Im Gegensatz zu rein national tätigen Unternehmen unterliegen multinationaltätige Unternehmen zusätzlichen Risiken. Neben der Identifizierung derartiger Risiken erfolgt in die-sem Beitrag die Entwicklung von Maßnahmen, mit denen sich solche zielgerichtet beeinflussen lassen.Neben...

In general, individuals will be interested in consumption of goods with “original”prices denominated in various currencies. Traditional risk management is nominally orientedand typically neglects this differentiated consumption preferences of investors. We outline therelevance of a consumption...

Topics on behavioral corporate finance are concerned with the consequences ofboundedly rational investors for optimal financial decisions by firm management. Aspects ofbounded rationality are relevant both for the theory and the practice of corporate finance. Onthe one hand, a new kind of...

We apply cumulative prospect theory and hedonic framing to evaluate discountreverse convertibles (DRCs) and reverse convertible bonds (RCBs) as important examples ofstructured products from a boundedly rational investor’s point of view. While commonexpected utility theory would also conclude...

Using a hand-collected sample of contracts and investment proposals from German venturecapital financing relationships, we analyze specific incentive conflicts. We apply indirect anddirect measures of these problems and extend the “direct” approach by Kaplan and Strömberg(2004) to a four-...

It is known that the Cournot model of quantity competition has to be inter-preted as the reduced form of a more complex situation, in which firms can commit tocapacity levels prior to setting prices. I show that the optimal strategic debt choice ofcapacity-price competitors depend on the type of...

We examine a certain class of new financial instruments which are designed aslotteries on the outcome of prominent sports events like the Soccer World Cup 2006. We areable to explain why there might be a positive demand for such sports-related financialinstruments even if we take riskless...