Aldo van Weezel, University of the Andes, Santiago

It is generally accepted that newspaper firms are passing through hard times. Readers and advertisers—their 2 main income sources—seem to be turning to other media, thus negatively affecting newspaper financial performance. To respond to these challenges, newspapers are changing the way they organize their activities. This study looks at a sample of newspapers to investigate extent to which 2 of these organizational changes (i.e., integration and outsourcing) are affecting performance. The study shows that the higher the degree of integration within the firm, the more positive the performance. Outsourcing is found to have a negative impact. These effects are over and above those of the perceived environment.

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