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The hidden treasure of digital piracy? It can boost bottom line for manufacturers, retailers

HBO's popular television series "Game of Thrones" returns in April, but millions of fans continue to illegally download the program, giving it the dubious distinction of being the most pirated program. Many may wonder why the TV network hasn't taken a more aggressive approach to combating illegal streaming services and downloaders. Perhaps it is because the benefits to the company outweigh the consequences. Research analysis by faculty in Indiana University's Kelley School of Business and two other schools found that a moderate level of piracy can have a positive impact on the bottom line for both the manufacturer and the retailer -- and not at the expense of consumers. "When information goods are sold to consumers via a retailer, in certain situations, a moderate level of piracy seems to have a surprisingly positive impact on the profits of the manufacturer and the retailer while, at the same time, enhancing consumer welfare," wrote Antino Kim, assistant professor of operations and decision technologies at Kelley, and his co-authors. "Such a win-win-win situation is not only good for the supply chain but is also beneficial for the overall economy." While not condoning piracy, Kim and his colleagues were surprised to find that it can actually reduce, or completely eliminate at times, the adverse effect of double marginalization, an economic concept where both manufacturers and retailers in the same supply chain add to the price of a product, passing these markups along to consumers. The professors found that, because piracy can affect the pricing power of both the manufacturer and the retailer, it injects "shadow" competition into an otherwise monopolistic market. "From the manufacturer's point of view, the retailer getting squeezed is a good thing," Kim said. "It can't mark up the product as before, and the issue of double marginalization diminishes. Vice versa, if the manufacturer gets squeezed, the retailer is better off. "What we found is, by both of them being squeezed together -- both at the upstream and the downstream levels -- they are able to get closer to the optimal retail price that a single, vertically integrated entity would charge." In the example of "Game of Thrones," HBO is the upstream "manufacturer" in the supply chain, and cable and satellite TV operators are the downstream "retailers." Kim and his co-authors -- Atanu Lahiri, associate professor of information systems at the University of Texas-Dallas, and Debabrata Dey, professor of information systems at the University of Washington -- presented their findings in the article, "The 'Invisible Hand' of Piracy: An Economic Analysis of the Information-Goods Supply Chain," published in the latest issue of MIS Quarterly. They suggest that businesses, government and consumers rethink the value of anti-piracy enforcement, which can be quite costly, and consider taking a moderate approach. Australia, for instance, due to prohibitive costs, scrapped its three-strikes scheme to track down illegal downloaders and send them warning notices. Though the Australian Parliament passed a new anti-piracy law last year, its effectiveness remains unclear until after it is reviewed in two years. As with other studies, Kim and his colleagues found that when enforcement is low and piracy is rampant, both manufacturers and retailers suffer. But they caution against becoming overzealous in prosecuting illegal downloaders or in lobbying for more enforcement. "Our results do not imply that the legal channel should, all of a sudden, start actively encouraging piracy," they said. "The implication is simply that, situated in a real-world context, our manufacturer and retailer should recognize that a certain level of piracy or its threat might actually be beneficial and should, therefore, exercise some moderation in their anti-piracy efforts. "This could manifest itself in them tolerating piracy to a certain level, perhaps by turning a blind eye to it," they add. "Such a strategy would indeed be consistent with how others have described HBO's attitude toward piracy of its products."

Declaring a New Year's Resolution for 2019? Baylor Experts Can Help

WACO, Texas (Dec. 17, 2018) – As 2019 approaches, many Americans are considering ways to improve themselves via New Year’s resolutions. Whether it’s personal, like losing weight or clearing clutter, or it’s professional, such as being a better manager or breaking away from smartphones, the options are wide-ranging. Here is a listing of Baylor University research that might help advise those seeking positive change in the coming year. First and Foremost, Resolve not to Over-resolve Only 10 to 20 percent of people keep their resolutions, says Sara Dolan, Ph.D., associate professor and graduate program director of clinical psychology. She advises setting “bite-sized goals instead of a massive behavior change.” Rather than giving up sugar completely or going all out at the gym, she advises achieving small successes before moving on. Ask Yourself: “Do I really want to work from home?” Many U.S. employees believe working from home – or at least away from the office – can bring freedom and stress-free job satisfaction. A 2018 Baylor University study says, “Not so fast.” The research, led by Sara Perry, Ph.D., assistant professor of management in Baylor University’s Hankamer School of Business, found that: Autonomy is critical to protecting remote employees’ well-being and helping them avoid strain. Employees reporting high levels of autonomy and emotional stability appear to be the most able to thrive in remote-work positions. Employees reporting high levels of job autonomy with lower levels of emotional stability appear to be more susceptible to strain. “Any organization, regardless of the extent to which people work remotely, needs to consider well-being of their employees as they implement more flexible working practices,” the researchers wrote. Read more here. Save Money by being a Better Negotiator In today’s retail climate, where stores struggle to keep up with online competition and customers can compare prices with the ease of their smartphones, the price tag is just a starting point for negotiations, said negotiation expert Emily Hunter, Ph.D., associate professor of management in Baylor’s Hankamer School of Business. “No longer do you need to pay sticker price for everything you buy. The customer is now empowered to have a say in pricing, and even hourly retail workers are often empowered to give price discounts when requested,” Hunter said. Hunter said negotiations – whether in a retail setting or in the workplace – require confidence. “Many people are hesitant to negotiate because they don’t know how or they are worried about the other person’s reaction (Will they think I’m greedy?),” she said. “But practice can increase your confidence in your ability to negotiate. Rejection is less common than you fear, and retail stores especially are often willing to work with you.” She offered the following tips to increase the chances of greater deals at the check-out counter. Resolving to Be More Generous in the New Year Many Americans already have enough “stuff,” and the gift-giving season sometimes adds to that collection of things we really don’t need. Instead of always receiving, how can we resolve to be more generous in the New Year? “Whatever our station, however much money or resources we have, we all have something to share and something to give,” says Andy Hogue, Ph.D., senior lecturer in Baylor’s Honors College who teaches a course on philanthropy and the public good. “I like the idea of thinking in terms of a New Year’s resolution, sort of resolving to be more generous and helping people to think in those ways.” Hogue offers individuals and families four ways to develop a spirit of generosity in the New Year. Home Cooking Saves Money, Encourages Better Diet The more home-prepared foods used, the less risk there is of eating too many calories and fat calories, says Baylor University nutrition expert Janelle Walter, Ph.D., professor of family and consumer sciences and Nutrition Sciences Program coordinator. Home cooking also saves money and allows for more fruits, vegetables and dairy products — which often are missing when pre-prepared products are used — as well as less fat, sugar and salt. Some tips for prepping at home are making a precise list, lining up recipes and lists of ingredients, shopping when you aren’t hungry and preparing five main dishes at a time to see you through a few days. Involve your family in choosing foods, shopping and preparing foods, Walter says. Many simple and quick recipes are on online sites, she said, referencing these from Southern Living. Consider a New Approach to Dieting Meredith David, Ph.D., assistant professor of marketing in Baylor’s Hankamer School of Business, researched successful dieters and how they were different from others. Her research results have received national attention. “Our research shows that instead of creating rules to avoid one’s favorite treats, dieters should focus on eating healthy foods that they enjoy,” David said. “Dieters who restrict themselves from consuming the foods they love most may be setting themselves up for failure. Instead, they may be better off by allowing occasional ‘treats’ and focusing attention on healthy foods that they enjoy and making it a point to include those tasty but healthy foods in their diet.” Read the full article. Be Humble and Helpful In hard times, you know how much a helping hand means — and how humbling those times can be. So it might be good to resolve to look for opportunities to assist in 2019, while remembering not to pat yourself on the back for doing so. A decision to help someone else is influenced by time pressure, number of bystanders, empathy or a person's own distress — but that’s not all, says Baylor researcher Wade Rowatt, Ph.D., professor of psychology and neuroscience. “While several factors influence whether people will volunteer to help, it appears that humble people, on average, are more helpful than individuals who are egotistical or conceited.” Cultivate Patience — and Better Mental Health People who are more patient toward others also tend to be more hopeful, grateful and satisfied with life, says Sara Schnitker, Ph.D., associate professor of psychology and neuroscience. And there is more than one type of patience, including interpersonal patience — dealing with annoying people without losing your cool; handling life hardships — such as illness or unemployment — without frustration or despair; and coping with such daily hassles as traffic jams, computer woes and long lines. In her research, Schnitker invited undergraduates to two weeks of patience training, where they learned to identify feelings and their triggers, regulate their emotions, empathize and meditate. If you want to build your own patience, she recommends following three steps: identify, imagine and sync. First, take a moment to slow down an identify how you are feeling and why you might be feeling that way. Second, try to imagine or reappraise the situation from a different perspective or in a new way that helps you to be calm. Finally, sync with your purpose. Try to connect how what you are doing or enduring helps you pursue larger goals or your life purpose. When Ailing, Talk to A Doctor Instead of Searching the Internet for Answers Rather than heading to the doctor — or even the medicine cabinet — some people turn first to the Internet when they are ailing , according to a Baylor University researcher. Especially for folks who have trouble handling uncertainty, "cyberchondria" — the online counterpart to hypochondria — worsens as they seek answers, says Thomas Fergus, Ph.D., an associate professor of psychology and neuroscience in Baylor's College of Arts & Sciences. “They may become more anxious. And the more they search, the more they consider the possibilities,” he says. Doubts about health also can trigger worries about medical bills, disability and job loss, he said. And that can lead to a Catch-22 of more Googling (sometimes of questionable sources). Rather than giving in to cyberchondria, resolve to call your doctor — and take what you read with a grain of salt. In Conflicts with your Significant Other, Relinquish Power During spats with your spouse or significant other, the most common thing people want is not an apology, but a willingness to relinquish power, says Keith Sanford, Ph.D., professor of psychology and neuroscience in Baylor University's College of Arts & Sciences. That comes in many forms, among them giving a partner more independence, admitting faults, showing respect and being willing to compromise. Following closely behind the desire for shared control was the wish for the partner to show more of an investment in the relationship by such ways as sharing intimate thoughts or feelings, listening and sharing chores and activities, Sanford said. Sleep Better in the New Year Writing a “to-do” list at bedtime may aid in falling asleep, according to a Baylor University study by Michael K. Scullin, Ph.D., director of Baylor’s Sleep Neuroscience and Cognition Laboratory and assistant professor of psychology and neuroscience. Scullin's 2018 research compared sleep patterns of participants who took five minutes to write down upcoming duties versus participants who chronicled completed activities. Scullin suggests that writing a list may allow the brain to “offload” them instead of cycling through them repeatedly. Other hints: Use the bed for sleep rather than studying or entertainment; keep a regular sleep schedule; avoid electronics near bedtime; don’t take long day naps; and stay away from stimulants at least six hours before bedtime. Clear Out Clutter Without Getting Frazzled “Don’t try to organize the entire house in one weekend,” said Elise King, assistant professor in the department of family and consumer sciences. “You are much more likely to complete a task, especially one that you’ve probably been avoiding, if you break it into small goals. Don’t try to clean out an entire room over a weekend; instead, focus on the desk one week, the closet the next, and so forth.” Finally, involve your family, strive to make organization a routine — and reward yourself for your efforts. Break Away from the Smartphone Baylor marketing researchers James Roberts and Meredith David, Ph.D. have conducted numerous studies on the effects of smartphone technology on relationships. Their studies on “phubbing” – phone snubbing – have garnered national and international interest, given the pervasiveness of smartphone technology and its impact on relationships. Their studies have found: Bosses Who “Phone Snub” Their Employees Risk Losing Trust and Engagement “Phubbing” can damage romantic relationships and lead to higher levels of depression People who are phone snubbed by others are, themselves, often turning to their smartphones and social media to find acceptance “Although the stated purpose of technology like smartphones is to help us connect with others, in this particular instance, it does not,” David said. “Ironically, the very technology that was designed to bring humans closer together has isolated us from these very same people.”

Why Some Mannequins Are Turning Blue, Taking a Dive and Putting on Weight

Baylor University fashion expert and author explains new twists in 'silent selling' -- and why frustrated customers may be relieved Women have long griped about pencil-thin mannequins in clothing displays, saying they bear little resemblance to real women’s bodies and make shopping frustrating and depressing. But the criticism is beginning to make inroads, and some members of the apparel industry are introducing changes to stop idealizing thin bodies and make mannequins more inclusive — among them creating mannequins with curvier shapes, modeling the figures after disabled people and, in a very different approach, fashioning forms that are totally unrealistic, says Baylor University researcher Lorynn Divita, Ph.D., co-author of the textbook "Fashion Forecasting” and associate professor of apparel merchandising in Baylor’s Robbins College of Health and Human Sciences. And more change may be in the works, prompted by research. A 2017 study published in the Journal of Eating Disorders found that 100 percent of the female mannequins studied in two large English cities represented an underweight body size — one that would be “medically unhealthy.” (Note: While female mannequins look scrawny, many of their male counterparts are brawny. Only 8 percent of male mannequins represented an underweight body size — although many appeared “unrealistically muscular,” researchers said.) Divita, who conducts research on the apparel industry, tracks trends and makes fashion predictions, offers some observations in this Q&A: Q: If mannequins are supposed to be a “silent seller” and a strong method for attracting customers, why are they so skinny that it is discouraging to women who are average or bigger? Why can’t their makers pack a few extra plastic pounds on them? A: For one thing, mannequins are expensive. The material for one that’s larger is going to cost more, the same way it is for plus-size garments, because you use more material. Typical department store mannequins can cost on average $500 to $900, and it can cost $150 just to repair a joint on a broken mannequin. In New York, where the retail industry is widely unionized, in some stores the sales associates are not allowed to touch the store mannequins. That responsibility is solely for visual merchandisers as a means of protecting the store’s investment. Another reason smaller mannequins have been appealing to retailers is that smaller dimensions make it easier to put on and remove clothing. Q: Wouldn’t it be worth the investment to make them bigger to showcase more realistic or inclusive figures and attract those customers? A: I recently visited the corporate offices of plus-size design company ELOQUII in New York, and their creative director, Jodi Arnold (B.S.H.E. ’88), shared with me that 65 percent of U.S. women are over size 14. Yet they represent only 17 percent of apparel spending. It’s hard to determine cause and effect: are they not spending on apparel because a wide variety of options aren’t available? Or is it that a wide variety of options are not available because this market does not spend on apparel? ELOQUII is betting on the former. In addition to their online store, they’ve recently begun opening brick-and-mortar storefronts which, unlike their website, feature merchandise on mannequins. Hopefully as the plus-sized apparel market continues to grow, the increased demand for plus-sized mannequins will result in wider representation of mannequin body types overall. Q: If most mannequins don’t reflect the majority of women’s physiques, where does the inspiration come for their sizes and shapes? A: Many mannequins can be sculpted using the measurements of live models or even have their proportions based on a celebrity who has a widely admired figure. Just like there is no standard apparel sizing system for women, there is no standard sizing system for display mannequins. Q: Besides beginning to be a bit more realistic in size, how are mannequins evolving? A: We are used to traditionally seeing mannequins in static poses like standing or sitting. With the rise in popularity of activewear, stores are devoting more floor space to this merchandise category, and it only makes sense to put those mannequins in dynamic positions like doing yoga poses or running. Another great example of dynamic poses can be found in swimwear: there are some great displays of mannequins diving. The impact of dynamic poses such as these are heightened when mannequins are displayed in groups of five or seven. Dynamic poses are currently being taken to the next level by actually suspending mannequins from the ceiling, so who knows how far this trend can go? One way to address representation is to go in the opposite direction and make a mannequin that is totally unrealistic. The last time I was shopping, I saw an entire section merchandised with glossy light-blue mannequins. This is actually a very clever way of appealing to everyone by targeting no one. Another interesting thing is that new technology allows visual merchandisers to creatively alter a mannequin’s appearance without changing it permanently by printing vinyl stickers to affix to mannequins’ faces. Merchandisers can print out bold lips or dramatic eyelashes, affix them to the mannequin in the display and easily take them off when they are done, which gives visual merchandisers yet another way to attract our attention. ABOUT LORYNN DIVITA, Ph.D. Divita is the author of the textbook “Fashion Forecasting” (Fourth edition, Fairchild Books). Her publications have appeared in the Journal of the Textile Institute and Journal of Fashion Marketing and Management, both published in England; Clothing and Textiles Research Journal and Journal of Textile and Apparel Technology and Management. She is the United States editor for the Bloomsbury Fashion Business Case Studies project and is on the editorial board of the Journal of Fashion, Style and Popular Culture. Divita received her B.A. in French and B.S. in fashion merchandising from California State University Chico, her Master’s degree in apparel manufacturing management from University of Missouri, and her Ph.D. in textile products marketing from University of North Carolina at Greensboro.

How to Negotiate the Best Retail Price: Baylor Expert Shares 11 Tips

Confidence in retail negotiations can lead to confidence in salary talks as well, management expert says In today’s retail climate, where stores struggle to keep up with online competition and customers can compare prices with the ease of their smartphones, the price tag is just a starting point for negotiations, said a negotiation expert at Baylor University. “No longer do you need to pay sticker price for everything you buy. The customer is now empowered to have a say in pricing, and even hourly retail workers are often empowered to give price discounts when requested,” said Emily Hunter, Ph.D., associate professor of management in Baylor University’s Hankamer School of Business, and an expert in negotiation and conflict management. Hunter said negotiations – whether in a retail setting or in the workplace – require confidence. “Many people are hesitant to negotiate because they don’t know how or they are worried about the other person’s reaction (Will they think I’m greedy?),” she said. “But practice can increase your confidence in your ability to negotiate. Rejection is less common than you fear, and retail stores especially are often willing to work with you.” She offered the following tips to increase the chances of greater deals at the check-out counter. Be nice. First and foremost, always be kind and polite when asking for a discount in retail settings, Hunter said. You are much more likely to be successful if someone wants to help you out, as opposed to demanding a discount or raising your voice to puff up your sense of power. It’s not a power play. Instead, negotiating is a matter of give-and-take. Find defects. It is easier to negotiate an item if you can find something wrong with it. Most stores have a policy in place that allows cashiers and salespeople to offer a moderate discount (typically 10-15 percent), but when they offer it, be persistent and politely try to push them for more. “I’ve negotiated a rug because it was on the sales floor and had frayed edges, a metal cabinet with a dent in the back (Who will ever see that? It’s in the back!), and clothing with a slight stain,” Hunter said. “Point out the defect to the person you are negotiating with and ask for half off.” Look for mark-downs. If an item is marked down or “open-box,” then ask for further discounts, Hunter advised. Remember, the store already acknowledged that the item is worth less than original price and they are likely desperate to be rid of it quickly. “Borrow” a coupon during check-out. When making a purchase, Hunter said she is often asked the question: “Do you have a coupon?” Instead of saying no, she said it might save some money to consider another reply. “Whenever I’m asked this question at check-out, I reply, ‘No, do you have one I could use?’ This works more often than you might think and can result in sweet savings. No clipping required,” she said. Prepare yourself – quickly. When you see an item that could be a good opportunity to negotiate, Hunter said it’s best to prepare quickly with three steps. First, set a strong goal for yourself, usually in the form of a steep discount you will request. Second, set a “redline” price, the highest price you are willing to pay. Third, consider your best alternative – which might be purchasing the same item online for less – if negotiations fail. Find a BATNA. “In negotiation lingo, we call your best alternative your BATNA – Best Alternative to a Negotiated Agreement,” Hunter said. “In retail, it’s extremely important to shop around both at other stores and online to see if the same or a similar item is offered elsewhere for less. This can be your bargaining chip to ask for a discount.” She explained that most big-box stores now have a price-matching policy, but it’s worth trying to go beyond the price match and ask for an additional 10 percent discount, particularly if you agree to purchase at that moment. “Think about it from the store’s perspective,” she said. “They want to keep you from buying from major online retailers, so they might agree to a discount.” Ask for a higher discount than you’re seeking. Let’s say you’re seeking $200 off the price of a refrigerator. Hunter said it’s not wise to start your negotiation by asking for $200 off, because you are almost guaranteed to get less than that. “In negotiations, both sides expect some give-and-take, and the retailer is unlikely to accept your first offer,” she said. “Start by asking for $500 off the fridge and see what they say. Even better, back up your offer by pointing out a defect, a cheaper price online for the same product or evidence of a sale at the same store that just ended.” Pretend you own the business. Think from the seller’s perspective, Hunter advised. Consider what the seller wants from you, the customer. Besides the obvious answer of higher sales and profit, simply offering to write a review online could be very helpful, especially for small businesses. “I once got a great deal on a tool cabinet because I offered to write a positive review on the customer experience survey (you know, the one you get on your receipt that few people fill out?). The manager said that would be wonderful because his store performance is assessed partly based on those customer surveys and he really needed a good review that quarter,” Hunter said. Always negotiate furniture. Hunter said the markup on furniture is often extremely high, as much as 80 percent, and that makes furniture a target for negotiation. “I always negotiate when buying everything from mattresses to sofas to end tables,” she said. “Ask for big discounts at first, as you never know how desperate they are to rotate their stock. And try asking for steeper discounts if you buy multiple pieces, or buying a sofa set and getting the coffee table thrown in for free.” Choose your opponent wisely. When you choose to negotiate, make sure you’re dealing with the people who can make the decisions, Hunter said. Sometimes the clerks on the floor might not be the best option, so jump straight to the cashier or the manager to work with someone who has the authority to make a pricing decision. Remember the ultimate goal.  Negotiation is not just about saving a few dollars, Hunter said. Instead, it’s about building negotiating skills. “Negotiating in retail settings can be a helpful practice to build your confidence to negotiate more important items such as salary and work projects,” she said. “While negotiating salary and other relationship-based issues at work differs quite a bit from the strategies described here, the first step is having the confidence to ask.” ABOUT EMILY HUNTER, PH.D. Emily Hunter, Ph.D., associate professor of management in Baylor University's Hankamer School of Business, teaches negotiation and conflict management. Her research on employee work-family issues, workday breaks and deviant behavior has appeared in academic journals such as Journal of Applied Psychology, Journal of Management and Journal of Organizational Behavior. She is also the co-author of "Organized Innovation: A Blueprint for Renewing America's Prosperity." ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT BAYLOR’S HANKAMER SCHOOL OF BUSINESS Baylor University’s Hankamer School of Business provides a rigorous academic experience, consisting of classroom and hands-on learning, guided by Christian commitment and a global perspective. Recognized nationally for several programs, including Entrepreneurship and Accounting, the school offers 24 undergraduate and 13 graduate areas of study. Visit www.baylor.edu/businessand follow on Twitter at twitter.com/Baylor_Business.

Forecasting sales using financial stock market data

Firms use many kinds of data for forecasting future sales—one of the key activities in the management of a business—and combine various methods in order to utilize different types of information. A recent study by Nikolay Osadchiy, assistant professor of information systems and operations management; Vishal Gaur (Cornell); and Sridhar Seshadri (UT Austin) focuses on financial stock market data in developing a new methodology for firm-level sales forecasting, testing it against standard benchmarks such as forecasts from equity analysts and time-series methods. Applying their method to the forecast of total annual sales for US public retail firms, the researchers find their market-based approach achieves an average 15 percent reduction in forecasting error compared with more typical forecasting methods. Their model, they write, can also be applied to hedging operational risk with financial instruments. Source:

Luxury retailers, customer experience, and brand desire

Consumers often complain that sales staff at luxury retailers ignore or reject average customers. Employees in the industry confirm that sales staff at luxury retailers do sometimes size up customers, choosing who to help and who to avoid based on what they wear. Conventional wisdom would suggest that the rejected consumer would choose not to buy the specific brand. Morgan Ward, assistant professor of marketing, and coauthor Darren W. Dahl (U of British Columbia) challenge this idea “by exploring how negative customer service experiences can, in some instances, facilitate more positive attitudes and customers’ desire for the brand.” The pair tested their theory by providing study participants with a variety of shopping scenarios involving being rejected versus receiving a neutral response from the salesperson while in a luxury retailer. Ward and Dahl discover that shoppers who “relate their self-concept to an aspirational brand” become more motivated to buy that luxury brand after a salesperson’s rejection, in order to be accepted by what they perceive as the in-crowd. Source:

The return on international investment products

Individual investors have access to an ever-increasing number of US-registered equity funds that invest in international assets, as well as institutional investment products focused on global assets. Despite the growing importance of global equity markets for US investors, there is little academic research devoted to their study. Jeffrey Busse, associate professor of finance, Amit Goyal (University of Lausanne), and Sunil Wahal (Arizona State U) advanced the research, tackling the common theory that less developed markets are less efficient and, consequently, “exploitable by active fund managers.” The trio analyzed a large sampling of active retail mutual funds and institutional products investing in global equity markets, concentrating their research on a sample period from 1991 to 2009. The authors used quarterly returns net of trading costs and gross of fees. They also collected information on annual fee schedules, portfolio turnover, and assets under management. On average and in the aggregate, the data showed a lack of “superior performance” for the sampling. The research paper won the Spangler IQAM Best Paper in Investments Prize at the 2014 European Finance Association Annual Meeting in Lugano, Switzerland. Source:

A whole lot of problems facing Whole Foods?

In August, Amazon went on a binge and acquired high-end grocer Whole Foods for 13.6 billion dollars. Many wondered what changes would come and how the high-tech and modernized Amazon approach to retail would impact the grocery chain. A few months late, a look inside some stores shows the results aren't good. Shelves that once showed off fresh fruit and vegetables at a premium price are bare. And customers aren't happy. A new food ordering system called Order-to-shelf, or OTS may be the leading culprit. OTS is a tightly controlled system designed to streamline and track product. It allows outlets to carry items that move almost literally from daily delivery trucks to store shelves. Its goal is to reduce storage costs, waste and provide a cheaper and more efficient system of managing products. But is this effort for an almost militaristic efficiency costing Whole Foods customers, demoralizing employees and hurting the store's brand? Is this a matter of a learning curve that will sort itself out? Or did Amazon make a mistake implementing OTS? And will these empty shelves leave a lasting and negative impression on customers? There are a lot of scenarios and questions - that's where the experts from can help. Ryan Hamilton is a is a consumer psychologist and an expert in marketing, branding and consumer decision making. Ryan is available to speak with media regarding Whole Foods and the OTS system. Simply click on his icon to arrange an interview. Source:

Impact of Protests on NFL Brand? Baylor Sports Sales Expert is Watching How 'Generations' Respond

Kirk Wakefield, Ph.D., is the Edwin W. Streetman Professor of Retail Marketing and director of Baylor University’s Sports Sponsorship & Sales program. He is an oft-quoted expert on marketing and branding of professional sports teams and serves as publisher and editor of The Baylor S3 Report (www.baylors3.com), the industry-leading publication featuring best practices in sports sales and marketing. In response to this season's protests during many of the NFL games, Wakefield said he is closely watching the “generations” of fans, particularly the season ticket holders. He explained that the average NFL season ticket holders are male, in their 40s and have a household income of more than $100,000. “I think the question is if the NFL can truly use this as a unifying rather than divisive tool. The dilemma is that the season ticket holder base is older and more prone to see it as divisive and offensive. But the younger set, tomorrow’s fan base, is likely to side with the players. So, brand equity could erode among current season ticket holders and, at the same time, gain interest and support from millennials – who have not been watching or attending as much.” Wakefield’s research in retailing covering more than two decades focuses primarily upon sports psychology, team sports marketing, entertainment marketing, and fan and consumer response to pricing and promotional tools. He has conducted fan research in almost every venue in sports including the NBA, NFL, MLB, MLS, NHL, and NASCAR. Source:

Impact of Protests on NFL Brand? Baylor Sports Sales Expert is Watching How 'Generations' Respond

Kirk Wakefield, Ph.D., is the Edwin W. Streetman Professor of Retail Marketing and director of Baylor University’s Sports Sponsorship & Sales program. He is an oft-quoted expert on marketing and branding of professional sports teams and serves as publisher and editor of The Baylor S3 Report (www.baylors3.com), the industry-leading publication featuring best practices in sports sales and marketing. In response to this weekend’s protests during many of the NFL games, Wakefield said he is closely watching the “generations” of fans, particularly the season ticket holders. He explained that the average NFL season ticket holders are male, in their 40s and have a household income of more than $100,000. “I think the question is if the NFL can truly use this as a unifying rather than divisive tool. The dilemma is that the season ticket holder base is older and more prone to see it as divisive and offensive. But the younger set, tomorrow’s fan base, is likely to side with the players. So, brand equity could erode among current season ticket holders and, at the same time, gain interest and support from millennials – who have not been watching or attending as much.” Wakefield’s research in retailing covering more than two decades focuses primarily upon sports psychology, team sports marketing, entertainment marketing, and fan and consumer response to pricing and promotional tools. He has conducted fan research in almost every venue in sports including the NBA, NFL, MLB, MLS, NHL, and NASCAR. Source: