Valuation effects of foreign divestitures
Article Abstract:
Liquidation of foreign assets result in positive announcement period effects. Announcement period valuation effects of foreign liquidation are not relevantly dissimilar to domestic divestitures. The market responds positively to strategy-related domestic sell-offs. Strategy-related sell offs or spin offs occur when parent companies decide to liquidate foreign assets that are performing poorly or to restructure operations to focus on core businesses. Whereas, if parent companies decide to liquidate foreign assets for financial reasons, the market perceive and respond to it negatively.
Publication Name: Managerial & Decision Economics
Subject: Economics
ISSN: 0143-6570
Year: 1998
User Contributions:
Comment about this article or add new information about this topic:
Rent extraction, principal-agent relationships, and pricing strategies: vendor licensing during the 1996 Olympic Games in Atlanta
Article Abstract:
The vendor arrangement between Atlanta, GA, and B.G. Swing for the 1996 Olympic Games is discussed. It is argued that the deal with B.G. Swing to sell vendor permits, along with restrictions on illegal vending, was an attempt by Atlanta to allow vendors to gain consumer surplus from those attending the Olympic Games. B.G. Swing was also able to gain monopoly profits from vendors.
Publication Name: Managerial & Decision Economics
Subject: Economics
ISSN: 0143-6570
Year: 2001
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: A note on the effect of price discrimination on entry. Dynamic asset pricing and statistical properties of risk
- Abstracts: Gender differences in recruitment outcomes. European time-series relationships between inflation and inflation uncertainty: in search of threshold levels
- Abstracts: An experimental study of a dynamic principal-agent relationship. On human capital externalities and aggregates fluctuations
- Abstracts: Germany in the European union: constructing normality. European defence and the changing politics of the European union: hanging together or hanging separately?
- Abstracts: The roles of the state and the market in establishing property rights. The early development of intellectual property institutions in the United States