Endogenous Market Turbulence

In this paper I study a nonlinear feedback trading model which can generate stable, unstable, turbulent or chaotic asset returns depending on market conditions. The dynamics are driven by the stochastic price impact of net order flow (inverse market liquidity). If price impact grows beyond exogenous threshold values, liquidity dries up and asset returns become turbulent. In the absence of fundamental factors, the occurrence of turbulence and chaos is entirely endogenous. The results highlight the critical role of maintaining stable market-making conditions for averting “liquidity black holes”

Technological innovation and market turbulence: the dot-com experience

This paper explains market turbulence, such as the recent dotcom boom/bust cycle, as equilibrium industry dynamics triggered by technology innovation. When a major technology innovation arrives, a wave of new firms enter the market implementing the innovation for profits. However, if the innovation complements existing technology, some new entrants will later be forced out as more and more incumbent firms succeed in adopting the innovation. It is shown that the diffusion of Internet technology among traditional brick-and-mortar firms is indeed the driving force behind the rise and fall of dotcoms as well as the sustained growth of e-commerce. Empirical evidence from retail and banking industries supports the theoretical findings. ; Earlier title: Technology innovation and market turbulence: a dot-com exampleTechnology

Pengaruh Total Quality Management (TQM) terhadap Kinerja Innovatif : Pergolakan Pasar sebagai Variabel Moderasi

This paper examines the relationship between Total Quality Management (TQM) and innovation performance, and moderating effect market turbulence. The empirical data for this study was drawn from a survey of 58 middle/senior managers from services firms in Pekanbaru. The analysis was conducted using Regression analysis. The findings indicate that TQM has not impact on innovative performance and market turbulence moderated relationship TQM innovative performance

Extreme downside risk and market turbulence

This is the author accepted manuscript. The final version is available from Taylor & Francis (Routledge) via the DOI in this record.We investigate the dynamics of the relationship between returns and extreme downside risk in different states of the market by combining the framework of Bali, Demirtas, and Levy (2009) with a Markov switching mechanism. We show that the risk-return relationship identified by Bali, Demirtas, and Levy (2009) is highly significant in the low volatility state but disappears during periods of market turbulence. This is puzzling since it is during such periods that downside risk should be most prominent. We show that the absence of the riskreturn relationship in the high volatility state is due to leverage and volatility feedback effects arising from increased persistence in volatility. To better filter out these effects, we propose a simple modification that yields a positive tail risk-return relationship in all states of market volatility

Effect of CRM Practices on Organizational Performance Under Moderation by Market Turbulence: A Study on

In this escalating competitive atmosphere, enterprises attempt to gain competitive advantage through developing positive relationships with customers. Enterprises manage these relationships by using diverse practices such as key customer focus, knowledge management and relationship marketing which cause to augment performance. Additionally, organizations have also to entertain customers in accordance with changes in their preferences. Thereby, the present study investigated the influence of customer relationship management (CRM) practices on organizational performance by considering the moderating role of market turbulence. Self-administrated questionnaire was utilized to collect data from 165 employees of telecommunication sector in Pakistan. SPSS 21.0 and AMOS 21.0 were used to analyze data. The results revealed that CRM practices had positive relationships with organizational performance. Moreover, the moderation findings demonstrated that market turbulence antagonistically moderated the relationship between CRM practices and organizational performance. Limitation, implications and recommendations for future research were also delineated at the end. Keywords: Customer relationship management practices, market turbulence, organizational performance, telecommunication secto

Marketing activities, market orientation and other market variables influence on smes performance

This paper includes results on marketing, market orientation degree and environmental variables, such as competitive intensity and market turbulence, that can influence economic and financial performance of micro and small companies. The results indicate that: (a) marketing is seen by these companies as secondary, deserving minor practical actions that can be considered strategic, (b) at market orientation level, the market information affects positively performance indicators, (c) and economical and financial performance is superior in conditions of highly market turbulence and there is a negative relationship between competitive intensity and the companies ratio turnover/total assets

Offshoring, economic insecurity, and the demand for social insurance

The fear of offshoring, particularly in services since 2000, has raised workers economic insecurity and heightened concerns over future economic globalization. Many have argued that globalization has exacerbated labor market turbulence increasing the demand for social insurance programs. The authors present a simple theoretical model establishing a connection between the threat of offshoring, economic insecurity, and the demand for social insurance. Data from the 1972-2006 General Social Survey to provides supporting empirical evidence.Globalization ; International economic integration

The cost of firms' debt financing

We provide an assessment of the determinants of the risk remia paid by non-financial corporations on long-term bonds. By looking at 5,500 issues over the period 2005-2012, we find that in recent years the sovereign debt market turbulence has been a major driver of corporate risk. Compared with the three-year period 2005-07 before the global financial crisis, in the years 2010-12 Italian, Spanish and Portuguese firms paid on average between 70 and 120 basis points of additional premium due to the negative spillovers from the sovereign debt crisis, while German firms got a discount of 40 basis points

Customer Relationship Management Practices: The Impact on Organizational Performance in SMEs of Food Manufacturing Industry

The successful implementation of customer relationship management (CRM) practices is becoming widely accepted within marketing and sales department in manufacturing industry. Moreover, establishing the customer relationships have always been an important aspect of business. Hence, this study aims to explain the impact of CRM practices to organizational performance through a proposed conceptual model in Malaysian small and medium enterprises (SMEs) food manufacturing industry. A model developed and empirically tested through survey data obtained from 369 organizations. The results indicated that CRM practices have a significant positive effect on organizational performance. Similarly, the results revealed that enhanced key customer focus and relationship marketing leads to better organizational performance. Market turbulence was found to have a negative moderating effect on the relationship between CRM practices and organizational performance. This paper contributes to existing literature by incorporating CRM practices as a construct in the proposed model. The conclusions drawn have implications for CRM practices of key customer focus, relationship marketing and market turbulence in research literature. Keywords: customer relationship management practices, market turbulence, organizational performance, small and medium enterprises, food manufacturing industr