Advanced Corporate and Strategy
Flexibility vs. commitment
Intertemporal synergies = something you do now changes your path (outcome) for in the future
Explanations when a rival’s bid is exceedingly high
- Rational explanations = the value of opportunities justifies the bid
- Irrational explanations = price exceeds the expected value
confirmation bias = interpreter things/look at data in a certain way according to you own hypothesis
over commitment
Staged financing in Venture Capital
PV Exanded + Static DCF + Flexibility Value (Option) + Strategic value (Game-theory)
PVGO = Market value – net value assets in place
OPTIONS
Opletten:
Moet je de opbrengsten verdisconteren met ce of en debt met met r of gewoon wacc?
Hoe zit het met
Expanded NPV = NPV + growth value
YX = (PRNVu + (1 - PRN)) / (1 + r)
Exp NPV = NPV + growth value = NPV + Yx Klopt dit altijd? Is er altijd een losse NPV of wanneer zijn V0 en NPV gelijk?
Option to invest: hierbij bereken je dmv CF’s, r en ce de NPV, die wordt in eindformule gebruikt. Geen Vo bekend
Option to expand or contract: option dmv Yx en dan vervolgens NPV = V0 om Expanded NPV te krijgen
Option to Defer
Growth options
, Option to Expand or Contract
Option to Abandon
Option to Temporarily Shut Down
Staged Financing
Internal Approach
- Resource based view
- Dynamic Capabilities
Unique resources and capabilities are the source of value creation
1 Resources should be a source of competitive advantage relevant
2 Resources should be sustainable difficult to imittate
3 Resource should be appropriable
Competitive advantages seen as an ability to adapt in changing environment with
their evolution paths ( =acquisitions are seen as a chain of interrelated
investments) and position (asset base/relationships with other players/reputation)
Describe path and position
External Approach
- Porters 5 forces
- Game theory
Flexibility vs. commitment
Intertemporal synergies = something you do now changes your path (outcome) for in the future
Explanations when a rival’s bid is exceedingly high
- Rational explanations = the value of opportunities justifies the bid
- Irrational explanations = price exceeds the expected value
confirmation bias = interpreter things/look at data in a certain way according to you own hypothesis
over commitment
Staged financing in Venture Capital
PV Exanded + Static DCF + Flexibility Value (Option) + Strategic value (Game-theory)
PVGO = Market value – net value assets in place
OPTIONS
Opletten:
Moet je de opbrengsten verdisconteren met ce of en debt met met r of gewoon wacc?
Hoe zit het met
Expanded NPV = NPV + growth value
YX = (PRNVu + (1 - PRN)) / (1 + r)
Exp NPV = NPV + growth value = NPV + Yx Klopt dit altijd? Is er altijd een losse NPV of wanneer zijn V0 en NPV gelijk?
Option to invest: hierbij bereken je dmv CF’s, r en ce de NPV, die wordt in eindformule gebruikt. Geen Vo bekend
Option to expand or contract: option dmv Yx en dan vervolgens NPV = V0 om Expanded NPV te krijgen
Option to Defer
Growth options
, Option to Expand or Contract
Option to Abandon
Option to Temporarily Shut Down
Staged Financing
Internal Approach
- Resource based view
- Dynamic Capabilities
Unique resources and capabilities are the source of value creation
1 Resources should be a source of competitive advantage relevant
2 Resources should be sustainable difficult to imittate
3 Resource should be appropriable
Competitive advantages seen as an ability to adapt in changing environment with
their evolution paths ( =acquisitions are seen as a chain of interrelated
investments) and position (asset base/relationships with other players/reputation)
Describe path and position
External Approach
- Porters 5 forces
- Game theory
