scholarly journals The DOL-DFL Nexus: The Relationship between the Degree of Operating Leverage (DOL) and the Degree of Financial Leverage (DFL)

2021 ◽  
Vol 13 (6) ◽  
pp. 71
Author(s):  
Marco A. Paganini
Keyword(s):  
Business Case ◽  
Great Effort ◽  
Stress Tests ◽  
Financial Leverage ◽  
Business Context ◽  
Robust Model ◽  
The Right ◽  
Operating Leverage ◽  
The Relationship

In the present paper, I have modelled the Degree of Operating Leverage (DOL) and the Degree of Financial Leverage (DFL) using the percentage variations of the economic quantities. I devoted a great effort to encompass the investment dynamic and its financing mix to design a robust model implementable in a business context. The relationship discovered between DOL and DFL is complex and manifold: first, it appears asymmetrical because DOL can influence DFL, but the former is unrelated to the latter. Second, there is an infra-annual relationship measurable through partial derivatives. Finally, the stress tests shed light on some long-term impacts of one-off shocks even when the steady-state conditions are restored, disclosing an inter-annual relationship. The DOL-DFL nexus appears to be negatively related, but I also discovered positive relations and unrelated conditions. As argued in the economic literature, they cannot always behave as substitutes. The mathematical DOL-DFL model developed can admit positive, negative, and unrelated relations even though management might intervene to choose the right combination. Also, the Business Case shows positive and negative relationships, both at the infra-annual and inter-annual levels. The DOL-DFL nexus depends on circumstances and management decisions. Empirical evidence should find how management uses such a nexus and how effective such decisions have been over time.

scholarly journals The trade-off theory revisited: on the effect of operating leverage

2014 ◽  
Vol 10 (1) ◽  
pp. 2-22 ◽  
Author(s):  
Kristoffer J. Glover ◽  
Gerhard Hambusch
Keyword(s):  
Negative Relationship ◽  
Direct Result ◽  
Optimal Timing ◽  
Financial Leverage ◽  
Trade Off ◽  
Content Type ◽  
Corporate Earnings ◽  
Operating Leverage ◽  
The Relationship ◽  
Negative Earnings

Purpose – The purpose of this paper is to investigate the effect of operating leverage, and the subsequent abandonment option available to managers, on the relationship between corporate earnings and optimal financial leverage, thereby providing an alternative (rational) explanation for the observed negative relationship between these two quantities. Design/methodology/approach – Working in a dynamic capital structure setting, where corporate earnings are modelled as an exogenous stochastic process, the paper explicitly adds fixed operating costs to the firm's value optimisation. This introduces a degree of operating leverage (DOL) and a non-zero value to the implicit abandonment option of the firm's manager. Solving for the firm's optimal timing and financing decisions the paper is able to derive the relationship between current corporate earnings and optimal financial leverage for a large class of earnings uncertainty assumptions. The theoretical implications are then tested empirically using a large selection of S&P 500 firms. Findings – The analysis reveals that the manager's flexibility to abandon the project introduces nonlinearities into the valuation that are sufficient to reconcile the trade-off theory with the empirically observed negative earnings/financial leverage relationship. The paper further finds theoretical and empirical evidence of a positive relationship between operating and financial leverage. Originality/value – Previous studies have used mean-reverting earnings as an explanation for the observed negative earnings/financial leverage relationship in a trade-off theory setting. The paper shows that the relationship does not need to be process specific. Instead, it is a direct result of the financial flexibility of managers.

scholarly journals Biomechanical analysis of the right elevated glenohumeral joint in violinists during legato-playing

2021 ◽  
pp. 1-10
Author(s):  
Anne-Sophie Saffert ◽  
Maximilian Melzner ◽  
Sebastian Dendorfer
Keyword(s):  
Potential Problem ◽  
Glenohumeral Joint ◽  
Elevation Angle ◽  
Biomechanical Analysis ◽  
Repetitive Movements ◽  
The Right ◽  
Violin Playing ◽  
The Relationship ◽  
Shoulder Elevation

BACKGROUND: Many statistics reveal that violin players suffer most often from musculoskeletal disorders compared to musicians of other instrument groups. A common phenomenon, especially observed in violin beginners, is the tendency to elevate the right shoulder during playing the violin. This can probably lead to serious disorders in long-term practice with repetitive movements. OBJECTIVE: For this reason, this study investigated the relationship between the right shoulder elevation and the force in the right glenohumeral joint during violin playing. It was hypothesized that the forces in the right glenohumeral joint are higher during playing with the right shoulder raised compared to playing in normal posture. METHODS: Motion capture data from four experienced violinists was recorded and processed by means of musculoskeletal simulation to get the force and elevation angle while playing with raised shoulder and in normal position. RESULTS: The results indicate that the absolute values of the resulting force, as well as the forces in the mediolateral, inferosuperior, and anteroposterior directions, are higher in playing the violin with the shoulder raised than in a normal posture. CONCLUSIONS: Elevating the right shoulder while playing the violin may pose a potential problem.

The Problem of Networked Organizations in India

2002 ◽  
pp. 320-328
Author(s):  
Gurpreet S. Dhillon ◽  
Trevor T. Moores ◽  
Ray Hackney
Keyword(s):  
Host Country ◽  
Local Economy ◽  
National Interests ◽  
The World ◽  
Engineering Corporation ◽  
The Right ◽  
Global Company ◽  
The Relationship ◽  
Networked Organizations

We present a potential misalignment that many emerging economies may face with respect to the advent of networked organizations. We argue that although it may seem that networked organizations appear to offer a viable option for the progress of a nation, a deeper analysis suggests otherwise. This will be exemplified through the case of The Engineering Corporation and its presence in India. While The Engineering Corporation does indeed provide employment to the local economy, the host country must determine the right mix of the aspects involved in the collaborative venture. If this care is not taken, there will be little benefit for the host country, thus resulting in a skewed orientation in the relationship. The globalization of work supported by telecommunications technology and the advent of “networked” organizations has produced a potential dilemma in how to balance the interests of the new global company and the long-term national interests of the country supplying the workforce. A networked organization is one that is decentralized and has regional offices that deal with part of the business operation. For instance, an IT center in one location and a sales office in another. Global decentralization is motivated primarily in order to exploit cheap, skilled labor wheresoever it is found in the world.

Long-term regulation of contractility and calcium current in smooth muscle

1997 ◽  
Vol 273 (5) ◽  
pp. C1714-C1720 ◽  
Author(s):  
Maria Gomez ◽  
Karl Swärd
Keyword(s):  
Smooth Muscle ◽  
Calf Serum ◽  
Cell Voltage ◽  
High K ◽  
Intracellular Ca ◽  
The Right ◽  
The Relationship ◽  
Cell Capacitance

Longitudinal smooth muscle strips from guinea pig ileum were cultured in vitro for 5 days, and the relationship between extracellular Ca2+ and force in high-K+ medium was evaluated. In strips cultured with 10% fetal calf serum (FCS), this relationship was shifted to the right (50% effective concentration changed by 2–3 mM) compared with strips cultured without FCS. The shift was prevented by inclusion of verapamil (1 μM) during culture and mimicked by ionomycin in the absence of FCS. The intracellular Ca2+ concentration ([Ca2+]i) during stimulation with high-K+solution or carbachol was reduced after culture with FCS, whereas the [Ca2+]i-force relationship was unaffected. Cells were isolated from cultured strips, and whole cell voltage-clamp experiments were performed. Maximum inward Ca2+ current (10 mM Ba2+), normalized to cell capacitance, was almost three times smaller in cells isolated from strips cultured with FCS. Culture with 1 μM verapamil prevented this reduction. These results suggest that increased [Ca2+]iduring culture downregulates Ca2+current density, with associated effects on contractility.

scholarly journals Sustainability Mindsets for Strategic Management: Lifting the Yoke of the Neo-Classical Economic Perspective

2020 ◽  
Vol 12 (17) ◽  
pp. 6977 ◽  
Author(s):  
Gerard Farias ◽  
Christine Farias ◽  
Isabella Krysa ◽  
Joel Harmon
Keyword(s):  
Business Strategy ◽  
Corporate Sustainability ◽  
Business Case ◽  
Future Generations ◽  
Inadequate Response ◽  
Economic Perspective ◽  
Financial Outcomes ◽  
Business Context ◽  
Classical Economic ◽  
The Right

While sustainability has attracted the attention of managers and academicians for over two decades, the macro-level indicators of sustainability are not moving in the right direction. Climate change continues to be an existential threat for humanity and other indicators of sustainability do not fare much better. The logic of the business case and the associated framing of tension between financial outcomes and sustainability have generated a limited and inadequate response to the existential challenges before humanity today. In this essay, we analyze the evolution of sustainability in the business context and call for a recognition that social and environmental outcomes must supersede economic ones in corporate sustainability thinking. We call for a widening of the spatial, temporal, and moral lenses in the formulation and execution of business strategy to ensure that it is in alignment with the needs of current and future generations of humanity and proportionate to planetary conditions.

scholarly journals FAKTOR – FAKTOR YANG MEMENGARUHI HARGA SAHAM PERUSAHAAN PERKEBUNAN DI BURSA EFEK INDONESIA TAHUN 2008-2016

2018 ◽  
Vol 8 (2) ◽  
pp. 199-211
Author(s):  
Ifan Rizky Kurniyanto ◽  
Bayu Krisnamurthi
Keyword(s):  
Stock Prices ◽  
Stock Price ◽  
Careful Consideration ◽  
Accurate Information ◽  
Plantation Company ◽  
Stock Market Investors ◽  
The Right ◽  
Relationship Of ◽  
The Relationship

Capital markets allows the plantation companies to obtain long-term sources of funding for business expansion. To Invest in the stock market investors require careful consideration of accurate information to determine the relationship of variables that cause the fluctuation of the company's stock price to be purchased. Knowing the influence of these variables, investors can choose a strategy to determine the right company as a place to invest. The purpose of this study is to analyze technically and fundamentally shares of plantation companies that have been listed on the BEI in period of 2008-2016. Research method using panel data and Ipot Ultima. The results of this study showed that through fundamental analysis it is known that ROA, Inflation, Exchange Rate, and BI Rate and AR1 have a significant influence (Pvalue <0.05) on stock prices while CR, DER, TOTA, PER, NPM have no significant effect on stock price plantation. Through technical analysis it is known that the movement of plantation company in MA 3025 is sideway.

scholarly journals LAWTON’S THEORY OF PERSON-ENVIRONMENT FIT: THEORETICAL FOUNDATIONS FOR DETECTING TIPPING POINTS

2019 ◽  
Vol 3 (Supplement_1) ◽  
pp. S597-S597
Author(s):  
Janice D Crist ◽  
Cheryl Lacasse ◽  
Linda R Phillips ◽  
Jian Liu
Keyword(s):  
Older Adults ◽  
Tipping Points ◽  
Social Environments ◽  
Environmental Press ◽  
Person Environment Fit ◽  
The Right ◽  
Health Cognition ◽  
The Relationship ◽  
Theoretical Foundations

Abstract Caregiving families often experience “tipping points,” changes that forever alter their lives, such as a fall with a fractured femur. Tipping points for older adults can be conceptualized as an interaction between individuals and their environments. According to Lawton’s theory of person-environment fit (Lawton, 1983, 1985), physical and social environments and the person’s behavior are shaped by one another in a dynamic, ever-changing process. For older adults, the relationship between “environmental press,” or the mismatch between the person and his/her environment, and adaptation to that environment is mediated through one’s ability to cope. When stressors in health, cognition, or caregiver availability occur, environmental press may heighten, leading to a tipping point. In this paper the authors clarify how environmental press theory provides a foundation for studying early detection of impending tipping points and facilitating decisional support of families for choosing the right long-term support services at the right time.

scholarly journals The Legacy of the Right to Buy and the Differentiation of Older Home Owners

2019 ◽  
Vol 19 (2) ◽  
pp. 225-241 ◽  
Author(s):  
Vikki McCall ◽  
Madhu Satsangi ◽  
Corinne Greasley-Adams
Keyword(s):  
Older Age ◽  
Policy Support ◽  
Ageing In Place ◽  
Future Policy ◽  
Views And Perceptions ◽  
Long Term Impact ◽  
The Right ◽  
The Relationship ◽  
Right To Buy

This article explores older owner occupiers in lower value properties who, having acquired their home through the Right to Buy (RTB) in the 1980s, are now experiencing housing-related challenges in older age. This article outlines the views and perceptions of older owner occupiers, social landlords, voluntary groups and housing organisations to explore the legacy of the RTB. Current and future policy challenges in the area include the differentiation of home owners, difficulties of selling property with low equity in older age and the relationship between health and housing. This article calls to widen the analysis of the long-term impact of the RTB to owner occupiers in lower value properties and notes that ‘ageing in place’ goes beyond looking at people’s current house to the linked housing choices available to them. We recommend that policy support be extended to older home owners to increase housing choice in older age.

scholarly journals Consumer protection in financial institutions

2021 ◽  
Vol 29 (2) ◽  
pp. 173-183
Author(s):  
Suwinto Johan ◽  
Ariawan Ariawan
Keyword(s):  
Financial Institutions ◽  
Consumer Protection ◽  
Financial Industry ◽  
Loan Repayment ◽  
The Right ◽  
Relationship Of ◽  
The Relationship ◽  
Two Sides ◽  
Judicial Method

The relationship between financial institutions and customers is like two sides of a coin. On one hand, it is mutually beneficial, but on the other hand, this relationship can lead to mutual harm. Customers of financial institutions have a medium for a long-term relationships. Consumers of financial institutions generally have an average relationship of 24 months. Consumers make loan payments according to the agreed time. Customers will be able to get the right to the collateral if the loan has been paid. Conversely, if customers are unable to pay the installments on time, financial institutions will repose the collateral. From the inception of the loan to the repayment of the loan, the relationship between customers and financial institutions experiences several conditions. This research uses a normative judicial method, aiming to analyze consumer protection of non-bank financial institutions based on the existing laws and regulations. This research will focus on consumer protection from the start of the standard agreement, the fees or expenses charged, to the loan repayment mechanism. This research concludes that the protection of consumers of non-bank finance companies, especially finance companies, is still very weak. Consumer protection for finance companies, especially non-banks, has not been fully accommodated in the existing Consumer Protection Law. Therefore, the authority needs to issue a regulation in protecting the consumer in the financial industry.

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