Can the conglomerate do more with capital than the single-segment firm? Three decades later, through economic ups and downs, even financial crisis, new research shows that conglomerates like GE best single-segment firms in terms of operational efficiency. SMU Cox Accounting Professors Neil Bhattacharya and Jeff Jiewei Yu and Finance Professor Johan Sulaeman find consistent results that segments of diversified firms are operationally more efficient than their single-segment industry peers.
Have you ever had to pump up your self-esteem before entering a luxury goods store like Hermes or Chanel? New research by Marketing Professor Morgan Ward of SMU Cox School of Business and co-author offer a contemporary analysis of an age-old problem — the effects of salesperson snobbery in luxury goods purchases. The authors find that in the long run, rejecting customers doesn't pay off.
Ever wonder why Disney's Marvel superhero machine keeps audiences coming back for more? The recent follow up with "Captain America: The Winter Soldier" after "Thor: The Dark World" satisfied a large swathe of movie audiences. New research by ITOM Professor Tom Tan and co-authors reveals why popular movie titles keep getting more popular. The new findings run counter to the trendy "long tail" effect that captured the imaginations of researchers and marketers. The study shows that consumers tend to watch more and more hits as product variety grows.
One of the most important measures of company success is its return on investment from marketing. But retaining customers comes at a high cost — that may not be justified by the expected long-term returns in the future. New research by SMU Cox Marketing Professor Michael Braun and co-authors shows how transaction-specific information about customer experiences can help companies assess the effect of service quality on future cash flow. Instead of focusing on the cost to acquire or retain a customer, companies should pay more attention to the value of customers.
Opera companies have the ability to distinguish themselves from other opera companies and competition from other performing arts venues that vie for audiences. In new research, SMU Cox Strategy Professor Bo Kyung Kim of SMU Cox and co-author Michael Jensen explore the options opera companies have to address their competitive positioning. Paradoxically, the authors find, to create space for unconventional repertoire choices it may be necessary to make yet more conventional choices. Opera companies will then want to include even more popular operas or blockbusters — Puccini's La Bohème, Verdi's La Traviata, or Bizet's Carmen.