IDEAS home Printed from https://ideas.repec.org/p/ags/ugeofs/16676.html
   My bibliography  Save this paper

Profitability Adjustment Patterns In International Food And Consumer Products Industries

Author

Listed:
  • Acheampong, Yvonne J.
  • Epperson, James E.
  • Park, Timothy A.
  • Gunter, Lewell F.

Abstract

The study encompasses an analysis of the variation in speeds of profitability adjustment and accounting bias by developed country and firm size for two important agribusiness industries. Evidence of speeds of profitability adjustment and accounting bias varying by firm size was found in the beverage and tobacco industry and by country in the food and consumer products industry. This suggests that the competitive pressures of integrated international markets are less of a factor in the food and consumer products industry.

Suggested Citation

  • Acheampong, Yvonne J. & Epperson, James E. & Park, Timothy A. & Gunter, Lewell F., 2000. "Profitability Adjustment Patterns In International Food And Consumer Products Industries," Faculty Series 16676, University of Georgia, Department of Agricultural and Applied Economics.
  • Handle: RePEc:ags:ugeofs:16676
    DOI: 10.22004/ag.econ.16676
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/16676/files/fs0016.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.16676?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
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Anita M. McGahan & Michael E. Porter, 1999. "The Persistence of Shocks to Profitability," The Review of Economics and Statistics, MIT Press, vol. 81(1), pages 143-153, February.
    2. Mueller,Dennis C., 1986. "Profits in the Long Run," Cambridge Books, Cambridge University Press, number 9780521306935.
    3. George J. Stigler, 1963. "Capital and Rates of Return in Manufacturing Industries," NBER Books, National Bureau of Economic Research, Inc, number stig63-1.
    4. Mark E. Levonian, 1994. "The persistence of bank profits: what the stock market implies," Economic Review, Federal Reserve Bank of San Francisco, pages 3-17.
    5. Fisher, Franklin M & McGowan, John J, 1983. "On the Misuse of Accounting Rates of Return to Infer Monopoly Profits," American Economic Review, American Economic Association, vol. 73(1), pages 82-97, March.
    6. Glick, Mark & Ehrbar, Hans, 1990. "Long-run Equilibrium in the Empirical Study of Monopoly and Competition," Economic Inquiry, Western Economic Association International, vol. 28(1), pages 151-162, January.
    7. Mueller,Dennis C., 2009. "Profits in the Long Run," Cambridge Books, Cambridge University Press, number 9780521101592.
    8. Traill, Bruce, 1997. "Globalisation in the Food Industries?," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 24(3-4), pages 390-410.
    9. Shigeru Otsubo, 1996. "Globalization : a new role for developing countries in an integrating world," Policy Research Working Paper Series 1628, The World Bank.
    10. Waring, Geoffrey F, 1996. "Industry Differences in the Persistence of Firm-Specific Returns," American Economic Review, American Economic Association, vol. 86(5), pages 1253-1265, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yu. V. Volodin & P. A. Podkovyrov, 2018. "International Market Expansion," Strategic decisions and risk management, Real Economy Publishing House, issue 4.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Stefan Hirsch, 2018. "Successful In The Long Run: A Meta†Regression Analysis Of Persistent Firm Profits," Journal of Economic Surveys, Wiley Blackwell, vol. 32(1), pages 23-49, February.
    2. Juan Carlos Bou & Albert Satorra, 2003. "The persistence of abnormal returns at industry and firm levels," Economics Working Papers 729, Department of Economics and Business, Universitat Pompeu Fabra.
    3. Fabio R. Chaddad & Mario P. Mondelli, 2013. "Sources of Firm Performance Differences in the US Food Economy," Journal of Agricultural Economics, Wiley Blackwell, vol. 64(2), pages 382-404, June.
    4. Ruyun (Ivy) Feng & Michael D. Kimbrough & Sijing Wei, 2022. "The role of information transparency in the product market: an examination of the sustainability of profitability differences," Review of Accounting Studies, Springer, vol. 27(2), pages 668-705, June.
    5. Stefan Hirsch & Monika Hartmann, 2014. "Persistence of firm-level profitability in the European dairy processing industry," Agricultural Economics, International Association of Agricultural Economists, vol. 45(S1), pages 53-63, November.
    6. Anita M. McGahan & Michael E. Porter, 2002. "What Do We Know About Variance in Accounting Profitability?," Management Science, INFORMS, vol. 48(7), pages 834-851, July.
    7. Johan E. Eklund & Emma Lappi, 2019. "Persistence of profits in the EU: how competitive are EU member countries?," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 46(2), pages 327-351, May.
    8. Stefan Hirsch & Adelina Gschwandtner, 2013. "Profit persistence in the food industry: evidence from five European countries," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 40(5), pages 741-759, December.
    9. Villalonga, Belen, 2004. "Intangible resources, Tobin's q, and sustainability of performance differences," Journal of Economic Behavior & Organization, Elsevier, vol. 54(2), pages 205-230, June.
    10. Tammy L. Madsen & Michael J. Leiblein, 2015. "What Factors Affect the Persistence of an Innovation Advantage?," Journal of Management Studies, Wiley Blackwell, vol. 52(8), pages 1097-1127, December.
    11. Michael Salinger, 1990. "The Concentration-Margins Relationship Reconsidered," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 21(1990 Micr), pages 287-335.
    12. Tsoulfidis, Lefteris & Alexiou, Constantinos & Parthenidis, Thanasis, 2015. "Revisiting profit persistence and the stock market in Japan," Structural Change and Economic Dynamics, Elsevier, vol. 33(C), pages 10-24.
    13. Mundt, Philipp & Alfarano, Simone & Milaković, Mishael, 2020. "Exploiting ergodicity in forecasts of corporate profitability," Journal of Economic Dynamics and Control, Elsevier, vol. 111(C).
    14. Jerker Denrell, 2004. "Comment: The Performance of Performance," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 8(4), pages 345-349, October.
    15. Jesus Crespo Cuaresma & Adelina Gschwandtner, 2006. "The competitive environment hypothesis revisited: non-linearity, nonstationarity and profit persistence," Applied Economics, Taylor & Francis Journals, vol. 38(4), pages 465-472.
    16. Zeren, Feyyaz & Öztürk, Erkan, 2015. "Testing For Profit Persistence Of Listed Manufacturing Companies In Istanbul Stock Exchange," Ekonomika, Journal for Economic Theory and Practice and Social Issues, Society of Economists Ekonomika, Nis, Serbia, vol. 61(2), pages 1-10, June.
    17. Adelina Gschwandtner & Stefan Hirsch, 2018. "What Drives Firm Profitability? A Comparison of the US and EU Food Processing Industry," Manchester School, University of Manchester, vol. 86(3), pages 390-416, June.
    18. Hernan Etiennot & Roberto Vassolo & Francisco Diaz Hermelo & Anita McGahan, 2019. "How do industry and country impact firm performance? A national and supranational analysis," Review of Managerial Science, Springer, vol. 13(4), pages 791-821, August.
    19. Stefan Hirsch & David Lanter & Robert Finger, 2021. "Profitability and profit persistence in EU food retailing: Differences between top competitors and fringe firms," Agribusiness, John Wiley & Sons, Ltd., vol. 37(2), pages 235-263, April.
    20. Andrea Vaona, 2012. "Further econometric evidence on the gravitation and convergence of industrial rates of return on regulating capital," Journal of Post Keynesian Economics, Taylor & Francis Journals, vol. 35(1), pages 113-136.

    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:ags:ugeofs:16676. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/daugaus.html .

    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.