High Competitive Intensity Research Articles

The Bright Side of Price Volatility in Global Commodity Procurement

This paper studies two competing firms’ choices between the contingent-price contract (CPC) and fixed-price contract (FPC) in global commodity procurement. The FPC price is determined when signing the contract, whereas the CPC price is pegged to an underlying index and remains open until the delivery date. Under both contracts, each firm determines its order quantity based on the updated belief about the market demand. The unrealized CPC price correlates with the market demand, allowing a firm to update its belief about the CPC price using demand information, thereby generating a price-learning effect. We find that, contrary to conventional wisdom, a larger price volatility could benefit the firms, and, under differentiated contracts, a firm might benefit from the improvement of forecast accuracy at its rival. We further show that the price-learning effect plays a critical role in the firms’ contract choices. First, significant price volatility forces the firms to pursue the responsiveness of the CPC. Second, the firms may adopt differentiated contracts to enhance their responses to market changes and dampen competition, and a higher competition intensity more likely leads to contract differentiation. Third, the firms in a small market seek responsiveness and contract differentiation rather than cost efficiency. This study reveals the bright side of price volatility and takes a step toward understanding the effect of two-dimensional information updating. This paper was accepted by Jeannette Song, operations management. Funding: This work was supported in part by the National Natural Science Foundation of China [W. Xing was supported by Grant 72071210, L. Liu was supported by Grant 72371122, and F. Zhang was supported by Grants 71929201 and 72131004]. Supplemental Material: The online appendix and data files are available at https://doi.org/10.1287/mnsc.2023.00304 .

Topological perturbations on resilience of the world trade competition network

Network resilience refers to a system’s capability to adapt its functions to ensure continuity of essential operations amidst external environmental shifts or internal failures. The resilience of the world trade network faces structural disturbances, such as dynamic changes in the internal and external environments, increasing trade barriers and changes in competition between countries, which is an issue worth exploring. In this study, we introduce a world trade competition network that reflects export competition between two countries. We employ a network dynamics model to assess the resilience of this global trade competition network, focusing on the influence of topological disturbances. The eight distinct types of topological perturbations analyzed include nodes representing countries, links symbolizing inter-country competition, and weights indicative of the intensity of this competition. Our findings reveal that the intensity of export competition between countries significantly influences the resilience of the global trade competition network. Specifically, experimental outcomes indicate that network resilience declines more rapidly when nodes are removed sequentially based on higher weighted degrees than when based on lower ones. Similarly, in link perturbation scenarios, removing links associated with higher competition intensity first leads to a more precipitous decrease in network resilience when the network is otherwise stable. Furthermore, in weight alteration scenarios, networks maintaining a higher ratio of high-intensity competition links demonstrate greater stability compared to those with a reduced proportion of such links. Consequently, sustaining a robust level of export competition between countries is crucial for preserving the stability of the network.

CEO International Experience in Advanced Market Economies and Firm Investment Horizon in a Transitioning Economy

AbstractBuilding on the literature on managerial myopia, we investigate how chief executive officers’ (CEOs) international experience in advanced market economies affects their firms' investment horizons in a transitioning economy. To overcome myopia, CEOs should possess the knowledge needed to manage current tasks, thereby freeing up cognitive resources for future considerations. In the context of our theorizing, we argue that international experience in advanced market economies equips CEOs with knowledge about how to deal with their current tasks of market-oriented adaptation in a transitioning economy, freeing up cognitive resources for considering longer-term investment horizons. Additionally, the effect of CEO international experience in advanced market economies on firm investment horizon is stronger under conditions that increase the cognitive burden on CEOs to perform market-oriented adaptation tasks – specifically, when there is a high scope of pro-market reform, high intensity of foreign competition, analyst coverage, and a high level of institutional ownership. Our estimation based on a matched sample of 204 Chinese CEOs during the period 2002–2019 supports the majority of our predictions. Our study contributes to research on firm investment horizon, CEO international experience, and transition economies.

CURRENT STATE AND DEVELOPMENT TRENDS OF E-TRADE IN UKRAINE

The article analyzes the approaches of scientists to the definition of the essence of electronic commerce, the differences between the categories "electronic commerce" and "e-trade", considers modern approaches to trade based on digital marketing. The purpose of the article is to determinatе the essence and conditions of the development of e-trade since its inception, determination of the features of the current state and development trends, advantages and disadvantages of e-trade. To realize the set goal, the following tasks were set: clarify the categorical and conceptual apparatus in the field of e-commerce and trade; determine the current state and features of e-trade in the enterprise management system; determine the key trends in the development of e-trade in the field of modern marketing concepts; determine directions of e-trade development. Certain contradictions in the international trade business led to the unification of standards in 80s, and later in the 90s there were changes in the standard, which was already based on Internet technologies. It was proved that е-trade as part of e-commerce is a source of competitive advantage for the manufacturer, seller and market partners, as it provides the possibility of remote communication with market partners, reduction of costs for the organization of the sales process, operational costs, global coverage of markets and personalized marketing. For buyers, the key advantages of online shopping are convenience, speed, a wide range of products, ease of comparison and payment. Disadvantages of e-commerce are the high intensity of competition, the risk of personal data availability and the possibility of their illegal appropriation, online fraud. The introduction of electronic commerce has significantly changed the way trade enterprises work and the possibilities of interaction with consumers. An e-trade organization removes many of the barriers of traditional trade while embracing new business principles. The differences between traditional trade and e-trade are significant in communications, business flexibility, production and sales logistics, payment methods and sales parameters: e-commerce has advantages in almost all parameters. The development of e-commerce in Ukraine in the last 5 years is taking place at a rapid pace, and this trend has only intensified as a result of the pandemic, which has developed a habitual pattern of behavior to buy online. According to the structure, the lion's share of the e-commerce market in Ukraine is the sale of electronics, toys, goods for creativity, clothes, shoes and accessories. The main trends shaping the retail industry in the perspective of 2026 are the further growth of e-commerce volumes in all regions and across all product categories, the negative impact of inflation on consumer behavior and the efficiency of retail networks; digitalization, which is becoming the main area of investment for retailers; development of the 4th generation of q-commerce (electronic commerce with an emphasis on fast delivery).

Enterprise digital transformation and supply chain management

This paper empirically tests that enterprise digital transformation is an important means to strengthen supply chain management, providing a new research perspective and empirical evidence for improving the level of supply chain management. The empirical research results show that enterprise digital transformation can significantly improve the company's level of supply chain management. The results of heterogeneity analysis indicate that this effect is more pronounced in samples with a high level of marketization and high industry competition intensity. The conclusions of this study offer new insights for enterprises to use digital transformation to promote the optimization of supply chain management.

Did the “double carbon” policy improve the green total factor productivity of iron and steel enterprises? a quasi-natural experiment based on carbon emission trading pilot

Based on the data of listed companies in China’s iron and steel industry from 2007 to 2020, the article investigates the impact mechanism and the path of action of China’s carbon emissions trading pilot on the green total factor productivity of iron and steel enterprises by constructing a multi-period difference-in-difference model difference-in-differences. The study finds that: 1) China’s iron and steel enterprises significantly improve their green total factor productivity driven by the carbon trading pilot, and the findings pass the corresponding robustness tests. 2) the mechanism analysis indicates that the carbon trading pilot promotes the green total factor productivity of iron and steel enterprises by forcing the technological progress of enterprises. 3) The heterogeneity analysis shows that the positive effect is more significant for large iron and steel enterprises with high social responsibility rating and high local government competition intensity, but not for small enterprises with low social responsibility rating and low local government competition intensity. 4) the dynamic effect shows that there is a certain lag in the promotion effect of the carbon emission trading pilot on the green total factor productivity of iron and steel enterprises, but its long-term effect is more obvious. This paper puts forward corresponding suggestions for accelerating the construction of a national unified green and low-carbon market system and actively promoting the deepening of the “dual-carbon” goal.

Comparing the moderated impact of entrepreneurial orientation, market orientation, and entrepreneurial marketing on firm performance

ABSTRACT This study examines the relative efficacy of entrepreneurial orientation (EO), market orientation (MO), and entrepreneurial marketing (EM) as moderated by various environmental and organizational factors including firm size. Using structural equation modeling and representative cross-sectional data of small, mid-sized, and large firms from the United States, the research finds that EO outperforms EM and MO in conditions of low competitive intensity, low market growth, and high supplier power. EO is also most viable for small firms, and those with smaller and less diverse networks. In contrast, MO performs best for large firms, and firms with diverse and strong networks, operating in high growth, low turbulence markets, and when supplier power is low. Finally, EM excels under conditions of high market turbulence, competitive intensity, and supplier power, for mid-sized firms, and firms with low network strength.

Internal and External Coordination of Implementation Strategy Branding Hospital as a Determiner in Development Medical Tourism in Stone City

Law Number 36 of 2009 concerning Health explains that health is a human right and one of the welfare states that must be realized in accordance with the ideals of the Indonesian nation. The industrial era 4.0 encourages hospitals not only to develop a vision or mission oriented on social humanitarian activities, but in it there are business aspects in managing a hospital. Many competitors require hospitals to carry out marketing activities to satisfy the needs and desires of their customers more than competitors in order to survive and thrive in high competitive intensity. RSUD Karsa Husada Batu has potential in both its strategic location and object tourism, and many excellent services. Strategy Branding became a treatment priority at Karsa Husada Batu Hospital and is a determinant in development medical tourism. The activity was carried out on March 23-25 ​​2023 with the aim of identify problems with the policy system and health service management in terms of problems related to the absence of regular monitoring and evaluation of strategy implementation branding carried out by the Karsa Husada Batu Hospital team. The method used is by coordinating with internal and external parties related to strategy branding hospitals, in this case the coordination that is carried out is the preparation of Monitoring and Evaluation Team Decrees, preparation of monitoring and evaluation schedules, and supporting documents in conducting monitoring and evaluation.

Platform information sharing and selling contract strategies with blockchain adoption

The recent rapid development of blockchain technology has drawn considerable attention. To examine the impact of blockchain on platform supply chains, we construct a supply chain consisting of two suppliers and an e-commerce platform. Each supplier may use either a reselling or an agency selling contract; therefore, three scenarios are possible: pure agency selling, pure reselling, or hybrid contracts. Considering blockchain’s role in eliminating transaction costs and achieving demand information transparency, we apply a game theory model to study each player’s pricing strategy and profits when blockchain and selling contract strategies vary. We find that the platform’s optimal selling contract and blockchain strategies strongly depend on commission rates, competition intensity, and transaction costs. Suppliers are willing to join the blockchain to gain demand information and reduce transaction costs. With low transaction costs and high competition intensity, the platform may ally itself with the agency supplier and authorize him to join the blockchain to maximize profits, which may ruin social welfare. From a social welfare perspective, we find that a pure agency contract is optimal, whereas the optimal blockchain strategy varies. Specifically, blockchain adoption may not benefit social welfare even when its operations costs are negligible. We further explore a scenario in which two suppliers can choose their selling contracts to derive insights into suppliers’ contract choices and government subsidy policies. Moreover, we explore the impact of marginal production costs on the optimal strategy for platforms.

Spectral radius is a better metric than weighted NODF to detect network nestedness: Linking species coexistence to network structure using a plant – larval sawfly bipartite

1.Network nestedness describes an interaction pattern, wherein specialist species interact with a subset of partner species. Antagonistic networks are predicted to not be nested, because nestedness indicates a high intensity of interspecific competition, which compromises species coexistence. However, network nestedness is commonly observed in antagonistic networks, and the discrepancy between prediction and observation has not been fully resolved.2.One of underlying factors explaining this discrepancy is the imperfection of metrics to detect network nestedness. However, studies comparing network metrics often fail to resolve which metric works best, presumably because they lack specific criteria.3.We compared the results of the most commonly used metrics (weighted NODF) and a later proposed metric (spectral radius) to measure the nestedness of a quantitative plant - larval sawfly bipartite (including 8 sawfly species and 66 plant species, identified by gut DNA metabacoding of larvae). We also determined whether the sawfly species can coexist in terms of their dietary differences. Because nested structure is not likely to be compatible with species coexistence, we assumed that the metric identifying a non-nested structure is superior to the other.4.The two metrics led to contrasting nestedness levels. Both observational and preference networks were found to be nested using weighted NODF, but was not nested using the spectral radius approach.5.The dietary differences were significant among each sawfly species pair for both observational and preference networks, indicating low interspecific competitiveness and a high potential for species coexistence.6.These results indicate that the spectral radius metric is superior to weighted NODF to detecting network nestedness and should be used in future network studies.

Leveraging product quality and price for attainment of the manufacturer's economic objectives

PurposeThis paper analytically models and numerically investigates two operating levers, namely optimization of product price and optimization of product quality in the context of a manufacturer that sells the products directly in the marketplace. The study attempts to identify how optimizing product quality and product price can fulfill a manufacturer's economic aims such as maximization of the manufacturer's profit and market demand. Anchored to the extant literature, the demand is modeled as a parametric joint multiplicative function of price and quality. Further, price is modeled as a function of product quality.Design/methodology/approachFirst, the authors evolve the analytical expression for the manufacturer's profit. Thereafter, following the mathematical principles of unconstrained optimization, the authors arrive at the conditions for optimal product quality and product price. The authors further perform numerical experiments to understand the behavior of economic dimensions such as profit and demand with respect to sensitivities associated with cost, quality and price.FindingsThe authors find that under product quality optimization, the optimal product quality is a unique solution in that a highest possible theoretical manufacturer's profit is obtained. However, in the case of product price optimization, the optimal product price is non-unique and is a function of product quality. The authors further find that in the context of functional quality-level expectations, product quality optimization as an operating lever gives a better dividend. However, in the case of higher product quality expectations, product price optimization performs better than product quality optimization. Further, several novel findings are also obtained from numerical experimentations.Originality/valueThe findings of the authors' study have implications for types of industries characterized by relatively low as well as relatively high competitive intensity. Further, as opposed to several extant studies that have often carried out joint optimization of quality and price, the authors' study is one of the first to study the impact of product price and product quality on the manufacturer's economic objective in a disparate and focused manner, thus capturing individual effects.

ADAPTATION OF MODERN GLOBAL EXPERIENCE IN INCREASE OF THE PROFIT OF COMMERCIAL ENTERPRISES

The topic of finding ways to increase profits is most acute for enterprises operating in markets with high intensity of competition with rapid demand variability such as the retail market. Large retailers feel the most confident about it, but even they have to constantly look for new ways to improve financial results. The purpose of this article is to determine ways to increase the profit of trading enterprises based on the adaptation of modern world experience in this field. The financial result is considered as a profit or loss for the accounting period, as well as an increase or decrease in the company's equity for the period. It is noted that in order to improve the management of financial results, enterprises should enrich the methodology of planning, control and analysis with various indicators of financial results. Modern global trends in the development of large retailers have been studied. To compare the ways of development of foreign and domestic large retailers, one of the largest trading companies of Ukraine was chosen. This is Epicenter K LLC, the structure of which has many foreign analogues. Epicenter K LLC has no direct competitors in Ukraine. However, it competes in the retail market for some product groups. It is clarified that Epicenter K LLC successfully follows most of the global trends in the development of large distribution networks. The sphere in which the Ukrainian company lags behind the achievements of large retailers with a world name has been identified. This is the development of own software products, which are designed to attract more customers to the products of Epicenter K LLC. A study conducted by Epicenter K LLC shows that 63% of the customers of their hypermarket network are aged between 25 and 45. That is, most of the company's customers are a category of buyers who are open to accepting new IT offers. Concepts of digital technologies aimed at increasing the profit of Epicenter K LLC are proposed. Methodical recommendations are provided for calculating the expected financial result from their implementation. A preliminary assessment of the expected financial results of the implementation of the proposals and their payback period was carried out, which confirms their feasibility.

Co-opetition or decentralization? A study of manufacturers’ sourcing and distribution strategies

This study aims to explore the impacts of manufacturers’ downstream distribution channels on upstream sourcing strategy and of the business relationship between manufacturers resulting from upstream sourcing transactions on downstream distribution strategy, through investigating the interplay of co-opetition and decentralization. We consider a framework with two manufacturers producing substitutable products. In the upstream component market, one manufacturer needs to source a key component from either a third-party supplier or its competing manufacturer. In the downstream consumer market, each manufacturer sells the end product through either an integrated or a decentralized distribution channel. The two channels engage in a price competition. For a given downstream distribution strategy, we find that even at a higher component price, the manufacturer who purchases the component may have incentive to source from its competitor that has an integrated channel, while having no incentive to choose a decentralized competitor. A key driver behind this contrast is that co-opetition can be substituted by a decentralized channel used by the competitor, which enables the manufacturer who purchases the component to mitigate price competition more efficiently. For a given upstream sourcing strategy, in contrast to the literature which shows that manufacturers generally prefer downstream decentralization at high competition intensity, we find that integration is always preferred by manufacturers who engage in supplier–buyer cooperation. A key underlying driver is that co-opetition helps the manufacturer who sells the component mitigate price competition more efficiently than decentralization. We also extend our analysis by investigating manufacturers’ decisions on both sourcing and distribution strategies.

The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia

This study aims to understand the performance of SME’s product innovation by relating it to the foresight concept of SME owners or managers and the moderating effect of competitive intensity. It employs a quantitative research method by using a survey. This paper studies SMEs from the West Java Province of Indonesia in three industrial sectors: food, fashion, and handicrafts. These industrial sectors were chosen because they are the most competitive, and their consumers change rapidly. Data were collected through a structured questionnaire. A total of 200 questionnaires were distributed, 190 were returned, and 187 were used for data processing. Furthermore, the data were analyzed using exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modeling (SEM). The results show that networking, time horizon, and analysis can affect product innovation performance (p < 0.05). Furthermore, competition intensity does not affect the relationship between analysis and product innovation performance, although there is a relationship between networking and time horizon. The results of this study provide insight for Indonesian SMEs, especially in West Java. Foresight skills trained by SMEs will make them accustomed to facing high-level competition, especially in the time horizon dimension. However, on the other hand, the high intensity of competition can reduce their networking to collaborate with various related parties.

Research on Physical Fitness Training of Youth Basketball Players

With the successive holding of basketball competitions at home and abroad, basketball has become one of the most popular sports for young people. As the main reserve force for professional basketball teams and national teams, young basketball players are the core and key to the sustainable development of basketball. Especially under the current high intensity and short interval competition intensity, the physical fitness and physical fitness of young basketball players become a powerful guarantee for competitive performance. In view of this, on the basis of literature research, combined with the characteristics of physical and mental development of young people, this paper discusses the significance of physical fitness training for basketball players at this age, and further analyzes the problems in this process, aiming to provide reference and help for the improvement of physical fitness level of young basketball players.

The impact of local government competition and green technology innovation on economic low-carbon transition: new insights from China.

The government-led Chinese economic development system determines that local government competition is a significant factor affecting the economic low-carbon transition. Driving an economic development mode with green technology innovation as the core is the critical path to realizing an economic low-carbon transition. Consequently, it is of significant practical relevance to investigate the impact of local government competition and green technology innovation on the economic low-carbon transition under the government-led Chinese economic development system. This paper systematically explores the nexus between green technology innovation and economic low-carbon transition in terms of local government competition perspective using the system generalized method of moments, panel threshold model, and geographically weighted regression on the basis of a dataset of 30 provincial administrative areas in China from a period of 2006-2019. The results indicate that green technology innovation significantly promotes the economic low-carbon transition. Local government competition not only significantly dampens the economic low-carbon transition but also considerably inhibits the positive effect of green technology innovation on the economic low-carbon transition. A significant N-shaped association is evident between green technology innovation and the economic low-carbon transition when green technology innovation is applied as a threshold, while such association is insignificant when local government competition is used as a threshold. Compared with high-competition intensity areas, green technology innovation promotes economic low-carbon transition weaker in low- competition intensity areas, while local government competition inhibits economic low-carbon transition stronger. However, local government competition significantly inhibits the positive effect of green technology innovation on the economic low-carbon transition in low-competition intensity areas, while insignificant in high-competition intensity areas. The geographically weighted regression technique as a whole also verified the above results. Therefore, policymakers should not only increase research and development investment in green technologies, but also develop a regionally linked low-carbon emission reduction system to avoid ineffective competition among governments to facilitate the earlier fulfillment of the "dual carbon" goal.

Privileged or ordinary carrier: strategic choice in a competitive environment

ABSTRACT Facing the increasing demand for ocean transportation, transport participants are seeking new ways of cooperation to improve overall productivity. In this study, we suppose a terminal operator would propose an agreement, in which carriers who choose to sign the agreement with the terminal operator could be a privileged carrier, otherwise they can only be an ordinary one. The berth requirements of privileged carriers will be satisfied in priority, resulting in certain operation efficiency improvements. A non-cooperative model is proposed to investigate two competing carriers of two transportation chains about whether to be the privileged carrier. It is noticed that the equilibrium strategies for two carriers are always the same. The operation efficiency and intensity of competition are the two key factors influencing the optimal strategy. When the efficiency improvement is at an appropriate level, it is more profitable for carriers to sign the agreement with the terminal operator. When the operation efficiency is at a high level and intensity of competition between two carriers is comparatively greater, the Pareto-optimal strategy will be selected to be the ordinary carrier. Furthermore, we discuss some extensions to prove the robustness of our main insights.

Upper Extremity Injuries in CrossFit Athletes-a Review of the Current Literature.

Cross-discipline fitness, or CrossFit, has exploded in popularity during the last two decades. During this time, there have been a high volume of patients presenting to clinicians with a wide range of associated injuries. Given the high intensity, high repetition, and competitive nature of CrossFit training and competition, athletes are vulnerable to injury, particularly upper extremity injury. The rate of injury to the shoulder, elbow, and wrist in CrossFit is higher when compared to traditional weight-training and more comparable to elite-level gymnastics and Olympic-style lifting. Due to the growing popularity of CrossFit-style exercise and the relatively high rate of injury among its participants, clinicians are likely to encounter these athletes. The purpose of this review is to familiarize clinicians with CrossFit and the associated injuries they will likely encounter. The medical literature focusing on CrossFit has demonstrated exponential growth, with the first article published in 2012 and 59 articles published in 2020. Although the body of literature is growing, there are no high-level studies focusing on CrossFit. The literature mainly consists of level IV and V studies, primarily consisting of case reports and case series. Recent studies have proven that CrossFit athletes are vulnerable to high rates of upper extremity injury and a few studies have identified risk factors for injury. Future high-level research is required to study modifiable risk factors, diagnostic criteria, and treatment options for these high-risk athletes in order to improve the safety of their sport. The CrossFit body of research is limited to level IV and V studies; however, the literature is clear, CrossFit athletes face a high rate of upper extremity injury. For this reason, clinicians must be familiar with CrossFit and its associated pathology. The goal of this review is to familiarize clinicians with CrossFit and the associated pathologies they will likely encounter.

Analisis Keputusan Pembagian Dividen yang Dipengaruhi oleh Investment Opportunity Set, Free Cash Flow, Kebijakan Hutang dan Collateralizable Assets

The background of this study is begins with the high intensity of competition that occurs in go public companies in the Bursa Efek Indonesia. The purpose of this study is to find out the amount of dividends distributed by the company and find out what factors affect the distribution of company dividends. Samples used in this study are obtained 20 companies, the company's sample consists of secondary data collected for data processing. 20 companies are samples that selected from index LQ45 population and constantly listing in index LQ45 since 2018-2020. The process of data processing using statistica tools Eviews-10. The final result of this study are simultaneously IOS, FCF, Leverage, and CA has significant affect to dividend policy; while the variable of leverage has negative affect but IOS, FCF, CA has no affect toward the dividend policy.

Penguatan Aksesibilitas Permodalan bagi Peningkatan Daya Saing Pelaku Usaha Informal

Creating a strategy that can encourage the competitiveness of informal business actors is still a difficult issue in Indonesia. Whereas competitiveness is the main key for informal business actors to continue to survive in the face of high intensity of business competition. On the other hand, many programs have been carried out, especially those related to strengthening the accessibility of capital for informal business actors. However, the program is relatively not optimal because the impact has not been significant. Based on these problems, the purpose of this study is to see how the impact of capital accessibility on income levels as a determinant of the competitiveness of informal business actors. Based on the in-depth interview and exploratory descriptive method, the results of the analysis show that informal business actors in Malang City who participate in the capital cooperation network have a higher income level, so that their competitiveness is relatively increased. A capital cooperation network was deliberately established to jointly access group network-based capital from informal business actors. Group networks are categorized as social capital, which determines the success rate of strengthening business competitiveness. These results can be used as a reference for the preparation of regulations to strengthen the competitiveness of informal business actors who are approached from strengthening the accessibility of capital.