scholarly journals Information Asymmetry among Multiple Principals and Inefficiency within the Organization

2019 ◽  
Vol 11 (24) ◽  
pp. 6920 ◽  
Author(s):  
Kyung-Hye Kim ◽  
Seung-Weon Yoo ◽  
Kyong-Soo Choi
Keyword(s):  
Asymmetric Information ◽  
Organizational Structure ◽  
Information Asymmetry ◽  
Relative Weight ◽  
Theoretical Framework ◽  
Not Given ◽  
Valuable Resource ◽  
Efficiency Loss ◽  
Multiple Principals ◽  
The Common

We develop a theoretical framework to investigate the effect of information asymmetry between the two principals on the common agent’s incentives to provide an effort. We find that the agent’s effort to the poorly-informed (PI) principal is optimal, while his effort to the well-informed (WI) principal is not. Given that the valuable resource, i.e., the agent’s effort, should flow into the person who has higher ability, our results imply that the asymmetric information between two principals generates an efficiency loss within the organization. In addition, we examine whether this inefficiency is attenuated by changes of the relative weight of the agent’s profit set to each principal. The result shows that unless the WI principal solely determines the agent’s profit, the efficiency loss within the organization does not disappear. This finding corroborates that as long as the PI principal exists within the organization, the inefficiency might be inevitable. Our research not only provides new insights to the agency literatures but also offers useful information regarding the efficiency of organizational structure.

scholarly journals Is There a Place for Theoretical Frameworks in Qualitative Research?

2021 ◽  
Vol 20 ◽  
pp. 160940692098795
Author(s):  
Casey M. Garvey ◽  
Rachel Jones
Keyword(s):  
Qualitative Research ◽  
Conceptual Understanding ◽  
Inductive Reasoning ◽  
Theoretical Framework ◽  
Theoretical Frameworks ◽  
Common Sense Model ◽  
Rich Description ◽  
The Common ◽  
The Rich ◽  
Qualitative Analyses

Qualitative research proceeds from the position that there is no one observable reality. Researchers utilizing qualitative methods build findings inductively, from raw data to a conceptual understanding. Theoretical frameworks may be utilized to guide qualitative analyses by suggesting concepts and relationships to explore. The framework may provide a sense of the story emerging from the analyses. And concurrently, the rich description provided by the analyses may allow the framework to be more deeply appreciated. However, there is a risk that using a theoretical framework may stifle inductive reasoning or result in findings incongruent to the data. The following is a discussion of the application of a theoretical framework in a qualitative study. This study, guided by the Common-Sense Model, explores the choice to undergo treatment for Hepatitis C Virus among veterans. Examples from the analyses are provided to facilitate discussion on the utilization of a theoretical framework. Techniques to optimize the use of a theoretical framework, as well as mitigate risks of such use, are presented. When utilized alongside rigorous data analyses and introspection, a theoretical framework may serve as a valuable tool to navigate data in qualitative research.

scholarly journals How Interdependence Explains the World of Teamwork

2021 ◽  
pp. 122-146
Author(s):  
Matthew Johnson ◽  
Jeffrey M. Bradshaw
Keyword(s):  
Common Factor ◽  
Theoretical Framework ◽  
Experimental Results ◽  
Coherent System ◽  
Basic Principles ◽  
The World ◽  
The Common ◽  
Machine Systems ◽  
Moving Parts

AbstractCurrent attempts to understand human-machine systems are complex and unwieldy. Multiple disciplines throw different concepts and constructs at the problem, but there is no agreed-to framework to assemble these interrelated moving parts into a coherent system. We propose interdependence as the common factor that unifies and explains these moving parts and undergirds the different terms people use to talk about them. In this chapter, we will describe a sound and practical theoretical framework based on interdependence that enables researchers to predict and explain experimental results in terms of interlocking relationships among well-defined operational principles. Our exposition is not intended to be exhaustive, but instead aims to describe the basic principles in a way that allows the gist to be grasped by a broad cross-disciplinary audience through simple illustrations.

scholarly journals Magis rythmus quam metron

1970 ◽  
Vol 62 ◽  
pp. 59-74
Author(s):  
Lieven Danckaert
Keyword(s):  
Theoretical Framework ◽  
Metrical Structure ◽  
Greek Comedy ◽  
The Common

In this contribution I analyze the metrical structure of Seneca's anapaests.After a brief introduction, I first develop a theoretical framework, with specialattention to the boundaries of metrical periods. In the next sections, Ichallenge the common practice of subdividing long anapaestic passages intosocalled anapaestic dimeters. I propose a new analysis in which such a subdivisionis not made, yielding a structure that formally resembles the πνιγη ofclassical Greek comedy.

scholarly journals Information Asymmetry in Supply Chain Coordination: State of the Art

2020 ◽  
pp. 38-43
Author(s):  
Mohammadali Vosooghidizaji ◽  
◽  
Atour Taghipour ◽  
Béatrice Canel-Depitre
Keyword(s):  
Supply Chain ◽  
Asymmetric Information ◽  
Literature Review ◽  
Supply Chains ◽  
Information Asymmetry ◽  
State Of The Art ◽  
Supply Chain Coordination ◽  
Coordination State ◽  
Strategic Information ◽  
Comprehensive Literature Review

Supply chains consist of several actors from supplier, manufacturer, distributer, wholesaler and retailers connected to each other by financial, material and informational flows. Optimal performance of supply chains requires set of actions that coordinate the members’ decisions [1], [2]. In many cases, members are trying to optimize their own objectives which can lead to asymmetric information by keeping some strategic information private. Although, this information asymmetry is a challenge affecting the coordination of supply chain, but it is achievable if proper set of coordinating mechanism executed. This paper presents a comprehensive literature review of supply chain coordination under asymmetric information and tries to analyze the trend in the context and address the evolution and gaps in existing literature.

DESIGN AND VALUATION OF CORPORATE SECURITIES WITH STRATEGIC DEBT SERVICE AND ASYMMETRIC INFORMATION

1999 ◽  
Vol 02 (02) ◽  
pp. 201-219 ◽  
Author(s):  
YONGHUA PAN
Keyword(s):  
Asymmetric Information ◽  
Information Asymmetry ◽  
Risk Premium ◽  
High Growth ◽  
Cash Flows ◽  
Debt Service ◽  
Growth Potential ◽  
Unified Framework ◽  
Financing Decisions ◽  
Corporate Securities

This paper studies the effects of strategic debt service, asymmetric information and their interaction on the valuation of corporate securities and on corporate financing decisions. By introducing information asymmetry into a continuous-time setting, our model is able to integrate these two factors in a unified framework. Such a model allows for obtaining valuation results in a separating equilibrium. The basic results of this paper imply that the risk premium of debt could be partly contributed by information effect. This part of risk premium could be very significant for those good firms with a project which will produce much higher cash flows than what the market expects. We also find that a firm's financing decision depends on its primitives: firms are more apt to rely on equity if they have: (1) high growth potential, (2) riskier projects, (3) higher ratio of intangible assets to total assets and (4) lesser information asymmetry; firms would prefer debt, otherwise.

Asymmetric Information and Corporate Risk Management by Using Foreign Currency Derivatives

2012 ◽  
Vol 15 (01) ◽  
pp. 1250004 ◽  
Author(s):  
Bingxuan Lin ◽  
Chen-Miao Lin
Keyword(s):  
Risk Management ◽  
Asymmetric Information ◽  
Information Asymmetry ◽  
Foreign Currency ◽  
Corporate Risk Management ◽  
Currency Derivatives ◽  
Medium Level ◽  
Low Levels ◽  
Corporate Risk ◽  
Very High

We examine how information asymmetry affects a firm's incentive to hedge versus speculate by using foreign currency derivatives. We find a quadratic relation between asymmetric information and a firm's risk management activities. In particular, we find that the firms facing medium level of information asymmetry are more likely to hedge, while firms with very high and low levels of asymmetric information tend to speculate. Moreover, we find that our results hold primary for firms operating in highly competitive industries.

Introduction

Last Acts ◽  
2019 ◽  
pp. 1-30
Author(s):  
Maggie Vinter
Keyword(s):  
Twentieth Century ◽  
Early Modern ◽  
Theoretical Framework ◽  
Early Modern Drama ◽  
Modern Drama ◽  
Ars Moriendi ◽  
Critical Approaches ◽  
The Common ◽  
Critical Perspectives

The introduction outlines a theoretical framework for the book. Through a brief survey of critical approaches to Hamlet, it considers the common alignment of early modern drama with mourning and argues that new critical perspectives emerge if we focus on the experience of the dying subject instead. William Perkins’s 1595 tract, A Salve for a Sick Man, illustrates how death was understood around Shakespeare’s time. By situating Perkins’s text in relation to ancient Stoicism and twentieth-century phenomenology, the introduction explicates what is distinctive about the understanding of dying found in the ars moriendi tradition and argues for the theoretical sophistication and continuing influence of the genre.

Business Intelligence Should be Centralized

2012 ◽  
pp. 139-152
Author(s):  
Brian Johnson
Keyword(s):  
Organizational Structure ◽  
Business Intelligence ◽  
Business Strategy ◽  
Center Of Excellence ◽  
Unique Nature ◽  
The Common ◽  
The Impact

The implementation of BI into the business strategy and culture is laden with many potential points that could result in failure of the initiative, leaving BI to be underdeveloped and a source of wasted resources for the company. Due to the unique nature of BI in the business space, properly setting up BI within the organizational structure from the onset of integration minimizes the impact of the most common hurdles to BI implementation. Many companies choose to mitigate these problems by using a centralized approach by building a Center of Excellence, but their place in the company’s organizational structure needs to be well-defined and properly empowered to be effective. This paper also reviews how the concept of centralization is defined, how it relates to the implementation of BI, and how it can effectively in overcome the common implementation hurdles.

Part 2 Specific Issues of Arbitration in Brazil, 15 Post M&A Arbitration

2020 ◽  
Author(s):  
Ferro Marcelo Roberto ◽  
de Souza Antonio Pedro Garcia
Keyword(s):  
Mergers And Acquisitions ◽  
Information Asymmetry ◽  
Dispute Resolution ◽  
Common Law ◽  
Cross Border ◽  
Fertile Ground ◽  
Legal Regimes ◽  
Target Company ◽  
The Common

This chapter addresses post-mergers and acquisitions (M&A) arbitration. M&A transactions provide fertile ground for litigation. These complex transactions usually give rise to a significant level of information asymmetry between the parties regarding the target company. Buyer and seller harbour opposing interests concerning the sale value. Representations and warranties, as well as the allocation of risk among parties, although aimed at facilitating the closing of the transaction, also frequently create tension and give rise to dissonant expectations during the post-closing phase. Cross-border M&A transactions add even more layers of complexity given the different business cultures and legal regimes involved. Even though M&A deals have established standard global commercial practices, which follow the common law framework, they still raise a series of challenges for parties, stakeholders, and legal advisors, generating all types of post-closing disputes. Although there are several means of dispute resolution, M&A parties have reliably chosen arbitration as a method for resolving their disputes in Brazil. The chapter then looks at the issues that most frequently feature in the arbitration of international M&A disputes in Brazil.

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