JOURNAL OF ACCOUNTING AND FINANCE
Examining “Abnormal Returns” of Elite Government Contractors: A New Venue of Sustainable Competitive Advantage Study in Management Accounting
Author(s): John Y. Lee, Charles Y.B. Tang
Citation: John Y. Lee, Charles Y.B. Tang, (2018) "Examining “Abnormal Returns” of Elite Government Contractors: A New Venue of Sustainable Competitive Advantage Study in Management Accounting ", Journal of Accounting and Finance, Vol. 18, ss. 3, pp. 149-158
Article Type: Research paper
Publisher: North American Business Press
Abstract:
This paper, in an attempt to establish a new venue of sustainable competitive advantage study in
management accounting, reports on the empirical evidence on whether firms that are selected as elite
U.S. government contractors sustain competitive advantage in the market, relative to those counterparts that are not. We observed the impact of hypothesized positive, value-enhancing news (The Washington Post’s announcement of elite contractors selected) that were revealed to the market. The test results confirm that the selection certainly served as one of Porter’s (1996) elements that provide a competitive advantage under the economic theory of the firm.