Xue Deng and Yingxian Lin
The weighted evaluation function method with normalized objective functions is used to transform the proposed multi-objective model into a single objective one, which reflects the…
Abstract
Purpose
The weighted evaluation function method with normalized objective functions is used to transform the proposed multi-objective model into a single objective one, which reflects the investors' preference for returns, risks and social responsibility by adjusting the weights. Finally, an example is given to illustrate the solution steps of the model and the effectiveness of the algorithm.
Design/methodology/approach
Based on the possibility theory, assuming that the future returns of each asset are trapezoidal fuzzy numbers, a mean-variance-Yager entropy-social responsibility model is constructed including piecewise linear transaction costs and risk-free assets. The model proposed in this paper includes six constraints, the investment proportion sum, the non-negativity proportion, the ceiling and floor, the pre-assignment, the cardinality and the round lot constraints. In addition, considering the special round lot constraint, the proposed model is transformed into an integer programming problem.
Findings
The effects of different constraints and transaction costs on the effective frontier of the portfolio are analyzed, which not only assists investors to make decisions close to their expectations by setting appropriate parameters but also provides constructive suggestions through the overall performance of each asset.
Originality/value
There are two improvements in the improved particle swarm optimization algorithm: one is that the complex constraints are specifically satisfied by using a renewable 0–1 random constraint matrix and random scaling factors instead of fixed ones; the other is eliminating the particles with poor fitness and randomly adding some new particles that satisfy all the constraints to achieve the goal of global search as much as possible.
Details
Keywords
Shuang Hu, Saileshsingh Gunessee and Chang Liu
Chinese multinational enterprises’ (MNEs) unprecedented, aggressive cross-border mergers and acquisitions (CBMAs) have led to several studies examining Chinese CBMAs, which…
Abstract
Purpose
Chinese multinational enterprises’ (MNEs) unprecedented, aggressive cross-border mergers and acquisitions (CBMAs) have led to several studies examining Chinese CBMAs, which importantly has also led to some degree of “theorising”. This study aims to undertake a “non-theoretical” fact-finding exercise before any theorising and empirical “causal” examination for a better understanding of the phenomenon (the rise of Chinese CBMAs).
Design/methodology/approach
This study uses a “stylised facts” approach which documents “empirical regularities” concerning Chinese CBMAs and thus guides new research questions.
Findings
Several facts are documented. Firstly, both the value and frequency of Chinese CBMAs are catching up to greenfield investments, with CBMA deals being larger in scale but lower in frequency. Secondly, Chinese CBMAs show a global reach away from the regional orientation of their early years. Thirdly, Chinese MNEs are possibly transforming their value chain with industrial upgrading as an aim. Fourthly, Chinese “full” acquisitions of targets have surged, especially in OECD countries, suggestive of Chinese MNEs’ “radical” acquisition approaches.
Originality/value
The gathered facts lend support to the view of the need for such fact-finding exercises to explicate and shed “new” light on the phenomenon (beyond our “current” views/beliefs). An understanding of the underlying trends beyond bare facts can also identify new knowledge, which can in turn provide new directions for research.