We consider supplier-credit contracting between a manufacturer and a liquidity-constrained dealer. We show that the timeliness according to which the dealer receives demand information has a significant impact on the optimal contract. If the manufacturer cannot be sure that a dealer without...

This paper studies the influence of a manager's pre-decision use of an information system on the central office's decision to provide such a system in the first place. At the outset, the manager is ignorant about the cost of an investment project. Higher effort when using the information system...