Makarova Olga V., Pustovalova Tatiana A.
This case studies a question of allocating responsibilities for balance sheet risk management between bank divisions. Taking deposits and lending credits to its clients, сommercial banks face various types of risks caused by asymmetric resources. Abilities to apply transfer pricing correctly plays an important role in successful control and risk management, in balanced work of bank divisions and financial results improvement. The case is based on practical experience of a high-street Russian commercial bank and replicates discussion between bank managers at the bank Asset and Liability Committee meeting (ALCO). An important focus of this discussion is application of funds transfer pricing (FTP) system in managing divisions. Raised conflict be-tween divisional interests and goals of Treasury is widely described in the case study. Сase study analysis sets the following objectives: to demonstrate place and role of funds transfer pricing system in bank management process, consider various options of FTP system implementation, analyze their advantages and disadvantages, show the particular importance of this system in managing bank’s balance risks, understand the high-street bank organizational structure and the mechanism of interaction between its units. Currently, this case study is used in teaching the course “Banking Management” and it is recommended for students of undergraduate and graduate programs. Students got an opportunity to analyze advantages and disadvantages of the new system offered in case, complexity and interrelationships of interests of various bank structural divisions in managing process and to understand the complex process of introducing changes in a high-street commercial bank. The case study enables students to understand how to use transfer pricing system to balance resources between departments, how to recognize and manage balance sheet risks.
Kochkina Nataliya A., Shenkman Evgeniya A., Gordienko Anastasiya S.
Russian book market is one of the largest in the world in terms of new titles in print. However, this market is underexplored. There is no research dealing with an empirical demand or supply function estimation for this market. The purpose of this paper is to analyze the book demand function and to check whether this kind of demand is price and income elastic. On the basis of results retrieved, managerial recommendations are to be offered. For this purpose, the demand function for books is built and estimated both on the total sample and for particular literature genres. The peculiarity of the demand model estimation is the introduction in the model covariates indicating the book content quality such as the amount of people who gave rating on the website, average rating of the book from the website and the combined effect of these two variables. An empirical estimation of these factors influence has not been considered in the previous research yet. Model estimation was based on the data of one North-Western Federal District book retail chain. According to the estimation results, book demand is price inelastic; moreover, books are estimated to be luxury goods. The analysis of demand functions for separate genres suggests that the demand for each genre is price-insensitive. Only Russian and foreign prose, foreign fiction and poetry are luxury goods among all the genres analyzed. A foreign detective, Russian fiction and sentimental novel are normal goods, whereas Russian detective is an inferior goods. The results of the research might be of a particular interest for books retail chains and publishers.
Daviy Anna O., Rebiazina Vera A., Smirnova Maria M.
The role of e-commerce in the economic growth is constantly increasing; its development though depends on some limiting and driving factors. This paper investigates limiting and driving factors that influence e-commerce market development in Russia from the consumer perspective. To identify limiting and driving factors of the Russian e-commerce market development from the consumer perspective in Russia, a quantitative survey is applied. A new scale that includes 44 indicators to describe online shopping barriers and drivers has been developed. The total sample of 884 respondents is composed of consumers who are experienced in buying goods or services via internet. Exploratory factor analysis and K-means clustering analysis are applied to analyze the obtained data. The findings reveal the structure of driving and limiting factors, highlighting the core role of the trustworthiness and transparency of e-commerce market players, security risks and privacy concerns, reputation of the online store, consumer trust and online shopping infrastructure. Cluster analysis identified three main clusters: (1) consumers who appreciate benefits of making internet purchases, (2) consumers buying from abroad, and (3) cautious consumers with low level of trust. The findings from this study make several contributions to a growing body of literature on e-commerce. Firstly, the drivers and barriers of the e-commerce market development from the consumer and Russian market perspectives are revealed. Secondly, this is the study to compensate the lack of empirical research describing the barriers and drivers of the e-commerce market in Russia. Thirdly, this research extends our knowledge of the Russian e-commerce market and may serve as a base for future studies in this field.
Sokolov Dmitriy N., Zavyalova Elena K.
Based on the resource-based view of the firm, the paper introduces the conceptual analysis of the interrelationships between the key internal strategic resources of a firm: human resource management systems, human capital and knowledge. The considered resources were mainly analyzed by the previous research within the separate disciplinary domains and therefore may benefit from cross-domain integration. We build the conceptual scheme of interrelationships between strategic resources and discuss how these interrelationships may vary under different knowledge management (codification/personalization) and human resource management (control/commitment) strategies. Based on the analysis, we introduce four different configurations of strategies: “codification - control”, “personalization - commitment”, “codification - commitment”, and “personalization - control” and anticipate potential benefits of complementary configurations. The contribution of the study to the scholarship is in the conceptual explanation of the previous research findings on positive effects of complementary strategies and negative effects of conflicting strategies. In terms of practical implications, the paper provides analytical framework that can be used as a tool in a company’s strategizing process. The study highlights the importance of achieving complementarity between a company’s knowledge management and human resource management strategies as a way of avoiding dysfunctional organizational behavior.
Zenkevich Nikolai A., Gladkova Margarita A.
Value chain includes many participants whose main objectives are to maximize their own profit. However, the maximum of the whole value chain is not always achieved. Moreover, members may distort true earnings in order to increase their revenue part. There appears a need in contract revision to diminish the risk of opportunistic behavior. The paper aims to improve and test the incentive income imputation procedure based on specific revenue-sharing contracts which coordinate film value chain. The coordination concept of supply chain has been modified and applied to the motion picture industry. The suggested approach introduces transfer prices to the members of the chain and allows the transformation of counteragents’ participation contracts to sharing contracts. This innovation proves chain members’ motivation to maximize the total gain of the chain since the transfer price is constructed on the basis of the costs of the members and their shares in the final allocation of revenues. The developed approach can support decision-making in efficiency improvement at the stage of film value chain establishment. It gives the mathematically justified solutions which can serve as a starting point during contract negotiations between members of the film value chain. The approach has been tested on the case studies from the USA motion picture industry and the applicability of coordinating contracts is demonstrated.
KHADAROO IQBAL, ABDULLAH AMINAH
Although public private partnership (PPP) contract has been the subject of numerous debates and controversies, governments across the globe have increasingly used PPP to modernise public services. This study attempts to examine the attractiveness of the PPP policy, by analysing the interests of the government, private sector, and users in the field of UK school PPP contracts. Bourdieu’s analytical concepts of habitus, capitals and field are used to analyse interests in PPP and shed light on the insidious power relations in PPP processes. Interviews were conducted with public and private sector respondents familiar with UK school PPP contracts, to understand their interests. The field of PPP is animated with players and interests. Players use their positions and predispositions (or habitus) and their economic, social and symbolic capitals to generate strategies consistent with their interests in the success of PPP. PPP is particularly attractive to governments that are faced with increasing demands to keep public debt under control, whilst at the same time improve public services. It is argued that the value for money and efficiency arguments (dоxa) used to justify PPP mask a number of interests and the governments’ neoliberal ideology, which are not readily apparent in policy documents. The PPP policy, through conferring symbolic power to the private sector, has reconfigured power relationships in the field. This study provides a scholarly analysis of the interests at stake in the field of the UK government’s school PPP programme by using Bourdieu’s theory of practice. At the practical level, this study explains the popularity of the PPP policy by unmasking interests which are not easily captured in the government’s value for money discourse.