Valuation effects of rollout publicly traded partnerships in the oil and gas industry

In trying to explain the often painful process of corporate restructuring, fingers are frequently pointed at inefficient management. This gives short shrift, however, to an important result of breaking up large, integrated corporations and selling them in smaller pieces: it makes the capital market more nearly complete, and there are strong theoretical arguments that this enhances value. We report the results of a natural experiment that occurred in the oil and gas industry, in which eleven integrated corporations formed publicly traded partnerships to hold their domestic production properties, yet (with few exceptions) retained most of the partnership units under corporate ownership. This behavior avoids any significant change in corporate governance, and is inconsistent with the tax motive popularly attributed as the reason for forming these partnerships; yet we find that significant positive abnormal returns accrued to stockholders when the formations were announced. The results we observe, therefore, support the theory that additional value can be realized by expanding the set of opportunities available to the investment community.     

PLANNING AND TACTICAL FACTORS IN THE PROJECT IMPLEMENTATION PROCESS

It has been a well-recognized axiom in project management research that the project implementation process can be greatly facilitated by addressing a variety of project critical success factors. It is argued here that critical factors often fall into two distinct sub-groups: those related to initial project planning and those concerned with subsequent tactical operationalization. A field study was conducted to explore changes in the perceived importance of project planning and tactical factors across four stages in the project life cycle. The sample consisted of 408 managers currently involved in projects. It was found that the relative importance of planning and tactical factors varies across the project life cycle. Further, the perceived importance of these factors is contingent upon the type of success measure employed. When an efficiency success measure is used, planning factors are initially perceived to be of high importance but are overtaken by tactical issues as the project progresses through its life cycle. When ‘external’ success measures (perceived value of the project and client satisfaction) are employed, project planning factors dominate tactics throughout the project's life cycle. Finally, implications for managers are developed and directions for future research are discussed.     

Endogenous inequality and fluctuations in a two-country model

We study a two-country version of Matsuyama's [K. Matsuyama, Financial market globalization, symmetry-breaking, and endogenous inequality of nations, Econometrica 72 (2004) 853-884] world economy model. As in Matsuyama's model, symmetry-breaking can be observed, and symmetry-breaking generates endogenously determined levels of inequality. In addition, we show that when the countries differ in population size, their interaction through credit markets may lead to persistent endogenous fluctuations.     

Sample bias in contingent valuation: A comparison of the correction methods

Abstract

This article compares various methods for correcting contingent valuation aggregate benefits when the sample is known to be biased. A sample is defined as the population, and response rates are simulated on the basis of a measure of salience. The simulated response rates suffer from nonresponse bias and selection bias. Coefficient and benefit estimates that result from weighting and self‐selection correction approaches are compared with the true coefficient and benefit estimates. Our results indicate that at both low and high response rates the standard approach leads to bias, and either correction approach will reduce the bias in coefficient and benefit estimates.     

Thailand as a tourist destination: Perceptions of international visitors and Thai residents

In the tourism industry, the perceptions of a tourist destination are critical to its image. Image can be either a mental image of a product created by a marketing department or an associative image of a product that is developed by the consumer. Tourism destinations must be careful about their image so the perception that they have is not different from the way that they are perceived by potential travelers. This study examines the perceptions of international visitors and Thai residents on the image of Thailand as a tourist destination. International visitors and Thai residents were both surveyed to determine their perceptions of the image of Thailand. Some results of the study found that Thai residents and international visitors felt cultural sightseeing, friendly people and food were significantly important when thinking of Thailand as a tourist destination, while international visitors felt that nightlife and entertainment were significantly more important than that of Thai residents.     

Tourism in Scotland—under new management

Scotland's tourism product has its own national identity which is derived from the distinctive character of the country's climate, culture, tradition, and industrial and social history. In this report John Stuart, Director of External Relations at the Scottish Tourist Board, describes the new techniques that have been devised to manage the tourism industry in Scotland and promote its product in the UK and overseas.