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Purpose: This teaching case aims to encourage reflection on the formulation of the strategic repositioning of an automotive dealership. Design/methodology/approach: Built on the teaching case method, it portrays the situation of the Premium Motors automotive dealership in the face of a strategic repositioning. Management and the board discuss ways to minimize the impact of the coronavirus disease 2019 (COVID-19) pandemic on sales figures. The situation presents the possibility of entering a new product segment. Findings: How to make consumers correctly understand the new positioning? The case is structured to enable reflection and teaching of marketing strategies, with each student having the possibility of putting themselves in the role of company managers. The environment and trajectory are also portrayed, broadening the perception of the studied company and providing devices for solving the emerging problems of the case. Originality/value: The case becomes a tool to promote knowledge, from the implementation to the management of strategic repositioning. Thus, the teaching notes offer directions on how professors can use the teaching case with their undergraduate and graduate students in disciplines related to strategy and marketing. [ABSTRACT FROM AUTHOR]

This paper proposes a competition theory to explain the role of automobile dealers' investment in a vertical contract with manufacturers. Dealer contracts specify manufacturer-suggested retail prices and elements of dealer quality. Dealer quality investments require minimum financial capital where manufacturers impose these limits on dealers. The required dealer investment screens for qualified dealers and incentivizes the desired dealer quality. The prediction is that promotional services, prices, and gross returns are greater for high-quality brands than that for standard-quality brands. To test the theory, we collected data on auto dealers in China in June 2015 for an empirical analysis. Our findings support these predictions: Dealer investment (registered capital) is positively correlated with brand average product prices. In addition, the registered capital is higher when the aggregate demand is greater since high demand increases returns, which induces dealers to increase their investment. [ABSTRACT FROM AUTHOR]

Transformational leadership and employee change resistance have been studied extensively. However, no systematic attempt has been made to reframe those findings in light of leaders' inspirational drive. The sample size of 170 participants from eThekwini automobile dealership organisations indicated that employees' intention to resist change was negatively associated with their managers' transformational leadership style focused on inspirational motivation. Transformational leadership's impact on employee resistance to change at eThewkini Automobiles in KwaZulu-Natal is examined through a leader's inspirational motivation. Inspirational motivation reduced staff resistance to change at these car companies, according to the transformational leadership tool multi-leadership questionnaire (MLQ). Various branches of 6 major automobile companies in eThekwini, KwaZulu-Natal, South Africa were considered for this study. The study included 170 of 270 individuals. Both descriptive and correlational analysis were employed to test study objectives. The study found that inspirational motivation mediates the relationship between transformational leadership and employee resistance to change because transformational leadership reduces resistance, improves commitment, and embraces change. Inspirational motivation mediates transformational leadership in organisational change management, according to the study. The study suggests that management use inspiring motivation to promote change management acceptability and commitment to change and reduce employee resistance to change. [ABSTRACT FROM AUTHOR]

It is notfar-fetched to say thal one of the most important episodes in the history of corporate bankruptcy in the United Stales is the collapse of General Motors and Chrysler in 2009. The auto industry has since recovered, thanks to billions of dollars provided by the government. But thousands of dealerships were not so lucky, as the automakers cut them of from their#anchises. These events gave rise to extensive litigation throughout the United States. And though now largely forgotten, one of the claims raised in these cases was quite creative: that the automakers brcached their contractual duty of good.faith andfair dealing. This claim was emphatically denied by the court. But why? It had previously been argued that the duty of good.faith aims to ensure fairness and the ethical behavior of contractual parties. However, the dominant position of the U.S. courts is that the duty does not prohibit self-centered behavior. As Judge Posner remarked, "filt would be quixotic as well as presumptuous for judges to fusel contract law to raise the ethical standards of the nation's business people. This Article critically reviews the story of one of those dealerships to illustrate that the debate over U.S. good faith needs a fresh perspective. Analyzing hundreds of clauses that sought to delineate the content of good faith in continental Europe, this Article demonstrates that there are clear connections between the common law jiduciary duty of loyalty and the civilicm contractual duty of good faith. D illustrates how and when these duties play a similar role in tackling various challenges governed by private law. such as the need to prevent information gaps or deter exploitation. Shedding light on the similarities between these duties provides two notable contributions. First, it clarifies the value of formulating loyalty as an independent legal term and accoi·dingly calls to reimagine civilian contractual relationships from a fiduciary law perspective. But, and importantly, this understanding provides unexplored justifications for also adopting in common law jurisdictions a more comprehensive concept of good faith, one that does plot see contracts only as an egocentric, self-regarding legal tool. Revealing these connections ther'efore has the potential to change how good faith is perceived in the United States and accordingly lead to more coherent andjust rulings. [ABSTRACT FROM AUTHOR]

There are legal justifications to support the interpretation that electric vehicle (EV) manufacturers are not covered by many states' current laws preventing auto manufacturers from selling cars directly to consumers. So called "deatership franchise laws" on the books in many states require cars to be sold through third party dealerships and specifically prohibit manufacturers from cutting out dealers by selling cars directly to consumers. Beyond the technical legal arguments for the new model, exempting EV manufacturers from the current legally imposed dealership model would accelerate wider adoption of EVs and promote environmental health benefits associated with lowering emissions from transportation. A direct sales model for EVs could also drive more auto sales transactions online, not only saving consumers money on their purchases, but also removing them from high pressure in-person transactions designed by professional salespeople to take advantage of the many financial aspects of buying a car. [ABSTRACT FROM AUTHOR]

The effects of idealised influence as one of the four components of transformational leadership serve as a critical dimension of leadership style. Others include inspirational motivation, intellectual stimulation, and gaining the admiration, trust, and respect of the followers. However, this study focuses on the context of employee resistance to change and its varying dimensions about the role idealised influence plays as a mediator in mitigating resistance to change and facilitating a successful change implementation at selected automobile dealerships in eThekwini Region of KwaZulu-Natal. Idealised influence refers to the leader's ability to act as role model and gain the admiration of employees and by so doing, positively influence employee's resistance to change. The study examines the effects of idealised influence on employee resistance to change at the automobile dealership organisations in the eThekwini Region of KwaZulu-Natal. The study investigates the mediating role of idealised influence on employee resistance to change at the automobile dealership organisations in the eThekwini Region of KwaZulu-Natal. Assessment was based on the effect of this leadership style component and its impact on employees' willingness to accept or resist changes introduced at the selected organisations. Of the 270 staff members identified for participation, 196 questionnaires were returned and analysed using the convergent data analysis as well as the Structural Equation Model (SEM). The study revealed that the idealised influence is positively associated with the staff quick acceptance of change. The study improves the existing framework with regards to understanding how leaders with idealised influence can facilitate change management acceptance of employees by embracing and inculcating the essence of idealised influence. The results can help managers and change management interventionists formulate human resource development to improve change management planning programmmes. [ABSTRACT FROM AUTHOR]

This article is oriented on conducting a study of advertising media used in automotive dealerships in Guasave, Sinaloa, Mexico, to analyse the advertising media they use, the method used was mixed, with a descriptive approach, and data collection was carried out from November to December 2022. The results showed that automotive dealers increased the implementation of advertising resources through the Internet, adapting to the changes of consumers. However, they expressed that it is advisable to make a combination of both traditional and digital, to improve the massification of advertising information. The analysis obtained relevant information on the advantages and disadvantages of each advertising medium used, which supports companies in making decisions concerning media planning. [ABSTRACT FROM AUTHOR]

In the competitive landscape of the four-wheeler automobile industry, effective Customer Relationship Management (CRM) has emerged as a crucial strategic tool for enhancing customer satisfaction, loyalty, and overall business performance. This study explores the implementation and impact of CRM strategies within the four-wheeler automobile sector in Nagpur City. By employing a mixed-method approach, incorporating both quantitative surveys and qualitative interviews with industry professionals and customers, this research provides a comprehensive analysis of CRM practices. The findings highlight the significant role of CRM in fostering stronger customer relationships, improving service quality, and driving sales growth. Key CRM components such as customer data management, personalized communication, and customer feedback mechanisms are examined in detail. The study also identifies the challenges faced by automobile dealerships in Nagpur in adopting and optimizing CRM systems, including technological barriers, staff training needs, and cost considerations. The results indicate that strategic CRM implementation leads to enhanced customer satisfaction and retention, providing a competitive edge to automobile dealerships. The paper concludes with practical recommendations for industry stakeholders to leverage CRM tools effectively, emphasizing the need for continuous innovation and adaptation to evolving customer expectations. This research contributes to the growing body of knowledge on CRM in the automobile industry and offers valuable insights for businesses aiming to optimize their customer relations strategies in dynamic market environments. [ABSTRACT FROM AUTHOR]

Adherence to the use of child restraint system (CRS) can greatly reduce child casualties in road traffic accidents. This study aims to develop the behavior maintenance model of CRS use based on the health action process approach (HAPA) theory to explore the maintenance mechanisms, suggesting appropriate intervention strategies. Adopting the multi-stage stratified cluster random sampling method, a cross-sectional survey for guardians recruited from kindergarten and primary school was conducted using the questionnaire developed based on the HAPA theory in Nanjing, China, and 1135 valid samples were finally obtained. Rigorous analysis procedures of the partial least squares structural equation modeling (PLS-SEM) method were applied by using SmartPLS3.3.2 software. The results confirmed that action self-efficacy (β = 0.479, P < 0.001) and negative outcome expectancy (β = −0.187, P < 0.001) were valid predictors of intention in the non-intentional stage, intention (β = 0.488, P < 0.001) and maintenance self-efficacy (β = 0.334, P < 0.001) contributed significantly to action planning in the intentional stage, while action planning (β = 0.470, P < 0.001) and recovery self-efficacy (β = 0.256, P < 0.001) jointly determined behavior maintenance in the action stage. It was also revealed that action planning fully mediated the relation between intention and behavior maintenance (β = 0.229, P < 0.001). Based on the above mechanisms, interventions aimed at the stages of non-intention, intention, and action should be designed and implemented, with the participation of the government, automobile dealers, and communities to promote the maintenance of improved CRS use behavior. [ABSTRACT FROM AUTHOR]

Copyright of Environmental & Social Management Journal / Revista de Gestão Social e Ambiental is the property of Environmental & Social Management Journal and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Reimagined, remediated, and redeveloped former industrial lands are now thriving mixed-use neighborhoods in Portland's Pearl District and South Waterfront. Places of physical labor have been transformed into spaces where a new class of knowledge workers live, work, and play. This paper argues that inner-city post-industrial neighborhoods offer a valuable lens through which to view key transformations in cities and in the wider society. Using historic and current land-use maps in a geographic information system, we identified the major post-industrial areas of Portland. We then used demographic data, business location data, and planning studies to find the stories behind these places. In the shadow of lost manufacturing jobs and the changing location of heavy industry, the emergence of postindustrial neighborhoods reflects a growing emphasis on cities as centers of consumption, livability, and sustainability. The demographics of these new post-industrial neighborhoods signal the return to the inner city by highly educated, high-income residents. Keywords: Portland, gentrification, post-industrial, brownfields, urban geography, Introduction POST-INDUSTRIAL NEIGHBORHOODS--areas where former factories, warehouses, railyards, and shipyards have been redeveloped for new uses--offer important windows into urban change and broader social changes. While they comprise a small [...]

This study aims to assess the impact of communication adequacy on resistance to change at selected dealership companies in the Durban Metropolitan Region. Recent studies suggest that there could be various other factors that influence resistance including leadership skills, demographic factors and theoretical components of resistance to change. The study uses the non-random purposive sampling collected from 270 staff at selected dealership companies in the Durban Metropolitan Region using questionnaires administered to employees. The structural equation model was also applied in analyzing the data. The findings of the study show that there is a significant relationship between communication adequacy based on structure and channel efficiency in relation to resistance communication based on channel efficiency positively influencing resistance to change. The study further provides practical implications for the employees at the selected dealership companies to consider more strategic and appropriate communication tools. [ABSTRACT FROM AUTHOR]

The automotive industry represents one of the largest economic sectors in the world and most companies in this industry involve subcontracting in their strategy. However, subcontracting is one of the possible processes that can lead to inefficiencies for companies. Since lean arises as a response to the most varied problems of companies, the main goal of this work is to understand the importance of subcontracting in the automotive sector and to understand how lean and subcontracting are related. For this, an empirical study of papers and books related to these topics was performed, concluding that subcontracting is frequently used in the automotive sector, to obtain strategic advantages, and that it supports the foundations of the lean concept, as well as the lean can help manage subcontracting. The trade-off of the transfer of activities enables organizations to be flexible, lean and agile; they can then focus on their core activities, which generate more value, while the option to subcontract generates a significant reduction in costs by transferring non-core activities. In short, these two concepts are related to each other in the context of the automotive industry. [ABSTRACT FROM AUTHOR]

The current study uses a local, charity-linked running event that attracts attendants with different motivations to participate and attitudes toward corporate social responsibility (CSR) to examine the effectiveness of sponsorship decisions for two primary, concurrent sponsors. Using a structural equation model for each sponsor, we find that the importance attached to various channels that influence sponsorship effectiveness to be sponsor specific. For the luxury automobile sponsor in our study, an attendant's motivation to participate is the only statistically significant and direct path to intention to purchase. Furthermore, although CSR also links to fit, the fit has no direct path to intention to purchase. This finding could potentially indicate that participants view the luxury automobile sponsorship as a positive expression of CSR, rather than through the event's lens. This finding implies that the luxury automobile dealer's sponsorship gains are not dependent on the event but the cause's support. In contrast, the sponsorship gains for the sports retailer are dependent on the event, where event satisfaction, event leverage, and event fit all have indirect paths to intention to purchase. Additionally, motivation to participate and the importance of CSR operates through different, indirect paths to intention to purchase for the sports retailer. Although motivation to participate positively impacts event satisfaction and event satisfaction positively influences intention to purchase, CSR's importance operates through fit, which positively impacts intention to purchase. Our results for the sports retailer indicate an increased fit with the event enhances the sponsor's perceptions as socially responsible and enhances the intentions to purchase the sponsor's goods. Furthermore, a well-liked event increases the likelihood a participant will purchase the sports retailer's products. [ABSTRACT FROM AUTHOR]

Automated driving technology is one of the emerging technologies which will change the transportation mode in the future. Distributing the automated driving vehicles from the automobile factory to dealers has a huge difference compared with traditional vehicles. This paper considers the variety of cases where the automated driving vehicles can be both distribution tools and distribution goods. Then establishes a new distribution model that integrates self-distribution of autonomous vehicles into the existing distribution rings form a complex network composed of ring-branches. This cooperative distribution model of automated driving and traditional vehicle transport to minimize transportation cost and maximize the overall efficiency. Furthermore, we design an improved adaptive large neighborhood algorithm (ALNS) to solve the model which combines the merger heuristics and splitter heuristics to promote generate the optimal solutions. The efficiency of our proposed method is proved by real-world data from an automobile enterprise. Additionally, the sensitivity analysis of the maximum distance for automated driving vehicles to be delivered by themselves suggests that the larger distance, the more outstanding of cost reduction and efficiency increase for our proposed model. [ABSTRACT FROM AUTHOR]

Copyright of Contaduría y Administración is the property of Facultad de Contaduria y Administracion-Universidad Nacional Autonoma de Mexico and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The horizontal competition-cooperation game of technological innovation in a two-stage automobile cluster supply chain composed of a duopoly of automobile manufacturers and a single automobile dealer is studied. The four game models are constructed based on the relationship of horizontal competition cooperation between automobile manufacturers and research and development (R&D) mode, and each game model gives the optimal price decision and optimal technical content decision of new products when the automobile manufacturer and automobile dealer maximise their profits. By comparing the equilibrium results of each game model and conducting numerical simulation analysis, we reveal the effects of the competition-cooperation relationship and R&D mode on supply chain decision-making. The results show the following: (1) A fully cooperative innovation strategy can maximise the total profit of automobile manufacturers, but it will reduce the profit of the automobile dealer. (2) When the horizontal competition is not fierce and the consumption preference for technical content is weak, innovation strategy of competition cooperation (competition but cooperative R&D) can enable the automobile dealer to obtain the maximum profit. (3) Market preference for the technological content of automotive products accrues greater potential benefits to the whole supply chain channel. [ABSTRACT FROM AUTHOR]

Copyright of Revista Inteligência Competitiva is the property of Revista Inteligencia Competitiva and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Mercados y Negocios is the property of Universidad de Guadalajara, Centro Universitario de Ciencias Economico Administrativas and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Environmental & Social Management Journal / Revista de Gestão Social e Ambiental is the property of Environmental & Social Management Journal and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Although it is one of the world's most successful industries, the automotive industry was one of the biggest losers of the economic crisis of 2008. The crisis caused negative effects throughout the automobile supply chain, but research about this period has been focused on car dealerships. The objective of this paper is to provide insight gained from comprehensive research conducted in the Hungarian car trade market through in-depth interviews with car dealership owners and a wide questionnaire survey with the managers of car dealerships. The paper focuses on crisis management measures of the post-crisis period. Statistical methods were applied in the analysis of the questionnaire, such as cross-tabulation analysis, chi-squared tests, cluster analysis, variance analysis, and Tukey-type HSD. The study explores the factors and tools for surviving the crisis. Research results confirm that focusing on sales, customer service, and quality are the key factors for keeping and increasing competitiveness and market position.. [ABSTRACT FROM AUTHOR]

Most automobile manufacturers use franchised dealers to distribute their products and to perform sales‐related and after‐sales services. However, the link between dealers' service quality and manufacturer performance is not well understood. Some studies suggest that these services' quality affects product sales, repeat sales, and brand reputation. Others posit that dealer services are a commodity, and their quality may only affect sales in the extremes. We constructed data representing sales and service quality ratings of 1078 U.S. automobile dealerships over a year in five different car classes. We find that the quality of after‐sales services positively influences sales of the brand in the dealer's region. Manufacturers whose dealers struggle with after‐sales services take a hit in market share even in markets where they enjoy superior competitive status. We also find that sales‐related services gain importance in highly competitive markets where the manufacturer has few dealers and competitors have many. [ABSTRACT FROM AUTHOR]

Software updates are pushed to vehicles "over-the-air" (OTA) with increasing frequency as they reduce costs of visiting dealerships and auto shops to receive maintenance. These updates, pushed from the cloud, have been used to remedy safety defects in vehicles and improve software controlling all aspects of vehicles from steering to rearview mirrors. Remedies of vehicle safety defects are overseen by the National Highway Traffic Safety Administration (NHTSA); however, because many OTA software updates do not remedy issues officially deemed safety defects, they are pushed straight from the manufacturer to drivers with little government oversight or transparency. NHTSA's recall process was designed in 1966 to remedy safety defects in vehicles, resulting in a process which is now outdated for modern vehicles running on software. NHTSA has acknowledged the increased use of OTA software updates and prescribed OTA remedies for safety defects, but the current framework leaves NHTSA unable to oversee the rapid output of OTA software updates pushed by auto manufacturers. Without updating the current recall process for software related updates to vehicles, and specifically over-the-air software updates, NHTSA's ability to oversee vehicle safety may decrease and the recall process may grow obsolete as the issues facing vehicles today have changed since Congress defined what constitutes a safety defect. [ABSTRACT FROM AUTHOR]

This paper provides a critical analysis of how and when political advertising serves as a useful source of exogenous variation in product advertising. A central challenge in estimating the causal effect of television (TV) advertising on demand is isolating quasirandom variation in advertising. Political advertising, which topped $14 billion in expenditures in 2016, has been proposed as a plausible source of such variation and thus, a candidate for an instrumental variable (IV). We provide a critical evaluation of how and where this instrument is valid and useful across categories. We characterize the conditions under which political cycles theoretically identify the causal effect of TV advertising on demand, highlight threats to the exclusion restriction and monotonicity condition, and suggest a specification to address the most serious concerns. We test the strength of the first-stage category by category for 274 product categories. For most categories, weak-instrument robust inference is recommended, as first-stage F statistics are less than 10 for 221 of 274 product categories in our benchmark specification. The largest first-stage F statistics occur in categories that typically advertise locally, such as automobile dealerships and restaurants. Failure to use the suggested specification leads to results that suggest violations of exclusion and monotonicity in a significant number of categories. Finally, we conduct a case study of the auto industry. Despite a very strong first stage, the IV estimate for this category is imprecise. [ABSTRACT FROM AUTHOR]

An information intermediary (or infomediary) is an online firm that plays an important role in the information component of a transaction but not in the logistics component. Infomediary sales channels in which leads that originate online are converted to sales by an offline sales force are particularly important in areas such as automobile retailing, real estate, insurance, mortgages, and many other contexts. This research examines the role of sales technologies and the organization of the sales force in creating value for infomediary sales channels, formally examining channel outcomes using an analytical model and empirically examining channel outcomes using a survey of 678 automobile dealerships. The analyses indicate that adoption of sales technologies for lead management and channel-specific salespeople influence leads purchased (from infomediaries) and infomediary channel sales for the retailer. These findings integrate important technologies from outside the organization (infomediaries) and technologies and management structures inside the organization (sales technologies for lead management and channel-specific salespeople) into an understanding of retailer use of infomediary channels. These findings also suggest that it is in the best interest of infomediaries to offer sales technology and services to retailers, bundling information products with technologies for channel management. [ABSTRACT FROM AUTHOR]

In the countries with high car prices, the used car market attracts a lot of attention. Accurate determination of vehicle prices on behalf of the buyer and seller is important in terms of selling the vehicle in a shorter time and therefore keeping the market alive. However, there are difficulties in determining the right price due to the rapid change of the market. In order to prevent this problem, the idea of an artificial intelligence- supported price estimation mechanism has emerged, which has not been so wide used, especially in the used car industry. This system, which is the main subject of this study, creates an optimal decision support structure for both vehicle buyer and vehicle dealer. In order to keep the changing prices up-to-date, it is important that the current information is automatically drawn from online car sales sites. For this purpose, web scraping technique, especially Beautiful Soup and Selenium libraries were used in our study. 100,000 vehicle data were excavated during the training. There are 12 attributes in each data. Several algorithms, such as Linear Regression, Ridge, Lasso, Elastic Net, KNN, Random Forest, XGBoost and Gradient Boosting Machine were used. As a result of optimization processes, the best model is chosen for each vehicle type. According to the chosen best model results, Gradient Boosting Machine - 19, Extreme Gradient Boosting (XGBoost) - 11, Random Forest - 7, Ridge - 5, Lasso - 2 and Elastic Net - 1 have performed as the best models. [ABSTRACT FROM AUTHOR]

Retailers colocate with rivals to take advantage of economies of agglomeration even though colocation implies greater competition. Using data on all new car transactions registered in Ohio from 2007 to 2014, we estimate a structural model of consumer search for spatially differentiated products that explicitly captures the agglomeration and competition effects of retail colocation. Search frictions generate an average of $333 per car in dealer markups. Agglomeration implies that dealer closures could harm incumbent colocated dealers, even though the incumbent dealers would face less competition. Our results inform the recent policy debate surrounding the massive downsizing of car retail networks and highlight the role of contagion in brick-and-mortar retailing. This paper was accepted by Matthew Shum, marketing. [ABSTRACT FROM AUTHOR]

Prior studies have examined how changes to a more performance-sensitive incentive scheme influence employees' compensation and performance. However, there are examples from practice (e.g., Sears) of companies changing to more performance-sensitive incentive schemes. This study reports that a change from a performance-sensitive (commission- based) scheme to a less performance-sensitive (base salary plus commission) scheme hurts employee performance. Also, we extend prior research by examining how employees with different levels of ability are affected by the compensation plan change. Further, we explore selection effects concerning employee recruitment and retention. We use performance data for 4,392 employees of a Taiwanese car dealership over a 56-month period. Our results show that higher-performing employees were affected by the compensation plan change more than lower-performing employees. Also, we find that a dismissal threat did not improve the performance of the poorest performers. Consistent with the predictions of selection effects, our results indicate that the less performance-sensitive plan retained fewer higher-performing salespersons and led to the recruitment of lower-performing sales staff We also find that the greater the compensation loss for an employee, the more likely he or she is to leave the dealership. However, the decrease in individual productivity did not translate into lower overall company performance. Further analysis suggests that the company may have taken several steps (e.g., hiring more employees, changing the sales mix) to mitigate the losses resulting from lower individual productivity. [ABSTRACT FROM AUTHOR]

This study examines shakeouts in the context of business ecosystems. Market turbulence generated by core firm decisions in competing differentiated ecosystems can generate financial losses and exit for complementary niche market firms. I develop hypotheses predicting which niche markets will suffer larger losses and be more susceptible to shakeouts, and how core firm decisions will drive complementor performance and survival. I then apply these hypotheses to brand-based differentiated ecosystems in the automotive industry, where networks of suppliers, customers, and complementors surround car manufacturers. More specifically, I study the complementary niche market of automotive leasing, where manufacturers sway leasing markets through product change, entry, and subsidization. To test the hypotheses, I use a proprietary dataset of 200,000 individual car leases between 1997–2002 to identify how manufacturer product design and niche market entry drive complementor losses and exit. These data allow a unique opportunity to understand how the strategic choices of core firms can have substantial and often devastating effects on niche markets in their ecosystem. Further, the results suggest how the dynamic capabilities to adapt to core firm behavior might improve performance for certain niche market complementors. Copyright © 2008 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

This article focuses on a novel mechanism for market segmentation and price discrimination based on consumers' use of online infomediaries. Using the automotive retailing context as the setting for the study, the authors address the following question: Can online infomediaries serve as a viable mechanism for market segmentation and price discrimination? They draw on a unique and extensive data set of consumers who report on the information they found when using online buying services (OBS) as part of their new vehicle purchase process. The analysis of the data set shows that consumers who obtain price information pay lower prices (for the same product), whereas consumers who obtain product information pay higher prices. Although this points to the existence of distinct consumer segments, this knowledge is of limited value without a viable mechanism that enables firms to identify and target these customer segments specifically. On the basis of consumer usage patterns of OBS, the authors uncover distinct OBS clusters and empirically demonstrate that the use of these different clusters is associated with predicted differences in consumer outcomes. They also show that the differential use of OBS clusters is systematically related to underlying consumer characteristics. They discuss the relevance of the findings for automobile dealers and manufacturers and for other industries in which online infomediaries have established a significant presence. [ABSTRACT FROM AUTHOR]

Dealer tie-ups in Automobile Insurance have gained popularity in recent years in India. The main reason behind the same is that customers are getting cashless facility on a pan India basis through dealership chains of manufacturers in case of accident claims. The article tries to throw light on the automobile insurance dealer tie-up system, its impact on insurance industry and insurance frauds. It points out some practical aspects of the system and suggests measures for the prevention of frauds arising due to systemic inefficiencies of the automobile insurance dealer tie-up. Insurance is a contract between the Insured and Insurer for coverage of risk, for which the premium is being paid by one party i.e. by Insured, while the promise for indemnifying the loss if occurs due to the perils covered in policy, is given by other party i.e. by the Insurer. As Automobile Insurance is mandatory for all vehicles running on road, it is the main source for generating regular premium income and business, for insurers throughout the country since decades. The birth of the Automobile Insurance Dealer tie-up system was when major auto manufacturers in India having a pan India dealership network started providing insurance for new vehicles, with cashless facility for repairs on a pan India basis, from their tie-up insurers' list. An attempt had been made to discuss on the possible areas of motor insurance frauds which are on increase as result of auto insurance dealer tie-ups and also some measures and remedies to minimize such frauds have been suggested. [ABSTRACT FROM AUTHOR]

The purpose of this study is to investigate the role played by abusive supervision in decreasing the voice of employees. This study tested the mediating role of distributive justice in the relationship between abusive supervision and employee's voice and moderating role of resilience in the relationship between abusive supervision and employee voice, and abusive supervision and distributive justice as well. A sample of 461 employees was contacted from 3S and 2S dealerships of automobiles sector of Pakistan. Using convenience sampling technique, data was collected through four structured questionnaires. Respondents duly filled in consent form for being participants of the study. To avoid variable biasedness Time Lag Technique was used for collecting data. Data Analyses were carried out by using SPSS and AMOS. Abusive supervision was found having negative impact on employees' voice. Perception of abusive supervision has a negative impact on perception of distributive justice which in turn decreases employees' voice. Resilience as a psychological resource has been found moderating the relationship between abusive supervision and employees' perception of distributive justice, and the relationship between abusive supervision and employees' voice. This study provides an insight to managers to figure out the adverse impact of abusive supervision on voice behaviors of employees. Abusive supervision works as a hurdle in voicing the silence of the subordinates. Mangers, therefore, need to take measures for discouraging abusive supervision in the work place. An abuse free organizational environment will induce employees to give their much-needed feedback and opinion in the organizational matters. Moreover, managers need to find ways to develop resilience in the employees as resilience like other components of PsyCap is a state which can be developed and strengthened. The present study investigates the supervisor's abusive behavior to be an obstacle in voicing the silence of subordinates. It provides evidence that distributive justice mediates the relationship between abusive supervision and employees' voice behaviors. This study broadens the understanding that how abusive supervision leads to employees' voice behaviors through mediation of distributive justice, moreover, the mitigating role of resilience, (a component of Psychological Capital), has been emphasized in this study. [ABSTRACT FROM AUTHOR]

The offices and facilities of New Jersey's Department of Motor Vehicles (DMV) are mundane boxes of concrete, glass, linoleum, and fluorescent lights, and yet they have a backstory to tell about the slow incorporation of the automobile into everyday American life at the turn of the twentieth century. Urban historians and geographers have attended to the development of everything from asphalt to stop signs, gas stations to automobile dealerships, motels to restaurants, bypass roads to the federal highway system, but not the government offices and facilities developed to service automobile regulation. The goal of this article is to detail the creation and evolution of DMV offices and facilities in the state of New Jersey, between 1903 and 1957: why they took the form they did and how they changed over time. These landscapes, perceived today as utterly ordinary and banal, are the tangible, physical expression of how people in the early 1900s struggled to live safely and fairly with the automobile. [ABSTRACT FROM AUTHOR]

What is the relationship between inventory and sales? Clearly, inventory could increase sales: expanding inventory creates more choice (options, colors, etc.) and might signal a popular/desirable product. Or, inventory might encourage a consumer to continue her search (e.g., on the theory that she can return if nothing better is found), thereby decreasing sales (a scarcity effect). We seek to identify these effects in U.S. automobile sales. Our primary research challenge is the endogenous relationship between inventory and sales—e.g., dealers influence their inventory in anticipation of demand. Hence, our estimation strategy relies on weather shocks at upstream production facilities to create exogenous variation in downstream dealership inventory. We find that the impact of adding a vehicle of a particular model to a dealer's lot depends on which cars the dealer already has. If the added vehicle expands the available set of submodels (e.g., adding a four-door among a set that is exclusively two-door), then sales increase. But if the added vehicle is of the same submodel as an existing vehicle, then sales actually decrease. Hence, expanding variety across submodels should be the first priority when adding inventory—adding inventory within a submodel is actually detrimental. In fact, given how vehicles were allocated to dealerships in practice, we find that adding inventory actually lowered sales. However, our data indicate that there could be a substantial benefit from the implementation of a "maximize variety, minimize duplication" allocation strategy: sales increase by 4.4% without changing the total number of vehicles at each dealership. This paper was accepted by Vishal Gaur, operations management. [ABSTRACT FROM AUTHOR]

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This article presents information on developments in federal and state regulations on automotive finance in the U.S. It discusses a Congressional Review Act joint congressional resolution signed into law by U.S. President Donald Trump that repeals the Bureau of Consumer Financial Protection's Bulletin 2013-02 regarding dealer rate participation programs, and the termination of a consent order by the Toyota Motor Credit Corp. and the U.S. Department of Justice.

The article discusses a case law related to offering car discounts beyond the dealer discount to employees of the contractual partner which were not considered as taxable wages by employees record in purview of section 19 of the Einkommensteuergesetz (EStG) income tax law in Germany. Topics include dispute over the treatment of discounts as taxable wages; need for debt collection to be carried out by affiliated companies; and grant of wages and other benefits for employees.

Using data from automobile dealers in the Netherlands, the authors find that dealers' punitive actions toward their key suppliers are affected by their perceptions of their own and their supplier's interdependence and punitive capabilities, as well as by the supplier's punitive actions. Punitive actions are affected by interdependence, but a more complete picture is achieved by also examining punitive capability. The authors test hypotheses based on bilateral deterrence, conflict spiral, and relative power theories, but none of these comprehensively explains the effects of both total power and power asymmetry. Dealer punitive actions are inhibited as total interdependence increases, but are promoted as total punitive capability increases. Using spline regression, the authors find that interdependence asymmetry has no direct effect on punitive actions, whereas punitive capability asymmetry does. As dealers' punitive capability advantage as compared with their suppliers' increases, dealers make greater use of punitive actions, whereas they use fewer punitive actions as their punitive capability deficit increases. The authors also find that dealers with a relative advantage in dependence or punitive capability are more likely to reciprocate their supplier's punitive actions. [ABSTRACT FROM AUTHOR]

Channels research has consistently argued that asymmetric channel relationships are more dysfunctional than those characterized by symmetric interdependence. The authors propose that the degree of both interdependence asymmetry and total interdependence affect the level of interfirm conflict, trust, and commitment. Using survey data from automobile dealers, they demonstrate that, with increasing inter-dependence asymmetry, the dealer's trust in and commitment to the supplier decline while interfirm conflict increases. In addition, they demonstrate that relationships with greater total interdependence exhibit higher trust, stronger commitment, and lower conflict than relationships with lower interdependence. The effects on conflict are consistent with those predicted by bilateral deterrence theory, and the effects on trust and commitment are in accord with the authors' bilateral convergence predictions. [ABSTRACT FROM AUTHOR]

Data from a field study of the automobile distribution channel are used to examine how dealers' perceptions of their manufacturers' power are related to the latter's use of coercive and noncoercive influence strategies. Dealers' reports about their manufacturers' reliance on the various influence strategies also are related to dealers' attitudes toward their manufacturers and the dealers' own use of selected influence strategies. [ABSTRACT FROM AUTHOR]

The sources of power that auto manufacturers use to obtain control over their dealer network are shown to have a significant impact on the level of conflict that dealers have with their manufacturers. Coercive sources tend to increase the level of intrachannel conflict whereas noncoercive sources tend to decrease it. Auto manufacturers need to be cognizant of this fact in order to use intelligently their available sources of power. [ABSTRACT FROM AUTHOR]

Promotion strategies for a major car company are developed for different international market segments by comparing consumer preferences measured by tradeoff analysis with their perceptions of new and existing products. [ABSTRACT FROM AUTHOR]

This paper examines the economic considerations behind an automobile dealers decision to carry a single or multiple car line. Important factors include economies of specialization, effective product promotion, risk-reduction, and maximum sales potential. Several hypotheses are developed, and some empirical support offered. [ABSTRACT FROM AUTHOR]

It is the purpose of this paper to develop a model that will test the efficacy of the dealer rebate by estimating to what extent, if any, dealer rebates are reflected in lower transaction prices to consumers. The model is developed, and then implications and conclusions are drawn. [ABSTRACT FROM AUTHOR]