Bankruptcy effect on business competitors. : Empirical study of US companies

Bankruptcy is a negative event that not only affects the company in question but all stakeholders of society. Our research will focus on one stakeholder group, business competitors. How are competitors affected by bankruptcy announcements? Past research has tried to answer this question in different ways. Some compared two industries with different characteristics while others worked with multiple industries. Past researchers suggested and tested three independent variables that they thought influence the returns of competitors in the face of bankruptcy: leverage, size and industry concentration. We adopt a different perspective when researching this topic in that we focus on competitors that are close to the bankrupt firm (business competitors) as opposed to using all competitors in an industry. The purpose of our research is to investigate if a chapter 11 bankruptcy announcement has an influence on business competitors within the same economic sector during the time horizon 2004-2012. In order to explore this topic, we incorporate three independent variables: economic sector concentration, firm leverage and firm size, to study if different characteristics of different economic sectors and firms would affect the bankruptcy announcement effect. Based on the quantitative method, our research utilized secondary data to study the relationships between the three independent variables and bankruptcy announcement effect on competitors. We found that the best way to carry out this research is by using a deductive approach and quantitative method. The results of our research showed weak correlations between the three variables and the bankruptcy announcement effect, among which the concentration was the most determinant variable and size has the weakest effect. For both concentration and firm size, we found inverse relationships between these two variables and abnormal returns of the business competitors. The abnormal returns earned by the high leveraged firms were less than the low leveraged ones. The conclusions of our research were that the chapter 11 bankruptcy announcement indeed influence the stock returns of business competitors. The firms in highly concentrated economic sectors had contagion effect while competitive effect happened to the firms in low concentrated ones. The same conclusion was drawn in terms of the firm size. For the leverage, there was no conclusion regarding the contagion or competitive effect as the results were inconclusive

‘African Sex is Dangerous!’ Renegotiating ‘Ritual Sex’ in Contemporary Masaka District

The sexual culture of sub-Saharan African peoples is variously utilized as an explanation for the high incidence of HIV in Africa. Thus it has been the target of behaviour change campaigns championed by massive public health education. Based on ethnographic fieldwork (using participant observation, individual interviews, focus group discussions, and a survey) in Masaka District, this article contests a reified, homogeneous and ethnocentric sexualizing of Africans. It engages with how prescribed ritual sex practices are (re)negotiated, contested, affirmed, policed, revised and given meaning within the context of a society living with HIV/AIDS. Among Baganda, sex is customarily a vital component for ‘completing’ individual prosperity, kin-group equilibrium and social cohesion. Various forms of prescribed customary sexual activities range from penetrative sex interaction between penis and vagina, to symbolic performances such as (male) jumping over women's legs or (female) wearing of special belts. Unlike portrayals of customary sex activities in anti-HIV/AIDS discourse, the notion of ‘dangerous sex’ and the fear of contagion are not typical of all ritual sex practices in Masaka. Akin to Christianity, colonialism, colonial medicine and modernizing discourses, anti-HIV/AIDS campaigns are the contemporary social policemen for sex, sexuality and sexual behaviour. In this regard, public health discourse in Uganda is pathologizing the mundane aspects of customary practices. The HIV/AIDS metaphor is variously utilized by Baganda to negotiate whether or not to engage in specific ritual sex activities.</jats:p