For another of his aims was to strip away the intermediary firms that loot cashflow and assets from large Russian companies with the connivance of the management.
All the middlemen – lawyers, tax consultants and financiers – associated with the intermediary firms would also have been taking a hefty cut.
VEM and Spohn bundled Merckle family holdings, but often via intermediary firms that together created a byzantine structure fully understood only by Mr. Merckle and his closest confidantes.
That decision ended a long-running battle over Caremark between CVS and Express Scripts, Caremark's main rival in "pharmacy benefit management" (PBM), in which big intermediary firms use their purchasing power to secure discounts on drugs for corporate clients.
It will also stop the tycoons using "pyramid" shareholding structures, in which their holding companies own stakes in a cascade of intermediary firms, letting them keep control with a minority of the equity.
It will also make it harder for tycoons to use "pyramid" ownership structures, in which their holding companies own stakes in a cascade of intermediary firms, allowing control to be retained with only a minority of the equity.Nor is the public's antipathy towards business entirely undiscriminating.
Knowledge Intensive Business Services (KIBS) are intermediary firms which specialise in knowledge screening, assessment and evaluation, and trade professional consultancy services.
If the IRS were to accept electronic filings without an intermediary, firms like H&R Block could find themselves in major trouble.
Addressing moral hazard and opportunism, Spulber characterises intermediary firms as "market-commitment devices" that reduce transaction costs and contractual opportunism [38].
Addressing moral hazard and opportunism, Spulber characterises intermediary firms as "market-commitment devices" that reduce transaction costs and contractual opportunism [ 38].
I also use the words "bank" and "banking" broadly, to encompass all financial intermediaries (firms whose business is to lend borrowed capital), because the lines that used to separate commercial banks from investment banks and other non-bank financial intermediaries have so blurred.
