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Delayed Payment and an International Award for Aston Academic

12/1/2009

A lecturer from Aston Business School has won a prestigious American Marketing Association award for his work. 

Erik Mooi’s research revealed how unlikely businesses are to resort to legal remedies to resolve contractual issues. Exploring the outcomes of incomplete business contracts showed that in only 2 cases out of the 971 studied did firms resort to law, they preferred to use other methods such as delaying payments.

Working with co-author Dave Gilliland of Colorado State University Erik Mooi produced the academic paper which won an award at the 2008 American Marketing Association Educators’ Conference.

Commenting on the research Erik Mooi said: “With an increased emphasis on outsourcing and shortening business cycles, contracts between firms have become more important. Carefully written contracts contribute to the efficiency and longevity of inter-firm relationships as they may constrain opportunism and are often a less costly governance mechanism than maintaining complex social relationships.”

“Surprisingly few companies take their partners to court and generally the non-legal means of contractual enforcement appear to be effective.”

“I am delighted that our work has been acknowledged with this award.”

Employable Graduates; Exploitable Research