Showing papers by "European Business School London published in 2006"
TL;DR: In this article, financial theory, access to deal flow, selection, and monitoring skills are used to explain syndication in venture capital firms in six European countries, and portfolio management motives are more important for syndication than individual deal management motives.
Abstract: Financial theory, access to deal flow, selection, and monitoring skills are used to explain syndication in venture capital firms in six European countries. In contrast with U.S. findings, portfolio management motives are more important for syndication than individual deal management motives. Risk sharing, portfolio diversification, and access to larger deals are more important than selection and monitoring of deals. This holds for later stage and for early stage investors. Value adding is a stronger motive for syndication for early stage investors than for later stage investors, however. Nonlead investors join syndicates for the selection and value-adding skills of the syndicate partners.
248 citations
TL;DR: In this article, the authors identify institutional failure as the root cause for underdevelopment and susceptibility to disasters and explore their interdependent relationship, and identify accountability, participation, predictability and transparency as the key features of a governance structure that fosters development and supports risk reduction.
Abstract: This paper identifies institutional failure as the root cause for underdevelopment and susceptibility to disasters and explores their interdependent relationship. It is demonstrated that only if a country’s governance structure enables the implementation and enforcement of public policies conducive to a country’s economic and social development can sustainable livelihoods be achieved and susceptibility to disasters be reduced. Accountability, participation, predictability and transparency are identified as the key features of a governance structure that fosters development and supports risk reduction.
220 citations
TL;DR: In this paper, the authors present an explicit definition of the term offshoring along the dimensions of contractual/legal arrangement and geographic location, and analyse the driving forces of off-shoring on the environmental and company levels.
178 citations
TL;DR: In this article, a new approach and set of standard measures to assess boards' effectiveness in strategy execution is developed, based on insights from strategy process research, and they suggest taking "strategy consistency" between a firm's resource allocation and its announced strategy as a proxy for board's effectiveness in guiding strategy execution, which contributes to extant research by going beyond structural governance issues and paying direct attention to strategic governance issues.
Abstract: Subsequent to a host of corporate corruption scandals, boards of directors are facing amplified pressure from investors, creditors and shareholders in a bid to ensure effective corporate governance of their investments. In previous research and public debate, the effectiveness of corporate governance structures has come under close scrutiny. However, boards' effectiveness in fulfilling their strategic role by guiding strategy execution mostly has been left unaddressed. Due to the high degree of secrecy and sensitivity of strategy issues, boards' effectiveness in guiding strategy execution is much more difficult to assess externally compared to structural governance issues. Against the backdrop of these difficulties and based upon insights from strategy process research, we suggest taking "strategy consistency" between a firm's resource allocation and its announced strategy as a proxy for boards' effectiveness in guiding strategy execution. In doing so, the paper contributes to extant research by going beyond structural governance issues and paying direct attention to strategic governance issues. Specifically, the paper develops a new approach and set of standard measures to assess boards' effectiveness in strategy execution.
150 citations
TL;DR: In this article, the authors analyse the Zitations-and Kozitations-strukturen in 643 Beitragen zu Controllingthemen, which im Zeitraum von 1970 bis 2003 in sechs fuhrenden wissenschaftlichen Zeitschriften im deutschen Sprachraum veroffentlicht wurden.
Abstract: Controlling ist eine vergleichsweise junge Teildisziplin der Betriebswirtschaftslehre, die sich mittlerweile in Praxis und Wissenschaft etabliert hat. Das Wissen uber seine Entwicklung ist in weiten Teilen noch unscharf und weitgehend durch „anecdotal evidence” bestimmt. Die Autoren verfolgen daher in ihrem Aufsatz das Ziel, einen Beitrag zum besseren Verstandnis der Strukturen und Entwicklung der deutschsprachigen Controllingforschung zu leisten. Hierfur analysieren sie die Zitations-und Kozitationsstrukturen in 643 Beitragen zu Controllingthemen, die im Zeitraum von 1970 bis 2003 in sechs fuhrenden wissenschaftlichen Zeitschriften im deutschen Sprachraum veroffentlicht wurden. Diese Beitrage enthalten insgesamt 18.125 Quellen. Im Ergebnis der Analysen zeigt sich, dass das Zitierverhalten in der Controllingforschung im Vergleich zu anderen betriebswirtschaftlichen Teildisziplinen durch eine Reihe von Besonderheiten gepragt ist und dass sich die Strukturen der deutschsprachigen Controllingforschung uber die Zeit stark verandert haben.
52 citations
TL;DR: This article showed that abnormal stock price returns around the date of open market repurchase announcements are four times higher in Germany than in the USA (12 ver. 3%) and hypothesize that this observation can be explained by national differences in repurchase regulations.
Abstract: This paper shows that abnormal stock price returns around the date of open market repurchase announcements are four times higher in Germany than in the USA (12 ver. 3%). We hypothesize that this observation can be explained by national differences in repurchase regulations. Our empirical evidence indicates that German managers primarily buy back shares to signal an undervaluation of their firm. We demonstrate that the stringent repurchase process prescribed by German law attributes a higher credibility to undervaluation signals than do the lax US regulations, and thereby corroborates our hypothesis.
48 citations
TL;DR: In this article, the authors proposed a real estate risk premium based on corporate theory, which states that investment decisions are best made with a hurdle rate that is adjusted for each investment's risks.
Abstract: Executive Summary. Corporate theory states that investment decisions are best made with a hurdle rate that is adjusted for each investment's risks. Although determining a real estate risk premium h...
38 citations
TL;DR: In this article, the authors analyzed the short-run and long-run performance of the largest 100 German firms that experienced monthly stock price changes of more than ±20% between 1990 and 2003.
35 citations
TL;DR: In this article, the authors examine the neglected area of internationalisation by VCs and show that the decision of a European VC firm to invest internationally is driven by its human resources.
Abstract: We examine the neglected area of internationalisation by VCs. Using a representative sample of 195 VCs, we show that the decision of a European VC firm to invest internationally is driven by its human resources. Having more VC executives in general and more VC executives with previous international experience in specific, results in a higher probability of investing internationally. In contrast, more VC executives with experience in the VC industry or with an engineering background lead to a higher probability of remaining domestic.
33 citations
Book•
26 Jul 2006TL;DR: The third edition of British Culture as discussed by the authors is the complete introduction to culture and the arts in Britain today, and it is an engaging analysis of contemporary life and arts and, together with its companion website (www.routledge.com/cw/christopher), is essential reading for every student of modern Britain.
Abstract: This third edition of British Culture is the complete introduction to culture and the arts in Britain today. Extensively illustrated and offering a wider range of topics than ever before, David P. Christopher identifies and analyses key areas in language, literature, film, TV, social media, popular music, sport and other fields, setting each one in a clear, historical context.
British Culture enables students of British society to understand and enjoy a fascinating range of contemporary arts through an examination of current trends, such as the influence of business and commerce, the effects of globalization and the spread of digital communications. This new edition features:
fully revised and updated chapters analyzing a range of key areas within British culture
new chapters on cyberculture, heritage and festivals
extracts from novels and plays.
This student-friendly edition also strengthens reading and study skills through follow-up activities, weblinks and suggestions for further research.
David P. Christopher's book is an engaging analysis of contemporary life and arts and, together with its companion website (www.routledge.com/cw/christopher), is essential reading for every student of modern Britain.
29 citations
04 Jan 2006
TL;DR: To what extent knowledge management technologies support and improve the technology forecasting process to face the aforementioned problems successfully is investigated and a characterization scheme is developed which works as a framework for the subsequent evaluation ofknowledge management technologies and applies to a real world case.
Abstract: Todays business environment is characterized by highly transparent markets and global competition. Technology life cycles are decreasing due to the fast pace at which development of new technologies is progressing. To compete in this environment, it is necessary to identify upcoming innovations and trends as early as possible to decrease uncertainty, implement technology leadership, and create competitive advantage. In a parallel development, the amount of information available is already vast and increasing daily. With a growing number of features for innovation in technology, each contributing a new need for analysis, technology forecasting has become increasingly challenging. The goal of our paper is to investigate to what extent knowledge management technologies support and improve the technology forecasting process to face the aforementioned problems successfully. Consequently, we will develop a characterization scheme which works as a framework for the subsequent evaluation of knowledge management technologies and apply this to a real world case.
TL;DR: The authors analyzes the performance and diversification characteristics of European public real estate markets and finds that real estate has added significantly to overall portfolio outcomes in terms of increasing return and decreasing risk.
Abstract: This work analyzes the performance and diversification characteristics of European public real estate markets. There are three overall findings and one key observation. First, real estate has added significantly to overall portfolio outcomes in terms of increasing return and decreasing risk. Second, as found by others, real estate is a low beta investment and performs well during periods of market change - it was especially useful during the general market adjustment in 2000. Third, European real estate has performed very strongly since the 2000 stock market decline. Finally, our assessment of why there is not more real estate in institutional portfolios requires an answer beyond examining just risk and return measures. This report will show that public real estate markets have provided strong performance for investors and warrant consideration for inclusion in institutional portfolios. Given these desirable characteristic it is likely that other features of the sector may have impacted on desired asset allocation (e.g liquidity, small market capitalisations, etc). Hence, the question of why institutions do not hold more real estate, is not about the attributes of return and risk per se, but about its legal form of ownership and the lack of market depth in terms of trading.
TL;DR: In this paper, the authors introduce three different course formats for teaching management consulting at the university and analyze the effectiveness of these course designs in raising the self-confidence of participants to cope with the kind of tasks typically faced by entry-level management consultants.
Abstract: In this article, the authors introduce 3 different course formats for teaching management consulting at the university. On the basis of data from self-evaluation questionnaires from 159 students, the authors analyze effectiveness of these course designs in raising the self-confidence of participants to cope with the kind of tasks typically faced by entry-level management consultants. Despite differences in their design and format, the 3 consulting course types show similar effects in terms of the increase in self-confidence levels reported by students.
TL;DR: It is found that the magnitude of the coefficients on high school grades decreases over the 2-year period, and this decline is statistically significant, Nevertheless, high-school grades remain the most important predictors of the students' performance throughout the period studied here.
Abstract: In this article, the author analyzes the intertemporal consistency of high school grades as predictors of the academic performance of business administration students over a 2-year period by using data from a university in Germany. This study shows how students' average high school grades and a range of other factors are regressed on the students' grade performance at regular half-year intervals during their participation in the program. The author applies a bootstrapping procedure to analyze changes in the regression estimators over time and finds that the magnitude of the coefficients on high school grades decreases over the 2-year period, and this decline is statistically significant. Nevertheless, high-school grades remain the most important predictors of the students' performance throughout the period studied here.
TL;DR: This paper examined the behavior of the excess returns of publicly-listed real estate firms whose shares are traded in Japan, Taiwan, Hong Kong, South Korea, Singapore, and Thailand in widely-varying market situations.
Abstract: This study examines the behavior of the excess returns of publicly-listed real estate firms whose shares are traded in Japan, Taiwan, Hong Kong, South Korea, Singapore, and Thailand in widely-varying market situations. The results indicate that the publicly-traded stocks of real estate firms in these markets, apart from Taiwan, do not exhibit excess return behavior. In addition, with the exception of South Korea, the risk characteristics of exchange-listed real estate firms are found to vary with differences in market conditions. We also demonstrate that there was no structural shift in return behavior around the Asian crisis.
01 Jan 2006
TL;DR: In this paper, the authors investigated the constructs of market orientation and entrepreneurial orientation on a factor, dimensional and full measurement level and clarified the interconstruct relation using reviewed measures from the works of Kohli et al. (1993), as well as Covin and Slevin (1986; 1991) and Lumpkin and Dess (1996).
Abstract: The constructs of market orientation and entrepreneurial orientation have been researched over the last decade. Critics increasingly demand the simultaneous testing of several orientations. An online single-industry study investigated the constructs on a factor, dimensional and full measurement level as well as clarified the interconstruct relation. Using reviewed measures from the works of Kohli et al. (1993), as well as Covin and Slevin (1986; 1991) and Lumpkin and Dess (1996), a total of 282 wireless application developers in Europe and Israel were surveyed. It can be concluded that entrepreneurial orientation is a multidimensional construct comprising four distinct constructs: Proactiveness, Risk Taking, Competitive Aggressiveness, and Innovativeness of the Company. Market orientation was found to be a unidimensional construct comprising five distinct dimensions: Intelligence Generation on Macro Environment, Intelligence Generation on Micro Environment, Intelligence Generation on Customers, Intelligence Dissemination and Responsiveness.
01 Oct 2006
TL;DR: This paper analyzed the importance of both the level and the type of human capital for the performance of management consultants, namely education and experience, and found that both of them are important for performance.
Abstract: We analyze the importance of both the level and the type of two critical dimensions of human capital for the performance of management consultants, namely education and experience. We use both qualitative and quantitative data on client ratings of the performance of 50 senior management consultants engaged in 100 consulting projects. Our empirical findings suggest that both the level and the type of education and experience are important for performance. In particular, experience within the consulting industry positively affects the performance of management consultants, but there are curvilinear effects on performance ratings of experience in occupations other than consulting.
01 Jan 2006
TL;DR: In this paper, the unterschiedlichen Sichten des marketingcontrollings in Theorie and Praxis auf einen gemeinsamen Nenner bringen lassen: marketingcontrolling steht fur die Sicherstellung der Rationalitat einer marktorientierten Unternehmensfuhrung.
Abstract: Der Beitrag zeigt, dass sich die unterschiedlichen Sichten des Marketingcontrollings in Theorie und Praxis auf einen gemeinsamen Nenner bringen lassen: Marketingcontrolling steht fur die Sicherstellung der Rationalitat einer marktorientierten Unternehmensfuhrung. Grund fur die (historische) Vielgestaltigkeit der Begriffsauffassungen ist die Kontextabhangigkeit der Sicherstellungsfunktion. Ihre Wahrnehmung fuhrt bei unterschiedlichen Engpassen der Fuhrungsrationalitat zu verschiedenen Auspragungen der Marketingcontrollingfunktion.
01 Jan 2006
TL;DR: In this paper, the authors analyse the analyse des organisatorischen Wandels unmittelbar deutlich, i.e., the best way to understand the world is to change it.
Abstract: „One of the best ways to understand the world is to change it“, konstatierte der Organisationsforscher Kurt Lewin einst. Beim Transfer dieser Erkenntnis auf erwerbswirtschaftlich ausgerichtete Unternehmen, wird der grose Stellenwert der Analyse des organisatorischen Wandels unmittelbar deutlich. Nachhaltige Konzentrationstendenzen in vielen Branchen, plotzliche Einbruche von Kapitalmarkten, erhohter Verdrangungswettbewerb durch Substitutionsprodukte sowie gestiegene Bedeutung innovativer Technologien markieren nur einige Ursachen dafur, dass Unternehmen sich permanent anpassen sollten. Uber die Unternehmensfuhrung wird versucht die Anpassungskapazitat zu sichern und das soziale System Unternehmung generell fur Veranderungen und Neuausrichtungen offen zu halten. Erfolgreiche Unternehmen lassen sich daher als wandlungsfahige Gebilde klassifizieren.
TL;DR: In this paper, the value implications of 69 domestic and cross-border merger and acquisition deals of exchange-listed real estate finance institutions were examined for four different event windows between 1995 and 2002.
Abstract: Purpose – Real estate finance institutions as well as the mortgage banking landscape have undergone a profound restructuring since the late 1980s. This study seeks to examine the value implications of 69 domestic and cross‐border merger and acquisition (M&A) deals of exchange‐listed real estate finance institutions.Design/methodology/approach – To identify relevant M&A transactions between 1995 and 2002 the following data sources are used: Thomson Financial SDC (Securities Data Company – Mergers and Acquisitions Database), Bloomberg, and Computasoft M&A Data. To assess the value implications of M&A standard event study methodology is used, which relies on the market adjusted model and the market model. Cumulated abnormal returns stemming from the market model and the market adjusted model are calculated for four different event windows.Findings – The results document that shareholders of targets earn, at least in the closest analyzed interval, significant positive abnormal returns. There are no significan...
30 Nov 2006
TL;DR: This study brings together the overlapping disciplines and practices of (culture) change management and knowledge management by testing the explanatory power of Lewin-Schein's well-known and widely cited change paradigm in the new setting of KMS.
Abstract: Earlier research has shown the interdependence of Knowledge Management Systems' (KMS) implementations and corporate cultures. This study builds on and extends this research by exploring how knowledge-intensive corporate cultures can be established. Employing a case study approach, we analyze the (successful) implementation of Siemens Information and Communication Networks (ICN) group division's ShareNet, a global knowledge sharing network for the sales and marketing community. We bring together the overlapping disciplines and practices of (culture) change management and knowledge management (KM) by testing the explanatory power of Lewin-Schein's well-known and widely cited change paradigm [18, 28, 29] in the new setting of KMS. Our case analysis demonstrates the linear, staged theoretical framework's strength in understanding and explaining aspects of success and failure in KMS implementation projects.
01 Jan 2006
TL;DR: Unter Debt for Equity Swap (UnDSES) as discussed by the authors is a Sanierungsbeitrag zu verstehen, bei dem ein Kreditgeber fur die Einbringung von Darlehensforderungen im Gegenzug Eigenkapital an der Schuldner-Gesellschaft erwirbt.
Abstract: Unter Debt for Equity Swap ist ein Sanierungsbeitrag zu verstehen, bei dem ein Kreditgeber fur die Einbringung von Darlehensforderungen im Gegenzug Eigenkapital an der Schuldner-Gesellschaft erwirbt Der Glaubiger „bezahlt“ seinen Geschaftsanteil mit der eingebrachten Darlehensforderung Er bringt im Rahmen einer Kapitalerhohung seine Forderungen ganz oder teilweise in das Eigenkapital des zu sanierenden Unternehmens ein und kann damit eine bestehende oder drohende (Buth/ Hermanns, 2004, § 13 Rn 49)
Posted Content•
TL;DR: In this paper, the authors present findings from a survey conducted in Iraq in 2004 reaching 1040 Turkmen households, where they found that limited economic opportunities combined with the effects of wars imposed an environment of insecurity on Turkmen.
Abstract: Ethnic conflicts and wars have been a significant factor determining minority populations’ outflow from Iraq. Turkmen as such minority have been subjected to oppression. Limited economic opportunities combined with the effects of wars imposed an environment of insecurity on Turkmen. This has further facilitated and promoted emigration as it offered “opportunity frameworks” for capable segments of this particular ethnic group. This paper presents findings from a survey conducted in Iraq in 2004 reaching 1040 Turkmen households. Systematic discrimination and ongoing internal and international conflicts and wars forced Turkmen as well as others to flee.
TL;DR: In this paper, the impact of Basel II on the future pricing and availability of debt capital and on the cost of capital in real estate financing is examined and possible reactions for real estate developers are presented.
Abstract: Purpose – The New Basel Capital Accord (Basel II) was published in June 2004. This modification of the regulatory framework for banking institutions raises the question to what extent real estate financing will be impacted and how market participants can be adequately prepared. Aims to examine the impact of Basel II on the future pricing and availability of debt capital and on the cost of capital in real estate financing and to present possible reactions for real estate developers.Design/methodology/approach – This research paper follows a deductive approach. First, the New Basel Capital Accord and the main features of commercial real estate financing are presented. On a normative level, the implications for developers are explained. Since no information regarding the behaviour of market participants in commercial real estate financing was available, the authors have ascertained the relevant questions within the framework of an empirical analysis. A total of 205 banking institutions were asked to fill out...
TL;DR: Results of the theoretical analysis indicate that the amount of the interacting agents and the complexity of the interaction rules are key determinants for choosing the optimal methodology.
Abstract: Purpose – Although the nonlinear growth of networks, e.g. the diffusion of innovations, is vital for strategic management, it is often treated implicitly in management theory and practice. Partial explanations of this discrepancy are the unintuitive nature and complexity of the required analytical tools. The goal of this research is to assess two possible approaches – the network theory and cellular automata (CA) – and to generate guidelines for their application.Design/methodology/approach – After having clarified the necessity for a network growth analysis, the network theory and CA are outlined and compared as alternative analytical approaches for its investigation.Findings – Results of the theoretical analysis indicate that the amount of the interacting agents and the complexity of the interaction rules are key determinants for choosing the optimal methodology.Originality/value – Given that sound research has addressed the implementation handles, the further application guidelines mentioned here can h...
TL;DR: In this paper, the authors present findings from a survey conducted in Iraq in 2004 reaching 1040 Turkmen households, where they found that limited economic opportunities combined with the effects of wars imposed an environment of insecurity on Turkmen.
Abstract: Ethnic conflicts and wars have been a significant factor determining minority populations’ outflow from Iraq. Turkmen as such minority have been subjected to oppression. Limited economic opportunities combined with the effects of wars imposed an environment of insecurity on Turkmen. This has further facilitated and promoted emigration as it offered “opportunity frameworks” for capable segments of this particular ethnic group. This paper presents findings from a survey conducted in Iraq in 2004 reaching 1040 Turkmen households. Systematic discrimination and ongoing internal and international conflicts and wars forced Turkmen as well as others to flee.
01 Jan 2006
TL;DR: In this article, the zentrale Frage lautet: Wie konnen die notwendigen Schritte durchgesetzt werden, ohne dabei die dafur notwendeige Zustimmung der wichtigsten Anspruchsgruppen zu gefahrden?
Abstract: Unternehmen, Institutionen und Organisationen stehen in der Sanierung vor der Herausforderung, nicht nur die Zukunft des Unternehmens zu sichern, neue Strukturen und Prozesse aufzubauen bzw. alte den neuen Anforderungen anzupassen, sondern auch die unterschiedlichen externen und internen Stakeholder fur die Veranderungsziele und die konkreten Veranderungsschritte zu gewinnen. Die zentrale Frage lautet: Wie konnen die notwendigen Schritte durchgesetzt werden, ohne dabei die dafur notwendige Zustimmung der wichtigsten Anspruchsgruppen zu gefahrden?
01 Jan 2006
Posted Content•
TL;DR: This paper investigated post acquisition changes in risk characteristics as well as share and operating performance of U.S. firms involved in mergers that are paid for by stock, cash, and cash tender offers during 1975 to 1996.
Abstract: We investigate post acquisition changes in risk characteristics as well as share and operating performance of U.S. firms involved in mergers that are paid for by stock, cash, and cash tender offers during 1975 to 1996. Our findings indicate that mergers, especially in conjunction with cash payments, are risk increasing transactions. Our analyses of post acquisition risk changes show an increase in equity risk for cash mergers over three years around the acquisitions. The full sample of mergers also shows an increase in the intrinsic business risk during the same period (controlling for method of payment does not change the results). There is a significant post acquisition decline in the degree of operating leverage for mergers. There is no change in risk and performance metrics following acquisitions that are by tender offer. However, debt-to-equity ratios rise for tender offers while liquidity and size decline following acquisitions. Finally, we find no evidence of risk adjusted post acquisition abnormal returns in our samples.