Why Managers and Companies Take Risks

2006
ISBN: 978-3-7908-1695-2
Verlag: Physica-Verlag HD

Buch, Englisch, 349 Seiten, Format (B × H): 155 mm x 235 mm, Gewicht: 1120 g

Reihe: Contributions to Management Science

This book uses risk in its dictionary meaning as the probabiHty of an unde­ sirable outcome, and has two research questions: when managers make de­ cisions, what leads them to choose a risky alternative? and: what deter­ mines whether the decision proves correct? Answers to these questions form a model of decision making that explains the process and results of managers' risk-taking in the real world. There is an extensive literature on risk and decision making because the topic has been of interest in many disciplines since at least the 18^^ century. Thus insights on the research questions are available from studies of ani­ mals, humans and organisations; and have been drawn by scholars in biol­ ogy, psychology, finance and management. Even so, there is a large gap as most studies are conducted away from corporate settings and use subjects with limited decision experience. The few studies set in real-world condi­ tions tend to concentrate on just a single aspect of decision makers' attrib­ utes, setting and behaviour, and on either decision choices or outcomes. The empirical work in this book is designed to fill part of this gap.

Zielgruppe

Professional/practitioner

Autoren/Hrsg.

Coleman, Les

Fachgebiete

• Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Unternehmensfinanzierung
• Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Bankwirtschaft
• Wirtschaftswissenschaften Betriebswirtschaft Unternehmensfinanzen Finanzierung, Investition, Leasing
• Wirtschaftswissenschaften Betriebswirtschaft Management Unternehmensführung

Inhaltsverzeichnis

Theory of Risk and Decision Making in Management.- Behavioural Evidence on Risk and Decision Making.- Real-World Decision Making Under Risk.- Risk-Taking and Organisation Performance.- Published Models of Decision Making Under Risk.- Why Managers Take Risks.- How Companies Control Risks.- Summary and Discussion.- Risk Budget Theory.- Conclusions.