Unveiling Fairness for the Consumer:The Law, Economics and Justice of Expanded Arbitration

In recent years, the US Supreme Court has rather controversially extended the ambit of the Federal Arbitration Act to extend arbitration’s reach into, inter alia¸ consumer matters, with the consequence that consumers are often (and unbeknownst to them) denied remedies which would otherwise be available. Such denied remedies include recourse to class action proceedings, effective denial of punitive damages, access to discovery and the ability to resolve the matter in a convenient forum.

The court’s extension of arbitration’s ambit is controversial. Attempts to overturn this extension have been made in Congress, but to no avail. In contrast to American law, European consumer law looks at pre-dispute agreements to arbitrate directed at consumers with extreme suspicion, and does so on the grounds of fairness. In contrast, some argue that pre-dispute agreements in consumer (and employment) matters are consumer welfare enhancing: they decrease the costs of doing business, which is then passed on to the consumer. This Article examines these latter claims from both an economic and normative perspective.

The economic analysis of these arguments shows that their assumptions do not hold. Rather than being productive of consumer surplus, the use of arbitration is likely to have the opposite effect. The industries from which the recent Supreme Court cases originated not only do not exhibit the industrial structure assumed by the proponents of expanded arbitration, but are also industries which exhibit features that facilitate consumer welfare reducing collusion.

The normative analysis addresses the fairness concerns. It is explicitly based upon John Rawls’ notion of “justice as fairness,” which can provide a lens to evaluate social institutions. This Rawlsian analysis considers the use of extended arbitration in consumer matters in the light of the earlier economic results. It suggests that the asymmetries present in the contractual allocation of rights serve as prima facie evidence that such arbitration–induced exclusions are prima facie unjust/unfair. However, as asymmetry is only a prima facie test, a generalized criticism of the arbitration exclusions (of the sort found in Congress and underlying the European regime) is overbroad.

An examination of regional policy implications pertaining to SME E-Business adoption in South-East Wales

Regional policy frameworks need to focus on strengthening the ICT infrastructure, clarifying market rules to build user confidence, developing networks, facilitating ICT-enabled clustering and infrastructure sharing.

The Monetary Value Of Meat Authenticity And Food Safety In Ready To Heat Lasagne: Implications Of The ‘Horse Meat Scandal’ Across Europe

The recent ‘horse meat scandal’ in Europe has sparked huge concerns among consumers, as horse meat was found in beef lasagne ready to be consumed. Within STARTEC, a European funded project, this study investigates consumers’ preferences, attitudes and willingness to pay (WTP) towards characteristics of ready to heat (RTH) fresh lasagne, including origin of the meat, tested for meat authenticity, safety of the lasagne, and nutritional value, using Discrete Choice Experiments in six countries - Republic of Ireland, France, Italy, Spain, Germany and Norway. Our representative sample of 4,598 European consumers makes this the largest cross country study of this kind. The questionnaire was administered online in January 2014. Results from models in WTP-space show that, on average, consumers are willing to pay considerable amount (about €4-9) for food authenticity; on this Irish and Italian are the least concerned while Spanish are the most concerned. As expected from discussing with stakeholders, food safety claims and nutritional value of the RTH lasagne are relatively less important. Consumers also value knowing the origin of ingredients preferring locally sourced meat. Primarily, the results of this study present strong evidence that consumers in Europe are highly concerned about authenticity of the meat in ready meals and strongly prefer to know that the meat is national. This evidence suggests that there is great value in providing information on these attributes, both from a consumer perspective and where this leads to an increased consumer confidence has benefits for the food industry.

Branding strategies for high technology products: The effects of consumer and product innovativeness

Choice of an appropriate branding strategy is a critical determinant of new product success. Prior work on fast-moving-consumer-goods (FMCG) prescribes that new products carry new (vs. existing) brand names to appeal to earlier adopters - a critical target for new products. However, such a prescription may not be prudent for high-technology (HT) products, as they often involve considerably more consumer perceived risk than FMCG. By drawing on Dowling and Staelin's (1994) framework of perceived-risk handling, we propose that both earlier and later adopters will favor existing brands to cope with the elevated risk associated with an innovative HT product. Two studies - one conducted in an experimental setting and the other in a field setting - support the proposition that both earlier and later adopters respond more favorably to existing (vs. new) brands on innovative HT products.

Living to the range limit: consumer isotopic variation increases with environmental stress

Background: Theoretically, each species’ ecological niche is phylogenetically-determined and expressed spatially as the species’ range. However, environmental stress gradients may directly or indirectly decrease individual performance, such that the precise process delimiting a species range may not be revealed simply by studying abundance patterns. In the intertidal habitat the vertical ranges of marine species may be constrained by their abilities to tolerate thermal and desiccation stress, which may act directly or indirectly, the latter by limiting the availability of preferred trophic resources. Therefore, we expected individuals at greater shore heights to show greater variation in diet alongside lower indices of physiological condition.

Methods: We sampled the grazing gastropod Echinolittorina peruviana from the desert coastline of northern Chile at three shore heights, across eighteen regionally-representative shores. Stable isotope values (δ13C and δ15N) were extracted from E. peruviana and its putative food resources to estimate Bayesian ellipse area, carbon and nitrogen ranges and diet. Individual physiological condition was tracked by muscle % C and % N.

Results: There was an increase in isotopic variation at high shore levels, where E. peruviana’s preferred resource, tide-deposited particulate organic matter (POM), appeared to decrease in dietary contribution, and was expected to be less abundant. Both muscle % C and % N of individuals decreased with height on the shore.

Discussion: Individuals at higher stress levels appear to be less discriminating in diet, likely because of abiotic forcing, which decreases both consumer mobility and the availability of a preferred resource. Abiotic stress might be expected to increase trophic variation in other selective dietary generalist species. Where this coincides with a lower physiological condition, this may be a direct factor in setting their range limit.

Can Future Managers and Business Executives be Influenced to Behave more Ethically in the Workplace? The Impact of Approaches to Learning on Business Students’ Cheating Behavior

This study considers the potential for influencing business students to become ethical managers by directing their undergraduate learning environment. In particular, the relationship between business students’ academic cheating, as a predictor of workplace ethical behavior, and their approaches to learning is explored. The three approaches to learning identified from the students’ approaches to learning literature are deep approach, represented by an intrinsic interest in and a desire to understand the subject, surface approach, characterized by rote learning and memorization without understanding, and strategic approach, associated with competitive students whose motivation is the achievement of good grades by adopting either a surface or deep approach. Consistent with the hypothesized theoretical model, structural equation modeling revealed that the surface approach is associated with higher levels of cheating, while the deep approach is related to lower levels. The strategic approach was also associated with less cheating and had a statistically stronger influence than the deep approach. Further, a significantly positive relationship reported between deep and strategic approaches suggests that cheating is reduced when deep and strategic approaches are paired. These findings suggest that future managers and business executives can be influenced to behave more ethically in the workplace by directing their learning approaches. It is hoped that the evidence presented may encourage those involved in the design of business programs to implement educational strategies which optimize students’ approaches to learning towards deep and strategic characteristics, thereby equipping tomorrow’s managers and business executives with skills to recognize and respond appropriately to workplace ethical dilemmas.

DACA: architecture to implement dynamic access control mechanisms on business tier components

Access control is a software engineering challenge in database applications. Currently, there is no satisfactory solution to dynamically implement evolving fine-grained access control mechanisms (FGACM) on business tiers of relational database applications. To tackle this access control gap, we propose an architecture, herein referred to as Dynamic Access Control Architecture (DACA). DACA allows FGACM to be dynamically built and updated at runtime in accordance with the established fine-grained access control policies (FGACP). DACA explores and makes use of Call Level Interfaces (CLI) features to implement FGACM on business tiers. Among the features, we emphasize their performance and their multiple access modes to data residing on relational databases. The different access modes of CLI are wrapped by typed objects driven by FGACM, which are built and updated at runtime. Programmers prescind of traditional access modes of CLI and start using the ones dynamically implemented and updated. DACA comprises three main components: Policy Server (repository of metadata for FGACM), Dynamic Access Control Component (DACC) (business tier component responsible for implementing FGACM) and Policy Manager (broker between DACC and Policy Server). Unlike current approaches, DACA is not dependent on any particular access control model or on any access control policy, this way promoting its applicability to a wide range of different situations. In order to validate DACA, a solution based on Java, Java Database Connectivity (JDBC) and SQL Server was devised and implemented. Two evaluations were carried out. The first one evaluates DACA capability to implement and update FGACM dynamically, at runtime, and, the second one assesses DACA performance against a standard use of JDBC without any FGACM. The collected results show that DACA is an effective approach for implementing evolving FGACM on business tiers based on Call Level Interfaces, in this case JDBC.

Exploring Consumer Opportunism Conundrum in the Insurance Industry: The Role of Marketing

Drawing from the extant literature, this paper explores the prevalent consumer opportunism in the insurance transactions, its links to consumers’ perception, and the relevance of marketing strategies in curbing the menace. It shows that insurance opportunism could be perpetrated by any party in the insurance transaction system and at any stage of the process involved. Among factors identified as prompting this conundrum are economic motive, resentment towards the insurance companies, laxity in the application processing/asymmetric information, and insiders’ collaborations. Nonetheless, the paper suggests that strong commitment of insurance marketers to creating and delivering value to the customers more robustly through a proactive and all-embracing implementation of marketing strategies vis-àvis relationship marketing could significantly enhance consumers’ positive perception of insurance business and consequently result in a healthier insurance industry.

An Evaluative Case Study of a Career Coaching Approach to Improving Student Placement Success in a UK Business School

Describes the innovative approach adopted in a UK business school to improve the number of student placements. A module was designed to provide students with the skills to search, apply for and gain a year-long placement as part of a degree ‘sandwich’ course. A blend of workshops, recorded lectures, online formative feedback exercises and one-to-one career coaching created a tailored, practical approach to skill enhancement. This session provides the presentation of the adopted methodology the results of the evaluative research, a live demonstration of the coaching approach and a discussion with the audience of ideas for development of the approach.

Choosing the Right Promotional Tool in the Hotel Industry: The Case of the Chinese Consumer.

The rapid growth of the Chinese tourism has stimulated competition within tourism-related industries, such as the hospitality industry. The purpose of this study is to examine the Chinese consumer reaction to different promotional tools used by hotels in China and, thus, to provide a deeper understanding for marketers of how to use sales promotion effectively to generate appropriate consumer responses. An experimental survey was administered yielding a total sample of 319 Chinese customers, who were probed using different types of sales promotion tools. Data analysis indicates that bonus packs (e.g. a 3-night stay at a hotel for the price of 2) induced the highest consumer perceived value, brand switching, and purchase acceleration intention, whereas price discounts resulted in the highest intention to spend more. Although this study has its limitations given its reliance on a convenience sample, it offers insightful practical implications for hotel business owners in Asia regarding targeting the right customers with the right promotional tools, where it is proposed that bonus packs successfully attract new Chinese customers and price discounts support in generating more sales.

Feminist epistemology meets the masculinity of marketing and consumer knowledge: a contemporary rendering of a decade-long debate

In this paper I outline possibilities for, and issues arising from, opposition towards the dominant ideologies and practices of marketing knowledge (Hirschman 1993) through an engagement with feminist epistemology (Longino 1991, Harding 1987). Feminist epistemology is a political branch of naturalised epistemology (Quine 1969) primarily concerned with critique of constructions of gender, gender norms and gendered interests within the production of knowledge (Anderson 1995) and with theorising, grounding and legitimating feminist knowledge making practices (Harding 1987). It is most often associated with the feminist critique of science, and with feminist science and technology studies (Haraway 1987, Wajman 1997). Feminist epistemology asks the question, ‘what is the nature of the feminist critical project as a way of knowing?’ (McLennan 1995:392). This paper outlines the basis of the feminist critique of knowledge generally, and as applied to marketing knowledge, offers description of the three main epistemological approaches to this question and suggestions for their application in practice. The paper progresses important work by consumer behaviour theorists (Bristor and Fischer 1993, Hirschman 1993) on the potentials of feminist ways of knowing for marketing and consumer behaviour by moving beyond the tripartite of feminist approaches outlined, and extending the discussion to take into account the development of situated knowledges theory (Haraway 1989, 1997), which has become so important in the decade since these papers were written. It joins ongoing conversations in consumer behaviour and marketing that share similar feminist concerns (Catterall et al 1997, 2000, 2005, Bettany and Woodruffe Burton 1999, 2005, and Hogg et al 1999, 2000) but in this contribution it takes a slightly tangential approach, seeing marketing knowledge in terms of its epistemic culture by using a model of masculinity in academic cultures from feminist theory (Wagner 1994) to help conceptualise it as such. The dominant masculine ideology of marketing knowledge both in execution (Penaloza 1994, Bristor and Fischer 1994, Fischer and Bristor 1993, Woodruffe 1996), and values (Hirschman 1993, Brown 2000, Desmond 1997) has been well documented over the past fifteen years. However, although the basis of this, how is it manifested and how a feminist informed marketing knowledge could be achieved, have been addressed somewhat in the literature (Bristor and Fischer 1993, Hogg, Bettany and Long 2000) an updated rendering is necessary which focuses specifically on epistemology and situates this discussion within a cultural framework. To do this I use the notions of cultural masculinity in academic disciplines developed by Wagner (1994) of ‘organisational egocentrism’, ‘fake collectivity’ and ‘de realisation’. With these, I raise important and specific issues around the notion of the masculinity of marketing knowledge, and then present an outline of feminist epistemologies to illustrate how different feminist approaches to knowledge would address these concerns.