IDEAS home Printed from https://ideas.repec.org/a/sae/sagope/v15y2025i2p21582440251324022.html
   My bibliography  Save this article

Financial Management Capability Matters in Capabilities—Performance Relationships: The Case of Two Industries

Author

Listed:
  • Mehdi Younes Garrab

Abstract

I proposed a model relying on a typology of four types of capabilities: operations, technological, financial management, and marketing capabilities. The empirical study used a panel of data collected on 89 automotive and 117 pharmaceutical companies. The capabilities are measured with the use of the Data Envelopment Analysis (DEA) method. Results showed that in both industries, financial management capabilities need enhancement to maintain a competitive position and ensure a higher level of performance. Also, managers need to emphasize marketing capabilities and tangible investments in the automotive industry and technological capabilities and intangible investments in the pharmaceutical one. Among contributions, I proposed a design and measure of financial management capability and used the DEA method for the estimation of capabilities, as done by previous studies.

Suggested Citation

  • Mehdi Younes Garrab, 2025. "Financial Management Capability Matters in Capabilities—Performance Relationships: The Case of Two Industries," SAGE Open, , vol. 15(2), pages 21582440251, April.
  • Handle: RePEc:sae:sagope:v:15:y:2025:i:2:p:21582440251324022
    DOI: 10.1177/21582440251324022
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/21582440251324022
    Download Restriction: no

    File URL: https://libkey.io/10.1177/21582440251324022?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:sagope:v:15:y:2025:i:2:p:21582440251324022. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.