In mid-1992, Christine Olsen has, the Chief Financial Officer (CFO) of this large CAD / CAM manufacturer, dividend decide on the size of the company. A subsidiary question is whether the company should embark on a campaign of corporate image advertising and change the company name to reflect its new perspectives. The case serves as an omnibus review of the practical aspects of the dividend decision, including (1) signal effect, (2) clientele effects, and (3) financial and in. .. Read more »

In mid-1992, Christine Olsen has, the Chief Financial Officer (CFO) of this large CAD / CAM manufacturer, dividend decide on the size of the company. A subsidiary question is whether the company should embark on a campaign of corporate image advertising and change the company name to reflect its new perspectives. The case serves as an omnibus review of the practical aspects of the dividend decision, including (1) signal effect, (2) clientele effects, and (3) finance and investment implications of increasing dividend.
This is a Darden case study.
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from
Robert F. Bruner,
Casey S. Opitz
Source: Darden School of Business
16 pages.
Publication Date: Dec 17, 1997. Prod #: UV0263-PDF-ENG
Northboro Machine Tools Company (v. 1.0) HBR case solution