• Read more about Transforming Products into Platforms: Unearthing New Avenues for Business Innovation

It is impossible for brands to ignore digital platform opportunities. Network effects are one of the strongest sources of power and defensibility ever invented and underlie some of the most valuable businesses in the world. Managers and entrepreneurs can leverage the power of platforms by adding some platform elements to their existing products or services, by distributing their brands via existing platforms or by developing their own new platforms.

• Read more about How to Talk When a Machine Is Listening: Corporate Disclosure in the Age of AI

Growing AI readership (proxied for by machine downloads and ownership by AI-equipped investors) motivates firms to prepare filings friendlier to machine processing and to mitigate linguistic tones that are unfavorably perceived by algorithms. Loughran and McDonald (2011) and BERT available since 2018 serve as event studies supporting attribution of the decrease in the measured negative sentiment to increased machine readership. This relationship is stronger among firms with higher benefits to (e.g., external financing needs) or lower cost (e.g., litigation risk) of sentiment management.

• Read more about Bayesian Ensembles of Exponentially Smoothed Life-Cycle Forecasts

We study the problem of forecasting an entire demand distribution for a new product before and after its launch. Firms need accurate distributional forecasts of demand to make operational decisions about capacity, inventory and marketing expenditures. We introduce a unified, robust, and interpretable approach to producing these pre- and post-launch distributional forecasts. Our approach is inspired by Bayesian model averaging. Each candidate model in our ensemble is a life-cycle model fitted to the completed life cycle of a comparable product.

• Read more about Liability of Foreignness in Immersive Technologies: Evidence from Extended Reality Innovations

This study investigates the persistence of the Liability of Foreignness (LOF) in the realm of immersive technologies like Extended Reality (XR), which includes Augmented Reality (AR) and Virtual Reality (VR). Challenging the assumption that digitalization eliminates traditional barriers for foreign firms, we argue that LOF in XR stems from foreign companies' difficulties in providing a "mentally fluent" experience to consumers in foreign markets. Cultural mismatches can disrupt smooth information processing and diminish the effectiveness of XR innovations.

• Read more about Distributed Ledgers and Secure Multi-Party Computation for Financial Reporting and Auditing

To understand the disruption and implications of distributed ledger technologies for financial reporting and auditing, we analyze firm misreporting, auditor monitoring and competition, and regulatory policy in a unified model. A federated blockchain for financial reporting and auditing can improve verification efficiency not only for transactions in private databases but also for cross-chain verifications through privacy-preserving computation protocols.

• Read more about Applied AI for finance and accounting: Alternative data and opportunities

Big data and artificial intelligence (AI) have transformed the finance industry by altering the way data and information are generated, processed, and incorporated into decision-making processes. Data and information have emerged as a new class of assets, facilitating efficient contracting and risk-sharing among corporate stakeholders. Researchers have also increasingly embraced machine learning and AI analytics tools, which enable them to exploit empirical evidence to an extent that far surpasses traditional methodologies.