An explicit solution is given for the value of a risk neutral firm with stochastic revenue facing the possibility of bankruptcy. The analysis is conducted in continuous time. Uncertainty is modeled using an Ito process and bankruptcy is modeled as an absorbing boundary. The analysis yields an ordinary differential equation with a closed form solution. The value function is used to calculate the firm's demand for high interest rate loans, showing a positive demand at interest rates which appear intuitively to be excessive. A value function is also derived for a risk neutral lender advancing funds to the firm. The borrowing and lending value functions are then used to examine various aspects of lender-borrower transactions under different bargaining structures. In a competitive lending market, the model shows that credit rationing occurs inevitably. In a monopoly lending market, the lender sets interest rates and maximum loan levels which reduce the borrower to zero profit. When a second borrower is introduced, the lender must allocate limited funds between two borrowers. A lender is shown to squeeze the smaller "riskier" borrower out of the market when the lender's overall credit constraint is tight. Under each bargaining structure, the model is also used to examine changes in the respective "salvage" recoveries of the lender and borrower on bankruptcy. Accepted:

Diss. (sammanfattning) Uppsala : Sveriges lantbruksuniv., 2009. / Härtill 4 uppsatser.

Thesis (MEng)--University of Stellenbosch, 2000. / ENGLISH ABSTRACT: The age old principle of earnings exceeding the cost of capital as a sound basis of wealth creation has been re-packaged and to a large extent, prominently revived, by the Stern Stewart Consultancy of New York in the form of EVA (economic value added). The most well know application of EVA for the past 10 years and subsequent success has been with the global company, Coca Cola. However, the widely debated capital asset pricing model - with no conclusion in site - is used as the basic principle in calculating EVA and therein lies one of its many weaknesses. All aspects of measurement is the foundation on which Industrial Engineering is based. This dissertation set out to evaluate this financial measurement and / or measure in terms of; a) an ability to replace any existing financial ratios b) an ability to measure wealth creation c) an ability to influence or improve on manufacturing systems such as JIT (Just-In- Time) or TOC (Theory of Constraints). d) an ability to focus on the productive use of capital and lastly e) an ability to point towards failure of a business when realising a low or negative EVA On a comparison with the traditional financial measurement techniques and ratios the EVA concept shows too strong a correlation to render it "unique" or able to replace EPS (earnings per share) as the single most important indicator in the financial markets. There is also the interesting phenomenon that industrial sectors vary significantly from country to country in their ability to earn over and above their cost of capital and that being the case in EVA terms, the question is raised whether those countries with negative EVA industrial sectors, should consider moving out of those businesses. The EVA calculations consist of reducing a company's annual earnings with its total weighted average cost of capital and a positive result is stated as a sign of "wealth creation" whereas a negative result points to the destruction of wealth. As will be seen in this dissertation, the EVA measure is healthy as to focussing on the "hurdle" effect of the cost of capital but that the world consists of many organisations with low or negative EVA that have been successfully doing business and producing profits for many years. / AFRIKAANSE OPSOMMING: Die eeu oue beginsel dat inkomste die koste van kapitaal moet oorskry vir 'n grondige basis om rykdom te skep, is herverpak en tot In groot mate, uitstekend vernuwe deur Stern Steward Consultancy van New York in die vorm van ETW (ekonomiese toegevoedgde waarde [EVA)). Die mees bekende toepassing van ETW die afgelope 10 jaar asook die gevolglike sukses daarvan is op die internasionale maatskappy, Coca Cola. As gevolg van die feit dat die onvoltooide debat rondom die kapitale bates prysmodel as beginsel gebruik word in die berekening van ETW, is die waarde van die ETW maatstaf dienooreenkomstig verswak. Die aspek van maatstawwe of meting is een van die hoekstene van Bedryfsingenieurswese. Hierdie tesis het dan dit ten doel gestelom hierdie ETW maatstaf te evalueer in terme van; a) 'n vermoë om enige bestaande finansiële verhouding te vervang b) veral die vermoë om die skep van rykdom aan te dui c) 'n vermoë om 'n invloed te hê, of selfs verbeterings aan te bring aan moderne vervaardiging stelsels soos .HT (Knapbetyds) of TOC (sinkrone vervaardiging) d) 'n vermoë om die produktiewe gebruik van kapitaal te meet en e) 'n vermoë om aan te dui of 'n onderneming gaan faal as gevolg van 'n lae of negatiewe ETW waarde. In vergelyking met die tradisionele finansiële maatstawwe en verhoudings, wys die ETW konsep 'n te sterk ooreenkoms met bogenoemde om dit as uniek te beskryf of om VPA (verdienste per aandeel [EPS)) as die belangrikste aanwyser van die finansiële markte te vervang. Daar is ook die interessante verskynsel dat industriële sektore beduidend verskil, van land tot land, in hulle vermoë om hoër as die koste van kapitaal te verdien en indien dit die geval is met ETW, moet die vraag gevra word of hierdie lande wat negatiewe ETW industriële sektors het, nie daaraan moet dink om daardie besighede te sluit nie. Die ETW berekenings bestaan uit die verlaging van 'n maatskapy se jaarlikse inkomste. Die totale gewig is die koste van kapitaal wat indien positief 'n teken is dat "rykdom" geskep word en indien negatief dat rykdom vernietig word. In hierdie tesis sal die volgende aan die ligkom: die ETW maatstaf is goed in die sin dat dit fokus op die "drumpel"-effek van koste van kapitaal; die wêreld bestaan egter uit baie organisasies wat In lae of negatiewe ETW het, maar wat baie jare suksesvol besigheid doen en wins lewer.

Thesis (MScEng)--University of Stellenbosch, 2002. / ENGLISH ABSTRACT: This thesis is about the principles and practices of the emergmg discipline of virtual enterprising within the context of supply chain management. This type of enterprise makes it possible for Southern African companies to compete in the global marketplace against global players. Value chain analysis is firstly discussed to help the business units, within the virtual enterprise, identify their competitive advantage. This competitive advantage will secure the position of these business units within the virtual enterprise. Electronic commerce is described as the vehicle for data communication within the virtual enterprise, and the supported enterprise resource planning (ERP) software as the transaction capturing software. A performance measurement system is proposed that will assist with the management of virtual enterprises at a macro level. Some conclusions and recommendations are made as to how the management of performance can assist the business units, within the virtual enterprise, to grow financially and obtain sustainability. Recommendations are also made for the implementation of the proposed structure within the 3-D Business Simulator. / AFRIKAANSE OPSOMMING: Hierdie tesis handeloor die beginsels en gebruike van die ontluikende dissipline van virtuële ondernemend binne die konteks van toevoerkettingbestuur. Hierdie tipe ondernemings maak dit moontlik vir Suid-Afrikaanse ondernemings om in die globale mark teen globale, multinasionale spelers te kan meeding. Waardekettinganalise is eerstens gedefinieer, om die besigheidseenhede, wat deel vorm van die virtuële onderneming, te help om hul kompeterende voordeel te identifiseer, en sodoende te kan aanwend om hul posisie binne die virtuële onderneming te verseker. Elektroniese handel word bespreek as die middel van data-kommunikasie binne die virtuële onderneming, en ondernemingshulpbronbeplanning (ERP) sagteware as die sagteware wat verantwoordelik is vir die vasvang van alle transaksies. 'n Prestasiemetings-struktuur word voorgestel wat met die bestuur van die virtuële onderneming op makro-vlak sal help. Gevolgtrekkings en aanbevelings word gemaak vir die aanwending van prestasiemeting om met die bestuur van die besigheidseenhede binne die virtuële onderneming van hulp te wees, en sodoende hierdie besigheidseenhede te help om finansieël te groei en volhoubaar te ontwikkel. Aanbvelings word ook gemaak vir die toepassing van die voorgestelde struktuur binne die konteks van die 3-D Besigheidsimulator.

This study investigates international equity joint ventures (IJVs) and South African partner firm value creation at formation. In addition, it tests whether four contentious formation characteristics, namely, the geographical location of the IJV partner, the level of economic development in the IJV partner’s home country, the level of equity held by the South African firm and the industry of the South African firm, can explain when South African IJVs are value enhancing and when they are value diminishing. IJVs are a popular business mode and an important channel for infrastructure and skills investment in developing countries. However, despite their popularity and potential social benefits, these IJVs are predominantly created by the decisions of private firms to collaborate with foreign firms and governments. Consequently the preservation and development of the IJV investment channel is dependent on the encouragement of private firm IJV participation. It is at uncovering potential tools to encourage IJV participation by South African firms that IJV firm value creation becomes important because it stands as a motivator for South African firms’ involvement in IJVs. Existing literature on IJVs and partner firm value has presented conflicting evidence with support for the views that they are value enhancing, value diminishing or of no immediate consequence to their partners’ firm value. Consequently, previous research offers limited firm value support for IJVs. For South African firms considering joint ventures and national policy makers determined to promote IJVs there is a need for an investigation of South African partner IJV firm value effects. Moreover, it is also necessary to test potential explanatory variables that may help to explain when the IJVs are value enhancing and when they are not as this will inform IJV contract negotiations and how limited national government resources are used to promote IJVs. In order to assess firm value creation for South African firms this study performed event studies on IJV formation announcements from 1998 to 2011 using daily share returns from the Johannesburg Securities Exchange taking care to incorporate recent developments in the event study methodology. The study found that while the market responds to IJV announcements, its responses do not, on average, reflect that IJVs are firm value enhancing for their South African partners at formation. This stands in contrast to considerable empirical literature and IJV firm value creation theory. In addition, factoring in formation characteristics, argued to potentially help explain cases of value creation and destruction from IJVs, provided limited explanation for positive and negative wealth effectsfor South African firms entering IJVs. This result has important value for IJV participants, national economic policy makers and IJV researchers. For IJV participants and national policy makers, the results caution unfettered entry/support for IJVs and challenge the role of equity distribution in determining the value of the IJV to its partner firms. For IJV researchers, the results present new evidence questioning IJV firm value creation at formation and provide a potential explanation for the conflict in previous IJV research. The study makes four key contributions to the existing knowledge of IJV firm value creation. Firstly, it assesses IJV wealth effects for the hitherto untested South African IJVs. Secondly, in doing so it adds a new data set (South African IJVs) to the current IJV literature. Thirdly, in reviewing the literature on IJV firm value creation the study presents a disaggregated model of IJV firm value creation from which to develop IJV research and potentially solve the persistent conflict in empirical results on IJV partner wealth effects. Finally, it informs future South African IJV agreements by uncovering factors that influence and do not influence partner wealth effects for South African firms.

Cada vez mais tem sido evidenciado pela performance das empresas nos mercados financeiros que uma parcela significativa do seu valor não está vinculado aos ativos tangíveis que ela possui. Diversos estudos acadêmicos sugerem que outros ativos são responsáveis por esta geração de valor adicionado nas empresas: os ativos intangíveis. Dentre os vários ativos intangíveis que aportam valor a uma empresa, a marca tem sido destaque em diversos trabalhos. Existem evidências que marcas fortes geram valor adicionado às empresas, sendo a sua mensuração um grande desafio. Diante disso, neste estudo elaborou-se uma metodologia alternativa de mensuração do valor de marcas baseada no método do fluxo de caixa descontado. Para tal, foi desenvolvida uma ferramenta denominada Scorecard da Marca que identifica e quantifica a influência que a marca exerce na capacidade de geração de fluxos futuros de uma empresa. A metodologia alternativa foi aplicada a empresas de diferentes segmentos de mercado, a saber: Banco Itaú e Unibanco do setor de Serviços Financeiros e Perdigão e Sadia do setor Alimentício. Ficou demonstrado, pelos resultados obtidos, que a metodologia proposta captou as diferenças entre as empresas analisadas e possibilitou a mensuração do valor específico de cada uma das marcas. Assim, foi possível incorporar, de maneira mais abrangente, o impacto que as marcas agregaram aos resultados financeiros das empresas. / The performance of companies in the financial markets for the past few years has led to the conclusion that a very significant portion of their value can not be directly explained by the tangible assets they possess. Recent academic studies have suggested that the value creation in these companies are caused by the intangible assets. Amongst the various different intangible assets that help create value in companies, the brand has been focus of several studies. Empirical evidence have shown that strong brands help create added value for the companies that control them. Additionally, the identification and calculation of the value of brands has posed as a huge challenge. In this context, the main objective of this study was the development of an alternative methodology for brand valuation, based on the Discounted Cash Flow (DCF) model. In order to accomplish this objective, an instrument called Brand Scorecard was developed in order to capture the brand’s influence in the companies’ excess cash flow creation. This alternative methodology was applied to four different companies, participating in two distinct market segments. They are: Banco Itaú and Unibanco of the Financial Services segment and Perdigão and Sadia from the Food segment. The results indicate that the proposed methodology was efficient in capturing the main differences among the companies and brands. The methodology was also capable of capturing the value of the brands by identifying and isolating their relationship with the companies’ excess cash generation capacity.

An explicit solution is given for the value of a risk neutral firm with stochastic revenue facing the possibility of bankruptcy. The analysis is conducted in continuous time. Uncertainty is modeled using an Ito process and bankruptcy is modeled as an absorbing boundary. The analysis yields an ordinary differential equation with a closed form solution. The value function is used to calculate the firm's demand for high interest rate loans, showing a positive demand at interest rates which appear intuitively to be excessive. A value function is also derived for a risk neutral lender advancing funds to the firm. The borrowing and lending value functions are then used to examine various aspects of lender-borrower transactions under different bargaining structures. In a competitive lending market, the model shows that credit rationing occurs inevitably. In a monopoly lending market, the lender sets interest rates and maximum loan levels which reduce the borrower to zero profit. When a second borrower is introduced, the lender must allocate limited funds between two borrowers. A lender is shown to squeeze the smaller "riskier" borrower out of the market when the lender's overall credit constraint is tight. Under each bargaining structure, the model is also used to examine changes in the respective "salvage" recoveries of the lender and borrower on bankruptcy. Accepted: / Arts, Faculty of / Vancouver School of Economics / Graduate

Valuation é o termo em inglês para o método utilizado para determinar o preço justo a ser pago por um ativo. Existem três métodos mais conhecidos para avaliação: a avaliação pelo método de fluxo de caixa descontado, avaliação relativa e avaliação por direitos contingentes (opções reais). Este trabalho é baseado na avaliação pelo método de fluxo de caixa descontado na análise da empresa CCR, uma das maiores empresas de concessão de infraestrutura do mundo. Após analisar os demonstrativos financeiros da companhia e, efetuar uma análise do panorama do setor de exploração de rodovias, serão realizadas projeções do fluxo de caixa e, com base nestas projeções iremos elaborar a avaliação da empresa CCR visando precificar valor justo para a empresa. / Valuation is the word in english for the method used to determine the fair price to be paid for an asset. There are three methods most popular assessment: the assessment by the method of discounted cash flow, evaluation and assessment by rights quotas (real options). This work is based on the assessment by the method of discounted cash flow analysis of the company CCR, one of the largest companies to grant infrastructure of the world. After reviewing the financial statements of the company and perform an analysis of the industry landscape exploitation of highways, shall be carried out projections of cash flow and, with basenestas projections we will draw up the valuation of the company CCR aiming at establishing the fair value for the company. / MBA Executivo (especialização em Finanças) - Ibmec Business School, Rio de Janeiro, 2014. / Bibliografia: p. 23.

O presente trabalho visa calcular o valor justo da OI S/A, empresa nacional provedora de serviços de telecomunicação, por meio do modelo de avaliação de empresas conhecido com fluxo de caixa descontado. A metodologia para atingir o objetivo da pesquisa passa pelas etapas de conhecimento do negócio, análise das demonstrações financeiras, análise do ambiente de negócios, elaboração de premissas e, por fim, o cálculo do valor justo. / The present paper aims to calculate the fair value from OI S/A, a national company provider of telecommunication services, through the valuation model known as discounted cash flow. The methodology to achieve the research objective passes through the stages of business knowledge, financial statement analysis, analysis of the business environment, developing assumptions and, finally, the estimated fair value. / MBA (especialização em Finanças) - Ibmec Business School, Rio de Janeiro, 2014. / Bibliografia: p. 37-39.

CAPES / As indústrias de manufatura de produtos tangíveis buscam melhorar seu desempenho industrial frente ao cenário de intensa competição. Entretanto, o desempenho industrial está relacionado ao nível de maturidade da empresa e ao seu potencial de melhoria contínua para tornar-se um diferencial. Empresas maduras atingem seus objetivos de forma consciente e eficiente, enquanto as imaturas não atingem os resultados esperados. Para saber o que é preciso melhorar, demanda-se um diagnóstico da situação atual da empresa. Entre os modelos que permitem avaliar a maturidade de uma empresa, está o Capability Maturity Model Integration (CMMI), considerado um dos mais efetivos para a indústria de Tecnologia da Informação (TI). Como esse modelo não foi criado para a área industrial de produtos tangíveis, o objetivo desse trabalho é adaptar os termos deste modelo para esse perfil de indústria, além de desenvolver uma ferramenta para que a própria empresa possa se auto avaliar. Para isso, é apresentada uma revisão bibliográfica sobre os modelos de maturidade, formas de adaptações de termos em aplicações distintas e ferramentas de avaliação de maturidade já existentes. Com esse material, uma estratégia para a adaptação dos termos do CMMI foi desenvolvida. Visando reduzir o número de termos a serem adaptados, gerou-se um questionário composto pelos termos do modelo CMMI, o qual foi submetido à 14 profissionais e um acadêmico, no intuito de identificar os termos que demandariam adaptação. Com a identificação dos termos necessários à adaptação, vários recursos foram utilizados para garantir a efetividade da estratégia de adaptação, entre eles; mapas mentais, glossários e o auxílio de especialistas na área. Com os termos adaptados, o processo foi validado mediante novas entrevistas e novas aplicações do instrumento com os termos adaptados. Paralelamente à estratégia de adaptação, uma ferramenta web foi desenvolvida com o auxílio de um técnico de computação, incluindo os termos em português, provenientes da tradução oficial do CMMI, adaptados para a área industrial de manufatura brasileira. Entre os resultados, o trabalho apresenta a estratégia de adaptação utilizada para o CMMI, mostrando a estruturação do modelo após a adaptação, além de apresentar o desenvolvimento da ferramenta criada para a indústria avaliar sua própria maturidade de forma simples e ágil, a qual é testada por um Engenheiro de Processos, e avaliada através de um questionário de satisfação. / The tangible products manufacturing industries seek to improve their industrial performance, facing the intense competition scenario. However, the industrial performance is related to the maturity level of the company and its continuous improvement potential to result a differential issue. Mature companies achieve their goals consciously and efficiently, while the immature do not reach the expected results. To know what it demands to improve, it is necessary to diagnose the current situation of the company. Among the main models that allow the industrial maturity assessment, the Capability Maturity Model Integration (CMMI) is one of the most popular and efficient for the Information Technology Industry. Because this model was not developed for a tangible products industrial area, the objective of this study is to adapt all the original model terms to this industrial context, in addition, it is aimed a tool for a self evaluation of a manufacturing company. For this, a literature review on the maturity models, many adaptations of terms in different applications and the existing maturity assessment tools are presented. Through this material, a strategy to adapt the CMMI terms is defined. To reduce the number of terms to be adapted, a questionnaire composed by the terms of CMMI model was produced, which was submitted to 14 different professionals and one academic, in order to identify the terms that would require adaptation. Through the identification of the necessary terms to be adapted, several resources were used to guarantee the effectiveness of adaptation strategy, including: mental maps, glossaries and the expert assistance in the field. After this, the process was validated through new interviews and applications of the instrument with the adapted terms. Alongside the adaptation strategy, a web tool was developed, including the terms in Brazilian Portuguese, from the official CMMI translation, adapted to the manufacturing industrial area. Among the results, the work presents the adaptation strategy to CMMI, showing the model structure after the adaptation, and presenting the tool development to industrial maturity assessment in a simple and fast way, which is tested for a Process Engineer and evaluated through a satisfaction questionnaire.