“If we want to save the world, we have to reinvent business education.” This is the recommendation of an Engaged Business Leaders’ Forum held on Friday 1 April, an invitation-only event attended by 17 distinguished guests. The event was organised by Professor Gail Whiteman. The group of senior executives of leading companies, environmental organisations and foundations, included H.R.H. Princess Irene of the Netherlands, chair of the Lippe-Biesterfeld Natuurcollege, and H.R.H. Prince Carlos de Bourbon de Parme, director of the Institute for Sustainable Innovation and Development (INSID).
On Friday 1 April 2011 Gail Whiteman presented her inaugural address entitled ‘Making Sense of Climate Change: How to Avoid the Next Big Flood -- Management Lessons for the 21st Century’. The focus of this lecture was how to make better sense of climate change. Professor Whiteman argued that it is essential for managers and academics to take a more systemic approach and collaborate with the natural sciences and local people. She ended with management lessons for the 21st Century.
A research into individual investors and their behavior has received a lot of consideration during the past, and is increasingly in the focus of interest of many scientists, not being confined only to economists. However, the particular way of looking at an individual investor has been subject to a great paradigmatic shift with the inclusion of the findings and the methodology of psychology into the financial studies. Despite many ongoing debates, this has slowly led to the establishment of behavioral economics and behavioral finance as widely recognized subdisciplines. In his dissertation, entitled Behavioral Finance and Agent-Based Artificial Markets, Milan Lovric analyzes market-wise implications of investor behavior and their irrationalities by means of agent-based simulations of financial markets.
For her inaugural address on 1 April 2011, Professor Gail Whiteman, Ecorys NEI Chair in Sustainability & Climate Change, will wear an Eco-Toga made of Returnity fabric. This fabric is Cradle to Cradle (C2C) certified, produced with a low environmental and social impact and is, after use, totally recyclable.
The Editorial Board of the Journal of Business-to-Business Marketing has voted "Purchasing Higher-Value, Higher-Price Offerings in Business Markets" by James C. Anderson and Finn Wynstra as Outstanding Article of the Year for 2010.
While the global biopharmaceutical industry maintains its promise of a bright future, it remains economically underperforming and continues to burn capital at an unprecedented pace. Experts argue that one reason for this staggering underperformance lies in the absence of appropriate managerial instruments that allow to fully exploit the potentials of the available scientific approaches. In his PhD dissertation Configurations of Inter-Firm Relations in Management Innovation: A Study in China’s Biopharmaceutical Industry, Johannes Meuer argues that the situation in the biopharmaceutical industry in China is unique. Its rapidly changing institutional infrastructure, the large number and diversity of organisations, and their intensive reliance on each other to access unique scientific competencies, make for an environment that induces firms to challenge existing and experiment with new management techniques.
In the last two decades several major financial crises occurred, including the 1994 Peso crisis, the 1997-1998 Asian crisis, the burst of the internet bubble in 2001-2002, and more recently the 2008-2009 credit crisis. During these financial crises the dependence between asset prices increases to levels exceeding those observed during tranquil periods. Due to this increased dependence, different markets tend to crash together during crises period. This has some important implications for practice. In his thesis, Extreme Dependence in Asset Markets Around the Globe, Thijs Markwat shows that the dependence between large stock returns is higher than the dependence between small to moderate stock returns.
Offices with a green energy label can achieve rents that are on average 6.5 per cent higher than those paid for comparable non-green offices, argue Dr. Maarten Jennen and his colleague Dr. Nils Kok from Maastricht University. They analysed almost 1,100 recent rental transactions in the Dutch office market. Alongside a green energy label, office rental prices are also higher if the buildings are located near a railway station.
ERIM is the publisher of two lines of printed books, the ERIM PhD Series and ERIM Inaugural Address Series. Thanks to an initiative of Wilfred Mijnhardt, Executive Director ERIM, these two lines of publications will in future become much greener. Gabi Helfert of Greening RSM talked to Wilfred about this exciting progress.
The association between ownership concentration and firm performance is very much influenced by both formal institutions like a country’s legal framework, labor protection and shareholder provisions as well as informal institutions like culture and codes of good corporate governance influence. The same goes for the association between firm performance and executive remuneration, as well as for the level of underpricing of initial public offerings (IPO). The results of empirical research in the area of ownership concentration and the identity of large shareholders of North-American listed companies indicate that these shareholders do not have any significant positive effect on the value or profitability of these companies. Therefore, there is little empirical evidence for one of the most important and most researched internal corporate governance mechanism. This disconnect between on the one hand the dominant agency theory on the role and influence of ownership concentration and on the other hand the currently available empirical evidence, shows that a thorough re-evaluation of the role of shareholders within corporate governance is necessary. In his PhD thesis An Institution-Based View of Ownership, which was awarded cum laude, Marc van Essen contributes to this re-evaluation of ownership by examining two broad issues.