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Product mix and the acquisition of the assets needed for their production are interdependent decisions. However, these decisions are frequently evaluated independently of each other and with conceptually different decision models. This article expands activity-based costing (ABC) to incorporate the cost of capital. The resulting model traces the cost of capital to products and thereby measures the economic value added (EVA) from their production. The discounted value of a product’s EVA over its life is equivalent to its net present value (Hartman, 2000; Shrieves & Wachowicz, 2001). The discounted EVA of a product also equals the net present value of the assets used to manufacture the product. Consequently, evaluating products with an ABC model incorporating the cost of capital enables product mix and capital budgeting decisions to be evaluated simultaneously. The article also examines the role of ABC when product mix decisions are made at the product and portfolio levels of the firm’s operations.

Board size has received significant attention among researchers and regulators. However, the advisory role of boards has not been studied much. In this study I examine the notion that investors value larger boards for their advisory capabilities. Prior studies examine board size in the context of monitoring role of corporate boards and find opposite effects on debt holders and equity holders. Using market-based measures of total firm performance, which take both equity and debt into account; I find that larger boards are associated with greater economic value added (EVA). Using a sample of S&P 1500 firms from 2000 to 2003 and controlling for various firm and industry characteristics, I also find that the board size is positively associated with firm productivity and various other efficiency measures such as return on assets (ROA), return on equity (ROE) and Sales-Turnover ratio. I argue that firms with larger boards, valuing the advisory role of directors offer greater compensation to the directors. Overall the results indicate that large board size has a positive impact on firm's performance. The results are robust to alternative measures of firm performance and other key variables.

Introduction: Data of companies in the Informatics index between 2008 and 2017 fiscal years were analyzed. In the analysis, the following ratios were used as traditional performance evaluation criteria: Return on assets, return on equity, earnings per share, price to earnings ratio, market to book value ratio, and return on sales rate. In addition, economic value added (EVA) was also used. The companies in the Informatics index are divided into sub-sectors according to by field of activity. These sub-sectors are software, communication, and hardware marketing.

Aim: To analyze the power of traditional performance evaluation methods to explain the market value added (MVA).

Method: Regression analysis and autocorrelation tests were used as research methods. These were done with IBM SPSS Statistics 25.

Findings: Models and rates that explain the MVA with the most meaningful results were calculated. These models and ratios are as follows: For the software sub-sector, a market to book value ratio was 77.8%; for the hardware marketing sub-sector, earnings per share was 65.4%; for the communication sub-sector, a market to book value ratio was 92.5%. Market to book value was the independent variable that describes the best MVA value of the two sub-sectors.

Originality of the Study: In this study, the average of the values of all companies in the BIST Informatics Index is not taken. By dividing into sub-sectors, value deterioration from the sector difference is prevented. It is stronger in terms of statistical science.

Implications: Researchers can look for and model the relationship between traditional evaluation criteria and EVA or other value-based evaluation criteria in the same index or other indices.

For firms using target costing, separating decision management from decision control helps to minimize the agency costs incurred throughout a product's economic life. Prior literature focuses on decision-management issues related to target costing, such as new product development (i.e., initiation) and production (i.e., implementation). In contrast, this article highlights the decision control aspects of target costing, which consist of ratifying product proposals and monitoring the product's implementation. While products initiated with target costing are chosen because they meet their allowable cost, product ratification requires assessing how well products contribute toward strategic goals, such as improving the firm's market value. To facilitate the ratification decision, this article develops an equation for determining a product's net present value (NPV) based on the same accounting data used during the initiation process. The article also describes monitoring a product's implementation through periodic comparisons to flexible budgets and a post-audit review at the end of the product's economic life.

In this paper, we study financial foundations of Austrian business cycle theory (ABCT). By doing this, we (1) clarify ambiguous and controversial concepts like roundaboutness and average period of production, (2) we show that the ABCT has strong financial foundations (consistent with its microeconomic foundations), and (3) we offer examples of how to use the flexibility of this approach to apply ABCT to different contexts and scenarios.

The goal of this paper is to develop a model which may be used to demonstrate costs and benefits of risk management investments in the context of value-based management.

This paper answers the question of how to quantify changes in company value caused by risk management measures on a theoretical basis. First, a review of empirical studies allowing assertions about the cost and utility of risk management investments is presented. The results of these studies point to a nonlinear shape of the curve and form a basis for the development of a seemingly plausible cost/utility correlation.

In this paper, a model will be developed which can be used to demonstrate costs and benefits of risk management investments in the context of value-based management. It is assumed that at first, risk management expenditures without measurable monetary utility will have to be made. Furthermore, it is assumed to increase more than proportionally, then less than proportionally, until further investments in risk management activities yield only minimal increases in utility and cannot improve company value any further.

By inserting the yet-to-be-determined actual cost/benefit relationship for a company or industry sector into the EVA equation, it is possible to display the effects of risk management measures on the company value. This procedure is principally combinable with the analysis of other value-based control parameters, that is, the Discounted Cash Flow concept or the Cash Value Added methodology.

Risk management is increasingly gaining scientific and public interest, especially since the global financial crisis. Scientists and practical users espouse the benefits of risk management systems in this context. However, the extent to which investments in risk management systems can improve the value of a company remains still unclear.

We could determine that at first risk management expenditures will not result in a monetarily measurable benefit. The remaining slope of the curve is derived as increasing more than proportionally at first, then less than proportionally, until further investments into risk management activities yield almost no additional increase in benefits. In this paper, three different functions are offered to describe the shape of the curve identified. They differ in regard to their free parameters and hence in their flexibility of application. The higher flexibility of functions #2 and #3 is balanced by the disadvantage of increasing formal complexity, possibly leading to an increased effort for implementation and application.

To harness the relationships developed in this paper for practical use, further research should target the identification and empirical verification of dependencies between the parameters and principal company index values.

Purpose – The chapter looks at the way a group of Cook Islands women in South Auckland used neoliberal-inspired community funding to fulfil the criteria of the funders as well as their own noncapitalist aims.Methodology/approach – The chapter draws upon a combination of original ethnographic fieldwork and literature pertaining to the production and use of tivaivai in South Auckland and neoliberal policy in New Zealand.Findings – The chapter analyzes the cultural context of value creation that the production and use of tivaivai constitutes for Cook Islanders in South Auckland. The production of tivaivai as a “commercial” derivative of these elite social textiles saw the group of Cook Islands women operating in a “human economy” (Graeber, 2012), despite the neoliberal agenda of the funding.Originality/value – As a group, Cook Islanders are marginalized in New Zealand, but the outcome of this funding in the details of how the women recipients managed the use of the money, and how and what they produced, tells a different story about how Cook Islanders engage with capitalism via the “human economy.” Such an analysis adds considerable complexity to the understandings of the way women make and use tivaivai in New Zealand, as well as the ways Cook Islanders do economics in an expanded notion of economy. This sheds light on the subaltern strategies that Cook Islanders create in response to the opportunities and hegemonic forces that exist in the global capitalist economy, and the way they engage with capitalism in the context of the New Zealand political economy.

This article uses a social constructionist approach based on ethnography and narrative analysis to understand emotions in leadership. The empirical context of the study is leadership of a theater ensemble's rehearsal process. The study shows that a creative process, such as in a theatrical setting, involves emotional paradoxes. Specifically, the study points out how shame can be used as a leadership tool to increase organizational performance and professional development, rather than for purposes of manipulation as may be typically assumed.

Often seen as a vulnerable group, tween girls fashioning themselves after adults have been a topic of significant concern. Public and academic discourse in the West has expressed worry that girls’ adult-like dressing may expose them to a range of physical, psychological and sexual harm. In most discussions on girls’ dressing, Western popular culture is also identified as one of the prevalent ways through which girls learn to how to fashion themselves after adults. It is claimed that Western television programmes, books and magazines encourage young girls to fashion themselves after adults at an earlier age. Recognising the importance of girls’ voices in their experiences of girlhood, this chapter draws exclusively on 12 focus groups, with 29 Singaporean girls aged 8–12. It finds that there are changing mediascapes in tween girls’ lives that have not been acknowledged. No longer predominantly watching television or browsing teen magazines, this chapter highlights how young Singaporean girls are now more likely to spend their time on the popular media platform YouTube. As girls gain mobility through their mobile communication devices, this chapter calls for a closer examination of YouTube in relation to girls’ dressing. Nonetheless, this chapter also acknowledges that while certain popular YouTube videos (re)produce highly narrow ideas of what a female should look or be like, it is not a simple issue of girls learning how to dress from their favourite YouTube stars. YouTubers also represented a lexicon of empowerment for some of the girls in this study.

From a post-colonial feminist perspective, this chapter explores how themes of gender and ethnicity combine to produce an embodied narrative of the everyday lived experience of one immigrant woman in a small country town. Her story was told to me as part of an interpretive study via a face to face interview. Her personal history of trauma and dislocation influenced by the wider cultural frameworks and expectations that inform her way of doing gender and ethnicity shape the way she experiences the pleasures and pains of a rural life. In this rural place, she finds that her embodied narrative does not conform to the set of socially constructed meanings that lead to inclusion so her body is reconstructed as “other” and as such is subjected to covert and overt practices that exclude and marginalize her. The discussion is situated within the field of rural studies as the settlement of immigrant women in rural places is seen as a process of social restructuring contextualized and influenced by the social and cultural meanings attached to those places.