This paper aims to investigate the determinants of capital structure of non-financial firms in Iran.
This paper reviews different conditional theories of capital structure to formulate testable propositions concerning the determinants of capital structure of Iranian companies. Pooled ordinary least squares and panel econometric techniques such as fixed effects and random effects are used to investigate the most significant factors that affect the capital structure choice of manufacturing firms listed on Tehran Stock Exchange Iran during 2003-2007.
The results of the study suggest that variables such as firm’s size, financial flexibility, asset structure, profitability, liquidity, growth, risk and state ownership affect all measures of capital structure of Iranian corporations. Short-term debt is found to represent an important financing source for corporations in Iran. The results of the present research are consistent with some capital structure theories.
In general, the results provide evidence that the five theories discussed influence emerging markets. Due to the existence of a negative relationship between profitability and capital structure, investors must consider capital structure before making investment decisions.
This study has laid some groundwork to explore the determinants of capital structure of Iranian firms upon which a more detailed evaluation could be based. Furthermore, the empirical findings will help corporate managers in making optimal capital structure decisions.
To the authors’ knowledge, this is the first study that explores the determinants of capital structure of manufacturing firms in Iran by using the most recent data. Moreover, this paper provides a theoretical model to explain the mechanism of how the ownership structure impacts debt financing.
Price and performance: that was the theme of Crawford's first Library Hi Tech article on PCs, way back in 1984. It's still an important theme, and one of the most unpredictable but enjoyable areas of personal computing. To celebrate the completion of Library Hi Tech's first decade, and as part of the tenth year of writing for Library Hi Tech, the author is preparing a brief series of articles that look back at the last decade in microcomputing. This “Looking Back” installment includes graphic analysis of how prices have changed in the direct‐market PC arena since 1986, with additional price/performance notes from previous articles going back to 1984. The author explains why “PC prices keep going down forever” is a myth and notes how difficult it is to predict the rate of price/performance changes. Trailing Edge #15, later in this issue, discusses factors to consider in buying a computer today, and includes the usual citations from the PC literature.
This article reports on the unusual phenomenon of aggressivecompetition from cottage firms encountered by multinationals and largelocal firms in the developing‐country…
This article reports on the unusual phenomenon of aggressive competition from cottage firms encountered by multinationals and large local firms in the developing‐country environment. It analyses the conditions that enabled cottage firms to compete aggressively in five industries in India, and how large firms dealt with such competition. It discusses how such competition is likely to vary with industry characteristics. It also discusses the implications of such competition for the strategies of multinationals.
The purpose of this paper is to identify and quantify the impact of corporate real estate (CRE) performance on shareholder value and its contribution to core business…
The purpose of this paper is to identify and quantify the impact of corporate real estate (CRE) performance on shareholder value and its contribution to core business competitiveness.
The selected approach intended first to identify CRE performance in global industrial corporations by using a questionnaire, focussing on pharmaceutical companies. The results then were evaluated to classify the participating companies into CRE outperformers and CRE underperformers. Finally, the participants were compared based on three selected financial measures: share price performance, expense ratio and asset intensity.
Summarising the findings, no evidence could be found that companies outperforming in corporate real estate management (CREM) perform better in terms of share price performance. The same holds true for asset intensity where no difference is identified when comparing asset intensity between both groups. Looking at the expense ration per EUR sales, CRE outperformers perform better, indicating that CREM is able to manage and optimise cost.
The originality of this paper is the introduction of a questionnaire producing a single indicator to rate companies according to their CRE performance. Furthermore, it aims to quantify the impact of CRE performance on the firm combining qualitative and quantitative measures. Finally, it provides insight into CRE practices in global pharmaceutical companies.
In an attempt to meet a rapidly increasing demand, the minicomputer industry has expanded. This resulted from a void by mainframe systems with respect to speed and a…
In an attempt to meet a rapidly increasing demand, the minicomputer industry has expanded. This resulted from a void by mainframe systems with respect to speed and a decrease in facility access. Mini‐computers have been defined to be:
Asking hard questions and demanding honest answers about technical performance, cost, and alternative technologies can help prevent big mistakes. Managers at one successful European electronics company have learned to ask questions throughout the development cycle: When will the proposed product's price‐performance ratio make it competitive with existing technologies? How much money do we need to push it into the market? Where could we go wrong? What's the evidence for that conclusion?
client/server(C/S) systems have revolutionized the systems development approach. Among the drivers of the C/S systems is the lower price/performance ratio compared to the mainframe‐based transaction processing systems. Data mining is a process of identifying patterns in corporate transactional and operational databases (also called data warehouses). As most Fortune 500 companies are moving quickly towards the client server systems, it is increasingly becoming important that a data mining approaches should be adapted for C/S systems. In the current paper, we describe different data mining approaches that are used in the C/S systems.