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The banking sector plays an important role in the UK economy as a whole, and investors are increasingly concerned about the ability of UK-based banks to withstand the consequences of major uncertainty such as the Brexit. This paper investigates the UK financial system resilience using networks of relationships related to the Credit Default Swap market. We propose a detailed descriptive analysis of the topology of the networks, and characterize the nature of relationships between financial institutions. We compare our results with theoretical network configurations (small-worlds, preferential attachments, etc.) to reveal the connection dynamics of the networks we identify. We then develop a panel analysis including variables of centrality and influence of banks in their networks. We identify prominent banks and groups of banks that could disrupt the system. Our results help identify priority areas of action by regulators and risk managers.

Warm or cold, wet or dry, weather impacts almost every industry as 70% of businesses are exposed to unexpected variations that influence demand for goods and services. The financial losses caused by adverse weather that did not seem material enough to have an impact or to require being managed a decade ago, may now do so as the frequency and severity of abnormal weather have dramatically increased. A surge in investigating the contribution of weather to financial distress is also prompted by more reliable weather data, and the development of new risk mitigation tools. Drawing upon the UK's retail sectors for empirical evidence, this paper provides a methodology to determine the contribution of weather to sales and to structure financial products to reduce the consequences of adverse weather on expected cash-flows. Our results open new research opportunities for weather to be considered as an additional cause of business failure.

Franchisees are often small business owners whose sales, profitability, and financial equilibrium in the first years of operation are increasingly being impacted by weather variability. The literature has analysed the effectiveness of various guarantees offered by franchisors in franchise agreements, but the case of hedging the local weather risk to which each franchisee is exposed has never been addressed. Using Design Science, we show that franchisors operating in one of the activities which are among the 70% of activity sectors exposed to weather risks, can support the setup of franchises, measure their weather risk and incorporate financial protections against the consequences of adverse weather in the franchise agreement. By doing this they can reduce the risk of financial distress, provide an innovative service, and reinforce the quality of the relationship with their franchisees.

International audience; This research examines for the first time the relationship between Big data and Smart data among French automotive distributors. Many low-tech firms engage in these data policies to improve their decisions and performance through the predictive capacities of their data. A discussion emerges in the literature according to which an effective policy lies in the conversion of a mass of raw data into so-called intelligent data. In order to understand better this digital transition, we question the transformation of data policies practiced in low-tech firms through the founding model of 3Vs (Volume, Variety and Velocity of data). First of all, this empirical study of 112 French automotive distributors develops the existing literature by 2 proposing an original and detailed typology of the data policies practiced (Low data, Big data and Smart data). Secondly, after specifying the elements of the differences between the quantitative nature of Big data and the qualitative nature of Smart data, our results reveal and analyse for the first time the existence of their synergistic relationship. Companies transform their Big data approach into Smart data when they move from massive exploitation to intelligent exploitation of their data. The phenomenon is part of a high-end loop data exploitation. Initially, the exploitation of intelligent data can only be done by extracting a sample from a large raw data pool previously made by a Big data policy. Secondly, the organization's raw data pool is in turn enriched by the repayment of contributions made by the Smart data approach. Thus, this study develops three important ways. First off, we identify, detail and compare the current data policies of a traditional industry. Secondly, we reveal and explain the evolution of digital practices within organizations that now combine both quantitative and qualitative data exploitation. Finally, our results guide decision-makers towards the synergistic and the legitimate association of different forms of data management for better performance.; Nombreuses sont les firmes qui désormais s’engagent dans des politiques Big data ou Smart data afin d’améliorer leurs décisions. Malgré leur popularité, peu de connaissances sont à ce jour proposées concernant la nature de ces deux démarches que l’on oppose souvent en raison de leurs différents degrés de finesse d’exploitation des données. Notre étude quantitative auprès de 112 PME de la distribution automobile décrit puis explique leur différenciation et leur complémentarité vertueuse.

Advertisings usually display thin bodies creating and endorsing the beauty standards of the society. Large body size models are sometimes featured in advertisings to show a more inclusive marketing communication. Previous researches have investigated consumer responses to more diverse body sizes in Beauty and Fashion industries ads. This paper aims at investigating advertisement effectiveness, for both print and digital advertisings, through consumer responses (Memorization, Aad, Ab, and Purchase Intention) to body sizes in food advertisements. We used a mixed design study with a between group factor (Media type: Print or Digital) and a within-subject variable (body shape: large, thin or no model), via a folder test procedure. Participants were exposed to a fictive magazine to measure their responses toward advertisements featuring large size model versus thin one. The findings reveal that “large model” advertisements are less effective compared to “thin model” advertisements for Memorization, Attitude towards Ad, and Purchasing Intention. However, participants expressed the same Attitude towards the Brand for both conditions. Moreover, hardly any significant influence of the means of exposure to ads (printed or digital) was found. Despite the latest consumer pertinacity trends on companies to adopt diversity for social reasons; consumers, of the food industry, are still better influenced by thin models when it comes to Memorization, Aad, and PI. Furthermore, this study offers practical and societal implications not only for the experimental design, but also for practitioners to comprehend and utilize the match‐up hypothesis of body size condition needed for their marketing and advertising objectives.

International audience; Many SMEs still seem reluctant to accept the management of large datasets, which still appear to be too complex for them. However, our study reveals that the majority of small French car dealers are developing Big data and Smart data policies to improve the quality of their offers, the dynamism of their sales and their access to new opportunities. However, not every policy has the same effects on the development of their business. Whereas Big data improves all the components of SME development in a global, short-term and operational way, Smart data presents itself as a more targeted, prospective and strategic approach.

Purpose Buoyed by the desire to reduce carbon dioxide emissions and develop sustainable urban transportation, the dockless bike-sharing industry boomed in China during 2017–2018. To the surprise of the stakeholders, this industry dramatically ebbed in 2019. The dockless bike-sharing system deviated from a problem-solver to a troublemaker in a very short period. The oversupplied and excessively discarded shared bikes caused a big waste of resources and serious pollution to the environment. In this paper, the decision-making of the key players of the industry, i.e. business operators, investors, customers and government, is analyzed through the lens of the cognitive bias. This paper aims to illuminate the process of how this innovative transport solution turned to a disastrous ending, which caused damage to urban environment and financial loss to investors. Design/methodology/approach In this study, a qualitative analysis based on the rich secondary data sources is conducted. A rich amount of qualitative data including news reports, government policies, consulting reports and companies’ annual reports etc. were collected. Findings The study shows, in the product introduction period, the government, business operators, investors and consumers fell into the cognitive bias. They over focused on the positive side such as high-tech, eco-friendly, convenient image of the dockless bike-sharing solution. Thereby, the key stakeholders made irrational decisions in product adoption and management. This study moves toward increasing key stakeholders’ awareness of the imperative to reduce these biases when promoting eco-innovations. This study also recommends a prudent attitude with a rational and comprehensive thinking style in dealing with eco-innovation and the emerging sharing economy. Originality/value To solve the cognitive biases, this study recommends that people use rational decision-making style to examine and adopt the dockless bike-sharing solutions. Practical recommendations to tackle the existing recycling crisis of the dockless bike-sharing industry are also discussed.

This paper studies the relationship between CEO elite education and firm hedging decisions. It uses the particular specificities of the French post-secondary educational institutions to examine the effect of CEO educational background on the use of foreign currency derivatives. The results show a positive and significant relationship between education quality and derivatives use. Neither the level nor the type of education has any significant effect. The results also show that the use of derivatives enhances firm performance only when CEOs are from elite institutions. These results are robust to a battery of tests that involve alternative estimation techniques, the use of different subsamples, additional control variables, and control for endogeneity and selection bias.

This paper revisits the exchange rate pass-through (ERPT) for a set of transition economies, namely for 10 new EU Member States (NMS), over the period 1996–2015. As the transition process has entailed a deep transformation in their economies and institutions, the extent of pass-through is expected to be regime-dependent on this changing macroeconomic environment. We propose to implement a nonlinear panel smooth transition regression (PSTR) approach, where transitional factors related to EU accession are captured properly from the data. Our empirical results suggest that the inflation regime is the main macroeconomic driver of the extent of ERPT. When inflation levels exceed the threshold of 4.56 % , i.e., within a high-inflation environment, the degree of pass-through is higher and reaches a full ERPT. However, with the shift towards a stable and low-inflation regime, i.e., when inflation levels are below a threshold of 4.56 % , the extent of pass-through significantly declines in the NMS group. Our findings shed further light on how the credibility gained through the commitment to euro area membership is beneficial and would ensure better control of inflation.

International audience; Small and medium-sized enterprises (SMEs) play an important role in the economy, but their specific status brings several difficulties that large firms do not have to face. Among others, the literature underlines a market gap in SME consultancy services, with a weak demand from SME managers. The aim of this article is to understand actual SMEs' "practices and perceptions" of the consultancy market and thus to provide some recommendations about how external consultants could adapt their services to foster, meet, and maintain the demand of SMEs. The research focuses on actors located in the department of Drôme, France. Descriptive statistics from a questionnaire and a cluster analysis highlight the role played by a long-lasting relationship and a specialisation in the sector of activity of the SME. Trust, experience and expertise seem to be the keywords. Consultants have to be able to provide unique and creative solutions that are strictly linked to the consultants' commitment of gaining SMEs' trust and building strong ties and networking in order to overcome the distrust and autonomy propensity of SMEs.

Purpose The purpose of this paper is to explore how resilience can support entrepreneurs in uncertain environments. The study’s objective is to show how different dimensions of resilience (emotional/cognitive) are dynamically connected to different logics of actions (causation/effectuation) allowing the development of a successful entrepreneurial project. Design/methodology/approach The study is based on a qualitative analysis of a blog written by an entrepreneur during the first 17 months of a search, negotiation, and financing process for a company takeover. Findings The results highlight that in high uncertainty, strong entrepreneurial resilience and shift of logics of action can contribute to the success of a business takeover. This study identifies forms of resilience during the business takeover process that helped the entrepreneur overcome adversity and succeed. Moreover, these forms of resilience seem to be related to effectual and causal logics. Practical implications This study could help future entrepreneurs succeed in the creation or takeover of an organization by improving knowledge of the relationship between resilience and logics of actions. Originality/value This study proposes a different approach to the study of entrepreneurial resilience by analyzing it in relation with the logics of action (causation/effectuation). Moreover, the study offers a modern methodological approach by using an internet blog as a data source.

Although interest in the Catching up strategy of developing countries has increased during recent years, this line of research is focused on national analysis from the beginning, developed nations as benchmark for fruitful lagging-behind countries, which need to be reviewed. Accordingly, we utilize a literature analysis method to distinguish the difference among developing and developed countries of catching up process. Based on our analysis, we state that the lagging-behind countries have the late-coming advantages. In the short term, the developing countries are able to achieve technical imitation by catching up with the technology. However, in the long run, imitation innovation is always based on the main concepts of developed countries, and does not really integrate the actual situation, social resources, and economic situation of developing countries. Consequently, it is essential for developing countries to find an innovating way to precede transformation.

International audience; The goal of this paper is to investigate the impact of asymmetric ambiguity on corporate investment and financing strategies. Asymmetric information comes from the fact that insiders know the probability of the growth prospects of the firm while outsiders do not. Also, we assume that there are two types of firms (good and bad types) that differ in the quality of their forecasting of future cash flows. Our numerical simulations reveal that firms with more accurate forecasting of cash flows have an interest in speeding up investment in order to make it more difficult for bad firms to mimic their actions. Moreover, we show that the presence of asymmetric ambiguity leads to costly cash holding. These findings may help firms when making their investment and financing decisions under asymmetric ambiguity.

International audience; Building on a systematic review of the literature, we define and discuss why and how purchasing needs to be involved in the discontinuous innovation process. We argue that purchasing involvement in NPD should be considered mainly when the customer firm faces discontinuous innovation. Seeking to promote this emerging research agenda, we present three propositions to focus future studies and inspire practices: (a) technology sourcing and scanning out of the boundary of the supply base is an important stake to support discontinuous innovation as (b) to form an ambidextrous purchasing organization and (c) to develop absorptive capacity within purchasing function. The paper concludes by summarizing the conceptual implications of the paper, outlining some initial managerial recommendations.

International audience; The concept of identity is very important in consumer behavior. It is considered as a predictor of behaviors. With a digital sociocultural context, a new perspective emerges in the marketing literature: the digital identity. With a qualitative study, we find four dimensions to define the construct (the multiplication of Self, the expression of the Self, the virtual sociality, the virtual reputation). Then we generate items. After a content validity with four experts, we conducted a quantitative study. By combining a principal component analysis (with a sample of 468 respondents) and a confirmatory factor analysis (524 respondents), we tested our scale with structural equation methods. The four dimensions model reveals satisfactory psychometric properties.

Owners of brands that target children are aware of the influence of packaging. Recently, managers of brands addressed to young consumers had made important decisions about all aspects of their offering, including package design. To attract young consumers, they integrate innovation in their designs: vivid colors, funny, and playful aspects, distinctive package shape and spokes-character. They conceived a new type of packaging called ‘Toy-packaging’. This research aims at investigating the influence of this new packaging on children’s perception.

Purpose Many firms engage in co-opetitive projects during which they have simultaneously competitive and collaborative relationships with many rivals in a complex network. A co-opetitive network offers them access to a large volume of resources and knowledge, for example, to support new markets and/or territories. So, does the network grow with the scope of the co-opetition project? The paper aims to discuss this issue. Design/methodology/approach An empirical study of 106 French boating intermediate-sized enterprises (ETIs) and small and medium enterprises provides a descriptive and explanatory analysis of co-opetitive networks. Findings The results support this definition of a complex co-opetitive network only when the objectives of a firm are part of the geographical expansion of its activities. In contrast, these relations remain simple (dyadic) when a firm favours a strategy of diversifying its activities while maintaining its unique local geographical market. Research limitations/implications First, the work is based on a quantitative methodology, so is static. It would be interesting to analyze the process of the building of co-opetitive relationships and opportunism between rival firms, for example, through a qualitative study. Second, this work focusses on boating companies in France. It may be appropriate to consider the sanctions placed on the opportunism of foreign firms in co-opetition. Third, future work could increase understanding, not only of the nature of reprisals inflicted on individualistic co-opetitors, but also on the structure, objectives and results of these reprisals. Originality/value The study deepens our knowledge of the definition, composition and determinants of co-opetitive networks.

This article discusses the Moon Village concept within the context of the increasing momentum to return human beings to the surface of the Moon. The article follows a dual objective. Firstly, the Moon Village is probably the most misunderstood among the plethora of ideas to explore the Moon scientifically and commercially. The article is therefore intended to explore what the Moon Village actually is. Secondly, the article explores the strengths and weaknesses of the Moon Village. The article is divided into three sections. The first section reviews the current Moon projects of public and private space actors, including the United States, Russia, China, SpaceX and Blue Origin. It sets the scene for the argument that the Moon Village has entered global discourse on space within a positive political environment. The second section discusses the premises of ESA chief Jan Worner’s Moon Village concept, putting forward that the Moon Village is intended as an open concept rather than as a concrete plan. It is a process rather than a project and it is meant to initiate a global conversation on humanity’s future on the Moon. As such, the world cafe is an appropriate metaphor to illustrate the idea behind the Moon Village. In the third and final section a SWAT/PEST analysis is conducted to assess the feasibility of the Moon Village, highlighting that one of the major opportunities of the project is to promote international cooperation. The article concludes by supporting the institutionalist hypothesis that the Moon Village is arguably a translation of the ESA system to the global level, as participation is voluntary and as it builds on the strengths of each cooperation partner. As such, the Moon Village in indeed a new way of doing space on the global level.

JEL classification: G01; C22; E21, This paper examines the effects of wealth on consumption for the US, the UK and the Euro area using a smooth-transition regression (STR) model. We find evidence of an asymmetric and time-varying relationship between consumption and wealth. Additionally, our model tracks consumption patterns reasonably well during periods of economic downturn, financial instability and housing market corrections. While wealth effects are not significant in the Euro area, they are statistically significant and time-varying in the US and the UK. Interestingly, changes in housing wealth are source of switching between regimes in the US., Feder, Compete 2020, Portugal 2020, FCT

Purpose The purpose of this paper is to identify the representations, figures and processes of shopping/commerce in books published in France that are aimed at three to seven-year-olds. Design/methodology/approach A semiotic analysis of nearly 50 books published over the past 60 years. Findings These books reveal a broad diversity in the images of shops given to children (ranging from the traditional shop, a source of pleasure and creator of social ties, to the hypermarket/megastore, a symbol of stress and overconsumption) and the wealth of information that is given to children to help them assimilate the process of a shopping transaction. Originality/value The originality and richness of this research lies in its methodological approach. Indeed, it is perfectly aligned with a recent academic trend that calls on researchers to mobilise and compare new data collection tools to apprehend current and future consumer behaviour. Consequently this research is based on an immersion in children’s books that depict the world of commerce in one way or another.

This paper provides an update on the exchange rate pass-through (ERPT) estimates for 12 euro area (EA) countries. First, based on quarterly data over the 1990-2012 period, our study does not find a significant heterogeneity in the degree of pass-through across the monetary union members, in contrast to previous empirical studies. As we use a longer time span for the post-EA era than existing studies, this is not surprising, since the process of monetary union has entailed some convergence towards more stable macroeconomic conditions across EA member states. Second, when assessing the stability of pass-through elasticities, we find very weak evidence of a decline around the inception of the euro in 1999. However, our results reveal that a downtrend in ERPT estimates became apparent starting from the beginning of the 1990s. This observed decline was synchronous to the shift towards reduced inflation regimes in our sample of countries. Finally, we notice that the distinction between “peripheral” and “core” EA economies in terms of pass-through has significantly decreased over the last two decades.; Dans ce papier, nous étudions le niveau de rapprochement des économies du Maghreb vers les économies de l’Europe de l’Ouest. Nous faisons également une comparaison avec le niveau de convergence des Pays d’Europe Centrale et Orientale PECO-5 vers les pays de la zone euro. Pour ce faire, nous utilisons une modélisation VAR Structurelle pour l’identification des chocs d’offre et des chocs de demande. Nous faisons également appel à l’Analyse en composante Principale ACP dans l’étude de la dynamique de convergence. Nos résultats montrent un niveau différencié de rapprochement des économies des pays du Maghreb vers l’Europe : la Tunisie et le Maroc dans une moindre mesure, sont sur le sentier de la convergence et à un niveau qui se rapproche de celui des PECO-5 ; l’Algérie et la Libye restent très éloignés de la convergence en dépit de leur capacités. Ce résultat confirme le rôle important joué par le commerce bilatéral et plus particulièrement celui des produits manufacturés. La convergence de la Tunisie et du Maroc est également le fruit d’une dé-spécialisation de production des secteurs agroalimentaire et textile vers des secteurs moyennement et hautement technologiques.

Purpose – The purpose of this paper is to examine the use of a positive country image (CI) by companies. First, it examines how organisations embed dimensions of a positive country image into their external marketing communications. Second, it examines the alignment between the countries’ image dimensions and those of the company and how company values and actions could act to either use, abuse and detract from an established CI. Design/methodology/approach – A two-part methodology was adopted. Two countries with strong positive CIs were chosen for comparison purposes. Content analysis of web sites, together with interviews with company representatives, were undertaken. Findings – The use of the CI/country-of-origin framework is extended from an extrinsic “made in” cue for consumers, to being part of the value offering of a particular product or service from an organisational perspective is extended. Evidence is structured into a framework of companies which use and/or contribute to the CI. Research limitations/implications – The two chosen countries both have positive CIs: future research should examine this relationship in countries with different images. The sample size is relatively small and future research should determine the generalisability of the proposed typology. Practical implications – Generating, communicating and maintaining a CI requires co-ordinated efforts from policy makers but needs to be built on solid foundations of reality: companies using CIs should be cognisant of the alignment between their actions, messages and the CI. Originality/value – This study extends prior work by examining the relationship between CI, company strategy, products and services offered and the manner in which companies action's can affect CI.

Purpose – This paper aims to investigate the importance of networking for Italian and French small and medium-sized enterprises (SMEs) in Brazil. Business opportunities in Brazil have attracted a significant amount of interest in recent years. The country is moving towards market orientation, and it has recently experienced higher growth rates. Furthermore, upcoming events, such as the FIFA World Cup in 2014 and the 2016 Olympic Games in Rio de Janeiro, are attracting a significant amount of attention given the emergence of potential business opportunities in several sectors. Nevertheless, European companies wishing to enter the Brazilian market should address several constraints, including high barriers to entry, an extensive bureaucracy and a culture quite different from those in Europe. In this context, networking seems to be vital for success. Design/methodology/approach – The data were gathered through a survey undertaken between June and August 2012. After the questionnaire was prepared, each company either received and responded to the questionnaire by e-mail or participated in a telephone interview. The questionnaire included multiple choice questions, most of which used a 5-point Likert scale. Some open-ended questions were included to collect insights from respondents. Representatives of 21 Italian and 24 French SMEs agreed to participate in the survey. Respondents were typically company presidents, chief executive officers or export department managers with experience in the Brazilian market. Findings – The results highlight the importance of social networks for the SMEs interviewed. The establishment of social networks is pivotal for successful business activities in Brazil, as they can help entrants decipher and understand how society and business work. In Brazil, social networks are built through a path-dependent process that requires time, patience and perseverance, as well as an ability to overcome liabilities of sameness. In this regard, a networking process that encompasses specific activities linked to the peculiarities of Brazil is essential, even if it seems to be a second-best solution, as in the case of the QWERTY keyboard. This process, which is the main characteristic of social networking in Brazil, necessitates not only the use of the Internet and information and communications technologies but also face-to-face contacts for building reputation, legitimacy and trust. Originality/value – This paper extends the extant literature by investigating the importance of networking for Italian and French SMEs in Brazil. Brazil serves as an interesting and useful case that can deepen our knowledge about this aspect of international business. As highlighted by Jack et al. (2008) and Ruzzier et al. (2006), the knowledge and understanding of the networking process still suffers from several limitations despite the increased attention paid to this phenomenon.

This paper presents a development accounting framework in order to quantify the determinants of disparities in GDP per hour worked within the EU in 2016. Its originality is twofold insofar as, on the one hand, it theoretically extends the existing framework from 2 factors up to $$n$$ explanatory factors and on the other, it numerically illustrates this same framework in case where $$n=3$$ factors. This illustration is made macro-economically between 19 EU countries—representing 90% of its aggregate GDP—and sectorally between their market, state, and mixed sectors. The calibration data come from the latest EU-KLEMS and PWT versions. Examination of the results by decomposition shows a strong proximity of macroeconomic standard deviations ($ 13.74/h) and the market (13.38) and non-market (12.34) spheres. The differences between countries are fundamentally (around 90% according to each of the three spheres) explained by the disparities in labor quality (and around 10% by the disparities in capital deepening). The profile, however, is not at all the same in real estate activities (mixed sector) whose GDP per hour’ standard deviation reaches $ 570.28/h and is completely explained by the disparities in capital deepening.

International audience; Successful branding strategies form positive brand images in consumers' minds, which contribute to brand equity in the long run (Aaker, 1991). Much research suggests that the image of a product's country of origin (COO) can significantly impact consumers' brand image perceptions and buying preferences (e.g. Hsieh, Pan & Setiono, 2004; Wang & Lamb, 1983). However, little is still known about how country branding (a country's whole image, covering political, economic, historical and cultural dimensions), interacts with country product image (Fetscherin 2010). Switzerland has a strong country image and therefore provides a unique case (Yin 2003). Brand Switzerland governed by the Federal Department of Foreign Affairs to oversee the communication of the country's image (www.imageswitzerland.ch). This department monitors the view of Switzerland overseas, and has determined that the key brand values should be trustworthy, premium quality and authentic with two secondary concepts of secure future, and self-determination. The objective of this study is to analyse the degree to which Swiss companies use these key dimensions of the official country image.

PurposeThis paper aims to study the stock market reaction to sporting results of European listed football clubs. Specifically, it tries to examine the impact of the sporting results on the stock market valuation in terms of abnormal returns and trading volume around the dates of matches.Design/methodology/approachThis paper undertakes an event study around the dates of 745 matches played by European listed football clubs.FindingsThe empirical analysis shows that the sporting results of listed football clubs affect both the abnormal returns and the trading volume around the dates of matches. The movement (positive or negative) and the time when the impact occurs (before or after the match) differ according to the nature of the result (defeat, draw or win) and the match venue (home or away). Findings in this study imply that the success of investments in listed football clubs requires a regular follow‐up of their sporting performances.Originality/valueThis paper is one of the first to take into consideration the nature of sporting results (defeat, draw or win) according to the match venue (home or away) in order to study the market reaction in terms of both abnormal returns and trading volume. Unlike some previous studies, it is not limited to studying a single specific context but considers listed football clubs from all over Europe.

The Indian demonetizations of November 2016 came at an entirely new scale to those of January 1946 and January 1978. This time around, the Narendra Modi government's measures applied to 86.4% of the banknotes and coins in circulation, the equivalent to 11% of GDP. Much analysis has been undertaken on the demonetization. This has largely been critical because of its disastrous consequences on local populations and the most deprived among them. Our paper adopts a different angle: it argues that demonetization has had a key impact on the digitalization of payments. We use data from the Reserve Bank of India from 2014 to 2020 to show that the demonetization period brought about a decline in Automatic Teller Machines (ATM) withdrawals. It equally boosted the adoption of digital means of payments, via Point of Sale Terminals (POS) and mobile banking. Since October 2016, the number of POS transactions has risen almost threefold, while the number of ATM transactions has decreased by almost one-fifth. The current government's rhetoric is to promote digitalization as a means of both formalizing the economy and protecting the poor. Its claim is unfortunately highly debatable.

This research note addresses for the first time the issue of capital constraint and credit rationing for craftsmen cooperatives, which are small to medium grassroots cooperatives. We estimate an ECM (Error correction model) using various specifications as robustness checks on an exhaustive French cooperative database. We find empirical evidence of an impact of crisis on cooperative financial constraint, but we highlight that this constraint is more stringent for cooperatives with medium volume of cash flow. This result leads to the question of cooperatives financing during the period of a global economic downturn.