Done Deal! Advisor impact on Pricing, Premia, Returns, and Deal Completion in M&A

Deal Size, Acquisition Premia and Shareholder Gains

Existing literature documents that large acquisitions destroy more value for acquiring shareholders than small acquisitions and attributes this to overpayment driven by managerial incentives and/or overconfidence. Nevertheless, the less intense competition, higher value at stake, lower managerial ownership and/or sizeable complexity of post-merger integration associated with large targets can r...

Pricing Counterparty Risk Using Good Deal Bounds∗

We develop a method for pricing counterparty risk by using good deal bounds. The method imposes a new restriction in the arbitrage free model by setting upper bounds on the Sharpe ratios of the assets. The potential prices which are eliminated represent unreasonably good deals. The constraint on the Sharpe ratio translates into a constraint on the stochastic discount factor. Thus, one can obtai...

Radio’s Impact on New Deal Spending

Mass media carry political information to the voter. This makes voters using mass media more likely to respond to campaign promises and to hold politicians accountable for cuts that hurt them. As a consequence, politicians should target voters using mass media. These ideas are developed in a voting model which is then used as a basis for empirical investigation. To isolate the e¤ects of mass me...

Big Deal - good deal? Or is there a better deal?

Deal or No Deal? - Asessing the Daily Deal Shopper

We build upon previous work done in online shopping segmentation but follow a customer-revealed approach by using an explorative cluster analysis on a sample of 11,848 daily deal shoppers located in Switzerland. We identify six segments into which the daily deal shoppers can be categorized: recreational shoppers, mobile shoppers, traditionalists, bargain hunters, socializers, and convenience se...