How does the stock simulator work on Investopedia?
The Investopedia Stock Simulator is well integrated with the site’s familiar educational content. Using real data from the markets, the trading occurs in context of a game, which can involve joining an existing game or the creation of a custom game that allows the user to configure the rules.
How is managerial entrenchment related to non-value maximization?
Managerial entrenchment theory. When managers hold little equity and shareholders are too dispersed to take action against non-value maximization behavior, insiders may deploy corporate actions to obtain personal benefits, such as shirking and perquisite consumption.
How does management entrenchment affect the ownership structure?
However through management entrenchment, ownership structure (one of the corporate governance mechanisms) changes in that way which benefits the managers. We already know from the above information that managers have a greater voting power while they are entrenched.
How does entrenchment affect the incentive to maximize value?
On the other hand, the entrenchment hypothesis suggests that as management increases its ownership, the incentive to maximize value declines as market discipline becomes less effective against a larger shareholding manager.
Who are the clients of Dallara Automobili?
Founded in 1972 by aerodynamics engineer Gian Paolo Dallara, the company specializes in manufacturing chassis for race cars. Its client list is a “who’s who” of motorsport: Maserati, Ferrari, Bugatti, Honda, Lancia, Renault and many others.
What does Dallara do in the CFD field?
Dallara invested in the latest-generation processors to run complex CFD equations for both external clients and in-house projects. From a financial perspective, developing a consultancy model allowed Dallara to create a second revenue stream and stabilize its earnings.
Why is Dallara in the car racing industry?
The car racing industry moves in fast-paced cycles, driven by innovation and changes in racing regulations. This led to peaks and troughs in Dallara’s revenues. For its long-term survival, the company needed to smooth out its bottom line.