Scholarly Impact
Purposeful research is a key initiative for the Hankamer School of Business. There are diverse streams of high-quality research flowing from the Business School, providing thought leadership and true impact in various fields. A few recent examples are below.
Do Intelligent Leaders Differentiate Exchange Relationships Intelligently? A Functional Leadership Approach to Leader-Member Exchange Differentiation
Stephanie Kunst
This article explores how leaders can build different types of relationships with team members to improve group performance. It argues that not all leaders approach relationship-building in the same way and that intelligent leaders can recognize which team members are best suited to help meet specific group needs. By selectively strengthening bonds with high-performing individuals, leaders use their limited resources more effectively, focusing on those who will contribute the most to group success. The study also highlights two key qualities – cognitive ability and self-confidence – that help leaders identify and maintain these beneficial relationships. This approach can help balance the benefits and potential challenges of diverse relationship dynamics within teams.
Uncertainty, Contracting, and Beliefs in Organizations
David Dicks
This study examines how companies structure incentive contracts to address challenges that arise when division managers face uncertainty about performance. The authors argue that uncertainty leads managers to become more conservative, potentially lowering their effort. To counter this, companies often use incentive contracts that include equity or other forms of companywide performance measures, aligning managers’ views with that of headquarters and fostering collaboration. These contracts can improve productivity by reducing the impact of personal risk concerns and promoting a unified perspective within the organization. The study sheds light on why equity-based incentives are common in uncertain environments and explains the rare use of relative performance contracts when risks are less predictable.
Is “4 For $16” Better than “4 For $15.30”? The Price Divisibility Effect in Multipack Purchases
JaeHwan Kwon
This study investigates the effect of price divisibility on consumers’ likelihood of purchasing multipack products. The researchers found that consumers are more likely to buy a multipack when its price is easily divisible by the number of items within it, such as a four-pack priced at $16 rather than $15.30. This divisibility prompts consumers to focus on the unit price, fostering a sense that each item will be consumed quickly. This perception, in turn, justifies buying multiple units. The study, supported by numerous experiments, highlights how pricing strategies can subtly influence purchasing behavior by creating perceptions of convenience and consumption speed.
A Configurational Perspective on Design Elements and User Governance Engagement in Blockchain Platforms
Rongen “Sophia” Zhang
This study examines the essential design elements that blockchain platforms need to enable effective decentralized governance, which allows users to participate in decision-making. Researchers identified five critical components: access to decision rights, visibility of processes, automated protocols, and incentives for both developers and other stakeholders. Through a series of blockchain case studies, the study found that different combinations of these elements can lead to high levels of user engagement in governance. For instance, platforms that automate decision protocols and ensure transparency can foster active user involvement. The findings provide insights for blockchain designers to create governance structures that encourage user participation, facilitating a more democratized and transparent digital ecosystem.
Learn more about these studies and other research conducted at the Hankamer School of Business by listening to the “Innovative Business” podcast. Listen in at bbr.baylor.edu/podcast.
