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| Author: | Aliawadi, K. Farris, P. Parry, M. |
| Title: | Market share and ROI: observing the effect of unobserved variables |
| Journal: | International Journal of Research in Marketing
1999 : FEB, VOL. 16:1, p. 17-34 |
| Index terms: | RESEARCH MARKETING MARKET SHARE |
| Language: | eng |
| Abstract: | Unobserved variables correlated with market share are largely responsible for the high profitability of market share leaders, yet, very little is known about these unobserved variables. The objective of this paper is to empirically determine the cost/sales ratios through which unobserved variables affect profitability, and to use this information to identify specific unobserved variables. The authors find that firm-specific unobserved variables decrease the purchase cost/sales ratio much more than they do any other cost/sales ratio. |
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