Corporate profitability and the dynamics of competition in emerging markets: a time series analysis

Jack Glen, Kevin Lee (kevin.lee@nottingham.ac.uk) and Ajit Singh

Working Papers from Centre for Business Research, University of Cambridge

Abstract: The paper presents time-series analyses of corporate profitability in seven leading developing countries (DCs) using the common methodology of the persistence of profitability (PP) studies and systematically compares the results with those for advanced countries (ACs). Surprisingly, both short- and long-term persistence of profitability for DCs are found to be lower than those for ACs. The paper concentrates on economic explanations for these findings. It also reports the results on the persistence of the two components of profitability - capital-output ratios and profit margins. These too raise important general issues of economic interpretation for PP studies which are outlined

Keywords: Competition; profitability; persistence; emerging markets (search for similar items in EconPapers)
JEL-codes: D4 F02 G30 L10 (search for similar items in EconPapers)
Date: 2002-12
New Economics Papers: this item is included in nep-com
Note: PRO-2
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

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Journal Article: Corporate profitability and the dynamics of competition in emerging markets: a time series analysis (2003)
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Persistent link: https://EconPapers.repec.org/RePEc:cbr:cbrwps:wp248

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