Publications

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2008
Working Paper

Structural Closure and Exposure: Market Reactions to Announcements of Acquisitions and Divestitures

By: Mikolaj Jan Piskorski and Nitin Nohria

This paper develops an exchange-network perspective on corporate diversification and proposes two measures of corporate scope: structural closure and structural exposure. Structural closure focuses on exchanges of goods and services inside the firm... View Details

Keywords: Mergers and Acquisitions; Market Transactions; Diversification; Boundaries; Valuation

August 2009
Article

Rewriting History

By: Alexander Ljungqvist, Christopher J. Malloy and Felicia Marston

We document widespread ex post changes to the historical contents of the I/B/E/S analyst stock recommendations database. Across a sequence of seven downloads of the entire I/B/E/S recommendations database, obtained between 2000 and 2007, we find that between 6,594... View Details

Keywords: Competency and Skills; Stocks; Profit; Market Transactions; Reputation; Financial Services Industry

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2008
Working Paper

Rewriting History

By: Alexander Ljungqvist, Christopher J. Malloy and Felicia Marston

We document widespread ex post changes to the historical contents of the I/B/E/S analyst stock recommendations database. Across a sequence of seven downloads of the entire I/B/E/S recommendations database, obtained between 2000 and 2007, we find that between 6,594... View Details

Keywords: Competency and Skills; Stocks; Profit; Market Transactions; Reputation; Financial Services Industry

September – October 2007
Article

Trading Patterns and Excess Comovement of Stock Returns

By: Robin Greenwood and Nathan Sosner

n April 2000, 30 stocks were replaced in the Nikkei 225 Index. The unusually broad index redefinition allowed for a study of the effects of index-linked trading on the excess comovement of stock returns. A large increase occurred in the correlation of trading volume of... View Details

Keywords: Stocks; Investment Return; Market Transactions; Mathematical Methods

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18 Feb 2015
First Look

First Look: February 18

Taxation Without Information: Deterrence and Self-Enforcement in the Value Added Tax By: Pomeranz, Dina Abstract—Claims that the VAT facilitates tax enforcement by generating paper trails on transactions between firms contributed to... View Details

Keywords: Sean Silverthorne

July 2008 (Revised September 2009)
Case

Betfair vs. UK Bookmakers

By: Ramon Casadesus-Masanell and Neil Campbell

Betting exchanges provide an electronic platform that allows ordinary consumers to not only back teams to win, but also to lay odds for other punters to back. This business model allows punters to cut out the middleman of the bookmaker and leads to a much more... View Details

Keywords: Business Model; Decision Choices and Conditions; Two-Sided Platforms; Market Transactions; Competition; Entertainment and Recreation Industry

Educators

December 2009
Article

Negotiation? Auction? A Deal Maker's Guide

By: Guhan Subramanian

What's the best way to buy or sell an asset? Should you hold an auction and accept the most attractive offer? Or should you identify the most likely prospects and negotiate with them privately? Auctions became increasingly popular after the internet opened wide the... View Details

Keywords: Assets; Auctions; Market Transactions; Negotiation; Strategy; Decision Choices and Conditions

September 2008 (Revised October 2009)
Background Note

The Carbon Market

By: Andre F. Perold, Forest L. Reinhardt and Mikell Hyman

The carbon market has emerged in response to concerns about global climate change. This note characterizes the market in 2008, describing each segment and how it operates. View Details

Keywords: Non-Renewable Energy; Market Transactions; Environmental Sustainability; Climate Change

Educators

11 Feb 2015
Research & Ideas

Politicians Benefited From Using Toxic Loans

opting for the short-term benefits in spite of the risks?” "There is no doubt the transactions were very risky, as interest rates on these loans frequently exceeded 20 percent," says Boris Vallée, an assistant professor in the Finance... View Details

Keywords: by Carmen Nobel; Financial Services

16 Jan 2018
First Look

First Look at New Research and Ideas, January 16, 2018

candidates. Download working paper: https://www.hbs.edu/faculty/Pages/item.aspx?num=53708 Transaction Costs and the Duration of Contracts By: MacKay, Alexander Abstract—The duration of a vertical relationship depends on two types of... View Details

Keywords: Sean Silverthorne

25 Jul 2005
Research & Ideas

An Organization Your Customers Understand

becomes confused about its purpose and whom it is designed to serve. In popular marketing textbooks, students are taught that a customer is any person or organizational unit that plays a role in the consummation of a transaction with the... View Details

Keywords: by Robert Simons

October 2008
Teaching Note

Grosvenor Group Limited (TN)

By: Arthur I Segel and Ben Creo

Teaching Note for [207064]. View Details

Keywords: Resource Allocation; Market Transactions; Property; Financial Instruments; Assets; Emerging Markets; Real Estate Industry

18 Jul 2006
First Look

First Look: July 18, 2006

than $100 million. These transactions are large enough to require the help of a financial adviser and attract both strategic and financial bidders. The sale process described is that of a private auction, including a confidential... View Details

Keywords: Sean Silverthorne

21 Jul 2006
Op-Ed

Enron Jury Sent the Right Message

The most noteworthy message of the Enron trial is that corporate executives can be convicted in a court of law for a pattern of deception that may or may not be illegal. Left unaddressed in the trial were many financial transactions and... View Details

Keywords: by Malcolm S. Salter

November 2024
Supplement

Epic Games: Nineteen Eighty-Fortnite (B)

By: Andy Wu and Ronald Wang

In a significant ruling on April 24, 2023, the U.S. Court of Appeals for the Ninth Circuit upheld portions of the district court’s decision against Epic Games back in September 2021. However, Apple’s anti-steering provisions, which restricted app developers from... View Details

Keywords: Lawsuits and Litigation; Market Transactions; Applications and Software; Technology Industry; Video Game Industry

October 2005 (Revised January 2009)
Background Note

Corporate Valuation and Market Multiples

By: Timothy A. Luehrman

Provides a basic introduction to the use of market multiples for business valuation. Explains the method's reliance on the Law of One Price, sets forth the basic steps for using the method, and reviews some practical issues arising in its application. View Details

Keywords: Business Ventures; Price; Market Transactions; Mathematical Methods; Valuation

Educators

March 2009
Article

Trading Restrictions and Stock Prices

By: Robin Greenwood

Firms can manipulate their stock price by limiting the ability of their investors to sell. I examine a series of corporate events in Japan in which firms actively reduced their float—the fraction of shares available to trade—for periods of one to three months, locking... View Details

Keywords: Equity; Stock Shares; Investment; Investment Return; Price; Market Transactions; Japan

June 2008
Case

Kidney Matchmakers

By: Brian J. Hall and Nicole Bennett

In this case we look at the design and development of an unconventional market, where neither money nor traditional "goods" are exchanged. Kidney exchange is an idea pioneered by HBS professor and market designer Alvin Roth and a small group of innovative doctors. This... View Details

Keywords: Moral Sensibility; Disruptive Innovation; Market Design; Market Transactions; Value Creation; Health Industry