First Look
First Look summarizes new working papers, case studies, and publications produced by Harvard Business School faculty. Readers receive early knowledge of cutting-edge ideas before they enter the mainstream of business practice. For complete details on faculty research, see our Working Papers section.
January 16, 2007
Has globalization passed its peak? That's the provocative question posed by HBS professor Rawi Abdelal and colleague Adam Segal in the policy bible Foreign Affairs. Contradictory trends—technological revolution combined with anxiety about cross-border flows of capital, goods, and people, combined with energy again looming as "the object of intense resource nationalism"—are the shape of things to come, they write. "Much now depends on how national governments respond to these changing circumstances."
Also this week, download a new working paper about how western investors in post-communist countries can better mitigate their risks. Pervading misconceptions about the realities of interacting with locals can unnecessarily short-circuit business success, say emeritus professor Paul R. Lawrence and Athens-based coauthor Charalambos Vlachoutsicos. Effective communication is key.
Also new from HBS faculty this week: "Investor Sentiment in the Stock Market," a look at which stocks are likely to be disproportionately sensitive to broad waves of investor sentiment; the new edition of a well-regarded textbook on managerial accounting; and a baker's dozen of business cases including one on raising private equity in India.
Working Papers
"Don'ts" And "Do's": Insights from Experience In Mitigating Risks Of Western Investors In Post-Communist Countries
| Authors: | Charalambos A. Vlachoutsicos and Paul R. Lawrence |
|---|
Abstract
No abstract available.
Download the paper:
http://www.hbs.edu/research/pdf/07-041.pdf
Cases & Course Materials
BioScale
Harvard Business School Case 606-100
Purchase this case:
http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=606100
China: "To Get Rich Is Glorious"
Harvard Business School Case 707-022
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=707022
Earnings Management Exercise
Harvard Business School Exercise 207-034
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=207034
EFJ, Inc.
Harvard Business School Case 807-062
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=807062
Eli Lilly: Developing Cymbalta
Harvard Business School Case 507-044
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=507044
Haier's U.S. Refrigerator Strategy 2005
Harvard Business School Case 705-475
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=705475
Market Making Exercise
Harvard Business School Exercise 207-033
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=207033
Pitney Bowes, Inc.
Harvard Business School Case 607-034
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=607034
Platform-Mediated Networks: Definitions and Core Concepts
Harvard Business School Note 807-049
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=807049
Rico Auto Industries: Raising Private Equity in India
Harvard Business School Case 806-079
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=806079
Procter & Gamble's Organization 2005 (A)
Harvard Business School Case 707-401
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=707401
Procter & Gamble's Organization 2005 (B)
Harvard Business School Supplement 707-402
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=707402
Rancho Cucamonga
Harvard Business School Case 206-033
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http://www.hbsp.harvard.edu/b01/en/common/item_detail.jhtml?id=206033
Publications
Management Accounting, 5th ed.
| Authors: | Anthony A. Atkinson, Robert S. Kaplan, S. Mark Young, and Ella Mae Matsumura |
|---|---|
| Publication: | Upper Saddle River, N.J.: Pearson Prentice Hall, 2007 |
Publisher's abstract:
http://vig.prenhall.com/catalog/academic/product/0,1144,0131732811-TOC,00.html
How Globalization Passed Its Peak
| Authors: | Rawi Abdelal and Adam Segal |
|---|---|
| Periodical: | Foreign Affairs, January/February 2007 |
Read a preview:
http://www.foreignaffairs.org/20070101faessay86108/rawi-abdelal-adam-segal/
Investor Sentiment in the Stock Market
| Authors: | Malcolm Baker and Jeffrey Wurgler |
|---|---|
| Periodical: | Journal of Economic Perspectives (forthcoming) |
Abstract
Real investors and markets are too complicated to be neatly summarized by a few selected biases and trading frictions. The "top-down" approach to behavioral finance focuses instead on the measurement of reduced form, aggregate sentiment and traces its effects to stock returns. It builds on the two broader and more irrefutable assumptions of behavioral finance—sentiment and the limits to arbitrage—to explain which stocks are likely to be most affected by sentiment. In particular, stocks of low capitalization, younger, unprofitable, high volatility, non-dividend paying, growth companies, or stocks of firms in financial distress, are likely to be disproportionately sensitive to broad waves of investor sentiment. We review the theoretical and empirical evidence for these predictions.