Impact of ISO 9000 on Business Performance in Pakistan: Implications for Quality in Developing Countries

Abstract

A large number of firms in Pakistan have been seeking ISO 9000 certification to either compete in international markets or to compete with imported products as demand for products made by ISO certified companies increases. This paper studies whether ISO 9000 has had a favorable impact on the financial performance of ISO 9000 certified companies in Pakistan. This study provides insights into effective implementation of ISO 9000 certification in Pakistan.Aggregate data demonstrate an association between ISO 9000 certification and the financial performance of all firms. However, ISO 9000 certification is not associated with the financial performance of small firms. It is not possible to conclude that ISO 9000 certification always leads to a favorable impact on company performance in Pakistan.

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