Vasily Komarov

Ph.D., Associate Professor

Financial University under the government

of the Russian Federation 

Department of Marketing

Implementing strategic decision model on emission and placement bond-like papers in IPO market

Abstract

For the last years modern and dynamic growing businesses are facing problem of market capital growth, and IPO market becomes the great solution for this problem. IPO markets are facing some new trends. Dealing on the growing markets top-managers tend to search for the new ways of managerial decisions. One of the main difficulties is connected with the fact, that many managers have a dim view on the steps of joining IPO. Another problem is connected with impossibility to use traditional DCF method, where suggested rate of growth is not highlighted as primary. Addition of profits and costs related with joining IPO can be used as a way to solve this problem. Unfortunately mistakes, made during IPO are not giving only added burden, but also distort motivation for business practice implementation.  Article describes mechanics of gaining profit from IPO, implementation of EVA, business strategies depending on branch growth and correlation of ROI and WACC and strategic model of managerial decisions on joining IPO market.

Key words: decision making, market strategy, business-model, capitalization, risks

JEL codes: L100, D800, G310