scholarly journals Financial Flexibility as an Investment Efficiency Factor in Asian Companies

2018 ◽  
Vol 20 (2) ◽  
pp. 137 ◽  
Author(s):  
Victoria Cherkasova ◽  
Evgeny Kuzmin
Keyword(s):  
Investment Efficiency ◽  
Small Companies ◽  
Investment Activity ◽  
Financial Flexibility ◽  
Investment Expenditure ◽  
Institutional Economic ◽  
The Difference ◽  
Debt Capacity ◽  
The Impact ◽  
Capacity Method

This study explores the impact of a company’s financial flexibility on the effectiveness of its investments.The number of companies that have financial flexibility was calculated with the application of thespare debt capacity method. The research identifies the impact of financial flexibility on investment activity and on the level of suboptimal investments. The data from 1,736 companies in theAsian region, during the 2005-2015time period, are presented. The Asian region has unique institutional, economic and commercial environments that present a great basis for this paper. The results of the research reveal that financially flexible companies spend more on their investment expenditure and conduct more effective investment policiesby reducing the level of over- and underinvestment. Financial flexibility helps companies to make effective investments during a crisis period, but the difference in the flexibility between developed and developing countries and between large and small companies was not observed.

scholarly journals The Impact of Monetary Policy Shocks on Corporate Dynamic Investment Activity With Financial Heterogeneity

SAGE Open ◽  
2021 ◽  
Vol 11 (1) ◽  
pp. 215824402098868
Author(s):  
Mahbuba Aktar ◽  
Mohammad Zoynul Abedin ◽  
Anupam Das Gupta
Keyword(s):  
Monetary Policy ◽  
Investment Efficiency ◽  
Cash Holding ◽  
Monetary Policy Shocks ◽  
Investment Activity ◽  
Public Firms ◽  
Study Approach ◽  
Policy Shocks ◽  
Monetary Policy Shock ◽  
The Impact

This article assesses the differential reactions of firms’ investment to monetary policy shocks based on various financial heterogeneity measures, such as leverage and cash holdings. It applies U.S. public firms’ panel data from the sample period 1990Q1 to 2007Q4 and high-frequency event-study approach. Low-leverage and high cash holding firms react more to monetary policy shocks explaining the different investment activities. For the high-leverage and low cash holding firms, the two monetary policy shock variable interactions are statistically insignificant. However, they are statistically significant for the low-leverage and high cash holding firms. During a contractionary monetary policy period, higher cash holding firms improve investment efficiency. This article strengthens the literature of corporate investment behavior which can assist advance and optimize macrocontrol policies.

scholarly journals MODERN MODEL FOR ASSESSING THE EFFICIENCY OF INVESTMENTS ATTRACTED IN RAILWAY TRANSPORT

2020 ◽  
Vol 2020 (1) ◽  
pp. 34-42
Author(s):  
M Saitkamolov ◽  
◽  
Z Gaibnazarova ◽  
J Cowie
Keyword(s):  
Economic Efficiency ◽  
Return On Investment ◽  
Economic Effect ◽  
National Income ◽  
Railway Transport ◽  
Investment Activity ◽  
Multiplier Effect ◽  
The Difference ◽  
The Republic ◽  
The Impact

The article analyzes the modern model for evaluating the improvement of investment activity efficiency and provides conclusions on the level of development of the current state of railway transport in the Republic of Uzbekistan. The economic effect of intensive investments is the equivalent of the costs and benefits of the difference between the result and the costs of achieving it. The economic efficiency of intensive investments is defined as the ratio of investment costs to achieving a profitable result (economic effect). The indicators characterizing the economic efficiency of intensive investments: the integrated effect, the need for additional financing, the internal rate of return, the intensive return on investment ratio, the intensive return on investment index, the innovation ratio, investment in human resources, and the effectiveness of modern corporate governance. will be included. The multiplier effect in which a set of multipliers reflects changes in production volumes, investments and industry characteristics. Analysis of specific activities shows the impact of growth indicators, given its contribution to the dynamics of the economy. An increase in investment costs will lead to an increase in production and income. This interaction is explained by the multiplier effect. The concept of the multiplier means "multiplier". The essence of the multiplier effect is that an increase in investment will lead to greater growth in national income.

scholarly journals INFLUENCE OF INVESTMENT ACTIVITY ON INDICATORS OF ENTERPRISE DEVELOPMENT

2021 ◽  
Author(s):  
Olexandr Pankov ◽  
Keyword(s):  
Impact Analysis ◽  
Enterprise Management ◽  
Investment Efficiency ◽  
Economic Competition ◽  
Absolute Size ◽  
Investment Activity ◽  
Investment Projects ◽  
Goods And Services ◽  
Enterprise Management System ◽  
The Impact

Investment activity is central to economic process and determines the overall economic growth of the enterprise. As a result investment increases production volumes, income is growing, evolving and moving forward in economic competition between industry and enterprise, who came forward in the competition and in most meet the demand for one or another goods and services. Received income in part again accumulates and increases, occurs further expansion of production that leads to the prosperity of the enterprise. This the process is repeated continuously. So, investment activity itself causes growth extended playback generated by income account as a result of its effective distribution. At the same time the more effective investment activity, the greater the growth of income, the greater the absolute size accumulation of cash of the enterprise, which can be re-invested in production. At high enough investment efficiency activity income growth can provide increasing the share of accumulation at full consumption growth. Investment impact analysis activities on the efficiency of production, financial and further development of the enterprise is final in order to determine the degree of impact of the implemented investment projects and innovations. However, during the analysis it is important to identify trends in the scale of the impact of implemented investment projects and innovations on change generalizing and private indicators that characterize the efficiency of production, financial and investment activities of the enterprise as a whole. As shown by the analysis of literature sources from issues of investment activity and its impact on development of economic activity of enterprises, on today there is no single approach of the authors to relationship between development factors and components of the enterprise management system. IN during the study of the problem, the impact was identified investment activity as one of the components enterprise management systems, production and financial activities identified and systematized main factors limiting development investment activities in modern enterprises conditions.

scholarly journals Family Firms and the Choice of Payment Method in Domestic and International Acquisitions

2014 ◽  
Vol 18 (4) ◽  
pp. 107-124 ◽  
Author(s):  
Houssam Bouzgarrou ◽  
Patrick Navatte
Keyword(s):  
Market Integration ◽  
Family Firms ◽  
International Acquisitions ◽  
Financial Flexibility ◽  
Family Control ◽  
Cash Payment ◽  
Debt Capacity ◽  
Control Enhancing Mechanisms ◽  
The Impact

This paper investigates the impact of family control on domestic and international acquisition’s payment. This effect is important to understand since it will underpin all the future financial flexibility of the merged firms in a context of accelerating international market integration. We find that the percentage of cash payment in acquisitions is positively associated with family voting rights, but we highlight that family wedge is negatively associated with cash payment, which indicates the important role of control-enhancing mechanisms. Dilution risk is crucial at an intermediate level of control, since this relationship is nonlinear. Moreover, we show that both unused debt capacity and the increase in debt capacity are used by family firms to finance the relevant deals, but that these firms become overleveraged after merging, losing some financial flexibility in exchange for equity control purposes.

scholarly journals THE IMPACT OF INVESTMENT CLIMATE AND FINANCIAL ANALYSIS IMPLICATIONS IN MAKING INVESTMENT DECISIONS

2019 ◽  
Vol 129 (6) ◽  
pp. 143-152
Author(s):  
Olena V. Arefieva ◽  
Iryna M. Miagkyh ◽  
Nadiia V. Solovei
Keyword(s):  
Financial Management ◽  
Financial Analysis ◽  
Investment Decisions ◽  
Critical Element ◽  
Investment Efficiency ◽  
Investment Climate ◽  
Enterprise Development ◽  
Development Trends ◽  
Investment Activity ◽  
The Impact

The paper attempts to expose the most favourable conditions for domestic enterprises to be to competitive in manufacturing and selling of competitive goods and products and thus have prospects for further effective development. The study provides insights into the economic nature of enterprise financial management basics as well as explores the processes of financial and economic activities to reveal the key indicators dynamics for production and sales, product supply patterns, to measure the effects from external and internal factors of change over a certain period, to identify the reasons for change and justify the enterprise development trends, together with building pathways to boost the enterprise performance. A thorough study on the roots of investment, investment activity, investment attractiveness and the factors that affect the stability of enterprise business development and investment activity enhancement have been conducted. The findings also present the results of an in-depth study on the investment climate specifics and impact factors that shape the investment climate in Ukraine. The analysis of investment attractiveness of the national businesses and the factors affecting alternative investment projects have been performed. Based on the research results, the paper offers a generalized investment solutions framework as well as suggests the criteria that facilitate effective investment decision making. In this study, financial analysis is viewed as a critical element within the overall crisis management system to ensure investment efficiency and identify enterprise development trends as well as the reasons for change and to be able to justify the enterprise further development prospects. The conclusions provide recommendations for making effective investment decisions.

scholarly journals How does public investment support change the capital structure and productivity of small enterprises? An empirical study of the food industry

2018 ◽  
Vol 21 (8) ◽  
pp. 1045-1059 ◽  
Author(s):  
Jindřich Špička
Keyword(s):  
Public Investment ◽  
Labour Productivity ◽  
High Growth ◽  
Average Treatment Effect ◽  
Small Enterprises ◽  
Small Companies ◽  
Rural Development Programme ◽  
Food And Beverage ◽  
The Difference ◽  
The Impact

The impact evaluations of public investments are essential for policymakers to evaluate the effectiveness of public resource allocation. European public investment subsidies target small companies to enhance their competitiveness and viability in the market. This article uses the average treatment effect and the difference-in-difference approach to evaluate the impacts of investment support from the Rural Development Programme and the Operational Programme Enterprise and Innovation on structural and economic indicators of small enterprises. This representative case study of 550 supported small companies from the Czech food and beverage industry during 2007-2015 clearly shows that investment subsidies increase the fixed assets, the credit-to-debt ratio and the labour productivity of supported companies versus nonparticipants. However, the discussion with recent studies indicates that this is not always positive for participants since high growth versus nonparticipants could result in crowding-out effects and increasing long-term and short-term debt that negatively impact technical efficiency.

Evaluation of the impact of public investment programs on social and economic performance of territories

2019 ◽  
pp. 109-123
Author(s):  
I. E. Limonov ◽  
M. V. Nesena
Keyword(s):  
Bayesian Modeling ◽  
Positive Impact ◽  
Public Investment ◽  
Difference In Differences ◽  
The Public ◽  
Export Activity ◽  
Regional Investment ◽  
The Difference ◽  
The Impact ◽  
Development Institution

The purpose of this study is to evaluate the impact of public investment programs on the socio-economic development of territories. As a case, the federal target programs for the development of regions and investment programs of the financial development institution — Vnesheconombank, designed to solve the problems of regional development are considered. The impact of the public interventions were evaluated by the “difference in differences” method using Bayesian modeling. The results of the evaluation suggest the positive impact of federal target programs on the total factor productivity of regions and on innovation; and that regional investment programs of Vnesheconombank are improving the export activity. All of the investments considered are likely to have contributed to the reduction of unemployment, but their implementation has been accompanied by an increase in social inequality.

The Use of Multimedia and its Impact on Bangladeshi EFL Learners at Tertiary Level

2020 ◽  
Vol 4 (2) ◽  
pp. 150
Author(s):  
Farzana Sharmin Pamela Islam
Keyword(s):  
Language Learning ◽  
Academic Writing ◽  
Teaching And Learning ◽  
English Language ◽  
Capital City ◽  
Tertiary Level ◽  
Language Classroom ◽  
The Difference ◽  
The Government ◽  
The Impact

As 21st century is the era of modern technologies with different aspects, it offers us to make the best use of them. After tape recorder and overhead projector (OHP), multimedia has become an important part of language classroom facilities for its unique and effective application in delivering and learning lesson. Although in many parts of Bangladesh, a South Asian developing country, where English enjoys the status of a foreign language, the use of multimedia in teaching and learning is viewed as a matter of luxury. However, nowadays the usefulness and the necessity of it are well recognized by the academics as well as the government. The study aims to focus on the difference between a traditional classroom void of multimedia and multimedia equipped classrooms at university level by explaining how multimedia support the students with enhanced opportunity to interact with diverse texts that give them more in-depth comprehension of the subject. It also focuses on audio-visual advantage of multimedia on the students’ English language learning. The study has followed a qualitative method to get an in-depth understanding of the impact of using multimedia in an English language classroom at tertiary level. For this purpose, the data have been collected from two different sources. Firstly, from students’ written response to  an open ended question as to their comparative experience of learning  lessons with and without multimedia facilities; and secondly, through  observation of English language classes at a private university of Dhaka, the capital city of Bangladesh. The discussion of the study is limited to  the use of multimedia in English language classroom using cartoons, images and music with a view to enhance students’ skills in academic writing, critical analysis of image and critical appreciation of music. For this purpose, cartoons in English language, images from Google and music from You Tube have got focused discussion in this paper.

Case study: Prediction and field tests of railway noise and effects of a low-height noise barrier

2020 ◽  
Vol 68 (4) ◽  
pp. 303-314
Author(s):  
Yuna Park ◽  
Hyo-In Koh ◽  
University of Science and Technology, Transpo ◽  
University of Science and Technology, Transpo ◽  
University of Science and Technology, Transpo ◽  
...  
Keyword(s):  
High Speed ◽  
Field Tests ◽  
Residential Areas ◽  
Railway Systems ◽  
Railway Noise ◽  
Sound Levels ◽  
Noise Barrier ◽  
The Difference ◽  
Reduction Effect ◽  
The Impact

Railway noise is calculated to predict the impact of new or reconstructed railway tracks on nearby residential areas. The results are used to prepare adequate counter- measures, and the calculation results are directly related to the cost of the action plans. The calculated values were used to produce noise maps for each area of inter- est. The Schall 03 2012 is one of the most frequently used methods for the production of noise maps. The latest version was released in 2012 and uses various input para- meters associated with the latest rail vehicles and track systems in Germany. This version has not been sufficiently used in South Korea, and there is a lack of standard guidelines and a precise manual for Korean railway systems. Thus, it is not clear what input parameters will match specific local cases. This study investigates the modeling procedure for Korean railway systems and the differences between calcu- lated railway sound levels and measured values obtained using the Schall 03 2012 model. Depending on the location of sound receivers, the difference between the cal- culated and measured values was within approximately 4 dB for various train types. In the case of high-speed trains, the value was approximately 7 dB. A noise-reducing measure was also modeled. The noise reduction effect of a low-height noise barrier system was predicted and evaluated for operating railway sites within the frame- work of a national research project in Korea. The comparison of calculated and measured values showed differences within 2.5 dB.

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