Essays on durable goods consumption and firm innovation

This dissertation comprises three individual chapters. Chapter Two examines how free riding across neighbors influenced the diffusion of color television sets in rural China. Chapter Three tests for asymmetric information between a firm’s management and other investors concerning its patent output. Chapter Four discusses how knowledge stocks influence a patenting firm’s later diversification. Chapter Two documents the existence of a type of network effects—free riding across neighbors—in the consumption of color television sets in rural China, which reduces the propensity of non-owners to purchase. I construct a model of the timing of the purchase of a durable good in the presence of free riding, and test its key implications using household survey data in rural China. Chapter Three tests for asymmetric information between a firm’s management and other investors about its patent output by examining insider trading patterns and stock price changes in R&D intensive firms. It demonstrates that management has considerable information about its patent output beyond what is known to investors. It also shows that the predictive power of insider trading patterns on patent output comes from purchases rather than sales. Chapter Four discusses two sequential channels through which knowledge stocks may influence a firm’s later diversification. One is that firms with more knowledge are more likely to enter a new industry. The other is that firms’ businesses have a better chance of surviving, conditional on being formed. By examining U.S. public patenting firms in manufacturing sectors for 1984-1996, I find that knowledge stocks predict the likelihood of new industry entry when controlling for firm size. However, this predictive power is weakened when diversification effects are included. On the other hand, a survival study of newly established segments shows that initial knowledge stocks have significant positive effects on segment survival, whereas diversification effects are insignificant.

Reserva extrativista Acaú-Goiana: tragédia comum ou decisão coletiva?

In recent years we have observed, in Brazil, the expansion of democratic spaces, providing the use of participatory management strategies in common-pool areas. However, the existence of a co-management model does not guarantee its practice, neither that it will prevent the depletion of common features characterizing the tragedy proposed by Hardin. In this work we analysed the management of Acaú-Goiana RESEX which is located in the cities of Acaú (PB) and Goiana (PE), eight years after its legal creation. We evaluated how much the users of RESEX possess information (even if non formalized) regarding the common use of area and whether they exhibit collectivist values. We used as an interpretative tool the facilitators principles of common resource management (PGRC) identified by Elinor Ostrom and the questionnaire of human values proposed by Schwartz. The human values questionnaire was applied to 240 individuals, half beneficiary and the other half non-beneficiary, only the beneficiaries were submitted to the questionnaire of PGRC. Interviews were conducted in the period of May to September 2014. We tested three hypotheses: 1) The degree of dependence from RESEX resources will play an important role on indirect knowledge of the PGRC; 2) the inclusion of individuals in a communal area (RESEX) increases collectivists values; 3) higher collectivist value rates increases knowledge of PGRC. To this end, we defined levels of socio-economic dependence of RESEX resources, knowledge of PGRC and individual values. GLM statistic analysis of mean comparison and correlation were employed. Our results showed that the knowledge on six of the seven items analyzed in the basic principles (PGRC) is still low. The extended land area and the high number of users may be exerting a detrimental effect on the development of a co-management. Contrary to expected, it was not the dependency who influenced knowledge on the PGRC, but the time spent in contact with the RESEX. This indicates that direct contact with the environment, not the dependence of it, that raises awareness about PGRC. According to our hypothesis, individuals with collectivist values showed greater knowledge of PGRC and reduced hours of work within the RESEX, indicating a greater tendency of individuals refrain their use of the common resource. Individualistic values correlated with less knowledge of a PGRC. Among the beneficiaries, individuals with higher individualistic values had higher monthly income, while among non-beneficiaries there was no such correlation, demonstrating the economic advantages of individualism (free-riding) in situations of non-private use of resources. Our data emphasize the importance of guiding the main actors in the development of a co-participatory management in the direction of the basic principles, and to develop collectivist values among users of a common good can raise awareness of these principles.

Does generic entry always increase consumer welfare?

This article examines how the nature of competition between brands in a therapeutic category changes after generic entry and provides a framework for analyzing the effect of generic entry on consumer welfare that takes into account the generic free riding problem. It demonstrates that changes in competition along dimensions other than retail price - such as competition in research and development efforts and in promotional activities - may, in certain situations, result in generic entry having an overall negative impact on consumer welfare.

Hold the Gluten! Can coeliac consumers enjoy risk-free dining

Can coeliac consumers enjoy risk-free dining? This project was designed to assess awareness of coeliac condition and to highlight the importance of providing gluten-free food. The survey was conducted in two parts: first, our samplers purchased gluten-free meals from restaurants, and then they completed a questionnaire. This asked questions relating to their purchasing experience and the level of knowledge displayed by restaurant staff. Their whole meal was then dispatched to the laboratory for analysis of the gluten content. Our samplers found that they were able to identify and purchase a gluten-free meal from the restaurants that they visited. While some were supplied with meals that actually contained gluten, the level of gluten in those meals varied considerably. Our samplers ordered 260 meals. Sixteen per cent of these contained gluten, and six and a half per cent were deemed unsatisfactory (containing more than 200mg/kg of gluten). Some of these samples could produce acute illness in coeliac customers. It is likely that the samples with low levels of gluten had been cross-contaminated, while those containing higher levels are more likely to contain some form of gluten in the ingredients. Food service staff rely on advice and input from the chef or manager to recommend and serve a glutenfree meal. Confident staff and well-signposted menu choices do not guarantee risk-free dining for coeliac customers. The survey result supports our view that robust training is required to improve the knowledge of chefs, managers and staff, and help them to manage this hazard. To enable coeliacs to eat out safely and enjoyably, we make the following recommendations

Taxonomic free sorting: a successful method with older consumers and a novel approach to preference mapping

Taxonomic free sorting (TFS) is a fast, reliable and new technique in sensory science. The method extends the typical free sorting task where stimuli are grouped according to similarities, by asking respondents to combine their groups two at a time to produce a hierarchy. Previously, TFS has been used for the visual assessment of packaging whereas this study extends the range of potential uses of the technique to incorporate full sensory analysis by the target consumer, which, when combined with hedonic liking scores, was used to generate a novel preference map. Furthermore, to fully evaluate the efficacy of using the sorting method, the technique was evaluated with a healthy older adult consumer group. Participants sorted eight products into groups and described their reason at each stage as they combined those groups, producing a consumer-specific vocabulary. This vocabulary was combined with hedonic data from a separate group of older adults, to give the external preference map. Taxonomic sorting is a simple, fast and effective method for use with older adults, and its combination with liking data can yield a preference map constructed entirely from target consumer data.

No Free Lunch: Displaced Marsh Consumers Regulate a Prey Subsidy to an Estuarine Consumer

Pulse subsidies account for a substantial proportion of resource availability in many systems, having persistent and cascading effects on consumer population dynamics, and energy flow within and across ecosystem boundaries. Although the importance of pulsed resource subsidies is well-established, the mechanisms that regulate resource fluxes across ecosystem boundaries are not well understood. The aim of our study was to determine the extent that marsh consumers regulated a marsh prey subsidy to estuarine consumers in the oligohaline reaches of an Everglades estuary. We characterized a marsh pulsed subsidy of cyprinodontoid, invertebrate and sunfish prey that move into the upper estuary from adjacent drying marshes. In response to the prey pulse, we examined the numerical, fitness and dietary responses of three focal consumers in the upper estuary; two marsh species (largemouth bass and bowfin) that accompanied the subsidy as a result of marsh drying, and one estuarine consumer (snook). At the onset of marsh drying and the prey subsidy, estuarine consumers switched diets to consume the larger marsh prey (sunfishes), while bass and bowfin maintained similar diets (cyprinodontoids and invertebrates respectively) than pre and post subsidy. From the consumption of this subsidy, bass (marsh species) and snook (estuarine species) exhibited fitness gains while bowfin did not. Although both marsh and estuarine consumers benefitted from the subsidy, we found evidence that freshwater consumers shunted some of the subsidy away from snook. Of the prey sampled in consumer stomachs, 41% of marsh prey biomass was eaten by marsh consumers, while 59% was consumed by the estuarine consumer. We conclude that the amount of the marsh prey available to estuarine consumers may be greater in the absence of marsh consumers, thus the magnitude of the prey subsidy could depend on the dynamics of the marsh consumers from donor communities.

Nutrimetabolomics fingerprinting to identify biomarkers of bread exposure in a free-living population from the PREDIMED study cohort

Bread is one of the most widely consumed foods. Its impact on human health is currently of special interest for researchers. We aimed to identify biomarkers of bread consumption by applying a nutrimetabolomic approach to a free-living population. An untargeted HPLC q-TOF-MS and multivariate analysis was applied to human urine from 155 subjects stratified by habitual bread consumption in three groups: non-consumers of bread (n = 56), white-bread consumers (n = 48) and whole-grain bread consumers (n = 51). The most differential metabolites (variable importance for projection ≥1.5) included compounds originating from cereal plant phytochemicals such as benzoxazinoids and alkylresorcinol metabolites, and compounds produced by gut microbiota (such as enterolactones, hydroxybenzoic and dihydroferulic acid metabolites). Pyrraline, riboflavin, 3-indolecarboxylic acid glucuronide, 2,8-dihydroxyquinoline glucuronide and N-α-acetylcitrulline were also tentatively identified. In order to combine multiple metabolites in a model to predict bread consumption, a stepwise logistic regression analysis was used. Receiver operating curves were constructed to evaluate the global performance of individual metabolites and their combination. The area under the curve values [AUC (95 % CI)] of combined models ranged from 77.8 % (69.1 86.4 %) to 93.7 % (89.4 98.1 %), whereas the AUC for the metabolites included in the models had weak values when they were evaluated individually: from 58.1 % (46.6 69.7 %) to 78.4 % (69.8 87.1 %). Our study showed that a daily bread intake significantly impacted on the urinary metabolome, despite being examined under uncontrolled free-living conditions. We further concluded that a combination of several biomarkers of exposure is better than a single biomarker for the predictive ability of discriminative analysis.

Nutrimetabolomics fingerprinting to identify biomarkers of bread exposure in a free-living population from the PREDIMED study cohort

Bread is one of the most widely consumed foods. Its impact on human health is currently of special interest for researchers. We aimed to identify biomarkers of bread consumption by applying a nutrimetabolomic approach to a free-living population. An untargeted HPLC q-TOF-MS and multivariate analysis was applied to human urine from 155 subjects stratified by habitual bread consumption in three groups: non-consumers of bread (n = 56), white-bread consumers (n = 48) and whole-grain bread consumers (n = 51). The most differential metabolites (variable importance for projection ≥1.5) included compounds originating from cereal plant phytochemicals such as benzoxazinoids and alkylresorcinol metabolites, and compounds produced by gut microbiota (such as enterolactones, hydroxybenzoic and dihydroferulic acid metabolites). Pyrraline, riboflavin, 3-indolecarboxylic acid glucuronide, 2,8-dihydroxyquinoline glucuronide and N-α-acetylcitrulline were also tentatively identified. In order to combine multiple metabolites in a model to predict bread consumption, a stepwise logistic regression analysis was used. Receiver operating curves were constructed to evaluate the global performance of individual metabolites and their combination. The area under the curve values [AUC (95 % CI)] of combined models ranged from 77.8 % (69.1 86.4 %) to 93.7 % (89.4 98.1 %), whereas the AUC for the metabolites included in the models had weak values when they were evaluated individually: from 58.1 % (46.6 69.7 %) to 78.4 % (69.8 87.1 %). Our study showed that a daily bread intake significantly impacted on the urinary metabolome, despite being examined under uncontrolled free-living conditions. We further concluded that a combination of several biomarkers of exposure is better than a single biomarker for the predictive ability of discriminative analysis.

Save Consumers Time and Money: Thou Shall Not Forget Digital Native Big Data Consumers

Poster at Open Repositories 2014, Helsinki, Finland, June 9-13, 2014

Development of gluten-free cookie from medicinal plants (Guaraná - Paullinea cupana and Catuaba - Anemopaegma mirandum) aiming at copper, iron, and zinc supplementation

Two flavors of cookies were developed (savory and peppery) containing a mixture of plants such as "guaraná" (Paullinia cupana) and "catuaba" (Anemopaegma mirandum). A test of acceptance and buying intention was applied to 48 consumers through a structured hedonic scale of 9 points. Afterwards, the centesimal compositions of these cookies were obtained as well as their total contents of copper, iron, and zinc through the method of atomic absorption spectrometry with flame. Sensorial tests indicated that the cookies presented good acceptance with potential to sensorial growth. The amount of fibers in the samples, 3 g/100 g, surpassed expectations since the product was not invented with the intention of being a source of this nutrient. The total amount of copper (0.41 mg.100 g-1), iron (4.50 mg.100 g-1), and zinc (1.32 mg.100 g-1) was considered good. The cookies produced can be considered good sources of fibers, copper, iron, and zinc. Furthermore, they are beneficial to people affected by celiac disease because they lack gluten. They also present functional properties. In addition, the medicinal plants used are considered energetic.

Macrocospic and physiochemical characterization of a sugarless and gluten-free cake enriched with fibers made from pumpkin seed (Cucurbita maxima, L.) flour and cornstarch

The Consumers' interest for products with caloric reduction has increased, and their development is a technological challenge. The consumption of cakes has grown in importance and the demand for dietary products has stimulated the use of sweeteners and the optimization of bakery products. The consumption of fibers is related to chronic diseases prevention. Pumpkin seeds (maximum Cucurbita, L.), rich in fibers, can be used as a source of fiber in food products. A gluten-free diet is not easy to follow since gluten free products are not always available. The objective of this work was to perform a physicochemical characterization of cakes prepared with flours blends (FB) based on Pumpkin Seed Flour (PSF). The cakes were elaborated with FB in the ratios of 30:70 (C30) and 40:60 (C40) of PSF and cornstarch (CS), respectively. The results showed gluten absence and near-neutral pH. The chemical analysis of C30 and B40 showed increase of ashes, lipids, proteins, and insoluble dietary fiber and a decrease in the content of carbohydrates and calories. The chemical composition of C40 presented the greatest content of lipids, proteins, and dietary fibers, the lowest content of calories, and the best physical parameters. Therefore, both products proved suitable for human consumption.

Free-range village chickens on the Accra plains, Ghana: Their contribution to households

A cross-sectional survey investigating the contribution of free-range village chickens to household economies was carried out in four administrative districts within 60km of Accra. Answers were provided by 101 men and 99 women. Nearly all respondents claimed to keep chickens for meat, with a far smaller percentage claiming to keep them for egg production. Over 80% of respondents kept chickens to supplement their incomes. The proportion of the flock eaten varied between administrative areas (p=0.009 and p=0.027), although this was possibly a consequence of differences in consumption patterns between occupation of the respondent, land area cultivated and flock size. The proportion of chickens sold varied as a result of differences in flock size (p=0.013), the proportion sold increasing with number of birds in the flock. Respondents generally agreed that chickens could be sold without difficulty. A majority of chicken sales were from the farm gate, directly to consumers or traders. Sales were on demand or when the owner needed money. Money from the sale was kept by the owner of the chicken and the money was spent on personal needs. The proportion of the flock sold varied between administrative areas (p=0.025) and occupation of the respondent (p=0.040). Respondents describing animal production as their main occupation tended to have greater reliance on chicken sales for their income. Consideration is given to estimating the offtake from the flock and the financial contribution to the household.

Consumer attitudes to injurious pecking in free range egg production

Free range egg producers face continuing problems from injurious pecking (IP) which has financial consequences for farmers and poor welfare implications for birds. Beak trimming has been practised for many years to limit the damage caused by IP, but with the UK Government giving notification that they intend to ban beak trimming in 2016, considerable efforts have been made to devise feasible housing, range and management strategies to reduce IP. A recent research project investigated the efficacy of a range of IP reducing management strategies, the mean costs of which came to around 5 pence per bird. Here, the results of the above project’s consumer survey are presented: consumers’ attitudes to free range egg production are detailed showing that, whilst consumers had a very positive attitude towards free range eggs, they were especially uninformed about some aspects of free range egg production. The contingent valuation technique was used to estimate the price premium consumers would be prepared to pay to ensure that hens do not suffer from IP: this was calculated as just over 3% on top of the prevailing retail price of free range eggs. These findings reinforce other studies that have found that whilst consumers are not generally well-informed about certain specific welfare problems faced by animals under free range conditions, they are prepared to pay to improve animal welfare. Indeed, the study findings suggest that producers could obtain an additional price premium if they demonstrate the welfare provenance of their eggs, perhaps through marketing the eggs as coming from birds with intact beaks. This welfare provenance issue could usefully be assured to consumers by the introduction of a mandatory, single, accredited EU-wide welfare-standards labelling scheme.

Tomorrow's silk road: Assessing an EU-China Free Trade Agreement.

Foreword. The Foreign Trade Association, which represents the European and international distribution and retail sector, commissioned this study in light of the importance of China as a sourcing country and its attractiveness as a rapidly growing consumer market. We believe that open borders and free trade can contribute to a broader choice and lower costs for consumers and create growth and employment in both Europe and China. This independent study aims to provide an in-depth contribution on the status of bilateral economic exchanges and persistent trade barriers that exist between the European Union and China. The second objective of the report is to encourage a frank and open dialogue, based on a scientific evaluation and without prejudice, on the possibility of a preferential trade agreement between the two sides. This study should be read by anyone who is interested in economic relations between the EU and China and in trade policy in general. The report provides many interesting findings and raises a number of surprising points. Overall, this study is one of the most significant contributions to the discourse on EU-China relations in recent years. We hope that this study will stimulate fresh thoughts on the benefits of closer future cooperation between two regions that have been interlinked since the times of antiquity and the first Silk Road.

Relationships between flavour, lipid composition and antioxidants in organic, free-range and conventional chicken breasts from modelling

Consumers expect organic, free-range and corn-fed chicken to be nutritionally wholesome and have premium flavour characters. Interrelationships between flavour, fatty acids and antioxidants of retailed breasts were explored using simple correlations and chemometrics. Saturated fatty acid C16:0, and n-6 polyunsaturated C20:4 and C22:4 contents were correlated with lipid oxidation products (thiobarbituric acid reactive substances) and in partial least-squares regression (PLS1) with 32 high-resonance gas chromatography (flame ionization) flavour components (r2>0.90), and also linked (r2>0.80) to antioxidants (-tocopherol, glutathione and catalase). A further 10 high-resonance gas chromatography nitrogen phosphorus detector flavour components were correlated (r 2>0.85) with C18:3(n-3) content. Chicken character was correlated with C18:3(n-3), and C18:3(n-6) inversely with oily, off-flavour and lipid oxidation. Sweet, fruity and oily aromas were linked in PLS1 with 13 specific fatty acids (r2>0.6), and bland taste with total summed (six) fatty acid fractions (r2>0.81). Specific antioxidants were correlated with sweet, fruity and chicken aromas, and -tocopherol inversely with lipid oxidation. PLS2 confirmed relationships between fatty acid composition, antioxidants and the subsets of 32 and 10 flavour components. Clear relationships were thus observed between lipid and antioxidant compositions and flavour in chicken breast meat.