Determinants of Financial Performance: A Meta-Analysis

TLDR

Many organizational variables remain understudied in the literature. The study proposes implications for future research and managerial practice. The authors conducted a meta‑analysis of 320 studies linking environmental, strategic, and organizational factors to financial performance. Concentration and growth consistently boost performance, whereas size shows inconsistent effects.

Abstract

A meta-analysis of results from 320 published studies relates environmental, strategic and organizational factors to financial performance. Some factors (e.g., concentration and growth) have been studied widely and have a relatively consistent positive impact on performance. Other widely-studied factors (e.g., size) have few consistent effects. Many factors (particularly organizational variables) are understudied. We suggest implications for research and management practice.