Managerial Finance: Volume 20 Issue 8

International Capital Budgeting Using Option Pricing Theory

Piet Sercu, Raman Uppal

Typically, international capital budgeting is carried out using the adjusted net present value (NPV) approach. In this article, we present an alternate method for valuing…

Evaluating the Foreign Listing Decision in a Capital Budgeting Framework

Usha R. Mittoo

Evaluation of the foreign listing decision involves many complexities since it impacts a firm's financing, investment, and marketing decisions. In this paper, we identify major…

Using Fuzzy Logic in Corporate Finance: An Example of a Multinational Cash Flow Netting Problem

Harry Turtle, C.R. Bector, A. Gill

Recent globalization of markets has led to corporate activities that span numerous national boundaries within a single multinational corporation. We address the particular problem…

Governance and Competitive Advantage

Lewis D. Johnson, Edwin H. Neave

This paper uses a transactions economics theory of financial governance to reconcile and integrate the evidence on inter‐ and intra‐country differences in corporate finance and…

Real Exposure to Foreign Currency Risk

Jacques A. Schnabel

The Adler‐Dumas regression approach to foreign currency exposure measurement and hedging is examined in the presence of an uncertain domestic inflation rate. The assumption made…