Behavioral Finance and Entrepreneurial Finance: A Short Note

This paper draws the attention of the new researchers to what has been going on in the Behavioral Finance front and how we can draw from and expand upon such works. By doing so, we hope to find more convincing answers to the key questions that continue to define our fascinating academic niche

Decision Making in Entrepreneurial Finance: A Behavioral Perspective

Central questions in entrepreneurship and entrepreneurial finance are briefly discussed and case is made for the need for applying the behavioral finance theories and models to better understand the decision making dynamics that is involved at each stage of the entrepreneurial process. By dissecting a venture\u27s total risk into a Resident Risk component and a Behavioral Risk component, attempt is made in this writing to introduce a preliminary risk model for evaluating key retrepreneurial decisions like the decision to launch and fund a new venture. Although the focus here is on individual decision making under highly uncertain entrepreneurial environments, but the suggested risk framework and the related discussions can be extended to decision making processes in all other uncertain environment

Venture Financing and Role of Certification: A Theoretical Perspective

This paper attempts to extend the Certification Paradigm--mainly used in the literature as an explanation for IPO underpricings--to provide guidelines to entrepreneurs in their efforts to secure funding for new ventures. After extending the model to cases of pre-venture-capital start-up firms, along with the practical implications that would follow, efforts are made to derive some testable hypotheses for further research on the topic

Predicting Firm Failure: A Behavioral Finance Perspective

In this article we first argue that researchers in the area of financial distress and failure cannot ignore the human/managerial/decision-making side of the business and just focus on the business\u27 operations side; as has been the case so far for almost all the research in the area. We then discuss how psychological phenomena and principles, known as heuristics or mental shortcuts, could be utilized in building more powerful success/failure prediction models especially for small and medium sized enterprises (SMEs)

Operationalizing a Behavioral Finance Risk Model: A Theoretical and Empirical Framework

To keep up with the rather fast-growing interest in the discipline of Behavioral Finance and Economics caused in part by the new realities of the post-200S world, and the realities prevailing over three decades before and leading up to that year- there is a discernible need for the production of new generations of testable and yet more realistic models and theories as guides for financial and economic decision makers everywhere. The present work is one such attempt in that direction. This writing first improves upon a recently developed, and real-life-inspired, Behavioral Finance Risk Model (Yazdipour, 2011) and then offers a specific methodology for testing it

Simulation of dynamic recrystallization using irregular cellular automata

Computer simulation is a powerful tool to predict microstructure and its evolution during dynamic recrystallization. Cellular Automata (CA), as one of the most efficient methods proposed to simulate recrystallization and grain growth. In this work, recrystallization and grain growth phenomena were modelled by using a two dimensional irregular CA method. Initial grain size, nuclei density and orientation of each grain were variables which have been used as entering data to the CA model. Final grain size, orientation of each grain, dislocation density and stress-strain curve were the results which have been resulted to validate the current model. Considering the model assumptions, it is shown that the CA can successfully simulate dynamic recrystallization

Structure-property relations of metallic materials with multiscale microstructures

Nanostructured metals have higher strength than those of the coarse grained metals but suffer from the extremely limited ductility. Development of the multiscale microstructures can improve the ductility of these high strength materials due to the introduction of a specific range of grain sizes in micro level. The present work relates the multiscale microstructures in metals to their overall structure properties using a fractal theory and the modified mean-field method, where three microstructural parameters are introduced and thus mechanical properties such as strength and ductility are presented as a function of these microstructural parameters. Meanwhile, with the applications of the finite element method, the multiscale unit cell approach is also critically developed and applied with a focus on predicting the related stress-strain relations of the metals with multiscale microstructures. For verification of these proposed theoretical and numerical algorithms, the mechanical properties of the pure copper with three-grain microstructures are investigated and the results from FEA and theoretical solutions have a reasonable agreement