DocumentCode
2746171
Title
Improvement of Discounted Cash Flow Theory in Mergers and Acquisitions Based on Games
Author
Liu, Hongjiu ; Hu, Yanrong
Author_Institution
Dept. of Manage., Changshu Inst. of Technol., Changshu, China
fYear
2009
fDate
6-7 June 2009
Firstpage
192
Lastpage
195
Abstract
The result of value appraisal decides whether an enterprise acquires target or not. Discounted Cash Flow is a theoretical, widely applied method of value appraisal. However, it predicts cash flow by linear model, static appraisal and ignores integration cost. This paper tries to amend the flaws through combining games and Discounted Cash Flow method, considering integration cost. The amendment optimizes Discounted Cash Flow method, increases its practicability and science. Its improvement is available to reduce the risk of value appraisal and complete integration successfully.
Keywords
appraisal; corporate acquisitions; financial management; game theory; acquisitions; discounted cash flow theory; games; integration cost; mergers; static appraisal; value appraisal; Appraisal; Conference management; Corporate acquisitions; Cost accounting; Electronic commerce; Game theory; Optimization methods; Predictive models; Statistics; Technology management; Games; Mergers and Acquisitions; Value appraisal;
fLanguage
English
Publisher
ieee
Conference_Titel
Electronic Commerce and Business Intelligence, 2009. ECBI 2009. International Conference on
Conference_Location
Beijing
Print_ISBN
978-0-7695-3661-3
Type
conf
DOI
10.1109/ECBI.2009.46
Filename
5189516
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