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Retaliations are beneficial for firms with supranormal earnings by making their higher earnings more persistent, but harmful for firms with subnormal earnings by slowing the recovery of their earnings to the industry average
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This page is a summary of: From retaliation to resilience: tracing the path of earnings stability in competitive markets, International Journal of Accounting and Information Management, November 2024, Emerald,
DOI: 10.1108/ijaim-04-2024-0117.
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