Consider the comments of Brian Walker, the president of Herman-Miller North America, who was quoted in the
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Consider the comments of Brian Walker, the president of Herman-Miller North America, who was quoted in the chapter as having said: “For dot.coms, it appears that the market has implicitly capitalized a lot of those costs. The market views their negative earnings as investments in the future. It’s more difficult for a traditional Old Economy company trying to participate in the New Economy, because when it affects my earnings, it’s more difficult for Wall Street to say, ‘We’ll give you a break on this.’” Discuss Walker’s remark in the context of the concepts developed in the chapter.
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Behavioral Corporate Finance Concepts And Cases For Teaching Behavioral Finance
ISBN: 9781259277207
2nd Edition
Authors: Hersh Shefrin
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