Spring 2002

Accounting Abroad-How to Keep Managers and Auditors In Line
Reforming Financial Reporting in Developing Nations
How do you improve the quality of financial reporting in countries switching from a planned to a market economy?
Research by Ray Ball

Bargaining Power
Effective Venture Capital Contracts Come in Many Forms
How much can venture capitalists protect themselves against losses if an investment goes bad? How much control should entrepreneurs be prepared to give up? What happens to both parties when a new venture succeeds?
Research by Steven N. Kaplan and Per Strömberg

The Perfect Fit
Internet Strategies in the Apparel Industry
New research shows that differences in organizational form can account for the speed with which firms in the apparel industry have adapted to the Internet and the success some of the firms have experienced.
Research by Robert H. Gertner

A Local Information Advantage
Local Investments Give Mutual Fund Managers the Edge
Finance theory prescribes holding well-diversified portfolios to reduce the overall risk of your investments. Yet, most people tend to hold poorly diversified portfolios, and heavily favor domestic stocks over international stocks. New research linking geography and mutual fund performance suggests that having the right information makes local investments much more attractive to investors.
Research by Tobias J. Moskowitz