pdf - Nyenrode Business Universiteit
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pdf - Nyenrode Business Universiteit
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42 CHAPTER 2. RPE AT THE BUSINESS UNIT MANAGER LEVEL<br />
2.4.3.1 Analyses with RPE-Use Measure<br />
First, I test the model with RPE-Use, the broad measure of RPE that captures both<br />
implicit and explicit influence of peer performance on the performance evaluation. I find<br />
partial support for the hypotheses, as shown in table 2.11 30 . The OLS estimation shows<br />
that the model is significant and fits the data, albeit marginally. The reported R 2 is 7.5%<br />
(Adjusted R 2 = 3.1%). This model’s ANOVA F-statistic is 1.718 (p = 0.063). As an<br />
additional analysis, a subsample of for-profit business units is analysed. The results are<br />
presented in appendix B at the end of this chapter on page 57. Potentially because of the<br />
limited size of the for-profit subsample, the resulting model is not significant (N = 224,<br />
ANOVA F-statistic is 1.461, p = 0.148).<br />
Table 2.11: Results of OLS Regression Analysis (RPE-Use)<br />
Coefficient Std. Error t-Stat. Prob.<br />
Constant 3.445 0.715 4.816 0.00<br />
Common uncertainty (H1) 0.358 0.269 1.333 0.09a Interaction information asymmetry *<br />
comparability (H2)<br />
0.126 0.096 1.332 0.09a Interaction uncertainty * information<br />
-0.115 0.110 -1.070 0.14a asymmetry (H3)<br />
Information asymmetry 0.073 0.071 1.032 0.30<br />
Comparability -1.771 0.961 -1.841 0.06<br />
Contractibility 0.049 0.021 2.287 0.02<br />
Firm-Level Measures -0.919 0.349 -2.629 0.00<br />
Size of BU 0.025 0.032 0.800 0.42<br />
Size of firm -0.003 0.029 -0.121 0.90<br />
Dummy production BU 0.122 0.194 0.626 0.53<br />
Dummy financial services BU 0.071 0.154 0.460 0.64<br />
Dummy not-for-profit BU 0.078 0.205 0.382 0.70<br />
R 2 = 0.075 F-statistic = 1.718<br />
Adjusted R 2 = 0.031 Prob(F-statistic) = 0.063<br />
Included observations: 267<br />
‘a’ : variable based on directional hypothesis<br />
significance calculated as one-tailed p-value<br />
Both the effects of common uncertainty (hypothesis H1) and the interaction between information<br />
asymmetry and comparability of the business unit (hypothesis H2) hold in this<br />
model, although the effects are only marginally significant at t-values of 1.333 and 1.332,<br />
respectively. The combined effect of uncertainty and information asymmetry (H3) is not<br />
supported by the analysis.<br />
30 The presented p-values in tables 2.11 & 2.13 are one-tailed if the underlying hypothesis is directional.<br />
The one-tailed findings are marked as ‘a’ .