This chapter explores other theoretical explanations to the commonly observed phenomenon of negatively skewed performance outcomes and inverse risk-return relationships in empirical firm data. The analysis conducted in many prior studies have implicated direct causal dependencies between...

In this chapter, we perform more detailed analyses and present the distribution characteristics and risk-return relationships of accounting-based financial returns (ROA) across different industry contexts and between periods with different economic conditions. We first display the frequency...

This chapter outlines the major analytical efforts performed as part of the overarching research project with the aim to investigate the organizational and environmental circumstances around the extreme negatively skewed performance outcomes regularly observed across firms. It presents the...

In this chapter, we first examine the distribution characteristics of firm performance across different competitive industry contexts and periodic economic conditions of growth, recession, and recovery. There is mounting evidence that the contours of accounting-based economic returns...

This chapter introduces empirical studies of firm performance and related risk outcomes conducted in the management and finance fields presenting underlying theoretical rationales as they have evolved over time. Early finance studies of market-based returns predominantly found positively skewed...

This chapter takes a closer look at outliers and extreme outliers identified in the data derived from a complete case treatment of missing values in the European and North American datasets and consistently observe significant negatively skewed distributions with high excess kurtosis across all...

This chapter first analyzes how the data-cleaning process affects the share of missing values in the extracted European and North American datasets. It then moves on to examine how three different approaches to treat the issue of missing values, Complete Case, Multiple Imputation Chained...

This chapter outlines how the comprehensive North American and European datasets were collected and explains the ensuing data cleaning process outlining three alternative methods applied to deal with missing values, the complete case, the multiple imputation (MI), and the K-nearest neighbor...