-Arrow goodwill as a state variable. Assuming an infinite time horizon, we use some dynamic programming techniques in infinite … dimension to characterize both the optimal advertising effort and the optimal goodwill path in the long run. An interesting …

of credit due to moral hazard between the entrepreneur and external investors. Diversification could mitigate the moral …. In this paper we show that delegation can be the only way to exploit gains from diversification when overload costs of … diversification are high; delegation thus is the key ingredient to be able to diversify. …

value (the conglomerate discount). Diversification benefits in financial conglomerates are typically derived without …In general, conglomeration leads to diversification of risk (the diversification benefit) and a decrease in shareholder … conglomerate, i.e., shareholders and debt holders should receive risk-adequate returns on their investment. In this paper, we …