STRATEGY AND INVESTMENT CHOICES FOR AN INDUSTRY IN CHANGE

摘要

In this paper, we first describe profitability, R&D investments and changes in production capacity of the 20 largest companies in the pulp and paper industry in North America and Western Europe between 1995 and 2008. We then compare the timing of R&D investments with the profitability development by company by conducting cross-correlation analysis. Our results indicate that a slight downward trend can be seen in the R&D investments during the period and, on average, the R&D intensity is at low level. Distinctions between North American and Western European companies are fine, except for reduction in production. However, there seems to be differences between the companies when comparing the timing of R&D investments with the profitability development.