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Financial Performance of Internet and Brick-and-Mortar Companies: A Comparative Analysis
Abstract
This paper aims to explore potential differences in financial performance of Internet based companies and the traditional brick-and-mortar companies. A compressive financial ratio analysis is used to investigate these differences for the period from 1998 to 2003. Contrary to our expectations, the average performance of the Internet companies was significantly worse than that of traditional brick-and-mortar companies.
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