As the first decade of the 21st century winds down we have seen a sea change in society's attitudes toward finance. The 1990s can best be described as the decade of shareholder supremacy, with each firm trying to outdo the other in their allegiance to shareholder value creation, or as it came to be known, Value-Based Management (VBM). The first edition of this book, published in 2000, was written to help explain the underpinnings of VBM. At the time of its publication, few questioned...
More DescriptionAs the first decade of the 21st century winds down we have seen a sea change in society's attitudes toward finance. The 1990s can best be described as the decade of shareholder supremacy, with each firm trying to outdo the other in their allegiance to shareholder value creation, or as it came to be known, Value-Based Management (VBM). The first edition of this book, published in 2000, was written to help explain the underpinnings of VBM. At the time of its publication, few questioned the concept. With this new second edition, the authors take a clear look at VBM after having seen it through this tumultuous decade. It is not their intent to play the blame game or point fingers. Nor do they provide an impassioned defense of VBM. This book is an academic appraisal of VBM, where it has been, where it is now, and where they see it going.