Corporate Financial Strategy

RATIONALE 

Managers at all levels of business operations need financial literacy to help make informed decisions for their organizations. This module challenges the Business Management students to a range of corporate risk management aspects and associated financial strategies. It initially concentrates on the application of relevant tools and techniques in managing financial risk before progressing to a more strategic perspective in terms of capital structure and boardroom decisions. The material and activities within tis module involve several case studies that give students the simulated experience of working on financial issues that managers have to deal with on a day-to-day basis. Accordingly, this module encourages students to appreciate and understand the financial implications of the decision-making process in the real-world corporate environment. 

AIMS 

Through the completion of this module students will: 

• To appreciate and apply contemporary theories and tools to strategic financial management 
• To understand and utilize appropriate tools and techniques to facilitate strategic corporate decisions such as risk management, capital structure, cost of finances and working capital management 
• To evaluate corporate financial decisions from the perspectives of managers and directors in the boardroom 

LEARNING OUTCOMES 

On successful completion of this module, a student will be able to: 

1. Analyze and synthesize the inter-relationships between decisions concerning investment, financing and dividends 
2. Examine the theories of finance on capital asset pricing, dividend payout and firm valuations and how they guide the corporate strategic directions  
3. Evaluate strategic decisions on sources of long-term and short-term financing and consider their impact on capital structure, cost of equity and debt and apply appropriately 
4. Interpret and evaluate ethical claims and ethical dilemmas relating to corporate financial strategies