual and social goals, not only based on the exchange of economic quantities but also under consideration of these relationships as an expression of ethics, custom, culture, ideas, education and public opinion – all of which are problems of the present.
Details
Keywords
Research focusing on the relation between market orientation and innovation in the Asian emerging economy is limited. The purpose of this study is to advance the extant literature…
Abstract
Purpose
Research focusing on the relation between market orientation and innovation in the Asian emerging economy is limited. The purpose of this study is to advance the extant literature by investigating the relations among market orientation, guanxi networking and innovation using the MARKOR scale.
Design/methodology/approach
The research conclusion is drawn based on the experience of 122 Asian emerging market firms operating in a wide variety of industrial sectors. This study explores whether the three MARKOR components (intelligence generation, dissemination and responsiveness) and their interaction with business and political guanxi have a significant effect on firms’ strategic innovation success. Innovation is measured following the practice of the OECD. In addition to the quantitative analyses, this study conducted qualitative interviews with executives of eight respondent firms, to further consolidate the subjects under investigation. The integration of both qualitative and quantitative data enriches the conclusions drawn from the study.
Findings
The findings of this study confirm that, when operating in an Asian emerging economy, both intelligence generation and responsiveness have a positive and direct impact on innovation. Though intelligence dissemination has no direct influence on innovation, its alignment with business and political guanxi still leads to a positive effect on innovation. The coalition of responsiveness and political guanxi, however, has a negative influence on innovation. The results of this study add new insights to the extant literature and provide implications for future research and marketing practices in Asian emerging economies.
Originality/value
The findings of this study confirm that, when operating in an Asian emerging economy, both intelligence generation and responsiveness have a positive and direct impact on innovation. Though intelligence dissemination has no direct influence on innovation, its alignment with business and political guanxi still leads to a positive effect on innovation. The coalition of responsiveness and political guanxi, however, has a negative influence on innovation. The results add new insights to the extant literature and provide implications for future research and marketing practices in Asian emerging economies.
Details
Keywords
This study aims to examine the relationship between market orientation and product innovation and the mediating role of technological capability in this relationship. It also aims…
Abstract
Purpose
This study aims to examine the relationship between market orientation and product innovation and the mediating role of technological capability in this relationship. It also aims to examine the effect of market orientation on product innovation within the framework of technological intensity classification of the fields of business activity.
Design/methodology/approach
The research data were obtained from 186 senior and mid-level managers of 627 manufacturing firms that are widely considered to be innovative, and that are ranked among Turkey's largest 1,000 manufacturing firms (ISO 1000). The data were analyzed using partial least squares structural equation modeling.
Findings
Customer orientation and interfunctional coordination, two distinct dimensions of market orientation, had positive effects on product innovation. Technological capability played a mediating role in the effect of customer orientation and interfunctional coordination on product innovation. In addition, interfunctional coordination positively affected product innovation in firms with low technological intensity, whereas customer orientation positively affected product innovation in firms with medium-high technological intensity.
Practical implications
For the success of product innovations, firms should establish mechanisms to obtain information about customer needs and expectations and to disseminate and effectively use this information among organizational functions. They also need to improve their technological capabilities to effectively transform market knowledge into product innovation.
Originality/value
The relationship between market orientation and product innovation has been examined in previous studies; however, there is an insufficient number of studies on the mediating role of technological capability in this relationship. This study aimed to eliminate the gap in the literature regarding the mediating role of technological capability. In addition, innovation activities of firms vary depending on the technological intensity, but only a limited number of evaluations have been conducted on this subject. This study contributes valuable knowledge to the relevant literature by examining the impact of market orientation dimensions on product innovation according to technological intensity.
Details
Keywords
Lenka van Riemsdijk, Paul T.M. Ingenbleek, Marleen Houthuijs and Hans C.M. van Trijp
Next to organic food products, an assortment of ethical products is emerging in the supermarket that targets the large market segment of consumers that are open for ethical…
Abstract
Purpose
Next to organic food products, an assortment of ethical products is emerging in the supermarket that targets the large market segment of consumers that are open for ethical product choices but do not restrict themselves to them. The purpose of this paper is to examine the positioning strategies that marketers use to persuade consumers in this segment to buy animal-friendly products (AFPs).
Design/methodology/approach
The authors approach product positioning from a consumption values perspective from which they examine strategies that make animal welfare (AW) personally relevant to the buyer because they reinforce AW with suitable consumption value (functional, emotional, social, sensory, epistemic and/or ethical). Using data from 129 AFPs from a Dutch supermarket, the authors explore the positioning strategies of these products.
Findings
The results identified four different strategies used to position AFPs in a Dutch supermarket. They respectively call upon consumers’ emotions, functional or sensory perceptions, curiosity and sense of public welfare. The findings also show substantial category differences, with fresh products relying predominantly on emotional value and processed food on functional value.
Originality/value
This study is the first to empirically explore positioning strategies of AFPs on the basis of their consumption values. The study offers a novel perspective to understand how companies try to extend the market for AFPs, thus providing a basis for a new research agenda.
Details
Keywords
Olimpia C. Racela and Amonrat Thoumrungroje
Grounded on resource-advantage (R-A) theory, the purpose of this paper is to investigate how customer orientation, as a higher-order or interconnected operant resource, enhances…
Abstract
Purpose
Grounded on resource-advantage (R-A) theory, the purpose of this paper is to investigate how customer orientation, as a higher-order or interconnected operant resource, enhances firm performance through creativity capability (i.e. idea generation and problem solving) and innovation capability (i.e. the implementation of creative ideas) – among firms of different sizes and within different market contexts. The authors conceptualize customer orientation as a firm’s capacity to create and deliver superior customer value through the processing of market intelligence, as demonstrated by the firm’s composite operant resources of market-sensing, customer-relating and customer-response capabilities.
Design/methodology/approach
Data were collected via qualitative in-depth interviews for scale development followed by a mail questionnaire survey for quantitative responses. A final sample size of 190 firms based in Thailand participated and the data were analyzed using structural equation modeling and bootstrapping multi-group comparisons to investigate the hypothesized mediation and moderation effects.
Findings
Customer orientation enhances organizational creativity and innovation capabilities, which improve firm revenue and financial performance. The relationships among customer orientation, creativity capability, innovation capability and firm performance vary depending on firm size, market dynamism and customer type.
Practical implications
Managers need to consider contextual factors, particularly firm size, market dynamism and the nature of their buyer markets as key contingencies in their resource deployment decisions intended to develop customer orientation and innovation capabilities.
Originality/value
This study advocates R-A theory by empirically revealing how different hierarchical resources within a firm are intertwined to provide firms with competitive R-A. The findings further highlight a contingent nature of customer orientation–innovation–performance relationships among firms in an emerging economy.
Details
Keywords
Esther L. Kim and Sarah Tanford
The purpose of this paper is to evaluate the extent to which consumers will exert more effort to avoid risk (negative reviews) versus seek reward (positive reviews) when making a…
Abstract
Purpose
The purpose of this paper is to evaluate the extent to which consumers will exert more effort to avoid risk (negative reviews) versus seek reward (positive reviews) when making a restaurant decision.
Design/methodology/approach
This study investigates the influence of distance and review valence on restaurant decisions. A 2 (base restaurant review valence: negative, neutral) × 2 (target restaurant review valence: neutral, positive) × 2 (distance: 30 min, 60 min) between-subjects factorial design was used.
Findings
People exert more effort to seek a reward versus avoid a risk. People will drive any distance to dine at a restaurant with positive reviews. However, the tendency to avoid a restaurant with negative reviews declines as distance increases.
Practical implications
This study emphasizes the critical role of positive reviews in the restaurant industry. This research provides guidance to operators to manage online reviews effectively. The marketing strategy taking into account review valence and distance allows the business to attract new customers and grow its customer base.
Originality/value
This research synthesizes asymmetry effects and prospect theory with the level of risk associated with the outcome. This research is theoretically noteworthy since the finding of a reverse asymmetry principle is in contrast with the traditional belief of risk-avoidance when comparing gains and losses.