Year of Graduation
Influence of Competitive Strategy on Company's Leverage
Strategic Management and Corporate Governance
This thesis presents an empirical investigation of the competitive strategy and its underlying economic mechanisms in explaining the capital structure decision across 14 different industries and 714 companies included in the sample. The problem of finding a fit between strategy and finance decisions is as old as both disciplines. Despite the fact that a firm’s financial decisions are shaped by its strategy, there wasn’t many studies dedicated to explore and explain this causality. The author tries to reveal one the mechanisms, which is has purely strategic meaning for a firm.