Because heterogenous and unknown shareholder utility functions make it difficult to define a corporate objective common to all shareholders based on utility, the traditional theory of the firm concentrates on wealth maximization as the main measure of performance. Using the concept of ranked...

This paper studies the effect of floating exchange rates (XRs) on the competitive environment and the performance of UK small and medium sized enterprises (SMEs). Using an innovative technique that separates XR exposures into those that increase stock market returns and those that reduce them,...