Search results for "profitability"
showing 10 items of 176 documents
The impact of globalization on regional development and competitiveness: cases of selected regions
2019
International audience; The objective of this study is to conduct an analysis of regional development and competitiveness in the EU and Latvia under current conditions of economic globalization. This paper makes an attempt to evaluate a theory of regional development and regional competitiveness concept in relation to regional competitiveness in the light of current global economic changes. The authors emphasise that the regional development is based on competitive advantages, which has been a subject of fundamental research by Michal Porter and that serves as a basis for the current scientific methodology to assess competitiveness of regions and countries. The authors support a view of man…
On survivor stocks in the S&P 500 stock index
2021
This paper investigates the performance and characteristics of survivor stocks in the S&P 500 index. Using both in-sample and out-of-sample comparisons, survivor stocks outperformed this market index by a considerable margin. Relative to other S&P 500 index companies, survivor stocks tend to be small value stocks that exhibit high profitability and invest conservatively. Surprisingly, survivor stocks tend to be loser stocks with negative exposure to the momentum factor. Further analyses show that the volatility of the survivor stocks portfolio is less exposed to tail risks and responds less to shocks in the innovation process.
Bank Stability: The Case of Nordic and Non-Nordic Banks in Latvia
2018
The banking industry is facing huge challenges due to technology-enabled innovation, to changes in customer preferences, to bank de-risking and to new regulatory initiatives. To go through all these changes, banks need to be stable. The present study contributes to the empirical literature by identifying the determinants of stability of banks in the Latvian Banking Industry. This study covers both bank-specific (endogenous) factors and macroeconomic (exogenous) factors that impact the stability of banks. The data set used in this study is the annual financial statements of Latvian banks operated in the period 2003-2016. Using multivariate regression analysis techniques, we found evidence th…
Supplier switching decisions
2007
Abstract In order to maximize profit, a buying firm should continuously search for and access sources which offer more favorable prices. While the literature is replete with works on the formation and development of buyer–supplier relationships, there is surprisingly only scarce research on the termination of such relationships and supplier switching. Using the concept of switching costs in a principal-agent framework, we at first analyze whether a firm switches the entire or a partial quantity to an alternative supplier when there is either symmetric or asymmetric information about the alternative supplier’s cost structure. Information asymmetry results in inert supplier switching decision…
A framework for a network-level performance measurement system in SME networks
2008
The present study aims to present a theoretical framework for a network-level performance measurement system. The suggested framework for the performance measurement system is composed of the factors that enable and cause the productivity and profitability of the network form of organisation. The framework developed in this study can be divided into six subdimensions: (1) network culture, (2) resources and competences, (3) models of action, (4) internal processes, (5) customer perspective and (6) financial indicators of the network. We argue that this framework provides research opportunities to study the performance of the network form of organisation; but even more importantly, it provide…
The determinants of stakeholder engagement in digital platforms
2018
Abstract Consumer engagement has been heralded as strategic in facilitating sales growth, competitive advantage, and profitability. Expanding the notion of consumer engagement to the stakeholder context, this study examines the determinants of multi-stakeholder digital engagement. Based on a digital setting (Expo2015), this study collected all the social media posts (n = 984) in the Facebook page with restricted access to the stakeholders involved in the event. Initial regression results suggest that the presence of transformation, in terms of activation of creative resource integration in posts, is a strong predictor of compliant and interactive engagement. Fuzzy-set qualitative comparativ…
New development opportunities for the craft brewing segment: the case study of a micro-malthouse
2017
In Italy in the past few years, the number of small breweries penetrating the craft beer sector has grown exponentially. Craft producers intend to give a strong added value and a local character to their production in different ways. One of these is the use of malt derived from small batches of local cereals and pseudo cereals. The aim of this study is the assessment of investment profitability, through a cost-benefit analysis (CBA), for a compact and a modular micro-malting plant in Sicily (Southern Italy). The CBA for a micro-malthouse was carried out considering both installation and operating costs. Net present value (NPV), discounted benefit-cost ratio (DBCR) and internal rate of retur…
ECONOMIC ANALYSIS OF PROCESS INNOVATIONS IN THE MANAGEMENT OF OLIVE FARMS
2014
Within a business enterprise, process innovations l ead to reduced production costs and to increased profit margins. In this study, we shall examine an olive farm that operates in a perfectly competitive market that has introduced a process innovation so as to contain labour costs and therefore production costs. So, the paper aimed at comparing economic co mpetitiveness of an olive farm that introduced mechanical olive pickers (process innovation) for h arvest respect to manual harvest. In the case under scrutiny, for the same price, the reduced productio n cost determined a shift from a situation of being at a loss to one of profit for the business. Economic analysis showed that introducti…
Six-years-long effects of the Italian policies for photovoltaics on the pay-back period of grid-connected PV systems installed in urban contexts
2017
Abstract In this study the discounted pay-back (DPB) period of rooftop photovoltaic (PV) systems installed in urban contexts was investigated during the course of time with the aim of evaluating the effects of the different supporting policies enacted by the Italian government. The profitability of the investment in three Italian cities was observed from June 2010 to May 2016 by means of an exhaustive economic analysis based on the study of the variation of the costs and benefits during the lifetime of the investment. The analysis considered the disbursements for the PV system devices, maintenance and management, insurance, and wear of PV panels and inverters. Other significant parameters, …
Determinants of Banks’ Profitability: Evidence from EU 27 Banking Systems
2015
Abstract In this study we assess the main determinants of banks’ profitability in EU27 over the period 2004-2011. We split the factors that influence bank profitability in two large groups: bank-specific (internal) factors and industry specific and macroeconomic (external) factors. We consider as proxy for banks profitability the return on average assets (ROAA) and the return on average equity (ROAE). The empirical findings are consistent with the expected results. Credit and liquidity risk, management efficiency, the diversification of business, the market concentration/competition and the economic growth have influence on bank profitability, both on ROAA and ROAE. An interesting and valua…