The Persistence of Profitability among Firms in the Food Economy

Sara K. Schumacher and Michael A. Boland ()

American Journal of Agricultural Economics, 2005, vol. 87, issue 1, pages 103-115

Abstract: The persistence of industry, firm-specific, and corporate-parent effects on firm profitability in the food economy are calculated and further analyzed within its four major sectors: food processing, wholesale grocery, retail supermarket, and restaurant. Profits are more persistent within an industry than within a corporation. The retail supermarket sector has had stable profits as has individual retail supermarket firms relative to the other three sectors. Copyright 2005 American Agricultural Economics Association.

Date: 2005
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