Customer-Base Concentration, Profiitability and Distress Across the Corporate Life Cycle
Published: Jan 1, 2013
Abstract
Using a recently expanded data set on supplier-customer links, we introduce a dynamic relationship life-cycle hypothesis. We hypothesize that the relation between customer-base concentration and profitability is significantly negative in the early years of the relationship, but becomes positive as the relationship matures. The key driver of this dynamic is the customer-specific investments that the relationship entails. These investments result...
Paper Details
Title
Customer-Base Concentration, Profiitability and Distress Across the Corporate Life Cycle
Published Date
Jan 1, 2013
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