The relationship between internal value drivers and shareholder value : JSE listed mining companies investigated / A. Gerber

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dc.contributor.author Gerber, Anton
dc.date.accessioned 2009-12-15T05:42:54Z
dc.date.available 2009-12-15T05:42:54Z
dc.date.issued 2008
dc.identifier.uri http://hdl.handle.net/10394/2658
dc.description Thesis (M.B.A.)--North-West University, Vaal Triangle Campus, 2009. en
dc.description.abstract The primary goal of a publicly traded company is to maximise the wealth of its shareholders. This implies that the management of the firm, as agents of the owners, has to manage the firm in such a manner as to create value from every decision taken. Value-based management (VBM) is a management strategy aimed at achieving shareholder wealth creation and is based on the effective management of a set of internal value drivers to maximise wealth creation. The primary objective of the current study is to investigate the quantification of the relationship between internal value drivers and shareholder wealth creation in the Mining sector of JSE listed companies in South Africa. In order to achieve this, the internal value drivers were identified from literature, the necessary financial data was collected and the value drivers as well as actual shareholder wealth were quantified. Revenue growth, operating profitability, capital requirements and weighted average cost of capital (WACC) were identified as the value drivers while total shareholder return (TSR) was identified as the actual shareholder wealth creator. For the purpose of the current study, WACC was excluded from the analysis. By application of linear regression, it was found that revenue growth and operating profitability have a positive, statistically significant effect of TSR. After analysing the effect size, it is however concluded that the effect is not practically significant. These findings concur with similar research in the field of VBM. en
dc.publisher North-West University en_US
dc.subject Relationship en
dc.subject Internal value drivers en
dc.subject Shareholder value en
dc.subject JSE listed en
dc.subject Mining companies en
dc.subject Investigate en
dc.subject Quantification en
dc.subject Wealth creation en
dc.title The relationship between internal value drivers and shareholder value : JSE listed mining companies investigated / A. Gerber en
dc.type Thesis en
dc.description.thesistype Masters

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