Profitability and information technology capital intensity in the insurance industry
Published 6 January 2003
Sidney E. Harris, Jonathan L. Katz
Citations60
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Abstract
The relationship between profitability and information technology expenditures is studied in forty insurance companies that are considered systems technology leaders. The results show that the most profitable firms are more likely to spend a significantly higher proportion of their noninterest operating expense on information technology than the least profitable firms. The odds are found to be very high, at least 97%, that the most profitable firms will not rank in the lowest quartile in terms of information technology capital intensity.>
Keywords
Business, Management and Accounting