Cross-Sector Performance Benchmarking: The Evolving Role of Financial Ratio Analysis Across Industries

Thị Mai, Nguyễn and Wijaya, Putri and 陽翔, 田中 and Volkov, Dmitry (2025): Cross-Sector Performance Benchmarking: The Evolving Role of Financial Ratio Analysis Across Industries.

Abstract

This paper explores the evolving role of financial ratio analysis as a tool for cross-sector performance benchmarking. Drawing on recent studies, it reviews how industries such as aviation, telecommunications, accounting, and banking adapt ratio frameworks to address sector-specific challenges and opportunities. The literature reveals a clear shift from static, one-size-fits-all benchmarking toward more dynamic, real-time, and context-sensitive approaches. Methodological innovations such as panel data analysis and integrated dashboards are shown to enhance comparability and strategic decision-making. Moreover, emerging trends advocate for blending financial ratios with ESG metrics to provide a more comprehensive view of firm performance. Despite challenges related to data consistency and sectoral differences, the evidence suggests that adaptive benchmarking practices are crucial for resilience, transparency, and sustainable growth. This review highlights pathways for future research and practical applications that can better align ratio analysis with the complexities of today’s global business environment.

• Item Type: MPRA Paper
• Language: English
• Keywords: Financial Ratio Analysis, ESG Integration, Cross-Sector Benchmarking
• Subjects: M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M4 - Accounting and Auditing > M41 - Accounting; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M4 - Accounting and Auditing > M42 - Auditing

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