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"Profit margins will also vary by industry reflecting different capital intensities," she said.
These negative implications are more severe with high research and development and capital intensities, or if a recession prevails (Guthrie and Datta 2008; Lin et al. 2008).
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Bottom line: Ride sharing companies will continue with the low capital intensity model, for the moment, but the search for a competitive edge may result in a more capital intense model, requiring more investment to deliver sustainable growth.
Overall subscriber growth is sluggish and capital intensity rising.
"It's not that hard to find ways around capital intensity.
Across Eaton, outsourcing has been a means to reduce what Mr. Cutler calls its capital intensity.
Up to this point, Ford had achieved economies without greatly increasing the rate of capital intensity.
But its capital intensity, reliance on government subsidies and vulnerability to bottlenecks make it risky.
Our analysis of joint site profitability suggests declining returns driven by absolute profit declines and higher capital intensity.
This paper contributes to the scarce empirical literature on the impact of foreign ownership on human capital intensity.
These results are obtained after controlling for other firm-specific variables such as capital intensity or mergers and acquisitions.
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