This chapter presents a set of tools, which allow gathering information about the frequency components of a time series. In a first step, we discuss spectral analysis and filtering methods. Spectral analysis can be used to identify and to quantify the different frequency components of a data series. Filters permit to capture specific components (e.g., trends, cycles, seasonalities) of the original time series. Both spectral analysis and standard filtering methods have two main drawbacks: (i) they impose strong restrictions regarding the possible processes underlying the dynamics of the series (e.g., stationarity) and (ii) they lead to a pure frequency-domain representation of the data, i.e., all information from the time-domain representation is lost in the operation. In a second step, we introduce wavelets, which are relatively new tools in economics and finance. They take their roots from filtering methods and Fourier analysis, but overcome most of the limitations of these two methods. Their principal advantages derive from (i) combined information from both time domain and frequency domain and (ii) their flexibility as they do not make strong assumptions concerning the data- generating process for the series under investigation.
Purpose – The purpose of this paper is to analyse the effect of distributing sustainable labels on the retailer’s corporate brand. More specifically, the objectives are to investigate how the scope of a portfolio of sustainable labels affects the consumer perceived ethicality (CPE) of the retailer that distributes them and to understand how the perceived ethicality affects retail patronage. Design/methodology/approach – In total, 230 individuals participated in a street intercept survey. Data were analysed with partial least squares structural equation modelling. Findings – Both the perceived scope of the portfolios of collective sustainable labels and retailer-owned sustainable labels improve the CPE of the retailer. In addition, the CPE of the retailer increases patronage. The portfolio of collective sustainable labels has more impact on the CPE of the retailer than the portfolio of retailer-owned labels, but the latter has more impact on retail patronage. Research limitations/implications – In addition to limitations inherent to the methodology (e.g. survey based on stated behaviours), the model developed is simple and exploratory and does not include potential boundary conditions of the highlighted effects. Practical implications – Sustainable labels may not only contribute to product sales and product positioning, but also to position the retailer brand by improving the consumer perception of ethicality and indirectly increase retail patronage. Originality/value – Anchored in the branding literature, this research is the first to conceptualize sustainable labels as a portfolio and measure their collective impact on the retailer’s corporate brand and indirectly on patronage.
The information-free event hypothesis associated with index additions has been very well documented in the finance literature. Most studies confirm that index addition conveys positive information about the future prospect of firms recently added to an index. However, this may not be the case for REITs, which are considered to have higher informational efficiency due to the transparent nature of their balance sheet. Using a sample of 108 additions to the S&P REIT Index over a period of 2000–2011, we test this hypothesis using analyst dividend forecasts. Our results are different from those found by similar studies in finance for non-REIT stocks. In most of the cases and consistent with our a priori expectations, the findings suggest that index addition announcement may not reveal much information beyond what is available from a REIT’s balance sheet. Specifically, our results suggest different responses of the analysts to the index announcement depending upon the type of revision to the dividend forecast. For positive revised estimates, the announcement does not seem to add any new information to the analysts. However, for the two other scenarios, i.e. negative revised estimates and no revision to the estimates, the results show some evidence of information bias. Thus, we see an asymmetric response depending on the type of revision made by the analyst. However, when we look at the longer time horizon between the forecasts, we find no influence of the index addition news for any of the cases analysed. Further, our results are robust to using EPS as a measure of analyst forecast as well.
Wright and Snell (1998) contend that HR flexibility is an important construct that may enable managers and management scholars to gain a greater understanding of the role of human resource management in enhancing firm performance. However, there is limited evidence regarding the psychometric properties of the measures that have been used to assess the HR flexibility construct and examine its effects. A primary objective of this study was to develop and validate a psychometrically sound measure of the HR flexibility construct. In this article, we present evidence of content validity/adequacy, internal consistency reliability, convergent validity, discriminant validity, and criterion-related validity that provides support for the use of this study’s multidimensional HR flexibility measure in subsequent empirical inquiries and theory testing efforts. Implications and limitations of this current research as well as avenues for future research are discussed.
Intangible services have fewer cues to enable consumer evaluation compared to physical goods. Cues are therefore particularly important for highly intangible services, since they provide tangible evidence of quality. This study explores whether luxury brand room amenities can be used as cues for customers to evaluate a hotel. This study attempts to identify what items and amenities guests find most/least useful and to examine whether luxury brand room amenities can enhance customers’ evaluation of a hotel and increase willingness to pay based on positivity bias. Wi-Fi was regarded as the most useful hotel amenity, while telephone was regarded as the least useful amenity. This study found customers willingness to pay is affected by providing luxury brand room amenities. When luxury amenities were placed in the room, customers’ estimation of the room rate and their willingness to pay for it both increased. Moreover, about two out of five expressed a willingness to pay extra for an upgrade to access luxury brand room amenities. The findings of this study provide important implications for hotel practitioners.
Despite the growing importance of foreign direct investment (FDI) in tourism for developing countries and its perceived developmental importance, there are few empirical impact studies. This paper explores tourism FDI and poverty alleviation through both the literature and a detailed review in The Gambia of the relative contribution of foreign versus locally owned hotels to development and poverty alleviation. Data was collected via an in-depth questionnaire with senior hotel management and through key informant interviews with tourism officials and stakeholders. The study provides empirical evidence of the relative characteristics, performance, and benefits of foreign investments, suggesting that different forms of hotel ownership have complex advantages and disadvantages for poverty alleviation. FDI was concentrated in larger, upmarket hotels, which tended to employ more staff, pay higher wages, and provide more training. However, they had a lower proportion of women employees and employment was more likely seasonal. They have more high-skilled positions, potentially offer staff mobility, but have more expatriates in management roles. Local food purchases were similar across hotel ownership types, as were local philanthropic initiatives, although there were differences of approach. Some resident foreign owners were involved in successful best practice community-linked businesses, driven by social service and environmental ethics.
Purpose – The purpose of this paper is to identify the factors influencing the choice of entry mode of computer-related (CR) service firms which are in a process of internationalization. The authors will focus on the characteristics of service defining its tradability. Design/methodology/approach – The objectives are achieved by first exploring the general drivers and the drivers specific to service firms via qualitative interviews and a literature review. Then, the model is tested empirically on CR service firms using structural equation modeling using partial least squares. Findings – Results show that the degree of tradability of the service influences the choice of entry mode. The higher the degree of tailor-made offer and face-to-face contact with the client, the more firms opt for an entry mode with high control, such as establishment abroad and/or joint-venture. Finally, firm size and international experience are also significant drivers behind the selection of entry mode. Research limitations/implications – As firms often choose several entry modes simultaneously, it is difficult to lead the research. Practical implications – In exports of digitalized and standardized services with little face-to-face contact, physical presence abroad is less important for success. It is more difficult to successfully market tailor-made services at the international level. Therefore, firms with limited capabilities should start exporting standardized services requiring limited face-to-face contact. Small firms wishing to become global players should preferably focus on exports of digitalized services and use internet, which is an attractive distribution channel. Moreover, when the confidentiality required for the service is an issue for the company, it is better to start with geographically near markets. Originality/value – In this research, service tradability came out as an original concept including service-specific characteristics leading to the selection of entry mode(s). The authors focussed on four characteristics of services which are on-line transmissibility, degree of confidentiality required, face-to- face contact, and finally the degree of customizability
Based on empirical analyses of US hotels, this study finds that hotel capitalization rate is a complex com- bination of macroeconomic and asset-class specific variables beyond the cost of capital, capital structure and growth rate. In particular, investors in hotel real estate base their cap rate measures on the perfor- mance of corresponding REITs. Incorporating asset specific trends improves the explanatory power of the capitalization rate model. A significantly persistent cap rate across consecutive-periods experiences an offsetting autoregressive effect in a year. Unusual increases in rents lead to investor scrutiny. Regula- tory environment significantly impacts the capitalization rate after controlling for the overall economic activity in a market.
We examine the relationship between online real estate searches by investors and the future returns of publicly traded real estate stocks in India. We find evidence that the relevant online search volume indices are significantly related to the future movements in real estate stock returns. However, the association between online searches and stock returns diminishes quickly. The findings suggest that the significance of the online searches is driven by the online investor’s attention to real estate stocks rather than the searches’ representativeness of the fundamental shifts in the market.
