General content: Current methods of estimation of cost of capital in the emerging markets are often neglecting various contradictions with the essentials of the model structure and assumptions. As the result of such imprecisions, the cost of equity is often understated (overstated). This thesis will attempt to assess current level of emerging market integration, liquidity and concentration. This will be followed by evaluation of traditional and alternative models for estimation of cost of equity. The author will address several currently available models such as Credit Rating Model, D-CAPM model, various versions of traditional CAPM models. Furthermore, she will compare and contrast their limitations taking into account the context of emerging markets. The testing of the models will be performed on country basis through the means of index data. In the last chapter, discussion of the results and possible improvements of the valuation approaches will take place.

This research project investigates the requirements or factors that will influence mcommerce adoption in low-income markets. The framework incorporated awareness, availability, convenience, affordability and acceptability as variables for m-commerce adoption in low-income markets. Mobile commerce is the next step in the evolution of networked computing and is the utilisation of mobile communication for financial gain. In South Africa, the fast rate of mobile technology adoption has created an access footprint for mcommerce across the country. Businesses are adopting m-commerce into their business strategies to tap into these new markets. Recently the potential commercial benefit in low-income markets is being explored by business. In South Africa the low-income market has been characterised by the foundation tier of the economic pyramid. Although this market is seen as extremely price sensitive and has little to no disposable income, the collective potential of it is considerable. The research found that certain aspects of the framework were applicable. Awareness, knowledge and acceptability were seen to have the highest association with m-commerce adoption in the low-income market. / Dissertation (MBA)--University of Pretoria, 2012. / Gordon Institute of Business Science (GIBS) / unrestricted

The obsolescing bargaining model (OBM) is the cornerstone for studying host country-MNE relations. Recent research has extended the OBM to incorporate other institutional stakeholders who participate in the multi-level, multi-party iterative political bargaining over policy issues which characterises much of the bargaining now to reflect the widespread macroeconomic changes from globalization that impinge on the model. Furthermore, the emergence of developing countries like India and China as high growthend markets has conceivably changed the nature of bargaining therein. This study adopts a triadic perspective to bargaining in EMs. The conceptualization including local MNEs addresses the lack of understanding on bargaining in EMs by suitably incorporating the institutional context which frames the triadic interplay. It focuses on the role of co-opetition by local MNEs in affecting the balance of bargaining power between host governments and foreign MNEs. Co-opetition is a strategic response by multinationals where they simultaneously compete and cooperate for mutual gains. This research enables the study to empirically challenge the assertion that the propositions of the OBM have become too dated to explain current bargaining structures. The extant literature provides the theoretical underpinnings for the development of a priori propositions which guide the empirical enquiry through a case study of the life insurance industry in India. Based on the unique insights offered through the single industry study, the analysis suggests that certain EM conditions now present the context for re- emergence of obsolescence for foreign MNEs. Furthermore, it is the evolution of the EMs’ own local MNEs who are deeply embedded in the local business culture constituting their identity as strategic insiders, who shape the development of bargaining power. Local MNEs as strategic insiders affect the foreign MNEs’ long term business prospects in EMs based on their co-opetition through an issue- area approach. Local MNEs’ existing insidership becomes the reason for both - foreign MNEs’ collaboration with them and the perpetuation of their lack of strategic insidership. It is the basis for the uneven playing field and for the deterioration in their initial bargaining power. Thus, in line with the OBM, entry bargains themselves are seen to obsolesce following the ambivalence in bargaining objectives and the sequential behaviour that both the local MNEs and the host government adopt. Co- opetition emerges as the explanatory variable while discerning the nature of emergent bargaining between governments and foreign MNEs in EMs. The application of a triadic, co-opetition perspective to bargaining is revealing andprovides original insights. An extended framework and modified propositions aredeveloped for future research. This study provides grounds for revisiting the OBM inthe context of other similar markets and for guiding future MNE strategy in EMs.

The annual Global Venture Capital and Private Equity Country Attractiveness index which is sponsored by IESE Business school, Ernest&Young and Emlyon Business School, benchmarks the attractiveness of 116 countires for receiving institutional private equity and venture capital allocations. The factors used in determining this ranking are based on the findings from a study conducted by Groh, Liechtenstein and Leiser, (2008). South Africa was ranked 26th above Brazils' 43rd for the 2010 year meaning that as per the indexes criteria's, South Africa should be more attractive desitnation for private equity and venture capital investments over Brazil, yet the aggregate private equity deal value in South Africa in 2010 was US$1.5 billion (2009:24), while Brazil ranked 11th with aggregate deal value of US$6.3 billion (2009:US$940 million, ranking 26th) for the same period (KPMG 2011; Ernst&Young 2011).The objective of this study was to gain understanding into factors that are contributing to the attractiveness of private equity investments into Brazil through the testing of the key drivers as documented by Groh et al. (2008), and incorporating the findings of Leeds (2003) and Klonowski (2011).Throught the use of semi-structured, in-depth expert interviews, this study supported earlier studies such as that by Klonowski (2011) who contributed growth in PE investements inflow to not just the population size of a country but the ability of the inhabitants of that country to drive or stimulate local demand through the purchasing power of the emerging middle class. In the case for Brazil, the norms that have applied in other emerging markets including South Africa in relation to investor and property protection rights, administrative burdens, corporate governance and the quality of legal enforcement do not apply, or at least not to the same extent as experienced in those markets. Lastly the Study established that private equity industry itself can impact attractiveness levels both positively and negatively. / Dissertation (MBA)--University of Pretoria, 2013. / Gordon Institute of Business Science (GIBS) / unrestricted

This dissertation presents the design, analysis, and validation of a hierarchical transactive control system that engages demand response resources to enhance the integration of renewable electricity generation resources. This control system joins energy, capacity and regulation markets together in a unified homeostatic and economically efficient electricity operation that increases total surplus while improving reliability and decreasing carbon emissions from fossil-based generation resources. The work encompasses: (1) the derivation of a short-term demand response model suitable for transactive control systems and its validation with field demonstration data; (2) an aggregate load model that enables effective control of large populations of thermal loads using a new type of thermostat (discrete time with zero deadband); (3) a methodology for optimally controlling response to frequency deviations while tracking schedule area exports in areas that have high penetration of both intermittent renewable resources and fast-acting demand response; and (4) the development of a system-wide (continental interconnection) scale strategy for optimal power trajectory and resource dispatch based on a shift from primarily energy cost-based approach to a primarily ramping cost-based one. The results show that multi-layer transactive control systems can be constructed, will enhance renewable resource utilization, and will operate in a coordinated manner with bulk power systems that include both regions with and without organized power markets. Estimates of Western Electric Coordinating Council (WECC) system cost savings under target renewable energy generation levels resulting from the proposed system exceed US$150B annually by the year 2024, when compared to the existing control system. / Graduate

The bottom of the pyramid (BoP) market in Africa is a significant opportunity for multinational banks. To address this banks’ need to increase their understanding of their BoP context, develop new approaches to overcome BoP obstacles, and use technology to create new commercially viable business models. The purpose of this study was to investigate how banks use co-creation with stakeholders to operate in BoP markets in Africa. The research explored how banks provide services to companies and individuals that currently do not use banks services, and acquire understanding by working with companies, individuals and other market actors to generate services that creates an infrastructure for BoP markets to ‘work’. This study addresses the gap in the research on how banks co-create in BoP markets, providing understanding of how banks’ create approaches to customers and operating models to achieve sustainable growth in BoP markets. Empirically, the study examined specific bank projects to better understand how co-creation supports banks to delivers sustainable and scalable business models. The main findings from the empirical research demonstrated positive results, strong leadership and commercial management are critical to banks operating in BoP markets in Africa; concurring with arguments put forward by Casado Cañeque and Hart (2015) and extending London and Hart’s (2010) analysis into a banking context. Research confirmed post-financial-crisis corporate governance of banks and their boards’ ability to ensure they can demonstrate their banks are well managed, and management having a detailed understanding of the operations, has created trade-offs and restrictions on how banks operate in BoP markets. No common strategies emerged to create a new business model for banking in BoP markets in Africa. No immediate significant new direction emerged for banks to overcome their business models’ legacy of inflexibility to address the needs of BoP customers. Results revealed bank proposition development approach remains generally focused on developed, rather than developing, customer contexts and regulations. The majority of BoP customers in Africa remain excluded due to cost, distance, and a lack of suitable products, as variables such as access, cost and regulation made it challenging for banks to provide compelling bank-wide propositions. BoP customers in Africa are becoming easier to access, as banks, card networks, and mobile network operators use digital technology, like mobile phones, to access BoP customer markets at lower costs than traditional business models, allowing new approaches to proposition development, such as test and learn in the field. The findings demonstrated value in co-creation via partnerships, supporting Simanis (2012), who maintained that firms are likely to be successful in BoP markets if they use existing infrastructure and local partnerships to enter BoP markets, and that pioneering work on microfinance initiatives embracing new approaches to digital technology across banking markets has led banks to reconcile the need for new approaches to BoP markets.

This thesis explores three topics relating to price transmission in economic theory. The broad aim is to understand the price adjustment processes of the domestic and export coconut markets of Sri Lanka during the 1980 to 2012 period. The three topics investigated were the changing role of coconut oil exports due to changes in the global oil markets. Second the functioning of the domestic district coconut markets and finally the impact of the tsunami 2004 on the coastal district coconut markets. The analytical framework for the study is the economic theory of the Law of One Price. The first issue was examined using cointegration, vector error correction and impulse response methodologies. To address the function of the domestic district coconut markets at wholesale, retail and vertical levels Hansen and Seo econometric model was used. To test the effects of the tsunami on the coastal district coconut markets and to assess whether “rockets and feathers” phenomenon rose as a result of the tsunami Enders and Siklos econometric model was applied. The results confirmed that cointegration pattern of vegetable oils in the international market changed with the emergence of bio fuel around 2000. Cointegration of coconut oil with other oils also did change with the emergence of biofuel. The results of the domestic market showed that Colombo market was cointegrated with district coconut markets. . The results of market structures at all levels showed mixed results with more symmetrical markets at wholesale level and more asymmetric markets at the vertical level Results of the impact of tsunami showed that markets were disrupted unevenly with highest disruption in the vertical markets due to tsunami. The tsunami does not seem to have lead to rocket and feather phenomenon.

No description available.

Práce se zabývá různými alternativami investování na kapitálových trzích a jejich zhodnocení. V práci je na příkladech demonstrována a zhodnocena možnost individuálního a kolektivního investování.

Financial unsustainability of pension systems in developed economies looms large on the horizon due to increasing life expectancy and continuous drop in fertility. In spite of a broad discussion, there has been but a little consensus on appropriate remedy. One aspect partially neglected in the literature is vulnerability of pension systems to market imperfections and economic shocks. I present three basic types of pension schemes adopted across all developed countries - pure PAYG, fully-funded, and mixed (multipillar) scheme - and examine effects of various risks -- particularly market risk, interest rate risk, investment risk, and longevity risk -- on their functioning. The analysis shows that while no pension scheme is immune to external influences, the multipillar scheme provides the best results thanks to appropriate risk diversification.