Earticle

초록

영어

I examine whether suppliers modify trading strategies upon their customers’ unionization. I demonstrate that when customers unionize, suppliers experience negative stock returns and rely less on the unionized customers for sales. Results are robust to alternatively using a regression discontinuity design. Suppliers reduce their exposure to unionized customers due to the demand uncertainty arising from potential labor disruptions, the customers’ reduced competitiveness in the product market, and customers’ potential shifting of unionization costs to suppliers. However, in certain cases, customer unionization mitigates the negative effect of customers’ default risk on their relationship with suppliers.

목차

Abstract
1. Data and descriptive statistics
1.1. Sample selection
1.2. Main dependent and independent variables
1.3. Summary statistics
2. Empirical analysis—Impact of customer unionization
2.1. Effects of customer unionization on supplier sales dependence
2.2. Mechanism
2.3. Benefits of customer unionization to suppliers
3. Additional analysis
3.1. Effects of customer unionization on supplier relationship-specific investments
3.2. Effects of customer unionization on supplier customer diversification
4. Analysis using regression discontinuity design
4.1. Sample construction
4.2. Regression discontinuity design assumptions
4.3. Effects of customer unionization on supplier sales dependence
4.4. Effects of customer unionization on supplier stock return
4.5. Effects of customer unionization on the likelihood of becoming minor customers
5. Alternative explanations
6. Conclusion
References
Appendix A. Variable descriptions used in the tables.
Figure
Table
Appendix Table
Appendix Figure

키워드

저자

• Hyemin Kim [ Department of Finance, School of Business, Hanyang University, Seoul, South Korea ]

참고문헌

발행기관

간행물

표지보기 관심저널 등록

• 간행물명

  한국재무학회 학술대회

• 간기

  부정기

• 수록기간

  2006~2024

• 십진분류

  KDC 325 DDC 330