The article is based on the research in mobile applications markets. The distribution of market power in these markets depends on the ability of a digital ecosystem’s owner to control the handling of mobile applications inside the ecosystem. The degree of this control is determined by the substitutability of different application stores as necessary facilities for the access to mobile applications. The authors provide the survey-based empirical estimates of such substitutability for Apple’s mobile application store - App Store. The results of further tests for market boundaries delineation confirm the embeddedness of final users in Apple’s ecosystem in absence of feasible opportunities to change the operating system and, consequently, the application store. The findings explain the degree of Apple’s market power and provide grounds for antitrust intervention.
The aim of the paper is to identify the characteristics of marketing metrics usage by Russian FMCG (Fast Moving Consumer Goods) companies. The article provides the definition of «marketing metrics» concept, examines the theoretical aspects of marketing metrics and develops their classification. The author analyzes the basic concepts of marketing assessment and approaches to the classification of marketing metrics. The empirical research is based on a mixed strategy approach. Two stages of in-depth interviews were fulfilled to investigate the marketing metrics usage by Russian FMCG companies. Drawing on the results of the empirical research, characteristics of the marketing metrics usage by Russian FMCG companies are identified: those related to specific metrics and those related to the organization of the evaluation process of marketing activity in companies. The results of the research not only expand the theoretical framework of marketing metrics in Russian FMCG market, but also can be used by the Russian FMCG companies to improve the systems of marketing activity assessment based on marketing metrics usage.
Creating federal specially protected natural areas (FSPNA) is one of the most effective forms of environmental management, which is able to maintain biological and landscape diversity. But the process of FSPNA territory expansion should be governed by a comprehensive assessment of the need to increase the area withdrawn from economic land use. The assessment includes not only the study of territory’s biodiversity value, but also a comprehensive socio-economic analysis of the area under consideration. Using methods of statistical analysis and descriptive statistics we explored the possibility of Rosstat municipalities’ data and other publicly available data, to evaluate the effects of FSPNA creation and development. A methodology for constructing an integral characteristic of a municipality is proposed to develop a socio-economic justification for the organization (or development) of FSPNA. The integral characteristic is built on the basis of the principle component analysis, which is used to assess the sustainable development level of the territories and for data visualization. Nizhny Novgorod region was taken as a research object, since it has a unique set of ecosystems located on its territory. Municipalities of the Nizhny Novgorod region, which are promising for the nature protection activitiesб including development of FSPNA, have been identified. They include a number of municipal entities that previously confirmed their willingness to cooperate. The results of the work can be applied in carrying out similar studies in other regions of the Russian Federation.
This article presents the analysis of implementation and interpretation of antitrust legislation in Russian courts, in the field of anti-competitive agreements cases. This article proceeds from the previous research which provided the analysis of the court decision database of litigations with the Russian competition authority (the FAS) initiated in 2008-2010. In this research (which covers court cases of 2011-2015) we provide the database of 646 court decisions and examine the tendencies of applying antitrust prohibitions and legislation in courts. We show how the database structure varies from the point of view of main markets and types of agreements, taking into account the standards of proof. The analysis reveals that the Rule of reason (ROR) approach was not actually applied in courts, despite legislative possibilities. Type 1 errors risks tends to decrease, especially in public procurement cases, cases of banks and insurance companies cooperation. Requirements in the field of market analysis in decisionmaking are also increasing.
By default, it is assumed that competition policy, and especially antimonopoly control of mergers is subjected to the universal principles of preventing the threat of competition restrictions. However, the mergers approval policy in particular sector can be subordinated to specific objectives. In the article, based on the analysis of data of mergers decisions in the motor fuel sector by Russian Federation Federal Antimonopoly Service regional offices in 2010–2015, it was shown that the decisions were consistently subjected to the objective of maintaining the share of independent retailers of petrol in regional markets.
The choice of stock as a method of payment in M&A deals is usually considered by researchers as a signal of acquirer’s stock overvaluation that is proved by its negative impact on M&A performance. However, this view doesn’t take into account information asymmetry faced by the acquirer. The choice of stock payment may be used by the acquirer as a mechanism to reduce risks caused by information asymmetry, and thereby send a positive signal to the market. In this paper, drawing on evidence from 713 and 468 cross-border M&As, initiated by companies from US and BRIC respectively, over 2002-2017, we show that stock payment may be beneficial when target firm is a high-tech company and when the cultural distance between acquirers and targets is large. For M&As, initiated by US firms, stock payment may be also beneficial in deals with private targets, and for acquirers from BRIC – in deals with targets located in a weaker political environment.
The article examines changes in corporate governance bodies in connection with financial results dynamics of German, Austrian and Swiss companies. The main objective of the study was to trace causal links between financial indicators and boards’ gender composition. The paper used reports of European companies to determine boards’ compositions and financial results.
Using a sample of around 200 major corporations and data on their board and management composition along with financial performance indicators in 2014-2019, regressions were applied to determine statistically relevant relations between board compositions and financial results. The findings suggest that there is no negative effect of gender quotas on corporations’ financial performance. Furthermore, financial results improved for real estate and manufacturing businesses and in Switzerland after appointing female managers, but decreased in Austria after appointing female directors. The results also show that there is no correlation between shares of female directors and female managers.
The paper analyses the ways how long-term tariff regulation impacts on investment decision in district heating in Russia. Concessions in district heating gave us good chance to analyze impact of tariff regulation on the potential concessionaire decision who is choosing between agreements. The empirical analysis shows that potential concessionaire makes such decisions taking into account specific tariff parameters. The probability of attracting potential investor increases because of indicated volume of rate of return or including energy efficiency indicators; the ratio of operating expenses has negative effect on the probability. The growth rates of total revenue indicated for all years of the planned agreement has no effect on the probability. Potential concessionaire prefers to choose agreements, where the volume of investment commitments is lower, because he is not ready to assume ambitious commitments in the district heating in the current system of regulation.
In recent decades, financial science actively covers new segments of the financial system that have not been studied previously. One of such areas is the analysis of impact of news on pricing in particular sectors of the stock market. The paper is related to this direction and aims to reveal the influence of news on stock price performance of companies in the U.S. film industry.
To reach the goal we employed the abnormal return and trade volume analysis method, as well as multiple linear regression. Basing on the results of the calculations, we provide the estimations of the general level of return and trade volume reaction on the release of positive and negative news. The significance of the obtained results showed the possibility of their application in practical investment activity, which makes them useful for individual and corporate investors, and fund managers who consider this sector as the possible destination for funds investment. The revealed mechanisms represent a good base for further research of the film industry in different countries and similar market segments.
Intensive development of the global pharmaceutical industry has led to a significant increase in its attractiveness to market investors. At the same time, there is a clear lack of academic work in world financial science that would reveal the specifics of the shares pricing for pharmaceutical companies, including the nature of the influence of various types of news information. The study made it possible to partially solve this problem, significantly expanding the range of available scientific conclusions. Based on a situational and econometric analysis, the authors characterized the influence of a wide range of news information on the dynamics of stock prices and trading volumes, assessed the possibility of insider trading. It is shown that usage of news information by investors can potentially lead to extra profit on market transactions. The findings of the study can be useful to both private and corporate investors, including portfolio managers, in transactions with shares of the world's largest pharmaceutical companies
The aim of this study is to assess the impact of audit reports issuance on the value of public corporations’ shares on the Russian stock market. The practical significance and relevance are due to the increasing role of audit in the financial market and the lack of such studies in the domestic literature. The study is based on the market model and Event Study. The research evaluates the reaction of Russian stock market to publication of audit reports containing various types of audit opinions and takes into account the relation of auditor to the Big4 group. The findings show that the Russian stock market reacts to the release of audit reports very chaotically; the market reacts negatively to the opinions with reservation issued by a Big4 auditor, and also negatively responds to unmodified opinions issued by an auditor of a non-Big4 organization; the market reaction is the opposite for identical types of opinions issued by different types of auditors.
Despite the efforts of law enforcement agencies of the world's leading countries, the influence of radical movements has become much stronger in last decades. Terrorist acts lead to a sharp destabilization in the country especially in its economy. Although the number of terrorist acts is growing, their impact on the financial markets is still barely studied. That is why the aim of this work is to define the general nature of the impact of terrorist attacks on world stock markets. For this purpose, the authors use data for nineteen countries for the period from 1988 to May 2017. The situational analysis, which is based on this data, made it possible to identify the main trends in the impact of terrorist attacks on the dynamics of market indices in developed and developing countries, and also to describe Russian specifics. The conclusions of this work can be useful to market agents as well as to the organizers of trades and regulators, for the formation of timely and correct measures to stabilize the financial system in such situations.
In this article the authors consider different strategies related to the high-dividend portfolio investing. The paper provides the examination of the theoretical aspects, methodology and the evolution of the formation of high-dividend models. The author studies the range of classic high-dividend portfolios, including a traditional version of the «Dogs of the Dow» strategy, and test it on the Russian stock market (2006-2016). The obtained results confirm the efficiency of this direction of investment. In order to increase the level of returns of high-dividend investing, the authors add into the model two filters on the financial performance P/E and ROA. As shown by calculations, the new model allows to achieve significantly higher results in comparison with the classical version. The following research demonstrates an advantage of the new model in comparison with the returns of the overall market (index strategy “buy and hold”) and in comparison with investing in mutual funds and deposits. The obtained results are meaningful and confirmed by the analysis of the risk and return coefficients, suggesting the possibility of their practical application. The modified model is also able to complement the theoretical concept of high-dividend investment and to eliminate the basic shortcomings inherent in the classical model.
Digital transformation and rapid development of Internet technologies in the past decade have contributed to the emergence of an innovative business model of collaborative consumption [Sheresheva, Katsoni, 2019] and the spread of collaborative consumption services (CCS). This study attempts to identify the factors that influence consumers’ decision to use CCS, drawing on generation differences formulated on the basis of generation theory, with a particular focus on Russian consumers. The factors highlighted as a result of systematization of existing studies have been tested on the data of a quantitative study conducted in the form of an online survey with a sample of 3635 Russian users of CCS. An explanatory factor analysis (EFA) helps the authors construct the framework of factors that influence the decision of three generations of consumers (X, Y, and Z) to use CCS. The analysis of variance between the groups (ANOVA) highlights the generation differences that affect the decision to use the CCS by representatives of three generations. The identified generation features are of both theoretical significance, serving as a basis for further research, and practical value for business, mitigating the risks of introducing new CCS to the market, allowing for the needs of various generations of users.
Understanding the organization's life-cycle theory (hereinafter OLC) should allow different stakeholders to study and analyze differences in resources, investment levels, production capacities, etc.
According to the concept of the life cycle, each stage of development is characterized by its organizational and financial characteristics, "crises", problems, tasks. Proceeding from this, it is advisable to consider the stages of the life cycle as a function that depends on a certain set of determinants.
The goal of this research is – to identify the factors on the basis of which it becomes possible to understand the company's movement through the stages of the life cycle, using the model of ordered choice.
Results. With the help of the results obtained, investors and other interested persons will be able to estimate the probability of finding an organization at a certain stage of development on the basis of publicly available information and take a more reasonable management decision, since there are significant differences in the characteristics of companies for each stage.