Publications

Article

Hurry or Wait: The Pros and Cons of Going Fast or Slow on Climate Change

By: Eleanor Denny and Jurgen Weiss

Climate change risk will likely force the de-carbonization of our electricity sector and thus involve massive investments in long-lived assets using many new and emerging technologies. Since technological progress (independent or dependent on deployment) will likely... View Details

Keywords: Electricity Sector; Environmental Risks; Fat Tails; Greenhouse Gas Emissions; Climate Change; Information Technology; Investment; Technological Innovation; Cost vs Benefits

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2025
Working Paper

Precautionary Debt Capacity

By: Deniz Aydin and Olivia S. Kim

The determinants of debt capacity are a central theme in finance and macroeconomics, yet it remains unclear why firms leave some of their debt capacity unused and whether this affects investment and growth. Textbook theory suggests that firms should not leave their... View Details

Keywords: Borrowing and Debt; Credit; Financing and Loans

SSRN

November 2017 (Revised August 2018)
Case

Fair Value Accounting at Noble Group (A)

By: Siko Sikochi, Suraj Srinivasan and Quinn Pitcher

Noble Group was a large commodities trader based in Hong Kong and listed on the Singapore Stock Exchange. In 2012, Noble shifted its business strategy towards an asset-light model. Under this model, Noble did not own mines or farms to produce commodities but built... View Details

Keywords: Fair Value Accounting; Policy; Goods and Commodities; Contracts; Valuation

August 2006
Article

Predicting Returns with Managerial Decision Variables: Is There a Small-Sample Bias?

By: Malcolm Baker, Ryan Taliaferro and Jeffrey Wurgler

Many studies find that aggregate managerial decision variables, such as aggregate equity issuance, predict stock or bond market returns. Recent research argues that these findings may be driven by an aggregate time-series version of Schultz's (2003, Journal of Finance... View Details

Keywords: Prejudice and Bias; Fairness; Managerial Roles; Management Analysis, Tools, and Techniques; Equity; Bonds; Financial Markets; Investment; Capital Markets; Borrowing and Debt; Investment Return

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May 2014
Case

Sasol: U.S. Growth Program

By: Richard H. K. Vietor

Sasol, the world's largest producer of synthetic oil from coal and gas, has announced plans to build a huge Catalytic cracker and gas-to-liquids plant in Lake Charles, Louisiana. This $21 billion venture will be the single largest foreign direct investment in US... View Details

Keywords: Oil ＆ Gas; Risk; Risk And Uncertainty; Petroleum; Synthesis; Diesel; Foreign Direct Investment; Chemicals; Strategy; Energy Industry; United States

September 2016
Case

Partners Group: Ain't No Mountain High Enough

By: Nori Gerardo Lietz and Ricardo Andrade

Partners Group (PG), a Swiss-based PE manager, initiated a series of strategic shifts and evolved from a predominately fund-of-funds manager into a large, multi-asset class PE firm focused on direct investments. PG was the first PE firm to go public in 2006. A number... View Details

Keywords: Business Model; Management Practices and Processes; Entrepreneurship

January 1987 (Revised May 1989)
Case

Merck-Banyu

By: Timothy A. Luehrman

Merck acquired control of Banyu in 1983. This was the first acquisition by outsiders of a major publicly traded Japanese company. This case is focused on valuing strategic investments in an environment of global competition. The case is complex because of the... View Details

Keywords: Acquisition; Investment; Globalization; Governing Rules, Regulations, and Reforms; Industry Structures; Negotiation Deal; Public Ownership; Competition; Valuation; Japan

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April 1991 (Revised June 1993)
Case

McCaw Cellular Communications, Inc. in 1990 (A)

Describes McCaw Cellular Communications, Inc.'s competitive position in 1990. McCaw is the largest cellular phone service company in the United States. It faces challenges of technological change and formulating strategy in an industry with a highly uncertain future.... View Details

Keywords: Risk Management; Communication Technology; Competition; Change Management; Investment; Telecommunications Industry; United States

2020
Working Paper

How Do Private Equity Fees Vary Across Public Pensions?

By: Juliane Begenau and Emil Siriwardane

We study how investment fees vary within private-capital funds. Net-of-fee return clustering suggests that most funds have two tiers of fees, and we decompose differences across tiers into both management and performance-based fees. Managers of venture capital funds... View Details

Keywords: Pension Funds; Fee Dispersion; Search And Negotiation Frictions; Private Equity; Investment Funds

SSRN

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September 2003 (Revised June 2006)
Case

"American Challenge, The:" Europe's Response to American Business

By: Geoffrey G. Jones and Meghan Gallagher-Kernstine

Examines the tensions multinationals cause by focusing on Europe's reaction to the growing U.S. multinational investment in the 20th century. Initially, Europeans rarely felt threatened by U.S. investments, however, tensions grew over time. After the Second World War,... View Details

Keywords: Management Practices and Processes; Investment; Cross-Cultural and Cross-Border Issues; United States; Europe