The market for security software has witnessed an unprecedented growth in recent years. A closer examination of this market reveals that, unlike a traditional software market, the use of vertical differentiation strategy is quite limited in this market. In this paper, we develop a quantitative model to explore the possible reason. Our model identifies a negative network externality effect as th...

This study reports on the testing of the hypothesis that there is a positive relationship between business strategy and innovativeness. Business strategy is defined here to include market focus strategy, technology development strategy, and operations priorities including cost, quality, delivery / dependability, and flexibility. An empirical study is conducted based on data collected using a qu...

In this paper, we aim at 1. giving formulas of prices and replicating-strategies of defaultable securities(e.g., bonds, swaps, derivatives) in incomplete market, and 2. giving “solvable” examples of quantile hedging strategies in incomplete market. Considering an incomplete market that consists of tradable assets and an unhedgeable defaultable security, whose non-predictable default time has st...

This research analyzes how to apply segmentation strategies in the nanostore retail market, focusing on a pilot company located in Bogota, Colombia. This study introduces two segmentation strategies: 1) a sketch segmentation strategy based on a basic ordering pattern analysis combined with an extended value matrix, sourced from a customer value matrix created by Marcus (1998); and 2) a precisio...

In this paper, we present a few simple market-timing strategies that appear to outperform the “buy-and-hold” strategy, with real-time data from 1970 to 2000. Our focus is on spreads between the E/P ratio of the S&P 500 index and interest rates. Extremely low spreads, as compared to their historical ranges, appear to predict higher frequencies of subsequent market downturns in monthly data. We c...