We study the supply chain with two manufacturers producingcompeting products and selling them through a common retailer. Thetwo manufacturers must decide on the wholesale price and the levelof service they plan to provide to the consumer. Each firm areassumed to optimize only its own profit...

Purpose – This case study aims to single out two companies in Norway belonging to the NCE Subsea cluster in the Bergen region, which are in the process of developing internationalization strategies. Most of the companies in the Subsea cluster are small to medium‐sized companies. Until...

Scholars in Austrian economics have amply criticised many aspects of neoclassical economics including methodology, development economics, monetary theory, public finance and comparative economic systems. Surprisingly, little has been said on the pure theory of international trade. This paper...

In the newsvendor game, the expected-profit-maximizing order quantity is higher in the demand interval when the per-unit profit margin is high and lower in the demand interval when the per-unit profit margin is low. However, laboratory experiments show a "pull-to-center" effect: average order...

This paper provides an explanation for why the sunk cost bias persists among firms in a competitive environment in which rich learning possibilities are allowed. We envision firms that experiment with cost methodologies that are consistent with real-world accounting practices, including ones...

Despite the fact that policymakers often have a short-term horizon and prefer discretionary over rule bound policy, one can observe policy reform with a focus on rules and long-term orientation. Sometimes reforms are driven by crisis, sometimes they are pursued in times of relative prosperity....