Analysis of the Relationship between Long-Term Decisions and Value Creation

Derbali A, Jamel L and Harbi ER

Published on: 2019-10-08

Abstract

Maximizing value is a major priority that conditions the behavior of market players and guides the decisions and choices of leaders and funders. The objective of our research is to produce an explanatory model of the variation of the value of the company in relation to the long-term financial decisions and according to the performance indicators. For this purpose, the results were very conclusive for the Economic Value Added (EVA) indicator which proved its relevance, by dominating the other variables, in explaining the change in value in the long term.