Search results for " valuation"
showing 10 items of 88 documents
Circular Economy and Value Creation: Sustainable Finance with a Real Options Approach
2021
This paper presents a methodological proposal that integrates the circular economy concept and financial valuation through real options analysis. The Value Hill model of a circular economy provides a representation of the course followed by the value of an asset. Specifically, after the primary use, the life of an asset may be extended by going through four phases: the 4R phases (Reuse, Refurbish, Remanufacture and Recycle). Financial valuation allows us to quantify value creation from firms’ asset circularity under uncertainty, modelled by binomial trees. Furthermore, the 4R phases are valued as real options by applying no-arbitrage opportunity arguments. The major contribution of this pap…
Is there a Market Value for Energy Performance in a Local Private Housing Market ? An efficiency analysis approach
2018
This paper aims to find evidence of a “green value” in a local housing market using notarial data on a small urban area in France. We use frontier functions, an original approach that departs from customary hedonistic regressions, to model housing market prices as a production set bordered by an efficiency frontier estimated by Data Envelopment Analysis (DEA). The paper tests if difference in prices (i.e. the distance from the frontier) can be explained by energy performance measured as a normalized categorical ascending kWh/m²/year grade (or Energy Performance Certificate -EPC). We show that there is significative evidence for energy performance's market value. The “Green Property Value” i…
Market valuation and acquiring firm performance in the short and long term: Out-of-sample evidence from Spain
2019
We investigate bidder’s short- and long-term performance in periods of high and low valuation market in response to announcements of acquisitions carried out by Spanish listed firms over the period 1991–2016. We find that acquirers of unlisted targets fully react at the announcement date in high valuation periods, meanwhile the underreaction of listed target bidders at the moment of the announcement in low valuation markets is the result of return continuations. In addition, we find that the market reaction do not depend on recent merger history. Therefore, we provide evidence that bidder reaction to acquisitions is not consistent with the predictions of market sentiment (optimism) after c…
Brand assessment: a key element of marketing strategy
1997
The growing importance of the brand in the life of the company and in consumer perceptions has led many authors to base their analysis on brand value rather than the traditional approach in which its definition, its functions and its characteristics were amply developed. It is becoming increasingly obvious that the brand generates value for the company: brand value is the value of the marginal cash flows generated by a product due to the fact that it is identified with a brand. Brand value is generated by a series of multidimensional assets which interact in a complex way: loyalty; awareness; perceived quality; and identity. One of the main problems for a company wishing to develop a brand …
¿Quién paga, quién gana? El caso de la venta del BdV
2016
ResumenEl proceso de venta del Banco de Valencia gestionado por el FROB duró 10 días. La venta se adjudicó a CaixaBank por un euro después de recibir 5.500 millones de fondos públicos. El informe de Oliver Wyman de 2012 motivó dicha reanudación. En él se estimaban unas necesidades de 1.846 millones en el escenario base, escenario que ha sido peor que el real.Este trabajo analiza el valor del BdV. Los resultados indican que el valor mínimo del BdV para CaixaBank es de más de 4.000 millones de euros. Sin embargo, no se ha podido determinar el porqué de esta diferencia. Diferencia reconocida en las cuentas de CaixaBank. Sin embargo, el precio pagado, un euro, después de un sacrificio muy impor…
Feasibility studies for water reuse projects: an economical approach
2006
Usually the methodologies used to analyse the feasibility of water reuse projects are focused on the internal costs. The aim of this paper is to show a methodology to assess the feasibility of a water reuse project taking into account not just the internal impact, but also the external impact (environmental and social, for example) and the opportunity cost derived from the project. Internal benefit is obtained from the difference between internal income and internal costs. Internal income is obtained by multiplying the selling price of reclaimed water and the volume obtained. Internal costs are made up of the sum of investment costs, operating costs, financial costs and taxes. While some of…
Respondent Uncertainty and Ordering Effect on Willingness to Pay for Salt Marsh Conservation in the Brest Roadstead (France)
2017
International audience; This paper explores the potential link between the sensitivity of willingness to pay (WTP) to the order of presenting bid amounts in contingent valuation questions (ordering effect) and respondent uncertainty. The resource being valued is a public project to protect salt marshes against the spread of an invasive aquatic plant in the Brest roadstead (France). Valuation uncertainty is captured through a variant of payment card format where respondents are given the opportunity to report their WTP as either a single value (Option A) or an interval of values (Option B). The ordering effect is tested using both parametric models that ignore and control for the potential s…
Measuring and reporting confiscated firms' (social) business value
2019
This study highlights the peculiar aspects of the business valuation process involving firms confiscated from the Mafia organisation, by pointing out some criteria to guide the selection of the appropriate valuation method. We identify some preliminary operational proposals for drawing up an effective valuation report taking social and ethical factors into account. Based on an empirical analysis carried out on a sample of Italian firm valuation reports publicly available, we find that the main business valuation choices are not explained in an in-depth manner and that there are many differences between the valuation reports and the prescriptive content proposed. Theoretical implications may…
The recreational value of botanic garden events: A case study of the Zagara plant fair in Palermo, Italy
2022
Botanic gardens are defined by their mission to maintain living plant collections for scientific research, conservation, display and education. This mission represents the potential ecosystem services that botanic gardens aim to produce, with display and education specifically regarding recreational ecosystem services (RES). Visitors must directly experience botanic gardens to transform these potential RES into real benefits, yet the public may not be interested in studying plants during their leisure time. Thus, botanic gardens turn to events to attract visitors. The objective of this study is to estimate the RES benefits created by a botanic garden event and profile the visitors that it b…
Urban consumers’ attitudes and willingness to pay for functional foods in Iran: A case of dietary sugar
2017
Growing concerns for the incidence of incurable diseases and high costs of health care have attracted consumers to functional foods in the world. These foods are characterized with health improvement, lower risk of disease incidence and less health hazards. The present work examined consumers’ attitude and willingness to pay for dietary sugar in Rasht city, Iran. The studied sample included 125 citizens of Rasht in spring and summer of 2016 whose size was determined by Mitchell and Carson approach. Results of contingent valuation method on the basis of one-and-one-half-bound choice model revealed that the descriptive variable of bid had negative, statistically significant impact on the acce…