Corporate Finance (see questions) Essay Example | Topics and Well Written Essays - 3000 words

Corporate Finance (see questions) - Essay Example Bergen (2004) noted about the important debate among stock market investors is whether the market is efficient. Market efficiency here means that all the information are made available to market participants at any given time. Hence the announcement of new technology by the company director in the above case as to the influence on stock prices has almost become immaterial. The efficient market hypothesis (EMH) theory forwards the idea that all stocks are perfectly priced according to their inherent investment properties, and that the knowledge for decision making are made available to all market participants possess equally. One argument against the theory is on its assumption as in the case of believing that that all investors perceive all available information in precisely the same manner. This could he hard to be believed because there are many methods for analyzing and valuing stocks and these may in a sense pose some problems for the validity of the model. If one person may see undervalued market opportunities, it is equally possible to have another person on the basis of growth potential. In other words, the availability of information may still means different things for difference people. Thus under the case, two investors may come to arrive at a different assessment of the stock’s estimated fair market value. Will this reality therefore not create variability in the result? (Bergen, J. 2004). If this argument is sustained it must also sustained that with or without the EMH theory, the differences in investor’s perception and attitude will still be there. Another criticism of the efficient market hypothesis is that, it implies that there is no single investor that will be ever able to get greater profitability than another with the same amount of invested funds. In other words, there is an assumed equal possession of information means that should make the investors

A critical evaluation of one aspect of contemporary hospitality Essay

A critical evaluation of one aspect of contemporary hospitality management - Essay Example These trends have eventually emerged over the period of six decades where the hospitality industry not only expanded but has also seen immense diversification where it is now a booming economic sector (Jones & Pizam 1993 p. 34). Also, with time, the international hospitality industry is shifting away from the traditional vacationing space and vacuum, towards a more integrated approach to encompass various aspects of hospitality management. Also, with globalization and media exposure, people are more interested in exploring Asian cultural and values predicated by developing states which has further paved way for progress in the hospitality management techniques globally. In addition, where other sectors have also been impacted by global depression and economic shocks, global hospitality industry has only reflected growth pattern where around 25 million people showed interest in travelling in the 1950`s while recent trends show that around 1,035 million people undertook foreign trips i n the year 2012 alone. This explains how the trends have been changed drastically in favor of hospitality industry and thus, investors should definitely make a mark on this shift and funnel resources toward this trend (Bremmer 2013 p. 3). Furthermore, an estimate indicated that out of the foreign travelers, around half of the percentage comprised of those who were travelling for holidays, some kind of leisure activities or recreational activities. Also, around 14% of these tourists reported to have travelled for business transaction purposes, while around 27% of these tourists reportedly travelled for VFR purposes (for visiting their friends or relatives) (Tata 2009, p. 1437-1440). Therefore, the industry shifts should also tilt accordingly, where investors should focus on developing spots aimed at enhancing vacationing experiences of these