TY - JOUR
T1 - Industry and firm effects on performance
T2 - Evidence from the online news industry in U.S.
AU - Huang, J.Sonia
AU - Sylvie, George
PY - 2010/3
Y1 - 2010/3
N2 - The online news industry in the United States faces a challenge: Whether online news media can produce enough quality content that generates revenue and profit at a level comparable to traditional media. To meet the challenge, this study applied two economic models, the industrial organization (IO) and the resource-based view of the firm (RBV), to locate the determinants of market performance for the industry. Relatively, IO’s industry effects were twice as powerful as RBV’s firm effects in explaining news sites’ revenue growth, profitability, and relative performance. Together, the determinants derived from both models explained 21 to 39 percent of variance in market performance among the 208 news sites in the study.
AB - The online news industry in the United States faces a challenge: Whether online news media can produce enough quality content that generates revenue and profit at a level comparable to traditional media. To meet the challenge, this study applied two economic models, the industrial organization (IO) and the resource-based view of the firm (RBV), to locate the determinants of market performance for the industry. Relatively, IO’s industry effects were twice as powerful as RBV’s firm effects in explaining news sites’ revenue growth, profitability, and relative performance. Together, the determinants derived from both models explained 21 to 39 percent of variance in market performance among the 208 news sites in the study.
KW - Industrial organization
KW - Market performance
KW - Online news
KW - Resource-based view
UR - http://www.scopus.com/inward/record.url?scp=85007883995&partnerID=8YFLogxK
U2 - 10.1080/16522354.2010.11073500
DO - 10.1080/16522354.2010.11073500
M3 - Article
AN - SCOPUS:85007883995
SN - 1652-2354
VL - 7
SP - 20
JO - Journal of Media Business Studies
JF - Journal of Media Business Studies
IS - 1
ER -