- Provide a comprehensive (and yet concise) discussion on typical facts about capital structure choices among SMEs (e.g. unlisted companies), especially in the context of New Zealand. If you can also provide an example based on the practice of your own
business (owned or employed) in your discussion, that will be a plus.
- Comprehensively describe the concept/idea of ‘Pecking Order Theory’ in explaining capital structure choices among firms, especially in the context of SMEs. Based on Table 3 of the article, does any of the findings in this study consistent with the ‘Pecking Order Theory’ of capital structure? Explain your answers with specific details (You can ignore the econometrics issues around the use of GMM or the treatment of endogeneity issues
through the use of lag instrumental variables (L1 seen in Table 3))
lengthy and complex. Organisations can find the Belbin roles each individual fits through a questionnaire, and thus balanced groups can be formed covering all the roles. However, like with Fiedler’s contingency model, the theory when translated to practice can often become very impractical for organisations to implement regularly. This is largely because the organisation is constrained by the personalities of their employees, their may be an abundance of one personality type and an absence of another, the only solution is to hire externally to fill the missing roles within teams. This can result in an extensive payroll for an organisation and huge financial implications as they cannot legally dismiss employee’s if they have too many of one personality type. The importance of Belbin roles in a team became apparent for Group 1 on the first day of the outdoor management course, the group had 5 people who filled the completer finisher and implementor roles, however had no-one filling the resource investigator or monitor evaluator role, the group ran out of time and did not complete the task successfully. Obviously running out of time was not the sole cause of the groups failure, however if someone had been monitoring time and performance then the group may have realised their option was unfeasible and could have found an alternative solution. One solution for lack of Belbin roles is to assign specific roles to individuals, this was implemented heavily on the outdoor management course for roles perceived to be essential for success such as time keeping. This method works for simple tasks, however for complex tasks the individual with the assigned responsibility can often become engrossed in the task and forget their role, or the opposite becoming too engrossed with the responsibility they have been assigned. Ultimately, like with leadership ensuring teams are functioning properly is highly dependent on the situation, and becomes the leaders responsibility to analyse the situation and correctly organise groups to ensure success.>GET ANSWER