The Palgrave Encyclopedia of Strategic Management

Living Edition
| Editors: Mie Augier, David J. Teece


  • Giovanni Valentini
Living reference work entry


The field of strategic management deals with fundamental questions about how company profits emerge and persist. After a short definition of the term, we will therefore discuss how to empirically measure firms’ profit, discuss the key determinants of the observed variance in firms’ profit, and analyse whether these differences in profits are persistent.


Replacement Cost Profitable Firm Economic Profit Accounting Rate Company Profit 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
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Copyright information

© The Author(s) 2016

Authors and Affiliations

  1. 1.Bocconi UniversityMilanItaly