There’s been a number of discussions regarding the significance of the budget but to date most businesses decide to have one. The reason behind a budget is usually to plan and coordinate an organization. A firm might use the budget like a device of control to direct business units. For Novotel the budget is a crucial tool for directing.
This project report includes 3 parts. The initial section presents the practices of credit rating and ranking organizations. A short overview of the present situation of credit rating in Hong Kong is presented as well. There are actually 3 main credit ranking
This project examines divestiture announcements in Australia from 1987 to 1997. Valuation effects in response to such announcements are consistently, however weakly, positive for both the divesting parents and the acquiring firms. Different causes and motives to divest are investigated…. Chapter 1:
Hong Kong, a gateway of the Mainland China and a centre of the long East Pacific Asian Corridor, obtains its merit of strategic location and becomes an important air cargo transshipment centre in Asia for several decades. Air transshipment, an input of
This dissertation studies in detail how corruption is carried out in practice, and to what extent firms paying bribes can benefit from such political rent seeking activities. Based on 142 corruption cases publicized by the media during the period 1990 to 2005,
To measure shareholder value creation has been the issue of discussion all around the world. It has become crucial since the companies were increasingly committing to creating shareholder value. Old traditional measures are criticised for having low correlation with shareholder value creation.
We analyze the pre-transaction characteristics of firms going private in the UK, France, Germany and the Nordic region from 2002-2006. We find that a firms propensity to go private is an increasing function of leverage, ownership and control, undervaluation and cash flows.
According to classical finance theory, a risk neutral firm has no incentives to hedge. We will investigate why firms hedge by starting from the assumptions underlying the Modigliani-Miller propositions. One at a time, we will relax the assumptions and investigate the effect
The New Economy is a new arena in business life where IT (Information Technology) companies act. The market’s valuations of the new prosperous enterprises in this young sector were extremely high. Through a row of highly priced acquisitions, huge goodwill items emerged
The aim of this paper is to examine how customer profitability is measured within a manufacturing company and analyze whether the measurement method is institutionalized or not. A case study has been conducted on a Swedish manufacturing company that has applied different