Business Commons^™

Nafta: Past, Present And Future, Anastasios G. Malliaris, Alexander J. Kondonassis, Chris Paraskevopoulos

A. (Tassos) Malliaris

The North American Free Trade Agreement (NAFTA) – an extension of the Free Trade Agreement (FTA) between Canada and USA to include Mexico – went into effect on January 1, 1994, primarily as an agreement to eliminate restrictions on trade and investment over the course of twelve years. NAFTA is a trade agreement and after twelve years remains as such with limited prospects, if any, of widening or deepening the integration process. Despite its narrow scope, the agreement became, from the start, controversial – and continues to be so – not only for trade and investment matters but for a …

Leveraging Health Capital At The Workplace: An Examination Of Health Reporting Behavior Among Latino Immigrant Restaurant Workers In The United States, Shannon Gleeson

Shannon Gleeson

This article examines the choices made by a sample of Latino immigrant restaurant workers in regard to their health management, particularly in response to illness and injury. I draw on 33 interviews with kitchen staff employed in the mainstream restaurant industry in San Jose, California, and Houston, Texas, in 2006 and 2007. I argue that workers must consider complex power relationships at work in weighing the advantages of calling in sick, using protective equipment, seeking medical care, or filing a workers' compensation claim. These decisions implicate direct and opportunity costs, such as risk of job loss and missed opportunities for …

International Migration In Macro-Perspective: Bringing Power Back In, Marcel Paret, Shannon Gleeson

Shannon Gleeson

This paper challenges the inward looking perspective of recent immigration research by situating migration to the United States within a global and historical context. This macro-stratification perspective breaks out of the confines of national contexts to explore how international migration is shaped by global power divides. We argue that in order to fully understand international migration, it is necessary to account for both the emergence of global power structures and the historical domination of Europe. We develop our argument by first outlining the significance of global power divides, with a particular focus on the United States. We then demonstrate how …

Cross-Cultural Competence As A Basis Of The Competitive Advantage Of The United States In Medical Tourism, Babu P. George

Babu George

Collective Voice Under Decentralized Bargaining: A Comparative Study Of Work Reorganization In Us And German Call Centres, Virginia Doellgast

Virginia Doellgast

This article compares the process of and outcomes from work reorganization in US and German call centres, based on four matched case studies in the telecommunications industry. Both German cases adopted high-involvement employment systems with broad skills and worker discretion, while the US cases relied on a narrow division of labour, tight discipline and individual incentives. These outcomes are explained by differences in institutional supports for collective voice. Works councils in the German companies used their stronger participation rights to limit monitoring and encourage upskilling at a time when US managers were rationalizing similar jobs. Findings demonstrate that industrial relations …

Reit Capital Structure: The Value Of Getting It Right, Eva Steiner

Eva Steiner

An analysis of the capital structure of commercial real estate investment trusts finds that the strongest REITs overall tend to employ lower leverage and longer debt maturity, maintain larger proportions of fixed-rate debt, rely less on secured debt, have a greater line of credit capacity but use it less, and hold smaller cash reserves. The REITs’ strength is measured by Tobin’s q, which expresses the ratio of the market value of assets relative to their book value. The study examines yearly data for the years 1993 through 2013 for 137 REITs based in the United States and the years 2001 …

Introduction: The Enduring Power Of Collective Rights, In Labor Law Stories, Catherine L. Fisk, Laura J. Cooper

Catherine Fisk

No abstract provided.

Covered Interest Rate Parity: The Usd And Cny, Kimberly D. Scott

Kimberly D Scott

One of many tests of international finance is a test termed Covered Interest Rate Parity (CIRP). This theorem posits that exchange rate forward premiums (discounts) are offset by the respective interest rate differential between two currencies (Bhargava, Dania, & Malhotra, 2011). To briefly describe another theorem of interest rate parity is the Uncovered Interest Rate Parity (UIRP). This theorem posits that a return on an uncovered foreign currency deposit should be equal to the return on a similar domestic deposit despite the national market the foreign deposit is located.

Chinese Approach To Exchange Rates And Impact On Trade, Kimberly D. Scott

Kimberly D Scott

The United States and China have embarked on considerable deliberation in the United States trade and the value of the Chinese currency among academics and politicians alike. Over the years, research on the two topics has consistently addressed the subject by investigating the equilibrium real exchange rate between the yuan (CNY) and the dollar (USD), with results exposing the undervaluation in the yuan since the 1990’s.

Cny & Usd: Foreign Exchange Rates, Kimberly D. Scott

Kimberly D Scott

A forward rate is related to a spot rate that is set to take place in the future (Bekaert & Hodrick, 2012). Interestingly, one issue that can be challenging when performing transactions is not knowing what the rate will yield in the future versus at present. Due to market pressures or even policy decisions, either a devaluation or revaluation of domestic currency to foreign currencies can transpire.

Chinese Yuan And The American Dollar, Kimberly D. Scott

Kimberly D Scott

The economic relationship between China and the United States has been a hit and miss discussion over the years. One question, in particular, has stimulated more than speculation, but empirical research of whether we know that China's currency is undervalued is certainly a trigger to perform further research.

Special Interests And Public Goods: Organized Labor’S Coalition Politics In Hamburg And Seattle, Ian Greer

Ian Greer

Why do some unions engage in special interest politics while others pursue broader social goods? In this chapter I examine the effect of global markets for capital and local political mobilization. I argue that protecting jobs requires unions to engage in coalition politics, sometimes in pursuit of social goods that have benefits beyond the interests of union members. In cases, however, of high- stakes economic development projects involving large employers, the affected unions join business-driven coalitions with narrowly economistic pro-jobs agendas. I demonstrate this argument by comparing union involvement in the politics of economic development in Seattle and Hamburg. Because …

Automobile Workers Strikes, Ian Greer

Ian Greer

Automobile workers' strikes occurred in essentially four eras: the lost strikes by the industry's craft unions in the early twentieth century, the dramatic sit-down victories of the 1930s, the mixture of wildcat and authorized strikes during the postwar economic boom from the 1940s through the 1970s, and the decline of strikes that accompanied the policy of "jointness' between company and union after J9S0. Autoworkers' strike strategies reflected, in part, the particular structure of the industry, which took shape in the 1920s. Auto production is a complex process of interdependent operations to produce parts and assemble vehicles, each containing tens of …

Labor And Regional Development In The U.S.A.: Building A High Road Infrastructure In Buffalo, New York, Ian Greer, Lou Jean Fleron

Ian Greer

[Excerpt] In a country where worker representatives lack broadly institutionalized roles as "social partners," how can they play a constructive role in solving the problems of regional development? In Buffalo, New York, regularized, labor-inclusive procedures of problem solving involving multiple coalition partners – what we call a high-road social infrastructure – has emerged. Socially engaged researchers and educators have played a role in spreading lessons and organizing dialogue. Despite the emergence of regional cooperation, however, successful development politics are hampered by many of the same problems seen in European regions, including uncertainty about the best union strategy, hostility from business …

Is Incorporation Of Unauthorized Immigrants Possible? Inclusion And Contingency For Nonstatus Migrants And Legal Immigrants, Maria Lorena Cook

Maria Lorena Cook

[Excerpt] What does inclusion for nonstatus migrants look like? How do we recognize and measure inclusion for this population? How might we model inclusion for nonstatus migrants? This essay addresses these questions, drawing primarily on empirical examples from the United States and Spain. Although Spain has become a country of immigration relatively recently, both countries have received large numbers of unauthorized immigrants, especially in the early part of the 2000s. These two countries also illustrate different means of inclusion for unauthorized migrants. During most of the 2000s opportunities for the “regularization” of unauthorized migrants have arguably been greater in Spain …

Regional Integration And Transnational Politics: Popular Sector Strategies In The Nafta Era, Maria Lorena Cook

Maria Lorena Cook

[Excerpt] This chapter argues that although economic integration between the United States and Mexico had been taking place for some time, it was the formal recognition of this process as represented by the discussions surrounding the North American Free Trade Agreement that facilitated transnational political action by non-state actors. Whereas the globalization of the economy and the prevalence of neoliberal economic policies may be considered by some to undermine popular sector organization and actions, formal recognition of regional economic integration in North America has produced a ‘transnational political’ arena that has expanded the resources available to non-governmental groups, increased their …

Cultural Implications Of Customer Satisfaction Differences Of Help Desks In The Us And China, William H. Bleuel, Terry Young, Wayne Gertmenian

William H. Bleuel

Customer satisfaction has become a very important aspect of business management in the high technology market. Companies that provide products and services world-wide often are concerned that customer satisfaction may be impacted by cultural differences. This study examines measures of customer satisfaction in two areas (China and the United States) to determine whether or not there is a difference in satisfaction scores provided by Help Desks. The trend in overall satisfaction over the seven year period from 2005 through 2011 is increasing in China faster than in the United States. Correlations between variously measured parameters of Help Desks and overall …

An Overview Of Collective Bargaining In The United States, Lance A. Compa

Lance A Compa

[Excerpt] American history reflects a long cycle of trade union decline and growth. Analysts routinely predict the death of the labor movement. (Yeselson 2012). Heralds of labor’s demise often argue that unions were needed in the past, but modem, enlightened management and the need for economic competitiveness make them obsolete. (Troy 1999). But then, workers fed up with employers’ exploitation decide to find new ways to defend themselves. History does not repeat itself, and conditions now are not the same as those spurring the great organizing drives of the 1930s and ‘40s. Still, American workers have shown deep resourcefulness over …

The Proactive Behavior Of Younger Salespeople: Antecedents And Outcomes, Michael Mallin, Charles Ragland, Todd A. Finkle

Todd A Finkle

The purpose of this study is to model and test some of the antecedents (individual characteristics) and outcomes (selling performance) of proactive behavior among younger salespeople. Using social cognitive theory agency perspective, we extend the existing proactive behavior literature into the sales domain. We sampled 278 industrial salespeople and tested a model to confirm that younger salespeople tend to engage in proactive behaviors when they are intrinsically motivated, confident in the tasks of selling, and willing to take risks. Proactive behavior, in turn, resulted in our salesperson sample demonstrating high levels of behavior performance and job involvement. Our findings may …

Flexibility: The Next Competitive Battle: The Manufacturing Futures Survey, Arnoud De Meyer, Jinichiro Nakane, Jeffrey M. Miller, Kasra Ferdows

Arnoud DE MEYER

Over the past 4 years research teams from INSEAD (Fontainebleau), Boston University and Waseda University (Tokyo) have administered a yearly survey on the manufacturing strategy of the large manufacturers of the three industrialized regions of the world. In this paper the results for the 1986 survey are compared. One of the most striking results of that year’s survey is the emphasis some of the more advanced manufacturers put on their efforts to overcome the trade-off between flexibility and cost efficiency. In particular for the Japanese respondents these attempts become clear. Europeans and North Americans are not yet seizing the opportunity …

A History Of Financial Regulation In The Usa From The Beginning Until Today: 1789 To 2011, Gary Richardson

Gary Richardson

No abstract provided.

Up, Up, And Away: The Dynamics Of Innovation In The Us Air Cargo Transportation Industry, Janet K. Tinoco, Ryan Johnson

Janet K. Tinoco

In 1978 the United States (US) Congress passed the Airline Deregulation Act, allowing all-cargo airlines to compete in an industry that was heretofore highly regulated and stagnant. As companies came and went, successful carriers realized that innovation was necessary to survive. This study analyzes the dynamics of innovation over the industry’s life cycle using intellectual property (IP) data. Results indicate that despite having the characteristics of a commodity, the industry follows a reverse life cycle. Furthermore, FedEx and United Parcel Service (UPS) hold the highest levels of innovation while dominating the market, signifying that innovation should be integrated into the …

Reviving The American Labor Movement: Institutions And Mobilization, Richard W. Hurd, Ruth Milkman, Lowell Turner

Richard W Hurd

[Excerpt] The reawakening of the American labor movement under new leadership with new strategic orientations is a remarkable chapter in late 20thcentury American economic and political history. Given up for dead by so many at home and abroad, under relentless attack from American employers and with government supports disappearing, the American Federation of Labor and Congress of Industrial Organizations (AFLCIO) and a core of key member unions have re-emerged since the mid-1990s as prominent workplace, community and political actors. With both strategic reorientation and new local mobilization, these unions have fought to reverse decline and re-energize the movement. While the …

Women's Pay In Australia, Great Britain And The United States: Commentary, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] My reaction to this paper is mixed. On the one hand, it represents one of the few serious efforts I know of to place discussions about comparable worth in a comparative perspective and to bring evidence from other countries' experiences into the debate about policy in the United States. For this the authors should be resoundingly applauded. On the other hand, I am left with the feeling that they have not pushed their empirical analyses as hard as they might have, and because of this, in places they may have drawn some inappropriate conclusions. My discussion will elaborate on …

Review Of The Book Minimum Wage Regulation In The United States, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] Why yet another book on minimum wages in the United States, especially one that follows so closely on the heels of the 1981 Report of the Minimum Wage Study Commission and parallel studies (including another one by Fleisher) sponsored by the American Enterprise Institute? The author's goal here is to evaluate minimum-wage regulation in light of its benefits and costs as an antipoverty device; and most of his book is based on his interpretation and evaluation of the existing literature, including the large body of recent research. The book is written in a nontechnical fashion for nonspecialists (frustrated econometricians …

Deregulation And Restructuring In Telecommunications Services In The United States And Germany, Rosemary Batt, Owen Darbishire

Rosemary Batt

[Excerpt] Because of the slower pace of reform, however, Telekom also stands to learn from the mistakes made in the United States, where deregulation has led to increased inequality among consumers and workers. For consumers, the restructuring has benefited businesses because they no longer pay rates that subsidize universal residential service. Both business and high-end retail customers can take advantage of falling prices for long-distance calling, high-speed networks, or enhanced features such as voice messaging. For lower-income consumers, however, the basic costs of local service have risen, and these consumers are less likely to be able to take advantage of …

The Emerging Anglo-American Model: Convergence In Industrial Relations Institutions?, Alexander Colvin, Owen R. Darbishire

Alexander Colvin

The Thatcher and Reagan administrations led a shift towards more market oriented regulation of economies in the Anglo-American countries, including efforts to reduce the power of organized labor. In this paper, we examine the development of employment and labor law in six Anglo-American countries (the U.S., Canada, the U.K., Ireland, Australia, and New Zealand) from the Thatcher/Reagan era to the present. At the outset of the Thatcher/Reagan era, the employment and labor law systems in these countries could be divided into three pairings: the Wagner Act model based industrial relations systems of the United States and Canada; the voluntarist system …

Collective Bargaining In American Industry: A Synthesis, Clifford B. Donn, David B. Lipsky

David B Lipsky

The preceding eight chapters deal with the current status of collective bargaining in eight U.S. industries. The differences between collective bargaining for police officers and auto workers or between professional athletes and college professors are obvious and illustrate the richness and variety of contemporary collective bargaining. Despite that diversity, however, the eight industries exhibit important similarities in collective bargaining. The common themes that link most, if not all, of the industries examined in this volume are perhaps less obvious, but a careful reading of the preceding chapters reveals that there have been a number of common factors affecting collective bargaining …

Collective Bargaining As An Institution - A Long View: Discussion, David B. Lipsky

David B Lipsky

[Excerpt] Professor Barbash states that "pluralistic capitalism of the North American and Western European variety provides the most favorable environment for power-based collective bargaining." I would only point out that the economic systems that go under the label "capitalism" differ widely in their characteristics, including the proportion of enterprise that is state-owned. Collective bargaining, after all, had its roots in 19th century capitalism but continues to thrive in the vastly different environment of the modern welfare state. It seems to me that there is nothing necessarily incompatible between collective bargaining and democratic socialism, but that collective bargaining cannot survive under …

Industrial Relations And The Reorganization Of Work In West Germany: Lessons For The U.S., Lowell Turner

Lowell Turner

[Excerpt] Some have suggested that to compete in the new world economy we must not only adopt Japanese production practices but also abandon Western traditions of independent unionism. When U.S. trade unionists naturally resist, they are criticized as "adversarial." My argument is that U.S. managers do not need to break the unions or to transform them into subordinate enterprise unions in order to gain the benefits of new work organization. Rather than looking only to Japan for ways to get us out of our current competitive predicament, we should also look to Europe. A particularly useful example is West Germany, …