Friday, April 19, 2019
Financial Management Essay Example | Topics and Well Written Essays - 1000 words - 2
Financial Management - Essay ExampleThe discussion will further analyze both strategies of how multinational corporations taste to maximize profits by utilizing increased demand. New York Stock Exchange (big board) NYSE is a tech stock comp some(prenominal) located in Wall Street in dominion of lower Manhattan New York. According to 2013 indices the stock market is by far the largest stock market in the world. The market is a result of Buttonwood Agreement of 1792. The exchange is renowned for its survival in the indorsewash of World War I, 1929 economic depression and 1945 World War II. However, as this discussion will attempt to establish, the exchange is primarily responsible for cause of the great depression and other similar unethical economic acts. Some of these unethical economic acts are cancellation of companies from handicraft due to algorithm issues. Market technicians will get a complex algorithm status to make it harder for the common trader to trade. In particula r, the Exelon case, a advantage company was a direct depict of this malpractices. The software is altered to ensure that some significant tote up of loss is registered on every trade. National Association of Securities Dealers Automated Quotations (NASDAQ) NASDAQ seconds NYSE in terms of surface and trade. The company was founded in 1971 and its operated by NASDAQ OMX group. NASDAQ was the first computerized electronic market, and as a result, traders enjoyed NASDAQ platform which was characterized with bid expenditure and ask price of the stock market. In this case, the introduction of electronic system successfully over powered over-the-counter (OTC) system of trading, which was considered as ineffective. The company also introduced the online platform. Again, the introduction of Small Order Execution schema (SOES) provided a market platform to beat the prevailing order of phone call automation. However, NASDAQ has with time seek to manipulate the market demand to boost its profits. This discussion will present the Facebook initial IPO has undimmed case presentation. Analyze how they attempted to make a profit after the crash and discuss any unethical practices. The economic mood of after recession is characterized with panic, fear resulting to low investments and trading rates. In this event, trading companies will attempt to present to the trader a poor market performance offering a do not trade advice. Many investors will attempt to withdraw their accounts, due to panic, in the act prices will instantly fall. Declined prices are as a result of manipulation will spiral back negatively to the market leading to a further declined prices. The general question rotates on the ability of markets and thoughts of median(a) people. After economic crash, companies resiliently try to bounce to the market with thoughts of with child(p) reformation process (Ingerbrestsen, 2002). For instance, the JPMorgan Chase cashbox behavior is totally based on unethical criminal act. Again, after the crash, NYSE and NASDAQ often stop traders to pick given prices without negotiation. This give and take situation is based on market dictatorship of prices. In most cases, these prices are underpriced up to 15% less or even more. Thirdly, the application of de-regulation tendencies on a high frequency trading is an outright move to ensure that there are overwhelming amounts of capital are not used. This is a direct move to
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