The firm performance is a complex term which may include different shadows of meaning as long as it relates to organizational performance, functioning of the firm and outcomes of its operations. Normally, the firm performance implies the organizational performance, including manufacturing of products and services, functioning of different units of the firm, performance of its employees and outcomes of their work in total. At the same time, the firm performance can be viewed in a broader context as a part of the business development of the firm. What is meant here is the fact that the business development mirrors the firm’s performance and allows to assess the extent to which the organizational performance is effective. At this point, it is important to place emphasis on the fact that the firm’s performance is basically measured in terms of efficiency of the firm’s operations. In fact, the more effective the firm’s operations are completed the more positive the organizational performance is and, on the contrary, the low efficiency of firm’s operations and employees’ performance means the poor firm’s performance. In this respect, employees’ performance comprises an integral part of the firm’s performance because, in the contemporary business environment human resources, comprise an important marketing asset of any organization. Therefore, the efficiency of employees’ performance affects consistently the firm’s performance.

Furthermore, it is important to take into consideration that the firm’s performance is an important indicator for investors and stakeholders. What is meant here is the fact that the firm’s performance indicates whether the company is worth investing or not. For instance, investors are ready to invest money in firms with the positive marketing performance, whereas poor marketing performance indicates at problems firms have in their business development. As a result, investors avoid investing money in companies with poor performance because they are uncertain in the return on investments and because of high risks accompanying such investments.

The competitive advantage of a company is one of the most important factors that define the competitive position of the company in the market. In fact, the competitive position of a company means the marketing position and performance of the company compared to its major rivals. In this regard, it is necessary to pay a particular attention to the return on investments rate of the company because the higher is the return on investments and lower risks associated with investments and business development of the company, the better is the marketing position of the company. In fact, the company with the high return on investment can count for the steady improvement of its marketing and competitive p