• Korean Journal of Construction Engineering and Management
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• v.23 no.1
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• pp.83-88
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• 2022

Companies make decisions with risks such as choosing an investment plan in order to pursue profits. This study explained the decision making of the management of construction companies in South Korea using the tendency to avoid losses in the Prospect Theory. To this end, 20-year financial data of 2,881 companies engaged in real estate development, which have to bear the greatest risk among the construction industry, were collected. The collected companies were roughly classified based on the reference point, and the causal relationship between average return on equity and risk preference by group was empirically analyzed through regression analysis. As a result, it was confirmed that if the average return on equity of a company decreases for the group above the reference point, it tends to select an investment plan with low uncertainty in order not to lose additional money. In addition, it was confirmed that if the average return on equity of a company decreases for the group below the reference point, it tends to select an investment plan with high uncertainty to move to the profit area. This result is exactly consistent with the loss aversion tendency of the Prospect Theory.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.9
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• pp.105-115
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• 2020

The study empirically examines the effects of loan portfolio diversification on bank risk and return in the nascent banking market of Vietnam. Loan portfolio diversification is captured through the Hirschman-Herfindahl index and the Shannon Entropy with sectoral exposures. We access each bank's financial reports to collect the required data, especially the breakdown of sectoral loan portfolios, thus constituting a unique dataset. To compute bank return, we use the traditional accounting indicators, including return-on-assets, return-on-equity, and net-interest margin. For bank risk, we utilize the loan-loss provisions and non-performing loans relative to gross customer loans. Using a sample of 30 commercial banks over the period from 2008 to 2019 and the system generalized method of moments estimator for the dynamic panel, we indicate the downsides of portfolio diversification. Concretely, we observe that all diversification measures exhibit significantly negative signs in all regressions across different bank return proxies. At the same time, the estimates display the significant and positive impact of diversification on the non-performing loan ratio. Hence, sectoral loan portfolio diversification significantly hampers bank performance in both aspects of lower return and higher credit risk. The results are robust across a rich set of bank performance and portfolio diversification measures.

• Journal of the Korea Institute of Building Construction
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• v.10 no.1
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• pp.221-228
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• 2010

A construction firm's performance is largely attributable to performance in individual projects. In this regard, the awarding of an individual project has significant implications. However, project awards have received limited attention in the construction sector from amarket assessment perspective. This event study focuses on an analysis of market responses at the time of project awarding. A total of 252 samples wereselected through a rigorous sample screening processes. Performance was measured as cumulative abnormal return, which is traditionally adopted in event analysis. Research results indicated that the overall return is positive, and that the level isstatistically significant. Equity holders realized a higher return for projects awarded from the foreign countries compared to domestic projects. No relationship was observed between project size and the level of return. Other research findings and implications were discussed in detail from a management perspective.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.13 no.4
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• pp.1640-1647
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• 2012

The allocation to third parties in increase of capital is increasing in KOSDAQ firms. With this trend, they cause many problems which involves stock price manipulation. Under this condition, this study analyzes stock price reaction by event study to 197 cases of 81 KOSDAQ companies that allocated to third parties in increase of capital between the year of 2007 and 2009. And we find determinants of cumulative abnormal return by using multiple regression. Results of this research are as follows. First, in case of excess return of (-5, +5), it reveals positive excess return significantly at 1% significance level during 4 days before payment day(event day). But it reveals negative excess return significantly at 1% significance level during 5 days after payment day. Second, in case of excess return of (-40, +40), it reveals positive excess return significantly at 1% significance level during 40 days before payment day(event day). But it reveals negative excess return significantly at 1% significance level during 40 days after payment day. Third, in case of excess return of (0, 1 year), it reveals negative excess return significantly at 1% significance level during 1 year after payment day. Fourth, significant determinant of cumulative abnormal return to (-5, +5) was firm size with positive effect. Significant determinants of cumulative abnormal return to (-40, +40) were reserve ratio and debt ratio. Reserve ratio has positive effect But debt ratio has negative effect. Significant determinants of cumulative abnormal return to (0, 1 year) were firm size, debt ratio, reserve ratio. equity ratio to large shareholder. Firm size, debt ratio, equity ratio to large shareholder have negative effect. But reserve ratio has positive effect.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.2
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• pp.181-193
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• 2020

The midst competition makes a brand all together with its offering products and services is becoming a crucial element for company existence. This requires direct involvement from internal organizational to develop effective strategic branding. According to Asosiasi Penyelenggara Internet Indonesia (APJII), Indonesia's internet penetration is among the highest in Asia. The purpose of this research is to improve the strategic role of brand orientation within Internet Service Provider (ISP) for maximizing return on the company's financial and non-financial benefits by proposing organization change readiness variable. The data collection is taken using an online survey with a non-parametric sampling method and collected 68 qualified respondents for data analysis using SEM-PLS (Structural Equation Modeling with Partial Least Square). The result indicates partial hypotheses on the constructed model between variables brand orientation, brand commitment, and internal brand equity is acceptable. Another finding is stated hypotheses on organization change readiness as moderation is not accepted and means there is no significance to the constructed model. The main conclusion resumes associative human memory can shape up organization change readiness inside internal toward then brand. Relevant cues generate information received in the human brain then will create common associative and becoming social identity on internal brand equity.

• Knowledge Management Research
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• v.22 no.1
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• pp.21-37
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• 2021

The purpose of this study is to explore financial investment knowledge related to multi-strategy, which is not generally shared. Through case studies, we will share it with the domestic hedge fund market. Since the era of full-fledged private equity hedge funds in Korea opens, many funds are created; however, reality is that there is a lack of diversity in strategies. Initially, it started with a simple stock long/short strategy, and various strategies such as mezzanine and alternative investments are in use but funds using multi-strategy are limited. This study aims to present an empirical application plan for hedge fund management strategies using a case study. It will specifically focus on process of achieving Absolute Return using the Multi Strategy technique actively used in securities firms' Prop Trading. With the results of this study, we intend to contribute to those fund managers and desired researchers who are utilizing multiple strategies in the hedge fund management to pursue Absolute Return and to help them strengthening their financial knowledge and competitiveness.

• The Journal of Economics, Marketing and Management
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• v.2 no.1
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• pp.18-28
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• 2014

In this research we investigate the effect return on assets, return on equity, profit margin and earnings per share on working capital management. Current ratio and quick ratio used as proxies for working capital management. The research sample includes 451 year -firm of Tehran Stock Exchange (TSE) listed companies for period 2007-10. The multiple linear regressions were applied to test the research hypotheses. The results showed that, return on assets and earnings per share have a negative impact on working capital management. The results also show that earnings per share and profit margin positively associated with the firm performance.

• Korean Journal of Organic Agriculture
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• v.28 no.1
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• pp.59-68
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• 2020

This study analyzed and suggested management situations and improving issues on a consumer cooperatives which has supplied environmentally friendly agricultural products from the year 2002. Indices of management analysis are stability ratio, activity ratio and profitability ratio. Management Stability ratio indices are debt ratio, net worth ratio, fixed ratio and current ratio. Management activity ratio ones include fixed assets turnover and net worth turnover. And profitability ratio is showed through return on investment, net return on sales and return on equity. In order to analyze these indices, financial statements after the closing entires are used each year.

• Korean Journal of Organic Agriculture
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• v.26 no.4
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• pp.599-607
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• 2018

This study analyzed the management situation of two organizations that have produced environmentally friendly agricultural and livestock products. One organization sells and processes environmentally friendly agricultural products like as grains, vegetables, fruits and processing foods. Another organization processes and sells environmentally friendly livestock products, specially beef products. Indices of management analysis are stability ratio, activity ratio and profitability ratio. Stability ratio indices are debt ratio, net worth ratio, fixed ratio and current ratio. Activity ratio ones include fixed assets turnover and net worth turnover. And profitability ratio is showed through return on investment, net return on sales and return on equity.

• Korean Journal of Organic Agriculture
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• v.30 no.4
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• pp.471-483
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• 2022

This study analyzed management situations of two organizations that have produced environment-friendly agricultural and processed meat products. 'A' farming corporation sells environment-friendly agricultural products like as grains, vegetables, fruits and processing foods. 'B' agricultural corporation processes and sells environment-friendly processed meat products, specially organic and antibiotic-free beef products. Recently, members and production areas of 'A' farming corporation have decreased because of their aging and labor shortage. And Indices for the management analysis are stability ratio, activity ratio and profitability ratio. Stability ratio indices are debt ratio, net worth ratio, fixed ratio and current ratio. Activity ratio ones include fixed assets turnover and net worth turnover. And profitability ratio is showed through return on investment, net return on sales and return on equity.