Natural Market Share: In Search of Jensen's Corporate Objective Function

9 Pages Posted: 15 Feb 2009 Last revised: 17 Feb 2009

Date Written: February 15, 2009

Abstract

Building on Jensen's theory of corporate value maximization, this paper specifies a natural market share function - one that maximizes earnings. By way of illustration, the result is applied to the analysis of natural market share for a hypothetical merger between Federal Express [FDX] and Thomas Nationwide Transport [TNT], based on the 2007 financial statements of five international cargo air carriers.

Keywords: Market share, objective function, optimal expenses, earnings maximization, cargo air carriers

Suggested Citation

Cook, Victor J., Natural Market Share: In Search of Jensen's Corporate Objective Function (February 15, 2009). Available at SSRN: https://ssrn.com/abstract=1343946 or http://dx.doi.org/10.2139/ssrn.1343946
No contact information is available for Victor J. Cook

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
162
Abstract Views
1,343
rank
227,392
PlumX Metrics