Determinants of profitability in the distribution of natural gas in Argentina. A study on performance indicators.

Trade, Integration and Institutional Reforms in LA and EU

Peter Lang

Lugar: Frankfurt am Main; Año: 2007; p. 153 - 177

The purpose of this paper is to make a comparative analysis of the relative profitability of argentine distro gas firms between 1993-2002, taking into account the main elements that determine the evolution of relative profitability and the general behaviour of the industry, using some performance ratios. The methodology implemented in this paper is based on accounting data and allows generating a group of indexes, which show the evolution of costs, prices, and firms performance. The indexes are very useful for taking decisions, for guiding the business strategic behaviour, and for softening the problem that emerges from asymmetric information.