The KLU faculty, post-docs, and PhD candidates regularly publish the results of their research in scientific journals. You will find a complete overview of all KLU publications below (e.g. articles in peer-reviewed journals, professional journals, books, working papers, and conference proceedings). Search for relevant terms and keywords, or filter the list by name, year of publication or type of publication. The references include DOIs and abstracts where available, and you can download them to your own reference database or platform. We regularly update the database with new publications.
Journal Articles (Peer-Reviewed)
Tröster, Christian, Niels Van Quaquebeke and Karl Aquino (2018): Worse than others but better than before: Integrating social and temporal comparison perspectives to explain executive turnover via pay standing and pay growth, Human Resource Management, 57 (2): 471-481.
Abstract: Organizations often pay greater salaries to higher-ranking executives compared to lower-ranking executives. While this method can be useful for retaining those at the organization’s apex, it may also incline executives at the bottom of the pay pyramid to see themselves at a disadvantage and thus exit the firm. Naturally, organizations often want to retain some of their lower-paid, but highly valuable executives; the question, then, is how organizations can reduce the turnover of lower-ranking executives. By integrating social with temporal comparison theory, we argue that, when executives earn relatively less than their peers, more pay growth (i.e., individual pay increases over time) leads to less turnover. By the same token, we also argue that pay growth is unrelated to the turnover of executives who already earn substantially more than their peers. The results of our analysis, which covered almost 20 years of objective data on a large sample of U.S. top executives, provide support for our theory.
van Pelt, Thomas D. and Jan C. Fransoo (2018): A note on “Linear programming models for a stochastic dynamic capacitated lot sizing problem”, Computers & Operations Research, 89 (January): 13-16.
Abstract: Tempelmeier and Hilger (2015) study the stochastic dynamic lot sizing problem with multiple items and limited capacity. They propose a linear optimization formulation for the problem based on a piece-wise linear approximation of the non-linear functions for the expected backorders and the expected inventory on hand. Building on the work of Tempelmeier and Hilger (2015), we correct an erroneous derivation of the linear optimization problem and propose an improved model.
Wan, Mingchao, Yihui Huang, Lei Zhao, Tianhu Deng and Jan C. Fransoo (2018): Demand estimation under multi-store multi-product substitution in high density traditional retail, European Journal of Operational Research, 266: 99-111.
Abstract: In large cities in emerging economies, traditional retail is present in a very high density, with multiple independently owned small stores in each city block. Consequently, when faced with a stockout, consumers may not only substitute with a different product in the same store, but also switch to a neighboring store. Suppliers may take advantage of this behavior by strategically supplying these stores in a coherent manner. We study this problem using consumer choice models. We build two consumer choice models for this consumer behavior. First, we build a Nested Logit model for the consumer choice process, where the consumer chooses the store on the first level and selects the product on the second level. Then, we consider an Exogenous Substitution model. In both models, a consumer may substitute at either the store level or the product level. Furthermore, we estimate the parameters of the two models using Markov chain Monte Carlo algorithm in a Bayesian manner. We numerically find that the Nested Logit model outperforms the Exogenous Substitution model in estimating substitution probabilities. Further, the information on consumers’ purchase records helps improve the estimation accuracies of both the first-choice probabilities and the substitution probabilities when the beginning inventory level is low. Finally, we show that explicitly including such substitution behavior in the inventory optimization process can significantly increase the expected profit.
Wiemer, Anita, Christina Mölders, Sebastian Fischer, Wolfram Kawohl and Wulf Rössler (2017): Effectiveness of Medical Rehabilitation on Return-to-Work Depends on the Interplay of Occupation Characteristics and Disease, Journal of occupational rehabilitation, 27 (1): 59-69.
Abstract: Introduction Work disability causes high costs for economy, organizations, and employees. However, medical rehabilitation does not always enable employees to return to their old jobs. In the present study, we investigated how disease classification and work characteristics interact in predicting the success of medical rehabilitation in terms of one's ability to return to a former job. Methods To this end, we matched 2009 patient data from the German Statutory Pension Insurance agency with job characteristics data from the Occupational Information Network (O*NET) 17.0 database. We used a multilevel approach and a sample of N = 72,029, nested in 194 occupational groups. Results We found that workers are less likely to reenter a former job if mental illnesses coincide with emotionally demanding labor and if musculoskeletal diseases coincide with extreme environmental conditions. We did not find different effects between occupational groups for other types of diseases (circulatory system, neoplasms, injuries, others). Conclusion Thus, the contextual overlap of disease and occupational characteristics notably lowers the chances of a successful return-to-work. These findings should be taken into account by physicians when attempting to set realistic goals for rehabilitation in collaboration with the patient and the funding agency.
Transchel, Sandra (2017): Inventory Management Under Price-Based and Stockout-Based Substitution, European Journal of Operational Research, 262 (3): 996-1008.
Abstract: We examine a stochastic inventory and pricing problem for a firm that sells two vertically differentiated products. The demands for the two products are determined by total (random) market size and the customers’ net utility from buying the two products, which is determined by the products’ quality attributes, the individual quality valuation (unknown to the firm), and the selling prices. In case the preferred product is out of stock, customers may be willing to buy a substitute instead, if their net utility is non-negative. Therefore, we analyze an inventory and pricing model, considering price-based and stockout-based substitution.We show that the demand function is not continuous in price. By decomposing the profit function into different price regimes, we are able to derive closed-form expressions for the stockout-based substitution rates (upward and downward substitution) and the optimal inventory levels under exogenous pricing. Under endogenous pricing, we find that the profit function is not necessarily unimodal. However, we show that a unique solution exists for the integrated price and inventory problem under price-based substitution only. Numerical results reveal that not considering stockout-based substitution (i) leads to lower profit margins for high-quality products and (ii) may cause severe supply-demand mismatches throughout the entire assortment. Finally, we show the performance of two approximated pricing policies.
Mölders, Christina, Niels Van Quaquebeke and Maria P. Paladino (2017): Consequences of Politicians’ Disrespectful Communication Depend on Social Judgment Dimensions and Voters’ Moral Identity, Political Psychology, 38 (1): 119-135.
Abstract: The present study investigates the consequences of respectful versus disrespectful communication in political debates on voters’ social judgments and voting decisions. Reconciling previously mixed results, we argue that the consequences of disrespect vary with the judgment dimension (communion vs. agency) and voters’ moral identity. An initial study (N = 197) finds that a political candidate's disrespect towards his or her opponent affects voting decision through voting intention. A second study (N = 327) shows that disrespect influences voting intention through communion but not through agency ratings. Qualifying the previous finding, a third study (N = 329) shows that both communion and agency judgments act as mediators, but in different ways depending on the level of moral identity. Overall, communion judgments played a more prominent part in explaining the consequences of disrespectful communication. Our findings thus present a nuanced picture of respect and disrespect in political communication and shed light on their ramifications.
Kunz, Nathan, Luk N. Van Wassenhove, Maria Besiou, Christophe Hambye and Gyöngyi Kovács (2017): Relevance of humanitarian logistics research: best practices and way forward, International Journal of Operations & Production Management, 37 (11): 1585-1599.
Abstract: Purpose This paper is based on a panel discussion at EurOMA 2015. The purpose of this paper is to identify a number of barriers to relevant research in humanitarian logistics. The authors propose a charter of ten rules for conducting relevant humanitarian research. Design/methodology/approach The authors use operations management literature to identify best practices for doing research with practice. The authors compile, condense and interpret opinions expressed by three academics and one practitioner at the panel discussion, and illustrate them through quotes. Findings The increasing volume of papers published in the humanitarian logistics literature has not led to a proportional impact on practice. The authors identify a number of reasons for this, such as poor problem definition, difficult access to data or lack of contextualization. The authors propose a charter of ten rules that have the potential to make humanitarian logistics research more relevant for practice. Practical implications By developing best practices for doing relevant research in humanitarian logistics, this paper enables the academic community and practice to better work together on relevant and impactful research projects. Academic knowledge combined with practice-inspired problems has the potential to generate significant improvements to humanitarian practice. Originality/value This paper is the first to address the problem of relevance of humanitarian logistics research. It is also one of the few papers involving a practitioner to discuss practical relevance of research. Through this unique approach, it is hoped that this paper provides a set of particularly helpful recommendations for researchers studying humanitarian logistics.
Ritzenhöfer, Lisa, Prisca Brosi, Matthias Spörrle and Isabell M. Welpe (2017): Leader pride and gratitude differentially impact follower trust, Journal of Managerial Psychology, 32 (6): 445-459.
Abstract: PurposeCurrent research suggests a positive link between followers’ perceptions of their leaders’ expression of positive emotions and followers’ trust in their leaders. Based on the theories about the social function of emotions, the authors aim to qualify this generalized assumption. The purpose of this paper is to demonstrate that followers’ perceptions of leaders’ expressions of specific positive emotions – namely, pride and gratitude – differentially influence follower ratings of leaders’ trustworthiness (benevolence, integrity, and ability), and, ultimately, trust in the leader.Design/methodology/approachThe hypotheses were tested using a multimethod approach combining experimental evidence (n=271) with longitudinal field data (n=120).FindingsBoth when experimentally manipulating leaders’ emotion expressions and when measuring followers’ perceptions of leaders’ emotion expressions, this research found leaders’ expressions of pride to be consistently associated with lower perceived benevolence, while leaders’ expressions of gratitude were associated with higher perceptions of benevolence and integrity.Originality/valueThis paper theoretically and empirically establishes that leaders’ expressions of discrete positive emotions differentially influence followers’ trust in the leader via trustworthiness perceptions.
Schwarzmüller, Tanja, Prisca Brosi, Vera Stelkens, Matthias Spörrle and Isabell M. Welpe (2017): Investors’ reactions to companies’ stakeholder management: the crucial role of assumed costs and perceived sustainability, Business Research, 10 (1): 79-96.
Abstract: Companies regularly have to address opposing interests from their shareholding and non-shareholding stakeholder groups. Consequently, a wealth of previous research has focused on how CEOs decide which stakeholder management activities to pursue and prioritize. In contrast, however, surprisingly little research has considered how (potential) investors react to a company’s management of shareholding and non-shareholding stakeholders and what factors drive their reactions in such contexts. We seek to fill this gap in the literature by conducting an experimental scenario study (N = 997) in which investment behavior is analyzed in situations in which management has to make a trade-off between shareholders’ and non-shareholding stakeholders’ interests. Our results show that (potential) investors consider the assumed costs of fulfilling non-shareholding stakeholders’ interests and the perceived sustainability of doing so for corporate success when making investment decisions in such contexts. In cases of low costs or high sustainability, participants were more willing to invest in a company that favored non-shareholding over shareholding stakeholders (thereby deciding against their immediate financial interests), while the opposite was true in cases of high costs or low sustainability. With these results, our paper broadens stakeholder theory’s focus by taking individual investors’ reactions to corporate stakeholder management into account. Moreover, it both provides evidence for and extends the “Enlightened Stakeholder Theory”, which proposes that organizations should fulfill stakeholders’ interests if doing so contributes to long-term firm value enhancement, but has so far not considered the role of the costs necessary for fulfilling stakeholders’ claims in such decisions.
Steinker, Sebastian, Kai Hoberg and Ulrich W. Thonemann (2017): The Value of Weather Information for E-Commerce Operations, Production and Operations Management, 26 (10): 1854-1874.
Abstract: To be efficient, logistics operations in e-commerce require warehousing and transportation resources to be aligned with sales. Customer orders must be fulfilled with short lead times to ensure high customer satisfaction, and the costly under-utilization of workers must be avoided. To approach this ideal, forecasting order quantities with high accuracy is essential. Many drivers of online sales, including seasonality, special promotions and public holidays, are well known, and they have been frequently incorporated into forecasting approaches. However, the impact of weather on e-commerce operations has not been rigorously analyzed. In this study, we integrate weather data into the sales forecasting of the largest European online fashion retailer. We find that sunshine, temperature, and rain have a significant impact on daily sales, particularly in the summer, on weekends, and on days with extreme weather. Using weather forecasts, we have significantly improved sales forecast accuracy. We find that including weather data in the sales forecast model can lead to fewer sales forecast errors, reducing them by, on average, 8.6% to 12.2% and up to 50.6% on summer weekends. In turn, the improvement in sales forecast accuracy has a measurable impact on logistics and warehousing operations. We quantify the value of incorporating weather forecasts in the planning process for the order fulfillment center workforce and show how their incorporation can be leveraged to reduce costs and increase performance. With a perfect information planning scenario, excess costs can be reduced by 11.6% compared with the cost reduction attainable with a baseline model that ignores weather information in workforce planning.
van Gils, Suzanne, Michael A. Hogg, Niels Van Quaquebeke and Daan van Knippenberg (2017): When Organizational Identification Elicits Moral Decision-Making: A Matter of the Right Climate, Journal of Business Ethics, 142 (1): 155-168.
Abstract: To advance current knowledge on ethical decision-making in organizations, we integrate two perspectives that have thus far developed independently: the organizational identification perspective and the ethical climate perspective. We illustrate the interaction between these perspectives in two studies (Study 1, N = 144, US sample; and Study 2, N = 356, UK sample), in which we presented participants with moral business dilemmas. Specifically, we found that organizational identification increased moral decision-making only when the organization’s climate was perceived to be ethical. In addition, we disentangle this effect in Study 2 from participants’ moral identity. We argue that the interactive influence of organizational identification and ethical climate, rather than the independent influence of either of these perspectives, is crucial for understanding moral decision-making in organizations.
Lu, Tao, Jan C. Fransoo and Chung-Yee Lee (2017): Carrier portfolio management for shipping seasonal products, Operations Research, 65 (5): 1250-1266.
Abstract: Many seasonal products are transported via ocean carriers from origin to destination markets. The shipments arriving earlier in the market may sell at higher prices, but faster shipping services can be costly. In this paper, we study a newsvendor-type shipper who transports and sells seasonal products to an overseas market, where the selling price declines over time. A set of vessels with different schedules and freight rates are available to choose from. Our analysis demonstrates that a portfolio of vessels has two distinct effects on mitigating uncertainties in both demand and vessels’ arrival schedules, while these two portfolio effects have been previously understood as separate issues in the literature. To find the optimal portfolio in our problem,we first show that when vessels arrive in a deterministic sequence, the optimal portfolio can either be derived in closed form (in the single-demand setting) or computed efficiently with a variation of the shortest-path algorithm (in the multi-demand setting). Then, based on these results, we propose an approximation procedure to address the general problem with an uncertain arrival sequence. In each iteration of the procedure, we only need to minimize a cost function approximated by a deterministic arrival schedule and the portfolio generated can converge to the optimal one under mild conditions. Finally, we present a real-world case studyto demonstrate several practical implications of managing a carrier portfolio.
Mölders, Christina and Niels Van Quaquebeke (2017): Some like it hot: How voters’ attitude towards disrespect in politics affects their judgments of candidates, Journal of Social and Political Psychology, 5 (1): 58-81.
Abstract: In public debates, political candidates often attack their opponents disrespectfully. Research revealed mixed effects of such behavior on voters’ candidate judgments. In order to understand these results, we argue that it is necessary to consider onlookers’ general attitude towards disrespect in politics. Across an experimental design (N = 229) and a field study (N = 199), we found that voters who consider disrespect a “necessary evil” in the political arena judged disrespectful politicians as more communal and more agentic. Furthermore, they displayed a higher intention to vote as well as actually voted more in favor of disrespectful candidates compared to voters who disapproved of disrespect in politics. The results show that the success of a disrespectful communication strategy substantively depends on the audience.
McKinnon, Alan C. (2017): Starry-eyed II: the logistics journal ranking debate revisited, International Journal of Physical Distribution & Logistics Management, 47 (6): 431-446.
Abstract: Purpose In a previous paper (McKinnon, 2013), the author questioned the principle and practice of journal ranking and discussed its effects on logistics research. Since then several important developments have occurred prompting a fresh review of the issues. The paper summarises the results of this review with the aim of stimulating further discussion on the subject. Design/methodology/approach New literature on the journal ranking debate has been reviewed. The validity of the journal ranking as a proxy measure of paper quality is explored using data from the UK Research Excellence Framework (REF) assessment. Changes to the ranking of ten logistics/supply chain management (SCM) journals in four listings are analysed, and possible reasons for the relatively low status of the journals are examined. Findings The influence of journal rankings on the academic research process is strengthening while the debate about their legitimacy has intensified. UK REF data cast doubt on the reliability of the journal ranking as an indicator of a paper’s merit. Logistics/SCM journals continue to occupy mid-to-lower tier positions in most listings, though there has been some improvement in their standing. Research limitations/implications The paper aims to alert those managing and undertaking logistics research to the dangers of overreliance on journal rankings in the measurement of research quality and productivity. Practical implications The paper may help logistics/SCM scholars to defend the position of their discipline and resist journal-ranking-induced pressures to marginalise it and devalue its outputs. Social implications In this paper, academic recruitment, promotion and motivation are considered. Originality/value The paper sheds new light on the relationship between journal ranking and individual paper quality, on recent changes in the rating of logistics/SCM journals and on the wider debate about the use of bibliometrics in assessing research quality.
Schnittka, Oliver, Alexander Himme, Dominik Papies and David Pellenwessel (2017): Are sponsors blamed for edging off? Consumer reactions to sponsorship terminations, Journal of Business Economics, 87 (7): 943-984.
Abstract: Firms regularly terminate sponsorships, even without publicly known misconduct by the sponsee such as athlete doping. Consumer reactions to these sponsorship terminations by firms have not been studied despite being a regular occurrence. Using a set of experimental studies, this paper analyzes consumer reactions to these sponsorship terminations (i.e., early and non-renewal) that were not caused by a sponsee’s misconduct, the underlying process that causes the reactions, and the role of several moderating factors (trust, power balance, and locus of control). Our findings reveal that sponsorship terminations have a negative effect on sponsors’ brand images‐-particularly early terminations that occur before the end of a contract‐-because consumers perceive these sponsorship terminations as unfair. The results also suggest that a termination is particularly harmful for the sponsor’s perceived fairness if the sponsor is powerful and if the termination decision is under the sponsor’s control. Further, the termination effect is particularly strong for firms that consumers trust.
Goel, Asvin and Stefan Irnich (2017): An Exact Method for Vehicle Routing and Truck Driver Scheduling Problems, Transportation Science, 51 (2): 737-754.
Abstract: In most developed countries working hours of truck drivers are constrained by hours of service regulations. When optimizing vehicle routes, trucking companies must consider these constraints to assure that drivers can comply with the regulations. This paper studies the combined vehicle routing and truck driver scheduling problem (VRTDSP), which generalizes the well-known vehicle routing problem with time windows by considering working hour constraints. A branch-and-price algorithm for solving the VRTDSP is presented. This is the first algorithm that solves the VRTDSP to proven optimality.
Anne Michel, Chris Baumann and Leonie Gayer (2017): Thank you for the music – or not? The effects of in-store music in service settings, Journal of Retailing and Consumer Services, 36: 21-32.
Abstract: Abstract Managers believe that in-store music has positive effects on customers’ responses; consequently, it is widely used in different service settings such as supermarkets and coffee shops. However, prior research shows inconclusive results about the effects of in-store music – namely positive, non-significant and even negative effects. To shed more light on the actual effects of in-store music, the authors provide a systematic literature review of journal articles to explore such effects in six frequently studied service settings: supermarkets, retail, restaurants, bars, cafeterias and banks. The present literature review has three objectives. First, the authors develop a conceptual framework to provide structure and guidance to the research stream about in-store music in service settings. Second, the authors take a closer look at the existence of in-store music (i.e., whether the presence of in-store music helps, has no effect, or ‘hurts’) as well as on the design of in-store music for each service setting separately (i.e., how in-store music has to be designed to have beneficial effects). Third, after elaborating the status quo (what do we know?), this review identifies areas for future research (what do we need to know?).
Gambardella, Alfonso, Christina Raasch and Eric von Hippel (2017): The User Innovation Paradigm: Impacts on Markets and Welfare, Management Science, 63 (5): 1450-1468.
Abstract: Innovation has traditionally been seen as the province of producers. However, theoretical and empirical research now shows that individual users—consumers—are also a major and increasingly important source of new product and service designs. In this paper, we build a microeconomic model of a market that incorporates demand-side innovation and competition. We explain the conditions under which firms find it beneficial to invest in supporting and harvesting users’ innovations, and we show that social welfare rises when firms utilize this source of innovation. Our modeling also indicates reasons for policy interventions with respect to a mixed user and producer innovation economy. From the social welfare perspective, as the share of innovating users in a market increases, profit-maximizing firms tend to switch “too late” from a focus on internal research and development to a strategy of also supporting and harvesting user innovations. Underlying this inefficiency are externalities that the producer cannot capture. Overall, our results explain when and how the proliferation of innovating users leads to a superior division of innovative labor involving complementary investments by users and producers, both benefitting producers and increasing social welfare.
Hoberg, Kai, Margarita Protopappa-Sieke and Sebastian Steinker (2017): How do Financial Constraints and Financing Costs Affect Inventories? An Empirical Supply Chain Perspective, International Journal of Physical Distribution & Logistics Management, 47 (6): 516-535.
Abstract: PurposeThe purpose of this paper is to identify the interplay between a firm’s financial situation and its inventory ownership in a single-firm and a two-firm perspective.Design/methodology/approachThe analysis uses different secondary data sources to quantify the effect of both financial constraints and cost of capital on inventory holdings of public US firms. The authors first adopt a single-firm perspective and analyze whether financial constraints and cost of capital do generally affect the amount of inventory held. Next, the authors adopt a two-firm perspective and analyze the inventory ownership in customer-supplier relationships.FindingsInventory levels are affected by financial constraints and cost of capital. Results indicate that higher costs of capital are weakly associated with lower inventories. However, contrary to the authors’ expectations, firms that are less financially constrained hold less inventories than firms that are more financially constrained. Finally, the authors find that customers hold the larger fraction of supply chain inventory in supplier-customer dyads.Practical implicationsThe authors’ results indicate that financial considerations generally play a role in inventory management. However, inventory holdings seem to be influenced only slightly by financing costs and inventory holdings between supplier and customer seem to be less than optimal from a financial perspective. Considering those financial aspects can lead to relevant financial advantages.Originality/valueIn contrast to other recent research, the authors study how the financial situation of a firm affects its inventory levels (not vice versa) and also consider inventories from a two-firm perspective.
Flöthmann, Christoph and Kai Hoberg (2017): Career Patterns of Supply Chain Executives: An Optimal Matching Analysis, Journal of Business Logistics, 38 (1): 35-54.
Abstract: This exploratory study analyzes the careers of 307 supply chain executives (SCEs). Motivated by career theory, our findings create new knowledge about the educational backgrounds and career paths that lead to SCE positions. Based on an optimal matching analysis, we are able to distinguish among six career patterns for SCEs. They differ in terms of the individuals’ previous professional experience, educational background, and the time they needed to arrive in an executive position. By characterizing the backgrounds and career paths of SCEs, we show that supply chain management (SCM) is truly a cross-functional profession. Our findings suggest that previous staff responsibility appears to be a more important hiring criterion than extensive SCM experience. While 56% of the executives had prior staff responsibility, only 12% of the cumulated careers were actually spent inside the SCM function.
Heuer, Justus, Christoph Merkle and Martin Weber (2017): Fooled by Randomness: Investor Perception of Fund Manager Skill, Review of Finance, 21 (2): 605-635.
Abstract: Return-chasing investors almost exclusively consider top-performing funds for their investment decisions. When drawing conclusions about the managerial skill of these top performers, they tend to neglect fund volatility and the cross-sectional information contained in the number of funds and the distribution of skill. In multiple surveys of sophisticated retail investors, we show that they do not fully understand the role of chance in experimental samples of fund populations. Respondents evaluate each fund in isolation and do not sufficiently account for fund volatility. They confuse risk taking with manager skill and are thus likely to over-allocate capital to lucky past winners.
Pallis, Athanasios A., Francesco Parola and Michele Acciaro (2017): Empirical methods in the study of maritime economics, Maritime Economics & Logistics, 19 (2): 189-195.
Leenders, Bart P.J., Velázquez Martínez, Josué C. and Jan C. Fransoo (2017): Emissions allocation in transportation routes, Transportation Research. Part D: Transport and Environment, 57: 39-51.
Abstract: This article studies the allocation of CO2 emissions to a specific shipment in routing transportation. The authors show that this problem differs from a cost allocation problem specifically because the concavity condition does not hold necessarily in the CO2 allocation problem. This implies that a traditional cost allocation method cannot be straightforwardly translated into a CO2 allocation problem, and thus, new methods need to be developed. This study proposes four allocation mechanisms that are extensions from the literature and the common practice in industries. In doing so, the authors introduce the concept of carbon efficiency to assess if a particular allocation rule drives companies to carbon emissions reduction. They present analytical properties that show that the current practice of allocating CO2 emissions based on the greenhouse gas protocol, fails to be sensitive to drive companies to the sustainable practice of placing consolidated orders. The authors also conduct an experimental analysis using data of a logistics service provider that operates in Europe. Using the results of the experiments, they show that simple allocation methods can lead to a fair and carbon efficient allocation. In addition, the study provides insights by conducting a sensitivity analysis, and it shows that the CO2 allocations are not substantially susceptible to shipment size estimation errors.
Kosmas, Vasileios and Michele Acciaro (2017): Bunker levy schemes for greenhouse gas (GHG) emission reduction in international shipping, Transportation Research Part D: Transport and Environment, 57: 195-206.
Abstract: A fuel levy is one of the market-based measures (MBMs) currently under consideration at the International Maritime Organization. MBMs have been proposed to improve the energy efficiency of the shipping sector and reduce its emissions. This paper analyses the economic and environmental implications of two types of levy on shipping bunker fuels by means of an analytical model built on the cobweb theorem. A unit-tax per ton of fuel and an ad-valorem tax, enforced as a percentage of fuel prices, are examined. In both cases, a speed and fuel-consumption reduction equivalent to an improvement in the energy efficiency of the sector would be expected as a result of the regulation enforcement. The speed reduction in the unit-tax case depends on fuel prices and the tax amount, whereas in the ad-valorem case it relies upon the enforced tax percentage.Both schemes lead to industry profit decline, the extent of which depend on the structure of the levy and market conditions. Since there is concern that the costs resulting from the policy will be passed from shipping companies to their customers along the supply chain, the paper dwells on how the costs arising from the enforcement of the levy will be actually allocated between ship-owners and operators, and cargo-owners. In a market characterised by high freight rates and with no or limited excess capacity, a higher percentage of the total tax amount is transferred from ship-owners to shippers. In case of a recession the opposite happens.
Fischer, Marc and Alexander Himme (2017): The Financial Brand Value Chain: How Brand Investments Contribute to the Financial Health of Firms, International Journal of Research in Marketing, 34 (1): 137-153.
Abstract: Marketing and finance executives follow different objectives and focus on different stakeholder groups. Marketers want to create sales impact. Finance executives are concerned about the financial health of the firm. As a result, both worlds tend to be rather disconnected in their daily business. We argue that this does not reflect the dynamics of the firm where important marketing and financial metrics in fact interact. As long as marketing and finance officers do not fully appreciate the interplay of their key metrics, their decisions are likely to be suboptimal.This article proposes a simultaneous equation model that reflects the interaction of marketing and finance-domain variables in the value creation process. We focus on brand-building activities and the attraction of capital as major tasks of marketing and finance officers. Our model shows how advertising and other investments increase customer-based brand equity (CBBE) that in turn impacts financial leverage and credit spread and ultimately elevates the level of financial resources.Based on a broad sample of 155 firms covering various B2C industries, we test for the empirical relevance of our model. We also assess the practical significance of our results by transforming them into elasticities. Our results suggest that marketing and finance executives need to consider the dynamic interaction of their decision and performance variables to fully evaluate the effects of their decisions on the firm's financial health.