A Five Factor Model On The Risk Level of Viet Nam Hardware Industry During and After The Global Crisis
Journal Title: European Journal of Economic and Business - Year 2017, Vol 2, Issue 2
Abstract
In recent years, hardware industry in Viet Nam has reached many achievements. Under the volatility of stock price, and changes in macro factors such as inflation and interest rates, the well-established hardware market in Viet Nam has many efforts to recover and grow from the crisis 2008. This study analyzes the impacts of 5 factors: time point, competitor size, competitive equity determinant, tax rate policy, and leverage on market risk for the listed firms in the hardware industry as it becomes necessary. First, by using quantitative and analytical methods to estimate asset and equity beta of total 22 listed companies in Viet Nam hardware industry with a proper traditional model, we found out that the beta values, in general, for many companies are acceptable. Second, under 3 different scenarios of changing tax rates (20%, 25% and 28%), we recognized that there is the largest dispersion in asset beta value (0,545), if leverage down to 20% and debt plus equity current competitor for the whole year 2011. Third, by changing tax rates in 3 scenarios (25%, 20% and 28%), this study identified that the risk dispersion level in this sample study could be reduced in case the competitor size as current and based on debt plus equity selection, current tax rate of 25% and financial leverage down to 20% (measured by asset beta var of 0,081). Finally, this paper provides some outcomes that could provide companies and government more evidence in establishing their policies in governance.
Authors and Affiliations
Dinh Tran Ngoc Huy
Keywords
Related Articles
- EP ID EP305664
- DOI -
- Views 164
- Downloads 0
Latent Class Analysis for Reliable Measure of Inflation Expectation in the Indian Public.
The main aim of this article is to inspect the properties of survey based on household inflation expectations, conducted by Reserve Bank of India (RBI). It is theorised that the respondent’s answers are exaggerated by ex...
Exploring the Factors that affect Retention of Medical Doctors: A Case Study of Jane Furse Hospital, Limpopo Province, South Africa.
One of the fundamental problems facing the South African public healthcare sector is motivation and retention of the healthcare practitioners. Medical doctors in particular, tend to leave the public sector for the privat...
Methodological Approaches to Regional Policy Designing, Siberia
This research focuses on methodological approaches to the developmentof regional policy in Siberia. Principles, forms, and methods of regional policy implementation are studied. Set are the fundamental objectives of regi...
A Metal Manufacturing Mill Uses Discrete-Event Simulation to Optimise Operations
Simulation modeling is an important technique from mathematics and engineering for planning, implementing, and operating complex technical systems. We modeled the manufacturing operations of a local metal mill company to...
Japanese and American Management: A Conceptual Synthesis
Through the details researching work of Japanese and American Management core strategies at unconventional approach. Japanese and the American are two fundamentally altered management styles from the wider outlook. The g...