Firm Decisions: Determinants of Investments
The investment decision is part of a companies’ investment strategy. Defined as a logical set of technical and economic information, the investment strategy determines the main objectives of the firm regarding its investments, based on studies, analysis and simulations. It also establishes the actions to be undertaken in order to achieve the objectives, methods of achieving them, sources of funding and resource allocation methods. Still, all these are influenced by several factors. The investment decision must be therefore attentively and strongly substantiated. The present paper addresses the issue of investment policies within companies, and in particular the investment decisions. Through this study I intend to analyze the main determinants of companies’ investment decisions. The analysis conducted refers to stock market influences on firm’s investment decisions.
Volume (Year): XI (2011)
Issue (Month): 2 (May)
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