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The study aims to discuss the new value creation logic of value nets and analyze the characteristics of value nets in the context of the food industry. Previous research has shown that along with the growing importance of networking, the value creation logic is also changing from traditional chains to dynamic networks. The objective of this study is to define the characteristics of value nets and to analyze the suitability of the value net as a value creation and business model in the food industry.

The study utilizes a case research as a method and analyzes a value net from the Finnish food industry. The empirical data comprises 29 individual semi‐structured interviews conducted with the personnel of four case companies.

The findings of the study suggest that the value net as a business model and value creation model is also suitable for food sector companies. The value net has several characteristics that were found to be significant and useful for food companies. Moreover, food companies can obtain remarkable benefits by utilizing value nets.

The results of the study carry implications for managers and practitioners in terms of shedding light on the value net as a value creation model and business model in the food industry. Managers need to be aware of the developments in value creation logic and recognize that value can no longer be added in a sequential chain, but the perspective should move towards networks in which value is co‐created by the network actors.

Thus far, studies on value nets have concentrated mainly on the ICT sector and there is a limited amount of research on the food industry. The food sector, therefore, offers a new empirical context in which to conduct research on value nets. Food companies are focusing more and more on value creation and networking, and the research of value nets is therefore highly relevant to the business development of the food industry.

Management implications of net present value computation are investigated in comparison to computation of capital return rate, in the absence of periodic boundary conditions.

The initial state of experimental forest stands is measured in the field. Further development of the stands is investigated using a growth model.

The capital return rate strongly depends on cutting limit diameter, whereas net present value (NPV) is insensitive to it. The net present value also is indecisive whether or not frequent further thinnings should be implemented. In the absence of further harvesting, the net present value of growth declines rapidly, as does the capital return rate. With repeated diameter-limit cuttings, the net present value declines even if the capital return rate is retained. After a few decades, the NPV stabilizes even if the capital return rate declines. On stands previously thinned from below, greater NPV is gained without further thinnings, whereas capital return rate requires repeated diameter-limit cuttings.

It appears difficult to formulate management instructions on the basis of NPV computations because of the indecisiveness of the results.

Regardless of the degree of decisiveness, NPV-based management results in losses of capital return.

Net present value of further growth is computed in the absence of periodic boundary conditions, and the outcome is compared with the statistically expected value of capital return rate.

With the decline of US net farm income from $123.8 billion in 2013 to $71.5 billion forecasted for 2016, concern has developed regarding the future path of agricultural land values. The purpose of this paper is to examine the relationship between net farm income, cash rents and land values in the state of Kansas and provides insight regarding future land values.

This study estimates partial adjustment models for cash rent and land values and uses those results to infer long-run capitalization rates and earnings multipliers. These models are used to forecast Kansas land values through 2018 and also the long-run price of farmland given 2016 expectations.

Land adjusts to changes in Kansas net farm income slowly with a one-year elasticity of 6.7 percent. The long-run elasticity is 96.9 percent which is very close to the 100 percent suggested by the theoretical income capitalization model. The long-run multiplier for income in Kansas is 21.71 which implies a capitalization rate of 4.61 percent. The estimated results suggest that Kansas land values would peak in 2016 and begin to slowly decline. If market conditions were to remain the same, land values would ultimately decrease to $1,171 per acre, a 28 percent decline from current levels.

Declines of the magnitude in estimated land values could negatively affect the financial condition of the sector. Factors such as a change in the long-run capitalization rate or unexpected supply or demand shocks for agricultural commodities globally could certainly alter the long-term prospects. However, current expectations as of March 2016 suggest that farmers will face difficult conditions over the next few years.

The paper aims to analyze power balance and collaboration in the value net context and to discuss the role of information as a source of power. The purpose is to find out how power affects information sharing and collaboration between buyers and suppliers. Both demand and supply perspectives are utilized, and the value net approach is combined with research on supply management and market orientation.

The case study method was used in order to analyze relationships and information sharing in the Finnish food industry. A 29 semi‐structured interviews were conducted in four case companies.

The results indicate that value net actors in the supplier role are willing to form collaborative relationships, but when they are in the role of the buyer the willingness to collaborate weakens. The implication is that power increases as the distance from the end‐markets decreases and that power relations affect collaboration and restrict information sharing between the actors in the value net.

A single case study such as this does not purport to produce findings that can be generalized in a statistical sense, but the findings will be valuable in an analytical sense because they extend understanding of the existing theory. Further research should be directed towards comparative studies of value nets, power relations and information sharing in other countries and in other industries.

The paper sheds light on the critical factors that influence value net collaboration, making it possible for managers to focus on relevant issues when developing business relationships and the value net as a whole.

There is a limited amount of research on value nets in the food industry, and because of the changing business environment there is an urgent need for studies focusing on the food business in the context of networks and value nets. In combining the value net approach with purchasing and supply management and market orientation perspectives the study extends the discussion on information sharing with its emphasis on network relations and the complicated nature of collaboration.

Sees the objective of teaching financial management to be to help managers and potential managers to make sensible investment and financing decisions. Acknowledges that financial theory teaches that investment and financing decisions should be based on cash flow and risk. Provides information on payback period; return on capital employed, earnings per share effect, working capital, profit planning, standard costing, financial statement planning and ratio analysis. Seeks to combine the practical rules of thumb of the traditionalists with the ideas of the financial theorists to form a balanced approach to practical financial management for MBA students, financial managers and undergraduates.

The purpose of this paper is to investigate whether levels-classified fair values of US banks based on SFAS 157: Fair Value Measurements, as recognised in the quarterly financial statements of the banks over the period from 2008 until 2015, have predictive value in relation to the banks’ future financial performance measured by operating cash flows and earnings over a three-quarter horizon period. In addition, we consider whether the global financial crisis (GFC) impacted the relationship between SFAS 157–based levels‐classified fair values and bank future financial performance.

We develop hypotheses connecting the net levels-classified bank fair values based on SFAS 157 with banks’ future financial performance. We test the hypotheses by estimating three-period quarters’ ahead forecasting models. We also use these models to test for the impact of the GFC on the relationship between the fair values and future financial performance.

Our findings suggest that the levels-classified net fair values based on SFAS 157 have predictive value in relation to future cash flows for banks. There is significant variation, across the levels, in the predictive value of levels-classified net fair values for future performance. Our findings indicate that the GFC has limited impact on the predictive value for cash flows, but the GFC had a significant adverse impact on earnings, and, with allowance for the effect of the GFC, the Level 2 net fair values have predictive value for the future earnings.

The study provides the first direct empirical evidence on the relationship between the SFAS 157 levels-classified quarterly bank fair values recognised in publicly available financial statements and banks’ future performance. Our results are consistent with the findings from earlier research (Ehalaiye et al., 2017) using annual data disclosed in the supplementary notes to the financial statements of US banks based on SFAS 107. The study, makes a significant contribution to the question of frequency of reporting and to the disclosure vs recognition debate. The study has implications for policy makers, regulators and accounting standards setters such as the Securities and Exchange Commission and the Financial Accounting Standards Board in evaluating the use of fair value measurement in financial reporting.

Outlines the valuation models of Ohlson (1995) and Feltham and Ohlson (1995), which relate share prices to accounting data, and develops a version which substitutes net value added for earnings. Tests it on 1978‐1995 US data and shows that it is better than the conventional model at explaining price. Recommends that future capital market research should consider net value added as an alternative to earnings for wealth measurement.

The purpose of this paper is to identify the key capabilities required in supply net management.

Uses the Management Capability Framework to break down supply net management into different modes and identify capabilities required in them.

Reveals that the supply activity of companies increasingly takes place in intentionally developed strategic networks called supply nets. These networks pose distinctive challenges for supply chain management. Identifies four diverse but simultaneously extant modes of management in the supply net context, and discusses the key managerial capabilities in each mode.

Provides a conceptual framework to fulfill the identified need to understand management in the network management context. This paper enables researchers and business practitioners to identify the strategic focus and key capabilities required in managing supply nets.

Textbooks often portray capital budgeting as a rather mechanical process: Top management decides whether or not to accept a project by requesting an estimate of net present value from its staff and to see if the number is positive or negative. This paper suggests that the textbook net present value rule is not optimal if the competitive market assumption holds. Better decision rules state minimum acceptable safety margins and may take the form of stating a minimum acceptable profitability ratio.