Smart cities ""utilize information and communication technologies with the aim to increase the life quality of their inhabitants while providing sustainable development"". The Internet of Things (IoT) allows smart devices to communicate with each other using wireless technology. IoT is by far the most important component in the development of smart cities. Company X is a leader in the semiconductor industry looking to grow its revenue in the IoT space. This thesis will address how Company X can deliver IoT solutions to government municipalities with the goal of simultaneously increasing revenue through value-added engagement and decreasing spending by more efficiently managing infrastructure upgrades.

The purpose of this research project is to develop a recommendation for Company X on the strategies it should use to enter a new market. This was done through the compilation and interpretation of data from the company and the construction of a financial model capable of analyzing our different proposed strategies. Company X is a leading producer of silicon chips which seeks to remain one of the leading forces in new technologies. Currently Company X wants to assess the value and risks associated with introducing a new packaging technology (FO-WLP) into their products either by developing the technology in-house or outsourcing production. The first portion of the research consisted mostly of gathering the necessary business acumen to be able to to fully understand our research findings. Market research was conducted to discover what competitors exist and what inputs should be included for the model with help from employees at Company X. The research then proceeded with the identification of three possible strategies and construction of financial models to analyze these options. Using the results from our analysis we were able to develop our recommendation for Company X and lay out the next steps which the Company needs to take before investing in the new technology.

The purpose of this thesis was to design a market entrance strategy for Company X to enter the microcontroller (MCU) market within the Internet of Things (IoT). The five IoT segments are automotive; medical; retail; industrial; and military, aerospace, and government. To reach a final decision, we will research the markets, analyze make versus buy scenarios, and deliver a financial analysis on the chosen strategy. Based on the potential financial benefits and compatibility with Company X's current business model, we recommend that Company X enter the automotive segment through mergers & acquisitions (M&A). After analyzing the supply chain structure of the automotive IoT, we advise Company X to acquire Freescale Semiconductor for $46.98 per share.

I study the relation between firm debt structure and future external financing and investment. I find that greater reliance on long-term debt is associated with increased access to external financing and ability to undertake profitable investments. This contrasts with previous empirical results and theoretical predictions from the agency cost literature, but it is consistent with predictions regarding rollover risk. Furthermore, I find that firms with lower total debt (high debt capacity) have greater access to new financing and investment. Lower leverage increases future debt issues and capital expenditures, and firms do not fully rebalance by reducing the use of external financing sources such as equity. Finally, my results support the view that greater reliance on unsecured debt can increase future debt financing. Overall, my paper offers new insights into how aspects of debt structure, in particular maturity, are related ex-post to firms' ability to raise new financing and invest.