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There are 9 modules in this course
Explore the essential principles of corporate valuation, including value creation, risk, cost of capital, and the impact of market performance. Gain a solid grounding in the financial concepts that underpin effective valuation and strategic decision-making.
This module explores the foundational principles of value creation in business, examining the importance of long-term strategies over short-term gains. Learners will investigate the roles of shareholders and stakeholders, the pitfalls of short-termism, and the broader implications for corporate governance and economic stability. Through real-world examples, the module highlights the consequences of neglecting value-creation principles.
What's included
1 video6 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
6 readings•Total 28 minutes
Introduction•4 minutes
What Does It Mean to Create Shareholder Value?•4 minutes
Short-Termism Runs Deep•6 minutes
Shareholder Capitalism Cannot Solve Every Challenge•4 minutes
Can Stakeholder Interests Be Reconciled?•5 minutes
Consequences of Forgetting Value-Creation Principles•5 minutes
1 assignment•Total 16 minutes
Value Creation and Strategic Thinking•16 minutes
Finance in a Nutshell
Module 2•1 hour to complete
Module details
This module explores how companies create value by balancing growth and return on invested capital, using real-world business scenarios. Learners will follow the journey of Lily's Emporium, examining strategic decisions such as expansion, going public, and diversifying formats. By the end, you'll understand key financial concepts that drive business success.
What's included
1 video4 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
4 readings•Total 17 minutes
Introduction•4 minutes
A New Concept•4 minutes
Going Public•5 minutes
Expansion into Related Formats•4 minutes
1 assignment•Total 16 minutes
Financial Analysis and Value Creation•16 minutes
Fundamental Principles of Value Creation
Module 3•1 hour to complete
Module details
This module explores how companies generate value by analyzing the interplay between cash flow, revenue growth, and return on invested capital (ROIC). Learners will examine key financial concepts such as economic profit, the value driver formula, and the strategic implications for managers. The module also covers the historical foundations and mathematical principles underlying value creation.
What's included
1 video8 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
8 readings•Total 49 minutes
Introduction•4 minutes
The Relationship of Growth, ROIC, and Cash Flow•7 minutes
Balancing ROIC and Growth to Create Value•6 minutes
Implications for Managers•7 minutes
Economic Profit Combines ROIC and Size•5 minutes
Conserving Value: A Brief History•13 minutes
The Math of Value Creation•5 minutes
Summary•2 minutes
1 assignment•Total 16 minutes
Fundamental Principles of Value Creation•16 minutes
Risk and the Cost of Capital
Module 4•1 hour to complete
Module details
This module explores the relationship between risk and the cost of capital in corporate finance, addressing common misconceptions and strategic pitfalls. Learners will examine how companies assess and manage different types of risk, make informed decisions about cash flow uncertainty, and determine when to hedge or embrace specific risks. Practical examples from various industries illustrate how these concepts impact real-world financial decisions.
What's included
1 video5 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
5 readings•Total 28 minutes
Introduction•6 minutes
Companies Have Little Control over Their Cost of Capital•4 minutes
Create Better Forecasts, Not Ad Hoc Risk Premiums•8 minutes
Decide How Much Cash Flow Risk to Take On•6 minutes
Decide Which Types of Risk to Hedge•4 minutes
1 assignment•Total 16 minutes
Financial Risk and Capital Cost Analysis•16 minutes
The Alchemy of Stock Market Performance
Module 5•1 hour to complete
Module details
This module explores how total shareholder returns (TSR) are used to evaluate company performance, highlighting the influence of investor expectations and real-world examples from the food industry. Learners will gain insights into the challenges managers face when using TSR as a performance metric and understand the implications of the 'expectations treadmill.'
What's included
1 video4 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
4 readings•Total 27 minutes
Introduction•8 minutes
The Treadmill's Real-World Effects•11 minutes
Understanding Expectations•4 minutes
Implications for Managers•4 minutes
1 assignment•Total 16 minutes
Stock Market Performance and Valuation Insights•16 minutes
Valuation of ESG and Digital Initiatives
Module 6•1 hour to complete
Module details
This module explores how environmental, social, and governance (ESG) factors and digital initiatives contribute to business value creation. Learners will examine the challenges of valuing these emerging priorities and discover strategies for leveraging them to drive revenue growth, optimize investments, and enhance organizational performance.
What's included
1 video5 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
5 readings•Total 30 minutes
Introduction•6 minutes
Revenue Growth•6 minutes
Investment and Asset Optimization•5 minutes
Paths to Improved Performance•11 minutes
Closing Thoughts•2 minutes
1 assignment•Total 16 minutes
ESG and Digital Initiative Valuation Insights•16 minutes
The Stock Market Is Smarter Than You Think
Module 7•1 hour to complete
Module details
This module explores the relationship between stock prices and economic fundamentals, debunking common myths about market behavior, earnings management, diversification, and value distribution. Learners will examine empirical evidence to understand what truly drives company value and how market mechanisms operate beyond conventional wisdom.
What's included
1 video9 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
9 readings•Total 47 minutes
Introduction•6 minutes
Markets and Fundamentals: The Evidence•5 minutes
Higher Returns, Higher Value•6 minutes
Myths about Earnings•5 minutes
Write-Downs•4 minutes
Myths about Earnings Management•5 minutes
Myths about Diversification•4 minutes
Myths about Market Mechanics•6 minutes
Myths about Value Distribution•6 minutes
1 assignment•Total 16 minutes
Stock Market Fundamentals and Corporate Finance•16 minutes
Return on Invested Capital
Module 8•1 hour to complete
Module details
This module explores the key drivers of return on invested capital (ROIC), including how competitive advantage, cost and capital efficiency, and network economies contribute to value creation. Learners will examine industry trends, the stability of ROIC across sectors, and the importance of product renewal in sustaining high returns. By the end, you'll understand how strategic decisions impact a company's ability to generate superior returns.
What's included
1 video9 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
9 readings•Total 49 minutes
Introduction•4 minutes
What Drives ROIC?•5 minutes
Competitive Advantage•8 minutes
Cost and Capital Efficiency Advantages•8 minutes
Network Economies•5 minutes
Potential for Product Renewal•4 minutes
ROIC Trends and Drivers•6 minutes
Stability of ROIC•6 minutes
Summary•3 minutes
1 assignment•Total 16 minutes
ROIC and Competitive Dynamics•16 minutes
Growth
Module 9•1 hour to complete
Module details
This module explores the drivers and strategies behind corporate growth, examining how different approaches impact value creation. Learners will analyze empirical research on growth patterns and learn to assess the sustainability of growth projections for strategic decision-making.
What's included
1 video5 readings1 assignment
Show info about module content
1 video•Total 1 minute
Overview•1 minute
5 readings•Total 31 minutes
Introduction•5 minutes
Growth and Value Creation•9 minutes
Choosing a Growth Strategy•7 minutes
Empirical Analysis of Corporate Growth•5 minutes
Sustaining Growth•5 minutes
1 assignment•Total 16 minutes
Strategic Growth and Value Creation•16 minutes
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