Effects of company valuation methods and brand valuations
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Abstract (EN)
The importance of valuation methods have started with development technology and depending on this development companies enter into the growth trend. Companies which are unlimited wants to lack of equity started to understand the importance of valuation in growth trend. Concept of financial management has accepted as a section of economy until the starting 1900s. Thus, this concept has contiuned as individual domain from the beginning of the century. Over capital requirements provide to be recognized valuation in 1920s because of technological development. So, basis which can answer has been created firm's liquidity need. Economic crisis in the World and the USA, firm's bankruptcy cause firms steer to external sources which is different from equity in 1929 and 1930. Actually, cause of appearing of value based approaches is the aim of making a place themselves within the economic balance. Concepts of valuation and brand value start to shineout; as a result companies have begun to work on these subjects. Growth objectives of companies offer another aim which is shareholder value maximization. Concept of the valuation stands out with the aim of firm maximize to share value and sustainable profit that is important for shareholder. According to Yalçın (2017:17); managers' the idea of increasing company value receives wide acceptance in the USA after the study of 'Rappaport - Creaiting Shareholder Value in 1986 '. While very few companies have a definite commitment to shareholder value in the beginning 1980s; in the second half of the 1980s, manager's taking over motion provides a strong motivation for creating value. Managers' principal responsibility is the cause of the globalization of competition and capital markets and policies of privatization have became important the idea of increasing share value. Especially; this idea has accepted The United Kingdom, Continent-Europe, Australia and Japan (Rapport, 1986:20). Also, many companies the aim of reinvestment excess cash in mature sectors such as oil. In this study; firstly, company valuation methods are examined theoretically. Actually, method of objective evaluation lead to arrive method of subjective evaluation is made company valuation of Arçelik A.Ş. The importance of determining future value has been emphasized the generated value.Trying to determine the company's the future value calculations were made that use company's free cash flow, studying of economic profit, some important financial ratios, descriptive statistical display and weighted average cost of capital. Some indicator data of the sector which the company is located and depending on this sector regression display were created. The main aim of accounting company valuation do not make subjective weight besides why doing company valuation. Actually, data of in the past years which are possible to shed light on the assessment of the results balance sheet, income statement and cash flow statement according to international financial systems have emphasized finding the current price of stock and making future value projections need. In this case, the subjective valuations will be reduced and the objective valuation rise to prominence and the numerical data will be understood. One of the most important issues in this case is that try to determine the brand value and the importance of the created brand will be emphasized.
Author
Burçin Gökmen
Institution
İstanbul Arel University
Muhasebe Finansman Bilim Dalı
How to Cite
Burçin Gökmen (Master Thesis). Effects of company valuation methods and brand valuations, 2017, İstanbul Arel University.
License
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