NEGOTIATED SETTLEMENT UNDER MLB FINAL-OFFER SALARY ARBITRATION SYSTEM

2014 ◽  
Vol 32 (2) ◽  
pp. 533-543 ◽  
Author(s):  
J. RICHARD HILL ◽  
NICHOLAS A. JOLLY
Keyword(s):  
Negotiated Settlement ◽  
Final Offer ◽  
Salary Arbitration

Major League Baseball Salaries: The impacts of Arbitration and Free Agency

1991 ◽  
Vol 5 (2) ◽  
pp. 111-127 ◽  
Author(s):  
Lawrence Hadley ◽  
Elizabeth Gustafson
Keyword(s):  
Major League Baseball ◽  
Positive Impact ◽  
Free Agency ◽  
Arbitration Process ◽  
Final Offer ◽  
Major League ◽  
The Impact ◽  
Salary Arbitration

Earnings equations are estimated for major league baseball hitters and pitchers using salary data for the 1989 season. The results indicate that final-offer salary arbitration and long-term contracts have a large positive impact on salaries. The impact of free-agency eligibility is also positive, but smaller man arbitration eligibility. This implies that some players have used the arbitration process to extract above-market salaries. Therefore it is concluded that it would be in the interest of the owners to replace arbitration with earlier eligibility for free agency.

Learning from Interest Arbitration: The Next round

ILR Review ◽  
1997 ◽  
Vol 50 (2) ◽  
pp. 237-251 ◽  
Author(s):  
Craig A. Olson ◽  
Barbara L. Rau
Keyword(s):  
Wage Structure ◽  
Negotiated Settlement ◽  
Negotiated Settlements ◽  
Final Offer ◽  
Using Data

In final offer arbitration the decision of the arbitrator provides the parties with information about the preferences of the arbitrator that is not available prior to the award. Using data from Wisconsin teacher negotiations from 1977 to 1986, the authors find that the information contained in an award altered the parties' expectations about the arbitrator's preferences and influenced the subsequent negotiated settlement. The negotiated settlement following an award was higher when the union's final offer was selected than when the employer's offer was selected. In the round following an award, the variance in negotiated settlements declined, and the wage structure toward which the settlements converged was one that conformed with the arbitrator's views of fairness.

Heineken's Acquisition of Asia Pacific Breweries: Accounting for Business Combinations and Changes in Ownership Interests

2017 ◽  
Vol 32 (4) ◽  
pp. 101-127 ◽  
Author(s):  
Pearl Tan ◽  
Chu-Yeong Lim
Keyword(s):  
Market Share ◽  
Joint Venture ◽  
Interesting Case ◽  
Asia Pacific ◽  
Joint Control ◽  
Business Combinations ◽  
Final Offer ◽  
Control Premium ◽  
Joint Venture Partner

ABSTRACT On July 20, 2012, Heineken, a Dutch brewery offered S$5.125 billion (Singapore dollars; approximately US$4.1 billion) to buy Asia Pacific Breweries Ltd (APB; formerly, Malayan Breweries Limited) from its Singapore-based joint venture partner, Fraser and Neave, Limited. (F&N). At that point, Heineken and F&N had joint control over APB through the joint venture vehicle Asia Pacific Investments Pte Ltd (APIPL). Brewery business under the joint arrangement had moved on quite predictably from the time APB was formed in 1931. However, the calm changed to high drama when Thai Beverage, owned by one of Thailand's tycoons, made a bid for F&N and APB. Heineken was quick to respond by aggressively buying shares of APB, leading to a large control premium being paid in the final offer price. The bidding war was largely motivated by the Dutch and Thai beer giants, each wanting to own the iconic Tiger beer brand that was owned by APB and thus take control of APB's strong market share in the fast-growing market of Asia. The Heineken bid for APB presents an interesting case study regarding the motivations for acquisitions, the nature of control, and accounting for acquisitions. The case also presents rich issues in accounting for changes in ownership interests with and without gain of control.

Sign in / Sign up

Export Citation Format

Share Document