4
Company valuation – an overview 25
ing section at the end of this book. Also outside the scope of this book are
specific valuation models that are adapted to certain industry sectors and
for companies in developing countries, where valuations need to account
for factors such as political risk or extremely high inflation. Here again, we
draw attention to specialist literature. That said, the information provided
in this book is a good platform for most valuation situations – the funda-
mental logic is the same even though the method might differ.
Theoretical overview
There are a few important concepts that need to be explained before
moving on to the specific valuation models: the difference between equity
and enterprise value, ...