Mission – Characteristics, Benefits, Challenges and Financial Performance – A Look at Cambodian Listed Firms

Abstract

This article explains the characteristics, benefits of having a mission statement and the challenges faced in developing such a mission statement. An analysis of public-listed companies’ mission statement on the Cambodian stock exchange was undertaken and compared with the recommendation of Campbell and Yeung. This was followed by a simple financial analysis of return on capital employed between a firm that has a better mission statement as compared to another public listed firm whose mission statement was not as effective. Controlling for other variables, there may be a positive correlation between a firm’s mission statement and its financial performance.