The Link Between Corporate Debt And Earnings Manipulation
The Link Between Corporate Debt And Earnings Manipulation — By Cédric Poretti

EHL · 18 Aug

Among the many COVID-19-related uncertainties, increasing corporate debt levels represent a major challenge, even though this is nothing new. Global corporate debt has been soaring since the sub-prime crisis and reached USD 72 trillion at the end of Q1 2019 (excluding financial companies) (Statista). Looking at the current crisis, things are not likely to improve any time soon. In many countries, governments are widening their support for corporate debt to help companies face the economic slowdown caused by the pandemic.

Brush Up On Finance & Wine Economics This Summer, Selected By EHL Experts
Brush Up On Finance & Wine Economics This Summer, Selected By EHL Experts — By Beatrice Venturini

EHL · 3 Aug

Dr. Philippe Masset and Dr. Jean Philippe Weisskopf are both associate professors at EHL specializing in Empirical Finance and Wine Economics. They are founding members of the Alliance for Research on Wine & Hospitality Management and have written extensively on the subject. Here they share with us some useful tips on vital pre-learning material for any potential student of economics, equity, finance and management.

How Hospitality and Retail Businesses can Survive the Coronavirus Shutdown
How Hospitality and Retail Businesses can Survive the Coronavirus Shutdown — By René-Ojas Woltering

EHL · 20 Apr

Policymakers around the world have enforced an unprecedented shutdown of public life to slow down the spread of the coronavirus. As a consequence, entire sectors of the economy have seen their revenues collapse to zero. At the time of this publication, it appears that the shutdown will be a matter of months rather than just a few weeks. Yet, to date, no coherent political-economic strategy exists on how businesses may potentially survive a prolonged period without any revenues. Many hospitality and retail businesses are about to be sacrificed in the name of public health.

Machines vs Humans: Real Estate Valuation During the Coronavirus Crisis
Machines vs Humans: Real Estate Valuation During the Coronavirus Crisis — By Dr. Prashant Das

EHL · 15 Apr

Real estate assets are traditionally valued manually, wherein computer tools are used in a supportive role. However, more sophisticated, machine learning-based valuations have gained traction in recent years. As the coronavirus crisis has posed serious challenges to the valuation community, in this article I assess the role of machines in asset valuation during such crises.

20/20 – Aiming for a Perfect Vision of the Hotel Industry
20/20 – Aiming for a Perfect Vision of the Hotel Industry — By Demian Hodari

EHL · 11 Feb

Welcome to the first in a series of panel discussions about the world of hotel real estate investment, development and management. With the help of over 20 dedicated owners/investors, asset managers, developers, general managers and consultants, we will explore a host of questions about the hotel industry in 2020.

LVMH / Tiffany - Diamonds Are Forever!
LVMH / Tiffany - Diamonds Are Forever! — By Stéphane Haddad

EHL · 3 Dec

LVMH is to acquire Tiffany & Co. for $135 per share, in a transaction which will value the entire equity at $16.2 billion. Including net financial liabilities of $0.7 billion, this leads to an implied enterprise value of $16.9 billion for Tiffany, making this the largest acquisition ever made by LVMH.

Hotel Real Estate: How Brands are Re-Imagining Hotel Lobbies
Hotel Real Estate: How Brands are Re-Imagining Hotel Lobbies — By Remy Rein, Sebastian Smith, Jason Marin

EHL · 12 Sep

Several reports show the astonishing growth in self workers, contract freelancers and consultants, according to Statista, 10.3% of the working age population is involved in entrepreneurial activities. Alongside this, project task forces are becoming more and more common, and companies are starting to become more agile in their operations, ING's agile transformation started with the 3,500 staff members at group headquarters, Bart Schlatmann: former chief operating officer of ING Netherlands said, "we invested in tearing down walls in buildings to create more open spaces and to allow more informal interaction between employees. We have a very small number of formal meetings; most are informal. The whole atmosphere of the organization is much more that of a tech campus than an old-style traditional bank where people were locked away behind closed doors."

Agree to Agree: Aligning Hotel Owners’ and Operators’ Goals
Agree to Agree: Aligning Hotel Owners’ and Operators’ Goals — By Michael Sturman, Demian Hodari, Michael J. Turner

EHL · 3 Dec

Hotel owners increasingly rely on hotel management companies to operate their hotels through formalized hotel management agreements (HMA). Separating ownership and operations supposedly benefits both parties: owners are able to invest in hotel real estate and access the professional operating expertise of hotel management companies, while operators can generate important income streams, expand any brands they may have, and earn profits, all without having to invest in the underlying real estate.

How Important is Strategic Management Accounting to Hotel Managers?
How Important is Strategic Management Accounting to Hotel Managers? — By Demian Hodari, Michael J. Turner

EHL · 3 Dec

While hotels have long used traditional management accounting practices, their use of contemporary strategic management accounting (SMA) techniques has not been as widespread. As researchers, this intrigued us because studies conducted outside the hotel industry had found that the relationship between firm strategy and firm performance was significantly enhanced through the use of SMA techniques.

How Involved are Hotel Owners in Property-Level Decisions?
How Involved are Hotel Owners in Property-Level Decisions? — By Michael Sturman, Demian Hodari, Michael J. Turner

EHL · 7 Nov

Hotel owners increasingly contract hotel management companies to operate their properties. While extensive research has examined management agreements to determine the balance of power between owners and management companies, little research has investigated the actual role that hotel owners play in property-level decision making. This is perplexing because management companies generally insist that hotel management agreements (HMAs) specifically stipulate that the owner should not seek to influence the hotel's general manager (GM). In other words, in exchange for their services, management companies have generally required owners to relinquish involvement in the hotel's day-to-day business. However, hotel owners are increasingly sophisticated and institutional, suggesting they may not be content to remain uninvolved as individual or single-property owners had previously done.