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Explicando La Rentabilidad De La Empresa Y Su Sustentación

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  • JORGE TARZIJÁN M

    ()
    (Escuela de Administración, Pontificia Universidad Católica de Chile)

  • FRANCISCO BRAHM M.
  • LUIS FELIPE DAIBER R.
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    Abstract

    This article reviews the literature on the sources of business performance, persistence and sustainability through time, emphasizing the analysis of empirical studies. We also analyze recent literature that focuses on the importance of geographic location for business performance. Since the answers to these inquiries are keystones for strategic management, there is an ongoing debate regarding these topics. Results of this review show that the competitive advantages are more important than industry attractiveness and corporation effects for explaining business performance, and that geographic location matters. However, we can not generalize these conclusions, since they may be different for certain industries and countries. Moreover, we observe a degree of persistence in business profitability, although the gap between high and low performers tends to decrease through time. This last result indicates that competitive advantages are only partial sustainable.

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    File URL: http://eacc10.puc.cl/files/ABT/Contenidos/Vol-8-N1/Tarzijan.pdf
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    Bibliographic Info

    Article provided by Escuela de Administracion. Pontificia Universidad Católica de Chile. in its journal ABANTE.

    Volume (Year): 8 (2005)
    Issue (Month): 1 ()
    Pages: 25-54

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    Handle: RePEc:pch:abante:v:8:y:2005:i:1:p:25-54

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    Related research

    Keywords: Profitability determinants; Persistence; Sustainability; Strategy;

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