| Description |
1 online resource (xvii, 224 pages) |
| Series |
Palgrave Macmillan finance and capital market series |
|
Finance and capital markets.
|
| Contents |
List of Figures and Tables -- Preface -- Acknowledgements -- -- Introduction -- The external environment -- Strategy, value and risk -- References -- -- THE EVOLUTION OF STRATEGY, VALUE AND MEASURING RISK -- -- Strategy -- Innovation and the entrepreneur -- The evolution of industry sectors -- From corporate planning to shareholder value -- Strategy and value -- Appendix -- The classification of industry sectors References -- -- Value -- Overview -- The accounting foundations -- Stocks and flows -- Ratio analysis -- Investments -- References -- -- Risk -- Investment risk -- Why manage risk -- Defining and measuring risk -- The risk drivers -- Value and risk -- References -- -- THE ANALYSIS OF PERFORMANCE AND INVESTMENTS -- -- The Analysis of Performance -- Valuation -- Firm -- Asset -- Debt -- Equity -- Residual earnings -- Free cash flows -- Pro forma analysis -- References -- -- The Analysis of Investments -- Introduction -- A corporate software upgrade -- An energy natural gas power plant -- Pharmaceutical research and development -- Growth, adaption and continuity -- Firm abandonment -- The sale of corporate real estate assets References -- -- QUANTITATIVE ANALYTICS AND METHODS -- -- Data Analysis -- Data and information -- Time series analysis -- Volatility -- The lognormal distribution -- Which volatility? -- References -- -- Derivatives -- Futures, forwards and options -- The replicating portfolio and risk-neutral valuation References -- -- Option Pricing Methods -- A model for asset prices -- The Black-Scholes formula -- Numerical techniques -- References -- -- Implementing Derivative Models -- Spot price models -- Forward curve models -- Alternative real options methods -- Model risk -- Real option portfolios and complex payoffs References -- -- Conclusion and Practical Implications Index |
| Summary |
The final quarter of the twentieth century witnessed the beginnings of a transformation - the decline of the industrial economy and rise of the information economy. Innovations in information technology facilitated the globalization of markets, production and capital markets, which spurred competition across business and finance. This transformation has created a global economy that is increasingly centered around the knowledge infrastructure, new business models, intangible assets and services, open innovation and network economies. Strategy as a search for value is the discovery and development of sources of profitability to maximize firm value. Regardless of the trends in the global economy, the central management issue is still the same. To achieve sustainable shareholder value, firms have to simultaneously deliver on operations in the short-term, while investing in the long-term to maintain continuity. Strategy, Value and Risk: A Guide to Advanced Financial Management examines this issue within the context of innovation, the evolution of industry sectors, and financial analysis, corporate finance, quantitative finance and risk management concepts. The short-term is addressed within the context of financial statement analysis and forecasts, stocks and flows, and ROCE and ROIC ratios. The long-term is examined using investment analysis techniques that include advanced accounting, DCF, ENPV and real options, a corporate finance concept that applies financial options theory to real assets using quantitative and derivative methods. These techniques are applied to real assets within the context of strategy in case studies that cover corporate IT, energy, pharmaceutical drug development, climate-change and growth, media and abandonment, and commercial real estate to illustrate the concepts and issues. This 3rd Edition features new strategy and analysis of performance sections, and updated introduction, value, risk and case study sections, that together provides a framework to examine the interrelationships between strategy, value and risk |
|
Strategy, Value and Risk: A Guide to Advanced Financial Management examines this issue within the context of innovation, the evolution of industry sectors, and financial analysis, corporate finance, quantitative finance and risk management concepts. The short-term is addressed within the context of financial statement analysis and forecasts, stocks and flows, and ROCE and ROIC ratios. The long-term is examined using investment analysis techniques that include advanced accounting, DCF, ENPV and real options, a corporate finance concept that applies financial options theory to real assets using quantitative and derivative methods. These techniques are applied to real assets within the context of strategy in case studies that cover corporate IT, energy, pharmaceutical drug development, climate-change and growth, media and abandonment, and commercial real estate to illustrate the concepts and issues. This 3rd Edition features new strategy and analysis of performance sections, and updated introduction, value, risk and case study sections, that together provides a framework to examine the interrelationships between strategy, value and risk |
| Notes |
Previous edition: 2009 |
| Bibliography |
Includes bibliographical references and index |
| Notes |
Print version record |
| Subject |
Options (Finance)
|
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Risk management.
|
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Corporations -- Finance.
|
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Corporations -- Finance -- Decision making
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Risk Management
|
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risk management.
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BUSINESS & ECONOMICS -- Finance.
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Corporations -- Finance
|
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Corporations -- Finance -- Decision making
|
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Options (Finance)
|
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Risk management
|
| Form |
Electronic book
|
| ISBN |
9780230392687 |
|
0230392687 |
|
1299779212 |
|
9781299779211 |
|
9780230392670 |
|
0230392679 |
|
