EMPIRICAL ANALYSIS OF STRATEGIC FACTORS CONTRIBUTING TO RETURN ON INVESTMENT.

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Abstract
Because of business strategy's complexity, research has been limited to case studies. Recently, Harvard researchers have demonstrated the applicability of multiple regression to interorganizatlonal analysis. This paper extends this methodology by analyzing profit centers within a large corporation. The results show that regression can identify strategic factors that were unnoticed by management. Interpretation of the two regression models suggests that a capital intensive manufacturing firm in a mature industry may find its best strategies are internal factors that facilitate adjustment to a changing environment.

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