This paper studies the link between public trading and the activity of a firm’s large shareholder (the insider) whose actions can affect firm value. Public trading results in the formation of a price that is informative about the insider’s activity. This in turn increases the latter’s incentives to engage in value increasing activities. Indeed, if the insider has to liquidate (part of) his stak...

W e model a firm's decisions about product innovation, focusing on the extent to which features should be improved or changed in the succession of models that comprise a life cycle. We show that the structure of the internal and external environment in which a firm operates suggests when to innovate to the technology frontier. The criterion is maxi-mization of the expected present value of prof...

Payouts play an important role in the relationship between shareholders and agents in terms of rewarding the decisions of shareholders. Previous studies have observed that payout decisions appear in different ways depending on an industry's financial and operating structures. Since the airline industry has been characterized as high debt dependency, this study presumes distinctive characteristi...

We model a firm’s decisions about product innovation, focusing on the extent to which features should be improved or changed in the succession of models that comprise a life cycle. We show that the structure of revenues and costs can suggest when a firm should pursue radical rather than incremental innovation. We use the criterion of maximizing the expected present value of profits during the l...

Purpose: While the financial performance of private companies has invoked intense interest globally, this study aimed to investigate relationship between firm age and limited in Uganda.
 Methodology: The adopted a positivist paradigm cross-sectional design. A structured self-administered questionnaire was deployed gather quantitative data from Accountants, Auditors, CEOs, Board Members who...