DePaul University Week 10 Chapter 13 Novos Strategy & Cost of Capital Paper Week 10 ch13 DB In this board, you will examine the Novo Industri Case. Please

DePaul University Week 10 Chapter 13 Novos Strategy & Cost of Capital Paper Week 10 ch13 DB In this board, you will examine the Novo Industri Case. Please watch the following video (the Power Points accompanying the Video are located on Canvas). https://youtu.be/-F28nq-vDlMIn a single post, provide your answer to one of the case questions and provide one extra article on Novo Industri (from a finance perspective). I found this article, which discusses new insulin pens. It is now Novo Nordisk. 11:02
Chapter 13 Minicase Student.pptx
markets have often been motivated by the need to source foreign capital to
finance large-scale privatization.
P Pearson
Copyright © 2018, 2015, 2012 Pearson Education, Inc. All Rights Reserved
Novo Industri (19 of 19)
Now, market segmentation has been significantly reduced,
although the liquidity of individual national markets remains
limited. Most observers believe that for better or for worse, we
have achieved a global market for securities.
• The good news is that many firms have been assisted to
become MNEs because they now have access to a global cost
and availability of capital.
• The bad news is that the correlation among securities markets
has increased, thereby reducing, but not eliminating, the
benefits of international portfolio diversification. Globalization
of securities markets has also led to more volatility and
speculative behavior as shown by the emerging market crises
of the 1995-2001 period.
P Pearson
Copyright © 2018, 2015, 2012 Pearson Education, Inc. All Rights Reserved
1.
2.
Novo Industri: Case Questions (1 of 4)
Why did Novo believe that its cost of capital was too
high compared to its competitors? Why did Novo’s
relatively high cost of capital create a competitive
disadvantage?
Novo believed that the Danish capital market was
segmented from world capital markets. Explain the six
characteristics of the Danish equity market that were
responsible for its segmentation.
What was Novo’s strategy to internationalize its cost
of capital?
What is the evidence that Novo’s strategy
succeeded?
3.
4.
P Pearson
Copyright © 2018, 2015, 2012 Pearson Education, Inc. All Rights Reserved
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11:02
Chapter 13 Minicase Student.pptx
markets have often been motivated by the need to source foreign capital to
finance large-scale privatization.
P Pearson
Copyright © 2018, 2015, 2012 Pearson Education, Inc. All Rights Reserved
Novo Industri (19 of 19)
Now, market segmentation has been significantly reduced,
although the liquidity of individual national markets remains
limited. Most observers believe that for better or for worse, we
have achieved a global market for securities.
• The good news is that many firms have been assisted to
become MNEs because they now have access to a global cost
and availability of capital.
• The bad news is that the correlation among securities markets
has increased, thereby reducing, but not eliminating, the
benefits of international portfolio diversification. Globalization
of securities markets has also led to more volatility and
speculative behavior as shown by the emerging market crises
of the 1995-2001 period.
P Pearson
Copyright © 2018, 2015, 2012 Pearson Education, Inc. All Rights Reserved
1.
2.
Novo Industri: Case Questions (1 of 4)
Why did Novo believe that its cost of capital was too
high compared to its competitors? Why did Novo’s
relatively high cost of capital create a competitive
disadvantage?
Novo believed that the Danish capital market was
segmented from world capital markets. Explain the six
characteristics of the Danish equity market that were
responsible for its segmentation.
What was Novo’s strategy to internationalize its cost
of capital?
What is the evidence that Novo’s strategy
succeeded?
3.
4.
P Pearson
Copyright © 2018, 2015, 2012 Pearson Education, Inc. All Rights Reserved
Previous
Next
18
=
Inbox
Dashboard
Calendar
To Do
Notifications
Inbox

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