Abstract

This research note raises the question of the lack of critical appraisal of the asset light model. Its purpose is to trigger an in-depth exploration of the determinants of performance of the implementation of such decision. To explore our argument, we used a longitudinal data design that combines both cross sections and time series to examine the effects of the asset light model on share returns, EBITDA and ROE of six leading U.S corporations over a 16-year period. We found that the model had no impact on financial performance. Our purpose is to a trigger debate within academia and practitioners on when and how the asset light model is a valid option. As well as which type of contract to rely on and how to build a differentiating strategy when implementing the asset light model.

Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.