AN ANALYSIS OF SHAREHOLDER VALUE & BUSINESS PORTFOLIO: AN EMPARICAL STUDY

The decade-long boom in the stock market and the more recent boom in the economy have fostered widespread belief in the economic benefits of the maximization of shareholder value as a principle of corporate governance. In this paper, we provide an understanding the themes of analysis of the rise of shareholder value as a principle of corporate governance in tracing the transformation of corporate strategy from an orientation towards retention of corporate earnings and reinvestment in corporate growth through one of downsizing of corporate labor forces and distribution of corporate earnings to shareholders over the past two decades and raise questions about the relation between the maximization of shareholder value and the sustainability of economic prosperity.This paper also suggests an operational approach to strategic planning for international marketing using a portfolio perspective. The need for such a perspective is discussed, followed by an examination of current approaches to international business portfolio analysis and strategic planning. A new approach to international portfolios is suggested. The data requirements and analysis of this approach are outlined and the issues and challenges in the design and implementation of an international business portfolio system are discussed.