Impact of high-risk investments on the maintenance of business competitiveness index in economic recovery

Authors

  • Yadira Argota Pérez Universidad Nacional Jorge Basadre Grohmann Tacna, Perú.Escuela de Postgrado- Doctorante del programa de Administración
  • Ruperto Layme Uchochoque Universidad Nacional Jorge Basadre Grohmann Tacna, Perú.

DOI:

https://doi.org/10.24039/rcv20251311888

Keywords:

business strategy, competitiveness, economic recovery, investment, risk

Abstract

The objective of the study was to determine the impact of high-risk investments on maintaining the business competitiveness coefficient in economic recovery. With a quantitative and descriptive approach, validated surveys (Cronbach's α) and 3CA and CAPROR software were used to analyze competitiveness and economic recovery, as well as a formula for the Risk and Bankruptcy Prediction Index. The results showed a Cronbach's alpha reliability of 0.71, ensuring internal consistency. AMTAWI exhibited a competitiveness coefficient of 1.2 in 2023 and projected 1.4 for 2024; ACINOX increased from 1.4 to 1.6, achieving excellence levels, while Imprenta Campos maintained a coefficient of 0.9. The Risk Index indicated low risk for AMTAWI (0.012), medium risk for Imprenta Campos (0.014), and high risk for ACINOX (0.021). Investments represented 65% of profitability in AMTAWI, 91% in ACINOX, and 33% in Imprenta Campos, with economic recoveries of 47%, 3%, and 26%, respectively. Investment and adaptation strategies proved key to stability and economic recovery. AMTAWI and ACINOX advanced towards excellence, while Imprenta Campos remained stable, highlighting the importance of balancing risks and maintaining prudence. It is concluded that competitiveness and business risk are dynamic, influenced by internal and external factors, with business adaptability being essential in the face of uncertainties.

Downloads

Download data is not yet available.

References

Abba, Z., Balta, N., & Hart, P. (2022). A holistic risk management framework for renewable energy investments. Renewable and Sustainable Energy Reviews, 160, 112305. https://doi.org/10.1016/j.rser.2022.112305

Adomako, S., Abdelgawad, S., Ahsan, M., Amankwah, J., & Liedong, T. (2023). Nonmarket strategy in emerging markets: The link between SMEs’ corporate political activity, corporate social responsibility, and firm competitiveness. Journal of Business Research, 160, 113767. https://doi.org/10.1016/j.jbusres.2023.113767

Barton, D. (2022). Recognising institutional context in simulating and generalising exchange values for monetary ecosystem accounts. One Ecosystem, 7, e85283. https://doi.org/10.3897/oneeco.7.e85283

Cha, J., Park, K., Kim, H., & Hong, J. (2023). Crisis index prediction based on momentum theory and earnings downside risk theory: Focusing on South Korea’s energy industry. Energies, 16(5), 2153. https://doi.org/10.3390/en16052153

Chen, D., Ye, J., & Ye, W. (2023). Interpretable selective learning in credit risk. Research in International Business and Finance, 65, 101940. https://doi.org/10.1016/j.ribaf.2023.101940

Corvello, V., Felicetti, A., Troise, C., & et al. (2024). Betting on the future: how to build antifragility in innovative start-up companies. Review of Managerial Science, 18, 1101-1127. https://doi.org/10.1007/s11846-023-00636-x

Donohue, I., Coscieme, L., Gellner, G., Yang, Q., Jackson, A., Kubiszewski, I., Costanza, R., & McCann, K. (2023). Accelerated economic recovery in countries powered by renewables. Ecological Economics, 212, 107916. https://doi.org/10.1016/j.ecolecon.2023.107916

Franz, D., & Le, J. (2021). Technology advances, high-risk research, and a safe way forward. mBio, 12(5):e0237321. https://doi.org/10.1128/mbio.02373-21

Gómez, R., Alvarez, A., Cuya, B., Arias, M., Campos, N., Juarez, L., Anderson, M., Aguila, S., & Yáñez, J. (2023). Product innovation, market intelligence and pricing capability as a competitive advantage in the international performance of startups: Case of Peru. Sustainability, 15(11), 8992. https://doi.org/10.3390/su15118992

Heredia, J., Geldes, C., Kunc, M., & Flores, A. (2019). New approach to the innovation process in emerging economies: The manufacturing sector case in Chile and Peru. Technovation, 79, 35-55. https://doi.org/10.1016/j.technovation.2018.02.012

Hristov, I., Camilli, R., Chirico, A., & Mechelli, A. (2022). The integration between enterprise risk management and performance management system: Managerial analysis and conceptual model to support strategic decision-making process. Production Planning & Control, 35(8), 842-855. https://doi.org/10.1080/09537287.2022.2140086

Hsu, C., Chang, A., Zhang, T., Lin, W., & Liu, W. (2021). Deploying resilience enablers to mitigate risks in sustainable fashion supply chains. Sustainability, 13(5), 2943. https://doi.org/10.3390/su13052943

Huang, C., Baghersad, M., Behara, R., & Zobel, C. (2022). Optimal investment in prevention and recovery for mitigating epidemic risks. Risk Analysis, 42(1), 206-220.

James, N., Menzies, M., & Chin, K. (2022). Economic state classification and portfolio optimisation with application to stagflationary environments. Chaos, Solitons & Fractals, 164, 112664. https://doi.org/10.1016/j.chaos.2022.112664

Kang, X., Wang, M., Lin, J., & et al. (2022). Trends and status in resources security, ecological stability, and sustainable development research: A systematic analysis. Environmental Science and Pollution Research, 29, 50192-50207. https://doi.org/10.1007/s11356-022-19412-7

Le, S., & Sukhatme, N. (2020). Reaching for mediocrity: Competition and stagnation in pharmaceutical innovation. International Review of Law and Economics, 64, 105934. https://doi.org/10.1016/j.irle.2020.105934

López, V., Iglesias, S., & Fernández, E. (2020). Is sustainable performance explained by firm effect in small business? Sustainability, 12(23), 10028. https://doi.org/10.3390/su122310028

Noja, G., Buglea, A., Lala, I., & et al. (2021). The interplay between knowledge-based competitiveness, people’s good health and well-being: New empirical evidence from Central and Eastern European countries. Quality & Quantity, 55, 441-466. https://doi.org/10.1007/s11135-020-01015-4

Nupehewa, S., Liyanage, S., Polkotuwa, D., Thiyagarajah, M., Jayathilaka, R., & Lokeshwara, A. (2022). More than just investment: Causality analysis between foreign direct investment and economic growth. PLoS ONE, 17(11), e0276621. https://doi.org/10.1371/journal.pone.0276621

Prokopczuk, M., Stancu, A., & Symeonidis, L. (2019). The economic drivers of commodity market volatility. Journal of International Money and Finance, 98, 102063. https://doi.org/10.1016/j.jimonfin.2019.102063

Settembre, D., González, R., & Medina, S. (2021). Flexibility and resilience in corporate decision making: A new sustainability-based risk management system in uncertain times. Global Journal of Flexible Systems Management, 22(Suppl 2), 107–132. https://doi.org/10.1007/s40171-021-00277-7

Tiganasu, R., Pascariu, G., & Lupu, D. (2022). Competitiveness, fiscal policy and corruption: Evidence from central and eastern european countries. Oeconomia Copernicana, 13(3), 667-698. https://doi.org/10.24136/oc.2022.020

Yin, H., Mohsin, M., Zhang, L., Qian, C., & Cai, Y. (2022). Accessing the impact of FDI goals on risk management strategy and management performance in the digital era: A case study of SMEs in China. Sustainability, 14(22), 14874. https://doi.org/10.3390/su142214874

Zenghelis, D. (2021). Why sustainable, inclusive, and resilient investment makes for efficacious post-COVID medicine. WIREs Climate Change, 12, e708. https://doi.org/10.1002/wcc.708

Published

2025-05-23

How to Cite

Argota Pérez, Y., & Layme Uchochoque, R. . (2025). Impact of high-risk investments on the maintenance of business competitiveness index in economic recovery. Cátedra Villarreal, 13(1), 1–19. https://doi.org/10.24039/rcv20251311888

Issue

Section

Original Articles

Similar Articles

1 2 3 4 5 6 7 8 9 > >> 

You may also start an advanced similarity search for this article.