This paper solves for a firm's optimal cash holding policy within a continuous time, contingent claims framework that has been extended to incorporate most of the significant contracting frictions that have been identified in the corporate finance literature. Under the optimal policy the firm...

We study a continuous time model of a levered firm with fixed assets generating a cash flow which fluctuates with business conditions. Since external finance is costly, the firm holds a liquid (cash) reserve to help survive periods of poor business conditions. Holding liquid assets inside the...

This paper considers the impact of financial contracting on growth by exploring a model where entrepreneurs initially do R&D but subsequently need both outside investors to provide funds for capital investments and outside mangers to operate the firm efficiently some time after assets are in...

We study the relation of financial development and the pace of technological advance in a dynamic agency theoretic model. A firm which is financed by outside shareholders but run by managers has the prospect of a process innovation which arrives stochastically. Adopting the innovation requires...

Previous studies have shown that lack of information can provide an obstacle to firms’ endeavour to be competitive in oversea markets. This study provides empirical data that examine how managers of internationalising UK high-technology firms perceive the usefulness of overseas market...

Die Internationalisierung von Firmen wird seit langem als inkrementeller Prozess betrachtet, in dem Firmen von "psychologisch nahen" Märkten angezogen werden und ihr Engagement auf internationalen Märkten durch eine Abfolge von "Entwicklungsphasen" allmählich und schrittweise verstärken....

The objective of this study was to explore the linkages between the overall business strategies of small firms and their patterns, processes and pace of internationalization. A qualitative approach was adopted, involving 30 indepth interviews with key decision makers of internationalizing small...

This paper positions itself in the growing body of work on international entrepreneurship and investigates the perceptions of a small sample of high-technology UK firms operating in overseas markets. Some firms were found to employ a number of modes of market entry other than the exporting...

This paper reports empirical results from a research project investigating selected characteristics and perceptions of technologically oriented firms. Specifically, it examines data from a survey of winners of the Queen's Award for Technological Achievement, and from a sample of technologically...