The benefits of supply chain innovations such as quick response (QR) have been extensively investigated. This paper highlights a potentially damaging impact of QR on retailer effort. By lowering downstream inventories, QR may compromise retailer incentives to exert sales effort on a...

In this paper, a risk-neutral manufacturer sells a single product to a risk-neutral retailer. The retailer chooses inventories ex ante and promotional effort ex post. If the wholesale price exceeds marginal production cost, the retailer orders fewer than the joint profit-maximizing inventories....

While high ownership concentrations in even the largest American corporations provide prima facie evidence that large minority shareholders wield control, the economics and finance literatures have mostly overlooked the question of how they do so. Using a simple framework adapted from work by...