Research by Gerard Hoberg UNDERPRICING IS COMMON IN INITIAL PUBLIC OFFERINGS—TO A CERTAIN EXTENT, IT MAY BE DIFFICULT TO AVOID. BUT SOME FIRMS CONSISTENTLY SELL NEW STOCK ISSUES AT A MUCH GREATER DISCOUNT THAN OTHERS. IS THIS PHENOMENON DRIVEN BY PURELY COMPETITIVE FORCES, OR BY A SYSTEM THAT DOES NOT ADEQUATELY PROTECT IPO ISSUERS FROM PREDATORY UNDERWRITING PRACTICES?

Research by Galit Shmueli and Wolfgang Jank

 

Research by Gerard Hoberg UNDERPRICING IS COMMON IN INITIAL PUBLIC OFFERINGS—TO A CERTAIN EXTENT, IT MAY BE DIFFICULT TO AVOID. BUT SOME FIRMS CONSISTENTLY SELL NEW STOCK ISSUES AT A MUCH GREATER DISCOUNT THAN OTHERS. IS THIS PHENOMENON DRIVEN BY PURELY COMPETITIVE FORCES, OR BY A SYSTEM THAT DOES NOT ADEQUATELY PROTECT IPO ISSUERS FROM PREDATORY UNDERWRITING PRACTICES?

Research by Susan Feinberg and Gordon Phillips OFF-SHORING. OUT-SOURCING. THESE ARE FIGHTING WORDS IN THE PUBLIC POLICY ARENA, WHERE THE CRY IS OFTEN HEARD TO “STOP SENDING AMERICAN JOBS OVERSEAS!” SMITH RESEARCHERS HAVE FOUND EVIDENCE THAT CONTRADICTS THE COMMON WISDOM ABOUT THIS HOT TOPIC. SURPRISINGLY, IT’S NOT AN EITHER/OR SITUATION. IT’S OFTEN A WIN/WIN SITUATION.