International Financial Management: Dividend Distribution Policy and Efficient Market Hypothesis Analysis in SAINSBURY

International
Financial
Management

Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Give an analysis of the Dividend Distribution Policy.................................................................3
Analysis of efficient market hypothesis theory in context of SAIN'SBURY..............................5
Methods of Projects Appraising in SAIN'SBURY......................................................................6
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
International Financial Management indicates the finance management in the
international business environment. It is also called as the International Finance, it comes when
the different countries start opening their doors for each other. International Finance plays a very
essential for many companies who have no idea how to engaged in international business.
Companies learn how their dealing effects the exchange rate, inflation and the trading of money
through exchange of foreign currency. Operations and activities of international finance supports
the overall whole organisation to trade and connect with the international business partners like
suppliers, investors, and lenders. Efficient management of international finance helps the
organisation to achieve their goals in effective manner (McKinney, J.B., 2020). In this case we
studied about the SAINSBURY business SAIN'SBURY business which is the second largest
retailer with 1400 stores in UK. It is headquartering in London. It deals in wide range of products
in the whole market such as food, clothing, electronic, grooming items, financial sectors, banks.
In this report we analyse about the dividend distribution policy of SAIN'SBURY and what are
the effective market hypothesis and appraising method company uses.
MAIN BODY
Give an analysis of the Dividend Distribution Policy.
Dividend Distribution policy states that this policy majorly used by the companies to
distribute certain amount of equity to the investors and shareholder in the dividend form by the
organisation have to maintain balance between the pay out and retained earnings to fulfil the
needs of the organisation.
In relation to SAINSBURY case dividend amount per share were decided by the Director
of board. SAIN'SBURY usually pays previous financial year dividend in July and in each
December pays interim dividend (Laeven, 2020).
Below are the SAIN'SBURY dividend policy:
 Regular Dividend Distribution Policy: This policy states that when the payment of
shareholder dividend pays on every year, this procedure is followed by the companies in
which they have to pay dividend on a regular basis in every year. In case of abnormal
profit earn by company then company have to pay extra profit to its shareholders. But in