Wharton doctoral candidate Alejandro Lopez-Lira used machine learning to analyze companies’ annual reports and assess the top four systematic risks that affect most firms. …Read More
Using a Company’s Own Words to Assess Its Risks
risk
Risk Sharing Agreements for New Medical Treatments
The clinical-trial data used to make approval decisions for medical therapies are collected from a relatively small patient sub-populations. Given small sample sizes, trial data may suggest that treatments are medically or economically nonviable, even though they ultimately may be, or vice versa. …Read More
Frenemies: The Influence of Competitors’ Cooperation on Technological Adoption
The development and adoption of new innovative technologies confront firms into making decisions in highly uncertain environment. Past experience and the available public information are seldom sufficient to support firms in their decision process; firms ability to experiment and produce new information is then paramount. …Read More
Regulating Innovation with Uncertain Quality: Information, Risk, and Access in Medical Devices
We study the impact of regulating product entry and quality information requirements on an oligopoly equilibrium and consumer welfare. Product testing can reduce consumer uncertainty, but also increase entry costs and delay entry. …Read More
Grow Faster by Changing Your Innovation Narrative
Managers have no shortage of advice on how to achieve organic sales growth through innovation. Prescriptions range from emulating the best practices of innovative companies like Amazon, Starbucks, and 3M to adopting popular concepts such as design thinking, lean startup principles, innovation boot camps, and co-creation with customers. …Read More
Can Corporate Compliance Be a Strategic Asset?
Bob Conlin, President & CEO of NAVEX Global, talked about the strategic benefits of embracing a company-wide culture of ethics.…Read More
Risky Choices Over Goods
This paper examines how risk preferences differ over goods and in-kind monetary rewards. I study incentivized experiments in which subjects allocate bundles of either Amazon.com goods or Amazon.com gift credit (which must be spent immediately) across uncertain states. …Read More
Innovation and Product Risk: Firm Strategy and Public Welfare
Innovative new products come with hope, but also risk that they will not work as well as hoped. Thus testing and monitoring are key strategic decisions of an innovative firm in any market, and in some markets these strategic decisions will be intertwined with government regulatory policy.…Read More
Motivational and Behavioral Factors in Entrepreneurial Decision-Making
Broadly speaking, this study is investigating how extrinsic and intrinsic motives affect entrepreneurial behavior and, in particular, innovative activity by nascent entrepreneurs. Specifically, it is interested in understanding when and how status motivation induces entrepreneurs to pursue innovative business ideas.…Read More