Management Papers
Document Type
Journal Article
Date of this Version
6-2003
Publication Source
The Journal of Industrial Economics
Volume
51
Issue
2
Start Page
121
Last Page
150
DOI
10.1111/1467-6451.00195
Abstract
In an intra-industry setting, firm-focus is found to be positively correlated with the ability of firms to produce high-value products, while the overall effect of focus on firm performance is negative due to missed demand externalities generated by a broad product offering. In particular, it is shown that U.S. mutual funds that belong to more focused fund providers outperform similar funds offered by more diversified providers. An explanation based on alignment among a provider's activities is consistent with this result. Cash inflows into fund providers—a measure related to fund provider profitability—is, however, negatively correlated with focus in fund offerings.
Copyright/Permission Statement
This is the peer reviewed version of the following article: Siggelkow, N. (2003), Why Focus? A Study Of Intra-Industry Focus Effects. The Journal of Industrial Economics, 51: 121–150., which has been published in final form at doi: 10.1111/1467-6451.00195. This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Self-Archiving http://olabout.wiley.com/WileyCDA/Section/id-820227.html#terms.
Recommended Citation
Siggelkow, N. (2003). Why Focus? A Study Of Intra-Industry Focus Effects. The Journal of Industrial Economics, 51 (2), 121-150. http://dx.doi.org/10.1111/1467-6451.00195
Date Posted: 27 November 2017
This document has been peer reviewed.