- Title Pages
- Preface
- List of Figures
- List of Tables
- I Economics in Business
- 1 Economics and Business
- 2 The Failures of Forecasting
- 3 Economic Models
- 4 Uses and Abuses of Economics
- 5 Can There Be a Science of Business?
- II Competitive Advantage
- 6 The Structure of Strategy
- 7 Competitive Advantage
- 8 Adding Value
- 9 No Free Lunches
- 10 The Competitive Advantage of Nations
- III Corporate Personality: Shareholders and Stakeholders
- 11 Relationships and Commitments
- 12 Contracts or Relationships
- 13 Corporate Governance
- 14 The Customer Corporation
- 15 Inclusive Economies
- IV Using Economics
- 16 Applying Economics
- 17 The Strategic Audit
- 18 Pricing the Tunnel
- 19 The Media Revolution
- 20 Firms and Industries
- References
- Index
Adding Value
Adding Value
- Chapter:
- (p.57) 8 Adding Value
- Source:
- The Business of Economics
- Author(s):
John Kay (Contributor Webpage)
- Publisher:
- Oxford University Press
This chapter describes financial relationships between competitive advantage, economic rent, added value, and various other measures of firm performance.
Keywords: accounting profitability, added value, cash flow, competitive advantage, economic rent, excess return, historic cost, performance measures, David Ricardo, shareholder return
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- Title Pages
- Preface
- List of Figures
- List of Tables
- I Economics in Business
- 1 Economics and Business
- 2 The Failures of Forecasting
- 3 Economic Models
- 4 Uses and Abuses of Economics
- 5 Can There Be a Science of Business?
- II Competitive Advantage
- 6 The Structure of Strategy
- 7 Competitive Advantage
- 8 Adding Value
- 9 No Free Lunches
- 10 The Competitive Advantage of Nations
- III Corporate Personality: Shareholders and Stakeholders
- 11 Relationships and Commitments
- 12 Contracts or Relationships
- 13 Corporate Governance
- 14 The Customer Corporation
- 15 Inclusive Economies
- IV Using Economics
- 16 Applying Economics
- 17 The Strategic Audit
- 18 Pricing the Tunnel
- 19 The Media Revolution
- 20 Firms and Industries
- References
- Index