IDEAS home Printed from https://ideas.repec.org/a/taf/accfor/v34y2010i3-4p211-221.html
   My bibliography  Save this article

Corporate strategy financialized: Conjuncture, arbitrage and earnings capacity in the S&P500

Author

Listed:
  • Tord Andersson
  • Colin Haslam
  • Edward Lee
  • George Katechos
  • Nick Tsitsianis

Abstract

The conjuncture that ushered in the era of shareholder value served to embed capital market expectations into corporate governance aligning management and shareholder interests. Market arbitrage focussed on modifying contractual relations with stakeholders to extract a (higher) return on invested capital. In this article we focus on cash earnings on capital employed generated by the S&P 500 survivor group of firms covering the period 1990–2008. We use this financial data to construct three complementary perspectives on corporate financial performance: firm, firm-relative and macro. Within this framework the financial numbers and perspectives are analogous to a ‘hall of mirrors’ where ambiguity and contradiction are in play frustrating straightforward performative narratives that connect purpose with financial transformation an era of shareholder value.

Suggested Citation

  • Tord Andersson & Colin Haslam & Edward Lee & George Katechos & Nick Tsitsianis, 2010. "Corporate strategy financialized: Conjuncture, arbitrage and earnings capacity in the S&P500," Accounting Forum, Taylor & Francis Journals, vol. 34(3-4), pages 211-221, September.
    • Handle: RePEc:taf:accfor:v:34:y:2010:i:3-4:p:211-221
    DOI: 10.1016/j.accfor.2010.08.002
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1016/j.accfor.2010.08.002
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1016/j.accfor.2010.08.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Meytang Cédric & Ongo Nkoa Bruno Emmanuel, 2024. "Infrastructure development in sub-Saharan African countries: does insurance matter?," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 49(4), pages 747-778, October.
    2. Ales Novak, 2014. "Business Model Literature Overview," FINANCIAL REPORTING, FrancoAngeli Editore, vol. 2014(1), pages 79-130.
    3. Andersson, Tord & Haslam, Colin, 2012. "The private equity business model: On terra firma or shifting sands?," Accounting forum, Elsevier, vol. 36(1), pages 27-37.
    4. Andersson, Tord & Lee, Edward & Theodosopoulos, Grigorios & Yin, Ya Ping & Haslam, Colin, 2014. "Accounting for the financialized UK and US national business model," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 25(1), pages 78-91.
    5. Lauwo, Sarah & Otusanya, Olatunde Julius, 2014. "Corporate accountability and human rights disclosures: A case study of Barrick Gold Mine in Tanzania," Accounting forum, Elsevier, vol. 38(2), pages 91-108.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:accfor:v:34:y:2010:i:3-4:p:211-221. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/racc .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.