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measure innovation with, at times, conflicting results. We benchmark the validity of these innovation proxies using a novel … for Tobin’s Q and provides an appraisal of innovation assets. Additionally, we include trademarks as a new proxy to … capture un-patentable and undisclosed innovation. We find that two innovation proxies, the market response to new patents and …
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In the United States, corporate actors choose their state of incorporation and are subject to the laws of the state in which they are incorporated. Incorporating in Delaware is a common move for most U.S. firms, especially those interested in attracting venture capital, as the state's...
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We conjecture that the Dotcom abnormal underpricing resulted from the emergence a large cohort of firms racing for market leadership/survivorship. Fundamentals pricing at the IPO was part of their strategy. Consistent with our conjecture, firms' strategic goals and characteristics fully explain...
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We examine whether underwriter reputation, venture capitalist (VC) backing, and VC reputation are related to the probability that a newly public firm has serious accounting problems. Using a novel dataset, we find that the probability of restatement by an IPO firm is positively related to...
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Earnings management at the time of the IPO is an important issue and has captured considerable attention of academic literatures. However, there have been few studies testing earnings management in the context of market condition, and when financial intermediaries such as venture capital (VC)...
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This paper examines the effects of underwriting relationships on analyst herding behavior. The results suggest that analysts employed by the lead-underwriter banks of seasoned equity offerings are more likely to provide bold forecasts than unaffiliated analysts, indicating that institutional...
Persistent link: https://www.econbiz.de/10013107080
Information flows are of critical importance for IPO pricing. We posit that individual investment bankers use personal social capital to address information problems during IPOs. Using a unique database of mutual fund bids in the Chinese IPO market, we find that when an investment banker has a...
Persistent link: https://www.econbiz.de/10012841533