Leadership & Organizational Behavior

This paper examines coworker networks in the American, Chinese, German, and Spanish divisions of a global retail bank. Because the bank has standardized structure and policies across countries, it is possible to examine how norms rooted in national culture impact on various features of informal ties. We propose that cultures vary in the models on which coworker interaction norms are based, with market, family, law, and friendship relations serving as alternative templates.

A common feature of managerial and financial reporting is an iterative process wherein various parties selectively correct particular measurements by challenging them and subjecting them to increased scrutiny. We model this feature by adding an agent appeal stage to the standard moral hazard model and show that it can be optimal to allow the agent to decide which performance measures to appeal, despite the agent's incentive to cherry-pick. In the presence of measurement errors, the agent is incentivized by increased opportunities for cherry-picking that arise if he chooses the "right" vs.

Competing organizations are often defined by their niche overlap or structural equivalence in resource dependence, but the very structure that defines competitors can also identify cooperators. There is a fine line between competition and cooperation, but current theories give insufficient guidance as to which will take place and also contribute to the belief that cooperation between competitors is illegitimate. We show that the legitimacy of these practices, as well the evaluation of their welfare implications, are context bound.

Three experiments explored the accessibility of stereotypes and counterstereotypes following stereotype suppression. Using a lexical decision task, experiment 1 demonstrated that the counterstereotype showed greater accessibility following stereotype suppression compared to stereotype expressers and no prime control participants. Using a person perception task, experiment 2 revealed that suppression can make both the stereotype and the counterstereotype more accessible.

Alcohol impairs cognition, but it may help build rapport. Here's how to decide whether to partake during the deal-making process.

This paper analyzes the determinants of buyout funds' investment decisions. In a model in which the supply of capital is "sticky" in the short run, we link the timing of funds' investment decisions, their risk-taking behavior, and the returns they subsequently earn on their buyouts to changes in the demand for private equity, conditions in the credit market, and funds' ability to influence their perceived talent in the market. Using a proprietary dataset of 207 buyout funds that invested in 2,274 buyout targets over the last two decades, we then investigate the implications of the model.

Strategic requests for advice can transform disputes into amiable problem-solving ventures.

Surveys do! We examine the forecasting power of four alternative methods of forecasting U.S. inflation out-of-sample: time-series ARIMA models; regressions using real activity measures motivated from the Phillips curve; term structure models that include linear, non-linear, and arbitrage-free specifications; and survey-based measures. We also investigate several methods of combining forecasts. Our results show that surveys outperform the other forecasting methods and that the term structure specifications perform relatively poorly.

Although the vast majority of real options models assume that investment opportunities are permanently available, many real-world investment opportunities are sporadic. Options to invest can suddenly become blacked-out, only to be followed by a re-opening in the future. For example, the option to develop real estate may open or close depending upon zoning and growth control decisions, competitive entry, or input (labor or material) availability. Similar factors influence complex R&D options. We term such randomly recurring investment opportunities as options on illiquid projects.