Asset divestments, economic crisis, and the future performance of companies
This paper investigated the impact of asset divestments made by financially constrained companies on their future performance, as well as their potential for reversing past losses. After applying the pairing of the companies listed, the estimation of the relationships of the variables took place th...
| Main Authors: | , , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Universidade Federal do Ceará
2022-09-01
|
| Series: | Contextus |
| Subjects: | |
| Online Access: | http://www.periodicos.ufc.br/contextus/article/view/78644 |
| _version_ | 1828147548453339136 |
|---|---|
| author | Simone Dias de Moraes Silvania Neris Nossa Nádia Cardoso Moreira Talles Vianna Brugni |
| author_facet | Simone Dias de Moraes Silvania Neris Nossa Nádia Cardoso Moreira Talles Vianna Brugni |
| author_sort | Simone Dias de Moraes |
| collection | DOAJ |
| description |
This paper investigated the impact of asset divestments made by financially constrained
companies on their future performance, as well as their potential for reversing past losses.
After applying the pairing of the companies listed, the estimation of the relationships of the
variables took place through GMM and LOGIT. The research findings indicate that there is
evidence that the sale of assets by companies with financial constraints contributes to future
performance. A contribution of this research is for managers who have empirical results that
have not yet been discussed in the Brazilian literature and that can serve as support in
decision-making on the policy of selling or maintaining assets
|
| first_indexed | 2024-04-11T21:01:54Z |
| format | Article |
| id | doaj.art-70a83de0365a43b9914fa361634c4886 |
| institution | Directory Open Access Journal |
| issn | 1678-2089 2178-9258 |
| language | English |
| last_indexed | 2024-04-11T21:01:54Z |
| publishDate | 2022-09-01 |
| publisher | Universidade Federal do Ceará |
| record_format | Article |
| series | Contextus |
| spelling | doaj.art-70a83de0365a43b9914fa361634c48862022-12-22T04:03:27ZengUniversidade Federal do CearáContextus1678-20892178-92582022-09-012010.19094/contextus.2022.78644Asset divestments, economic crisis, and the future performance of companiesSimone Dias de Moraes0Silvania Neris Nossa1Nádia Cardoso Moreira2Talles Vianna Brugni 3Fucape Business SchoolFucape Business SchoolFucape Business School Fucape Business School This paper investigated the impact of asset divestments made by financially constrained companies on their future performance, as well as their potential for reversing past losses. After applying the pairing of the companies listed, the estimation of the relationships of the variables took place through GMM and LOGIT. The research findings indicate that there is evidence that the sale of assets by companies with financial constraints contributes to future performance. A contribution of this research is for managers who have empirical results that have not yet been discussed in the Brazilian literature and that can serve as support in decision-making on the policy of selling or maintaining assets http://www.periodicos.ufc.br/contextus/article/view/78644economic crisisfinancial restrictionsperformanceinvestmentsdivestments |
| spellingShingle | Simone Dias de Moraes Silvania Neris Nossa Nádia Cardoso Moreira Talles Vianna Brugni Asset divestments, economic crisis, and the future performance of companies Contextus economic crisis financial restrictions performance investments divestments |
| title | Asset divestments, economic crisis, and the future performance of companies |
| title_full | Asset divestments, economic crisis, and the future performance of companies |
| title_fullStr | Asset divestments, economic crisis, and the future performance of companies |
| title_full_unstemmed | Asset divestments, economic crisis, and the future performance of companies |
| title_short | Asset divestments, economic crisis, and the future performance of companies |
| title_sort | asset divestments economic crisis and the future performance of companies |
| topic | economic crisis financial restrictions performance investments divestments |
| url | http://www.periodicos.ufc.br/contextus/article/view/78644 |
| work_keys_str_mv | AT simonediasdemoraes assetdivestmentseconomiccrisisandthefutureperformanceofcompanies AT silvanianerisnossa assetdivestmentseconomiccrisisandthefutureperformanceofcompanies AT nadiacardosomoreira assetdivestmentseconomiccrisisandthefutureperformanceofcompanies AT tallesviannabrugni assetdivestmentseconomiccrisisandthefutureperformanceofcompanies |