In response to the increasing use of computer programs to process firm disclosures, this registered report develops a new measure of “scriptability” that reflects computerized, rather than human, information processing costs. We validate our measure using SEC filing‐derived data from prior...

Private equity (PE) funds are growing to dominate capital markets. In conjunction with this growth, secondary markets for PE stakes have also grown. Innovative recent work investigates the valuation discount that sellers of PE stakes incur and attributes this discount entirely to the illiquidity...

The initial public offering (IPO) market is characterized by large, periodic swings in new issue volume, commonly referred to as hot and cold markets. We compare IPO assurance fees over these cycles controlling for factors that are potentially associated with hot IPO markets. We find that...

Conventional wisdom suggests that when firms face a negative externality like gray marketing (i.e., the selling of branded goods outside of the manufacturer's authorized channels), an effective strategy to reduce the negative impact is to centralize decision-making (Varian 1992). Nevertheless,...

Economists regularly decry the persistence with which firms set prices above marginal cost and thus, according to the economists, fail to maximize profits. But it is the economists who have it wrong - first, because variable accounting costs are not always a good proxy for marginal economic...

The epilogue to Supply Chain Partners: Virginia Mason and Owens & Minor (A), the B case details the outcome of the issues discussed in Case A; namely that Virginia Mason and Owens & Minor did implement the TSCC contract. Virginia Mason also kept the suture contract with O&M because the TSCC model...

Virginia Mason Medical Center (VM) hired Owens & Minor (O&M) as its alpha vendor for medical/surgical supplies in 2004. By 2005, O&M was performing JIT and LUM services for VM, but they believed the pricing model in the industry was outdated. VM and O&M partnered to create the Total Supply Chain...

Full cost data are irrational for planning and pricing decisions from a microeconomic perspective, but surveys consistently indicate that managers prefer to use full cost data to make pricing decisions. This paper presents a model, called step-ABC, that supplies full cost data but makes users...

Short-run maximization of firm profits provides the sole justification for transfers at marginal cost. This conclusion is based, however, on a theory of the firm that ignores precisely those information and agency costs that make transfer pricing necessary. An alternative approach is to...

This paper studies a periodic-review pricing and inventory control problem for a retailer, which faces stochastic price-sensitive demand, under quite general modeling assumptions. Any unsatisfied demand is lost, and any leftover inventory at the end of the finite selling horizon has a salvage...