Diverse diversities-Open innovation in small towns and rural areas

It is generally accepted that cities and other forms of geographic agglomerations are conducive to innovation because their density and variety of firms, sectors and individuals create a diverse environment. However, a growing body of work shows that innovation also occurs in peripheral regions and small towns. Furthermore, work on rural social networks shows that diversity is multidimensional, and that along certain dimensions networks developed in rural areas are more diverse than those observed in cities. In this paper, we develop these arguments, then report our observations of seven successful firms in Swiss small towns. These firms benefit from at least three types of diversity: internal diversity; multiplexed interactions between workers at different hierarchical levels; and external diversity as firms reach beyond the region. We conclude that diversity conducive to firm‐level innovation is not a specifically urban attribute: at least some of its dimensions are present in small towns and more peripheral areas

Overconfidence and active management: An empirical study across Swiss pension plans

Pension plans in Switzerland favor active management over indexing to implement their strategic asset allocation. Empirical surveys show, however, that their success has been below expectations, as the median performance of Swiss pension plans in domestic and international equities is below market indices even gross of fees. The results of this paper's survey across decisionmakers of Swiss pension plans sheds some light on why active management is still so popular across Swiss pension plans. On average the participants in the sample are prone to the better-than-average-effect. A majority expects their managers and their overall pension plan to outperform the other survey participants in the future. The subjective perceptions of the own skill level relative to the competitors can explain the popularity of active management across Swiss pension plans

Causes and consequences of unexpected educational transitions in Switzerland

The present study examines transition patterns of Swiss secondary and tertiary school students. Switzerland's highly canalized education system allows us to test how tracking affects person-environment fit of students for students who choose a normative versus unexpected downward transition pattern. In addition, we investigate how self-efficacy expectations and personal values affect an unexpected transition choice. Results indicate that students with strong expectancies and personal values can oppose institutional norms and chart their own academic course; however, these students are less likely to perceive a good fit between their own interests and competencies and institutional demands after the transition. Our findings underscore the importance of developmentally appropriate educational environments and systems permeable enough to adapt to developing students' changing interests