A market theory that dictates the occurrence and revelation of subsequent negative events when a company initially reveals bad news publicly. The term was coined based on the theory that when one cockroach is discovered, there are typically many more cockroaches presently hidden nearby.
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A market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be ...
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Definition of cockroach theory: A market theory that dictates the occurrence and revelation of subsequent negative events when a company initially reveals bad ...
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A non-scientific market theory that bad news comes in large bunches, rather than a little at a time. In other words, the cockroach theory states that if one company ...
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We explain the definition of Cockroach Theory, provide a clear example of how it works and explain why it's an important concept in business, finance ...
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- Cockroach Theory: Definition from Answers.com
Cockroach Theory A market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events.