Multinational cash management and conglomerate discounts in the euro zone

Henk von Eije and Wim Westerman
Additional contact information
Wim Westerman: Groningen University

No 01E60, Research Report from University of Groningen, Research Institute SOM (Systems, Organisations and Management)

Abstract: We discuss the impact of liberalisation, deregulation and the introduction of a single currency on cash management within multinationals in the euro zone. The developments in the euro zone reduce financial market imperfections in transferring cash and diminish the need for separate local cash holdings. This facilitates the centralisation of cash management and headquarters' financial control. Increased financial power of multinational headquarters, moreover, offers opportunities for disintermediation. By exploiting these options multinationals in the euro zone can start to reap additional benefits of internal financing and conglomerate discounts of euro zone multinationals may diminish.

Date: 2001
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://irs.ub.rug.nl/ppn/237348063 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://irs.ub.rug.nl/ppn/237348063 [302 Found]--> https://irs.ub.rug.nl/ppn/237348063 [302 Found]--> https://www.rug.nl/research/portal/publications/pub(107749f9-9461-45e1-b967-7a6dd1b77c29).html [301 Moved Permanently]--> https://research.rug.nl/en/publications/pub(107749f9-9461-45e1-b967-7a6dd1b77c29).html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gro:rugsom:01e60

Access Statistics for this paper

More papers in Research Report from University of Groningen, Research Institute SOM (Systems, Organisations and Management) Contact information at EDIRC.
Bibliographic data for series maintained by Hanneke Tamling ().