Industry, firm, year, and country effects on profitability in EU food processing

Jan Schiefer and Monika Hartmann

No 162878, Discussion Papers from University of Bonn, Institute for Food and Resource Economics

Abstract: This paper decomposes the variance in food industry return-on-assets into year, country, industry, and firm effects. Besides these main effects, we include several interactions and discuss their theoretical foundations. After determining effect significance in a nested ANOVA with a rotating pattern of effect introduction, we estimate effect magnitude using components of variance on a large sample of corporations. The results show that firm characteristics are far more important than industry structure in determining food industry profitability. Main effects and interactions of year and country membership are weak, indicating that performance differentials can poorly be explained by macroeconomic and trade theory.

Keywords: Agribusiness; Agricultural Finance (search for similar items in EconPapers)
Pages: 28
Date: 2013-06-05
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
https://ageconsearch.umn.edu/record/162878/files/dispap13_02.pdf (application/pdf)

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:ags:ubfred:162878

DOI: 10.22004/ag.econ.162878

Access Statistics for this paper

More papers in Discussion Papers from University of Bonn, Institute for Food and Resource Economics Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().