Viability and profitability of Northern Rhodesia (Zambia)'s Copperbelt mining companies during the Great Depression, 1929-1939

The development of large-scale mining on the Northern Rhodesian / Zambian Copperbelt coincided with the global economic slump between 1929 and 1939. In this period, the Copperbelt mines were linked to the regional and global mining industry through foreign private capital, multinational corporate integration, labour strategies, trade networks, and market ties. Because the Northern Rhodesian mining sector depended on foreign capital and international markets, the rapid development of the Copperbelt mines would have been hampered by the global economic downturn. But as it turned out the Great Depression proved to be only a transitory setback for the Northern Rhodesian mines. Thus, this article examines factors that enhanced the financial performance of the Copperbelt mines vis-à-vis their established counterparts in the Belgian Congo and United States of America during the Great Depression. In contrast to studies emphasising the importance of labour strategies in influencing the productivity and profitability of the Copperbelt mines, the article examines the part played by a range of factors from quantity and quality of ores, through to interlocking corporate strategies and managerial innovations, to an economic boom in the copper business on the world market, which affected the overall viability of the Northern Rhodesian mining industry during the Great Depression

Modeling Supply Networks and Business Cycles as Unstable Transport Phenomena

Physical concepts developed to describe instabilities in traffic flows can be generalized in a way that allows one to understand the well-known instability of supply chains (the so-called ``bullwhip effect''). That is, small variations in the consumption rate can cause large variations in the production rate of companies generating the requested product. Interestingly, the resulting oscillations have characteristic frequencies which are considerably lower than the variations in the consumption rate. This suggests that instabilities of supply chains may be the reason for the existence of business cycles. At the same time, we establish some link to queuing theory and between micro- and macroeconomics.Comment: For related work see http://www.helbing.or

Sustainable operations of industrial symbiosis: an enterprise input-output model integrated by agent-based simulation

Industrial symbiosis (IS) is a key for implementing circular economy. Through IS, wastes produced by one company are used as inputs by other companies. The operations of IS suffers from uncertainty barriers since wastes are not produced upon demand but emerge as secondary outputs. Such an uncertainty, triggered by waste supply-demand quantity mismatch, influences IS business dynamics. Accordingly, companies have difficulty to foresee potential costs and benefits of implementing IS. The paper adopts an enterprise input-output model providing a cost–benefit analysis of IS integrated to an agent-based model to simulate how companies share the total economic benefits stemming from IS. The proposed model allows to explore the space of cooperation, defined as the operationally favourable conditions to operate IS in an economically win-win manner. This approach, as a decision-support tool, allows the user to understand whether the IS relationship is created and how should the cost-sharing policy be. The proposed model is applied to a numerical example. Findings show that cost-sharing strategies are dramatically affected by waste supply-demand mismatch and by the relationship between saved and additional costs to run IS. Apart from methodological and theoretical contributions, the paper proposes managerial and practical implications for business strategy development in IS

Multilevel Pricing Schemes in a Deregulated Wireless Network Market

Typically the cost of a product, a good or a service has many components. Those components come from different complex steps in the supply chain of the product from sourcing to distribution. This economic point of view also takes place in the determination of goods and services in wireless networks. Indeed, before transmitting customer data, a network operator has to lease some frequency range from a spectrum owner and also has to establish agreements with electricity suppliers. The goal of this paper is to compare two pricing schemes, namely a power-based and a flat rate, and give a possible explanation why flat rate pricing schemes are more common than power based pricing ones in a deregulated wireless market. We suggest a hierarchical game-theoretical model of a three level supply chain: the end users, the service provider and the spectrum owner. The end users intend to transmit data on a wireless network. The amount of traffic sent by the end users depends on the available frequency bandwidth as well as the price they have to pay for their transmission. A natural question arises for the service provider: how to design an efficient pricing scheme in order to maximize his profit. Moreover he has to take into account the lease charge he has to pay to the spectrum owner and how many frequency bandwidth to rent. The spectrum owner itself also looks for maximizing its profit and has to determine the lease price to the service provider. The equilibrium at each level of our supply chain model are established and several properties are investigated. In particular, in the case of a power-based pricing scheme, the service provider and the spectrum owner tend to share the gross provider profit. Whereas, considering the flat rate pricing scheme, if the end users are going to exploit the network intensively, then the tariffs of the suppliers (spectrum owner and service provider) explode.Comment: This is the last draft version of the paper. Revised version of the paper accepted by ValueTools 2013 can be found in Proceedings of the 7th International Conference on Performance Evaluation Methodologies and Tools (ValueTools '13), December 10-12, 2013, Turin, Ital

Inequality and Network Formation Games

This paper addresses the matter of inequality in network formation games. We employ a quantity that we are calling the Nash Inequality Ratio (NIR), defined as the maximal ratio between the highest and lowest costs incurred to individual agents in a Nash equilibrium strategy, to characterize the extent to which inequality is possible in equilibrium. We give tight upper bounds on the NIR for the network formation games of Fabrikant et al. (PODC '03) and Ehsani et al. (SPAA '11). With respect to the relationship between equality and social efficiency, we show that, contrary to common expectations, efficiency does not necessarily come at the expense of increased inequality.Comment: 27 pages. 4 figures. Accepted to Internet Mathematics (2014

Knowledge based entrepreneurship in the Czech Republic and Hungary: results from 4 case studies

This paper describes knowledge based entrepreneurship in the Czech Republic and Hungary, in particular the growth and development process of 4 firms are studied: Dekonta, an environmental services firm, Et netera, an IT services firm, both operating in Czech Republic, along with a data recovery firm, Kurt, and a biopharmaceutical firm, Solvo, both operating in Hungary. The objectives of the case studies are to illustrate experiences of knowledge based entrepreneurship within a transition environment in terms of their different growth and development paths. By carrying out in depth case studies using semi structured interviews with the founders, top management teams, core employees and key stakeholders in industrial associations I am able to explain the growth process of entrepreneurial knowledge based ventures. I assume an ecological view of the firm and examine the role of internal, strategic, network and external factors in this development process. I propose that the relative importance of these factors evolve over time from start up to maturity. Moreover, I anticipate that there will be complementarities between these factors in the spirit of Milgrom and Roberts (1995) and Von Tunzelmann (2003). This approach should help us better understand the complex nature of entrepreneurship. The key contributions of these case studies are the application of an ecological conceptual framework to the development of knowledge based firms in Central and Eastern Europe, and so the viability of this model is tested within the transition environment. I follow the recommendations by Ireland et al. (2005) and introduce a temporal element in order to analyse the shift in importance of the factors impacting on firm development and growth, thus hoping to deal with some of the criticisms on existing entrepreneurial research

Thermoeconomics as a tool for the design and analysis of energy savings initiatives in buildings connected to district heating networks

District Heating (DH) is a rational way to supply heat to buildings in urban areas. This is expected to play an important role in future energy scenarios, mainly because of the possibility to recover waste heat and to integrate renewable energy sources. Even if DH is a well known technology, there are open problems to face. Some of these problems are related to tendencies to reduce design temperatures, the improvement of control strategies, connection of new users to existing networks, implementation of energy savings initiatives and the access of multiple heat producers to the same network. This paper aims to show that exergy is an appropriate quantity for the analysis of DH systems and thermoeconomics can be profitably used to improve their design and operation. Three possible applications of thermoeconomic theories are presented: variation of supply temperature along the heating season, opportunities to connect new users, effects of energy savings initiatives in buildings connected with the network