Abstract:This paper analyzes a unitized participating life insurance endowment policy，paid by annual premiums，in which a minimum return，an annual bonus and a terminal bonus are guaranteed to the policyholder．Moreover，the policy under scrutiny is characterized by the presence of a surrender option．Compared with other participating life insurance policies，the most important feature of this policy is the terminal bonus option．However，current researches on pricing of this policy rarely considered the terminal bonus option together with the other embedded options．The aim of the paper is to give sufficient conditions under which there exists a fair premium and the pricing of terminal bonus option is also well considered．This premium is implicitly defined by an equation based on the classical actuarial pricing technique and contingent claim pricing theory．An iterative algorithm based on Monte Carlo simulation method is then implemented in order to compute it．Based on this valuation approach，the paper also provided both theoretical and numerical analysis of the effect that mortality rate，guarantees，annual bonus，terminal bonus and surrender have on the value of terminal bonus option．The findings are as follows: Firstly，a terminal bonus option has a higher value than a surrender option and the terminal bonus decreases the incentive to surrender． Secondly，the value of terminal bonus option tends to go up along with any increase in mortality rate，minimum guaranteed interest rate or terminal bonus ratio and any decrease in risk free rate or volatility would also cause the value of terminal bonus option to increase．

Abstract:The continuous liquidation trajectory of the single hedged stock is derived under the arithmetic Brownian movements，mean-variance utility，and linear market impact．The parameters analysis shows that the investors are like to liquidate quickly if they are more risk averse or the portfolio’s variance is larger; if the correlation coefficient is negative，they want to execute more quickly and vice versa; the liquidation velocity changes are opposite to that of the correlation coefficient under the given hedging ratio．The partial liquidation’s trajectory is more convex than the full liquidation’s．Sometimes，the investors would over liquidate firstly and then recover the position．

Abstract:This paper studied the value of lateral transshipment policy between two competitive retailers under demand disruption environment． Considered two retailers competing for selling homogeneous products，we assumed that retailers can use inventory pooling strategy to mitigate customer demand risks when demands are disrupted．Thus，three non-cooperative game models are established: no disruption and no transshipment case (NDNT) ，with disruption and no transshipment case ( WDNT) ，and with disruption and with transshipment case ( WDWT) ．Through a contraction mapping theory，we developed sufficient conditions for the Nash equilibrium to be existent and unique．We proved that each game of the three cases has a single pure strategy Nash equilibrium at symmetric configuration．Furthermore，we analyzed properties of the equilibrium and compared it with the other one．We also analyzed the monotone relationships of the competition degree parameters to the equilibriums based on solutions of partial derivatives equations and developed sufficient conditions that the transshipment policy is beneficial to the retailers． Through computation and simulation of a numerical example，we verified these conclusions．It is shown that retailers are always benefited from lateral transshipment when demands are disrupted because expected revenue will realize Pareto improvement after transshipment．However，relatively low transshipment prices will make retailers hurt by transshipment．Therefore，transshipment price configuration plays a key role in managing demand disruptions with transshipment．The results will provide theoretical supports for entities regarding disruption management．

Abstract:The market for HS300 equity index comprises index futures and various ETFs which are growing rapidly．This paper explores the impact of multi-market trading on the price discovery process of HS300 index．We find that: The index futures contribute the most to price discovery，followed by the Huatai Bairui ETF which allows a cash redemption．Jiashi ETF (which allows in-kind redemption only) contributes the least to price discovery，which is not consistent with our intuition．Furthermore，we show that volatility，instead of liquidity，as would be conjectured by the transaction-costs hypothesis，is the driving factor for relative price leadership between the index futures market and ETF markets．Finally，some advice which helps improve the multi-level index in China Securities Market has been suggested according to the research conclusion．

Abstract:This paper builds a computational experiment model in which the manufacturer encourages the group of retailers to increase sale efforts using sales rebate and penalty contracts．We assumed that the retailers have fairness preference and study the impact of external effects among retailers on the incentive effects．The EWA algorithm is applied to the process of the manufacturer adjusting the incentives and penalties dynamically to maximize her own benefits．The aim of this paper is to provide suggestions to manufacturers to make rewards and punishments and use the external effects among retailers reasonably in multi-cycle periods．The results show that: the manufacturer should take measures to minimize the retailers“free rider”behavior，but not to eliminate this behavior completely; the dynamic incentives will be better than the static incentives in multi-cycle incentive periods．Dynamic adjustment of rewards and punishments will greatly affect the level of the average sales efforts of retailers who have been motivated，but cannot affect the evolution trends of sales efforts of retailers who have been punished．

Abstract:For a low value perishable product，product losses in the logistics process and logistics service prices have important influences on the decisions of both order and selling price．This paper focuses on the optimization and coordination problems in an outsourcing logistics channel where the quantity and quality losses of a client enterprise’s product depend on the logistics effort levels selected by a Third Party Logistics Service Provider (TPLSP) ．A dynamic game model is established to analyze the decision conflicts under a traditional unit pricing contract where the TPLSP sets logistics effort levels and service prices，and the client enterprise chooses the product order quantity and selling prices．Results show that the decision conflicts lead to distortions of both order quantity and selling price，and further result in suboptimal channel performance，but do not cause effort level distortions．To resolve the problem，a revenue and effort cost sharing contract is designed and the contract terms to achieve perfect channel coordination and a win-win outcome are identified．Finally， computational studies show the effects of effort levels on the product’s quantity and quality losses have important influences on the decisions of each firm and the integrated system，and the channel performances．

Abstract:As two kinds of organizational inertias，resource rigidity and routine rigidity have potential impacts on the firm’s bussiness performance．To analyze the gradient effects of the sizes of such two kinds of rigidities in explorative innovation on firm’s market share，agent-based modeling was adopted in this paper by applying its five basic analyzing steps．Results show that the decrease in resource rigidity or the increase in resources allocation flexibility did not necessarily increase the firm’s market share，while the increase in routine rigidity had negative effects on the market share．Furthermore，the weakened resource rigidity could alleviate the adverse effect of the routine rigidity on the market share，while the routine had flexibilities，it could destroy the positive effect of the weakened resource rigidity on the market share．In general，there is not complete synergy effect on firm’s market share between resource rigidity and routine rigidity in explorative innovation．