摘要:

AbstractThis paper presents a framework to identify the determinants of acquisition premiums so as to explain their cross‐section variability. Observed premiums are predicted to be positively related to (1) the magnitude of the acquiring firm's estimate of acquisition gains and (2) the acquired firm's relative bargaining strength. Increased acquisition gains are argued to result from two sources—underpricing and undermanagement. The variables representing these sources are constructed from pre‐acquisition data. A gains variable based on the post‐acquisition stock‐price reactions of the acquiring and acquired firm is also constructed. It is argued that acquired‐firm bargaining strength is enhanced by an increase in the degree of competition in the acquisitions market and by the inclusion of anti‐takeover amendments in the acquired firm's corporate charter. The predictions are tested on a sample of 77 completed cash‐for‐stock and stock‐for‐stock acquisitions over the time period 1975–80. The empirical results provide strong support for the predicted effects of the determinants of (2) and mixed support for the determinants of (1). This is the first study to document the predicted effects of anti‐takeover amendm

ISSN:0143-6570    

DOI:10.1002/mde.4090080302

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractVertical quasi‐integration is differentiated from other forms of interfirm organization and the issue of power is examined drawing from the theoretical and empirical literature on interorganizational relations. The firm's power is described in terms of its dimensions and the various types of power which may be manifested under conditions of vertical quasi‐integration are discussed. The nature of the link between power and dependence is considered and a number of influences are identified which may inhibit the effectiveness of power attempts in interfirm relationsh

ISSN:0143-6570    

DOI:10.1002/mde.4090080303

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractA systematic mathematical analysis of learning curves is presented. It is shown that while a learning curve with learning factorkdoes necessarily satisfy the functional equationf(2x) =kf(x), this equation admits numerous other analytic, convex solutions as well so that it cannot be used to uniquely characterize learning curves. Rather, it is shown that a pair of functional equationsf(rx) =kf(x) andf(sx) =jf(x) wherern≠smfor any positive integersnandmsuffice to uniquely determine the learning curve; compatibility of the two equations requires that logrk= logsjor there will be no learning curve satisfying the pair of equations. Two classes of almost learning curves are generated and studied by means of suitable perturbation terms in the differential equationy=by/xof the true or standard learning curve and these curves are applied to describe data not exhibiting exact learning‐curve behavior. Finally the concept of average marginal hours or cost is introduced and its behavior is found to also exhibit the learning‐curve phenomenon except for an initial devi

ISSN:0143-6570    

DOI:10.1002/mde.4090080304

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractThe traditional approach to monopoly posits a dead‐weight loss, a classic inefficiency, wherever market power is discovered. Critics such as Joseph Schumpeter argue that such dead‐weight losses are inconsequential in a dynamic setting, where long‐run trade‐offs are said to dominate them with postive sum gains, which are also claimed to flow from market power. Yet further examination reveals that even the static monopoly argument showing Pareto inefficiency is not due to a positive analysis but is an outcome determined by the normative interpretation of the monopolist's property rights. The costs which a firm possessing market power has in expanding its output are not considered as legitimate for inclusion in our analysis. (In other markets, traders are sometimes allowed to collect such rents without being labeled as inefficient—for instance, in the labor market.) The interesting questions become: Why have economists adopted this particular normative view of property rights? Is public policy thereby we

ISSN:0143-6570    

DOI:10.1002/mde.4090080305

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractThis paper uses data from the University of Michigan's Panel Study of Income Dynamics to examine an owner–manager's labor‐supply decision. Graphical analysis is used to motivate the central hypothesis tested, which is that the hourly wage paid to comparable hired managers is the marginal price of leisure to the owner–manager and will help determine his hours worked. The results suggest that this is an appropriate interpretation, with the average elasticity of hours‐worked with respect to cost of comparable hired managerial services equal to

ISSN:0143-6570    

DOI:10.1002/mde.4090080306

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractThis note is concerned with the proof of a revised version of the mean‐standard deviation efficient set theorem. Given only risky securities, it is irrational to hold the global boundary portfolio, whereas when a riskless security exists a finitely risk‐averse investor does not invest exclusively in such a secur

ISSN:0143-6570    

DOI:10.1002/mde.4090080307

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractLittle is known about how professional valuation experts actually form judgements on the value of unlisted shares. This study examines the valuation process among Canadian valuators and the relative importance of each of the main information variables used in that process. A dual approach to the problem is adopted: (1) a major survey of 231 valuation experts and (2) a conjoint analysis experiment on 82 valuators using fabricated cases representative of realistic relationships. Both approaches conclude that while earnings prospects is the single most important factor in determining unlisted share values, the determination of value in the absence of a capital market is a highly complex process involving a host of information variables, many of which do not easily lend themselves to objective judgement.

ISSN:0143-6570    

DOI:10.1002/mde.4090080308

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractThis paper develops a valuation model for a project or firm in the presence of uncertainty about the mean of the probability distribution of the cash flows generated by the project. Its major point is that in the presence of parameter uncertainty the value of the project is smaller than in the case where the mean cash flows is perfectly known. The second point is that when there is a known covariance between project cash flows and aggregate market cash flows investors can learn about the unknown mean cash flows by observing the market. This is referred to as ‘learning from the market

ISSN:0143-6570    

DOI:10.1002/mde.4090080309

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractThis paper identifies a theoretical basis for the existence of strategic groups. We represent the competitive marketplace by means of a game‐theoretic model and motivate the existence of markets wherein the only Nash solution may be in mixed strategies. Given deterministic behavior on the part of the firms, we interpret this solution in terms of a strategic groups equilibrium. The major implication of this analysis is that strategic groups can exist even if there is no inherent asymmetry (in terms of skills) between firm

ISSN:0143-6570    

DOI:10.1002/mde.4090080310

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY

摘要:

AbstractAn extension of the conceptual framework for assessing the desirability of a bond refunding operation is presented. The analysis indicates an expanded set of opportunities for enhancing shareholder wealth that may involve actions other than an immediate call of existing debt, even though the latter appears worthwhile. Conditions that specify the optimal timing of a call are derived.

ISSN:0143-6570    

DOI:10.1002/mde.4090080311

出版商:John Wiley&Sons, Ltd.    

年代:1987

数据来源: WILEY