The Long Term Impact Of New Product Introductions And Promotions On Financial Performance And Firm Value

Download or read book The Long-Term Impact of New-Product Introductions and Promotions on Financial Performance and Firm Value written by Koen H. Pauwels and published by . This book was released on 2014 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt: Year after year, managers strive to improve financial performance and firm value by marketing actions such as new product introductions and promotional incentives. The current study investigates the short-term and long-term impact of such marketing actions on financial metrics, including top-line, bottom-line and stock market performance. While product introductions increase long-term financial performance and firm value, promotions do not. Managers may use these results to justify product innovation efforts and to weight short-term and long-term consequences of promotional incentives.