EN
Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall
Abstract
Our paper shows that based on the RMSE criteria, Price-to-Earnings ratio is a better predictor of financial and market performances of the firm than the Customer Satisfaction index (CS). This conclusion is based on the choice of five financial and seven market indicators that we consider as proxies for financial and market performances with a sample comprising eighty-six companies: Book value, dividend yield, Gross Profit Margin, Price to Cash-Flows, Price-to-Earnings, Price to Sales, Annual return, ROA, ROE, ROI, Volatility and Tobin’s Q. However, CS clearly outperforms our five benchmarks (Tobin’s Q, Price-to-Cash Flows, Price-to-Earnings, Volatility or the indicator itself) when forecasting Tobin’s Q, Volatility, ROE and ROI. In periods of volatile market such as year 2008, CS is a more stable predictor of Volatility or ROE than the indicators themselves (i.e. Volatility for Volatility, ROE for ROE).
Keywords
Ayrıntılar
Birincil Dil
İngilizce
Konular
-
Bölüm
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Yayımlanma Tarihi
1 Mart 2012
Gönderilme Tarihi
1 Mart 2012
Kabul Tarihi
-
Yayımlandığı Sayı
Yıl 2012 Cilt: 2 Sayı: 1
APA
Rostan, P., & Rostan, A. (2012). Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall. International Review of Management and Marketing, 2(1), 59-74. https://izlik.org/JA74WS69JC
AMA
1.Rostan P, Rostan A. Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall. IRMM. 2012;2(1):59-74. https://izlik.org/JA74WS69JC
Chicago
Rostan, Pierre, ve Alexandra Rostan. 2012. “Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall”. International Review of Management and Marketing 2 (1): 59-74. https://izlik.org/JA74WS69JC.
EndNote
Rostan P, Rostan A (01 Mart 2012) Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall. International Review of Management and Marketing 2 1 59–74.
IEEE
[1]P. Rostan ve A. Rostan, “Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall”, IRMM, c. 2, sy 1, ss. 59–74, Mar. 2012, [çevrimiçi]. Erişim adresi: https://izlik.org/JA74WS69JC
ISNAD
Rostan, Pierre - Rostan, Alexandra. “Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall”. International Review of Management and Marketing 2/1 (01 Mart 2012): 59-74. https://izlik.org/JA74WS69JC.
JAMA
1.Rostan P, Rostan A. Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall. IRMM. 2012;2:59–74.
MLA
Rostan, Pierre, ve Alexandra Rostan. “Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall”. International Review of Management and Marketing, c. 2, sy 1, Mart 2012, ss. 59-74, https://izlik.org/JA74WS69JC.
Vancouver
1.Pierre Rostan, Alexandra Rostan. Assessing the Predictive Power of Customer Satisfaction for Financial and Market Performances: Price-to-Earnings Ratio is a Better Predictor Overall. IRMM [Internet]. 01 Mart 2012;2(1):59-74. Erişim adresi: https://izlik.org/JA74WS69JC