The impacts of economy’s financialization on corporate governance, executive management and human relationships in French small and middle-sized companies[Research paper] by Yazid Arifi


The author was part of the "Alternative Management" third year specialization program in HEC in 2012-2013. After having worked in the phosphate industry, in market finance and in a consulting firm, Yazid Arifi is interested in the work of heterodox economists and intellectuals, so as to feed his reflection on the legitimacy of capitalism. He now plans to work in the third sector or in a NGO.

This work aims at exploring and understanding the impacts of economy’s financialization on small and middle sized French companies in terms of governance, management and human relationships. To be more precise, the thesis focuses on one specific financial mechanism named LBO, which stands for Leveraged Buy Out. It consists of buying the shares of a given corporation resorting to massive indebtedness and relying on the firm’s cash flows to pay back the debt. This analysis of LBO gives the opportunity to learn more global and structural lessons about the consequences of financialization on the way economies work and on the unbalances it introduced in the relationship between capital and labor. The last part of the research is meant to suggest a series of institutional shifts that might pave the way for an alternative to LBO and, broadly speaking, to financial hegemony.

Quote article  Yazid Arifi, « The impacts of economy’s financialization on corporate governance, executive management and human relationships in French small and middle-sized companies », 29 september 2013, Alternative Management Observatory (AMO), [Research paper]

In the same section

Industry and Cooperation - by Jacques De Heere

[Research paper]

[Research paper] : Jacques de Heere

After having introduced the Acome group in its historical, economical and political dimensions, Jacque De Heere presents us his career in the French industry : today, he works with passion at the top of the hierarchy of Acome, since he is the chairman and CEO of this group. Finally, Jacques De...

>>Read more

The Fortune at the Bottom of the Pyramid - Eradicating poverty through profits - by C.K. Prahalad

[Reading report]

[Reading report] : Garance Rey

In this 5th edition, Prahalad presents the original text of the book The Fortune at the bottom of the Pyramid, released in 2004, in which he points out that associating the poorest to economic approaches instead of assistantship, developing business models that fit them, is a reliable solution to...

>>Read more

Freefall - by Joseph E. Stiglitz

[Reading report]

[Reading report] : Nicolas Trimoulet

The Great Recession has impacted more people worldwide than any other crisis. Stiglitz traces the origins of this economic crisis (« market fundamentalism », deregulation etc), outlines the flawed responses of our governments and presents the alternatives. Going deeper, Stiglitz offers an...

>>Read more

Alleviating poverty through profits. The BoP, a new paradigm to alleviate poverty ?

[Research paper]

[Research paper] : Lorraine Gérard

As today's rich get richer, today's poor are still facing many plagues that jeopardize the economic and political balance not only of their own countries but of the overall world. This situation can be seen as the proof of the inefficiency of the development policies that have been carried on so...

>>Read more

The Rhetoric of Reaction: Perversity, Futility, Jeopardy - by Albert O. Hirschman

[Research paper]

[Research paper] : Brice Jeullin

Whereas the German sociologist Max Weber argues in his work The protestant ethic and the spirit of capitalism that the Western world has lost its guilt about the idea of making profit withthe Protestant Reformation, the author of Franciscan Richness Giacomo Todeschini, seeks to demonstrate here...

>>Read more

With the same doctype

Research paper

Career paths of French entrepreneurs ... The concept of fair trade was born from... by Audrey Azilazian
Williamsburg, history of a musical... Since the end of the 1980s, the... by Elena Schmitt
The Debate on the “Triple Bottom... The aim of our work was to carry out a... by Thibault Asselot
Entrepreneurship after the collapse of... Through the time of transition, Russian... by Marine Bikard
Risk generation: how ans why protest... This thesis considers the Risk... by Pierre-Antoine Chiarelli
Working for social business after HEC -... Laurence Grandcolas-Lamoureux created... by Laurence Grandcolas-Lamoureux
Sociological analysis of CSR managers CSR managers and directors serve an... by Florent Gitiaux
The historical construction of the... In the Age of Antiquity, labour was a... by Anne-Laure Alloncle
How is it possible to follow the ideas... “Degrowth” is the idea that an... by Anne Hurand
The evolution of the Chinese banking... The Chinese banking market is one of... by Jie Zhu