1984 research outputs found
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Unexpected Inflation, Capital Structure And Real Risk-Adjusted Firm Performance
No full textManagers can improve real risk-adjusted firm performance by matching nominal assets with nominal liabilities, thereby reducing the sensitivity of real risk-adjusted returns to unexpected inflation. The Net Asset Value (NAV) of US equity Real Estate Investment Trusts (REITs) serves as a good proxy for nominal assets and accordingly we use a sample of US REITs to test our hypothesis. We find that for the firms in our sample: (i) their real, risk-adjusted performance, and (ii) their inflation hedging qualities are inversely related to deviations from this “matching-nominals argument. In addition to providing managers with a vehicle to maximise real, risk-adjusted performance, our findings also provide investors with the tools to infer inflation-hedging qualities of equity investments
The Interrelationships Between REIT Capital Structure and Investment
Get PDFWe investigate whether Real Estate Investment Trust (REIT) managers actively manipulate performance measures in spite of the strict regulation under the REIT regime. We provide empirical evidence that is consistent with this hypothesis. Specifically, manipulation strategies may rely on the opportunistic use of leverage. However, manipulation does not appear to be uniform across REIT sectors and seems to become more common as the level of competition in the underlying property sector increases. We employ a set of commonly used traditional performance measures and a recently developed manipulation-proof measure (MPPM, Goetzmann, Ingersoll, Spiegel, and Welch (2007)) to evaluate the performance of 147 REITs from seven different property sectors over the period 1991-2009. Our findings suggest that the existing REIT regulation may fail to mitigate a substantial agency conflict and that investors can benefit from evaluating return information carefully in order to avoid potentially manipulative funds
Customer Preferences and Opaque Intermediaries
No full textUsing two choice-based experiments, we evaluate consumer preferences hotel attributes for firms selling hotel rooms across three online distribution channel formats: full information, semi-opaque, and opaque online travel agents. A multinomial logit model is used to analyze the experimental data and measure consumer trade-offs between price and other product attributes. We then use these preferences to determine optimal channel selling strategies. Our optimal channel strategies illustrate under what conditions firms should add opaque distribution channels and the resulting incremental revenue obtained with the setting of optimal channel specific prices. We deploy two choice-based experiments, traditional and menu-based, in an effort to add flexibility to survey respondents in choice selection. As part of our analysis, we compare managerial insights from analysis based on traditional choice-based experiments to that using menu-based choice experiments. In general, we indicate that both forms of opaque selling increase firm demand and that with appropriate pricing can also increase firm revenue. In addition, opaque channels have elevated price sensitivity and increased impact of guest reviews versus traditional online travel agents
Panel: Entrepreneurs and Innovators in Health, Hospitality and Design
No full textHospitality, healthcare and design areas are beginning to intersect more frequently, providing collaborative business opportunities for entrepreneurs. This panel provides the audience with perspectives on some of the many areas where this is occurring, drawing on the panelists unique perspectives, and commenting on the importance of these fields working together, future opportunities and on how clients/partners have successfully applied them in their organizations. Moderated by: Rohit Verma, Executive Director, CIHF; Brooke Hollis MBA \u2778, Associate Director, CIHF. Panelists: Rosalyn Cama, President & Founding Partner, CAMA; Michelle Punj \u2706, MMH \u2709, Director of Operations, Four Seasons Hotel Westlake Village; Alexis Strong MMH \u2708, Director of Service Implementation & Operations, Docent Health. Sponsored by Cornell Institute for Healthy Futures (CIHF) as part of the Entrepreneurship at Cornell Celebration, April 28, 2017
Jamie Huffcut on Complexities of the Hospital Design Process
No full textThe Cornell Institute for Healthy Futures conducted an in-depth interview with Jamie Huffcut, Health & Wellness Practice Leader at Gensler, after she participated in the panel, The Transdisciplinary Future of Design—Opportunities for Health and Wellness Industries, on Nov. 2, 201
The Future of Hotel Revenue Management
Get PDFA survey of some 400 revenue management (RM) professionals finds that the application of hotel RM has gradually become more strategic and more centralized, but changes in RM practices have come more slowly than expected in the past six years. In particular, an earlier prediction that RM would be applied to all hotel revenue streams remains a work in progress, as does the use of mobile technology and social media as distribution channels. In addition, it is now more common for hotels to establish separate RM departments, as projected. Poll participants in the current research project suggested that, going forward, RM practices will be more fully integrated into all hotel operations, including function space (although these ideas have yet to gain much traction in the industry). These findings represent an update of a similar study on emerging trends in RM conducted by the author in 2010
A Supply Chain Coordination Mechanism for Common Items Subject to Failure in the Electronics, Defense, and Medical Industries
Get PDFImproved production processes, particularly miniaturization, have led to the development and use of non-reworkable items subject to failure in modern production environments. Coordinating supply chains for these items requires cooperation between suppliers and buyers in order to balance ordering/setup and holding costs among system partners. In this paper, we first determine optimal inventory policies for both the supplier and buyer. We then apply the bisection method to develop a mechanism which uses a common replenishment time to coordinate a supply chain consisting of a single supplier and n buyers. By utilizing this optimization framework, we minimize total system-wide costs and derive the cost savings associated with our coordinated solution. Numerical examples are then provided for illustration
seniority_list: A Tool to Address the Challenge of Airline Mergers and Labor Integration
Get PDFIntegrating employee groups from separate firms into a combined, well-functioning workforce presents one of the most difficult challenges in a corporate merger. This has particularly been the case in the recent airline mergers in the U.S. that have left three large legacy airlines, namely, American, Delta, and United. Carriers in these mergers have, in some cases, seen years of arbitration and litigation, employee turmoil and labor union decertification, and delays in operational integration and the realization of anticipated merger synergies. In response to this situation, this report introduces seniority_list, a computer-based tool that can be used by unions, employee groups, arbitrators, airlines, and consultants in their workforce integration efforts, analyses, and recommendations. The report demonstrates how the tool addresses such variables as employee tenure, jobs available, and furlough recall schedules, together with ordering and conditions on integration alternatives, to comprehensively assess the short- and long-term impact of workforce integration strategies. The purpose of seniority_list is to help speed up post-merger labor integration, enhance outcome fairness for merged employee groups, reduce conflict, and allow airlines to more quickly realize the operational and financial benefits expected from a merger
The Impact of 3D Printing on Real Estate
Get PDFOne of the most intriguing, and possibly disruptive, technologies now emerging is 3D printing. While still expensive and relatively unpolished, this new method of manufacturing products - from medical devices to airplanes - could be on a path to revolutionize retail, shipping, and the general need for space. Currently, 3D printing is most often used in the real estate industry as a way of creating scale models for new developments. As the technology grows and becomes more commonplace, there may be huge changes coming to real estate from this emerging technology
Information in Stock Prices: Buy the Rumor, Sell the News?
Get PDFThe popular adage, “buy the rumor and sell the news,” can apply to only half of stock trades, because someone must be on the other side of every trade, a party who is “buying the news.” The “news” in this study comes from changes in analyst recommendations, which cause measurable changes in stock prices. On average, analyst upgrades are accompanied by one-day abnormal returns of 1.96 percent, while analyst downgrades lead to one-day abnormal returns of -1.83 percent. Examining the trading patterns of four types of traders, the study finds that active institutional traders are best at buying a stock in the few days before an analyst upgrade (i.e., buying the rumor) and selling it on the upgrade day (selling the news). To a lesser extent, active institutional traders also sell before downgrades, while buying back on downgrade days. In contrast, program institutional traders are typically on the losing side of these trades, while market makers are generally not involved and individuals make only small investment changes. Based on 15,101 analyst upgrades and 15,907 analyst downgrades for 2,122 different NYSE-listed stocks, the study concludes that active managers can add value by trading on research (their own or that provided by sell-side analysts), which suggests that including some actively managed funds can make sense for retirement plans at hospitality firms. Looking specifically at changes in analyst recommendations for publicly traded hospitality firms, the same patterns hold, with average one-day abnormal returns of 1.98 percent on analyst upgrades and -1.79 percent on analyst downgrades and similar “buy the rumor, sell the news” trading patterns by active institutional investors around analyst recommendation changes