Conference Sessions - Jesse H. Jones Graduate School of ...

SC03
3 - Does Higher Transparency Lead to More Search in
Online Auctions?
Peter T. L. Popkowski Leszczyc, University of Alberta, Edmonton AB,
Edmonton, T6G 2R6, Canada, ppopkows@ualberta.ca,
Ernan Haruvy
In a controlled field experiment, we examine pairs of auctions for identical items
under different conditions. We find that auction design features that are under the
control of the auctioneer – including information transparency, number of
simultaneous auctions, and the degree of overlap between simultaneous auctions –
affect bidder search and optimization. Clickstream data show that a significant
relationship between information transparency and price dispersion can be linked to
search. Specifically, information transparency is fully mediated by lookup behavior,
while number of concurrent items is partially mediated. Combining these findings,
we make auction design recommendations.
4 - First-page Bid Estimates and Keyword Search Advertising:
A Strategic Analysis
Woochoel Shin, Assistant Professor, University of Florida,
Department of Marketing, P.O. Box 117155, Gainesville, FL, 32611,
United States of America, wshin@ufl.edu, Preyas Desai,
Wilfred Amaldoss
With the help of the technological advancement, search engines can use advertiserspecific
information in devising the mechanism of the keyword search auction. In
contrast to the universal minimum bid used in the traditional auction format, search
engines now provide advertiser-specific minimum bids (ASMB) or First-Page Bid
Estimates (FPBE) in their keyword search auctions. In this paper, we investigate profit
implications of these mechanisms in the setting where the per-click valuation of
advertisers is uncertain. Since FPBE is only an estimate and is not strictly enforced by
the search engine, advertisers might choose not to conform to it and thus, FPBE is
expected to generate lower profits to the search engine than ASMB. Contrary to this
naÔve intuition, we show that FPBE dominates ASMB in terms of the search engine
profit. Moreover, FPBE can achieve higher search engine profits than in the auction
without minimum bids, thus proving itself to be the optimal mechanism for the
search engine. We further discuss the possibility that the search engine may
manipulate the listing order by use of ASMB or FPBE. Finally, we discuss the
implication of using FPBE to the search engine’s effort to fight against the click fraud.
■ SC03
Legends Ballroom III
Meet the Editor: Journal of Service Research
Cluster: Meet the Editors
Invited Session
Chair: Sharad Borle, Rice University, Houston, TX, 77005,
United States of America, sborle@rice.edu
1 - Meet the Editors
Editors of the leading Journal of Service Research will present their
editorial policies and perspectives.
■ SC04
Legends Ballroom V
Unique Topics 2
Contributed Session
Chair: Nithya Rajamani, Researcher, IBM India Research Labs, Gachibowli,
Hyderabad 32, Hyderabad, 32, India, nitrajam@in.ibm.com
1 - Role of Government in Marketing Sustainable Development:
An Exploratory Investigation
V. Mukunda Das, Professor and Director, Chandragupt Institute of
Management, Phaneeshwarnath Renu Hindi Bhawan, Chajjubagh,
Patna, BI, 800001, India, vmknd.das@gmail.com, Saji K B
Sustainable development is concerned with meeting the needs of people today
without compromising the ability of future generations to meet their own needs.
Sustainable development therefore involves: (i) a broad view of social,
environmental, and economic outcomes; (ii) a long-term perspective, concerned with
the interests and rights of future generations as well as of people today; and (iii) an
inclusive approach to action, which recognizes the need for all people to be involved
in the decisions that affect their lives. Marketing the notion of sustainable
development has become essential these days as most of the stakeholders to the
development processes are often unaware of the undesirable consequences of the
short term intent of their actions. The Government can play a very crucial role in this
context. Although there are observations and arguments available galore to this
direction, the extant literature in marketing is silent on the role of Government in
marketing sustainable development. To address this research gap, we conducted an
exploratory study that investigated the potential antecedents for explaining the role
of Government in marketing sustainable development. For the exploration purpose,
we have considered the case of the present Government in the Indian state of Bihar,
which ever since its inception is working towards the cause of sustainable
development through several carefully crafted social projects like JEEViKA (Bihar
Rural Livelihoods Project). The present paper reports a theoretical framework that
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explains the role of Government in marketing sustainable development. The study
significantly contributes to the non-profit marketing theory and practice.
2 - Linkages between Infrastructure and Consumption Demand in
Emerging Markets
Puja Agarwal, Doctoral Student, INSEAD, 1, Iyer Rajah Avenue,
Singapore, Singapore, puja.agarwal@insead.edu
The recent financial crisis has highlighted the role of emerging economies as the
drivers of global growth. The emergence of consumer markets in Asia, Africa, Latin
America, and the Mideast provides a new menu of opportunities for manufacturers,
marketers and service providers. The conventional wisdom in the business press is
that private consumption takes off when GDP/capita crosses a certain threshold (e.g.,
$3500). But the reality is that this has not happened. This research attempts to shed
light on the key drivers of private consumption growth across countries, products and
services by going beyond the role of income. Employing historical data on
expenditures across different consumption baskets in 78 countries, this paper focuses
on the role of infrastructure, both physical and financial, in determining the shares of
different product categories in consumers’ budget. We use Deaton and Muellbauer’s
(1980) Almost Ideal Demand System (AIDS) as the empirical methodology to analyze
the impact of infrastructure on expenditure shares. Not only do we find that
infrastructure and depth of credit markets are important in determining the relative
shares of various product categories, but also highlight the asymmetric effect at broad
category and sub-category levels. We also find heterogeneity in the infrastructure
elasticity of demand for same product categories across OECD and Non OECD
(emerging) countries. Across emerging markets, a boom in infrastructure building is
underway. In this context it is important for marketers to not just identify key
infrastructure variables but also its impact in heightening or dampening demand for
their products and services.
3 - Poverty (Tenure) Track
Daniel Shapira, Ben-Gurion University, Ben-Gurion University,
Beer Sheva, Israel, shapirad@bgu.ac.il, Eran Manes
We put forward a general theory that captures the long-term interplay between
incentives and performance of individuals in teams, where human-capital
externalities and spillovers (peer effect) are present, focusing on the case of research
departments within academic institutions. Our model traces the dynamic evolution of
two separated regimes; one in which quality dominates, and the other in which
quantity substitutes quality. In both regimes, reward structures are endogenously
awarded so as to elicit team members to perform in accordance. The existence of a
competitive market for academics perpetuates rather than assists the disentanglement
from the poverty trap regime. We also provide empirical evidence which lend strong
support to the theory. Our theory and findings have far-reaching managerial
implications. They imply that even at the expense of a short-term downfall in both
performance and ranking, decision makers in academic institutions must provide
incentives to encourage high-quality research.
4 - The Nature of Informal Garments Markets: An Empirical Examination
in Emerging Economy
Prashant Mishra, Associate Professor, Indian Institute of Management
Calcutta, Joka, Calcutta, India, prashant@iimcal.ac.in, Gopal Das
The informal markets play a significant role in urban areas. They provide a variety of
low-priced goods, generating employment for a large number of people. Many
authors in the past have lamented that in most Asian countries the contributions of
informal market sellers are hardly ever recognized by the governments and society.
Rather, the policy makers and other elements of local governance in developing
Asian countries like India attempts to control informal sector activities and elements,
such as peddlers, street-side garments and food outlets through various mechanisms
including coercion. However, in spite of trying, the local authorities were unable to
suppress these markets. That means the consumers are accepting rather purchasing
the products from the informal markets, in spite of developments in formal segments.
Although the informal business activities have been quite profound and are
expanding rapidly in India and other Asian countries, there has been hardly any
research done on this age old marketing phenomenon in the Indian context. The
objective of this paper is to fill this research vacuum by exploring the factors
influencing Indian consumer choices while purchasing garments from informal
markets. The study proposes survey 200 consumers frequently participating in
purchases from informal garments markets in the city of Kolkata, Mumbai and Delhi
and Chennai all metropolis located in different parts of India. The outcome of the
study is expected to help develop insights into reasons behind continued consumer
patronage of informal bazaars despite the onslaught of organized retail and modern
developments of retail front. The outcome is also expected to contribute to the debate
on the economic vs social drivers for continued existence of the old and the new
formats of the markets in developing economies.