Ürün başarısızlıkları ve firma finansal performansı üzerine denemeler

Product failures are commonly experienced across different industries. In this dissertation, the factors that determine the effects of product failures on firm market value and firm risk are examined in various industries including automotive, food, consumer electronics, cosmetics, telecommunication, and airlines. In the first essay, we study "Product Discontinuation and Firm Market Value," the effect of firms' product discontinuation decisions on their markets. The findings offer important insights. First, product discontinuation announcements negatively influence both the short- and long-term stock returns. Second, product discontinuation announcements are linked to positive firm motivations such as new product development leads to positive stock returns in the shortterm. Third, product discontinuation announcements with negative reasons, such as product or commercial failures, receive a higher weight and negatively affect the long-term stock returns. Fourth, product discontinuation announcements that provide a reason associated with the firm's resources or strategies (firm-specific announcements) result in lower stock returns compared to those that state a reason linked to particular industry (industry-specific announcements) in the long-term. Finally, firms' high marketing capabilities positively (negatively) affect the relationship between the product discontinuation announcements and the short-term (the long-term) stock returns. These findings have significant implications for iv both the literature that focuses on the impact of marketing decision on firm market value and firms' marketing strategies. For the literature, the findings (1) are related to the understudied phenomenon of product discontinuation and (2) offer evidence linked to both the short- and long-term stock returns. Moreover, they provide evidence regarding the effects of the firms' innovation capacities on their short- and long-term stock market returns, which are missing in the literature. For firms' marketing strategies, the findings suggest that managers can emphasize the discontinuation rationale in their announcements to lessen the financial losses from their product discontinuation decisions, and subsequently build a reputation as a successful innovator. In the second essay, "Innovative Product Recalls and Firm Financial Performances: Firm Market Value and Unsystematic Risk," I study the change in both firm market value (i.e., the short- and long-terms) and firm risk (i.e., unsystematic equity risk) due to innovative product recalls. This essay argues that the certain recall- and innovation-related factors may influence the relationship between recalls of innovative products and firm market value and firm risk. The findings show that recall volume and recall severity exerted a negative effect in the short-term. Recall severity also positively influences the long-term stock returns. Voluntary recalls, on the other hand, lead to lower stock market returns compared to involuntary recalls of innovative products in the long-term. Furthermore, the results indicate that recall time negatively affects stock market returns in the long-term while it positively associated with increases in unsystematic risk. Lastly, innovation type positively affects the stock market returns in the short-term. These insights are of great interest to both researchers and practitioners. For researchers, as contingency factors, recall time, innovative product life, and innovation type may contribute to the development of both recall and innovation literature by serving as boundary conditions. For managers, it is important to show the roles of these conditions on firm market value and v unsystematic equity risk. Managers' recall strategies may in fact depend on these conditions. Indeed, they can create strategies where the recall time and/or recall severity play key roles on developing such strategies. Moreover, managers pay great attention to the unsystematic equity risks, which often signal the firms' capabilities to stabilize their cash flow and enter new businesses. They can strategically rely on unsystematic equity risks due to innovative product recalls to predict the stability of their firms' future cash flow and evaluate the opportunity of new businesses.