Information Technology and Financial Performance: The Impact of being an Internet-Dependent Firm on Stock Returns

Aurore J. Kamssu (), Brian J. Reithel () and Jennifer L. Ziegelmayer ()
Additional contact information
Aurore J. Kamssu: Tennessee State University
Brian J. Reithel: The University of Mississippi, University
Jennifer L. Ziegelmayer: The University of Mississippi, University

Information Systems Frontiers, 2003, vol. 5, issue 3, No 4, 279-288

Abstract: Abstract The choice of a particular technology to implement a firm's business strategy may impact the firm's market performance. This study assesses the impact of being an Internet-dependent firm on a firm's stock valuation. The empirical results indicate that in a booming economy, Internet-dependent firms have lower excess returns than non-Internet firms. These high returns can be explained by the fact that in such an economy, Internet stocks trade at relatively higher prices than non-Internet stocks. Therefore, choosing a particular technology to implement business strategy may have a significant impact a firm's stock performance.

Keywords: information technology; internet-dependent firms; financial performance; stock return (search for similar items in EconPapers)
Date: 2003
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://link.springer.com/10.1023/A:1025649311259 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:infosf:v:5:y:2003:i:3:d:10.1023_a:1025649311259

Ordering information: This journal article can be ordered from
http://www.springer.com/journal/10796

DOI: 10.1023/A:1025649311259

Access Statistics for this article

Information Systems Frontiers is currently edited by Ram Ramesh and Raghav Rao

More articles in Information Systems Frontiers from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().