摘要:

ABSTRACTThis paper investigates the optimality of making two insurance decisions independently in the expected utility framework, when the two risks under consideration are independent. It is shown that when the disutility function embodies constant risk aversion, independent decision‐making is identical to optimal joint decision‐making. When the disutility function has strictly decreasing risk aversion, joint decision‐making is always not less conservative than independent decision‐making, and the opposite holds when the disutility function has strictly increasing risk aversion. Stronger results are obtained for some particular disutility functions. Finally, some implications of these results for empirical research in utility and decision theory are con

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00764.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTThe central problem area in marketing may be conceived as the analysis and satisfaction of the consumer‐buyer in order to stimulate demand. In its most fundamental form, therefore, marketing is necessarily concerned with describing, explaining, and predicting the behavior of men as it pertains to the performance of marketing activities, including consumption. That is, marketing is necessarily concerned with the development of a general theory and within it, a theory of consumer behavior.In this article, the authors propose one possible foundation for a theory of consumer behavior. Towards this end, the nature of theory, the primary requirements of developing consumer theory and some of the problems presently encountered in meeting these requirements, are all considered. A theoretical approach which holds promise for overcoming these problems, relevant to theory‐development requirements, is then presen

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00765.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTIf a firm is owned by one person, that person can directly indicate to management the cost of his capital. The determination of the stockholder's cost of capital of a publicly owned firm is more complex. Econometric studies using past earnings, dividends, and capital structure have been performed by Miller and Modigliani, Gordon and others to estimate the cost of equity capital. But the cost of capital is a function of investor expectations and only indirectly related to past operating results.The objective of the study was to estimate the cost of capital using information obtained directly from investors. Personal interviewing of the investors of specific firms would be more meaningful to the management of that firm, but this technique was not feasible; thus a mail questionnaire sent to a select group of investors was used. Conclusions are reached relative to the magnitude of the cost of equity capital of four selected firms as of May‐June of 1968, and several surprising and contrasting insights concerning dividend policy, that could have financial policy implications, are obtained. The desirability of the financial manager obtaining more information from investors is stresse

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00766.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTAll organizations are faced with choices of reward system design. In order to make intelligent choices of compensation systems, promotions, supervisory styles and job content a model of human behavior is needed. The model must be at a level of abstraction which will generalize to the entire work force. This paper presents such a model, indicates its relation to reward system choices, and indicates a research strategy to test the hypotheses.

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00767.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTSetting up a system for maintaining control over an ongoing administrative process involves the problem of determining how frequently control information should be obtained. In this article a model for determining optimum reporting frequencies is described and explored from a managerial point of view emphasizing the data inputs and interpretations necessary to make the model operationally meaningful. Several forms of reporting schedules are discussed and procedures are given for determining optimum schedules under various operating conditions. An appendix contains a detailed statement of the mathematics and computations of a recursive procedure for determining an optimum schedule for a particular reporting situation and flow charts of the computer programs used for calculating optimum schedules for general use.

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00768.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTManagers of profitable firms frequently have a great deal of latitude in their decisions on resource allocation. Because they are often not the owners of their firms, their objectives may not be the maximum profit goal envisioned by classical economics. A more likely objective may involve a combination of profit and personal power. It is thus likely that some profits will be sacrificed to excess staff expenditures. For a large, decentralized firm such as a conglomerate, the adverse effect on profits caused by such motives in the subunit managers may be severe. However, direct intervention in subunit management may cause other deleterious effects. This paper utilizes the assignment of central office overhead as a motivating force and develops a formula for the optimal allocation of this overhead. Thus, direct intervention is minimized and the goals of subunit managers are utilized to achieve the desired result of higher profits.

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00769.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTThe authors believe that marketing applications of the semantic differential have not sufficiently explored the potential of the standard scales developed by the initiators of the semantic differential. The current study was undertaken to test the feasibility of a standard semantic differential instrument in store image measurement. The sets of scale evaluations of five department stores by forty female subjects were subjected to principle component analyses followed by a rotation for simple structure. The separate analyses for each store suggested certain similarities in the semantic space employed by subjects to judge quite dissimilar stores. A single analysis over subjects and stores simultaneously revealed a strongevaluativefactor, apotencyfactor and anoveltyfactor, but no separateactivityfactor. These factors appear closely identified withhonesty, femininity, andnoveltyas judgmental attributes of stores. This semantic structure is regarded as highly suggestive, but its utility in an ongoing managerial framework has yet to be proven.

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00770.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTThis article describes the design of a stock market exercise to be run with a business game (or a simulated business game). It reports on an exercise in which around 100 traders participated in a market, trading four stocks. The results obtained are reported: however, the work was primarily a feasibility study to see if very large group behavior could be studied in a controlled experiment. The experience gleaned from the experiment indicates that this is a fruitful approach.

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00771.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTThe purpose of the research was to determine the economic advantage of the accelerated depreciation procedures allowed by Revenue Procedure 67–40. This income tax procedure allows relatively free choice of depreciation method at any point in the asset's life. This choice affects two decisions. First, the decision to acquire a particular asset and second, if acquired, the depreciation method to be used for income tax purposes.A deterministic computer simulation was used to calculate the economic advantage of the new optimum procedure compared to the sum‐of‐the‐years‐digits method. The economic advantage is measured by the present worth of the depreciation tax shield. The independent variables are cost of capital, economic life, estimated salvage value, and income tax rate.The results of the simulation show that the added economic advantage of the new optimum depreciation procedure is small and is unlikely, in practical situations, to change the acquisition decision. The desirability of the new procedure for income tax purposes if the asset is acquired is less clear because the costs of using the new procedure are difficult t

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00772.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY

摘要:

ABSTRACTProfessional examples of a p‐chart and a c‐chart are presented as illustrations of a rather underdeveloped technique for administrative decision under risk. Each example shows preparation of the control chart, signals for review of strategy, appropriate management analysis, and results of action taken. A broad range of administrative control areas is suggested for each type of chart. In addition, sufficient computational formulas, information, and theory is included in compact form for the preparation and operation of five types of basic control cha

ISSN:0011-7315    

DOI:10.1111/j.1540-5915.1970.tb00773.x

出版商:Blackwell Publishing Ltd    

年代:1970

数据来源: WILEY