Information Technology and Corporate Profitability: A Focus on Operating Efficiency

Information Technology and Corporate Profitability: A Focus on Operating Efficiency

Stephan Kudyba (New Jersey Institute of Technology, USA) and Donald Vitaliano (Rensselaer Polytechnic Institute, USA)
Copyright: © 2003 |Pages: 13
DOI: 10.4018/irmj.2003010101
OnDemand PDF Download:
$37.50

Abstract

This work involves an empirical analysis, incorporating firm-level investment in information technology and financial statement information, which provides an accurate measure of operating revenue, in a profitability function over the period from 1995-1997. The results indicate that IT can enhance firm level profitability. Factors such as advanced computer processing, the proliferation of PCs to the consumer and business environment, the development of the Internet, and advanced software applications have significantly augmented previously existing information technology. This new IT has provided infrastructure for advanced information networks which facilitate the flow of value added information to decision makers and enable corporate enterprises to more easily operate in the new global ecomomy. As a result, larger companies can provide a variety of goods and services that more effectively meet consumer preferences in a more efficient, cost-effective manner.

Complete Article List

Search this Journal:
Reset
Open Access Articles: Forthcoming
Volume 30: 4 Issues (2017): 1 Released, 3 Forthcoming
Volume 29: 4 Issues (2016)
Volume 28: 4 Issues (2015)
Volume 27: 4 Issues (2014)
Volume 26: 4 Issues (2013)
Volume 25: 4 Issues (2012)
Volume 24: 4 Issues (2011)
Volume 23: 4 Issues (2010)
Volume 22: 4 Issues (2009)
Volume 21: 4 Issues (2008)
Volume 20: 4 Issues (2007)
Volume 19: 4 Issues (2006)
Volume 18: 4 Issues (2005)
Volume 17: 4 Issues (2004)
Volume 16: 4 Issues (2003)
Volume 15: 4 Issues (2002)
Volume 14: 4 Issues (2001)
Volume 13: 4 Issues (2000)
Volume 12: 4 Issues (1999)
Volume 11: 4 Issues (1998)
Volume 10: 4 Issues (1997)
Volume 9: 4 Issues (1996)
Volume 8: 4 Issues (1995)
Volume 7: 4 Issues (1994)
Volume 6: 4 Issues (1993)
Volume 5: 4 Issues (1992)
Volume 4: 4 Issues (1991)
Volume 3: 4 Issues (1990)
Volume 2: 4 Issues (1989)
Volume 1: 1 Issue (1988)
View Complete Journal Contents Listing