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Sample records for economics firm specializing

  1. Procurement with specialized firms

    NARCIS (Netherlands)

    Boone, Jan; Schottmuller, C.

    2016-01-01

    We analyze optimal procurement mechanisms when firms are specialized. The procurement agency has incomplete information concerning the firms' cost functions and values high quality as well as low price. Lower type firms are cheaper (more expensive) than higher type firms when providing low (high)

  2. How do Economic Crises Impact Firm Boundaries?

    DEFF Research Database (Denmark)

    Foss, Kirsten

    2010-01-01

    How economic crises impact the boundaries of firms has been offered virtually no attention in the literature on the theory of the firm. I review the best-known theories of the firm and identify the variables that matter for the explanation of firm boundaries. I then examine how an economic crisis...... may impact these variables and change efficient firm boundaries. The various theories of the firm have difficulties explaining how firms efficiently adapt their boundaries to such prominent characteristics of economic crisis as declining demand and increased costs of external finance. However, all...... these theories stress uncertainty as an antecedent of firm organization, and as uncertainty is also an important characteristic of an economic crisis I examine how uncertainty is allowed to play out in the various theories in order to identify what predictions we can derive from the theory regarding changes...

  3. Heterogeneity in Firm Performance During Economic Crisis

    Directory of Open Access Journals (Sweden)

    Sergio Bruni

    2014-06-01

    Full Text Available What happens to firms during periods of deep economic crisis? Did different types of firms perform differently under the economic crisis? With the aid of a rich database and focusing on the literature regarding the growth of firms, this paper investigates the relative profitability performance of Italian firms during the current economic crisis, exploring those factors, which help certain firms to do relatively better even in the slowdown period. Some preliminary results show that the Italian firms that are relatively young in age, with relatively better current liquidity and more focused on domestic market have performed better than other firms. Furthermore, firms operating in high-tech and in highly concentrated sectors have enjoyed a better performance in this period.

  4. Entrepreneurship and the Economics of the Firm

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul

    The study of entrepreneurship and the study of economic organizing lack contact. In fact, the modern theory of the firm virtually ignores entrepreneurship, while the literature on entrepreneurship often sees little value in the economic theory of the firm. In contrast, we argue in this chapter...... that entrepreneurship theory and the theory of the firm can be usefully integrated, and that doing so would improve both bodies of theory. Adding the entrepreneur to the theory of the firm provides a dynamic view that the overly static analysis of firm organizing cannot support. Moreover, adding the firm to the study...... of the entrepreneur provides important clues to how we can understand entrepreneurship....

  5. Inter-firm networks : economic and sociological perspectives

    NARCIS (Netherlands)

    Westbrock, B.|info:eu-repo/dai/nl/304836273

    2010-01-01

    Inter-firm collaborations have recently been recognized as a valuable mode for the organization of economic activity, next to markets and hierarchies. This recognition is supported by empirical evidence that strategic alliances between firms facilitate the generation and dissemination of

  6. Austrian Economics and the Transaction Cost Approach to the Firm

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    Nicolai J. Foss

    2009-10-01

    Full Text Available As the transaction cost theory of the firm was taking shape in the 1970s, another important movement in economics was emerging: a revival of the ‘Austrian’ tradition in economic theory associated with such economists as Ludwig von Mises and F. A. Hayek (1973; Dolan, 1976; Spadaro, 1978. As Oliver Williamson has pointed out, Austrian economics is among the diverse sources for transaction cost economics. In particular, Williamson frequently cites Hayek (e.g., Williamson, 1985, p. 8; 1991, p. 162, particularly Hayek’s emphasis on adaptation as a key problem of economic organisation (Hayek, 1945. Following Williamson’s lead, a reference to Hayek’s ‘The Use of Knowledge in Society’ (Hayek, 1945 has become almost mandatory in discussions of economic organisation (e.g., Ricketts, 1987, p. 59; Milgrom and Roberts, 1992, p. 56; Douma and Schreuder 1991, p. 9. However, there are many other potential links between Austrian and transaction cost economics that have not been explored closely and exploited.This article argues that characteristically Austrian ideas about property, entrepreneurship, economic calculation, tacit knowledge, and the temporal structure of capital have important implications for theories of economic organisation, transaction cost economics in particular. Austrian economists have not, however, devoted substantial attention to the theory of the firm, preferring to focus on business-cycle theory, welfare economics, political economy, comparative economic systems, and other areas. Until recently the theory of the firm was an almost completely neglected area in Austrian economics, but over the last decade, a small Austrian literature on the firm has emerged. While these works cover a wide variety of theoretical and applied topics, their authors share the view that Austrian insights have something to offer students of firm organisation.

  7. Entrepreneurship and the Economic Theory of the Firm

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul; Klein, Peter G.

    Although they have developed very much in isolation from each other, we argue the theory ofentrepreneurship and the economic theory of the firm are closely related, and each has much tolearn from the other. In particular, the notion of entrepreneurship as judgment associated withFrank Knight...... and some Austrian school economists aligns naturally with the theory of the firm.In this perspective, the entrepreneur needs a firm, that is, a set of alienable assets he controls, tocarry out his function. We further show how this notion of judgment adds to the key themes inthe modern theory of the firm...

  8. How Do We Capture "Global Specialization" When Measuring Firms' Degree of Internationalization?

    DEFF Research Database (Denmark)

    Geisler Asmussen, Christian; Pedersen, Torben; Petersen, Bent

    The IB literature informs us of several ways to measure firms' degree of internationalization. In this paper we make the argument that in fact none of the existing indices really measure firms' degree of "global specialization", that is, to what extent their allocation of resources is multidomestic...... or global. As argued, all the existing measures may gauge a purely multidomestic firm as having a high degree of internationalization, whereas a truly global firm may be ranked low. In order to remedy this we introduce a complementary index measuring how firms are configuring their value chains - whether...

  9. Which theories can explain the emerging economic problems? Theories of the firm in the new institutional economics

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    Marek Matuszak

    2010-12-01

    Full Text Available The article presents basic assumptions and new theories of the firm connected with New Institutional Economics (NIE. NIE is regarded as a stream of research which enlarges and enriches the neoclassical economics. NIE focuses on the phenomena ignored by the traditional economics. The research field of NIE is very diversified but the adhesive which integrates all its streams is the idea that the main determinants of the development are institutions. The following part of the article contains a brief presentation of the notion, the significance and the types of institutions. It is stated that the market and its mechanisms depend on the characteristics of institutions which define its nature. Next the article presents briefly new theories of the firm related to NIE – the moral hazard or agency- theoretic approach, transaction cost economics approach and „capabilities” approach. The last part of the article examines the importance of institutions for creating the competitive advantage of a firm and of economies.

  10. Applied evolutionary economics and economic geography

    NARCIS (Netherlands)

    Frenken, K.

    2007-01-01

    Applied Evolutionary Economics and Economic Geography" aims to further advance empirical methodologies in evolutionary economics, with a special emphasis on geography and firm location. It does so by bringing together a select group of leading scholars including economists, geographers and

  11. Resource specialization, customer orientation, and firm performance: an empirical investigation of valuable resources

    DEFF Research Database (Denmark)

    Sørensen, Hans Eibe

    2011-01-01

    This study contributes to the strategic marketing research by empirically investigating the role of customer orientation in explaining how firms leverage their specialized but vulnerable resources. The aim is thus to explore a subset of the means by which resources become valuable to the firm...... – the first criterion for a strategic resource. Hypotheses are developed and tested using CEO questionnaire responses from a sample of manufacturing firms and census accounting data. The results show that there is a strong link between industry-specific resources and return on assets for firms with high...... levels of customer orientation. We also report that firm-specific resources are unrelated to firm performance and that a customer orientation – investigated in isolation, may be detrimental to firm performance. Research and managerial implications are discussed....

  12. Competitive market for multiple firms and economic crisis

    Science.gov (United States)

    Tao, Yong

    2010-09-01

    The origin of economic crises is a key problem for economics. We present a model of long-run competitive markets to show that the multiplicity of behaviors in an economic system, over a long time scale, emerge as statistical regularities (perfectly competitive markets obey Bose-Einstein statistics and purely monopolistic-competitive markets obey Boltzmann statistics) and that how interaction among firms influences the evolutionary of competitive markets. It has been widely accepted that perfect competition is most efficient. Our study shows that the perfectly competitive system, as an extreme case of competitive markets, is most efficient but not stable, and gives rise to economic crises as society reaches full employment. In the economic crisis revealed by our model, many firms condense (collapse) into the lowest supply level (zero supply, namely, bankruptcy status), in analogy to Bose-Einstein condensation. This curious phenomenon arises because perfect competition (homogeneous competitions) equals symmetric (indistinguishable) investment direction, a fact abhorred by nature. Therefore, we urge the promotion of monopolistic competition (heterogeneous competitions) rather than perfect competition. To provide early warning of economic crises, we introduce a resolving index of investment, which approaches zero in the run-up to an economic crisis. On the other hand, our model discloses, as a profound conclusion, that the technological level for a long-run social or economic system is proportional to the freedom (disorder) of this system; in other words, technology equals the entropy of system. As an application of this concept, we give a possible answer to the Needham question: “Why was it that despite the immense achievements of traditional China it had been in Europe and not in China that the scientific and industrial revolutions occurred?”

  13. Procurement with Specialized Firms

    NARCIS (Netherlands)

    Boone, J.; Schottmuller, C.

    2011-01-01

    This paper analyzes optimal procurement mechanisms in a setting where the procurement agency has incomplete information concerning the firms’ cost functions and cares about quality as well as price. Low type firms are cheaper than high type firms in providing low quality but more expensive when

  14. The Lorentz Attractor and Other Attractors in the Economic System of a Firm

    International Nuclear Information System (INIS)

    Shapovalov, V I; Kazakov, N V

    2015-01-01

    A nonlinear model of the economic system of ''a firm'' is offered. It is shown that this model has several chaotic attractors, including the Lorentz attractor and a new attractor that, in our opinion, has not yet been described in the scientific literature. The chaotic nature of the attractors that were found was confirmed by computing the Lyapunov indicators. The functioning of our economic model is demonstrated with examples of firm behaviour that change the control parameters; these are well known in practice. In particular, it is shown that changes in the specific control parameters may change the system and avoid bankruptcy for the firm

  15. Industrial clusters in Russia: The development of special economic zones and industrial parks

    Directory of Open Access Journals (Sweden)

    Sergey Sosnovskikh

    2017-06-01

    Full Text Available This paper investigates the process of developing and implementing special economic zones (SEZs and industrial parks in Russia. Governments commonly use SEZ policies to develop and diversify exports, create jobs and launch technology/knowledge sharing. The industrial cluster concept is based on the significance of rivalry and supplier networks within the cluster, the combination of geographical specificities and government policies that lead to innovation and productivity growth. This study reveals that in Russia the government′s approach in developing these initiatives has strongly interfered with business activities and prevented the vital competitive and collaborative behavior of firms within these economic zones.

  16. Applied evolutionary economics and economic geography

    OpenAIRE

    Peter Sunley

    2008-01-01

    Applied Evolutionary Economics and Economic Geography aims to further advance empirical methodologies in evolutionary economics, with a special emphasis on geography and firm location. It does so by bringing together a select group of leading scholars including economists, geographers and sociologists, all of whom share an interest in explaining the uneven distribution of economic activities in space and the historical processes that have produced these patterns.

  17. Economic value added or earnings: What explains market value in Indian firms?

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    Nufazil Altaf

    2016-12-01

    Full Text Available The purpose of this paper is to empirically test the claim made by Stern Stewart & Company that economic value added is a better metric that traditional earning based measures in explaining market value. For better exposition, a sample of 325 Indian firms has been divided into two parts- 170 firms belonging to Indian manufacturing companies and 155 companies belonging to the Indian service sector. After performing univariate and multivariate regression analyses, the results of the study reveal that the operating income has a strong linkage with market value added in both manufacturing and service sectors. For both the sectors, the economic value added shows weaker but positive relationship with the market value added.

  18. PERSPECTIVES ON FAMILY FIRMS IN THE ROMANIAN ECONOMIC FRAMEWORK

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    Viorel CORNESCU

    2018-05-01

    Full Text Available The paperwork focuses on emphasizing the increasingly significant role of family firms in the Romanian economic framework, by bringing into attention legislative matters, their advantages and disadvantages compared to other similar forms of organization (sole proprietorship (IF and PFA (self-employed person. The importance of FFs is indisputable, not only generally, from the economic point of view, but also in terms of the commitment shown to local communities, business responsibility, long-term stability and moral values. They are also a fertile soil for entrepreneurship as incubators for future entrepreneurs. Our goal is to capture their features, their evolution in time in the local framework, development tendencies, but also the peculiarities of their financial instrumentation. Their specific aspects in what concerns financial instrumentation of FFs may be the subject of future debates on proposals to improve the management of their work, to analyze their financial activity by highlighting the legislative aspects which are compared to similar forms of organization, by also assessing the evolution in time of family firms in terms of their importance within the economy. Therefore, the paperwork points out some of the key aspects and characteristics of such organizations which act as a balance in entrepreneurial development, along with the economic support of thousands of families, both from rural and urban environment.

  19. ENTERPRISE ARCHITECTURE: AN INTERFACE CONCEPT BETWEEN THE ECONOMICS AND THE MANAGEMENT OF THE FIRM

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    José Carlos Cavalcanti

    2010-01-01

    Full Text Available This paper aims to broadly discuss a subject that intends to be an interface between the economics and the management of the firm: the Enterprise Architecture. This concept is viewed here as the most appropriate means to understand the impact of the information content, of the information systems, and of the information and communication technologies- ICTs on the internal technological and organizational choices of the firm. In support to this argument it relies on three main steps. Initially, a brief review of the main theories (economic and management of the firm is made highlighting their contributions, caveats and convergences. Then the paper bases its analysis on the concept of the firm as an “engine of information” and on a concept from the Computing Science and Engineering, Enterprise Architecture, to point out that these concepts bring up important contributions towards a more consistent interpretation of what the firm is (or how it is organized currently, in which is practically impossible to exist without the modern information tools. Finally, it is presented an innovative methodology, in an analogy to the Structure-Conduct-Performance Paradigm (that is traditionally used on the empirical market analysis, which identifies the firm according to three linear connected approaches: its architecture, its governance, and its growth strategy.

  20. ENTERPRISE ARCHITECTURE: AN INTERFACE CONCEPT BETWEEN THE ECONOMICS AND THE MANAGEMENT OF THE FIRM

    Directory of Open Access Journals (Sweden)

    José Carlos Cavalcanti

    2009-12-01

    Full Text Available This paper aims to broadly discuss a subject that intends to be an interface between the economics and the management of the firm: the Enterprise Architecture. This concept is viewed here as the most appropriate means to understand the impact of the information content, of the information systems, and of the information and communication technologies- ICTs on the internal technological and organizational choices of the firm. In support to this argument it relies on three main steps. Initially, a brief review of the main theories (economic and management of the firm is made highlighting their contributions, caveats and convergences. Then the paper bases its analysis on the concept of the firm as an “engine of information” and on a concept from the Computing Science and Engineering, Enterprise Architecture, to point out that these concepts bring up important contributions towards a more consistent interpretation of what the firm is (or how it is organized currently, in which is practically impossible to exist without the modern information tools. Finally, it is presented an innovative methodology, in an analogy to the Structure-Conduct-Performance Paradigm (that is traditionally used on the empirical market analysis, which identifies the firm according to three linear connected approaches: its architecture, its governance, and its growth strategy.

  1. WHAT A FIRM TAKES TO COMPETE IN CONDITIONS OF ECONOMIC ADVERSITY

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    Muyanja Sseyonga

    2003-01-01

    petitive advantages over rivals which enhances the company’s capacity to deal with economic distress. It is incontrovertible, however, that the success of firms must be backed by strong and appropriate macroeconomic management by governments with respect to fiscal, monetary and trade policies.

  2. Real economic activity and accounting information in Spanish construction and real estate firms

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    Juan Carlos Navarro-García

    2016-01-01

    Full Text Available The aim of this work is to determine whether the accounting information provided by construction and real estate firms in Spain reflects the real economic activity, during upswings and downturns. A relationship is found between economic conditions and financial reporting in a continental European country such as Spain. Although there is a relationship between real housing price growth and financial accounting measures, real estate companies seem to show an artificial position, since they only present a relationship with Return on Assets (ROA based on low quality income (accruals. Therefore, a different financial position influences a different behaviour in these two similar sectors. In fact, some signs alerting of possible risk in real estate firms are shown.

  3. The Effects of the Specialization of Private Equity Firms on their Exit Strategy

    DEFF Research Database (Denmark)

    Rigamonti, Damiana; Cefis, Elena; Meoli, Michele

    2016-01-01

    We investigate how industry and stage specialization of Private Equity (PE) firms affect the likelihood to exit investments by means of trade sales, Initial Public Offerings (IPOs), or Secondary Buyouts (SBOs). Our empirical analysis relies on competing risks models. Using a sample of 818 Leverag...

  4. Prospecting theoretical approaches to understand internationalization of creative economy firms

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    Sílvio Luís de Vasconcellos

    2017-12-01

    Full Text Available We argue that the internationalization process of firms in the creative economy has particular aspects that distinguish it from internationalization of firms in traditional economic sectors. We explore ways in which the international business literature might be helpful for understanding how internationalization takes place in firms whose core business is creation of ideas. We conducted a case study using a focus group technique to investigate a creative economy firm specialized in computer graphics. The firm already does business internationally as a producer of electronic mockup models, but is transitioning to the computer-generated video production industry. Our results suggest that behavioral approaches to international business related to entrepreneurship, as well as country origin effects and networks theory could be useful to expanding knowledge about the internationalization process in such firms, in which creativity is a critical resource.

  5. 24 CFR 570.203 - Special economic development activities.

    Science.gov (United States)

    2010-04-01

    ... 24 Housing and Urban Development 3 2010-04-01 2010-04-01 false Special economic development... § 570.203 Special economic development activities. A recipient may use CDBG funds for special economic... part of an economic development project. Guidelines for selecting activities to assist under this...

  6. Thermodynamics of firms' growth

    Science.gov (United States)

    Zambrano, Eduardo; Hernando, Alberto; Hernando, Ricardo; Plastino, Angelo

    2015-01-01

    The distribution of firms' growth and firms' sizes is a topic under intense scrutiny. In this paper, we show that a thermodynamic model based on the maximum entropy principle, with dynamical prior information, can be constructed that adequately describes the dynamics and distribution of firms' growth. Our theoretical framework is tested against a comprehensive database of Spanish firms, which covers, to a very large extent, Spain's economic activity, with a total of 1 155 142 firms evolving along a full decade. We show that the empirical exponent of Pareto's law, a rule often observed in the rank distribution of large-size firms, is explained by the capacity of economic system for creating/destroying firms, and that can be used to measure the health of a capitalist-based economy. Indeed, our model predicts that when the exponent is larger than 1, creation of firms is favoured; when it is smaller than 1, destruction of firms is favoured instead; and when it equals 1 (matching Zipf's law), the system is in a full macroeconomic equilibrium, entailing ‘free’ creation and/or destruction of firms. For medium and smaller firm sizes, the dynamical regime changes, the whole distribution can no longer be fitted to a single simple analytical form and numerical prediction is required. Our model constitutes the basis for a full predictive framework regarding the economic evolution of an ensemble of firms. Such a structure can be potentially used to develop simulations and test hypothetical scenarios, such as economic crisis or the response to specific policy measures. PMID:26510828

  7. GROWTH AND VENTURE CAPITAL INVESTMENT IN TECHNOLOGY-BASED SMALL FIRMS THE CASE OF HUNGARY

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    Becsky Nagy Patricia

    2014-07-01

    Full Text Available Venture capital backed enterprises represent a low proportion of companies, even of innovative ones. The research question was, whether these companies have an important role in innovation and economic growth in Hungary compared to other countries. In the first part of the article I present the theoretical background of technology-based small firms, highlighting the most important models and theories of the economic impact and the special development of innovative technology-oriented small firms. In the second part of the article I present the status of the most important indicators of innovation in connection with entrepreneurship, than I elaborate on the measures of start-ups, mainly the high-tech ones with high-growth potential. I describe the current position of venture capital industry, detailing the venture capital investments, with particular emphasis on classical venture capital investments that points out the number and the amount of venture capital investments financing early stage firms with high-growth potential. At the end I summarize the status of Hungarian technology-based small firms and their possibilities to get financial sources form venture capital investors, with regards to the status and the prospects of the JEREMIE program. In Hungary the number of internationally competitive firms, ready and willing to obtain venture capital, is much lower than in the US or Western European countries. Hungary could take advantage of its competitive edges in some special fields of innovation. The efficiency of information flow would reduce the information gap between the demand and the supply side of the venture capital market and more Hungarian firms could be internationally successful through venture capital financing. The recent years’ policy and special programs like JEREMIE generated more transactions, that helped to inform the entrepreneurs about venture capital and helped to co-invest public resources with private equity more

  8. Stability, Specialization and Social Recognition

    NARCIS (Netherlands)

    Gilles, R.P.; Lazarova, E.A.; Ruys, P.H.M.

    2006-01-01

    Yang s theory of economic specialization under increasing returns to scale (Yang 2001) is a formal development of the fundamental Smith-Young theorem on the extent of the market and the social division of labor.In this theory specialization and, thus, the social division of labor is firmly embedded

  9. THE ECONOMIC BASIS IN ORGANISATIONAL BEHAVIOUR – BEHAVIOURAL THEORY OF THE FIRM

    OpenAIRE

    VIRGINIA BĂLEANU

    2007-01-01

    From the economic sciences’ stand point, the process of decision making, including aspects concerning with establishing organizational objectives, is the object of the firm theories. So, these theories that reflect the management’s responsibility in the context of the relationships between people and the organization may be considered the economic basis of organisational behaviour. Parkinson’s Law and the Peter Principle are unconventional examples of the organisational practices that prove t...

  10. 24 CFR 1003.203 - Special economic development activities.

    Science.gov (United States)

    2010-04-01

    ... 24 Housing and Urban Development 4 2010-04-01 2010-04-01 false Special economic development... Eligible Activities § 1003.203 Special economic development activities. A grantee may use ICDBG funds for special economic development activities in addition to other activities authorized in this subpart which...

  11. Are Firms in Corporate Groups More Resilient During an Economic Crisis? Evidence from the Manufacturing Sector in Poland

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    Barbara Jankowska

    2016-01-01

    Full Text Available Corporate groups are specific types of business networks that generate particular advantages for firms. They allow corporates to reduce costs, develop the pool of resources and increase the flexibility of operations and responses to external shocks among others. The above mentioned benefits are of even greater importance during times of economic turbulence. Their involvement in a corporate group should theoretically allow firms to perform better. The aim of this study is to verify whether corporate group membership truly translated into a firm’s higher input competitiveness and a firm’s better performance during the recent economic crisis. First, we try to investigate if the input competitiveness is higher in the case of firms being members of corporate groups. Second, we test whether the involvement in a corporate group matters for the performance of the firms. Using critical in-depth literature studies and conducting the primary empirical research using the CATI (computer-assisted telephone interviewing method we strive to verify the following hypothesis - the higher a company’s input competitiveness during the economic crisis, the better a competitive position the company achieves. The empirical research encompasses more than 700 corporates from the manufacturing sector in Poland during the global economic crisis and shortly afterwards. To investigate the issue we use the following methods of statistical analysis – cluster analysis, non-parametric tests and correlation coefficients. The results of the study show that firms involved in both Polish and international corporate groups were more resilient during the economic crisis than those which were not.

  12. Modularity and Economic Organization

    DEFF Research Database (Denmark)

    Sanchez, Ron; Mahoney, Joseph T.

    This paper addresses modularity as a basis for organizing economic activity. We first define the key concepts of architecture and of modularity as a special form of architecture. We then suggest how modular systems of all types may exhibit several properties of fundamental importance to the organ......This paper addresses modularity as a basis for organizing economic activity. We first define the key concepts of architecture and of modularity as a special form of architecture. We then suggest how modular systems of all types may exhibit several properties of fundamental importance...... to the organization of economic activities, including greater adaptability and evolvability than systems that lack modular properties. We draw extensively on our original 1996 paper on modularity and subsequent research to suggest broad theoretical implications of modularity for (i) firms' product strategies...... markets. We also discuss an evolutionary perspective on modularity as an emergent phenomenon in firms and industries. We explain how modularity as a relatively new field of strategy and economic research may provide a new theoretical perspective on economic organizing that has significant potential...

  13. Division of Labor, Transaction Cost, Emergence of the Firm and Firm Size

    OpenAIRE

    Pak-Wai Liu; Xiaokai Yang

    1999-01-01

    In this paper a general equilibrium model is constructed to explain the emergence of firms and change in firm size by the tradeoff between economies of specialization and transaction cost. We show that firms emerge from the development of division of labor if the transaction efficiency for labor is smaller than that for intermediate goods. Given the emergence of firms, change in the average size of firms (average employment) will depend on the change in transaction efficiency for intermediate...

  14. Technological Capability and Firm Performance

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    Fernanda Maciel Reichert

    2014-08-01

    Full Text Available This research aims to investigate the relationship between investments in technological capability and economic performance in Brazilian firms. Based on economic development theory and on developed countries history, it is assumed that this relationship is positive. Through key indicators, 133 Brazilian firms have been analyzed. Given the economic circumstances of an emerging economy, which the majority of businesses are primarily based on low and medium-low-technology industries, it is not possible to affirm the existence of a positive relation between technological capability and firm performance. There are other elements that allow firms to achieve such results. Firms of lower technological intensity industries performed above average in the economic performance indicators, adversely, they invested below average in technological capability. These findings do not diminish the merit of firms’ and country’s success. They in fact confirm a historical tradition of a country that concentrates its efforts on basic industries.

  15. On Socio-Economic Roles and Specialisation

    NARCIS (Netherlands)

    Gilles, R.P.; Lazarova, E.A.; Ruys, P.H.M.

    2006-01-01

    Abstract: Xiaokai Yang's theory of economic specialization under increasing returns to scale is a formal development of the fundamental Smith-Young theorem on the extent of the market and the social division of labor. In this theory specialization and, thus, the social division of labor is firmly

  16. Bureaucratic limits of firm size: Empirical analysis using transaction cost economics

    OpenAIRE

    Canbäck, Staffan

    2002-01-01

    This thesis was submitted for the degree of Doctor of Business Administration and awarded by Brunel University on behalf of Henley Management College This thesis tests Oliver Williamson’s proposition that transaction cost economics can explain the limits of firm size. Williamson suggests that diseconomies of scale are manifested through four interrelated factors: atmospheric consequences due to specialisation, bureaucratic insularity, incentive limits of the employment relation and communi...

  17. A Texel fishing lineage: the social dynamic and economic logic of family firms

    NARCIS (Netherlands)

    van Ginkel, R.

    2014-01-01

    In the 1970s and early 1980s, several maritime anthropologists and sociologists pointed out that for a number of economic, social and psychological reasons, the performance of commercial fishing firms based on kin-based capital and labour was highly adaptive. For this reason, most crews in the North

  18. Firms, Technology and Trade

    OpenAIRE

    Caldera Sanchez, Aida

    2010-01-01

    This doctoral dissertation studies the effect of economic integration on the performance of firms. The ongoing process of global economic integration has been characterized by dismantling of trade barriers and openness to foreign direct investments (FDI). These changes have not only brought opportunities to firms in terms of market access and the possibility to learn about foreign technologies brought in by foreign counterparts. The new economic environment has also posed new challenges throu...

  19. Basis of economic analysis of Czech firms

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    Gabriela Chmelíková

    2010-01-01

    Full Text Available When looking for connections between particular business’s activities, theory of financial management uses pyramidal system of indicators. The effectiveness of this tool is based on the appropriate choice of the top indicator. Its decomposition enables to manage firm’s processes from the bottommost organizational levels to the main firm’s mission with respect to the connections between par­ti­cu­lar processes. The aim of this paper was to identify appropriate indicator, which corresponds with creation of firm’s value and design its decomposition. To measure creation of firm’s value it is nowadays very popular to use indicator Economic Value Added (EVA. Though from the theoretical point of view EVA is seen as a superior performance metric, the results of some empirical studies do not support this claim. That is why the information content of EVA was controlled in the concrete conditions of Czech Economy within this article. The results showed eligibility of using EVA in Czech firms and enabled to choose it as the top indicator in the pyramidal system. Ambition of further research is to design a complex of indicators offering a comprehensive economic view on the firm’s per­for­man­ce.

  20. Diversified boundaries of the firm

    OpenAIRE

    Kimura, Koichiro

    2012-01-01

    We analyze diversification of boundaries of local firms in developing countries under the economic globalization. The globalization has an aspect of homogenization of the world economy, but also has another aspect of diversification through international economic activities. Focusing on boundary-level of the firm, this article shows that the diversification from a comparison with boundaries of foreign firms in developed countries is brought by a disadvantage of technology deficit and a home a...

  1. Human Capital-Intensive Firms and Symbolic Value Creation

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    Cezanne Cécile

    2014-06-01

    Full Text Available The aim of this paper is to study the process of symbolic value creation of human capital-intensive firms. Human capital is a critical resource for firms’ activities. Nevertheless, this dimension is often obscured by industrial economists. In the light of critical resource theory, we analyze how taking into account the inalienable and inimitable nature of specific human capital entails a reconsideration of the role and boundaries of the firm. We show that the firm seeks to coordinate the specialization of its key partners within the frame of its economic boundaries to ensure the long-term optimization of its potential of value. Therefore, the value of the firm depends on all the resources that the firm coordinates. Then we focus on the way HCIF can create different values. We suggest that the firm builds its competitive advantage on different forms of values, in particular the symbolic value incorporated in human capital. Finally, on the basis of these considerations, we identify the wealth included in the critical resources of the firm and to bring to light the process of symbolic value creation associated with it. We suggest that the firm is the value creating entity and the customer both recognizes and derives the value created from whatever it is that the firm provides. We propose a definition of this value and a schema of its creation process based on management works attempts. We conclude by proposing paths of research that could fruitfully be explored to further develop this new subject.

  2. Firms, crowds, and innovation.

    Science.gov (United States)

    Felin, Teppo; Lakhani, Karim R; Tushman, Michael L

    2017-05-01

    The purpose of this article is to suggest a (preliminary) taxonomy and research agenda for the topic of "firms, crowds, and innovation" and to provide an introduction to the associated special issue. We specifically discuss how various crowd-related phenomena and practices-for example, crowdsourcing, crowdfunding, user innovation, and peer production-relate to theories of the firm, with particular attention on "sociality" in firms and markets. We first briefly review extant theories of the firm and then discuss three theoretical aspects of sociality related to crowds in the context of strategy, organizations, and innovation: (1) the functions of sociality (sociality as extension of rationality, sociality as sensing and signaling, sociality as matching and identity), (2) the forms of sociality (independent/aggregate and interacting/emergent forms of sociality), and (3) the failures of sociality (misattribution and misapplication). We conclude with an outline of future research directions and introduce the special issue papers and essays.

  3. How should a theory of the firm incorporate advertising?

    OpenAIRE

    Lah, Marko

    2015-01-01

    This article discusses the role of advertising expenses within the economic theory of the firm. In marketing and advertising textbooks advertising expenses are, from the perspective of the economic theory of the firm, viewed too narrowly. In contrast, standard economics textbooks start with the unrealistic perfect competition firm where advertising is not needed, while for the imperfect competition firm they extend the profit maximisation motive and concentrate on the optimisation of advertis...

  4. Louisiana Speaks Regional Plan Vision Special Economic Zones, UTM Zone 15N NAD83, Louisiana Recovery Authority (2007), [louisiana_speaks_vision_special_economic_zones

    Data.gov (United States)

    Louisiana Geographic Information Center — This GIS shapefile data illustrates special economic zones included in the Louisiana Speaks Regional Plan Vision. Special economic zones include existing national,...

  5. The effect of innovative activity in firm performance and development: Analysing data from eurozone

    Directory of Open Access Journals (Sweden)

    Ilias A. Makris

    2016-06-01

    Full Text Available Purpose – The purpose of this paper is to examine the effect of Innovative Activity on firm performance and growth. Active Research and Development is considered to be directly related with development, prosperity and growth, in micro and macro level and a key factor in hindering economic recession. Design/methodology/approach – We analyse economic data from listed firms of selected eurozone country-members in order to associate Research and Development with performance indicators in firm and country level. For that purpose, several firm data were collected from WorldScope data base and macroeconomic data from Worldbank database. The period examined is between 2002 and 2012, with a special focus on current financial crisis (after 2007. The empirical process includes, descriptive statistics and logistic regression analysis. Findings – Findings indicate the crucial effect of innovative process in economic performance and development in firm and country level. The latter highlights the urgent need for public support in order to spur innovative activity and high-tech exports, especially in countries that were heavily affected by recession. Research limitations/implications – Some research limitations are the large number of missing cases in WordScope database, as many firms after the beginning of current crisis exit stock market. Furthermore, the other part of the economy, the Small and Medium Enterprises does not exist in the analysis, as listed firms are mainly large and mature companies. Originality/value – The results tend to highlight the need for common policy measures in eurozone, in regard to such issues, instead of imposing horizontal budgetary constraints in specific countries (like Southern Europe, hindering the vicious recessionary circle.

  6. Economic Reform, Firm Survival and Competitiveness (Middle East ...

    International Development Research Centre (IDRC) Digital Library (Canada)

    During the 1980s, it was thought that liberalizing trade and exposing industries ... of some firms but a more productive and competitive industrial sector as a whole. ... to stimulate higher firm-level productivity in the Middle East and North Africa.

  7. The theory of the firm. Vol. 3

    DEFF Research Database (Denmark)

    as an information processor. In addition, the collection features perspectives from business strategy and business history as well as methodological and doctrinal historical perspectives. Including over 60 classic papers, these volumes collect together contributions on the theory of the firm, beginning with Ronald......Firms have for a long time been part of the explanatory set-up of economics. However, it is only recently that economists have felt the need for an economic theory addressing: why firms are different; why firms exist; what determines their boundaries relative to "the market"; and what determines...... their internal organization. This collection documents the rise of the modern theory of the firm during the last two to three decades. It reprints classic writings from a diversity of perspectives, including not only contractual theories of the firm, but also knowledge-based theories and theories of the firm...

  8. Joint determination of biological encephalization, economic specialization

    NARCIS (Netherlands)

    Horan, R.D.; Shogren, J.F.; Bulte, E.H.

    2011-01-01

    In this paper, we develop a paleoeconomic model of the co-evolution of economic specialization and encephalization-the common physiological measure of intelligence as reflected by brain mass relative to total body mass. Our economic analysis links ecological and social intelligence theories of

  9. Influences of Economic Theories on Accounting Theory: the case of the Objective Function of the Firm

    Directory of Open Access Journals (Sweden)

    Lineker Costa Passos

    2016-10-01

    Full Text Available This essay aims to establish the relationship between the theoretical precepts that guide the accounting disclosure procedures for its stakeholders, both internal and external, and the two main theoretical trends that address the firm’s objective function: the Shareholder theory and the Stakeholder theory. In the perspective of the Shareholder theory, the firm has to define a single objective, which is to maximize shareholder wealth. In the context of Stakeholders theory, the firm must establish a multiple objective, which is to meet the interests of all those involved with its activities. We discuss to what extent theories, standards and accounting practices emanate from the concepts of the two models, especially regarding the users’ demand for useful and relevant information. There is a predominance of Shareholder theory in influencing accounting principles that guide the disclosure of information, although different accounting reports are already discussed and presented, oriented to the Stakeholders of the firm, without establishing a set of concepts that explain and justify them within the scope of Accounting theory. Additionally, it is argued that, all things taken into consideration, both currents of the Economic theory point in the same direction: to seek the wellbeing of the firm’s stakeholders. The research contributes to the accounting literature, in the sense of clarifying the impacts arising from the two economic models that deal with the objective function of the firm in the evolution of Accounting theory, not yet captured directly in the discussion of the fundamentals of accounting theory.

  10. Organizational learning capability, firm innovativeness, and firm performance: A meta-analysis

    DEFF Research Database (Denmark)

    Schlägel, Christopher; Reichel, Lisa-Marie; Richter, Nicole Franziska

    In the last twenty years a growing number of empirical studies tested the association be-tween organizational learning capability (OLC) and various economic outcomes. While these studies have provided a better understanding of these relationships, the literature is characterized by the use...... different measures. Based on 53 studies (13,663 firms), we (a) provide a systematic overview of the most commonly used OLC measures, (b) use meta-analytic techniques to highlight the relevance of OLC for firm innovativeness (ruc = .39) and firm perfor-mance (ruc = .41), and (c) explore the unique and common...

  11. Firm Leverage and the Financial Crisis

    OpenAIRE

    Fatih Altunok; Arif Oduncu

    2014-01-01

    The firm growth dynamics is an important topic since the growth performance of firms is the main source of the economic growth in countries. Generally, crises produce a sharp decline in firms’ growth and this leads to a decline in both the level of employment and the income of households. This paper focuses on the role of firm leverage on the growth performance of the firm during the global financial crisis. We investigate whether the firms that experienced a large leverage increase before th...

  12. MULTI-MARKET INDUSTRIAL ORGANIZATIONAL ECONOMIC MODELS FOR THE INTERNATIONALIZATION PROCESS BY SMALL AND MEDIUM ENTERPRISE CONSTRUCTION DESIGN SERVICE FIRMS

    Directory of Open Access Journals (Sweden)

    Kerry London

    2010-11-01

    Full Text Available Small and medium enterprises (SMEs are critical to strategic initiatives in an economy; however, their contribution to foreign trade is not as significant. SMEs are one of the principal driving forces in economic development. One of the greatest challenges is the internationalization process for longevity rather than seeing the process as initial market entry. The internationalization process research has typically involved four key constructs: market selection, decision to enter, entry modes and factors affecting entry modes. Past research has focused on large manufacturing firms. The export of architectural, engineering and construction (AEC firms has undergone growth, yet there is still significant opportunity for further growth. The majority of AEC firms are SMEs. Notwithstanding assistance provided through international trade missions, organized export firm support networks and information packages by a burgeoning number of government agencies, there are still perceived barriers to market entry and long-term economic sustainability for SMEs. There are a number of problems faced by SMEs acting in foreign trade. This investigation explores the successful initial internationalization process constructs and identifies unique project-oriented sector characteristics. The study identified similarities and differences between two firms that have been exporting to various localities, including Eastern Europe, Africa, Middle East, UK, Asia and South America, for more than two decades. The similarities and differences were identified within eight major constructs: purpose, firm type, market image and design philosophy, entry mode strategy, institutional arrangement, factors affecting mode of entry, market selection and firm strategy in relation to project selection. The primary reasons for internationalization were associated with the firms' motivations related to growth and financial viability. This article discusses the various internationalization

  13. Safety and economic study of special trains

    International Nuclear Information System (INIS)

    Loscutoff, W.V.; Hall, R.J.

    1976-01-01

    A comparative evaluation is being conducted of the safety and economics of special (35 mph and less) and regular trains for shipment of spent fuels. The approach, pertinent considerations, and results to date are discussed. The preliminary conclusion is that special train requirements have potential for only a small reduction in the accident likelihood, while increasing the cost

  14. Ecological economics - a special perspective? Preliminary reflections

    DEFF Research Database (Denmark)

    Røpke, Inge

    2002-01-01

    This paper reports on some preliminary reflections from a research project concerning ecological economics as a special perspective. As Clive Spash noted in a presentation at the ESEE conference in Cambridge, July 2001, ecological economics has reached the age of puberty, looks into the glass...... and searches its own identity. The identity seeking processes are visible in the large number of publications discussing the characteristics of ecological economics as well as the similarities to and differences from environmental economics. The present paper is a part of this stream. The paper is work...

  15. Special Issue on Using Econometrics for Assessing Economic Models

    DEFF Research Database (Denmark)

    Juselius, Katarina

    2009-01-01

    Two methodological approaches to empirical economics which are labelled ‘theory first' versus ‘reality first' are introduced building the background for the discussion of the individual contributions to this special issue.......Two methodological approaches to empirical economics which are labelled ‘theory first' versus ‘reality first' are introduced building the background for the discussion of the individual contributions to this special issue....

  16. 48 CFR 1536.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer firms. 1536.209 Section 1536.209 Federal Acquisition Regulations System ENVIRONMENTAL PROTECTION AGENCY SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Special Aspects of Contracting for Construction 1536.209 Construction contracts with architect-engineer firms. (a...

  17. 48 CFR 36.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... with architect-engineer firms. 36.209 Section 36.209 Federal Acquisition Regulations System FEDERAL ACQUISITION REGULATION SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Special Aspects of Contracting for Construction 36.209 Construction contracts with architect-engineer firms. No...

  18. 48 CFR 636.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... with architect-engineer firms. 636.209 Section 636.209 Federal Acquisition Regulations System DEPARTMENT OF STATE SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Special Aspects of Contracting for Construction 636.209 Construction contracts with architect-engineer firms. The...

  19. Industry diversity, competition and firm relatedness

    DEFF Research Database (Denmark)

    Wang, Cong; Madsen, Jakob B.; Steiner, Bodo

    2017-01-01

    This study investigates the extent to which indicators of external scale economies impacted employment growth in Canada over the period 2004-2011. We focus on knowledge spillovers between firms while accounting for Marshallian specialization, Jacobs’ diversity, and competition by industry, as well...... as related and unrelated firm varieties in terms of employment and sales. We find that the employment growth effects of local competition and diversity are positive, while the effect of Marshallian specialization is negative. Diversification is found to be particularly important for employment growth during...

  20. Joint determination of biological encephalization and economic specialization

    NARCIS (Netherlands)

    Horan, R.D.; Shogren, J.F.; Bulte, E.H.

    2011-01-01

    In this paper, we develop a paleoeconomic model of the co-evolution of economic specialization and encephalization—the common physiological measure of intelligence as reflected by brain mass relative to total body mass. Our economic analysis links ecological and social intelligence theories of

  1. Firm decisions and market responses : Three accounting essays

    NARCIS (Netherlands)

    van Amelsfoort, I.Q.H.

    2012-01-01

    Firms operate in a complex economic environment where they interact with a broad base of stakeholders. Stakeholders are interested in the economic environment of the firm and its prospects to determine the value of their claims. For this valuation a wide range of information sources is used which

  2. In Search of Legal Foundation for Indonesian Family Firms

    Directory of Open Access Journals (Sweden)

    Yetty Komalasari Dewi

    2016-08-01

    Full Text Available One of the factors that affect Indonesia's economic growth is the existence of business firms. It cannot be ignored that most business firms in Indonesia is family owned firms, and which are considered to constitute as the backbone of the economic development.  Family firms represent the most enduring business model in the world. The continuing success of family firms through the generations relies on ensuring the next generation. However, the issue of family firms is rarely discussed in particular from the perspective of corporate law. In fact, from legal perspectives, there is some issues deal with this type of firms, amongst other, the lack of an overall definition of the term “family business”. It is because family businesses and small medium enterprises (SMEs are widely understood synonymously in spite of the fact that they exist in every size class. Other issue is the questions of its legal basis or legal framework in terms of its corporate governance. Many Indonesian business players lack the basic understanding of corporation’s law. It is partly because these obligations are incompatible with the values and cultures in Indonesia where “kinship principle” is deeply rooted. This article aims to describe the characteristics and the legal frameworks for the family firms in Indonesia. It also recommends the government to take progressive measure by providing clear regulations on the family firms in Indonesia. This will reinforce family firms contribution in economic development of Indonesia in the future. 

  3. Darwin's invisible hand: Market competition, evolution and the firm

    NARCIS (Netherlands)

    Johnson, D. D. P.; Price, M. E.; van Vugt, M.

    2013-01-01

    Competition among firms has been suggested to reflect the ruthless logic of Darwinian selection: a free market is a struggle for survival, in which successful firms survive and unsuccessful ones die. This view appears to bolster three pillars of neoclassical economics: (1) that economic actors are

  4. Competition Law and the Bounded Rationality of Firms

    OpenAIRE

    Bhattacharya, Shilpi

    2016-01-01

    Firm rationality plays a role in several aspects of competition law. Yet, the conception of the firm as a rational, profit maximizing entity has been disputed in different disciplines. This literature shows that neoclassical economic assumptions on which competition law is based can fall short of explaining the full range of observed firm behaviour. Accordingly, an alternative conception of the firm as boundedly rational can impact the understanding of firm conduct in competition law. Be...

  5. Pharmaceutical R&D performance by firm size: approval success rates and economic returns.

    Science.gov (United States)

    DiMasi, Joseph A

    2014-01-01

    The R&D productivity of pharmaceutical firms has become an increasingly significant concern of industry, regulators, and policymakers. To address an important aspect of R&D performance, public and private data sources were used to estimate clinical phase transition and clinical approval probabilities for the pipelines of the 50 largest pharmaceutical firms (by sales) by 3 firms size groups (top 10 firms, top 11-20 firms, and top 21-50 firms). For self-originated compounds, the clinical approval success rates were 14.3%, 16.4%, and 18.4% for top 10 firms, top 11-20 firms, and top 21-50 firms, respectively. The results showing higher success rates for smaller firms were largely driven by outcomes for the small-molecule drugs. Adjustments for the relatively small differences in therapeutic class distributions across the firm size groups showed that the success rate for small-molecule self-originated drugs was 6% below average for top 10 firms and 17% above average for top 21-50 firms. Although success rates for small firms were higher, this advantage was offset to some degree by lower returns on approved drugs, suggesting different strategic objectives with regard to risk and reward by firm size.

  6. A resource based view to small firms' sustainable competitive advantages: A case of Iranian small firms

    Directory of Open Access Journals (Sweden)

    Ali Reza Babakhan

    2012-10-01

    Full Text Available During the last decades, the importance of small firms as one of the main economical parts in each country has been proved. Considering to the resources limitation in one hand, and the competitive global market in the other hand, it is very important that firms can obtain sustainable competitive advantages (SCAs to compete with other rivals. This paper, at the first step, tries to explore the potentially SCAs of Qom's small firms by using of Structural Equation Model (SEM. Then, the real current situation of firms in using these competitive advantages has been examined. The results tell that except firms' location, other potentially SCAs do not have acceptable condition.

  7. Entrepreneurship and the Economic Theory of the Firm

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul; Klein, Peter G.

    2004-01-01

    . Because judgmentcannot be purchased on the market, the entrepreneur needs a firm — a set of alienableassets he controls — to carry out his function. We show how this notion of judgmentilluminates key themes in the modern theory of the firm (existence, boundaries,and internal organization). In our approach......, resource uses are not data, but are createdas entrepreneurs envision new ways of using assets to produce final goods. Theentrepreneur's problem is aggravated by the fact that capital assets are heterogeneous.Asset ownership allows the entrepreneur to experiment with novel combinationsof heterogeneous...

  8. Thorny roses: The motivations and economic consequences of holding equity stakes in financial institutions for China’s listed nonfinancial firms

    Directory of Open Access Journals (Sweden)

    Liping Xu

    2017-06-01

    Full Text Available The reforms of China’s financial system have significantly changed the country’s financial sector. One noteworthy phenomenon is that many nonfinancial firms have obtained equity stakes in financial institutions. This study investigates the motivations behind and economic consequences of this recent proliferation of investments in financial institutions by nonfinancial listed firms. We find that the motivations for holding equity stakes in financial institutions include alleviating the pressure of industry competition, reducing transaction costs, and diversification to reduce risk. These investments, however, have double-edged effects on the performance of the investing firms. While their investment income increases, their operating income and overall return on assets decrease, as the investment income cannot compensate for the decrease in other operating income. The investing firms’ cost of debt also increases, their cash-holding decreases, and stock price performance does not improve after investing in financial institutions. These effects contrast with the enthusiasm nonfinancial listed firms have for investing in financial institutions. The empirical findings in this study can inform financial industry regulators and decision-makers in listed firms. We advise nonfinancial firms to be cautious when considering investing in financial institutions.

  9. Growth of New Firms: Which Factors Influence Post-Entry Performance? An Empirical Analysis Based on Swiss Firm Data

    OpenAIRE

    David Marmet

    2004-01-01

    The aim of this study is to shed light on the factors which determine the post-entry performance of new firms. It is often argued that new firms are the driving force of structural changes and sometimes they are even characterized as an “engine” of economic growth. Nevertheless, the empirical evidence is mixed. Taking into account the high exit rate of new firms, a specific founding cohort does not contribute substantially to new jobs. In this paper, we analyse the contribution of new firms c...

  10. The Influence of Multiple Specializations on Economic Performance in U.S. Metropolitan Areas

    Directory of Open Access Journals (Sweden)

    Saheum Hong

    2016-09-01

    Full Text Available Scholars have recently been debating how economic structure affects regional economic performance. Regional economic structure typically indicates how the industries in regions are organized. The attribute of industrial organization in regions is typically measured by how the employment in a region is distributed among various sectors. If the employment in a region is highly concentrated on a limited number of sectors, that region is industrially specialized. On the contrary, when the employment is more evenly distributed among various industries, that region is highly diversified in its industrial organization. In this context, some researchers recognized that diversity and specialization are not opposite concepts. Instead, they can coexist, for example in the form of diversified specializations. In this study, this body of literature was extended by formulating an indicator to measure the extent of multiple specializations in regional economies and by examining the effect of multiple specializations on regional economic performance. Empirical analysis showed that specializing in multiple industrial pursuits helped regions to achieve both faster and more stable economic growth.

  11. Characterizing the technology firm : An exploratory study

    NARCIS (Netherlands)

    Grinstein, A.; Goldman, Arieh

    Technology firms occupy a central position in modern economies. They drive economic growth, productivity gains and have created new industries and innovative products. Many will agree that technology firms are distinguished from others in their emphasis on technological activities. Since this

  12. How do ICT firms in Turkey manage innovation? : diversity in expertise versus diversity in markets

    NARCIS (Netherlands)

    Akçomak, S.; Akdeve, E.; Fındık, D.

    2013-01-01

    This paper provides a novel taxonomy of firms based on specialization versus diversification in production and markets. Firms may choose to specialize on few production activities or alternatively may build expertise in many activities. There is an accompanying decision when firms sell their

  13. THE THEORY OF THE FIRM AND THE EVOLUTIONARY GAMES

    Directory of Open Access Journals (Sweden)

    Sirghi Nicoleta

    2013-07-01

    Full Text Available The neoclassical theory of the firm deals with the pattern of perfect competition, within which the perfect information available to economic agents provides instant allocation of production factors and access to economic goods. The Austrian School (C. Menger, L. von Mises, Hayek, etc. supported the idea of minimal state intervention on the markets, bringing important conceptual developments on the theory of the firm. Hirschleifer (1982 put forward the model of social and institutional functioning, arguing that the game theory is able to predict the outcome of the collective behavior and the human characteristics necessary for building the respective institutions.The evolutionary theory provides the firm and the entrepreneur the recognition of the functions of innovation, of generating and exploiting information and of organizing and coordinating production. The evolutionary perspective of the firm assumes the existence of a body of knowledge that is acquired through and builds up the organizational memory, subsequently found in routines, all choices being made based on these routines (Nelson and Winter, 2002. The evolution of the firm is considered to be similar to natural selection, but unlike the classic market selection, the evolutionists suggest the existence of a plurality of selection media. The present research is structured as follows: a brief introduction into the theories of the firm, the second part of the paper analyzes the theories of the firm from an institutional, neo-institutional and evolutionary perspective. In the third part of the paper the evolutionary games are described and analyzed from the evolutionary perspective of the firm. The last part of the paper represents a study of the “hawk-dove” game dynamic replicator. The final conclusions of the paper show that the evolutionary theory brings valuable contributions to the foundation of explanations regarding economic phenomena, indicating new directions for advanced

  14. Agency Costs, Firm Value, and Corporate Investment

    NARCIS (Netherlands)

    M. Teixeira de Vasconcelos (Manuel)

    2012-01-01

    textabstractOften firms lack the necessary internal resources to pursue all profitable investment opportunities at their disposal. One of the most important roles of financial markets is to allocate resources from different economic agents to the firms that will better employ them, thereby enabling

  15. Sales-marketing interfaces within business-firms : Transitions and evolution

    NARCIS (Netherlands)

    Biemans, W.G.; Makovec Brencic, M.; Malshe, A.

    2012-01-01

    In these turbulent economic times sales-marketing interfaces in business firms are in the state of flux. Sales-marketing interface researchers have till date characterized marketing within business firms in terms of a marketing department rather than a marketing function thereby ignoring B2B firms

  16. Are Family Firms Better Performers during Financial Crisis?

    DEFF Research Database (Denmark)

    Zhou, Haoyong

    (Italy) during the period 2006-2010, I give empirical evidences examining the performance of family firms vis-à-vis non-family firms during the current financial crisis. I find that broadly defined family firms, comprising 35 percent of the sample, do not outperform non-family firms during the crisis...... that in the financial crisis, founder firms bear the least agency cost and Tobin’s Q is not a good measure of corporate performance.......Despite extensive researches on efficiency of family firms in normal or good economic times, we know rather little about whether family firms are superior performers in recession times. Using a dataset covering firms from S&P 500 (US), FTE100 (UK), DAX 30 (Germany), CAC 40 (France) and FTSE MIB 40...

  17. Moderating the Role of Firm Size in Sustainable Performance Improvement through Sustainable Supply Chain Management

    Directory of Open Access Journals (Sweden)

    Jing Wang

    2018-05-01

    Full Text Available In the context of the Chinese government’s strategy for sustainable development, the study of sustainable supply chain management (SSCM for enterprises has important practical significance. Drawing data from 172 Chinese firms, the model studied the moderating role of firm size on the SSCM practices and the sustainable performance of the firms (economic, environmental, and social, using hierarchical regression analysis on SPSS 22.0. The results suggest that SSCM practices and firm size are positively related to the firm’s environmental and social performance. Firm size moderates the effect of SSCM practices on economic performance. Additionally, SSCM internal practices have a significant positive impact on the economic performance of large enterprises, but not so much on the economic performance of the Small and medium enterprises(SMEs. This paper proposes a comprehensive SSCM practice performance model that identifies firm size as a moderating role. Through research on the moderating effect of firm size, the implementation and recommendation of SSCM for different firm size are given.

  18. Board Composition and Firm Performance: Evidence from Bangladesh

    Directory of Open Access Journals (Sweden)

    Afzalur Rashid

    2010-03-01

    Full Text Available This study examines the influence of corporate board composition in the form of representation of outsideindependent directors on firm economic performance in Bangladesh. Two hypotheses are developed toexamine the relationship among composition of board memberships including independent directors andfirm performance. An observation of 274 Bangladeshi firm-years is used in the study. A linear regressionanalysis is used to test the hypotheses. Results reveal that the outside (independent directors cannot addpotential value to the firm’s economic performance in Bangladesh. The idea of the introduction ofindependent directors may have benefits for greater transparency, but the non-consideration of theunderlying institutional and cultural differences in an emerging economy such as Bangladesh may not resultin economic value addition to the firm. The findings provide an insight to the regulators in their quest forharmonization of international corporate governance practices.

  19. Peculiarities Of Financial Management In Family Firms

    OpenAIRE

    Martin R. W. Hiebl

    2012-01-01

    The majority of firms in market-oriented countries are family-owned. Despite their significant economic importance for these countries, research focusing on family firms is a rather young field within business research, having intensified starting only in the late 1980s. Research regarding the peculiarities of financial management in family firms is especially scarce. Hence, this paper seeks to synthesize existing research and to theoretically analyze the finance and accounting practices and ...

  20. Female Directors, Board Committees and Firm Performance

    NARCIS (Netherlands)

    Green, Colin P.; Homroy, Swarnodeep

    A number of studies have found little economic impact of board gender diversity on firm performance. We return to this issue in the context of large European firms. Our contribution is twofold. First, using information on the gender of CEOs children as a source of exogenous variation in female

  1. International Specialization

    DEFF Research Database (Denmark)

    Kleindienst, Ingo; Geisler Asmussen, Christian; Hutzschenreuter, Thomas

    2012-01-01

    Whether and how international diversification and cross-border arbitrage affects firm performance remains one of the major unresolved research questions in the strategy and international business literatures. We propose that knowing how much a firm has internationally diversified tells us very...... little about performance implications, if we do not know, and do not ask, how the firm has diversified. Therefore, building on the two broad arguments of operating flexibility and location-specific commitment, we develop a theoretical framework that focuses on the extent to which a firm's international...... arbitrage strategy is characterized by specialization versus replication and argue that these different strategies may have differential impact on profitability and risk reduction. Developing a sophisticated measure of international specialization and using a unique panel data set of 92 German MNEs to test...

  2. Entrepreneurship and the Firm

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul; Klein, Peter G.

    While characteristically "Austrian" themes such as entrepreneurship, economic calculation, tacit knowledge and the temporal structure of capital are clearly relevant to the business firm, Austrian economists have said relatively little about management, organization and strategy. This work features...

  3. The Theory of the Firm and Its Critics

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul; Klein, Peter G.

    2005-01-01

    Ever since its emergence in the 1970s the modern economic or Coasian theory of the firm has beendiscussed and challenged by sociologists, heterodox economists, management scholars, and othercritics. This chapter reviews and assesses these critiques, focusing on behavioral issues (boundedrationali...... and motivation), process (including path dependence and the selection argument), entrepreneurship,and the challenge from knowledge-based theories of the firm.JEL Codes: B4, D23, L14, L22......Ever since its emergence in the 1970s the modern economic or Coasian theory of the firm has beendiscussed and challenged by sociologists, heterodox economists, management scholars, and othercritics. This chapter reviews and assesses these critiques, focusing on behavioral issues (boundedrationality...

  4. Comportements des firmes et commerce international

    OpenAIRE

    Joël Thomas Ravix; Olivier Sautel

    2007-01-01

    Growth of international outsourcing, has been a dominant feature of the international economy. Recent theoretical developments have focused on firm behaviour and its consequences on trade structure, through the introduction of the modern theory of the firm. In a first section, we link this new approach with previous explanations of vertical specialization (intra-industry trade and Multinational Corporation). In a second section, we present methodology and results of these new developments, wh...

  5. The Location Dynamics of Firms in Transitional Shanghai, 1978-2005

    Directory of Open Access Journals (Sweden)

    Bo Qin

    2012-01-01

    Full Text Available China’s economic reform started in 1978 has brought in profound changes to firms by transforming the state-owned-enterprises and by encouraging the growth of the non-state sector business. These changes have been accompanied by broader institutional changes and economic restructuring in the cities, especially in the larger ones. This paper focuses on the changing spatial distribution patterns and the underlying location factors of firms in different sectors within Shanghai, one of China’s largest and most dynamic cities. The central research question is raised as do the rapidly changing spatial patterns of corporate activities within Shanghai since the onset of China's economic reform reflect the influence of market forces? Data were collected from Shanghai Administration of Industry and Commerce. Both GIS mapping and statistics (i.e. Moran’s Index, density gradient were used to assess the spatial distribution pattern of firms in Shanghai. An empirical model derived from neo-classical location theory is employed to examine the location factors of firms in different sectors. Findings of the paper indicate that the spatial distribution and location factors of firms in Shanghai demonstrate the city’s unique urban restructuring process, which is closely related to the city’s specific economic stage and unique “transitional” characteristics. However, market forces do play an increasingly import role in firm’s location-choice behavior in Shanghai. This study contributes to the understanding of firm location dynamics in post-socialist cities.

  6. How Aesthetics and Economy Become Conversant in Creative Firms

    DEFF Research Database (Denmark)

    Austin, Robert D.; Hjorth, Daniel; Hessel, Shannon

    2017-01-01

    theory to describe how the economic and aesthetic can be constructively combined. We propose the concept of conversation as a way of theorizing a constructed sociality via which creative firms manage this conflict; we also propose the concept of ensemble as a way of theorizing a conversationally nurtured......Research on creative organizations often highlights a concern that economic influences on creative work might crowd out aesthetic influences. How this concern can be managed, however, is not well understood. Using a case study of an economic/aesthetic conflict within a design firm, we develop...... but fragile form of intensified sociality that most successfully combines conflicting influences when it can be achieved. Together, these theoretical conceptualizations contribute new insights and help organize a fragmented landscape of ideas about work in creative firms....

  7. Do Investors Forecast Fat Firms? Evidence from the Gold Mining Industry

    OpenAIRE

    Borenstein, Severin; Farrell, Joseph

    2006-01-01

    JEL CODES: D21, G3, L2, L72 KEYWORDS: profit function, free cash flow, gold mining, x-efficiency, rent seeking, fat ABSTRACT: Conventional economic theory assumes that firms always minimize costs given the output they produce. News articles and interviews with executives, however, indicate that firms from time to time engage in cost-cutting exercises. One popular belief is that firms cut costs when they are in economic distress, and grow fat when they are relatively wealthy....

  8. The puritan heritage and current economic attitudes in America

    OpenAIRE

    Elliott, Emory

    1987-01-01

    This essay sustains that the contemporary economic yearnings of American society are deeply rooted in seventeenth century Puritan Massachusetts — a cultural heritage which the people are unwilling and perhaps unable to abandon.The author identifies five of the most firmly-held assumptions as a beginning for the study of cultural values and economics in the United States today: 1. The assumption that America has a special, divinely ordained role as a world leader — exemplar of democratic ideal...

  9. A Transactions Cost Economics (TCE) Approach to Optimal Contract Type

    OpenAIRE

    Franck, Raymond; Melese, Francois; Dillard, John

    2006-01-01

    Proceedings Paper (for Acquisition Research Program) This study examines defense acquisition through the new lens of Transaction Cost Economics (TCE). TCE is an emergent field in economics that has multiple applications to defense acquisition practices. TCE''s original focus was to guide ''make-or-buy?'' decisions that define the boundaries of a firm. This study reviews insights afforded by TCE that impact government outsourcing (''buy'' decisions), paying special attention to defense pro...

  10. The cash-flow analysis of the firm

    OpenAIRE

    Mariana Man

    2001-01-01

    The analysis of economic and financial indicators of the firm regards the profit and loss account analysis and the balance sheet analysis. The cash-flow from operating activities represents the amount of cash obtained by a firm from selling goods and services after deducting the costs involved by raw materials, materials and processenig operations

  11. On the importance of forest assets for micro-firm performance

    Directory of Open Access Journals (Sweden)

    Katarina Haugen

    2013-08-01

    Full Text Available Business start-ups are on the increase, a development which is accompanied by hopes that these new firms will generate a potential for, e.g., local and regional development and a strengthening of local labour markets as well as the national economy. However, the long-term performance and viability of new firms are often rather poor. This research aims to analyse the importance of access to assets in the form of forest holdings for the performance of Swedish micro-firms. The analyses are based on official register data and fixed-effects panel regression modelling. A hypothesis is that a firm whose owner also possesses forest holdings is more viable thanks to the different resources (in the form of capital from logging or mortgaging, or non-pecuniary other values the forest holdings may provide, and which possibly contribute to the firm’s economic stability and resilience to economic fluctuations. From a general point of view, we find support for the hypothesis that forest assets positively and significantly influence firm performance in terms of earnings before interest and taxes (EBIT, but not in terms of value added. Access to forest assets is never detrimental to firm performance, although it does not have a significant positive effect in all sub-categories of entrepreneurs based on different combinations of age, gender and firm type. Particularly, the economic performance of private firms run by older men benefits from resources stemming from their forest holdings. No significant effects were found for female entrepreneurs or for limited companies. As regards regional variations, firms located outside the metropolitan regions – as compared to those at the top of the urban hierarchy – are likely to perform better, thus indicating that local development may benefit from resource transfers from the forest sector to micro-firms engaged in non-primary activities.

  12. THE FORMATION OF ECONOMIC MECHANISMS OF CORPORATE MARKETS, STIMULATING THE ACTIVATION OF INNOVATIVE ENTREPRENEURSHIP

    Directory of Open Access Journals (Sweden)

    Titov V. V.

    2017-03-01

    Full Text Available As noted by the academician N. P. Fedorenko, «economic incentives is quite rightly regarded as a force deliberately included in the system of optimal functioning of the economy». Thus, the considered problem is relevant for not only the founders and owners of individual firms and corporations, but also for the economy as a whole. The purpose of this research is to develop a theoretical and methodological approach to solving the problem of stimulation of entrepreneurship, innovation and investment activity in industrial enterprises (and other organizations on the basis of economic incentives of their employees, ensuring the implementation of this process. The problem lies in the construction of such economic mechanism that would provide incentives at not only the level of the Corporation as a whole, but at each firm (enterprise and division of firm level and would affect the activity of each employee. This mechanism will be viable only if the distribution of the profit received from realization of work and services in all divisions of the enterprise, firms, corporations involved in carrying out such works in accordance with the quantity and effectiveness of their work based on value added. It uses the principle of self-organization and self-government based on the allocation of the final economic result of their activities using specially designed intra-firm, transfer prices.

  13. 48 CFR 2936.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... with architect-engineer firms. 2936.209 Section 2936.209 Federal Acquisition Regulations System DEPARTMENT OF LABOR GENERAL CONTRACTING REQUIREMENTS CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Special Aspects of Contracting for Construction 2936.209 Construction contracts with architect-engineer firms. As...

  14. SERVICING THE MARKET NICHE – A POSSIBLE SOLUTION FOR THE MAINTENANCE AND/OR SUCCESS OF THE FIRM ON THE MARKET IN THE CONTEXT OF THE GLOBAL ECONOMIC CRISIS

    OpenAIRE

    Doina I. POPESCU

    2013-01-01

    This work shows the importance of servicing the market niche by firms operating in the garment industry in the context of the world economic crisis. The paper presents the necessity of adapting companies’ strategies based on the main trends set out by the global economic crisis. Within this work is presented a study that aims to highlight the degree in which Romanian firms acting in the clothing industry service the market niche, their identification, the measure in which these firms’ managem...

  15. Mapping one year’s design processes at an architecture firm specialized in sustainable architecture - How do sustainability certification systems affect design processes?

    DEFF Research Database (Denmark)

    Landgren, Mathilde; Jensen, Lotte Bjerregaard; Heller, Alfred

    2016-01-01

    The current study mapped how a Danish architecture firm integrated sustainability in their projects over a year. All the projects concerned were aimed at being sustainable within the framework of the DGNB certification system. The focus of DGNB is equally divided between environmental, economic...

  16. Economic incentives of family controlling shareholders and the monitoring role of non-dominant large shareholders in corporate governance: Evidence from the manufacturing firms in Malaysia

    Directory of Open Access Journals (Sweden)

    Chin Fei Goh

    2014-08-01

    Full Text Available This article explores the economic incentives of dominant controlling shareholders with regard to the expropriation of minority shareholders, on the one hand, and the monitoring role of non-dominant large shareholders in family firms, on the other. The authors argue that family controlling shareholders (or family owners do not share common interests with other shareholders. Drawing on 141 family firms in the manufacturing sector that were listed on Bursa Malaysia (the Malaysian stock exchange from 2003 to 2006, the article finds an inverted U-shaped relationship between excess control rights and a firm's market performance. The findings also show that both the cash flow rights (i.e. claims on cash payouts of family controlling shareholders and the presence of non-dominant large shareholders with the ability to contest control of the firm have a positive relationship with market performance.  This study contributes to the literature by indicating that family owners are unlikely to collude with other large shareholders to expropriate minority shareholders. Furthermore, low levels of excess family-owner control rights are beneficial for market performance because firms may benefit from group affiliations and receive patronage from wealthy owners. However, high levels of excess control rights are understood to be an economic incentive for family owners to expropriate minority shareholders during non-crisis periods.

  17. 48 CFR 836.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... with architect-engineer firms. 836.209 Section 836.209 Federal Acquisition Regulations System DEPARTMENT OF VETERANS AFFAIRS SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER...-engineer firms. (a) When the contracting officer considers it necessary or advantageous to award a contract...

  18. Firm size diversity, functional richness, and resilience

    Science.gov (United States)

    Garmestani, A.S.; Allen, Craig R.; Mittelstaedt, J.D.; Stow, C.A.; Ward, W.A.

    2006-01-01

    This paper applies recent advances in ecology to our understanding of firm development, sustainability, and economic development. The ecological literature indicates that the greater the functional richness of species in a system, the greater its resilience - that is, its ability to persist in the face of substantial changes in the environment. This paper focuses on the effects of functional richness across firm size on the ability of industries to survive in the face of economic change. Our results indicate that industries with a richness of industrial functions are more resilient to employment volatility. ?? 2006 Cambridge University Press.

  19. Cognition and motivation in the theory of the firm

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul

    2003-01-01

    Economics in general, and the theory of the firm more specifically, placesmotivation and cognition in very different analytical boxes, in spite ofcognitive science evidence that the boundaries between the two are inreality blurred. While this analytical assumption has often served thetheory of th...... of the `impossibility of selective intervention.'Keywords: The theory of the firm, cognitive and motivational varialtion,selective intervention.......Economics in general, and the theory of the firm more specifically, placesmotivation and cognition in very different analytical boxes, in spite ofcognitive science evidence that the boundaries between the two are inreality blurred. While this analytical assumption has often served thetheory...... of the firm well, a number of organizational phenomena are betterunderstood if cognition and motivation are allowed to interact, forexample, through framing effects, as organizational scholars have longargued. The paper exemplifies by developing the implications of this forWilliamson's notion...

  20. Cost Focussed Firms and Internet Usage

    OpenAIRE

    Joanne Loundes

    2002-01-01

    This paper looks at Internet usage by Australian firms that have a cost focussed competitive strategy. The data source for this analysis is the Melbourne Institute Business Survey, conducted by the Melbourne Institute of Applied Economic and Social Research. The survey was conducted in late 2001, and targeted large Australian firms. Instrumental variables estimation found that cost-focussed organizations utilised the Internet more intensively for both internal organizational activities and ex...

  1. Corporate Social Responsibility and Environmentally Sound Technology in Endogenous Firm Growth

    Directory of Open Access Journals (Sweden)

    Angela C. Chao

    2017-02-01

    Full Text Available We have entered the “New Normal” economy, with more emphasis on economic growth driven by innovation than resource. This paper investigates the impacts of firms considering corporate social responsibility and environmentally sound technology by building a three-stage Cournot competition model with asymmetric cost. The sustainable development of economic and endogenous firm growth achieves the win–win result in the theoretical model. Using data from 31 firms in China, this paper empirically researches on the relationships among corporate social responsibility, environmentally sound technology and firm endogenous growth. The results show that: (1 Marginal cost decreased with the increase of innovation, as well as getting government research and development subsidy, which has a positive effect on firm growth. (2 Consumers respond positively to corporate social responsibility initiative, the reputation of the firm can be improved. At the same time, environmentally sound technology objectively reduces the marginal cost of competitors because of the technology spillover. (3 Profit of a firm undertaking corporate social responsibility partly decreases, which has a negative effect on firm growth. The contradiction between corporate social responsibility and profit of firm could be adjusted, such as socially responsible investment fund hosed by institutional investors.

  2. Creativity and Entrepreneurship: A Regional Analysis of New Firm Formation

    OpenAIRE

    Lee, Sam Youl; Florida, Richard; Ács, Zoltán J.

    2004-01-01

    Understanding the factors that promote or mitigate new firm birth is crucial to regional economic development efforts, since a high level of new firm creation significantly contributes to regional economic vitality and is a major signal of a dynamic economy. The literature suggest that various factors such as unemployment, population density/growth, industrial structure, human capital, the availability of financing, and entrepreneurial characteristics significantly influence regional variatio...

  3. Housing the Mobile Entrepeneur. The location behavior of firms in urban residential neighbourhoods

    NARCIS (Netherlands)

    Risselada, A.H.

    2013-01-01

    Changing economic production processes have opened up new locational demands for firms and have led to an increasingly diverse firm population displaying fragmented location patterns. This research focuses on those spatial configurations that fit the current economic fragmentation and changing

  4. Financial Constrains for Innovative Firms: The Role of Size, Industry and ICT Uses as Determinants of Firms' Financial Structure

    Science.gov (United States)

    Castillo-Merino, David; Vilaseca-Requena, Jordi; Plana-Erta, Dolors

    This paper uses a large and original data set of Catalan firms in all the economic branches to analyse the effects of size, industry and degree of ICT uses on financial constraints for innovative firms. We have conducted a micro econometric analysis following Henry et al. (1999) investment model to empirically contrast the relationship between firms' investment spread over time and their financial structure, and we have used von Kalckreuth (2004) methodology, based on an original survey with data on financial issues. Our results show that it exits a positive and significant relationship between investment shift and financial structure, emerging financial constraints for more innovative firms. Furthermore, these constraints are higher for micro companies and firms within the knowledge-advanced services' industry. Finally, we have also found that advanced ICT uses by more innovative firms allow them to reduce constraints of access to sources of finance.

  5. Towards quality in marketing: a small firm context

    OpenAIRE

    O'Shea, Josephine Ann

    1994-01-01

    It is generally accepted that the small firm sector is vital to the well being, both social and economic, of most countries. Fostering and developing indigenous small firms has been a consistent industrial policy goal of successive Irish governments. For many years, informed commentators have stressed the need for strategic market planning and customer orientation if a company is to survive in a vigorously competitive market place. However, specific studies on the Irish small firm sector have...

  6. Norms and Interfirm Governance in Client-Architectural Firm Relationships

    DEFF Research Database (Denmark)

    Skaates, Maria Anne

    2001-01-01

    on the basis of IMP Group and institutional theory. Thereafter Danish architectural firms' activities on the German market are analyzed using the framework. The analysis suggests that there are interconnections between norms and relationship types; furthermore firms' position in the field and economic...

  7. Mathematical modeling of an industrial firm in transient economy

    Directory of Open Access Journals (Sweden)

    I. G. Pospelov

    2001-01-01

    Full Text Available A behavior model of an industrial firm with a possibility of merchandising and purchasing of production on two channels, traditional and commercial, is given. The former is stable, but less profitable due to non-payments. The latter is profitable, but risky. The model describes different modes of firm operation depending on economic parameters. In such a model, firms have incentives to integrate in financial and industrial groups.

  8. POTENTIAL CLUSTERS IN BANAT AND THEIR ROLE IN REGIONAL ECONOMIC DEVELOPMENT

    Directory of Open Access Journals (Sweden)

    Ramona IŞFĂNESCU

    2010-06-01

    Full Text Available The interest in the study of clusters and their role in the economic development of certain regions has constantly grown in the past years. This interest has also been emphasized by the emergence of successful clusters in many regions; these are clusters that have visibly and they have determined the increase in competitiveness of those particular regions. Clusters are geographic gatherings of firms and institutions, connected to each other and specialized in certain fields of activity. In Romania, due to the low cooperation level among enterprises we cannot say that proper clusters exists, but just some “spatial gatherings” of firms activating in certain domains, connected by the need of using certain natural resources and the existence of a specialized workforce in that particular domain. Natural “clusters” can be identified by means of quantitative analyses, these indicating the possibility to identify certain spatial assemblies of firms in a certain economic sector. Starting from these quantitative analyses, for Banat region have been identified some important spatial gatherings of firms activating in certain domains which could represent potential clusters in this area. As clusters function on the principle of cooperation among enterprises, a strong point of the region is the presence of foreign investors which promoted the model of enterprise cooperation through sub-contracting local enterprises. Among these, we mention the Italian investors which brought to Banat, especially to Timiş County the Italian cluster model. Are there in Banat premises for the emergence of clusters? Which are the fields of activity in which these clusters can emerge? What role will these clusters play in the economic development of the region? These are just some of the questions that we aim answering to through this study.

  9. Why Do Distressed Firms Acquire?

    NARCIS (Netherlands)

    Q. Zhang (Quxian)

    2016-01-01

    textabstractAcquisitions made by distressed firms in recent years are economically important. This paper explores the rationale behind such acquisitions using a natural experiment. Exploiting a recent tax change which reduces debt restructuring costs for certain creditors and decreases bankruptcy

  10. Decentralized electricity generation from renewable sources as a chance for local economic development. A qualitative study of two pioneer regions in Germany

    Energy Technology Data Exchange (ETDEWEB)

    Klagge, Britta; Brocke, Tobias [Osnabrueck Univ. (Germany). Inst. of Geography

    2012-12-15

    Empirical research on the local economic effects associated with decentralized electricity generation from renewable sources has only just started. So far, most studies focus on quantifying economic effects and neglect the conditions and constellations which support and enable local economic development based on decentralized electricity generation. This, however, is the focus of this paper which looks at these issues, employing the value chain concept in combination with a governance perspective. Empirically, we take a qualitative approach and analyze two case studies of pioneer regions, in which decentralized electricity generation from renewable sources has developed very dynamically. The case study regions are Soltau, with a special focus on biogas production, and Emden, where wind energy plays a special role. Based on the early activities of some pioneers, these regions have developed specific actor constellations and organizational structures and have entered development paths in which renewable energies became an important economic factor. The analysis highlights the importance of institutional context and supportive governance structures for an early advancement of decentralized electricity generation from renewable sources, with a key role of local actors and governance constellations. It also points to the importance of cooperative relationships among local business actors for creating a competitive advantage for (some) regional firms. Our analysis shows that with the geographical proliferation of electricity generation from renewable sources, specialized firms tend to reach beyond their regions, thus offering first-mover advantages for firms in pioneer regions in comparison with latecomers.

  11. Firm Productivity and Infrastructure Costs in East Africa

    OpenAIRE

    Iimi, Atsushi; Humphrey, Richard Martin; Melibaeva, Sevara

    2015-01-01

    Infrastructure is an important driving force for economic growth. It reduces trade and transaction costs and stimulates the productivity of the economy. Africa has been lagging behind in the global manufacturing market. Among others, infrastructure is an important constraint in many African countries. Using firm-level data for East Africa, the paper reexamines the relationship between firm ...

  12. Taking Teams Seriously in the Co-creation of Firms and Economic Agency

    DEFF Research Database (Denmark)

    Kristensen, Peer Hull; Lotz, Maja Marie

    2011-01-01

    In this paper it is suggested that it is time to take the agency of teams seriously. Whereas the debate has previously focused on how firms may function more effectively by using team-based work organization, our aim here is to discuss and understand how teams affect the evolutionary dynamic...... and redistributing authority, thereby challenging some of the existing ‘idioms’ of team research and theories of the firm. Building on these findings, we rethink research on teams by re-describing the evolutionary dynamics of firms and call for new comparative research....

  13. Innovation, Small Firm Change, and Employment of Academic Skills

    DEFF Research Database (Denmark)

    Nielsen, René Nesgaard

    This paper starts from samples of economic literature hypothesizing and partly establishing a positive relationship between innovation, firm level change, and skill-bias. Confronting this literature with Danish empirics, and literature on small business economics, a research question...... on the generalizability of skill-bias emerge. Finally, taking advantage of unique Danish data, the empirical part of the paper reports findings indicating an increased likelihood of innovative small firms to hire a first academically skilled worker when compared to non-innovative counterparts. These findings generally...

  14. Internal Capital Market Controls and Financial Performance in Multidivisional Firms.

    OpenAIRE

    Hill, Charles W L

    1988-01-01

    It is proposed that, within the population of M-form firms, the control systems necessary to realize economic benefits from interrelationships between subunits o f a firm are incompatible with the systems necessary to realize benef its from an M-form type internal capital market. This hypothesis is t ested on 156 large U.K. firms. Questionnaire data are used to classif y the firms according to their internal control characteristics. The findings provide tentative support for the hypothesis. C...

  15. Does bank failure affect client firms? Micro evidence from Estonia

    Czech Academy of Sciences Publication Activity Database

    Joeveer, Karin

    -, č. 224 (2004), s. 1-29 ISSN 1211-3298 Institutional research plan: CEZ:AV0Z7085904 Keywords : bank failure * client firm performance * firm bank ruptcy Subject RIV: AH - Economics http://www.cerge-ei.cz/pdf/wp/Wp224.pdf

  16. Changes of firm size distribution: The case of Korea

    Science.gov (United States)

    Kang, Sang Hoon; Jiang, Zhuhua; Cheong, Chongcheul; Yoon, Seong-Min

    2011-01-01

    In this paper, the distribution and inequality of firm sizes is evaluated for the Korean firms listed on the stock markets. Using the amount of sales, total assets, capital, and the number of employees, respectively, as a proxy for firm sizes, we find that the upper tail of the Korean firm size distribution can be described by power-law distributions rather than lognormal distributions. Then, we estimate the Zipf parameters of the firm sizes and assess the changes in the magnitude of the exponents. The results show that the calculated Zipf exponents over time increased prior to the financial crisis, but decreased after the crisis. This pattern implies that the degree of inequality in Korean firm sizes had severely deepened prior to the crisis, but lessened after the crisis. Overall, the distribution of Korean firm sizes changes over time, and Zipf’s law is not universal but does hold as a special case.

  17. FEATURES CONCERNING THE ESTABLISHMENT OF AUTHORIZED INDIVIDUAL AND FAMILY FIRMS

    Directory of Open Access Journals (Sweden)

    CLAUDIA ISAC

    2014-12-01

    Full Text Available This paper presents recent legislative changes relating to the establishment and organization of small firms as: The individual firm, the family firm, Authorized individuals (PFA. Thus, in the first part of the paper I present the main features and advantages of the three types of firms, and a comparison between them. The paper continues with the necessary documents for setting up the companies and highlights their role in economic advances. In the second part of the paper, I did a statistical analysis of the evolution of the number of firms of this type and the sectors in which they operate.

  18. Economic Organization and Imperfect Managerial Knowledge

    DEFF Research Database (Denmark)

    Jensen, Henrik

    question guiding this effort is: What managerial challenges arise from having distributed knowledge within a firm and how does the manager’s knowledge of this knowledge matter for economic organization? The dissertation consists of three research papers, each exploring a dimension of the research question....... The first paper investigates antecedents of coordination break-down and how teams differ in their ability to coordinate specialized knowledge and skills. The second paper provides a theoretical framework for theorizing about the role of managers’ knowledge about employees’ knowledge for economic......When companies depend on knowledge distributed among employees, managers play a key role in establishing cooperation and coordination systems. This dissertation investigates the implications of managers’ knowledge about the knowledge and skills of employees for economic organization. The research...

  19. Special Economic Zones, 20 years after

    DEFF Research Database (Denmark)

    Jensen, Camilla; Winiarczyk, Marcin

    In this paper the authors undertake an ex-post evaluation of whether the special economic zones (SEZs) introduced in Poland in 1994 have been successful in meeting regional development objectives. They evaluate the policy on as many of its objectives as possible: employment creation, business...... to reduce the problem of the omitted variables bias such as education level, dependency rates, state ownership, general subsidies and whether the area is urban or rural. The results indicate that SEZs in Poland have been successful in a number of their objectives such as private business creation...

  20. Inter-firm and intra-firm efficiency measures

    NARCIS (Netherlands)

    Oude Lansink, A.G.J.M.; Silva, E.; Stefanou, S.

    2001-01-01

    Intra-firm efficiency involves computing a particular firm's efficiency degree over time relative to the firm-specific production frontier. Inter-firm efficiency reveals a particular firm's performance over time relative to the ``best practice frontier'' among the set of comparable firms. These

  1. Financing Constraints and Firm Growth in Emerging Europe

    Directory of Open Access Journals (Sweden)

    Leitner Sandra M.

    2016-04-01

    Full Text Available The paper aims to shed light on the effects of different types of financing constraints on firm sales and employment growth in Emerging Europe before and after the onset of the financial crisis. It analyzes the group of emerging NMS-10 economies (plus Turkey and the group of economically and financially lagging Western Balkan countries. The paper demonstrates that financing constraints significantly obstruct firm growth, particularly in the Western Balkan countries, which calls for policy intervention to ensure swifter job-rich growth and catching-up with the rest of Europe. It also emphasizes that particular firm characteristics are essential for growth in Emerging Europe and demonstrates that exporting only and innovating are recipes for faster firm growth, while importing only and a high foreign ownership share seriously retard firm growth. Finally, it stresses the importance of the particular institutional environment for firms to thrive.

  2. Hospitals look to hospitality service firms to meet TQM goals.

    Science.gov (United States)

    Hard, R

    1992-05-20

    Hospitals that hire contract service firms to manage one or all aspects of their hospitality service departments increasingly expect those firms to help meet total quality management goals as well as offer the more traditional cost reduction, quality improvement and specialized expertise, finds the 1992 Hospital Contract Services Survey conducted by Hospitals.

  3. 48 CFR 436.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... with architect-engineer firms. 436.209 Section 436.209 Federal Acquisition Regulations System DEPARTMENT OF AGRICULTURE SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Special Aspects of Contracting for Construction 436.209 Construction contracts with architect-engineer...

  4. Essays on Firm Behavior in Developing Economies

    Science.gov (United States)

    Abeberese, Ama Baafra

    The performance of firms is central to growth in developing economies. A burgeoning literature within development economics seeks to understand the behavior of firms in developing countries and the constraints to their performance. This dissertation explores two types of constraints---infrastructure-related constraints and trade-related constraints---faced by manufacturing firms in developing countries. Despite the widely acknowledged importance of infrastructure for economic growth, there has been relatively little research on how infrastructure affects the decisions of firms. Electricity, in particular, is commonly cited by firms in developing countries as a major obstacle to their performance. In the first two chapters, I analyze the responses of firms to two types of electricity constraints, namely electricity prices and electricity shortages. Chapter 1 provides evidence on how electricity prices affect a firm's industry choice and productivity growth using data on Indian manufacturing firms. I construct an instrument for electricity price as the interaction between the price of coal paid by power utilities, which is arguably exogenous to firm characteristics, and the initial share of thermal generation in a state's total electricity generation capacity. I find that, in response to an exogenous increase in electricity price, firms reduce their electricity consumption and switch to industries with less electricity-intensive production processes. I also find that firm output, machine intensity and labor productivity decline with an increase in electricity price. In addition to these level effects, I show that firm output and productivity growth rates are negatively affected by high electricity prices. These results suggest that electricity constraints faced by firms may limit a country's growth by leading firms to operate in industries with fewer productivity-enhancing opportunities. Chapter 2 examines the impact of electricity shortages on firm investment. I

  5. 48 CFR 1436.209 - Construction contracts with architect-engineer firms.

    Science.gov (United States)

    2010-10-01

    ... with architect-engineer firms. 1436.209 Section 1436.209 Federal Acquisition Regulations System DEPARTMENT OF THE INTERIOR SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Special Aspects of Contracting for Construction 1436.209 Construction contracts with architect-engineer...

  6. Multinational Firms and The New Trade Theory

    OpenAIRE

    James R. Markusen; Anthony J. Venables

    1995-01-01

    A model is constructed in which multinational firms may arise endogenously. Multinationals exist in equilibrium when transport and tariff costs are high, incomes are high, and firm-level scale economies are important relative to plant-level scale economies. Less obvious, multinationals are more important in total economic activity when countries are more similar in incomes, relative factor endowments, and technologies. The model may thus be useful in explaining several stylized facts, includi...

  7. Flat Hierarchical Structure, Bundles of New Work Practices and Firm Performance

    OpenAIRE

    Cristini Annalisa; Gaj Alessandro; Labory Sandrine; Leoni Riccardo

    2003-01-01

    In the last decade a growing economic literature has been devoted to the relationship between firm organisation and performance. Empirical analyses mainly focus on the relationship between human resources management and firm performance, neglecting the role played by organisational designs. The aim of this paper is to integrate the analysis of this relationship and verify the extent to which it is relevant for Italian firms. The data set, for a sample of manufacturing firms located in Lombard...

  8. Where Gibrat meets Zipf: Scale and scope of French firms

    Science.gov (United States)

    Bee, Marco; Riccaboni, Massimo; Schiavo, Stefano

    2017-09-01

    The proper characterization of the size distribution and growth of firms represents an important issue in economics and business. We use the Maximum Entropy approach to assess the plausibility of the assumption that firm size follows Lognormal or Pareto distributions, which underlies most recent works on the subject. A comprehensive dataset covering the universe of French firms allows us to draw two major conclusions. First, the Pareto hypothesis for the whole distribution should be rejected. Second, by discriminating across firms based on the number of products sold and markets served, we find that, within the class of multi-product companies active in multiple markets, the distribution converges to a Zipf's law. Conversely, Lognormal distribution is a good benchmark for small single-product firms. The size distribution of firms largely depends on firms' diversification patterns.

  9. Firm break-up and performance

    Czech Academy of Sciences Publication Activity Database

    Kočenda, Evžen; Hanousek, Jan

    2012-01-01

    Roč. 13, č. 2 (2012), s. 121-143 ISSN 1435-6104 R&D Projects: GA ČR GA402/09/1595 Institutional support: PRVOUK-P23 Keywords : break-up of firms * corporate performance * ownership changes Subject RIV: AH - Economics Impact factor: 0.588, year: 2012

  10. The Impact of Restaurants’ Green Supply Chain Practices on Firm Performance

    Directory of Open Access Journals (Sweden)

    Jun-Zhi Chiu

    2016-01-01

    Full Text Available This study investigated crucial green supply chain management (GSCM practice dimensions and firm performance based on restaurants firms in Taiwan. On the basis of a factor analysis, four green supply chain management dimensions were identified: corporate environment policy, green packing, green product, and economic transport. This study investigated crucial GSCM practice dimensions (including corporate environment policy, packaging waste, economic transport, and product recycling, green capability and organizational performance. The results shown: first, green practices in restaurants in Taiwan have an indirect effect on firm performance through green capability; second, when the ability of suppliers of green and green capability is at a higher degree, it will contribute to organizational performance, namely environmental and economic performance. Finally, green practices could be a key driver of green capability and it should be a priority in restaurants.

  11. Determinants of Firm R&D

    DEFF Research Database (Denmark)

    Tingvall, Patrick Gustavsson; Poldahl, Andreas

    2012-01-01

    Research and Development (R&D) is a key component behind technological development and economic growth; therefore, understanding the drivers of R&D is crucial. An interesting question is the role of technology spillovers, transferred by trade, and their impact on firm R&D. Here we analyze not only...

  12. Improving the firm's environmental conduct

    DEFF Research Database (Denmark)

    Knudsen, Thorbjørn; Koed Madsen, Tage

    2001-01-01

    lead to strategic advantage and, thus, economic gains at the firm level. In view of the great importance of this claim, the purpose of the present article was to apply resource-based insights in order to develop this reasoning further and provide an empirical test of three hypotheses related...

  13. The effects of human resource practices on firm growth

    Directory of Open Access Journals (Sweden)

    Vlachos, I.

    2009-01-01

    Full Text Available Although the connection between firm growth and labour is well documented in economics literature, only recently the link between human resources (HR and firm growth has attracted the interest of researchers. This study aims to assess the extent, if any, to which, specific HR practices may contribute to firm growth. We review a rich literature on the links between firm performance and the following HR practices: (1 job security (2 selective hiring, (3 self-managed teams (4 compensation policy, (5 extensive training, and (6 information sharing. We surveyed HR managers and recorded their perceptions about the links between HR practices and firm growth. Results demonstrated that compensation policy was the strongest predictor of sales growth. Results provide overall support for all HR practices except of job security. Eventually, selecting, training, and rewarding employees as well as giving them the power to decide for the benefit of their firm, contribute significantly to firm growth.

  14. Production, depreciation and the size distribution of firms

    Science.gov (United States)

    Ma, Qi; Chen, Yongwang; Tong, Hui; Di, Zengru

    2008-05-01

    Many empirical researches indicate that firm size distributions in different industries or countries exhibit some similar characters. Among them the fact that many firm size distributions obey power-law especially for the upper end has been mostly discussed. Here we present an agent-based model to describe the evolution of manufacturing firms. Some basic economic behaviors are taken into account, which are production with decreasing marginal returns, preferential allocation of investments, and stochastic depreciation. The model gives a steady size distribution of firms which obey power-law. The effect of parameters on the power exponent is analyzed. The theoretical results are given based on both the Fokker-Planck equation and the Kesten process. They are well consistent with the numerical results.

  15. Towards an Integrated Framework for Special Economic Zones (SEZs)

    DEFF Research Database (Denmark)

    Aggarwal, Aradhna

    tool to achieve a variety of goals. The drivers of success and economic outcomes of SEZs depend on the strategic approach adopted by policy makers towards SEZs. There is no single recipe of their success or development outcomes. Finally, institutions evolve in the process of development. So must......This paper presents a comprehensive conceptual framework for the rationale, success factors and development outcomes of Special Economic Zones (SEZs), and analyses their performance in selected Asian countries within that framework. It draws on the tenets of the literature on ‘dynamics...

  16. Exploring location influences on firm survival rates using parametric duration models

    NARCIS (Netherlands)

    Manzato, G.G.; Arentze, T.A.; Timmermans, H.J.P.; Ettema, D.F.; Timmermans, H.J.P.; Vries, de B.

    2010-01-01

    Using parametric duration models applied to an office firm dataset, we carried out an exploratory study about the location influences on firm survival rates. Amongst the variables included, we found that accessibility to infrastructure supply, regional effects, demographic and economic aspects, and

  17. Exploring location influences on firm survival rates using parametric duration models

    NARCIS (Netherlands)

    Manzato, G.G.; Arentze, T.A.; Timmermans, H.J.P.; Ettema, D.F.

    2011-01-01

    Using parametric duration models applied to an office firm dataset, we carried out an exploratory study about the location influences on firm survival rates. Amongst the variables included, we found that accessibility to infrastructure supply, regional effects, demographic and economic aspects, and

  18. Analyzing and Predicting Micro-Location Patterns of Software Firms

    Directory of Open Access Journals (Sweden)

    Jan Kinne

    2017-12-01

    Full Text Available While the effects of non-geographic aggregation on statistical inference are well studied in economics, research on the effects of geographic aggregation on regression analysis is rather scarce. This knowledge gap, together with the use of aggregated spatial units in previous firm location studies, results in a lack of understanding of firm location determinants at the microgeographic level. Suitable data for microgeographic location analysis has become available only recently through the emergence of Volunteered Geographic Information (VGI, especially the OpenStreetMap (OSM project, and the increasing availability of official (open geodata. In this paper, we use a comprehensive dataset of three million street-level geocoded firm observations to explore the location pattern of software firms in an Exploratory Spatial Data Analysis (ESDA. Based on the ESDA results, we develop a software firm location prediction model using Poisson regression and OSM data. Our findings offer novel insights into the mode of operation of the Modifiable Areal Unit Problem (MAUP in the context of a microgeographic location analysis: We find that non-aggregated data can be used to detect information on location determinants, which are superimposed when aggregated spatial units are analyzed, and that some findings of previous firm location studies are not robust at the microgeographic level. However, we also conclude that the lack of high-resolution geodata on socio-economic population characteristics causes systematic prediction errors, especially in cities with diverse and segregated populations.

  19. The Emergence of the Modern Theory of the Firm

    DEFF Research Database (Denmark)

    Foss, Nicolai Juul; Klein, Peter G.

    sociology and business administration has been relatively limited and ad hoc (although some scholars, notably Williamson, have made more substantive use of these disciplines than othe~s) The fact that the theory of the firm has stayed relatively close in to the (changing) economic mainstream and that its......We discuss the emergence of the theory of the firm (in the Coasian sense); survey and discuss the main currents of the theo~y of the firm, and discuss what has determined the emergence of the theory of the firm. We argue that advances in the theory of the firm have been strongly influenced...... substantive borrowing from neighbouring disciplines has been relatively limited unde~lie and explain much of the "external" critique of the theory (i.e., the critiques of sociologists, heterodox economists and management scholars)....

  20. Choice of ownership structure and firm performance: Evidence from Estonia

    OpenAIRE

    Jones, Derek C.; Kalmi, Panu; Mygind, Niels

    2003-01-01

    In this paper we use rich panel data for a representative sample of Estonian enterprises to analyse diverse issues related to the determinants of ownership structures and ownership changes after privatisation. A key focus is to determine whether ownership changes are related to economic efficiency. While employee owned firms are found to be much more prone than other firms to switch ownership categories, often “employee owned” firms remain “insider-owned” as ownership passes from current empl...

  1. Trade Adjustment Assistance for Firms: Economic, Program, and Policy Issues

    National Research Council Canada - National Science Library

    Hornbeck, J. F

    2007-01-01

    .... This report focuses on the trade adjustment assistance (TAA) program for firms, which provides technical assistance to help them develop strategies to remain competitive in the changing international economy...

  2. Stability, Bifurcation, and Chaos in N-Firm Nonlinear Cournot Games

    Directory of Open Access Journals (Sweden)

    Akio Matsumoto

    2011-01-01

    Full Text Available An N-firm production game known as oligopoly will be examined with isoelastic price function and linear cost under al Cournot competition. After the best responses of the firms are determined, a dynamic system with adaptive expectations is introduced. It is first shown that the local asymptotic behavior of the system is identical with that of the adaptive adjustment process in which the firms cautiously determine their outputs. Dynamic analysis is confined to two special cases, one in which N is divided into two groups and the other in which N is divided into three groups. Then stability conditions will be derived and the global behavior of the equilibria will be illustrated including chaos control. Lastly the two- and three-group models are compared with two-firm (duopoly and three-firm (triopoly models to shed light on roles of the number of the firms.

  3. Theories of the firm as a foundation for formulating accounting theories

    Directory of Open Access Journals (Sweden)

    José Glauber Cavalcante dos Santos

    2015-03-01

    Full Text Available This paper develops an essay concerning the conceptual extension derived from the theory of the firm and its relationship to prevailing accounting theories, summarizes the main currents that try to explain the firm and seeks to establish a relationship with changes of direction in the object and purpose of accounting, as expressed in current accounting research. It is argued that the actual concept of “firm” ends up guiding an informational logic that is deep-rooted in accounting by means of the interpretations absorbed by accounting theory. The discussion centers on the object of accounting theory (registration and disclosure of economic aggregates as intended for accounting information users. The neoclassical theory of the firm, the contractual theory of the firm and the New Institutional Economics (NIE are used for support, focused on transactional costs, property rights and measurement costs. The concepts of business economics direct the actual conceptual logic of accounting theory, with the main intention being to provide efficient information to stakeholders. It has been observed that accounting theory has its roots in the neoclassical theory of the firm; and, by means of the contractual theory of the firm, where the monitoring of agents and of contracts is discussed, it goes beyond the limited vision of the assets control function (stewardship, expands the focus of providing information, in addition to the restricted function of accountability. And, finally, although not all elements of the new NIE are comprehended by accounting theory, the NIE withholds elements of instrumental importance for the consolidation of accounting theories concerning its institutionalization.

  4. Does Input Quality Drive Measured Differences in Firm Productivity?

    DEFF Research Database (Denmark)

    Fox, Jeremy T.; Smeets, Valerie Anne Rolande

    is roughly of the same order of magnitude as some competitive effects found in the literature, but input quality measures do not explain most productivity dispersion, despite economically large production function coefficients. We find that the wage bill explains as much dispersion as human capital measures.......Firms in the same industry can differ in measured productivity by multiples of 3. Griliches (1957) suggests one explanation: the quality of inputs differs across firms. We add labor market history variables such as experience and firm and industry tenure, as well as general human capital measures...

  5. Organizational Structure and Firms' Demand for HRM Practices

    OpenAIRE

    Eriksson, Tor; Ortega, Jaime

    2014-01-01

    A question largely left unanswered in previous studies of firms’ use of HRM practices, and the consequences thereof, is why some firms adopt these practices while others do not. We examine empirically the determinants of firms’ demand for HRM pay, work and training practices with a special focus on the role of differences in the organizational structure of firms. For this purpose we merge data from a detailed questionnaire study of Danish private sector firms’ use of HRM practices with workfo...

  6. The use of economic forecasts in Danish economic policy, with special emphasis on energy and the environment

    International Nuclear Information System (INIS)

    Nielsen, Lise

    1998-01-01

    This article discusses the use of economic forecasts in Danish economic policy, with special emphasis on energy and the environment. Two different approaches have been used to forecast energy consumption and its effects on environment in Denmark and other countries. These are the macro economic and the technical approaches. The technical approach is based on technical expertise related to energy production and energy consumption, and the article asks whether the forecasts produced by this approach are superior to macro economic forecasts of energy consumption. This question is interesting because the implications for policy resulting from the two approaches seem to be different. The analysis may have relevance to other areas outside the main economic field. (au) 22 refs

  7. Firm Strategies and Business Models in the Software Industry: A Configurational Approach

    OpenAIRE

    Pussep, Anton

    2017-01-01

    Researchers have long focused on the determinants of firm success, which is of crucial interest to practitioners as well, since being successful is at the very heart of economic activity. Extant research emphasizes three levels of analysis at which determinants occur: firm, industry, and group level. Each level has been found to affect firm success. At group level, firms choose between a limited set of competitive approaches. The resulting groups are referred to as configurations. The a...

  8. New Firm Survival: Industry versus Firm Effects

    NARCIS (Netherlands)

    D.B. Audretsch (David); P. Houweling (Patrick); A.R. Thurik (Roy)

    1997-01-01

    textabstractRecent studies show that the likelihood of survival differs significantly across firms. Both firm and industry characteristics are hypothesized to account for this heterogenity. Using a longitudinal database of manufacturing firms we investigate whether firm or industry characteristics

  9. Entrepreneurial mindset of information and communication technology firms

    Directory of Open Access Journals (Sweden)

    M. J. Scheepers

    2008-01-01

    Full Text Available Limited research focuses on the entrepreneurial mindset of information and communication technology (ICT firms, despite the opportunities in and importance of this sector for economic growth. In this article, the entrepreneurial mindset of ICT firms is described by using three indicators: entrepreneurial orientation, e-business initiatives and a supportive organizational climate. Data were obtained using structured telephone interviews with 144 ICT firms. The findings indicate that the three indicators of an entrepreneurial mindset are associated and can be linked to performance. It is recommended that managers create a supportive climate for entrepreneurship by offering rewards, empowering employees and providing leadership and support for initiatives.

  10. Facilitated inter-firm collaboration in Ghana

    DEFF Research Database (Denmark)

    Kuada, John Ernest; Sørensen, Olav Jull

    2005-01-01

    Since the mid-1980s, aid agencies have endorsed the need to support private enterprise development in developing countries as an instrument for overall economic development and poverty reduction. Facilitation of collaboration between developed and developing country firms has become one of the mo...

  11. Theoretical Perspectives on the Internationalization of Firms

    DEFF Research Database (Denmark)

    Rask, Morten; Håkonsson, Dorthe Døjbak; Strandskov, Jesper

    2008-01-01

    The purpose of this article is to build a coherent framework of the four main theories relating to the internationalization of firms, in order to facilitate better business teaching and research. Yet, theories of the internationalization of firms are broad and rest on different underlying...... assumptions. With the purpose of clarifying the potential for integration of partial theories and fragments in a more logically connected theoretical area, this article offers a meta-theoretical overview of four perspectives within international business economics: Research and its related background, basic...

  12. Participation of firms in the skills development levy system

    Directory of Open Access Journals (Sweden)

    GJ Lee

    2004-04-01

    Full Text Available Skills development levies are increasingly being utilised to increase enterprise provided training in developing economies. South Africa is one such example. The impact of such incentive systems on the bottom-line of firms is a vital consideration in such programs. Particularly important are the economic conditions under which the incentive will stimulate participation by organisations. The transaction costs of participation must be taken into account: while a levy-grant system clearly creates a prima-facie incentive, it may be prohibitively expensive for some firms to enter the grant disbursement systems. Accordingly, through a simple model of the incentives for firms, the participation level of the firm under various types of levy systems is assessed. Non-monetary considerations are also considered. The implications for participation by firms, along with managerial and policy implications, are discussed.

  13. Firm efficiency: domestic owners, coalitions, and FDI

    Czech Academy of Sciences Publication Activity Database

    Hanousek, Jan; Kočenda, Evžen; Mašika, M.

    2012-01-01

    Roč. 36, č. 4 (2012), s. 471-486 ISSN 0939-3625 R&D Projects: GA ČR(CZ) GAP403/12/0080 Institutional support : PRVOUK-P23 Keywords : efficiency * ownership structure * firms Subject RIV: AH - Economics

  14. Environmental management and firm performance: a case study.

    Science.gov (United States)

    Claver, Enrique; López, María D; Molina, José F; Tarí, Juan J

    2007-09-01

    This study has as its aim to help to clarify the relationship between environmental management and economic performance by integrating it into a wider framework that includes the relationship between environmental strategy and firm performance, the latter being understood as the combination of environmental performance, competitive advantage and economic performance. A case study of the COATO farming cooperative showed us that its environmental management, focused on prevention logic, has had a positive net effect on its environmental performance. Besides, the order in which these practices were adopted favoured the development of new organisational capabilities that have contributed to the appearance of advantages derived from the greater accumulated experience of employees in creating new projects that are designed to reduce residues and pollution. COATO has also obtained a competitive advantage in differentiation thanks to an improved brand image and to its increased credibility in business relationships. Finally, a positive correlation exists between the pioneering proactive strategy adopted by this cooperative and the improvement of its firm performance with respect to the other firms in its sector.

  15. An empirical examination of the influence of industry and firm drivers on the rate of internationalization by firms

    Science.gov (United States)

    Elango, B.

    A gradual shift in U.S. firms' 'center of gravity' toward international markets is taking place. This study seeks to explain which drivers are related to this push toward international markets by U.S. firms. In addressing internationalization, previous research has not focused on various drivers that influence the rate of internationalization. Drivers refer to forces, both within and outside the firm, that impact (both positively and negatively) a firm's extent of internationalization. The role of these drivers on the rate of internationalization, though acknowledged in the literature, is yet to be validated through empirical research. This research seeks to narrow the gap in the literature by testing the various relationships among industry drivers, firm drivers, and the rate of internationalization. The objectives of this study are: (A) To develop a conceptual framework that takes into account various forces that influence the internationalization strategy of a firm; (B) To examine empirically (a) the influence of industry drivers on the rate of internationalization pursued by firms; and, (b) the influence of firm drivers on the rate of internationalization by firms. The sample for this study consists of 158 large U.S.- based multinational firms drawn from seven different industries. Data for the study is gathered from a variety of sources including the U.S. Department of Commerce, Bureau of Economic Analysis; COMPUSTAT; and WORLDSCOPE databases. Set-wise regression models were used for data analysis. This study found that global market growth rate, domestic market growth rate, relative size of domestic market to international market, employee productivity, administrative investments, as well as new plant and equipment influences the international strategy of firms. This study explains about 24 percent of the variance of the rate of internationalization. This research finding is contributory to our existing understanding of internationalization in many ways

  16. Comparative Advantages of Spin-off Firms: An Evolutionary Perspective

    Directory of Open Access Journals (Sweden)

    Bilgehan Uzunca

    2011-11-01

    Full Text Available As predicted by evolutionary economics, historical antecedents matter when it comes to the relationship between survival of entrants and organizational capabilities. Spinoff firms provide an exemplary case of such relationship where the founders’ pre-entry capabilities that are inherited from the parent firm increases their survival chances. Looking closer and deeper to the evolutionary spinoff success mechanisms, I examine three specific genetic features which make spinoff firms more advantageous compared to other entrants; namely 1 Genotype: Transfer of blueprint, 2 Phenotype: Organizational learning, and 3 Memes: Informal relations and social capital. A detailed theoretical analysis of each mechanism prevails how they function and provide sustainable competitive advantage to spinoff firms. Testable hypotheses are provided about each mechanism.

  17. Entrepreneurs, Contracts, and the Failure of Young Firms

    OpenAIRE

    Pierre Azoulay; Scott Shane

    2001-01-01

    Although economic theory has emphasized that moral hazard and hold-up problems influence the design of contracts, very little is known about the process by which explicit contracts are established and the effect of contractual arrangements on firm performance. This paper attempts to demonstrate that firms are selected for survival on the basis of contracting efficiency. Based on a statistical analysis of 170 new franchise contracts and interviews with the founders of 16 of these new franchise...

  18. Belgian Firms Visit CERN

    CERN Multimedia

    2001-01-01

    Fifteen Belgian firms visited CERN last 2 and 3 April to present their know-how. Industrial sectors ranging from precision machining to electrical engineering and electronics were represented. And for the first time, companies from the Flemish and Brussels regions of the country joined their Walloon compatriots, who have come to CERN before. The visit was organised by Mr J.-M. Warêgne, economic and commercial attaché at the Belgian permanent mission for the French-speaking region, Mr J. Van de Vondel, his opposite number for the Flemish region, and Mrs E. Solowianiuk, economic and commercial counsellor at the Belgian permanent mission for the Brussels-Capital region.

  19. Capital market financing, firm growth, and firm size distribution

    OpenAIRE

    Didier Brandao,Tatiana; Levine,Ross Eric; Schmukler,Sergio L.

    2015-01-01

    How many and which firms issue equity and bonds in domestic and international markets, how do these firms grow relative to non-issuing firms, and how does firm performance vary along the firm size distribution? To evaluate these questions, a new data set is constructed by matching data on firm-level capital raising activity with balance sheet data for 45,527 listed firms in 51 countries. T...

  20. Effect of Black Economic Empowerment on profit and competitiveness of firms in South Africa

    Directory of Open Access Journals (Sweden)

    Ewert P.J. Kleynhans

    2014-07-01

    Full Text Available Orientation: The key obstacle hindering optimal profitability levels and competitiveness in firms in South Africa is the application of labour legislation policies and tools aimed at narrowing the income gap between different racial groups and resolving inequality amongst a diverse workforce. Research purpose: This article determined whether the implementation of a Black Economic Empowerment (BEE policy by companies has a positive effect on their growth in terms of profits and competitiveness. Motivation for the study: This study determined whether the implementation of BEE could be profitable for companies. Research design, approach and method: A quantitative study was undertaken in order to find empirical evidence supporting the relation between high BEE Scores, profitability and competitiveness. The empirical investigation utilised regression analysis, correlations and other methods, based on data between January 2009 and December 2011. The BEE Scorecard was used to obtain BEE scores of the top 50 BEE companies. Thereafter, the top 50 companies’ financial information was gathered from the Johannesburg Securities Exchange. Main findings: The implementation of BEE within companies has a positive effect on profitability, turnover and investment. Numerous factors have, however, been hindering,while other factors enhanced the success of BEE. Practical/managerial implications: The findings encourage mangers to engage in BEE as it may facilitate higher profits and indicates where labour legislation could be improved. Contribution/value-add: Value was added through new research determining the effects of BEE and labour legislation on profitability and competitiveness of firms on a micro-level.

  1. Trends in China's Special Economic Zones and Suggestions for Korean Economy

    Directory of Open Access Journals (Sweden)

    Yong Ho Choi

    2003-12-01

    Full Text Available China's Special Economic Zones (SEZs have been entering a new development stage after China's entry into WTO. China has been developing 'China's economic development model', in which SEZs have ideally been combined with FDIs. China's SEZs concentrated in the east coastal region geographically, specialized in secondary industry, and put in practice many important favourable policies. China's SEZs also play an important role in regional development with the growth pole. At the time of entering the WTO, China's SEZs have been faced with new changes. This paper analyses this new change in China's SEZs, and considers the effect to Korea in the view of policy. In the past ten years, Korea has acquired a better development in the field of economic cooperation. The industrial structure of the two countries has become more and more closed. Especially, the FDI cooperation of the past ten years mostly concentrated on China's SEZs. From the view of country's spatial division, Korea needs to adjust FDI its strategy more diversely in investment regions and industries, and it needs more joint cooperation.

  2. Bank-firm credit network in Japan: an analysis of a bipartite network.

    Science.gov (United States)

    Marotta, Luca; Miccichè, Salvatore; Fujiwara, Yoshi; Iyetomi, Hiroshi; Aoyama, Hideaki; Gallegati, Mauro; Mantegna, Rosario N

    2015-01-01

    We investigate the networked nature of the Japanese credit market. Our investigation is performed with tools of network science. In our investigation we perform community detection with an algorithm which is identifying communities composed of both banks and firms. We show that the communities obtained by directly working on the bipartite network carry information about the networked nature of the Japanese credit market. Our analysis is performed for each calendar year during the time period from 1980 to 2011. To investigate the time evolution of the networked structure of the credit market we introduce a new statistical method to track the time evolution of detected communities. We then characterize the time evolution of communities by detecting for each time evolving set of communities the over-expression of attributes of firms and banks. Specifically, we consider as attributes the economic sector and the geographical location of firms and the type of banks. In our 32-year-long analysis we detect a persistence of the over-expression of attributes of communities of banks and firms together with a slow dynamic of changes from some specific attributes to new ones. Our empirical observations show that the credit market in Japan is a networked market where the type of banks, geographical location of firms and banks, and economic sector of the firm play a role in shaping the credit relationships between banks and firms.

  3. Is environmental management an economically sustainable business?

    Science.gov (United States)

    Gotschol, Antje; De Giovanni, Pietro; Esposito Vinzi, Vincenzo

    2014-11-01

    This paper investigates whether environmental management is an economically sustainable business. While firms invest in green production and green supply chain activities with the primary purpose of reducing their environmental impact, the reciprocal relationships with economic performance need to be clarified. Would firms and suppliers adjust their environmental strategies if the higher economic value that environmental management generates is reinvested in greening actions? We found out that environmental management positively influences economic performance as second order (long term) target, to be reached conditioned by higher environmental performance; in addition, firms can increase their performance if they reinvest the higher economic value gained through environmental management in green practices: While investing in environmental management programs is a short term strategy, economic rewards can be obtained only with some delays. Consequently, environmental management is an economically sustainable business only for patient firms. In the evaluation of these reciprocal relationships, we discovered that green supply chain initiatives are more effective and more economically sustainable than internal actions. Copyright © 2014 Elsevier Ltd. All rights reserved.

  4. THE INFLUENCE OF FIRMS STRUCTURAL CHARACTERISTICS ON THE DEGREE OF AGGLOMERATION ECONOMIES ENJOYED AMONGST FIRMS IN THE LAGOS REGION, NIGERIA

    Directory of Open Access Journals (Sweden)

    FAGBOHUNKA Adejompo

    2015-12-01

    Full Text Available Agglomeration economies is a potent tool in socio-economic revamping, rejuvenation and sustenance of regions, this is as a result of the impulse it transmitted through the multiplier effect it is capable of generated. Therefore, this paper underscores the influence of firms structural characteristics on the degree of agglomeration economies enjoyed amongst firms, using the Lagos region as a case study. The first stage in the collection of primary data involves the reconnaissance survey, thereafter one hundred and three questionnaire were administered in twelve industrial estates; one questionnaire in each of the firm. The paper reveals the following structural characteristics as germane to industrial enterprise; age of firms, areal plant size (m², capacity utilization (in percentage, and Labour size and firms investment. The paper has also found out those agglomeration economies enjoyed ranges from transportation, labour, power supply, to joint water supply. The Roy’s Largest Root test employed to test for the significance of the canonical correlations at 0.05 significant levels shows the calculated F-value 3.5247 and the tabulated F-value 2.90. This suggests that the degree of agglomeration economies enjoyed by firms is significantly explained by the size and structural characteristics of the firms. The paper therefore recommends more and active government participation in the industrial scene, given the necessary support for the expansion of firm’s structural characteristics which will lead to increase agglomeration economies enjoyed by these firms.

  5. The Employment Impact of Poland’s Special Economic Zones Policy

    DEFF Research Database (Denmark)

    Jensen, Camilla

    2018-01-01

    >gminas (communes) more likely to be negatively affected by the economic transition. A significant and positive effect of the policy on employment is documented, but with some negative spillovers at the policy level as zones start to spread rapidly. Accounting for covariates, timing, policy spillovers and reducing......In 1994, Poland launched a special economic zones experiment to maintain employment structures outside the major cities. Using difference-in-difference estimations, this paper evaluates whether the policy has been successful in its primary objective, which is to sustain employment in

  6. Fostering Women's Economic Empowerment through Special Economic Zones : Comparative Analysis of Eight Countries and Implications for Governments, Zone Authorities and Businesses

    OpenAIRE

    World Bank; International Finance Corporation

    2011-01-01

    This global report examines the opportunity for special economic zones to promote women's economic empowerment and boost zone and enterprise competitiveness in developing countries. The research covers Bangladesh, China, Costa Rica, Egypt, El Salvador, Jordan, Kenya, and the Philippines. The study focuses on women's economic empowerment in the context of zones at three levels: (i) fair emp...

  7. Economic evaluation and cost-effectiveness thresholds: signals to firms and implications for R & D investment and innovation.

    Science.gov (United States)

    Vernon, John A; Goldberg, Robert; Golec, Joseph

    2009-01-01

    In this article we describe how reimbursement cost-effectiveness thresholds, per unit of health benefit, whether set explicitly or observed implicitly via historical reimbursement decisions, serve as a signal to firms about the commercial viability of their R&D projects (including candidate products for in-licensing). Traditional finance methods for R&D project valuations, such as net present value analyses (NPV), incorporate information from these payer reimbursement signals to help determine which R&D projects should be continued and which should be terminated (in the case of the latter because they yield an NPV important for reimbursement thresholds to reflect the economic value of the unit of health benefit being considered for reimbursement. Thresholds set too low (below the economic value of the health benefit) will result in R&D investment levels that are too low relative to the economic value of R&D (on the margin). Similarly, thresholds set too high (above the economic value of the health benefit) will result in inefficiently high levels of R&D spending. The US in particular, which represents approximately half of the global pharmaceutical market (based on sales), and which seems poised to begin undertaking cost effectiveness in a systematic way, needs to exert caution in setting policies that explicitly or implicitly establish cost-effectiveness reimbursement thresholds for healthcare products and technologies, such as pharmaceuticals.

  8. Does the EU Funding Increase Competitiveness of Firms by Supporting Organisational Changes?

    Directory of Open Access Journals (Sweden)

    Martinez Felipe

    2015-06-01

    Full Text Available Competitive firms with a good economic performance contribute to social development and quality of life. Countries and regions support competitiveness of firms through public policies and public funds. The research concerns question whether financial support from public funds actually helped to increase competitiveness in firms through organisational changes. This paper explores the relationship between competitiveness of firms (measured by sales divided by employment with organisational structure changes and the amount of financial resources from the EU Structural Funds. The data were collected from the Czech Statistical Office and a survey among Czech firms. The estimates provide us with conclusion that only the European Social Funds assistance had a positive effect on productivity, but not organisational changes in firms.

  9. Firm size distribution and mobility of the top 500 firms in China, the United States and the world

    Science.gov (United States)

    Guo, Jinzhong; Xu, Qi; Chen, Qinghua; Wang, Yougui

    2013-07-01

    This paper considers the macroscopic and microscopic statistical features of the top 500 firms in China, the United States and the world, denoted as China 500 (CH500), Fortune 500 (US500) and Fortune Global 500 (FG500). From a macroscopic perspective, the firm size distribution of each category, when measured by revenue, is steadily distributed over the observed period, even during periods of financial crises. As is evidenced by the Gini coefficient, divergences between firm scales are most significant for the CH500. From a microscopic perspective, the underlying micro-dynamics are volatile and often turbulent due to the exit and entry of firms as well as shifts in their revenues and ranks. Such fluctuations, or mobility, are visualized in rank/revenue/share clocks. We also propose a revenue/rank/share mobility index that is a quantitative measurement of mobility. Among these, we find that the share mobility acts as an effective indicator of economic status; where there is a share mobility spike, there is an ailing economy. The share mobility indexes indicate that the 2008 Financial Crisis had little impact on the Chinese economy, while it triggered violent changes in the top 500 firms in the United States and the world.

  10. Neighbourhood Effects on Firm Success and Strategy

    NARCIS (Netherlands)

    Sleutjes, B.W.H.|info:eu-repo/dai/nl/314117415

    2012-01-01

    The main objective of this dissertation is to provide new insights on the relationship between local firms and their neighbourhoods. As a result of economic transitions and several societal developments over the past 50 years, residential neighbourhoods have developed from being places where people

  11. CAPITAL BUDGETING PRACTICES IN VIETNAM: A SURVEY OF CONSTRUCTION INVESTMENT FIRMS

    OpenAIRE

    Tran Tung, Linh

    2009-01-01

    The main intention of this research is to investigate how the Vietnamese firms evaluate the construction investment projects. The research is conducted by qualitative method by sending questionnaires to Vietnamese firms who specialize in construction investment field. Several questions are raised in the questionnaires which are categorized into four parts: evaluation techniques, risk analysis, discount rate and free cash flow forecasting. The distinction between Vietnamese capital budgeting w...

  12. Bank-Firm Credit Network in Japan: An Analysis of a Bipartite Network

    Science.gov (United States)

    Marotta, Luca; Miccichè, Salvatore; Fujiwara, Yoshi; Iyetomi, Hiroshi; Aoyama, Hideaki; Gallegati, Mauro; Mantegna, Rosario N.

    2015-01-01

    We investigate the networked nature of the Japanese credit market. Our investigation is performed with tools of network science. In our investigation we perform community detection with an algorithm which is identifying communities composed of both banks and firms. We show that the communities obtained by directly working on the bipartite network carry information about the networked nature of the Japanese credit market. Our analysis is performed for each calendar year during the time period from 1980 to 2011. To investigate the time evolution of the networked structure of the credit market we introduce a new statistical method to track the time evolution of detected communities. We then characterize the time evolution of communities by detecting for each time evolving set of communities the over-expression of attributes of firms and banks. Specifically, we consider as attributes the economic sector and the geographical location of firms and the type of banks. In our 32-year-long analysis we detect a persistence of the over-expression of attributes of communities of banks and firms together with a slow dynamic of changes from some specific attributes to new ones. Our empirical observations show that the credit market in Japan is a networked market where the type of banks, geographical location of firms and banks, and economic sector of the firm play a role in shaping the credit relationships between banks and firms. PMID:25933413

  13. Acquired versus Non-Acquired Subsidiaries - Which Entry Mode do Parent Firms Prefer

    OpenAIRE

    Esther Kalkbrenner

    2010-01-01

    Despite the economic importance of international foreign direct investment (FDI) flows, investment decisions of multinational firms are not well understood. A multinational firm can establish a subsidiary in a foreign country through greenfield investment or through acquiring an existing firm in the target country. The goal of this paper is to shed some light on the determinants of foreign market entry modes. In particular to analyze the systematic variation in the mode choice of FDI, namely ...

  14. Executive compensation and firm performance: Evidence from Indian firms

    Directory of Open Access Journals (Sweden)

    Mehul Raithatha

    2016-09-01

    Full Text Available The study examines the relationship between executive compensation and firm performance among Indian firms. The evidence suggests that firm performance measured by accounting, as well as market-based measures, significantly affects executive compensation. We also test for the presence of persistence in executive compensation by employing the system-generalised methods of moments (GMM estimator. We find significant persistence in executive compensation among the sample firms. Further, we report the absence of pay–performance relationship among the smaller sample firms and business group affiliated firms. Thus, our findings cast doubts over the performance-based executive compensation practices of Indian business group affiliated firms.

  15. Multinational Firms, National Culture, and Gender-Based Employment Discrimination

    OpenAIRE

    John Lawler

    1995-01-01

    Sex segregation in the workplace has been related to a variety of economic, institutional, and social factors. An issue that has only been explored to a limited extent is the role that multinational firms might play in promoting or inhibiting employment discrimination and sex segregation in developing countries. This study focuses on this issue within the context of Thailand, one of the world's most rapidly growing economies and a country with considerable investment by multinational firms. T...

  16. A review of 'theories of the firm' and their contributions to Corporate Sustainability

    NARCIS (Netherlands)

    Lozano, Rodrigo; Carpenter, Angela; Huisingh, Donald

    2015-01-01

    Corporate Sustainability has arisen as an alternative to traditional, short-term, profit-oriented approaches to managing the firm by holistically balancing economic, environmental, and social issues in the present generation and for future ones. Although a number of theories of the firm have been

  17. Corruption and Firm Growth: Evidence from China

    OpenAIRE

    Wang, Y.; You, J.

    2012-01-01

    Corruption is one of the most pervasive obstacles to economic and social development. However, in the existing literature it appears that corruption seems to be less harmful in some countries than in others. The most striking examples are well known as the "East Asian paradox": countries displaying exceptional growth records despite having thriving corruption cultures. The aim of this paper is to explain the high corruption but fast economic growth puzzle in China by providing firm-level evid...

  18. Toward a Sustainable Low-Carbon China: A Review of the Special Issue of “Energy Economics and Management”

    Directory of Open Access Journals (Sweden)

    Ning Zhang

    2016-08-01

    Full Text Available Severe environmental quality deterioration, along with predatory exploitation of energy resources, are generally associated with economic growth, especially in China. Against this background, the 6th Annual Conference of Energy Economics and Management provides a platform for examining outperforming governance factors and mechanisms of energy economics and policy. Thanks to Sustainability for providing this special issue. This editorial highlights the contents and methodologies of the special issue for this conference, presenting diverse issues in energy economics and management. We also suggest guidelines for future study in energy economics and management.

  19. Tender Systems and Processes within the Mauritian Construction Industry: Investigating the Predominance of International Firms and the Lack of Absorptive Capacity in Local Firms

    OpenAIRE

    K. Appasamy; P. Paul

    2016-01-01

    Mauritius, a developing small-island-state, is facing a recession which is having a considerable economic impact particularly on its construction sector. Further, the presence of foreign entities, both as companies and workers, within this sector is creating a very competitive environment for local firms. This study investigates the key drivers that allow foreign firms to participate in this sector, in particular looking at the international and local tender processes, and the capacity of loc...

  20. Shaking up the Firm Survival: Evidence from Yogyakarta (Indonesia

    Directory of Open Access Journals (Sweden)

    Aloysius Gunadi Brata

    2018-04-01

    Full Text Available The survival of firms under changes in the business environment caused by exogenous shocks can be explained using economic Darwinism. Exogenous shocks can cause ‘cleansing effects’. Shocks clean out unproductive firms so that available resources are allocated to the remaining more productive firms. However, shocks may also force out young firms that have the potential to be highly productive in the future, which will lower the average productivity of industries. This is known as the ‘scarring effect’ of shocks. Therefore, the overall impact of exogenous shocks on the allocation of resources depends on the relative magnitude of cleansing and scarring effects. This paper investigates this natural selection mechanism after the Yogyakarta earthquake in 2006. The study uses data on medium-sized and large manufacturing firms in the Yogyakarta province collected by the Indonesian Statistical Agency. The main finding of this paper is that firms that had higher productivity prior to the earthquake in 2006 were more likely to survive after the earthquake, which suggests the existence of a natural selection mechanism, specifically cleansing effects. There is no evidence of the scarring effects of the earthquake on the new entrants.

  1. Inter-firm relationships and governance structures: A study of the ...

    African Journals Online (AJOL)

    Administrator

    paying special attention to transaction cost theory, the network approach to inter- firm dynamics .... world economy. Instead of viewing governance as a black box of simple .... Structural Holes: The Social Structure of Competition. Cambridge ...

  2. Motives and chances of firm diversification: theory and empirical evidence

    International Nuclear Information System (INIS)

    Briglauer, W.

    2001-11-01

    It is beyond controversy that the majority of the largest companies in the industrialized countries perform to a certain extent product diversification strategies. Tying up to this finding the underlying work firstly deals with alternative theoretical and empirical definitions of corporate diversification. Subsequently the theoretical part mainly elaborates an industrial economic framework for categorizing motives of firm diversification. Despite of some inevitable degree of arbitrariness, a relatively widespread and sufficient categorization can be presented. With regards to the relevant economic literature most explanations of product diversification can be classified appropriately. Observing diversification activities one would prima facie infer a positive relationship between product diversification and firm performance, but both, theory and empirical evidence, yield ambiguous results. The empirical part provides a list of existing studies, classified according to the theoretical categorization. In an overview some stylised facts are filtered and discussed consecutively. Most notably, it was found that related diversification strategies significantly outperform strategies of unrelated diversification. At the end of the empirical section econometric methods are applied to agricultural and industrial economic (relating to telecommunication markets) data sets. For the agricultural studies a significantly positive relationship between product diversification and firm performance was found. In contrast no significant results were obtained for the telecommunication markets. (author)

  3. The effects of staffing and training on firm productivity and profit growth before, during, and after the Great Recession.

    Science.gov (United States)

    Kim, Youngsang; Ployhart, Robert E

    2014-05-01

    This study integrates research from strategy, economics, and applied psychology to examine how organizations may leverage their human resources to enhance firm performance and competitive advantage. Staffing and training are key human resource management practices used to achieve firm performance through acquiring and developing human capital resources. However, little research has examined whether and why staffing and training influence firm-level financial performance (profit) growth under different environmental (economic) conditions. Using 359 firms with over 12 years of longitudinal firm-level profit data, we suggest that selective staffing and internal training directly and interactively influence firm profit growth through their effects on firm labor productivity, implying that staffing and training contribute to the generation of slack resources that help buffer and then recover from the effects of the Great Recession. Further, internal training that creates specific human capital resources is more beneficial for prerecession profitability, but staffing is more beneficial for postrecession recovery, apparently because staffing creates generic human capital resources that enable firm flexibility and adaptation. Thus, the theory and findings presented in this article have implications for the way staffing and training may be used strategically to weather economic uncertainty (recession effects). They also have important practical implications by demonstrating that firms that more effectively staff and train will outperform competitors throughout all pre- and postrecessionary periods, even after controlling for prior profitability. (c) 2014 APA, all rights reserved.

  4. Assessing the Drivers of R&D Activities of Firms in Developing Countries: Evidence From Turkey

    OpenAIRE

    Elif Kalaycı; Teoman Pamukçu

    2014-01-01

    Research and development (R&D) activities of firms in developing countries (DCs) have been gaining in importance for nationwide economic growth and development, while globalization of the world economy offers a number of opportunities for fostering knowledge-creating activities. Therefore, a better understanding of factors influencing R&D activities of firms in DCs with a view to conceive and implement appropriate policies is firmly on the agenda. In this article, a rich firm-level data set a...

  5. Logging firms, nonindustrial private forests, and forest parcelization: evidence of firm specialization and its impact on sustainable timber supply

    Science.gov (United States)

    Mark Rickenbach; Thomas W. Steele

    2006-01-01

    Increasing forest parcelization has raised concerns about tract-size economies and sustainable timber supply. We explored this issue by examining the logging sector and forest ownership in northern Wisconsin and Michigan's Upper Peninsula. Using 2004 survey data, we found that 48% of logging firms demonstrated a near exclusive reliance on nonindustrial private...

  6. Virtual firm as a role-playing tool for biomedical education.

    Science.gov (United States)

    Blagosklonov, Oleg; Soto-Romero, Georges; Guyon, Florent; Courjal, Nadège; Euphrasie, Sebatien; Yahiaoui, Reda; Butterlin, Nadia

    2006-01-01

    The paper describes design of a role-playing tool based on the experience of the practice firm which allows participants to obtain relevant and practical on-the-job experience. The students played the roles of the employees and the applicants for vacant positions at the virtual firm - a small business specialized in biomedical sector - founded to design the demonstration vehicle for a biomedical device. We found that this innovative concept may be used to improve the young engineers performance and to facilitate their post-graduate integration.

  7. DEVELOPMENT OF FREE ECONOMIC ZONE OF THE ASTRAKHAN REGION: MYTH AND REALITY

    Directory of Open Access Journals (Sweden)

    Ekaterina V. Kryukova

    2017-06-01

    Full Text Available The article deals with the tasks, processes and problems demanding permission in the special economic zones formed in the territory of Russia as an institute of development of national economy in the conditions of import substitution policy. The Special Economic Zones (SEZ being one of instruments of attraction of the foreign capital, diversification of economy, transfer of the industry of the country to an innovative way of development, act as the real driver of economic growth of regions. On the example of the special economic zone of the Astrakhan region the comparative characteristic of the main processes of its development is carried out; actual shortcomings of Lotos OJSC management are proved. The author reveals unevenness and slowness of development, structural disproportions, low responsibility of stakeholders, insufficient activity of resident firms and the related groups, high degree of uncertainty of achievement of payback and efficiency of projects of the SEZ. The results of the carried-out analysis let implement the tasks of further development of the Astrakhan SEZ – attraction of considerable resources into the development of fields of natural resources, activization of geological and exploration works, technological improvement of the existing capacities, construction of new unique objects at the shipbuilding enterprises.

  8. DESEMPEÑO ECONÓMICO: DIFERENCIAS DE PEQUEÑAS EMPRESAS CLASIFICADAS SEGÚN LA ESTRUCTURA DE LA PROPIEDAD DEL CAPITAL/ECONOMICS PERFORMANCE: DIFFERENCES IN SMALL AND MICRO FIRMS BY CAPITAL-OWNERSHIP CONFIGURATION

    Directory of Open Access Journals (Sweden)

    Zuray MELGAREJO

    2007-09-01

    Full Text Available El objetivo de este trabajo es el estudio del desempeño de la Sociedad Laboral Navarra, a través del análisis de sus resultados económicos y financieros. El período de análisis se refiere a 1994-2003. Compararemos estos resultados con los obtenidos, para el mismo periodo, por la Sociedad Mercantil Navarra, e inferiremos, a partir del estudio comparado, en aquellas características que diferencian, desde el marco de la función financiera, el comportamiento de las Sociedades Laborales (LOFs de las Sociedades Mercantiles (PCFs./The primary purpose of this paper is to assess the performance of the labour-managed firms of Navarre, Spain, through an analysis of their economic and financial measures of performance during the 1994-2003 period. We also conduct a similar analysis of the financial and economic indicators of the mercantile firms of Navarre during the same time frame and identify the indexes that reflect competitive advantage to either type of firm.

  9. Optimal investment and location decisions of a firm in a flood risk area using Impulse Control Theory

    Science.gov (United States)

    Grames, Johanna; Grass, Dieter; Kort, Peter; Prskawetz, Alexia

    2017-04-01

    Flooding events can affect businesses close to rivers, lakes or coasts. This paper provides a partial equilibrium model which helps to understand the optimal location choice for a firm in flood risk areas and its investment strategies. How often, when and how much are firms willing to invest in flood risk protection measures? We apply Impulse Control Theory to solve the model analytically and develop a continuation algorithm to solve the model numerically. Firms always invest in flood defense. The investment increases the higher the flood risk and the more firms also value the future, i.e. the more sustainable they plan. Investments in production capital follow a similar path. Hence, planning in a sustainable way leads to economic growth. Sociohydrological feedbacks are crucial for the location choice of the firm, whereas different economic situations have an impact on investment strategies. If flood defense is already present, e.g. built up by the government, firms move closer to the water and invest less in flood defense, which allows firms to accrue higher expected profits. Firms with a large initial production capital surprisingly try not to keep their market advantage, but rather reduce flood risk by reducing exposed production capital.

  10. FINANCING POLICY OF FIRMS IN THE CONTEXT OF CRISIS-INDUCED VULNERABILITIES

    Directory of Open Access Journals (Sweden)

    Mihaela Brindusa Tudose

    2017-07-01

    Full Text Available Our study analyses the changes in the financial structure of the firms in the context of the vulnerabilities induced by the financial crisis. The study show that there have been registered a reconfiguration of firms’ financial structure which has triggered an increase in their financial fragility and vulnerability to crises. The results obtained confirm that the effects of financing differ depending on the economic conditions in particular period (normal periods and crisis periods. In tranquil times solvency is more important for the firms than liquidity. After crisis, the firms became more cautious regarding liquidity, solvency and the prospect of securing long-term financial balance. These firms have abandoned the objective of maximizing the positive effects of debt financing adopting a more prudent financing.

  11. Firm Decisions: Determinants of Investments

    OpenAIRE

    Ionescu Alexandra

    2011-01-01

    The investment decision is part of a companies’ investment strategy. Defined as a logical set of technical and economic information, the investment strategy determines the main objectives of the firm regarding its investments, based on studies, analysis and simulations. It also establishes the actions to be undertaken in order to achieve the objectives, methods of achieving them, sources of funding and resource allocation methods. Still, all these are influenced by several factors. The invest...

  12. Investment, firm value, and risk for a system operator balancing energy grids

    International Nuclear Information System (INIS)

    Dockner, Engelbert J.; Kucsera, Dénes; Rammerstorfer, Margarethe

    2013-01-01

    With the liberalization of energy markets integrated energy companies have separated into entities that specialize in production and/or transmission of energy. Transmission of energy requires balancing the grid to guarantee system security, which is performed by the (independent) system operator (SO). When the SO faces stochastic demand, grid balancing has sizeable consequences on current and future profits, and hence, on firm value and firm risk. We explore these value and risk consequences with and without an investment option to expand transmission capacity. We show that firm value consists of the value of the transmission capacity in place plus the value of a short put and a short call option that are the result of the SO's balancing actions. Firm risk without investment option is non-linear and determined by the short option positions. It is decreasing with increasing energy demand. The existence of an option to expand transmission capacity increases firm value and firm risk. - Highlights: ► Grid balancing under stochastic demand affect current and future revenues, and firm value and firm risk. ► Balancing firm value consists of the value of the transmission capacity plus the value of a short strangle. ► Firm risk without investment option is determined by the short strangle and decreasing with increasing energy demand. ► The existence of an expansion option implies that transmission capacity increases firm value and firm risk

  13. Knowledges, Specialisation and Economic Evolution

    DEFF Research Database (Denmark)

    Andersen, Esben Sloth

    2002-01-01

    The purpose of the paper is to integrate parts of the emerging modern literature on the division of labour and the division of knowledge as factors determining economic organisation and economic growth and development. The solution is a firm-based model of a pure labour economy with multiactivity...... production, fusions and fissions of firms, specialisation and exchange, markets for intermediate goods, and specialisation of R&D....

  14. Austrian Capital Theory and the Link Between Entrepreneurship and the Theory of the Firm

    DEFF Research Database (Denmark)

    Foss, Kirsten; Foss, Nicolai Juul; Klein, Peter G.

    2005-01-01

    tangible and intangible,are heterogeneous; arranging these assets to minimize contractual hazards, toprovide efficient investment incentives, or to exploit competitive advantage isconceived as the prime task of economic organization. None of these approaches,however, is based on a systematic theory......Several writers link entrepreneurship to asset ownership, trying to incorporatethe theory of entrepreneurship into the theory of the firm. The critical link, weargue, is capital heterogeneity. Transaction cost, property rights, and resourcebasedapproaches to the firm assume that assets, both...... of capital heterogeneity. Inthis paper we outline the approach to capital developed by the Austrian schoolof economics and integrate it into an entrepreneurial theory of the firm. We refineAustrian capital theory by defining capital heterogeneity in terms of subjectivelyperceived attributes, that is...

  15. Do Peer Firms Affect Firm Corporate Social Responsibility?

    OpenAIRE

    Shenggang Yang; Heng Ye; Qi Zhu

    2017-01-01

    Peer-firm strategies are a critical factor for corporate finance, and corporate social responsibility (CSR) is the main trend for evaluating the behavior of firms. On the basis of the connection between peer strategy and CSR, this paper explores the CSR strategies employed by a sample of Chinese firms during the 2008–2015 period. Our two main empirical findings are as follows. First, the CSR strategies of firms have a positive effect on their CSR behavior. Second, when there is the CSR gap be...

  16. Innovation outcomes of South African new technology-based firms: a contribution to the debate on the performance of science park firms

    Directory of Open Access Journals (Sweden)

    Kai-Ying Alice Chan

    2011-12-01

    Full Text Available Science parks are often established to drive regional economic growth, especially in countries with emerging economies. However, mixed findings regarding the performances of science park firms are found in the literature. This study tries to explain these mixed findings by taking a relational approach and exploring (unintended knowledge transfers between new technology-based firms (NTBFs in the emerging South African economy. Moreover, the innovation outcomes of these NTBFs are examined by using a multi-dimensional construct. Results show that science park location plays a significant role in explaining innovative sales, but is insignificant when a different indicator of innovation outcomes is used. Furthermore, only for innovations that are new to the firms, both science park location and intended knowledge transfer via informal business relationships have a positive impact; whereas social relationships have a negative impact.

  17. The Impact of Financial Access on Firm Growth: Evidence from ...

    African Journals Online (AJOL)

    The Impact of Financial Access on Firm Growth: Evidence from Ethiopian Grain Traders and Millers. ... Ethiopian Journal of Economics ... the necessary investment to provide effective marketing services for the transformation of agriculture.

  18. How Is Corporate Social Responsibility Addressed by Biotech Firms? a Case Study Analysis

    Science.gov (United States)

    Pérez-Bustamante, Guillermo

    2013-01-01

    This paper explores corporate social responsibility (CSR) in the biotech high-tech sector as a way to achieve competitive advantages. After presenting the importance of science for high-tech firms, the paper focuses on the social and economic role of CSR. Next, the primary reasons for firms' engagement in CSR activities are presented, followed by…

  19. Measuring business dynamics among incumbent firms in The Netherlands

    NARCIS (Netherlands)

    Folkeringa, M.; van Stel, A.; Suddle, K.; Tan, S.

    2008-01-01

    Business dynamics in an industry is generally seen as an important indicator of the industry's level of competitiveness and economic performance. Two types of business dynamics may be distinguished: business dynamics reflecting competition by new-firm entries and business dynamics reflecting

  20. The Profit-Maximizing Firm: Old Wine in New Bottles.

    Science.gov (United States)

    Felder, Joseph

    1990-01-01

    Explains and illustrates a simplified use of graphical analysis for analyzing the profit-maximizing firm. Believes that graphical analysis helps college students gain a deeper understanding of marginalism and an increased ability to formulate economic problems in marginalist terms. (DB)

  1. Restructuring: new relationships between the oil companies and the upstream oil firms

    International Nuclear Information System (INIS)

    Barreau, S.

    2001-11-01

    Since the 1986 oil shock, international oil companies have focused on their base competencies, concentrating on activities viewed as their core businesses and steadily increasing the number of tasks to be subcontracted to the upstream oil and gas service sector. The upstream oil and gas service companies had to be restructured to face this new challenge. The strategies they launched at the end of the 80's were varied. Some firms became largely integrated (Schlumberger, Baker Hughes, Halliburton) whereas other firms chose to broaden their range of services. However generally, they opted for external investment which led to an important wave of mergers and acquisitions. The first part characterizes the upstream oil and gas sector by introducing the main oil and gas service firms and their recent strategic evolution. This concludes with both an economic valuation and a typology of attempted growth strategies. To illustrate this, a matrix has been created to characterise the dynamic paths of the oil and gas service firms. The purpose of the second part is to consider the economic theories related to industrial strategies. The strategies of innovation, market protection, vertical integration and diversification have been studied to illustrate the main conclusion which is that the aim of all these strategies was to change the relationships between the oil companies and the upstream oil and gas service firms. (author)

  2. Reasons for not changing to activity-based costing: a survey of Irish firms

    Directory of Open Access Journals (Sweden)

    Martin Quinn

    2017-04-01

    Full Text Available Purpose – This paper aims to report on a survey of medium and large Irish firms to ascertain reasons for not changing to more advanced costing techniques, namely, activity-based costing (ABC. Developments in technology and recent poor economic conditions would suggest that the technique could be adopted more by firms, as they make increased efforts to keep costs under control. Design/methodology/approach – A survey instrument was used to gather data drawing from the top 1,000 Irish firms. From a useable population of 821 organisations, a response rate of 20.75 per cent was achieved. Findings – Findings show a rate of adoption of ABC of 18.7 per cent, which is lower than previous studies in an Irish context. The level of information technology in firms is not a key factor for non-adoption. Instead, the main reasoning for non-adoption revolve around stable existing costing methods, which firms expressed satisfaction with. Originality/value – This research suggests the adoption of ABC is not necessarily driven by external factors such as technology and economic shocks, at least in the context of Ireland. It also suggests that costing techniques may be deeply embedded within organisations and are less likely to be subject to change.

  3. Energy efficiency barriers in commercial and industrial firms in Ukraine: An empirical analysis

    International Nuclear Information System (INIS)

    Hochman, Gal; Timilsina, Govinda R.

    2017-01-01

    Improvement in energy efficiency is one of the main options to reduce energy demand and greenhouse gas emissions. However, large-scale deployment of energy-efficient technologies is constrained by several factors. Employing a survey of 509 industrial and commercial firms throughout Ukraine and a generalized ordered logit model, we quantified the economic, behavioral, and institutional barriers that may impede the deployment of energy-efficient technologies. Our analysis shows that behavioral barriers resulted from lack of information, knowledge, and awareness are major impediments to the adoption of energy-efficient technologies in Ukraine, and that financial barriers may further impede investments in these technologies especially for small firms. This suggests that carefully targeted information provisions and energy audits will enhance Ukrainian firms' investments in energy-efficient technologies to save energy consumption, improve productivity, and reduce carbon emissions from the productive sectors. - Highlights: • Employing a survey of 509 industrial and commercial firms throughout Ukraine • A generalized ordered logit model is used in the analysis. • The paper quantifies the economic, behavioral, and institutional barriers to energy-efficient technologies. • Behavioral barriers are major impediments to the adoption of energy-efficient technologies. • Financial barriers may further impede investments in these technologies especially for small firms.

  4. 48 CFR 536.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 536.602 Section 536.602 Federal Acquisition Regulations System GENERAL SERVICES ADMINISTRATION SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 536.602 Selection of firms for architect-engineer contracts. ...

  5. 48 CFR 1336.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 1336.602 Section 1336.602 Federal Acquisition Regulations System DEPARTMENT OF COMMERCE SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 1336.602 Selection of firms for architect-engineer contracts. ...

  6. 48 CFR 636.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 636.602 Section 636.602 Federal Acquisition Regulations System DEPARTMENT OF STATE SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 636.602 Selection of firms for architect-engineer contracts. ...

  7. 48 CFR 436.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 436.602 Section 436.602 Federal Acquisition Regulations System DEPARTMENT OF AGRICULTURE SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Service 436.602 Selection of firms for architect-engineer contracts. ...

  8. 48 CFR 1536.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 1536.602 Section 1536.602 Federal Acquisition Regulations System ENVIRONMENTAL PROTECTION AGENCY SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 1536.602 Selection of firms for architect-engineer contracts. ...

  9. 48 CFR 36.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 36.602 Section 36.602 Federal Acquisition Regulations System FEDERAL ACQUISITION REGULATION SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 36.602 Selection of firms for architect-engineer contracts. ...

  10. 48 CFR 1436.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 1436.602 Section 1436.602 Federal Acquisition Regulations System DEPARTMENT OF THE INTERIOR SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 1436.602 Selection of firms for architect-engineer contracts. ...

  11. 48 CFR 836.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 836.602 Section 836.602 Federal Acquisition Regulations System DEPARTMENT OF VETERANS AFFAIRS SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 836.602 Selection of firms for architect-engineer contracts. ...

  12. Bribery environments and firm performance: evidence from CEE countries

    Czech Academy of Sciences Publication Activity Database

    Hanousek, Jan; Kochanova, A.

    2016-01-01

    Roč. 43, June (2016), s. 14-28 ISSN 0176-2680 R&D Projects: GA ČR(CZ) GA14-31783S Institutional support: RVO:67985998 Keywords : bureaucratic corruption * firm performance * CEE countries Subject RIV: AH - Economics Impact factor: 1.098, year: 2016

  13. 48 CFR 1836.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 1836.602 Section 1836.602 Federal Acquisition Regulations System NATIONAL AERONAUTICS AND SPACE ADMINISTRATION SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 1836.602 Selection of firms for architect-engineer contracts. ...

  14. Credit scarcity in developing countries: An empirical investigation using Brazilian firm-level data

    Directory of Open Access Journals (Sweden)

    Antônio Marcos Hoelz Pinto Ambrozio

    2017-01-01

    Full Text Available The aim of this paper is to investigate whether Brazilian manufacturing firms are credit constrained. We exploit a rich database that contains more than three thousand firms with characteristics that may affect their degree of credit constraint: size, being listed in the Brazilian stock market and level of exports-sales ratio. Our results show that all dimensions considered here may affect the sensitiveness of investment to cash flow. Large firms, stock market listed firms as well as firms with better export capacity are associated with inexistence or less credit restriction. Specifically, considering firms’ size, our results corroborate the economic theory prediction and empirical international literature. Furthermore, the influence of being listed in the stock market and export capacity is beyond any possible correlation with size. Even small and middle firms are not credit constrained when listed in the stock market or when the exports-sales ratio is higher.

  15. Enterprise Performance in Asia: Using firm-level data for Policy ...

    International Development Research Centre (IDRC) Digital Library (Canada)

    Enterprise Performance in Asia: Using firm-level data for Policy-making. Micro and small enterprises play a critical role in job creation and economic ... prevent gender-based violence, and make digital platforms work for inclusive development.

  16. LA SOCIEDAD COOPERATIVA: MOTIVACIÓN Y COORDINACIÓN. UN ANÁLISIS DESDE LAS TEORÍAS ECONÓMICAS DE LA EMPRESA Y LA ECONOMÍA SOCIAL. / THE COOPERATIVE FIRM: MOTIVATION AND COORDINATION. AN ANALYSIS FROM THE ECONOMIC THEORY OF THE FIRM AND THE SOCIAL ECONOMY

    Directory of Open Access Journals (Sweden)

    Carmen MARCUELLO SERVÓS

    2013-01-01

    Full Text Available Este trabajo analiza el contexto de motivación y coordinación en la sociedad cooperativa, desde las teorías económicas de la empresa, utilizando como marco de referencia los Principios Cooperativos planteados por la Alianza Cooperativa Internacional y los aspectos mas relevantes planteados por la literatura relacionada al tema. Para esto se desarrolla un modelo de análisis compuesto de cuatro dimensiones asociadas a: gobierno organizacional, pertenencia a la organización, obtención y utilización de recursos y relaciones internas y con el entorno, las ventajas e inconvenientes identificados dentro del contexto de motivación y coordinación de la sociedad cooperativa. Se concluye que las cooperativas constituyen un modelo organizacional que ubica a las personas en el centro del análisis de la actividad económica y que sus desventajas surgen a partir de criterios de evaluación que no siempre se ajustan a la naturaleza de estas organizaciones, haciendo necesario ampliar el criterio de análisis de organizaciones con características diferentes a la empresa convencional. / This paper analyzes both the motivation and the coordination context in the cooperative firm, from the economic theory of the firm and the theory related to social economy, using two framework: 1 the cooperative principles raised by the International Cooperative Alliance (ICA, 2005 and 2 the most relevant aspects proposed by the economic literature related to the subject. From this emerges an analysis model composed by four dimensions related to: Organizational Governance, Organizational Membership, Obtainment and Utilization of Resources and Internal and environmental relationship, the advantages and disadvantages identified on the cooperative firm coordination and motivation context. We conclude that the cooperative firm is an organizational model that locates the persons in the middle of the economic activity. Likewise, its disadvantages emerge from the consideration

  17. Estimating risk propagation between interacting firms on inter-firm complex network.

    Science.gov (United States)

    Goto, Hayato; Takayasu, Hideki; Takayasu, Misako

    2017-01-01

    We derive a stochastic function of risk propagation empirically from comprehensive data of chain-reaction bankruptcy events in Japan from 2006 to 2015 over 5,000 pairs of firms. The probability is formulated by firm interaction between the pair of firms; it is proportional to the product of α-th power of the size of the first bankrupt firm and β-th power of that of the chain-reaction bankrupt firm. We confirm that α is positive and β is negative throughout the observing period, meaning that the probability of cascading failure is higher between a larger first bankrupt firm and smaller trading firm. We additionally introduce a numerical model simulating the whole ecosystem of firms and show that the interaction kernel is a key factor to express complexities of spreading bankruptcy risks on real ecosystems.

  18. Estimating risk propagation between interacting firms on inter-firm complex network.

    Directory of Open Access Journals (Sweden)

    Hayato Goto

    Full Text Available We derive a stochastic function of risk propagation empirically from comprehensive data of chain-reaction bankruptcy events in Japan from 2006 to 2015 over 5,000 pairs of firms. The probability is formulated by firm interaction between the pair of firms; it is proportional to the product of α-th power of the size of the first bankrupt firm and β-th power of that of the chain-reaction bankrupt firm. We confirm that α is positive and β is negative throughout the observing period, meaning that the probability of cascading failure is higher between a larger first bankrupt firm and smaller trading firm. We additionally introduce a numerical model simulating the whole ecosystem of firms and show that the interaction kernel is a key factor to express complexities of spreading bankruptcy risks on real ecosystems.

  19. 48 CFR 2436.602 - Selection of firms for architect-engineer contracts.

    Science.gov (United States)

    2010-10-01

    ... architect-engineer contracts. 2436.602 Section 2436.602 Federal Acquisition Regulations System DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT SPECIAL CATEGORIES OF CONTRACTING CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS Architect-Engineer Services 2436.602 Selection of firms for architect-engineer contracts. ...

  20. Inherited Family Firms and Management Practices: The Case for Modernising the UK's Inheritance Tax

    OpenAIRE

    [multiple or corporate authorship].

    2006-01-01

    What role does hereditary family management play in the long-standing poor managerial performance of UK firms? We address this question using a new survey of the management practices of over 730 medium-sized manufacturing firms in France, Germany, the UK and the United States undertaken jointly by the Centre for Economic Performance and McKinsey & Company. • Analysis of the data reveals that firms that are family-owned but not managed by family members are typically well managed. An example i...

  1. On Transfer Pricing: Conceptual Thoughts on the Nature of the Multinational Firm

    OpenAIRE

    Brem Markus; Tucha Thomas

    2005-01-01

    This paper deploys Transaction Cost Economics (TCE) to elaborate on the shortcomings of “mainstream” transfer pricing in multinational firms. Departing from the notion that multinationals increasingly (re-)organize their business along multinational value chains irrespective of jurisdictional borders, the paper discusses the nature of the multinational firm and the problem of choosing the right intra-group (transfer) price. The mainstream transfer pricing approach derived from the Arm´s Lengt...

  2. Do institutions, ownership, exporting and competition explain firm performance?

    Czech Academy of Sciences Publication Activity Database

    Commander, S.; Švejnar, Jan

    -, č. 65 (2008), s. 1-73 ISSN N Institutional research plan: CEZ:AV0Z70850503 Keywords : firm performance * ownership * competition * export Subject RIV: AH - Economics http://deepblue.lib.umich.edu/bitstream/2027.42/60636/4/IPC-working%20paper-065-CommanderSvejnar.pdf

  3. Bribery environments and firm performance: evidence from CEE countries

    Czech Academy of Sciences Publication Activity Database

    Hanousek, Jan; Kochanova, A.

    2016-01-01

    Roč. 43, June (2016), s. 14-28 ISSN 0176-2680 R&D Projects: GA ČR(CZ) GBP402/12/G097 Institutional support: PRVOUK-P23 Keywords : bureaucratic corruption * firm performance * CEE countries Subject RIV: AH - Economics Impact factor: 1.098, year: 2016

  4. Resources access needs and capabilities as mediators of the relationship between VC firm size and syndication

    NARCIS (Netherlands)

    E. Verwaal (Ernst); J. Bruining (Hans); D.M. Wright (Mike); S. Manigart (Sophie); A. Lockett (Andy)

    2010-01-01

    textabstractDrawing from the resource-based view and transaction costs economics, we develop a theoretical framework to explain why small and large firms face different levels of resource access needs and resource access capabilities, which mediate the relationship between firm size and hybrid

  5. Transformation of Manufacturing Firms to Servitisation Firms

    DEFF Research Database (Denmark)

    Lin, Chih-Cheng; Ma, Zheng; Tanev, Stoyan

    2014-01-01

    It is crucial for the manufacturing SMEs to reconsider their business strategy in order to be able to launch customer-centric solutions. This ability is associated with a paradigm shift from a product-orientation to service-orientation. One of the major challenges to success in transforming...... a traditional manufacturing firm to service-oriented firms is the conspicuous lack of publications in this research stream. Applying a case study research approach, this study explores the transformation model for manufacturing SMEs to servitisation firms by adopting a network approach, and reveals...

  6. The myth of the stay-at-home family firm : How family-managed SMEs can overcome their internationalization limitations

    NARCIS (Netherlands)

    Hennart, Jean-Francois; Majocchi, A.; Forlani, E.

    The prevalent view among family-firm internationalization scholars is that family management discourages internationalization. This is because selling abroad is said to require more specialized managers and more resources than selling at home, and yet family firms are unwilling to recruit non-family

  7. Coping with the Crisis: Recent Evolution in Danish Firms' International Trade Involvement, 2000-2010

    DEFF Research Database (Denmark)

    Abreha, Kaleb Girma; Smeets, Valerie Anne Rolande; Warzynski, Frederic Michel Patrick

    of products exported and markets served) and scale of exporting activities; considerable dominance of multi-product and multi-destination firms; existence of carry-along trade; the prevalence of core and peripheral products in exports; a small role of economy-wide entry and exit of firms and products......Using a highly disaggregated firm-product-destination level data from Denmark, we document salient features of Danish international production in the recent decade. These include systematic variation in export participation of firms across industries; positive correlation between the scope (number......, and a sizable role of firm-level adding and dropping of products and product-destination combinations as a margin of trade adjustment. Finally, we show that firms responded to the latest economic shock mainly by adjusting the scale of exports and imports. At the same time, changing their products and product-destination...

  8. [Micro-simulation of firms' heterogeneity on pollution intensity and regional characteristics].

    Science.gov (United States)

    Zhao, Nan; Liu, Yi; Chen, Ji-Ning

    2009-11-01

    In the same industrial sector, heterogeneity of pollution intensity exists among firms. There are some errors if using sector's average pollution intensity, which are calculated by limited number of firms in environmental statistic database to represent the sector's regional economic-environmental status. Based on the production function which includes environmental depletion as input, a micro-simulation model on firms' operational decision making is proposed. Then the heterogeneity of firms' pollution intensity can be mechanically described. Taking the mechanical manufacturing sector in Deyang city, 2005 as the case, the model's parameters were estimated. And the actual COD emission intensities of environmental statistic firms can be properly matched by the simulation. The model's results also show that the regional average COD emission intensity calculated by the environmental statistic firms (0.002 6 t per 10 000 yuan fixed asset, 0.001 5 t per 10 000 yuan production value) is lower than the regional average intensity calculated by all the firms in the region (0.003 0 t per 10 000 yuan fixed asset, 0.002 3 t per 10 000 yuan production value). The difference among average intensities in the six counties is significant as well. These regional characteristics of pollution intensity attribute to the sector's inner-structure (firms' scale distribution, technology distribution) and its spatial deviation.

  9. Essays in economics: 1. Pre-committed government spending and partisan politics. 2. Investment in energy efficiency: Do the characteristics of firms matter? 3. Information processing and organizational structure

    Science.gov (United States)

    Watkins, William Edward, Jr.

    1. Spending commitments requiring future outlays are important for understanding partisan politics because they prevent a conservative government from scaling back spending programs. In a one-government-good model, a "stubborn liberal" policy maker can use precommitted spending to prevent a later conservative government from imposing spending cuts. In a model where parties differ about spending priorities, re-election uncertainty creates a bias towards higher government spending and higher taxes. 2. The literature on energy efficiency provides examples of profitable technologies that are not universally adopted. Theory indicates that firms should undertake all investments with a positive net present value, and that the discount rate for computing the present value of a project should be the return available on other projects in the same risk class, not on characteristics of the firm. This model is tested by examining whether firms' characteristics influence their decision to join the Environmental Protection Agency's Green Lights program. A discrete choice regression is estimated over a sample of participating and non-participating firms. Missing values in the data matrix are replaced with multiple imputations using the EM algorithm. The results show that: (1) substantial improvements in the power of hypothesis tests can be achieved through imputation of missing data, and (2) characteristics of firms do affect their decision to join Green Lights. 3. Standard theories of the firm stress profit maximization as the foundation for derivation of predictable behavior. Yet evidence continues to accumulate that firms do not act as required by the neoclassical framework. Instead of being represented by ever more elaborate maximization models, the firm can be modeled simply as a network of information-processing agents. The actions of the firm are then a function only of the network structure and the information-processing capabilities of the agents. This approach can be

  10. Female Directors and Firm Performance: Evidence from UK Listed Firms

    Directory of Open Access Journals (Sweden)

    Pananda Pasaribu

    2017-08-01

    Full Text Available The impact of female directors on firm performance has lacked consistency in the previously conducted empirical studies, which may be due to the endogeneity problem, or certain characteristics (i.e. governance, industry, competition. This study examines the relationship between female directors and firm performance by addressing those problems. This study analyses all non-financial UK listed firms during the period 2004-2012 and employs several econometric models. The regression results indicate that there is little evidence that female directors have a positive and strong relationship with firm performance. But, further analysis reports that the UK’s small listed firms experience a positive significant effect, because small firms do not suffer from the problem of over-monitoring and they have more flexibility in composing their boards of directors.

  11. Firm Culture and Leadership as Firm Performance Predictors : a Resource-Based Perspective

    NARCIS (Netherlands)

    Wilderom, C.P.M.; van den Berg, P.

    2000-01-01

    In this study, we tested part of the resource-based view of the firm by examining two 'soft' resources, firm culture and top leadership, as predictors of 'hard' or bottom-line firm performance.Transformational top leadership was found to predict firm performance directly while the link between firm

  12. Determinants of corporate cash holdings: Evidence from Portuguese publicly traded firms

    Directory of Open Access Journals (Sweden)

    Fernandes, Filipa

    2017-05-01

    Full Text Available This paper investigates the determinants of cash holdings of publicly traded Portuguese firms. We find that such firms hold less cash than similar companies operating in countries where both shareholders and creditors’ rights are more tightly protected by the law. In addition, our regression results suggest that leverage, other liquid assets, and firm growth are negatively correlated with our sample firms’ cash holdings whereas long-term debt and financial distress are positively correlated. Our findings cannot be reconciled with just one of the existent theories (trade-off, pecking order and free cashflow theory, and emphasize the importance of a country’s legal, institutional, and economic environment for explaining firms’ cash holdings decisions.

  13. Political perspectives of relationship networks to internationalization of firms in an emerging economy

    Directory of Open Access Journals (Sweden)

    Jefferson Marlon Monticelli

    2017-08-01

    Full Text Available The neo-institutional theory has been used to explain inter-organizational networks related phenomena from the economic and sociological perspectives. The political perspective has not been often used to study institutional contexts of networks. We aim to analyze the decision-making of the formal institutions in the internationalization process of firms in an emerging economy from a political bias. For the empirical field of study, we considered the Brazilian wine industry. Starting from a case study with twenty-three interviews with representatives of wineries and entities of this industry, our paper furthers the understanding of how institutions influence the internationalization of firms in an emerging economy. Based on the political perspective of the neo-institutional theory, our study describes how institutions, mainly the government, can influence an industry. Government cannot afford resources to benefit or protect all the industries, as well as cannot provide incentives to all firms, and those that are supported will lose competitiveness. For the firms, the choices are based on trying to achieve economic advantages through political influences. For the institutions, the choices are based on political influences considering institutional strategies.

  14. Corporate Stability and Economic Growth

    OpenAIRE

    He, Kathy S.; Morck, Randall; Yeung, Bernard

    2003-01-01

    Greater instability in a country's list of top corporations is associated with faster economic growth. This faster growth is primarily due to faster growth in total factor productivity in industrialized countries, and faster capital accumulation in developing countries. These findings are consistent with the view that economic growth is more closely tied to the rise of new large firms than to the prosperity of established large firms. Although a stable list of leading corporations is highly c...

  15. When the firm prevents the crash: Avoiding market collapse with partial control.

    Science.gov (United States)

    Levi, Asaf; Sabuco, Juan; A F Sanjuán, Miguel

    2017-01-01

    Market collapse is one of the most dramatic events in economics. Such a catastrophic event can emerge from the nonlinear interactions between the economic agents at the micro level of the economy. Transient chaos might be a good description of how a collapsing market behaves. In this work, we apply a new control method, the partial control method, with the goal of avoiding this disastrous event. Contrary to common control methods that try to influence the system from the outside, here the market is controlled from the bottom up by one of the most basic components of the market-the firm. This is the first time that the partial control method is applied on a strictly economical system in which we also introduce external disturbances. We show how the firm is capable of controlling the system avoiding the collapse by only adjusting the selling price of the product or the quantity of production in accordance to the market circumstances. Additionally, we demonstrate how a firm with a large market share is capable of influencing the demand achieving price stability across the retail and wholesale markets. Furthermore, we prove that the control applied in both cases is much smaller than the external disturbances.

  16. Factors Stimulating Internationalisation of Firms: An Attempted Holistic Synthesis

    Directory of Open Access Journals (Sweden)

    Magdalena Belniak

    2015-06-01

    Full Text Available The main goal of this paper is the critical and synthetic analysis of internationalisation process factors, with reference to business management. It presents a systematic review of the most important relational ideas in regard to factors of firm-level internationalisation. The text includes the synthesis of previous academic studies and results of empirical researches on internationalisation factors. The motives for going international are explained in reference to external and internal factors. Different definitions of understanding external factors of internationalisation of firms are discussed, among them (i framework factors (market, cost, governmental, competitive and additional factors, (ii conditioning factors (factor and demand conditions, related and supporting industries, firm strategy, structure and rivalry as well as (iii general environment factors (economic environment, demographic environment, political and legal environment, technological, natural and socio-cultural environment. Internal factors of internationalisation are mostly rooted in the resource-based view. Motives for going international mainly depend on top management team, international resources and firms specifics. The paper underlines that there are numerous factors, both external and internal, which influence international activities of firms. Despite the fact that the decision to internationalize is focused on specific motives and goals, the role of managers is crucial.

  17. INNOVATION AND DIFFUSION IN SMALL FIRMS - THEORY AND EVIDENCE

    NARCIS (Netherlands)

    NOOTEBOOM, B

    1994-01-01

    The article provides an inventory of the strengths and weaknesses of small firms in a dynamic context. To do this it considers verbal accounts of the processes of innovation and diffusion, as well as quantitative studies testing cause-effect relations. ft consider both economic and noneconomic

  18. Firm Innovation and the Ratchet Effect Among Consumer Packaged Goods Firms

    OpenAIRE

    Christine Moorman; Simone Wies; Natalie Mizik; Fredrika J. Spencer

    2012-01-01

    We consider how public firms influence their stock market valuations by timing the introduction of innovative new products. Our focus is on innovation ratchet strategy --firms timing the introduction of innovations in order to demonstrate an improvement in the number of introductions over time. We document that public firms use an innovation ratchet strategy more often than do private firms and that the stock market rewards public firms for doing so. These rewards from the stock market, howev...

  19. Explaining 'Inertia' in R&D internationalisation: Norwegian firms and the role of home country-effects

    OpenAIRE

    Narula,Rajneesh

    2000-01-01

    We ask why firms from certain countries show a higher propensity to centralise their R&D activities athome than firms from other countries, using the example of Norway. We highlight that it is the interplaybetween the industrial structure and political and economic orientation of the home economy that plays animportant role in how firms engage in both home and overseas activities, including R&D. In general, nationalsystems of innovation (NSI) and industrial and technological specialisation of...

  20. A CONCEPTUAL APPROACH TO ECONOMIC AGGLOMERATIONS

    Directory of Open Access Journals (Sweden)

    Mădălina-Ștefania Dîrzu

    2012-09-01

    Full Text Available Technological progress and rapid structural adjustments have characterized a lot of economies in the last century and they still feature pronounced structures. An important observation is that economic activities tend to agglomerate in space as a result of some kind increasing returns, forming eventually economic agglomerations. When various companies gather together, they establish specific forms of interaction. Increasing returns produce when this mutual interplay creates positive externalities for those firms which operate into an agglomeration. In this context, it is crucial to raise a question: what is an economic agglomeration and what do different scientists imply when using the concept? The phenomenon of agglomeration has attracted researchers from various disciplines employing a hybrid set of analytical perspectives. This whole framework is still puzzled with contradictory conceptualizations which are often used in an ambiguous way. Scientists tend to utilize notions such as agglomeration, cluster, territorial network, specialization, concentration somewhat interchangeably and with little concern about how to operationalize them. To shed a light on this issue, the aim of this paper is to provide a comprehensive analyze of different theoretical framework in which economic agglomerations have been debated and researched.

  1. ESTIMATION OF THE KNOWLEDGE SPILLOVER EFFECTS BETWEEN FIRMS IN BIO-RELATED INDUSTRIES

    OpenAIRE

    Kim, Hanho; Kim, Jae-Kyung

    2005-01-01

    Knowledge spillover is a kind of externality originating from imperfect appropriation of R&D performances, which implies that the knowledge created by one agent could be transmitted to other related agents by affecting their R&D or other economic performances. For the estimation of knowledge spillover effects based on firm-level patent data between firms in bio-related industries, patents production function, as a proxy of knowledge production function, is formulated and estimated. Knowledge ...

  2. LITERATURE REVIEW ON CORPORATE GOVERNANCE - FIRM PERFORMANCE RELATIONSHIP

    Directory of Open Access Journals (Sweden)

    Pintea Mirela-Oana

    2015-07-01

    Full Text Available In the matter of corporate governance reforms, an important aspect is whether the implementation of corporate governance principles and codes has a positive impact on firm performance. The literature testing the relationship between different corporate governance mechanisms and firm performance is extensive. Over time, a lot of corporate governances mechanisms were studied in relation to firm performance and the most used are: CEO duality, board size, proportion of non- executive directors, board committees, ownership structure and concentration, managers’ compensation and incentives schemes. With time, different authors began to use more comprehensive measures for corporate governance rather than a single variable or a single governance mechanism, the so called corporate governance indexes. Regarding performance there are three main approaches to firm performance in social science research: research based on market prices, accounting ratios and total factor profitability.The most used performance measures are: Tobin’s Q, return on equity, return on asset and economic value added. In our paper, we present the studies undertaken since the 1990’s regarding the relationship between different mechanisms of corporate governance and firm performance and between corporate governance index and performance for both developed and developing countries around the world. Regarding the working tools used in this theoretical research we can mention the longitudinal method, by presenting the evolution in time of empirical studies on the research topic and the comparative method used in presenting the resulys of different studies mentioned in our paper. The results of the studies are inconclusive, some studies founded a strog positive relation, others founded a negative correlation between corporate governance and firm performance, while a third category of studies didn’t found any relationship at all. We used participative observation method by issuing

  3. The equity of the initial allocation of the greenhouse gases releases permits to firms: an approach of the public choice by the moral philosophy and the economic analysis

    International Nuclear Information System (INIS)

    Leseur, A.

    2004-10-01

    In order to fight against the climatic change, the European directive 87/2003 provides for 2005 the adoption of a European market of negotiable releases permits but entrusts each state with choosing the method of permits allocation to the concerned domestic firms. Underwriting the reaching of the aim of pollution abatement in minimizing the global costs developed, the permits market is an economical tool of environmental policy chose for this double efficiency. But on which criteria determine the initial allocation? One of the most pertinent referents is the equity. What are the requirements for this in this situation? Seizing on this question, the thesis considers the contribution that can bring the moral and political philosophy, in particular the theories of the distributive justice, taking into account of two important aspects of the problem: 1)the property to distribute has particular characteristics, particularly the negotiability; 2)the attributing agents are firms and not the physical persons. In the first part, the thesis reveals, via the economical analysis, the operation of a permit competitive market and identifies the stakes, both at the pollution decision level than of the firms production in various contexts of market, and at those of the input or output decisions. In the second part, this work deals with the justice theories. The approach consists at first to establish their relevance showing that a firm can be considered as a moral entity, and be subject of duties and rights. Then, the question is to adapt the theories argumentation to this entity. This work emphasizes particularly the idea of a right to the chances equality for the competitiveness. It is then in the tension between this right and the duty to comply with the environmental policy that is found the equitable allocation. (O.M.)

  4. Foreign Firms, Domestic Wages

    DEFF Research Database (Denmark)

    Malchow-Møller, Nikolaj; Markusen, James R.; Schjerning, Bertel

    to the firm?s productivity. Foreign-owned firms have, on average, higher productivity in equilibrium due to entry costs, which means that low-productivity foreign firms cannot enter. Foreign firms have higher wage growth and, with some exceptions, pay higher average wages, but not when compared to similarly...... large domestic firms. The empirical implications of the model are tested on matched employer-employee data from Denmark. Consistent with the theory, we find considerable evidence of higher wages and wage growth in large and/or foreign-owned firms. These effects survive controlling for individual...... characteristics, but, as expected, are reduced significantly when controlling for unobservable firm heterogeneity. Furthermore, acquired skills in foreign-owned and large firms appear to be transferable to both subsequent wage work and self-employment...

  5. Towards a better understanding of the dynamics of value creation in R&D intensive small firms

    NARCIS (Netherlands)

    Casault, Sébastien; Groen, Aard J.; Linton, Jonathan D.

    2017-01-01

    Standard financial and economic theories suggest that the stock value of R&D intensive High Technology Small Firms (HTSF) undergo a geometric random walk. Such a model neglects to account for observed periods where firms experience large fluctuations due to uncertainty related to its R&D activities,

  6. THE ROLE OF THE SUSTAINABILITY REPORT IN CAPITALISTIC FIRM

    Directory of Open Access Journals (Sweden)

    Gazzola Patrizia

    2011-12-01

    Full Text Available The aim and the central topic of this research is the understanding of the importance of Sustainable growth strategy approach as a driver to achieving top-line growth and bottom-line results. The main contributions of this line of research are to demonstrate the idea that the sustainability report is an instrument for social interaction and social cost/benefit analysis and to show that such an instrument can describe, comment on and sum up the firm's own behaviour aimed at sustainable growth. The work integrates the CSR management literature with a large body of research in accounting and finance. This study draws from theoretical research about the nature of the corporation, its role in society and contributions by recent research on corporate social, environmental, ethical responsibility and accountability. Our research demonstrates that the economic existence of the capitalistic firm as a producer of economic and financial values must be appreciated, in terms of the sustainability of the development path of the firm, and evaluated by a wide range of social performance measures of outcome or benefit. It also shows how the Sustainability report emphasizes the link between firm and territory, and affirms the concept of the firm as an entity that, by pursuing its own prevailing interests, contributes to improving the quality of life of the members of the society in which it operates. This paper contributes primarily to the academic debate by reviewing past attempts to theorise CSR and stakeholder dialogue, identifying gaps and weaknesses, and proposing the Sustainable Growth implementation processes for the creation of value. It also highlights the relationship between CSR activity and corporate image and performance. The research shed light on aspects of CSR activity for which little is known and much less is being understood; namely, the channels and the mechanisms through which the CSR impact is perceived and realized for creation of value

  7. Do family CEOs impact firm value? An empirical analysis of Indian family firms

    Directory of Open Access Journals (Sweden)

    Lakshmi Kalyanaraman

    2015-01-01

    Full Text Available We study the association between family CEO and firm value on a sample of 288 family firms during the 6-year period, from 2009 to 2014. The sample is drawn from domestic private companies belonging to non-financial services sector included in the NSE CNX 500 index. We find that family CEO has no significant association with firm value, when the family is not the majority shareholder. Family shareholding has positive relationship with firm value, but does not moderate the relationship of family CEO with firm value. We show that family CEO and firm value are negatively related when the family does not hold majority equity stake in the family firm. While family shareholding has no significant relationship with firm value, it has a negative interaction effect on the relationship between family CEO and firm value. The research findings have important implications for family firms as well as the nonfamily investors in the family firms.

  8. The Importance of Geographical Proximity for New Product Development Activities within Inter-firm Linkages

    DEFF Research Database (Denmark)

    Dahlgren, Johan Henrich

    important as a resource and where collaboration partners are important. Hypotheses are tested by means of a quantitative analysis of a data set containing information about 4842 domestic and international inter-firm linkages of Danish firms in manufacturing industries. The findings in this analysis exhibit...... for international linkages. It is further suggested closer geographical distance for inter-firm linkages with medium and high level of interaction, suppliers or customers accounting for more than one third of total purchases or sales, and for linkages lasting for at least 10 years.Key words: capabilities, economics...

  9. Estimating Security Betas Using Prior Information Based on Firm Fundamentals

    NARCIS (Netherlands)

    Cosemans, Mathijs; Frehen, Rik; Schotman, Peter; Bauer, Rob

    2016-01-01

    We propose a hybrid approach for estimating beta that shrinks rolling window estimates toward firm-specific priors motivated by economic theory. Our method yields superior forecasts of beta that have important practical implications. First, unlike standard rolling window betas, hybrid betas carry a

  10. LEARNING, ENTREPRENEURSHIP AND INNOVATION ORIENTATIONS IN TURKISH FAMILY-OWNED FIRMS

    Directory of Open Access Journals (Sweden)

    Erkut Altindag

    2011-11-01

    Full Text Available Globalization is forcing family-owned companies need to be more flexible and faster organization structures to respond effectively to the customers’ growing various types needs on the certain line of producing high quality goods and services these days. With the start of a new paradigm era in strategic management field, family- owned firms began to choose different tools to maximize their sustainable performance against rivals. These tools include special strategic orientations including learning, entrepreneurship and innovation implications. Our study tries to explore the effects of strategic orientations implications into firm performance and their effects on growth and financial performance in Turkish family-owned companies.

  11. Corporate social responsibility disclosure—choices of report and its determinants: Empirical evidence from firms listed on the Stock Exchange of Thailand

    Directory of Open Access Journals (Sweden)

    Suneerat Wuttichindanon

    2017-05-01

    Full Text Available This research investigated the report choices used for corporate social responsibility (CSR disclosure and the determinants of CSR disclosure of firms listed on the Stock Exchange of Thailand (SET. Since 2014, firms listed on the SET have been required to disclose CSR in either an annual registration statement or a separate report called a sustainability report. It was, therefore, noteworthy to examine the choices these firms chose in the first year of disclosure. The independent variables were hypothesized under three dimensions—shareholder power (government ownership, corporate visibility (firm size and age, and economic performance (profitability and leverage. The results revealed that government-owned firms or large firms are more likely to prefer the sustainability report. In addition, content analysis of CSR disclosure was conducted in three industries: resources, technology and industrial products. Nine CSR components with 43 indices were developed and used to score the disclosure of firms in the three industries. The three highest CSR disclosure items found were declaring concerns of human rights and equality, having a policy of anti-corruption, and generous giving. Moreover, this study found a positive relationship between the number of CSR disclosure items and government ownership; however, neither firm age nor economic performance in the year before was related to the CSR disclosure. These research findings support the proposition of the stakeholder theory affirming that firms carry out CSR activities because of their stakeholders' influence, and regardless of economic performance. In Thailand, stakeholders' influence and corporate visibility are significant determinants of the CSR disclosure.

  12. Economic rationale for an emission allowance trading program

    International Nuclear Information System (INIS)

    Anon.

    1992-01-01

    The assumption behind the economic model of allowance trading is that managers of firms are better at solving pollution abatement problems than government overseers. This is because firms know more than an environmental regulator about their own operations and because the profit motive, rather than direct government mandate of compliance decisions, may be more effective at minimizing emission control costs. The allowance trading program in the CAAA is designed to provide firms with an incentive to make good choices about how to reduce emissions by allowing the firm to reduce compliance cost and profit from trading. This chapter discusses the benefits of allowance trading and summarizes the economic literature on tradable pollution rights. 17 refs., 2 figs

  13. Competitive actions of small firms in a declining market

    Science.gov (United States)

    Matthew Bumgardner; Urs Buehlmann; Albert Schuler; Jeff Crissey

    2011-01-01

    Small firms, through their flexibility advantages and closeness to customers, potentially can increase their sales volume in economic downturns. The decline in U.S. housing construction (beginning in 2006) provided an opportunity to develop and test four hypotheses predicting the attributes and marketing actions associated with successful companies supplying housing...

  14. Pengaruh Family Control, Firm Size, Firm Risk, Dan Firm Life Cycle Terhadap Profitabilitas Dan Nilai Perusahaan Sektor Industri Barang Konsumsi

    OpenAIRE

    Servin, Servin

    2014-01-01

    This study aims to examine the effect of family control, firm size, firm risk, and firm lifecycle towards profitability and firm's value. Sampels were taken from 27 consumer goodscompanies, listed in Indonesia Stock Exchange, ranging from 2010 – 2012. The hypotheseswere tested using multiple regression analysis. In this study, profitability was measured byROA (Return on Asset) and firm's value was measured by Tobin's q. The result were, familycontrol and life cycle stage-growth had negative i...

  15. Economics Foundations for an Entrepreneurial Marketing Concept

    DEFF Research Database (Denmark)

    Duus, Henrik Johannsen

    1997-01-01

    and its strategy, parts of the essence of the marketing concept are being challenged. This article proposes that a new entrepreneurial marketing concept based on an ex-ante supply-push conception of marketing, and which focuses on future market demands and the future capabilities of the firm......This article examines developments in economics and strategic management theory and discusses their implications for marketing. Recent advances in economic theory have suggested new inputs to marketing management theory and practice. With the advance of the “new economic theories” of the firm......, will be capable of solving these problems. Possible elements in a new approach are suggested. The focus is on industrial marketing, very long-term and very general environmental analysis, and on innovation, industrial transformation and the building of the competencies of the firm....

  16. Estimating security betas using prior information based on firm fundamentals

    NARCIS (Netherlands)

    Cosemans, Mathijs; Frehen, Rik; Schotman, Peter; Bauer, Rob

    We propose a hybrid approach for estimating beta that shrinks rolling window estimates towards firm-specific priors motivated by economic theory. Our method yields superior forecasts of beta that have important practical implications. First, hybrid betas carry a significant price of risk in the

  17. Gender premium and economic downswings

    NARCIS (Netherlands)

    Shehu, Elona; Shahzad, Khurram; Rubbaniy, Ghulame; Perveen, Abida

    2017-01-01

    Using data of 2140 US firms over the period of 1998–2012, we investigate if gender–compensation relationship exists in executives’ compensation and bonus plans of the US firms; and whether this compensation difference is more visible during economic downswings. We find that not only the gender

  18. LOCALIZATION OF THE GLOBAL ECONOMIC SYSTEM IN GLOBAL CITIES

    Directory of Open Access Journals (Sweden)

    I. A. Vershinina

    2017-01-01

    Full Text Available The article deals with the S. Sassen’s research and writing focuses on globalization (including social, economic and political dimensions, global cities, migration, the new networked technologies, and changes within the liberal state that result from current transnational conditions. The main features of the global cities are examined on examples. The global economy is far from being placeless, has and needs very specific territorial insertions, and that this need is sharpest in the case of highly globalized and electronic sectors such as finance. Large corporate firms needed access to a whole new mix of complex specialized services almost impossible to produce in-house as had been the practice. This new economic logic would generate high-level jobs and lowwage jobs; it would need far fewer middle-range jobs than traditional corporations. The transformation of the socio-economic systems at the global and national levels, the associated changes of urban communities life is considered.

  19. Does Tax Haven FDI Influence Firm Performance?

    OpenAIRE

    Dewit, Gerda; Jones, Chris; Leahy, Dermot

    2017-01-01

    This paper provides theoretical and empirical evidence of the link between the use of tax haven subsidiaries by multinational enterprises (MNEs) and firm performance, as measured by total factor productivity. We find that the use of tax havens has no impact on economic dynamism for a sample of MNEs from across the OECD. Our results have significant policy implications in terms of the role of tax havens in the world economy.

  20. The methodology of energy policy-making in economical models

    Energy Technology Data Exchange (ETDEWEB)

    Poursina, B.

    1998-08-01

    Scrutiny and careful study in energy is a subject that in human science has been investigated from different point of view. The expansion of this research, because of its importance and effect in different dimensions of human life, has also arrived in the field of political and economic sciences. Economics evaluates the energy phenomenon at the side of elements such as labor, capital and technology in the production functions of firms. The nature of these discussions is mainly from the viewpoint of micro analyses. Nevertheless, the variation and challenges concerning energy and environment during the recent decades and the economists` detailed investigations in its analysis and evaluation have led to the arrival of energy discussions in a special shape in macro planning and large economic models. The paper compares various energy models - EFDM, MEDEE, MIDAS and HERMES. This extent of planning and consequently modelling which lacks a background in the processes of economic researches, deals with analysis of energy and economics reacting effects. Modelling of energy-economy interaction and energy policy in modeling macroeconomics large models are new ideas in energy studies and economics. 7 refs., 6 figs., 1 tab.

  1. Statistical Monitoring of Innovation Capacities of the Serbian Firms as Decision- Making Tool

    Directory of Open Access Journals (Sweden)

    Marija Mosurović Ružičić

    2016-12-01

    Full Text Available The subject of this paper is to underline the importance of using data obtained via the official statistical reports that is based on Oslo manual methodology manual (Community Innovation Survey for strategic decision making both at the national level as well as at the level of the company. These data enable monitoring and evaluating the innovation capacity of the firms with the aim of improving it. The paper, also, points out the importance of the firm's innovation capacity assessment as an impeller of economic development based on knowledge. By the data obtained by presented methodology, national decision makers can clearly comprehend and improve the direction of innovation policy and its integration into the wider policy framework that encourage economic development based on innovation. At the firm level, the use of data implies development of professional management of the innovative firm that will be able to respond to problem situations of the modern economy through the formulation of appropriate strategies. The paper analyzed data from three statistical periods during which the Oslo manual methodology had been applied in Serbia. Analysis has shown that the data obtained in this way are not sufficiently used by decision-makers an occasion rating innovation capacity of enterprises.

  2. Determinants of Working Capital Investment: A Study of Malaysian Public Listed Firms

    Directory of Open Access Journals (Sweden)

    Shaista Wasiuzzaman

    2013-06-01

    Full Text Available The paper examines the determinants of the level of investment in net operating working capital by firms in Malaysia. Data from 192 companies spanning a period of 8 years (2000- 2007 are analysed using the OLS regression technique for this purpose. The study finds that in times of economic expansion, younger and smaller firms with less tangible assets, low leverage, high immediate sales growth, high operating cash flows, less volatile revenues and low levels of asymmetric information are likely to have the highest investments inoperating working capital. Board characteristics, namely size and the independence of the board, are not found to have any significant influence on the working capital investment of firms.

  3. Labour turnover and its effects on performance : an empirical test using firm data

    NARCIS (Netherlands)

    Glebbeek, A.C.; Bax, E.H.

    2002-01-01

    In this article we test the hypothesis that the relationship between labour turnover and the economic performance of the firm is bell-shaped: a turnover level too low has a negative effect and likewise does a level too high. Our analysis is based on economic performance data of 110 offices of a temp

  4. Default Risk and Firm Value of Shipping & Logistics Firms in Korea

    Directory of Open Access Journals (Sweden)

    Hyun Jung Nam

    2017-07-01

    Full Text Available As shipping and logistics industry is one of the core industries in Korea, the volume was ranked in the fifth highest in the world. However, shipping and logistics industry of Korea has suffered from default risk since Global Financial Crisis in 2008. This study examines the relationship between the default risk, as measured by the Altman K-Score, and firm value, as measured by the Return on Assets (ROA, of shipping and logistics firms in Korea and compares the impact of default risk on firm value between good financial health firms and poor financial health firms. As the trends of KScores over a ten-year periods, shipping and logistics firms in Korea register weak-to-moderate financial healthy rage. We find that Altman K-Score is significantly linked with firm value and also higher performing firms as measured by the ROA exhibit higher financial health as measured by KScore. Although nine years have been passed since Global Financial Crisis 2008, Korean shipping and logistics industry is still under the financial depression. This study proposes that systematic financial alert system of Korean shipping and logistics industry should be required to decrease default risk reflecting significance of Korean economy.

  5. How Firms Substitute for Authority in Strategic Decision-Making

    DEFF Research Database (Denmark)

    Dobrajska, Magdalena; Billinger, Stephan; Becker, Markus C.

    Strategic decisions are often made by multiple organizational members who form decision-making structures specialized for a given strategic decision. We study a series of strategic decisions in a business unit of a global Fortune 500 firm, identifying for each decision the hierarchical...... takes place in response to changes in decision characteristics, including decision complexity, decision importance, CEO proximity, and the degree to which a decision is routine. We show various manifestations of the substitution mechanism and discuss implications for strategic decision-making....... and departmental positions of all participating organizational members. We find that firms substitute between different structural components in decision-making structures to combine hierarchical authority with cross-departmental coordination and redundant knowledge. This substitution between structural components...

  6. Rwanda Economic Update, May 2013 : Maintaining Momentum with a Special Focus on Rwanda's Pathway Out of Poverty

    OpenAIRE

    World Bank

    2013-01-01

    The Rwanda economic update reports and synthesizes recent economic developments and places them in a medium term and global context. It analyzes the implications of these developments and policies for the outlook of Rwanda's economy. In this way, these reports contribute to the implementation of the Bank's Africa strategy. The economic update reports cover in each edition a special feature...

  7. Direct and indirect effects of ownership on firm-level environmental performance

    Czech Academy of Sciences Publication Activity Database

    Earnhart, D.; Lízal, Lubomír

    2007-01-01

    Roč. 45, č. 4 (2007), s. 66-87 ISSN 0012-8775 Institutional research plan: CEZ:AV0Z70850503 Keywords : ownership structure * firm-level environmental performance * transition economy Subject RIV: AH - Economics Impact factor: 0.413, year: 2007

  8. The Effectiveness and Economic Efficiency in the Context of Performance Management at the Firm Level

    Directory of Open Access Journals (Sweden)

    Mihaela-Cristina ONICA

    2012-11-01

    Full Text Available Considering that firm performance is incomplete without addressing associated risk to fulfill it, the main objective of this research is to underline the management contribution to the performance and risk of the analyzed enterprise. A detailed financial situation analysis, which are employing annual financial analysis procedures, underling the performance and risks influencing factors, are considering one starting point for addressing the issue. The introduced variables are insuring a whole vision of firm activity and an appropriate strategy for results significance.

  9. Diversification and control in emerging markets: The case of Chilean firms

    Directory of Open Access Journals (Sweden)

    Mauricio Jara-Bertin

    2015-10-01

    Full Text Available We analyze the effect of two types of corporate diversification (business diversification and ownership diversification on the market value of the Chilean firms. For a sample of 83 nonfinancial firms listed on the Santiago Stock Market from 2005 to 2013, we find a discount for both business and ownership diversification, which is consistent with that reported for other economic or institutional settings. Second, we find that the business diversification discount is related to the ownership structure and is due to the excess of the largest shareholders’ control rights. Third, we find that the ownership diversification discount becomes a premium when the ownership diversification enables the control of the affiliated firms. This effect can be explained by the improvement of internal capital markets that allows overcoming the limitations of Chilean external capital markets.

  10. On the Economics of Corporate Responsibility

    OpenAIRE

    Lundgren, Tommy

    2007-01-01

    This paper seeks to explore the economic mechanisms behind corporate social responsibility (CSR) in a micro-economic model of the firm. The motivation of this study is to shed some light on the potential causes of the observed phenomena of voluntary over-compliance among firms. We consider a few diferent models, both static and dynamic, to investigate how various assumptions about costs and benefits may aspect CSR behavior through a stock of goodwill capital. Our analysis show that in optimum...

  11. Founder Control, Ownership Structure and Firm Value: Evidence from Entrepreneurial Listed Firms in China

    Directory of Open Access Journals (Sweden)

    Lijun Xia

    2008-06-01

    Full Text Available In emerging markets, the deviation between the ultimate controlling shareholders' voting rights and their cash flow rights (hereafter “DVC” in the listed firms is quite prevalent. DVC could be introduced due to the ultimate controlling shareholders' opportunistic incentives, as well as by their incentives to improve firm efficiency. This study uses 229 listed firms ultimately controlled by individuals or families (hereafter “entrepreneurial firms” for 2004 in China, to investigate the effect of DVC on firm value and to determine whether it is different between founder and non-founder controlled firms. We find that DVC has a positive effect on firm value for founder controlled firms. This result implies that investors believe that their interests are better protected by founder controlled firms than by non-founder controlled firms.

  12. Firm Traits and Web Based Disclosures in Top Nigerian Firms

    Directory of Open Access Journals (Sweden)

    Bello Ayuba

    2016-02-01

    Full Text Available The use of the internet as a medium of dissemination of information to stakeholders is increasingly gaining grounds. This study extends existing literature on web disclosures by investigating the characteristics that predict the extent of web-based disclosures. In this study, corporate websites of top Nigerian firms are used as sources of data, while a regression analysis is employed to examine the extent of prediction. Results indicate that the firm size and industry type are significant determinants of web disclosures. However, other firm traits such as ownership dispersion and financial performance do not significantly explain the extent of internet disclosures. The study recommends that a regulatory template for corporate web disclosures be put in place by government regardless of the size or industry classification of the firm. This is with a view to considerably reduce agency conflicts arising from information asymmetry in publicly listed firms in Nigeria.

  13. The Internationalisation of Mainland Chinese Firms into Malaysia: From Obligated Embeddedness to Active Embeddedness

    OpenAIRE

    Guanie Lim

    2014-01-01

    "This paper examines the rationale by which mainland Chinese firms choose their coalition partners in their Malaysian ventures. I explore how, under certain political economic conditions, such cross-border investment and corporate tie-ups can be shaped to meet the Malaysian state's objectives. I argue that the Malaysian state has enjoyed success in the construction sector by nurturing cooperation between its carefully groomed government-linked companies and mainland Chinese firms. Government-...

  14. Firm size and taxes

    OpenAIRE

    Chongvilaivan, Aekapol; Jinjarak, Yothin

    2010-01-01

    The scale dependence in firm growth (smaller firms grow faster) is systematically reflected in the size distribution. This paper studies whether taxes affect the equilibrium firm size distribution in a cross-country context. The main finding is that the empirical association between firm growth and corporate tax (VAT) is positive (negative), with notable differences in the response of manufacturing firms and that of the others. We draw implications for recent debate on the impact of taxes and...

  15. Listing Specialization and Residential Real Estate Licensee

    OpenAIRE

    Leonard V. Zumpano; Ken Johnson; Randy I. Anderson

    2007-01-01

    Earlier research has found that specialization by real estate agents creates economies of scope for real estate firms. So far, however, no research has addressed this issue at the agent level. The question this research seeks to answer is whether specialization in one side of the real estate transaction increases agent income. The most important finding is that specialization has an asymmetric impact on earnings. Specializing in listings positively enhances agent income. In contrast, speciali...

  16. Cyclicality and Firm Size in Private Firm Defaults

    DEFF Research Database (Denmark)

    Jensen, Thais Lærkholm; Lando, David; Medhat, Mamdouh

    2017-01-01

    The Basel II/III and CRD IV Accords reduce capital charges on bank loans to smaller firms by assuming that the default probabilities of smaller firms are less sensitive to macroeconomic cycles. We test this assumption in a default intensity framework using a large sample of bank loans to private...

  17. The Real Effects of the Credit Constraints in the Economic Crisis

    DEFF Research Database (Denmark)

    Neamtu, Ioana; Westergård-Nielsen, Niels

    The great recession starting in 2008 has destroyed jobs and firms at an unprecedented scale in the Western world and in particular in the EU-area. The question to many has been if the economic policy could have been more supportive for a quicker return to normal job creation and destruction...... with 2000 Danish firms merged with register information on economic key variables for each firm and find that the existence of financial problems for the firm means that the firm is less likely to create jobs and more likely to destroy jobs. Furthermore, we find a clear indication of an effect of having...... a “bad banker” who will not give credit despite good performance measured by the z-score that indicates how close the firm is to bankruptcy....

  18. Corporate Cash Holdings and Adjustment Behaviour in Chinese Firms: An Empirical Analysis Using Generalized Method of Moments

    Directory of Open Access Journals (Sweden)

    Ajid ur Rehman

    2016-05-01

    Full Text Available This study is intended to find out the motives of cash holding in Chinese firms and theories associated with these motives. The study is unique because it not only estimates the adjustment speed of corporate cash holdings but also discuss several firm specific factors that affects cash holdings in Chinese firms with special reference to Chinese SOEs and NSOEs. An extensive set of panel data comprising 1632 A listed Chines firms, over a period from 2001 to 2013 are taken for analysis. The study reports a lower adjustment coefficient for Chinese firms compared to other developed nations. The study finds that target level of cash holdings in Chinese firms is better explained by Trade off and Pecking order theories. To cope with issues of endogeneity and serial correlation the study apply GMM and random effects model with an added AR (autoregressive term.

  19. Female Directors and Firm Performance: Evidence from UK Listed Firms

    OpenAIRE

    Pasaribu, Pananda

    2017-01-01

    The impact of female directors on firm performance has lacked consistency in the previously conducted empirical studies, which may be due to the endogeneity problem, or certain characteristics (i.e. governance, industry, competition). This study examines the relationship between female directors and firm performance by addressing those problems. This study analyses all non-financial UK listed firms during the period 2004-2012 and employs several econometric models. The regression results indi...

  20. SUSTAINABILITY REPORTING QUALITY OF INDIAN AND AMERICAN MANUFACTURING FIRMS: A COMPARATIVE ANALYSIS

    Directory of Open Access Journals (Sweden)

    Diganta Munshi

    2016-11-01

    Full Text Available The content analysis method has been adopted to study the pattern of reporting on sustainability indicators by 10 American and 10 Indian manufacturing firms in their sustainability reports prepared as per the GRI framework and published during 2011-2013. Scores of 2, 1 and 0 have been respectively assigned for full, partial and non disclosure of sub clauses of economic, environmentand social indicators to compute a SDI (sustainability disclosure index. Independent t test found a significant difference in the quality of sustainability disclosure of the sampled American and Indian manufacturing firms during 2011-13. The improvement/ deterioration in the quality of disclosure over the period were correlated with changes in performance parameters like EPS and ROA to examine if betterment in quality of sustainability reporting translates into financial performance of the firms. Multiple regression analysis was performed to determine the variables which explain the variation in the sustainability reporting quality of firms.

  1. Board leadership structure and firm performance: An examination of resource dependence role

    Directory of Open Access Journals (Sweden)

    Afzalur Rashid

    2011-01-01

    Full Text Available This study examines if the CEO duality influence the firm economic performance in Bangladesh and the moderating effects of board composition in the form of outside independent directors. While doing so, it examines the relationship between CEO duality and firm performance during the pre appointment of outside independent directors and post appointment of outside independent directors (the role of other corporate governance mechanism as moderating variable. The finding is that there is there is a negative (non-significant relationship between CEO duality and firm performance before appointment of outside independent directors in the board. However, independent leadership structure and firm performance is found to be positively related following the acquisition of resource (outside independent directors in the board supporting the ’resource dependence theory’. The findings of this study partially support the ’agency theory’ and ’resource dependence theory’ but do not support the stewardship theory. This study contributes to the literature on CEO duality in the context of less a developed country.

  2. Leverage, Investment, and Firm Growth

    OpenAIRE

    Larry Lang; Eli Ofek; Rene M. Stulz

    1995-01-01

    We show that there is a negative relation between leverage and future growth at the firm level and, for diversified firms, at the segment level. Further, this negative relation between leverage and growth holds for firms with low Tobin's q, but not for high-q firms or firms in high-q industries. Therefore, leverage does not reduce growth for firms known to have good investment opportunities, but is negatively related to growth for firms whose growth opportunities are either not recognized by ...

  3. Climate policy, asymmetric information and firm survival

    International Nuclear Information System (INIS)

    Hagem, C.

    2001-02-01

    The purpose of this paper is to compare the effect of different domestic climate policy instruments under asymmetric information when the regulator wants to secure the survival of a specific firm. It is a well-known result from economic theory that emission taxes lead to a cost-effective distribution of abatement across polluters. However, if the regulator wants to ensure the survival of a specific firm, it may need to design policy instruments that reduce the firm's cost of complying with an emission tax regime. The climate policy instruments considered in this paper are tradable emission permits with distribution of free permits, emission taxes in combination with a fixed subsidy, and two types of voluntary agreements. It demonstrates first that if distributing free tradable permits shall have a preventing effect, the allocation of permits has to be made contingent on production. It further shows that a voluntary agreement where a specific abatement target is set by the regulator can prevent a shutdown but leads to lower welfare than the use of emission taxes in combination with a fixed subsidy. And finally it illustrates that a voluntary agreement designed as a menu of abatement contracts increases social welfare compared to an emission tax regime

  4. Research Article Special Issue

    African Journals Online (AJOL)

    pc

    2017-11-10

    Nov 10, 2017 ... Development and Economics,Universiti Malaysia Terengganu ... Even though payment of tax is a common practice for many firms, the ... principle” where M&M's argument rests, states that market prices must be adaptable in.

  5. Performance of Patenting Firms

    DEFF Research Database (Denmark)

    Madsen, Erik Strøjer; Smith, Valdemar; Nielsen, Anders Østergaard

    2000-01-01

    Most countries focus on industries with high technology and the governments grant subsidies to innovating firms. However, there has been remarkable few studies of the performance of innovative firms or industries. This study examines the performance of patent active firms compared to the non-patenting...... firms within the manufacturing sector in Denmark. Performance is measured both by growth in employment as well as in the return on equity and profit share in turnover. The results suggest that differences in performance of patenting and non-patenting firms are very small, which questions the political...

  6. The Internationalisation of Mainland Chinese Firms into Malaysia: From Obligated Embeddedness to Active Embeddedness

    Directory of Open Access Journals (Sweden)

    Guanie LIM

    2014-01-01

    Full Text Available This paper examines the rationale by which mainland Chinese firms choose their coalition partners in their Malaysian ventures. I explore how, under certain political economic conditions, such cross-border investment and corporate tie-ups can be shaped to meet the Malaysian state’s objectives. I argue that the Malaysian state has enjoyed success in the construction sector by nurturing cooperation between its carefully groomed government-linked companies and mainland Chinese firms. Government-linked companies are useful coalition partners for the mainland Chinese firms because of the crucial role the state plays in creating a largely non-competitive industry that favours government-linked companies. Outside of the construction sector, however, the state has enjoyed markedly less success in fostering cooperation between the mainland Chinese firms and the government-linked companies. Consequently, the mainland Chinese firms possess more bargaining power vis-à-vis the state when they invest in these sectors, enjoying considerable autonomy in the selection of their coalition partners.

  7. When Intra-Firm and Inter-Firm Collaborations Co-Occur

    DEFF Research Database (Denmark)

    Schleimer, Stephanie Christine; Sculman, Arthur D.

    2011-01-01

    There is evidence that intra-firm collaboration and inter-firm collaboration are important for new service development (NSD) and new product development (NPD) success. However, evidence of the contributions of each to innovative outcomes is inconsistent. This inconsistency is associated with the ...

  8. Real Time Pricing and the Real Live Firm

    Energy Technology Data Exchange (ETDEWEB)

    Moezzi, Mithra; Goldman, Charles; Sezgen, Osman; Bharvirkar, Ranjit; Hopper, Nicole

    2004-05-26

    Energy economists have long argued the benefits of real time pricing (RTP) of electricity. Their basis for modeling customers response to short-term fluctuations in electricity prices are based on theories of rational firm behavior, where management strives to minimize operating costs and optimize profit, and labor, capital and energy are potential substitutes in the firm's production function. How well do private firms and public sector institutions operating conditions, knowledge structures, decision-making practices, and external relationships comport with these assumptions and how might this impact price response? We discuss these issues on the basis of interviews with 29 large (over 2 MW) industrial, commercial, and institutional customers in the Niagara Mohawk Power Corporation service territory that have faced day-ahead electricity market prices since 1998. We look at stories interviewees told about why and how they respond to RTP, why some customers report that they can't, and why even if they can, they don't. Some firms respond as theorized, and we describe their load curtailment strategies. About half of our interviewees reported that they were unable to either shift or forego electricity consumption even when prices are high ($0.50/kWh). Reasons customers gave for why they weren't price-responsive include implicit value placed on reliability, pricing structures, lack of flexibility in adjusting production inputs, just-in-time practices, perceived barriers to onsite generation, and insufficient time. We draw these observations into a framework that could help refine economic theory of dynamic pricing by providing real-world descriptions of how firms behave and why.

  9. 78 FR 55056 - Notice of Petitions by Firms for Determination of Eligibility To Apply for Trade Adjustment...

    Science.gov (United States)

    2013-09-09

    ... vehicles such as military transport and civilian first responder utility vehicles. Nedza International Inc... DEPARTMENT OF COMMERCE Economic Development Administration Notice of Petitions by Firms for Determination of Eligibility To Apply for Trade Adjustment Assistance AGENCY: Economic Development...

  10. Do Specific Growth Drivers Exist for Firms? A Regional Analysis of Start-ups and Industrial Growth

    Directory of Open Access Journals (Sweden)

    PAUL I. OJEAGA

    2016-06-01

    Full Text Available The study of start-ups, have remained largely a micro economic issue. Firms are the key drivers of industrial sector GDP (or enterprise growth in countries across regions. Few studies have tried to examine the consequence of start-ups in the broad macroeconomics terms on enterprise growth in general with special emphasis on industrial sector output. This study provides a macroeconomic study of the effect of start- ups on industrial sector growth for countries in some specific geographical regions of the world. Panel data is utilized due to it obvious advantages such its ability to utilize a panel of short time frames and its suitability for controlling for omitted variable bias and unobservable heterogeneity across regions. The results show that start-ups remain an intrinsic variable for enterprise growth and industrial sector output discussion in general.

  11. Foreign investment, divestment and relocation by Japanese electronics firms in East Asia

    NARCIS (Netherlands)

    Belderbos, R.A.; Zou, J.

    2006-01-01

    Although foreign divestment and international relocation by multinational firms carry important economic implications for the industrialization of East Asian countries, there has been little empirical research on these issues. In this paper we analyze the magnitude and pattern of foreign divestment

  12. Margins of trade: Czech firms before, during and after the crisis

    Czech Academy of Sciences Publication Activity Database

    Galuščák, K.; Sutóris, Ivan

    2017-01-01

    Roč. 15, č. 1 (2017), s. 2-5 ISSN 1803-7089 Institutional support: Progres-Q24 Keywords : Czech firms * crisis Subject RIV: AH - Economics http://www.cnb.cz/miranda2/export/sites/www.cnb.cz/en/research/research_publications/erb/download/ERB_No1_2017.pdf

  13. Economic Assessment of FMDv Releases from the National Bio and Agro Defense Facility

    Science.gov (United States)

    Pendell, Dustin L.; Marsh, Thomas L.; Coble, Keith H.; Lusk, Jayson L.; Szmania, Sara C.

    2015-01-01

    This study evaluates the economic consequences of hypothetical foot-and-mouth disease releases from the future National Bio and Agro Defense Facility in Manhattan, Kansas. Using an economic framework that estimates the impacts to agricultural firms and consumers, quantifies costs to non-agricultural activities in the epidemiologically impacted region, and assesses costs of response to the government, we find the distribution of economic impacts to be very significant. Furthermore, agricultural firms and consumers bear most of the impacts followed by the government and the regional non-agricultural firms. PMID:26114546

  14. ARE SMALL-FIRM CLUSTERS EMERGENT PHENOMENA? EVIDENCE FROM ZIMBABWE’S SMALL FURNITURE- MANUFACTURING FIRMS

    Directory of Open Access Journals (Sweden)

    Godfrey MUPONDA

    2014-07-01

    Full Text Available The purpose of this study was to explore the reasons behind the rapid growth and apparent dynamism of Zimbabwe’s small-firm industrial clusters. The hypothesis behind the study was that these small-firm clusters are emergent phenomena. The study analysed the capital utilisation techniques of small firms located in a large industrial cluster in order to determine the factors that lead to the collective efficiency of such firms. The study found that, in comparison with large, stock exchange-listed firms, the cluster environment enables the small firm to operate from a relatively small capital base and also to use its capital more efficiently in creating revenues and profits. The individual firm does not have to invest its capital in a large assets base as this is done by a specialised group of firms within the cluster. Thus, the cluster has the characteristics of an emergent phenomenon.

  15. A Firm-Specific Analysis of the Exchange-Rate Exposure of Dutch Firms

    NARCIS (Netherlands)

    A. de Jong (Abe); J. Ligterink; V. Macrae

    2002-01-01

    textabstractWe examine the relationship between exchange-rate changes and stock returns for a sample of Dutch firms over 1994-1998. We find that over 50% of the firms are significantly exposed to exchange-rate risk. Furthermore, all firms with significant exchange-rate exposure benefit from a

  16. Assessing the impact of oil prices on firms of different sizes: Its tough being in the middle

    International Nuclear Information System (INIS)

    Sadorsky, Perry

    2008-01-01

    Recent empirical research has found evidence of a relationship between oil price movements and stock prices. Most published research investigates the relationship between oil price movements and stock prices using either economy-wide measures of stock prices or industry sector measures of stock prices. An important question that has largely gone unanswered relates to the relationship between oil prices and stock prices when the size of firms is allowed to vary. Relative to large firms, do oil price movements have larger or smaller impacts on the stock prices of small- or medium-sized firms? The answer to this question could have important policy implications that affect economic growth and prosperity. In this paper, a panel of firms is followed over a 17-year period to investigate the relationship between oil price movements, firm size, and stock prices. Evidence is found that shows the relationship between oil price movements and stock prices does vary with firm size and the relationship is strongest for medium-sized firms

  17. Essays on Family Firms

    OpenAIRE

    Zhou, Haoyong

    2012-01-01

    The dissertation examines corporate performance and capital structure of family firms, contributing to the limited empirical research on family firms. Family firms are prevalent in national economies all over the world. It is the prevalence that makes family firms receive increasing attentions from academia. The dissertation consists of an introduction and three chapters. Each chapter is an independent paper. The first chapter is a joint work with Professor Morten Bennedsen and...

  18. Global Sourcing and Firm Selection

    DEFF Research Database (Denmark)

    Kohler, Wilhelm; Smolka, Marcel

    2014-01-01

    We analyze the sourcing strategies of firms active in the Spanish manufacturing sector. We show that firms that select strategies of vertical integration and of foreign sourcing ex post tend to have been more productive, ex ante, than other firms.......We analyze the sourcing strategies of firms active in the Spanish manufacturing sector. We show that firms that select strategies of vertical integration and of foreign sourcing ex post tend to have been more productive, ex ante, than other firms....

  19. DETERMINANTS OF ECONOMIC EXPOSURE: AN EMPIRICAL EVIDENCE FROM THE MISCELLANEOUS COMPANIES IN INDONESIA

    Directory of Open Access Journals (Sweden)

    M. Shabri Abd. Majid

    2015-12-01

    Full Text Available This research empirically measures the economic exposure of 11 selected miscellaneous companies in Indonesia. It also attempts to empirically explore the influence of firm size, export, liquidity, and leverage on the economic exposure of those companies. Annual data from 2007 to 2010, which was collected from the www.idx.co.id and www.bi.go.id were used and analyzed by the multiple linear regression to measure the economic exposure and examine the influences of the firm size, export, liquidity, and leverage on the economic exposure. Both partial (t-test and simultaneous (F-test hypotheses were constructed and tested using the software of SPSS for Windows. The research documented that, with the exception of the liquidity, which has a negative and significant effect partially on the economic exposure, all other variables, i.e., the firm size, export, and leverage were found to have insignificant effects. Meanwhile, based on the F-test, the research found that the firm size, export, liquidity, and leverage affected simultaneously and significantly the economic exposure of the companies. These findings imply that in order to manage their economic exposure, the companies should control these variables, especially the liquidity.

  20. Whom do new firms hire?

    DEFF Research Database (Denmark)

    Dahl, Michael S.; Klepper, Steven

    2015-01-01

    Using the matched employer-employee data set for Denmark and information on the founders of new firms, we analyze the hiring choices of all new firms that entered from 2003 to 2010. We develop a theoretical model in which the quality of a firm’s employees determines its average cost, a firm......, and firm size influence the wages firms pay to their early hires. We find that beginning with the time of entry, larger firms consistently pay higher wages to their new hires. These are firms with greater survival prospects at the time of entry based on the pre-entry backgrounds of their founders...

  1. FROM INDUSTRIAL DISTRICTS TO FIRMS NETWORKS: THE ITALIAN CASE

    Directory of Open Access Journals (Sweden)

    colantonio emiliano

    2014-12-01

    Full Text Available The local source for competitiveness is vital to achieve static and dynamic economies of scale for firms; it is useful to interact with the aim of learning and innovating. The local system can create benefit by opening to international markets and it should be a good source of knowledge and technology. Nowadays, the concept of industrial district, usually characterized by the spatial proximity of the involved firms, may evolve into firms network; this may emphasize the advantages deriving from cooperation, without the need of spatial proximity. Firms networks may represent the evolution of industrial districts, where territoriality is overcome by the dissolution of borders. The importance of firms networks is increased since they intensify information exchange, continuous learning, stimulate economies of scale, allow economic development and give more market opportunities. Firms networks share different aims, resource, common interests and factors, like material and immaterial inputs and outputs. This new form of cooperation may allow to overcome physical distance and replicate knowledge and information. Firms networks may represent a success organizational forms that may give impetus to development in an economy. They are based on mutual trust between partners and are created over time to facilitate information circulation, knowledge dissemination and innovation. Trust reduces uncertainty and transaction cost and limits the opportunistic behaviour by free-rider agents. The aim of the paper is to assess the determinants for firms networks training in the Italian context using regional data. Particularly, the firms networks development needs key factors such as ICTs diffusion, high rate of social security, open capability, RxD activities. These factor constitute the basis for a new kind of capital, the so called “network capital”. It consists of collaborative practices in a network as the result of cooperation in the ICTs era. Network capital

  2. Corporate financing strategies employed by Zimbabwean listed firms in the multiple currency era

    Directory of Open Access Journals (Sweden)

    Farai Kwenda

    2015-09-01

    Full Text Available The aim of this study is to review the corporate financing strategies employed by Zimbabwean listed firms since the adoption of the multiple currency system which set the country on a recovery path after the decade-long political, social and economic crises. The adoption of the multiple currency system necessitated recapitalization and retooling because most firms’ balance sheets were wiped away during the hyperinflation era. The study is based on secondary data of 80 firms listed on the Zimbabwe Stock Exchange. The study found that rights issues and high retention ratios were the main strategies used by firms to recapitalize their operations. The recapitalization efforts have been by liquidity challenges that have characterised the multiple currency era.

  3. Restructuring of firms in transition: ownership, institutions and openness to trade

    Czech Academy of Sciences Publication Activity Database

    Domadenik, P.; Prašnikar, J.; Švejnar, Jan

    2008-01-01

    Roč. 39, č. 4 (2008), s. 725-746 ISSN 0047-2506 R&D Projects: GA MŠk LC542 Institutional research plan: CEZ:AV0Z70850503 Keywords : firms in transition * employee ownership and control * R&D investment Subject RIV: AH - Economics Impact factor: 2.992, year: 2008

  4. Is there a limit to agglomeration? Evidence from productivity of Dutch firms

    NARCIS (Netherlands)

    Rizov, M.; Oskam, A.J.; Walsh, P.

    2012-01-01

    We compute aggregate productivity of three categories of regions, classified by the level of urbanization and density of economic activity in the Netherlands, from firm-specific total factor productivity (TFP) measures. TFP measures are estimated by a semi-parametric algorithm, within 2-digit

  5. Defensive Changes in Corporate Payout Policy: Share Repurchases and Special Dividends.

    OpenAIRE

    Denis, David J

    1990-01-01

    This paper examines defensive payouts announced in response to hostile corporate control activity. The evidence indicates that the announcement of defensive share repurchases is associated with an average negative impact on the share price of the target firm. In contrast, special dividend payments generally increase the wealth of target-firm shareholders. Regardless of payout type, those firms remaining independent after the outcome of the corporate control contest experience an abnormal shar...

  6. Firm Segmentation as a Tool for R&D Policy Evaluation: Revisiting the Taxonomy of Firms Engaged in International R&D Networks

    Directory of Open Access Journals (Sweden)

    Bruno Brandao Fischer

    2013-05-01

    Full Text Available As we have addressed in an earlier article, quantitative evaluation of R&D policies often approaches the outcomes of initiatives without effectively considering differential impacts on economic agents. Our goal is to confirm the existence of “segments” of firms according to their outcomes arising from participation in a given R&D program. Data is gathered from Eureka Program’s Final Reports (2000-2005 and 2006-2008 from Spanish, Italian, French, British, and German firms. Classification focus is directed towards variables related to innovation projects’ outcomes. Log-likelihood clustering method was used. Tests for differences between clusters in terms of some variables of interest were performed. Results are consistent with the hypothesis of marked heterogeneity in firms’ outcomes. This methodology offers a valuable instrument for RTD policymakers in terms of monitoring and ex post intervention.

  7. The building blocks of economic complexity

    Science.gov (United States)

    Hidalgo, César A.; Hausmann, Ricardo

    2009-01-01

    For Adam Smith, wealth was related to the division of labor. As people and firms specialize in different activities, economic efficiency increases, suggesting that development is associated with an increase in the number of individual activities and with the complexity that emerges from the interactions between them. Here we develop a view of economic growth and development that gives a central role to the complexity of a country's economy by interpreting trade data as a bipartite network in which countries are connected to the products they export, and show that it is possible to quantify the complexity of a country's economy by characterizing the structure of this network. Furthermore, we show that the measures of complexity we derive are correlated with a country's level of income, and that deviations from this relationship are predictive of future growth. This suggests that countries tend to converge to the level of income dictated by the complexity of their productive structures, indicating that development efforts should focus on generating the conditions that would allow complexity to emerge to generate sustained growth and prosperity. PMID:19549871

  8. Do Private Firms Outperform SOE Firms after Going Public in China Given their Different Governance Characteristics?

    Directory of Open Access Journals (Sweden)

    Shenghui Tong

    2013-06-01

    Full Text Available This study examines the characteristics of board structure that affect Chinese public firm’s financial performance. Using a sample of 871 firms with 699 observations of previously private firms and 1,914 observations of previously state-owned enterprise (SOE firms, we investigate the differences in corporate governance between publicly listed firms that used to be pure private firms before going public and listed firms that used to be SOEs before their initial public offerings (IPOs. Our main finding is that previously private firms outperform previously SOE firms in China after IPOs. In the wake of becoming listed firms, previously SOE firms might be faced with difficulties adjusting to professional business practices to build and extend competitive advantages. In addition, favorable policies and assistance from the government to the SOE firms might have triggered complacency, especially in early years after getting listed. On the other hand, professional savvy and acumen, combined with efficiency and favorable business climate created by the government have probably led the previously private firms to improve their values stronger and faster.

  9. Internal and external factors on firms? transfer pricing decisions: Insights from organization studies

    OpenAIRE

    Dan Li; Manuel Portugal Ferreira

    2007-01-01

    Well understood in economics, accounting, finance, and legal research, transfer pricing has rarely been comprehensively explored in organization management literature. This paper explores some theoretical explanations of transfer pricing within multidivisional firms drawing insights from various organizational theories – primarily institutional theory, transaction cost economics, and social networks – to develop a conceptual model of transfer pricing. This model focuses on the nature of multi...

  10. ACCOUNTING TREATMENTS ON FORESTRY SPECIAL FUNDS AND SPECIFIC PROBLEMS IN ROMANIA

    Directory of Open Access Journals (Sweden)

    Hada Teodor

    2013-07-01

    Full Text Available This study, theoretically and practically, presents the accounting system for forestry special purpose funds in Romania. In addition, the main problems Romanian forestry faces nowadays are highlighted in the content, given the legislative changes expected in the near future. Accounting treatments specific to Romanian forestry regarding special funds, namely the conservation and regeneration fund, the accessibility fund, the environmental fund and the improvement fund are governed in the current law, mainly by the Forestry Code in Romania - Law 46/2008 supplemented by other specialized works used within the National Forest Directorate in Romania. Among the specific forestry regulations, special purpose funds are an area of interest in the current economic crisis being presented under several aspects: establishing the Fund, its utility and calculation method, its recording into accounting, or its specific tax implications. The main objective of this paper is to provide both a framework for analysis and presentation of the problems faced by forestry activity in Romania, and the accounting treatments specific to forestry activities, by illustrating the main entries made through financial and accounting documents. Given that we fully realize the environment’s importance in our lives, we understand the very close relationship between the forestry business’ enactment, its financing and its supervision. Special funds are the basis for financing forestry projects. Their study covers a gap in the specialized literature, providing specialists, practitioners and other stakeholders a framework. In the current economic and political context, the forestry problems, environmental issues in general are perceived to be more stringent. The solutions identified as a firm response to the existing problems are therefore of major importance, of which, in this study, we have identified and proposed several solutions. Practical examples have as grounds real data

  11. Firm-specific factors and financial performance of firms in the Czech Republic

    Directory of Open Access Journals (Sweden)

    Pathirawasam Chandrapala

    2013-01-01

    Full Text Available The objective of this study is to investigate the role of internal factors in generating financial performance of firms in the Czech Republic. The paper examines the impact of firm specific factors on company financial performance of 974 firms in the Czech Republic over the period 2005 to 2008, using data in the Albertina database. Pooled and panel cross-sectional time series techniques are used for the data analysis. Return on Assets (ROA is the dependent variable of the model and eight firm specific factors are introduced as the explanatory variables. Using Return on Assets as the dependent variable, it is established that the firm size, sales growth and capital turnover are having significant positive impact on financial performance of firms. At the same time, debt ratio and inventory reflect significant negative impact on financial performance of firms. Overall explanatory powers of the two models are low and further research is necessary to increase the statistical power of the model. The results from the present study may be very encouraging and useful for managers as well as investors to plan investment and operational activities to achieve profitability objectives more efficiently and effectively. The findings have important managerial implications.

  12. Considerations regarding the Effects of Economic Crisis on Employee Communicational Behavior

    OpenAIRE

    Popescu Manoela; Crenicean Cecilia Luminita

    2011-01-01

    The economic crisis has caused significant changes in socio-economic entities strategies. In conclusion, firms were obliged to develop strategies for crisis as a result of their focus on customer, without understanding the customer as an employee. Moreover, strategic changes are not the result of company development, but as a direct effect of economic context. Otherwise, firms do not reflect the strategic communication behavior of their employees. Therefore, such a strategy may not be viable ...

  13. Readiness of freight transportation system at special economic zone of Lhokseumawe

    Science.gov (United States)

    Fithra, Herman; Sirojuzilam, Saleh, Sofyan M.; Erlina

    2017-11-01

    Geo-economic advantages of Lhokseumawe and Aceh Utara District lies on the geographical location of Aceh crossed by Sea Lane of Communication (Sloc), the Malacca Strait. Located at the Malacca Strait, the Special Economic Zone (Kawasan Ekonomi Khusus/ KEK) of Arun Lhokseumawe has a comparative advantage to be part of the global production network or the global value chain. This study aims to determine freight transportation system to support KEK Lhokseumawe, especially the availability of multimodal transport and multimodal infrastructure. The result shows that KEK Lhokseumawe driven by SOEs in Lhokseumawe and Aceh Utara is urgent to be realized for economic acceleration and to grow new economic growth in Aceh. Multimodal transport in KEK Lhokseumawe is also available, including Ro-Ro ships, train availability from Dewantara sub-district to Muara Batu Sub-district, various types of truck with small, medium and large capacity. The available multimodal infrastructure includes international sea ports, road network connectivity with structure pavement rating of 94.62%, and railroad tracks indicating that multimodal transportation in KEK Lhokseumawe are ready to utilize. Regulatory requirements relating to the operation of all ports in KEK Lhokseumawe as export / import gate are required and serve the loading and loading activities of Containers, and as a place of origin of goods on the east coast of Aceh.

  14. 77 FR 12007 - Notice of Petitions by Firms tor Determination of Eligibility to Apply For Trade Adjustment...

    Science.gov (United States)

    2012-02-28

    ... DEPARTMENT OF COMMERCE Economic Development Administration Notice of Petitions by Firms tor Determination of Eligibility to Apply For Trade Adjustment Assistance AGENCY: Economic Development... Kearse, Eligibility Certifier. [FR Doc. 2012-4626 Filed 2-27-12; 8:45 am] BILLING CODE 3510-WH-P ...

  15. Quantification of the evolution of firm size distributions due to mergers and acquisitions

    Science.gov (United States)

    Sornette, Didier

    2017-01-01

    The distribution of firm sizes is known to be heavy tailed. In order to account for this stylized fact, previous economic models have focused mainly on growth through investments in a company’s own operations (internal growth). Thereby, the impact of mergers and acquisitions (M&A) on the firm size (external growth) is often not taken into consideration, notwithstanding its potential large impact. In this article, we make a first step into accounting for M&A. Specifically, we describe the effect of mergers and acquisitions on the firm size distribution in terms of an integro-differential equation. This equation is subsequently solved both analytically and numerically for various initial conditions, which allows us to account for different observations of previous empirical studies. In particular, it rationalises shortcomings of past work by quantifying that mergers and acquisitions develop a significant influence on the firm size distribution only over time scales much longer than a few decades. This explains why M&A has apparently little impact on the firm size distributions in existing data sets. Our approach is very flexible and can be extended to account for other sources of external growth, thus contributing towards a holistic understanding of the distribution of firm sizes. PMID:28841683

  16. Quantification of the evolution of firm size distributions due to mergers and acquisitions.

    Science.gov (United States)

    Lera, Sandro Claudio; Sornette, Didier

    2017-01-01

    The distribution of firm sizes is known to be heavy tailed. In order to account for this stylized fact, previous economic models have focused mainly on growth through investments in a company's own operations (internal growth). Thereby, the impact of mergers and acquisitions (M&A) on the firm size (external growth) is often not taken into consideration, notwithstanding its potential large impact. In this article, we make a first step into accounting for M&A. Specifically, we describe the effect of mergers and acquisitions on the firm size distribution in terms of an integro-differential equation. This equation is subsequently solved both analytically and numerically for various initial conditions, which allows us to account for different observations of previous empirical studies. In particular, it rationalises shortcomings of past work by quantifying that mergers and acquisitions develop a significant influence on the firm size distribution only over time scales much longer than a few decades. This explains why M&A has apparently little impact on the firm size distributions in existing data sets. Our approach is very flexible and can be extended to account for other sources of external growth, thus contributing towards a holistic understanding of the distribution of firm sizes.

  17. Quantification of the evolution of firm size distributions due to mergers and acquisitions.

    Directory of Open Access Journals (Sweden)

    Sandro Claudio Lera

    Full Text Available The distribution of firm sizes is known to be heavy tailed. In order to account for this stylized fact, previous economic models have focused mainly on growth through investments in a company's own operations (internal growth. Thereby, the impact of mergers and acquisitions (M&A on the firm size (external growth is often not taken into consideration, notwithstanding its potential large impact. In this article, we make a first step into accounting for M&A. Specifically, we describe the effect of mergers and acquisitions on the firm size distribution in terms of an integro-differential equation. This equation is subsequently solved both analytically and numerically for various initial conditions, which allows us to account for different observations of previous empirical studies. In particular, it rationalises shortcomings of past work by quantifying that mergers and acquisitions develop a significant influence on the firm size distribution only over time scales much longer than a few decades. This explains why M&A has apparently little impact on the firm size distributions in existing data sets. Our approach is very flexible and can be extended to account for other sources of external growth, thus contributing towards a holistic understanding of the distribution of firm sizes.

  18. The Relationship between Offshoring Strategies and Firm Performance: Impact of innovation, absorptive capacity and firm size

    NARCIS (Netherlands)

    M.W. Roza-van Vuren (Marja)

    2011-01-01

    textabstractHow do offshoring strategies impact firm performance? And how are innovation, absorptive capacity and firm size influencing this relationship? This research investigates how firms of varying size, well-established firms and growing firms may profit from relocating business activities to

  19. Growth, Structure and Firm Dynamics in Grain Markets: The Case of ...

    African Journals Online (AJOL)

    Optiplex 7010 Pro

    In this paper we consider the microeconomic evidence on the determinants of firm performance in Ethiopia, with a focus on grain traders. We analyse both internal and external factors, and the relative impacts of these factors on the performance of grain traders. Different economic indicators seem to suggest that grain ...

  20. Exploration of location influences on firm survival rates using parametric duration models

    NARCIS (Netherlands)

    Manzato, G.G.; Arentze, T.A.; Timmermans, H.J.P.; Ettema, D.F.

    2011-01-01

    This study explored the influences of location on business firm survival rates with the use of parametric duration models applied to a data set. Of the variables included, those found to be the most significant were accessibility to infrastructure supply, regional effects, demographic and economic

  1. Origin and concentration: corporate ownership, control and performance in firms after privatization

    Czech Academy of Sciences Publication Activity Database

    Hanousek, Jan; Kočenda, Evžen; Švejnar, J.

    2007-01-01

    Roč. 15, č. 1 (2007), s. 1-31 ISSN 0967-0750 R&D Projects: GA ČR GA402/06/1293 Institutional research plan: CEZ:MSM0021620846 Keywords : corporate ownership * performance in firms * privatization Subject RIV: AH - Economics Impact factor: 0.736, year: 2007

  2. Firm-level perspectives on State-Business Relations in Africa

    DEFF Research Database (Denmark)

    Charles, Goodluck; Jeppesen, Søren; Kamau, Paul

    2017-01-01

    interviews with 41 firms, 20 key informants and a range of secondary sources on the food-processing sectors of Kenya, Tanzania and Zambia. The article shows that businesses in these countries have limited policy influence, find policies and programmes to be inadequate when targeting the needs......Experiences from developed and emerging economies inform us that close state–business relations (SBRs) are crucial for economic development and structural transformation. Based on the positive experiences from other parts of the world, most African governments have begun processes to establish...... collaborative SBRs. Amongst other initiatives, these processes include amendments to existing laws to facilitate public–private interaction, direct support to existing business associations (BAs). This article draws on an analysis of survey data from 210 local firms, complemented with qualitative data from...

  3. Firm-Specific Learning and the Nature of the Firm

    DEFF Research Database (Denmark)

    Knudsen, Thorbjørn

    2007-01-01

    that a conjoint research program, encompassing both transaction costs and capabilities, must be developed and tested empirically. Cet article discute les limites d'une explication de l'existence de la firme fondée exclusivement sur les coûts de transaction en indiquant quelques facteurs additionnels susceptibles...... d'intervenir. Un modèle heuristique simple montre que les effets d'apprentissage spécifiques à la firme peuvent surmonter les coûts de surveillance des employés et expliquer l'existence de la firme même en l'absence de coûts de transaction liés au mode d'organisation de marché. Une comparaison de l......'importance relative des explications fondées sur les coûts de transaction et celles fondées sur les compétences en ce qui concerne l'existence de la firme montre qu'il n'y a aucune raison a priori de supposer la suprématie d'un type d'explication à l'autre. Nous soutenons qu'un programme de recherche conjoint...

  4. Stakeholder Governance, Competition and Firm Value

    OpenAIRE

    Allen, Franklin; Carletti, Elena; Marquez, Robert

    2014-01-01

    In many countries, the legal system or social norms ensure that firms are stakeholder oriented. We analyze the advantages and disadvantages of stakeholder-oriented firms that are concerned with employees and suppliers compared to shareholder-oriented firms in a model of imperfect competition. Stakeholder firms are more (less) valuable than shareholder firms when marginal cost uncertainty is greater (less) than demand uncertainty. With globalization shareholder firms and stakeholder firms ofte...

  5. Firm Exit, Technological Progress and Trade

    DEFF Research Database (Denmark)

    Schröder, Philipp; Sørensen, Allan

    The dynamics of export market exit and firm closure have found limited attention in the new heterogeneous-firms trade literature. In fact, several of the predictions on firm survival and exit stemming from this new class of models are at odds with the stylized facts. Empirically, higher productiv......The dynamics of export market exit and firm closure have found limited attention in the new heterogeneous-firms trade literature. In fact, several of the predictions on firm survival and exit stemming from this new class of models are at odds with the stylized facts. Empirically, higher...... productivity firms survive longer, most firm closures are young firms, higher productivity exporters are more likely to continue to export compared to less productive exporters and market exits as well as firm closures are typically preceded by periods of contracting market shares. The present paper shows...... liberalization on export market exit and firm closure....

  6. Corporate Governance Provisions, Family Involvement, and Firm Performance in Publicly Traded Family Firms

    Directory of Open Access Journals (Sweden)

    Esra Memili

    2015-07-01

    Full Text Available This study examines the moderation effects of corporate governance provisions on the link between family involvement (i.e., family ownership and family management in publicly-traded firms and firm performance by drawing upon agency theory, with a focus on principal-principal agency issues, and the extant family governance literature. We develop and test the hypotheses on 386 of the S&P 500 firms longitudinally. Findings support the hypotheses suggesting the moderation effects of the use of provisions (a protecting controlling owners in terms of their sustainability of controlling status, and (b protecting management legally on the inverted U-shaped relationship between family ownership and firm performance. We also found support for the moderation effects of provisions (c protecting controlling owners in terms of their voting rights, (d protecting noncontrolling owners, and (e protecting management monetarily on the inverted U-shaped relationship between family management and firm performance. By this, our study provides empirical support for the principal-principal agency perspective on the corporate governance in publicly-traded family firms. As such, it suggests new avenues of research for both the corporate governance literature, as well as for the theory of the family firm. Our study also offers insights to policy directed toward monitoring the actions of large shareholders such as family and enhancing the overall shareholder value in publicly-traded family firms.

  7. SPECIAL ETHICS OR NO ETHICS LINKED TO MISMANAGEMENT?

    Directory of Open Access Journals (Sweden)

    Alexandru TRIFU

    2016-09-01

    Full Text Available In our era, of globalization, of postmodernism, we may speak about modern ethic management. The complex and multilevel system which is the entity, i.e. firm, company, organization, is confronting with different challenges of the endogenous factors and exogenous factors (the natural and business environment. What we are interested in emphasizing the other modality of ruling an entity: the mismanagement. The mismanagement exists, not only in Romania, but all over the world, because in a competitive and open economy, not all the companies succeed, some of them go into insolvency, fail and disappear. Why? Either because managers’ incompetence and inabilities, or intentionally, pursuing unorthodox interests, outside the firm and supported by the organization in question management. Thus, it come up the natural question:  we can talk about “Ethics” in this situation, or we are talking about “a special Ethics”, or we are not talking at all about Ethics? These issues we try to emphasize them and to find an approach to complete or to highlight the importance of Ethics as qualitative and substance element of today entities’ activities. These are the  types of entities which tend to globalize and to enter in different political and economic spheres of influence, at regional or international levels.

  8. Genes and quality trait loci (QTLs) associated with firmness in Malus x domestica

    KAUST Repository

    Marondedze, Claudius

    2013-03-31

    Fruit firmness, a quality quantitative trait, has long been established as a key textural property and one of the essential parameters for estimating ripening and shelf life of apples. Loss of firmness, also referred to as fruit softening, is undesirable in apples and represents a serious problem for growers in many countries. This results in the reduction of apple shelf life and in turn influences its commercialization. Low firmness impacts negatively on the sensory values of juiciness, crunchiness and crispness. Fruit firmness is affected by the inheritance of alleles at multiple loci and their possible interactions with the environment. Identification of these loci is key for the determination of genetic candidate markers that can be implemented in marker assisted selection and breeding for trees and/or cultivars that can yield firmer fruits with economic value. In turn, this technique can help reduce the time needed to evaluate plants and new cultivars could become available faster. This review provides an overview of quantitative trait loci (QTL), including additional putative QTLs that we have identified, and genes associated with firmness and their importance to biotechnology, the breeding industry and eventually the consumers.

  9. Firming Up Inequality

    OpenAIRE

    Jae Song; David J. Price; Fatih Guvenen; Nicholas Bloom; Till von Wachter

    2015-01-01

    Earnings inequality in the United States has increased rapidly over the last three decades, but little is known about the role of firms in this trend. For example, how much of the rise in earnings inequality can be attributed to rising dispersion between firms in the average wages they pay, and how much is due to rising wage dispersion among workers within firms? Similarly, how did rising inequality affect the wage earnings of different types of workers working for the same employer—men vs. w...

  10. Investment, Financing Constraints, and Internal Capital Markets: Evidence from the Advertising Expenditures of Multinational Firms

    OpenAIRE

    C. Edward Fee; Charles J. Hadlock; Joshua R. Pierce

    2009-01-01

    We find a significant positive relation between a firm's advertising spending in the United States and its contemporaneous foreign cash flow. This relation holds even after controlling for factors that should be related to the optimal level of domestic advertising, and it is stronger for subsets of firms that we expect to be relatively more financially constrained. Our evidence supports the hypothesis that there is a causal and economically substantial link between cash flow and investment sp...

  11. A firm-specific exposure analyis of the exchange-rate exposure of Dutch firms

    NARCIS (Netherlands)

    de Jong, A.; Ligterink, J.; Macrae, V.

    2006-01-01

    We examine the relationship between exchange-rate changes and stock returns for a sample of Dutch firms over 1994-1998. We find that over 50 per cent of the firms are significantly exposed to exchange-rate risk. Furthermore, all firms with significant exchange-rate exposure benefit from a

  12. COEXISTENCE OF PRIVATE FIRMS AND OPEN SOURCE FIRMS UNDER SPILLOVERS AND CONSUMER BIAS

    Directory of Open Access Journals (Sweden)

    Murat YILMAZ

    2017-12-01

    Full Text Available Open source technologies have been an important divergence from the private produc- tion, and some markets have accommodated both open source firms and private firms. We explore the conditions under which such a coexistence of both type of firms can be seen. Through a simple and tractable game theoretical model, with spillovers on the open source production and positive consumer bias for the privately produced good, we analyze the conditions for which, in the equilibrium, a private firm and an open source firm share the market. We find that for large enough consumer bias, the two types cannot coexist, however when the consumer bias is relatively low and the spillover effect is not too strong, then we get a coexistence result.

  13. The predictive power of the business and bank sentiment of firms : A high-dimensional Granger causality approach

    NARCIS (Netherlands)

    Wilms, I.; Gelper, S.E.C.; Croux, C.

    2016-01-01

    We study the predictive power of industry-specific economic sentiment indicators for future macro-economic developments. In addition to the sentiment of firms towards their own business situation, we study their sentiment with respect to the banking sector – their main credit providers. The use of

  14. Effect of Work-Life Balance Practices on Firm Productivity: Evidence from Japanese firm-level panel data

    OpenAIRE

    YAMAMOTO Isamu; MATSUURA Toshiyuki

    2012-01-01

    This paper examines how firm practices that could contribute to worker attainment of work-life balance (WLB) affect the total factor productivity (TFP) of a firm, by using panel data of Japanese firms from the 1990s. We observed a positive correlation between the WLB practices and TFP among sampled firms. However, that correlation vanished when we controlled for unobserved firm heterogeneity, and we found no general causal relationship in which WLB practices increase firm TFP in the medium or...

  15. The role of intangible assets in the regional economic growth

    Directory of Open Access Journals (Sweden)

    Jordi Suriñach

    2011-01-01

    Full Text Available This paper is the summary of the IAREG (Intangible Assets and RegionalEconomic Growth European project, which analyzed the role of intangibleassets (IA on regional economic growth. We focused on some of the most relevantintangible assets, for which statistical information is available and where the consortiumhad more expertise. Consequently, in this paper we put special attentionin four big factors: knowledge capital, human capital, social capital and entrepreneurshipcapital. Additional to the main characteristics of each of these IA (relatedwith their measurement and their effects on regional economic growth, we alsoanalyzed the ensemble effects of these IA over the location of firms. For each asset,we describe its main characteristics, the indicators for its measuring and its limitations,as well as the main results associated to its impact on regional growth. Wemust outline that in order to improve the analysis of the effects of the IA in regionaleconomic growth it is necessary to develop more and better databases. We presentsome thoughts in this respect, based on our research experience. Finally, we givesome policy implications and recommendations.

  16. Origin and concentration: corporate ownership, control and performance in firms after privatization

    Czech Academy of Sciences Publication Activity Database

    Hanousek, J.; Kočenda, E.; Švejnar, Jan

    2007-01-01

    Roč. 15, č. 1 (2007), s. 1-31 ISSN 0967-0750 Grant - others:GA ČR(CZ) GA402/06/1293 Program:GA Institutional research plan: CEZ:AV0Z70850503 Keywords : corporate ownership * performance in firms * privatization Subject RIV: AH - Economics Impact factor: 0.736, year: 2007

  17. The Impact of Start-up Grants on Firm Performance in Estonia

    Directory of Open Access Journals (Sweden)

    Siret Vildo

    2013-01-01

    Full Text Available As in economic theory start-up enterprises have been seen as important sources of growth, the government support measures to enterprises have been a common practice around the world for decades. As the governmental support to enterprises is often of a considerable amount of money there is a need to assess its efficiency. In the present article we study the impact of Estonian start-up grants distributed in 2002 and 2003 on various indicators of firm performance with econometric methods, namely propensity score matching. We use the data from the Estonian Business Register in order to study the impact of start-up grants on various economic indicators like the number of employees, turnover, equity, fixed assets and firm survival. The results showed that the start-up grants proved to affect positively the number of employed people and turnover, yet the impact on productivity was negative. One implication of the study is that it is difficult to achieve different goals to the same extent with a single governmental grant

  18. Female labour force participation in MENA's manufacturing sector: The implications of firm-related and national factors

    OpenAIRE

    Fakih, Ali; Ghazalian, Pascal L.

    2013-01-01

    The Middle East and North Africa (MENA) region falls behind several other geo-economic regions in terms of women's participation rates in the labour market. This paper examines the implications of firm-related and national factors for Female Labour Force Participation (FLFP) rates in manufacturing firms located in the MENA region. The empirical investigation uses data derived from the World Bank's Enterprise Surveys database and applies fractional logit models to carry out the estimations. Th...

  19. DETERMINATION OF SOCIAL ECONOMIC AND ENVIRONMENTAL SUCCESS OF PRODUCTS:

    Directory of Open Access Journals (Sweden)

    ESEN GÜRBÜZ

    2013-06-01

    Full Text Available An Empirical Investigation on the Turkish Food Industry Altough there are studies which evaulate and explain the importance of environmental, social and economic success of a product, it is important to evaluate the considerable success of these three variables together. This paper aims to evaluate economic, social and environmental success of a product all together (but not seperatly by conducting a research.  In this paper for some sample firms operating in the Turkish Food Industry, the variables, which effect the products’ economic, social and enviromental successes, are defined theoretically and the research results are explained investigating if there is a relationship between enviromental, social, economic success criteria and firm size, export, import use of intermediary.

  20. Enhancing technological innovation in small firms: Role of collaboration

    International Nuclear Information System (INIS)

    Singh, D; Khamba, J S; Nanda, T

    2014-01-01

    Contribution of Micro-Small and Medium Enterprises (MSMEs) is highly remarkable in the overall industrial economy of the country. In recent years, the MSME sector has consistently registered higher growth rate compared to the overall industrial sector. With its agility and dynamism, the sector has shown admirable innovativeness and adaptability to survive the recent economic downturn and recession. However, MSMEs growth rate is still at low level. Therefore, it becomes essential for organizations to adopt new technologies or upgrade existing setup to meet continuously changing global market and fulfill customer needs. This paper explores the relationships between different collaboration networks and technological innovation of small firms through an extensive review of literature. The study finds that collaboration with larger enterprises, R and D institutions, universities and government agencies play a significant role in enhancing technological innovation in small firms

  1. Firm Search for External Knowledge

    DEFF Research Database (Denmark)

    Sofka, Wolfgang; Grimpe, Christoph

    2012-01-01

    ignored the institutional context that provides or denies access to external knowledge at the country level. Combining institutional and knowledge search theory, we suggest that the market orientation of the institutional environment and the magnitude of institutional change influence when firms begin......The innovation performance of modern firms is increasingly determined by their ability to search and absorb external knowledge. However, after a certain threshold firms "oversearch" their environment and innovation performance declines. In this paper, we argue that prior literature has largely...... to experience the negative performance effects of oversearch. Based on a comprehensive sample of almost 8,000 firms from ten European countries, we find that institutions matter considerably for firms' search activity. Higher market orientation of institutions increases the effectiveness of firms' search...

  2. 75 FR 11516 - Notice of Petitions by Firms for Determination of Eligibility to Apply for Trade Adjustment...

    Science.gov (United States)

    2010-03-11

    ... importantly to the total or partial separation of the firm's workers, or threat thereof, and to a decrease in.... performance pigments. Fluorolite Plastics, Inc....... 2 Central Street 3/1/2010 Fluorolite specializes in...

  3. The relationship between strategic type and firm capabilities in Chinese firms

    NARCIS (Netherlands)

    Benedetto, Di A.C.; Song, X.M.

    2003-01-01

    Proposes that firms of different Miles and Snow strategic types will have different bundles of firm-level capabilities; that is, certain capabilities will be more important to certain strategic types. Specifically, proposes that prospectors have greater relative inside-out capabilities and

  4. Knowledge acquisition and complementary specialization in alliances : The impact of technological overlap and alliance experience

    NARCIS (Netherlands)

    Kavusan, Korcan; Noorderhaven, Niels G.; Duysters, Geert M.

    2016-01-01

    While alliances are widely acknowledged to facilitate knowledge transfers across firms, alliances also allow partnering firms to combine technological capabilities toward joint innovation outcomes through complementary specialization. We examine how technological overlap and alliance experience -

  5. The Impact of Entrepreneurship Education on Succession in Ethnic Minority Family Firms

    Science.gov (United States)

    Hussain, Javed G.; Scott, Jonathan M.; Matlay, Harry

    2010-01-01

    Purpose: The purpose of this paper is to explore the impact that entrepreneurship education can have on succession in ethnic minority family firms that operate in the highly competitive UK economy. Design/methodology/approach: The paper employs a complex conceptual model of ethnic minority graduates' economic activities and outlines the possible…

  6. Social security and firm performance

    DEFF Research Database (Denmark)

    Lee, Sangheon; Torm, Nina

    2017-01-01

    This article investigates how social security provision - a key determinant of formality - impacts on small and medium-sized firm performance in Viet Nam. Based on enterprise census data covering all registered firms from 2006 to 2011, the authors find that firms which increase their social...... security coverage by 10 per cent experience a revenue gain of 1.4-2.0 per cent per worker and a profit gain of up to 1.8 per cent, depending on the survival time of the firm. However, given the time lag between 'investment' (in social security contributions) and returns (enhanced firm performance...

  7. Framework for Explaining the Formation of Knowledge Intensive Entrepreneurial Born Global Firm: Entrepreneurial, Strategic and Network Based Constituents

    Directory of Open Access Journals (Sweden)

    Vytaute Dlugoborskyte

    2017-01-01

    Full Text Available The nature of the knowledge based entrepreneurship relates to its essential reliance on research and development, deployment and maximization of research and development returns via technology development, and its commercialization via venturing. The paper aims to provide the empirically grounded framework for the analysis of the key determinants leading to the formation of R&D intensive entrepreneurial born global firm with a special focus on entrepreneurial firm and network theories. The unit of analysis chosen is the firm, while the focus is set on the firm behavior and strategic choices rather the business conditions per se. The paper aims to propose the definition of a born global firm as a specific form of entrepreneurial firm that forms while combining entrepreneurial, strategy and network constituents in a specific globally oriented constitution. Method of analysis applied is a multiple case study that was applied in order to build evidence on the interplay of strategy, networks and entrepreneurial constituents in the formation of knowledge intensive entrepreneurial born global firm. The small catching up country perspective adds on dynamics of the constituents as the framework and competitive conditions rapidly change in an uncertain direction.

  8. Internationalisation and Innovation Intensities of Polish Manufacturing Firms: A Close Nexus?

    Directory of Open Access Journals (Sweden)

    Tomasz Brodzicki

    2017-03-01

    Full Text Available Objective: The paper aims at the empirical identification of the nexus between innovation and internationalisation intensities in a sample of Polish manufacturing companies. Research Design & Methods: Using a unique dataset combining micro-level financial data from InfoCredit and results from an extensive survey we follow the approach of Altomonte, Aquilante, Ottaviano & Bekes (2013. We define innovation and internationalisation intensities and analyse the two dimensions disjointly and then simultaneously use formal econometric tools. Findings: Both dimensions are closely and robustly correlated. There is some evidence for the causality going from innovation to internationalisation. Polish manufacturing companies have in general low innovation and internationalisation intensity. Rising innovation intensity allows companies to become more internationalised and in particular, it raises their probability of exporting. Mean characteristics of firms, such as employment, sales or productivity, change along the two examined dimensions. Implications & Recommendations: Our results firmly support the postulates of the heterogeneous firms’ trade theory. The results strongly support the introduction of a new type of economic policy in which internationalisation promotion and innovation promotion are simultaneously targeted at the level of a firm. Contribution & Value Added: We extensively analyse innovation and internationalisation intensities for manufacturing firms from Poland. Using a logit model we show their impact on the likelihood of exporting. We furthermore apply the classification of exporting firms along temporal and geographical dimensions identifying main features and links to the key dimensions.

  9. Decomposing Firm-level Sales Variation

    DEFF Research Database (Denmark)

    Munch, Jakob Roland; Nguyen, Daniel Xuyen

    , and that for the median product it drives 31% of the sales variation. When we remove first-time exports from our sample, the median value increases to 40%, implying that firm-destination-specific effects are most important the first year. We conclude that while firm-specific productivity can account for some......We measure the contribution of firm-specific effects to overall sales variation within a destination and find it remarkably low. Our empirical decomposition is structurally motivated by a heterogeneity model of exporting involving destination-specific, firm-specific, and firm......-destination-specific latent effects with incidental truncation. We use a highly detailed dataset with exports by products and destinations for all Danish manufacturing fi…rms. We fi…nd the contribution of firm-specific heterogeneity to within-destination sales variation varies greatly across HS6 products...

  10. Results of technical and economical examinations for substantiation of special plant design for reprocessing and radioactive wastes disposal

    International Nuclear Information System (INIS)

    Galkin, A.V.; Baldov, A.N.

    2001-01-01

    In the paper the results of technical and economical examinations for substantiation of special plant design for reprocessing and radioactive wastes disposal are presented. Ground for the examination conducting was Health of Nation Programme ratified by the President and a number of Governmental decisions. The special plant is planned in the Mangystau Region. In the framework of feasibility study the data base by the worldwide known technologies was implemented, on reprocessing and experience of radioactive waste disposal. The technical requirements for the special plant construction are determined. The alternative options by structure content and site location of the special plant and radioactive waste disposal are cited

  11. Family firm research – A review

    Directory of Open Access Journals (Sweden)

    Qiang Cheng

    2014-09-01

    Part I of the article discusses the fundaments of family firms: the prevalence of and the agency conflicts within family firms. Part II summarizes the findings of recent U.S. family firm studies. It reviews the evidence on the family firm premium (how, which, and when family firms are associated with a valuation premium, the manifestation of the agency conflict between majority and minority shareholders in family firms, earnings quality and corporate disclosure, and the determinants of family ownership and control. Part III discusses the prevalence and characteristics of Chinese family firms and reviews the findings of related studies. The article concludes with some suggestions for future research.

  12. The impact of information disclosure on market liquidity: Evidence from firms' use of Twitter

    Science.gov (United States)

    Qu, Qixing; Wang, Lin; Qin, Liangjuan; Zhao, Xiaoye; Wang, Lijie

    2017-01-01

    Despite the popular use of social media by firms, empirical research investigating their economic values still lags. Based on the Security Exchange Commission's (SEC) new regulation on Fair Disclosure valid important corporate information discloses via social media (RIDSM), in this study, we examine the effectiveness of this new regulation to market liquidity. We collect trade data including daily volume and bid-ask spread to assemble a unique data set at individual firm level from S&P 500 firms and analyze the firms' bid-ask spread and volume before and after issuing the regulation. This natural experiment allows us to separate the effect of regulation from the effect of other confounding factors. The results from our panel data analyses indicate that bid-ask spread has decreased by about 5% in response to the new regulation. Our results are statistically significant and highly robust. We also examine the impact of the new regulation on a volume-based measure of liquidity, and find that the regulation is associated with greater volume, consistent with a reduction in information asymmetry. Moreover, this result holds mainly for firms that are high-tech, consistent with them being in greater need of this additional information disclosure channel.

  13. Electric energy costs and firm productivity in the countries of the Pacific Alliance

    Science.gov (United States)

    Camacho, Anamaria

    This paper explores the relation between energy as an input of production and firm-level productivity for Chile, Colombia, Mexico and Peru, all country members of the Pacific Alliance economic bloc. The empirical literature, has explored the impact of infrastructure on productivity; however there is limited analysis on the impact of particular infrastructure variables, such as energy, on productivity at the firm level in Latin America. Therefore, this study conducts a quantitative assessment of the responsiveness of productivity to energy cost and quality for Chile, Colombia, Mexico and Peru. For this, the empirical strategy is to estimate a Cobb-Douglas production function using the World Bank's Enterprise Survey to obtain comparable measures of output and inputs of production. This approach provides estimates of input factor elasticities for all of the factors of production including energy. The results indicate that electric energy costs explain cross-country differences in firm level productivity. For the particular case of Colombia, the country exhibits the lowest capital and labor productivity of the PA, and firm output is highly responsive to changes in energy use. As a result, the evidence suggests that policies reducing electric energy costs are an efficient alternative to increase firm performance, particularly in the case of Colombia.

  14. The Industrial Specialization and Economic Contribution of the Smartphone Supply Chain: The Case of Apple and HTC

    OpenAIRE

    Wen-Nan Tsan; Chi Chang; Bo-Chi Lin; Wen-Yao Han; Nan-Shiun Chu

    2012-01-01

    This study examines the linkage between industrial specialization and economic contribution in the smartphone component industry. The value created from the manufacturing process may shift the leading positions of countries involved in the supply chain. In turn, the regional hierarchy will further influence the slicing up of the smartphone component value chain based on each country’s comparative advantages. The economic contribution from the Apple and HTC supply chains are analyzed in terms ...

  15. Connected Firms and Investor Myopia

    NARCIS (Netherlands)

    Ginglinger, Edith; Hébert, Camille; Renneboog, Luc

    2017-01-01

    Conglomerates, multinational corporations and business groups are non-exclusive forms of complex firms. Often organized as corporate networks, complex firms control a myriad of firms connected through ownership links. We investigate whether parent-subsidiary links within corporate networks enhance

  16. Business firms in national and local society: international perspectives for analysis of companies

    Directory of Open Access Journals (Sweden)

    Paola Cappellin

    2009-10-01

    Full Text Available The reflections that this article provides are meant to develop a sociological analysis of businesses through a theory of embeddedness. We reject a mechanistic view of the way need and utility combine in the large Fordist firm, preferring to adopt the perspective that sees this type of organization as a complex historical construction (Granovetter e McGuire 1998, Mingione, 1999. For such purposes, our article reviews contributions of French and Italian literature which, as of the 1980s, has suggested the need to devote profound attention to the relationship between economy and society. In our conclusions, we present elements meant to bring these discussions up-to-date, particularly with regard to the dynamics of business firm and territory. We propose consideration of the limitations and possibilities of this literature, which through the concept of embeddedness has added historical dimensions to our understanding of economic phenomena. Keywords: companies, local development, economics and society, embeddedness.

  17. Multilevel approaches and the firm-agglomeration ambiguity in economic growth studies

    NARCIS (Netherlands)

    Oort, F.G. van; Burger, M.J.; Knoben, J.; Raspe, O.

    2012-01-01

    Empirical studies in spatial economics have shown that agglomeration economies may be a source of the uneven distribution of economic activities and economic growth across cities and regions. Both localization and urbanization economies are hypothesized to foster agglomeration and growth, but

  18. CLUSTERING AND THE NATURE OF RELATIONSHIP AMONGST FIRMS IN THE LAGOS REGION, NIGERIA

    Directory of Open Access Journals (Sweden)

    FAGBOHUNKA Adejompo

    2015-06-01

    Full Text Available Regional cluster, a geographically bounded concentration of interdependent firms, is the best environment to fostering a strong relationship amongst firms which can lead to amazing technological and industrial expansion. This paper underscores clustering and the resultant nature of relationship amongst firms, using the Lagos region as a case study. One hundred and three questionnaire were administered in twelve industrial estates; one questionnaire in each of the firm. This connotes that all the firms in the industrial estates were successfully covered in the questionnaire administration, which was administered. A descriptive statistical analytical technique was adopted. The paper has reveals the types of working relationship amongst firms in the Lagos region which includes; raw materials purchase, subcontract, collaboration in research and development, sales promotion, transportation, power supply, water supply, security, waste treatment, telecommunication, ports and shipping as well as labour supply. The paper found out that raw materials purchase/supply was more striking amongst the working relationship types. Also, the paper has revealed services sharing amongst the firms and transport as the most dominant. The most important location advantage was the market facilities. The analysis of variance carried out in relation to variation in clustering amongst the firms at 0.05% level was significant. The paper concluded that industrial cluster if encouraged, will lead to increase working relationship, which in turn have the capability of boosting, promoting and encouraging economies of clustering. Cluster concepts spatially emphasize inter-firm relations that facilitate innovative activity, which is recognized as a driving force of sustained economic growth. It is therefore recommended that these clustering of firms should be made viable, encouraged and strengthened through government investment in the industrial sector, making the location

  19. Multilevel approaches and the firm-agglomeration ambiguity in economic growth studies

    NARCIS (Netherlands)

    van Oort, F.G.|info:eu-repo/dai/nl/107712741; Burger, M.J.|info:eu-repo/dai/nl/371741092; Knoben, J.; Raspe, O.

    2012-01-01

    Empirical studies in spatial economics have shown that agglomeration economies may be a source of the uneven distribution of economic activities and economic growth across cities and regions. Both localization and urbanization economies are hypothesized to foster agglomeration and growth, but recent

  20. Inference from concave stochastic frontiers and the covariance of firm efficiency measures across firms

    International Nuclear Information System (INIS)

    Dashti, Imad

    2003-01-01

    This paper uses a Bayesian stochastic frontier model to obtain confidence intervals on firm efficiency measures of electric utilities rather than the point estimates reported in most previous studies. Results reveal that the stochastic frontier model yields imprecise measures of firm efficiency. However, the application produces much more precise inference on pairwise efficiency comparisons of firms due to a sometimes strong positive covariance of efficiency measures across firms. In addition, we examine the sensitivity to functional form by repeating the analysis for Cobb-Douglas, translog and Fourier frontiers, with and without imposing monotonicity and concavity

  1. Effective forms of market orientation across the business cycle:a longitudinal analysis of business-to-business firms

    OpenAIRE

    Frösén, Johanna; Jaakkola, Matti; Churakova, Iya; Tikkanen, Henrikki

    2016-01-01

    Macroeconomic developments, such as the business cycle, have a remarkable influence on firms and their perfor- mance. In business-to-business (B-to-B) markets characterized by a strong emphasis on long-term customer relationships, market orientation (MO) provides a particularly important safeguard for firms against fluctuating market forces. Using panel data from an economic upturn and downturn, we examine the effectiveness of differ- ent forms of MO (i.e., customer orientation, competitor or...

  2. Gender Segregation Small Firms

    OpenAIRE

    Kenneth R Troske; William J Carrington

    1992-01-01

    This paper studies interfirm gender segregation in a unique sample of small employers. We focus on small firms because previous research on interfirm segregation has studied only large firms and because it is easier to link the demographic characteristics of employers and employees in small firms. This latter feature permits an assessment of the role of employer discrimination in creating gender segregation. Our first finding is that interfirm segregation is prevalent among small employers. I...

  3. Closing the Energy Efficiency Gap—A Systematic Review of Empirical Articles on Drivers to Energy Efficiency in Manufacturing Firms

    Directory of Open Access Journals (Sweden)

    Mette Talseth Solnørdal

    2018-02-01

    Full Text Available Research has identified an extensive potential for energy efficiency within the manufacturing sector, which is responsible for a substantial share of global energy consumption and greenhouse gas emissions. The purpose of this study is to enhance the knowledge of vital drivers for energy efficiency in this sector by providing a critical and systematic review of the empirical literature on drivers to energy efficiency in manufacturing firms at the firm level. The systematic literature review (SLR is based on peer-reviewed articles published between 1998 and 2016. The findings reveal that organizational and economic drivers are, from the firms’ perspective, the most prominent stimulus for energy efficiency and that they consider policy instruments and market drivers to be less important. Secondly, firm size has a positive effect on the firms’ energy efficiency, while the literature is inconclusive considering sectorial impact. Third, the studies are mainly conducted in the US and Western European countries, despite the fact that future increase in energy demand is expected outside these regions. These findings imply a potential mismatch between energy policy-makers’ and firm mangers’ understanding of which factors are most important for achieving increased energy efficiency in manufacturing firms. Energy policies should target the stimulation of management, competence, and organizational structure in addition to the provision of economic incentives. Further understanding about which and how internal resources, organizational capabilities, and management practices impact energy efficiency in manufacturing firms is needed. Future energy efficiency scholars should advance our theoretical understanding of the relationship between energy efficiency improvements in firms, the related change processes, and the drivers that affect these processes.

  4. Determinants of fixed investment by manufacturing firms in a developing country

    Energy Technology Data Exchange (ETDEWEB)

    Bilsborrow, R E

    1977-10-01

    The validity of classical explanations of business investment decisions are examined and evidence is found that a less-pure approach is appropriate in the context of a developing country. A new data base is developed, using an electric model of manufacturing corporations in Colombia. The main empirical findings are: (1) An accelerator was accepted and institutionalized as a long-run investment. (2) Cash flow effects were a slightly more-important determinant of annual-investment variations than the accelerator in accordance with business uncertainties and undeveloped capital and loan markets. (3) Although the balance-sheet risk variable was the best variable in individual firm time-risk regression studies, no firm conclusions can be drawn without further investigation. (4) The single most-important influence on annual variations in investment by aggregates of firms was the availability of foreign exchange, which suggests the impact that changes in government policies can have on investment and economic activity. (5) Investment theory ''explained'' the behavior of foreign-controlled investment in Colombia better than that of Colombian corporations, whose executives may have been less willing to take risks. 56 references.

  5. How small firms contrast with large firms regarding perceptions, practices, and needs in the U.S

    Science.gov (United States)

    Urs Buehlmann; Matthew Bumgardner; Michael. Sperber

    2013-01-01

    As many larger secondary woodworking firms have moved production offshore and been adversely impacted by the recent housing downturn, smaller firms have become important to driving U.S. hardwood demand. This study compared and contrasted small and large firms on a number of factors to help determine the unique characteristics of small firms and to provide insights into...

  6. The Potentials for the Use of Single- versus Dual-Purpose Officers in Firms:

    DEFF Research Database (Denmark)

    Theotokas, Ioannis; Wagtmann, Maria Anne

    2010-01-01

    In the article, we will focus on economic issues concerning the favourability of employing dual pur­pose officers, given that national dual-purpose educational programs exist; we will thus delimit us from discussing potential advantages and disadvantages of firm-specific educational investments...... of employing dual-purpose officers....

  7. “Cooperation in R&D, firm size and type of partnership: Evidence for the Spanish automotive industry”

    OpenAIRE

    Erika Raquel Badillo; Francisco Llorente; Rosina Moreno

    2014-01-01

    This paper aims to analyse cooperation in R&D in the automobile industry in Spain. It first examines to what extent firms cooperate with external actors in the field of technological innovation, and if so, with what type of cooperation partner, paying special attention to the differentiation according to the size of the firms. Second, it aims to study how the firm’s size may affect not only the decision of cooperating but also with which type of partner, while controlling for other determina...

  8. Trade Costs and Location of Foreign Firms in China

    OpenAIRE

    International Monetary Fund

    2005-01-01

    This study examines the determinants of entry into by foreign firms, using information on 515 Chinese industries at the provincial level during 1998-2001. The analysis, rooted in the new economic geography, focuses on market and supplier access within and outside the province of entry, as well as production and trade costs. The results indicate that market and supplier access are the most important factors affecting foreign entry. Access to markets and suppliers in the province of entry matte...

  9. Corporate social responsibility in global health: an exploratory study of multinational pharmaceutical firms.

    Science.gov (United States)

    Droppert, Hayley; Bennett, Sara

    2015-04-09

    As pharmaceutical firms experience increasing civil society pressure to act responsibly in a changing globalized world, many are expanding and/or reforming their corporate social responsibility (CSR) strategies. We sought to understand how multinational pharmaceutical companies currently engage in CSR activities in the developing world aimed at global health impact, their motivations for doing so and how their CSR strategies are evolving. We conducted a small-scale, exploratory study combining (i) an in-depth review of publicly available data on pharmaceutical firms' CSR with (ii) interviews of representatives from 6 firms, purposively selected, from the highest earning pharmaceutical firms worldwide. Corporate social responsibility differed for each firm particularly with respect to how CSR is defined, organizational structures for managing CSR, current CSR activities, and motivations for CSR. Across the firms studied, the common CSR activities were: differential pharmaceutical pricing, strengthening developing country drug distribution infrastructure, mHealth initiatives, and targeted research and development. Primary factors that motivated CSR engagement were: reputational benefits, recruitment and employee satisfaction, better rankings in sustainability indices, entrance into new markets, long-term economic returns, and improved population health. In terms of CSR strategy, firms were at different points on a spectrum ranging from philanthropic donations to integrated systemic shared value business models. CSR is of increasing importance for multinational pharmaceutical firms yet understanding of the array of CSR strategies employed and their effects is nascent. Our study points to the need to (i) develop clearer and more standardized definitions of CSR in global health (2) strengthen indices to track CSR strategies and their public health effects in developing countries and (iii) undertake more country level studies that investigate how CSR engages with

  10. Board diversity in family firms

    OpenAIRE

    Menozzi, Anna; Fraquelli, Giovanni; Novara, Jolanda de

    2015-01-01

    The paper deals with diversity as a key factor to improve the board of directors’ decision process in family firms. The empirical literature about board diversity points at the positive impact of diversity on board functioning and firm performance. The paper uses a statistical diversity index to capture the heterogeneity of board of directors and put it in relation with firm performance, as measured by firm profitability. The empirical analysis is based on a newly collected panel of 327 famil...

  11. Collaborative Communities of Firms

    DEFF Research Database (Denmark)

    2011-01-01

    and developing strategic initiatives that aid the community as a whole. We discuss the facilitator role of the shared services provider, contrasting it with the coordinator role found in other multi-firm organizations, and we show how shared services providers function by describing three examples...... is an organizational model called the collaborative community of firms. This chapter addresses an important organizational role in a collaborative community, that of the shared services provider. The shared services provider acts as a facilitator in the community, helping member firms collaborate with one another...... of collaborative communities of firms from different sectors: the U.S.-based Blade.org and two Denmark-based communities, the Kalundborg Industrial Symbiosis and MG50. Implications for the theory and practice of organization design are discussed....

  12. The Use of Exhaustive Micro-Data Firm Databases for Economic Geography: The Issues of Geocoding and Usability in the Case of the Amadeus Database

    Directory of Open Access Journals (Sweden)

    Moritz Lennert

    2015-01-01

    Full Text Available Economic geography has begun to explore the options involved in micro-data. New databases have become available and new techniques and an increase in computer power allow their treatment. However, two major issues impede the use of these datasets: the lack of geocoded spatial location and lack of exhaustivity in coverage. In this article, I explore the possibilities of using large micro-scale firm databases for economic geography in Europe. I show that current evolution in European official spatial data dissemination alows for geocoding of such databases using means that are accessible for researchers with minimal programming knowledge. For the specific case of the Amadeus database of the Bureau Van Dijk, I show that its limitations in terms of coverage have to be taken into acount, but do not hinder its use for analysis. Resulting maps show how the data allows to go further than classic databases such as the Eurostat Structural Business Statistics.

  13. Migrant entrepreneurship, economic activity and export performance

    DEFF Research Database (Denmark)

    Baklanov, Nikita; Rezaei, Shahamak; Vang, Jan

    2014-01-01

    Recent studies on transnational entrepreneurship suggest that migrant entrepreneur plays an increasingly significant role as sources of economic activities and especially export revenue. The literature is, however, biased on the US experience, lacks a comparative perspective between migrants...... and non-migrants and is primarily anecdotal in nature. This paper aims to reduce this gap by mapping the recent changes in the role of migrant entrepreneurs as a source of increased economic activity and export revenue in the Danish context and thereby linking the challenges stemming from...... the transnational entrepreneurship literature to the immigration and internationalisation of entrepreneurship literature. Entrepreneurial economic activity in this paper is proxied by the changing share of self-owned firms across ethic categories. Export revenue is proxied by the number of firms in the different...

  14. 7 CFR 51.893 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.893 Section 51.893 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Table Grapes (European or Vinifera Type) 1 Definitions § 51.893 Firm. Firm means...

  15. Firm-Level Corruption in Vietnam

    DEFF Research Database (Denmark)

    Rand, John; Tarp, Finn

    This paper uses a unique panel dataset on firm-level corruption. It contains quantitative information on bribe payments by a sample of formal and informal Vietnamese firms. We show that bribe incidence is highly associated with firm-level differences in (i) visibility, (ii) sunk costs, (iii...

  16. A firm's activity in social media and its relationship with corporate reputation, firm size and firm performance

    OpenAIRE

    Mäkinen, Hanna

    2015-01-01

    The significance of social media has increased greatly in the past few years, leading companies to increase their social media activity and also increase their interest in knowing whether it is genuinely worth being active on social media, including knowing the potential advantages. This study aims to examine the relationship between social media activity and three variables: reputation, firm size and firm performance. The study analyzes the relationships between the constru...

  17. ECONOMIC THEORY OF LOBBYING: EVALUATION OF ECONOMIC EFFICIENCY

    Directory of Open Access Journals (Sweden)

    Tolstyh Pavel Aleksandrovich

    2013-01-01

    Full Text Available In this article the author continues to analyze lobbying with regards to economic paradigm. [The author has started discussing lobbying in terms of economic theory in the article Politico-economic theory of lobbying / / Historical, philosophical, political and legal sciences, culture and art. Theory and practice. Tambov: Gramota, 2013. No 1. Part 2. p. 177-189.] Researcher evaluates the cost effectiveness of the lobbying function. Lobbying is understood as activity of specifically authorized employees of corporations and lobbying firms representing their interests, trade associations. This activity is aimed at improving the profitability of integrated and sustainable business development by representing long-term, comfortable, predictable system of relationships with the relevant field-specific political stakeholders of the federal and regional levels. The article presents an in-depth analysis of economic concepts of lobbying function.

  18. Selection of workers and firm heterogeneity

    NARCIS (Netherlands)

    G.W.J. Hendrikse (George)

    1992-01-01

    textabstractA model based on differences between workers regarding their preferences for wage and leisure drives the heterogeneity of firms result. The more industrious workers are driven to small firms due to free riding in large firms. An industry consisting of small and large firms turns out to

  19. Shared vision promotes family firm performance.

    Science.gov (United States)

    Neff, John E

    2015-01-01

    A clear picture of the influential drivers of private family firm performance has proven to be an elusive target. The unique characteristics of private family owned firms necessitate a broader, non-financial approach to reveal firm performance drivers. This research study sought to specify and evaluate the themes that distinguish successful family firms from less successful family firms. In addition, this study explored the possibility that these themes collectively form an effective organizational culture that improves longer-term firm performance. At an organizational level of analysis, research findings identified four significant variables: Shared Vision (PNS), Role Clarity (RCL), Confidence in Management (CON), and Professional Networking (OLN) that positively impacted family firm financial performance. Shared Vision exhibited the strongest positive influence among the significant factors. In addition, Family Functionality (APGAR), the functional integrity of the family itself, exhibited a significant supporting role. Taken together, the variables collectively represent an effective family business culture (EFBC) that positively impacted the long-term financial sustainability of family owned firms. The index of effective family business culture also exhibited potential as a predictive non-financial model of family firm performance.

  20. Shared Vision promotes family firm performance

    Directory of Open Access Journals (Sweden)

    John Edward Neff

    2015-05-01

    Full Text Available A clear picture of the influential drivers of private family firm performance has proven to be an elusive target. The unique characteristics of private family owned firms necessitate a broader, non-financial approach to reveal firm performance drivers. This research study sought to specify and evaluate the themes that distinguish successful family firms from less successful family firms. In addition, this study explored the possibility that these themes collectively form an effective organizational culture that improves longer-term firm performance. At an organizational level of analysis, research findings identified four significant variables: Shared Vision (PNS, Role Clarity (RCL, Confidence in Management (CON, and Professional Networking (OLN that positively impacted family firm financial performance. Shared Vision exhibited the strongest positive influence among the significant factors. In addition, Family Functionality (APGAR, the functional integrity of the family itself exhibited a significant supporting role. Taken together, the variables collectively represent an effective family business culture (EFBC that positively impacted the long-term financial sustainability of family owned firms. The index of effective family business culture also exhibited potential as a predictive non-financial model of family firm performance.

  1. 7 CFR 51.1551 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.1551 Section 51.1551 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Potatoes 1 Definitions § 51.1551 Firm. Firm means that the potato is not shriveled...

  2. 7 CFR 51.696 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.696 Section 51.696 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... § 51.696 Firm. Firm as applied to common oranges, means that the fruit is not soft, or noticeably...

  3. 7 CFR 51.1353 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.1353 Section 51.1353 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Pears for Canning Definitions § 51.1353 Firm. Firm means that the pear is fairly solid and...

  4. 7 CFR 51.1006 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.1006 Section 51.1006 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Persian (Tahiti) Limes Definitions § 51.1006 Firm. Firm means that the fruit is not soft or...

  5. 7 CFR 51.1824 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.1824 Section 51.1824 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Florida Tangerines Definitions § 51.1824 Firm. Firm means that the flesh is not soft...

  6. 7 CFR 51.765 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.765 Section 51.765 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Florida Grapefruit Definitions § 51.765 Firm. Firm means that the fruit is not soft...

  7. 40 CFR 745.89 - Firm certification.

    Science.gov (United States)

    2010-07-01

    ... 40 Protection of Environment 30 2010-07-01 2010-07-01 false Firm certification. 745.89 Section 745... § 745.89 Firm certification. (a) Initial certification. (1) Firms that perform renovations for compensation must apply to EPA for certification to perform renovations or dust sampling. To apply, a firm must...

  8. Turnaround and Sustainability in Economic Crisis: The Case of NEXT PLC

    OpenAIRE

    Zhang, Biyan

    2013-01-01

    Purpose- against a background of continued weak economic conditions and with many firms experiencing declining financial performance, this paper presents a synthesis of the business turnaround literature and combines with analysis case –NEXT plc. It purposes to discus the turnaround strategies can keep the declining firm sustainability recovery, during the economic cycle. \\ud \\ud Design/methodology/approach- the turnaround strategy for sustainability recovery are examined by a case study of N...

  9. Non-invasive estimation of firmness in apple using VIS/NIR spectroscopy

    DEFF Research Database (Denmark)

    Martinez Vega, Mabel Virginia; Wulfsohn, Dvora-Laio; Toldam-Andersen, Torben Bo

    2012-01-01

    Better and steady fruit quality evaluation at harvest is a major challenge for commercial growers of apples in Denmark. Those fruits not meeting the requirements for the fresh market traditionally go to the juice concentrate industry where low cost products are obtained. Special fruit qualities...... are needed to develop commodities that can obtain a premium added value on the market. Nowadays in the food industry, quality evaluation is commonly performed non-destructively by means of optical sensors such as spectrometers, hyperspectral and multispectral cameras, that allow rapid measurements of fruit...... as for eating apples. Invasive and non-invasive measurements of firmness, on the shaded and exposed side of the fruits were carried out for three Danish apple cultivars of known commercial usage. Resulting data determined wavelengths between 415 to 715 nm to be predictive for firmness. A PLS model for all three...

  10. Firm-Led Malaria Prevention in the United States, 1910-1920.

    Science.gov (United States)

    Carson, Byron

    2016-05-01

    In the absence of capable government services, a railroad company in Texas and multiple cotton mills in North Carolina successfully prevented malaria in the early twentieth century. This Article looks through the lens of economics to understand how and why people had the incentive to privately coordinate malaria prevention during this time, but not after. These firms, motivated by increases in productivity and profit, implemented extensive anti-malaria programs and used their hierarchical organizational structures to monitor performance. The factors underlying the decline of private prevention include a fall in the overall rate of malaria, the increasing presence of the federal government, and technological innovations that lowered exposure to mosquitoes. Understanding how, why, and when firms can prevent diseases has important implications for current disease policy, especially where governments, international organizations, and technologies are not enough.

  11. Essays in environmental economics

    Science.gov (United States)

    Bartz-Marvez, Sherry L.

    This body of work contributes to the literature on two current topics in environmental economics: (1) the relationship between economic development and environmental degradation; and (2) the effectiveness of mandatory information disclosure as a regulatory instrument. For the first topic, we link theoretical and empirical Environmental Kuznets Curve research by using calibration and simulation to test a growth model with environmental quality as a normal good and emissions as a factor of production. We use U.S. macroeconomic, emissions and compliance data to calibrate parameters representing preferences for environmental quality and marginal abatement costs. We simulate the model starting from a less-developed initial condition and compare the predicted pollution-income relationship with that in the data. Our results are mixed. Some support exists for the theory that an inverted U-shape results from a corner solution in which less developed countries do not abate pollution. However, pollution peaks at a level of per capita income which is much lower than that observed in the U.S. data. For the second topic, we study the effectiveness of mandatory information disclosure as environmental regulation. Community-right-to-know programs such as the EPA's Toxic Release Inventory (TRI) use mandatory information disclosure to "shame" dirty firms into reducing emissions. The idea is that the public---armed with previously unavailable emissions information---will pressure firms with higher-than-expected emissions to "clean-up." We use the electricity industry to study the impact of price-and-entry deregulation on the effectiveness of the TRI. Using event studies, we find that, on average, utilities experience losses in firm value immediately following TRI announcements. Using panel regressions, we show that toxic emissions released in regulated states are associated with decreases in firm value while those released in deregulated states are associated with increases in firm

  12. The Effect of Training on Italian Firms' Productivity: Microeconomic and Macroeconomic Perspectives

    Science.gov (United States)

    Guerrazzi, Marco

    2016-01-01

    In this article, I explore the effect of training on the productivity of a sample of Italian firms and the impact of training on EU economic growth. Specifically, retrieving data from a survey performed by the Italian Institute for the Development of Vocational Training in 2009, I find that employer-sponsored training displays a positive and…

  13. The impact of firm and industry characteristics on small firms' capital structure

    NARCIS (Netherlands)

    Degryse, H.A.; de Goeij, P. C.; Kappert, P.

    2012-01-01

    We study the impact of firm and industry characteristics on small firms’ capital structure, employing a proprietary database containing financial statements of Dutch small and medium-sized enterprises (SMEs) from 2003 to 2005. The firm characteristics suggest that the capital structure decision is

  14. Leverage, Growth Opportunities and Firm Investment: The Case of Manufacturing Firms in China

    OpenAIRE

    Di Sheng; Shuyang Hou

    2014-01-01

    This paper examined the impact of financial leverage on investment decisions offirms using the panel data of publicly traded Chinese firms. We collected data for511 manufacturing companies during the period from 2005 to 2013 to do theresearch. The data shows that financial leverage is negatively correlated with afirm’s investment. Moreover, after we categorized the data into two types: 1)high-growth firms and 2) low-growth firms, it demonstrated that such negativecorrelation is significant fo...

  15. 7 CFR 51.634 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.634 Section 51.634 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing...) Definitions § 51.634 Firm. Firm means that the fruit is not soft, or noticeably wilted or flabby, and the skin...

  16. Economic explanations for concurrent sourcing

    DEFF Research Database (Denmark)

    Mols, Niels Peter

    2010-01-01

    Concurrent sourcing is a phenomenon where firms simultaneously make and buy the same good, i.e. they simultaneously use the governance modes of market and hierarchy. Though concurrent sourcing seems to be widespread, few studies of sourcing have focused on this phenomenon. This paper reviews...... different economic explanations for why firms use concurrent sourcing. The distinctive features of the explanations are compared, and it is discussed how they may serve as a springboard for research on concurrent sourcing. Managerial implications are also offered....

  17. Assessing the firm performance through the financial ratios

    Directory of Open Access Journals (Sweden)

    VASILESCU LAURA

    2011-09-01

    Full Text Available The main objective of every firm is the creation of value, respectively the investment for which the efficiency resulted is above the profitability ratio required by the shareholders. In this paper are presented the fianancial indicators used for a proper value measuring of the firm’s performance, which are grouped in three categories: accounting, economical and stock exchange. For each group of indicators are presented the weak and strong points and there is underlined the importance of each indicator in order to reflect the value creation.

  18. A Linkage Model of Supply Chain Operation and Financial Performance for Economic Sustainability of Firm

    Directory of Open Access Journals (Sweden)

    Suk Ho Jin

    2017-01-01

    Full Text Available Although several studies have explored the relationship between the operation and performance of a supply chain (SC, a general SC model cannot deliver the expected financial results at a company-wide level. In this paper, we argue that this cannot guarantee the maximization of a firm’s overall value because short-term financial performance metrics do not reflect the risk to businesses and the invested capital. Owing to the varying natures of risk and the capital invested, firms with multiple divisions should assess each division separately, and the results can be compared for decisions concerning the allocation of the firm’s capital and resources to maximize the overall value of its businesses. We propose a linkage model to consider operational activities and financial performance simultaneously in a firm’s supply chain model. To exhibit the superiority of the proposed model that connects SC operation and financial indicators, we first compare the differences between models for maximizing profit and enterprise-wise economic value added (EVA as objective functions. To examine uncertainty in the operational and financial parameters of the SC, the results of sensitivity analyses are then reported. Experimental results showed that our model, using the EVA approach, is more effective and superior in terms of maximizing the firm’s overall value from the long-term perspective while satisfying the target values for financial ratios set by the firm’s executives and shareholders for all periods, unlike the results of the general model.

  19. The influence of chief eecutive officer reputation on performance of public firms in atin merica

    Directory of Open Access Journals (Sweden)

    Marcia Martins Mendes De Luca

    2017-01-01

    Full Text Available One of the control mechanisms at the disposal of shareholders is based on the reputation of corporate executives. A good personal reputation tends to discourage opportunistic behaviors and reduce limited rationality costs. In light of agency theory and transaction cost economics theory, the reputation of corporate executives is believed to not only reduce such costs but to benefit the reputation of the firm, potentially improving corporate performance. In this study we investigated the effect of the reputation of the chief executive officer (CEO on corporate performance in 46 Latin American public firms traded on the New York stock market as of 31 December 2013. The findings were submitted to descriptive analysis, testing of differences between means, Pearson correlation coefficients and multiple linear regression. Among our findings, i media visibility had a favorable effect on CEO reputation, ii on the average, CEO reputation was better in firms from Brazil than in firms from other Latin American countries, and iii the reputation of the CEO had a significant and positive impact on corporate performance. Our results confirm the importance of choosing a CEO with a good reputation to head the firms of the sample.

  20. The Failing Firm Defence in EU Merger Control and the Effects of the Economic Crisis on its Development

    OpenAIRE

    Ranta, Pontus

    2016-01-01

    In the fall of 2013 the European Commission cleared two mergers, Nynas/Shell/Harburg Refinery and Aegean/Olympic II, on the basis of the failing firm defence. Since the European Commission had only twice before accepted a concentration on the basis of this defence these clearances raised the question whether the Commission’s interpretation of the failing firm defence had become more lenient. Such a change of practice would have been welcomed both by those who believed that the Commission’s fa...

  1. Experiences of Emerging Economy Firms

    DEFF Research Database (Denmark)

    Experiences of Emerging Economy Firms investigates the different elements of the experiences of emerging economy firms and sheds essential light on a large variety of aspects associated with their functioning in both home and host contexts. For example, firms must be able to overcome the liability...... of foreign and emerging issues when they expand their activities in various contexts, enter, exit, and re-enter overseas markets; they have to overcome institutional barriers, adapt the cultural challenges in foreign markets, undergo the impact of large multinational firms from developed economies...

  2. 7 CFR 51.1156 - Firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Firm. 51.1156 Section 51.1156 Agriculture Regulations... Standards for Grades of Florida Oranges and Tangelos Definitions § 51.1156 Firm. Firm as applied to common... oranges of the Mandarin group (Satsumas, King, Mandarin), “firm” means that the fruit is not extremely...

  3. ASSESSING THE NON-FINANCIAL PREDICTORS OF THE SUCCESS AND FAILURE OF YOUNG FIRMS IN THE NETHERLANDS

    Directory of Open Access Journals (Sweden)

    Philip VERGAUWEN

    2005-01-01

    Full Text Available In this study, the Lussier (1995 success and failure prediction model is improved and tested on asample of Dutch firms. Besides clearly defining a specific business plan, work experience is added asa variable, and contrary to previous researches, the discrete variables are dealt with appropriate thistime. The results of this improved model show that product/service timing, planning, managementexperience, knowledge of marketing, economic timing, professional advice, and having a businesspartner are predictors of success and failure for young firms in the Netherlands.

  4. 10 CFR 603.1230 - Commercial firm.

    Science.gov (United States)

    2010-01-01

    ... 10 Energy 4 2010-01-01 2010-01-01 false Commercial firm. 603.1230 Section 603.1230 Energy... Used in this Part § 603.1230 Commercial firm. A for-profit firm or segment of a for-profit firm (e.g., a division or other business unit) that does a substantial portion of its business in the commercial...

  5. Optimal fiscal barriers to international economic integration in the presence of tax havens

    DEFF Research Database (Denmark)

    Johannesen, Niels

    2012-01-01

    This paper develops a model where firms can shift profits to tax havens by means of intra-firm loans and countries can protect themselves against profit shifting by taxing cross-border interest flows. The model considers two countries with a scope for welfare improving economic integration....... The first-best tax system has two important characteristics: (i) the tax rate on interest flows to the other country is zero to ensure the optimal level of economic integration; (ii) the tax rate on interest flows to tax havens is high enough to deter profit shifting to tax havens. In second......-best environments, countries face a trade-off between economic integration and protection against tax havens, which causes protection to be suboptimally low. The key to the result is that economic integration makes it easier for multinational firms to circumvent taxes on interest payments to tax havens with conduit...

  6. Evolutionary technology adoption in an oligopoly market with forward-looking firms

    Science.gov (United States)

    Lamantia, F.; Radi, D.

    2018-05-01

    In this paper, we propose an evolutionary oligopoly game of technology adoption in a market with isoelastic demand and two possible (linear) production technologies. While one technology is characterized by lower marginal costs, the magnitude of fixed costs entails that a technology does not necessarily dominate the other. Firms are forward-looking as they assess the profitability of employing either technology according to the corresponding expected profits. The dynamics of the system is studied through a piecewise-smooth map, for which we present a local stability analysis of equilibria and show the occurrence of smooth and border collision bifurcations. Global analysis of the model is also presented to show the coexistence of attractors and its economic significance. This investigation reveals that firms can fail to learn to adopt the more efficient technology.

  7. The Identity of Ownership on Firm Internationalization

    DEFF Research Database (Denmark)

    Strandskov, Jesper; Madsen, Tage Koed; Pedersen, Bent

    2016-01-01

    The paper develops an integrative ownership-internationalization model that explores the influences of various owner types (i.e. investor-owned firms, family-owned firms, employee-owned firms, cooperative–owned firms, and state-owned firms) on firm internationalization. Based on a comparative...... analysis of the various owner types, we discuss how each owner group’s main objectives, risk behavior and provision of resources influence their internationalization strategies and decisions (i.e. scale, scope and speed decisions)....

  8. The Role of Firm Ownership on Internationalization

    DEFF Research Database (Denmark)

    Hobdari, Bersant; Gregoric, Aleksandra; Sinani, Evis

    2011-01-01

    This paper investigates how different types of owners influence the extent of firm internationalization, measured by the share of firm exports in total sales. The results of the analysis carried out using firm level data of Estonian and Slovenian firms, show that the firms under the control...... in internationalization process. Finally, high market share also leads to increased internationalization through exports as firms seek to expand in foreign markets after having dominated the domestic ones....

  9. Determinants of the capital structure of Portuguese firms with investments in Angola

    Directory of Open Access Journals (Sweden)

    Jorge H.F. Mota

    2017-02-01

    not with pecking order theory (i.e. profitability is negatively related to debt. Conclusion: Our results suggest that the high-growth Angolan market is seen by larger Portuguese firms as a low-risk diversification process because of the economic hardship Portugal has gone through, as well as cultural and linguistic similarities to Portugal. As such, the Angolan market is seen as an extension of the Portuguese domestic market that has increased potential. This scenario potentially reduces the firm default probability and the cost of debt. Maintaining the tax shield benefits of debt and decreasing the cost of debt – through a reduction in the default probability – have induced profitable firms to use more debt.

  10. Immigrants’ initial firm allocation and earnings growth

    Directory of Open Access Journals (Sweden)

    Wen Ci

    2017-05-01

    Full Text Available While employers are playing an increasingly important role in immigration selection in Canada, little is known about how firm-level characteristics affect the economic integration of immigrants. Using a Canadian employer–employee matched dataset, this paper considers whether immigrants initially employed in low-paying firms in Canada experienced inferior earnings growth than those initially employed in high-paying firms. The results show that the large earnings differential observed between immigrants initially employed in low- and high-paying firms diminished only slightly over the subsequent 14 years, even when differences in demographic and general human capital characteristics are taken into account. Alors que les employeurs jouent un rôle de plus en plus important dans la sélection des immigrants qui s’établissent au Canada, on en sait peu sur la façon dont les caractéristiques au niveau de l’entreprise influencent l’intégration économique de ces derniers. Au moyen d’un ensemble de données appariées sur les employeurs et les employés, le présent document vise à déterminer si la croissance des gains des immigrants employés initialement au Canada par des entreprises à bas salaires est plus faible que celle des gains des immigrants employés au départ par des entreprises à hauts salaires. Les résultats montrent que l’écart important observé entre les gains des immigrants employés au départ par des entreprises à bas salaires et de ceux employés par des entreprises à hauts salaires ne diminuait que légèrement au cours des 14 années suivantes, même après avoir tenu compte des différences de caractéristiques démographiques et de caractéristiques générales du capital humain.

  11. Foreign Exchange Exposures of Korean Firms

    Directory of Open Access Journals (Sweden)

    Sungbin Cho

    2011-03-01

    Full Text Available We measure foreign exchange exposures as sensitivity of firm's value to FX premium in the CAPM plus FX premium model, and try to find determinants of the exposures; using data of non-financial companies listed in the Korea Exchange from the year 2007 to 2008. Main findings are as follows. If Korean won depreciates, only a small number of firms is benefitted while majority of firms are harmed to the contrary of common knowledge. As a firm's export increases, the foreign exchange exposure increases up to a certain level and after that it declines. And, smaller firms of negative foreign exchange exposures are more sensitive to foreign exchange changes. These suggest heterogeneous effects of foreign exchange rates on industries and firms.

  12. Innovation and risk-averse firms: Options on carbon allowances as a hedging tool

    International Nuclear Information System (INIS)

    Szolgayová, Jana; Golub, Alexander; Fuss, Sabine

    2014-01-01

    In a regulated world where government seeks to decarbonize the energy sector, firms face both indirect and direct costs of emitting CO 2 . This study seeks to take the perspective of the firm, which needs to maximize profits implying minimization of (carbon) cost as well. In this study, the firm can compose the cost-optimal portfolio of (a) investing into carbon-saving technology, which is currently expensive, (b) investing into carbon-saving technology R and D and adopt this technology at a later point, (c) buying allowances per ton of emitted CO 2 in a carbon market (alternatively this could be formulated as a tax), and (d) buying offsets traded in the same market, which are based on reduced emissions from deforestation and degradation (REDD+). Uncertainties in the cost of carbon coming from a lack of commitment in policy-making leading to fluctuations in markets and uncertainty in the payoff of R and D activities could provide disincentives to incur large up-front sunk cost and raise the economic value of being flexible. We apply a real options approach with stochastic carbon-saving technology costs and stochastic CO 2 costs. Assuming that firms are risk-averse, they will not only value flexibility, but also risk reductions from diversification over the different (carbon mitigation) options. - Highlights: • We study the compliance problem of a private firm under both regulatory and technological uncertainty in an optimal control setting. • When firms are risk-averse, forest-backed offset options will be part of the compliance portfolio. • R and D creates valuable options on new technology

  13. From the Schumpeterian entrepreneur toward modern evolutionary economics

    DEFF Research Database (Denmark)

    Andersen, Esben Sloth

    and by the distinction between microevolution and macroevolution. The Mark I model describes economic evolution as the outcome of the interaction between individual innovative entrepreneurs and routine-based incumbent firms.Mark II describes economic evolution as the outcome of the innovative oligopolistic competition...

  14. Gibrat's Law and the Firm Size / Firm Growth Relationship in Italian Services

    NARCIS (Netherlands)

    R. Piergiovanni; E. Santarelli (Enrico); L. Klomp (Luuk); A.R. Thurik (Roy)

    2002-01-01

    textabstractSeveral surveys on intra-industry dynamics have recently reached the conclusion from a large body of evidence that Gibrat's Law does not hold, i.e., the main finding is that firm growth decreases with firm size. However, almost all of these studies have been based on manufacturing. In

  15. Drivers of Discretionary Firm Donations in Brazil

    Directory of Open Access Journals (Sweden)

    Rodrigo Bandeira-de-Mello

    2008-10-01

    Full Text Available Discretionary firm donation is usually related to the stakeholder theory and corporate social performance. Although theoretical explanations for this social behavior are pervasive in related literature, empirical modeling remains underdeveloped. We developed an explanatory structural model of discretionary firm donation using firm and industry level indicators. Unlike previous research, we estimated the explanatory power of the construct we called stakeholder orientation. Our tentative model was tested on a Brazilian sample of 101 publicly traded donor firms, using data on firm donations to social projects and to political candidates in electoral campaigns. The main results suggest that discretionary donation seems to be a strategy for managing conflicting claims in highly stakeholder oriented firms; the characteristics of the firm are more important than industry effects in explaining firm donations; and large firms, showing slack resources, and with a less concentrated ownership structure tend to engage in discretionary donation more intensively.

  16. Foreign Entry and Heterogeneous Growth of Firms

    DEFF Research Database (Denmark)

    Deng, Paul Duo; Jefferson, Gary H.

    We adopt the framework of Schumpeterian creative destruction formalized by Aghion et al. (2009) to analyze the impact of foreign entry on the productivity growth of domestic firms. In the face of foreign entry, domestic firms exhibit heterogeneous patterns of growth depending on their technologic...... manufacturing. Our empirical results confirm that foreign entry indeed generates strong heterogeneous growth patterns among domestic firms.......We adopt the framework of Schumpeterian creative destruction formalized by Aghion et al. (2009) to analyze the impact of foreign entry on the productivity growth of domestic firms. In the face of foreign entry, domestic firms exhibit heterogeneous patterns of growth depending on their technological...... distance from foreign firms. Domestic firms with smaller technological distance from their foreign counterparts tend to experience faster productivity growth, while firms with larger technological distance tend to lag further behind. We test this hypothesis using a unique firm-level data of Chinese...

  17. Enhancing the innovative capacity of small firms through triple helix interactions : challenges and opportunities

    NARCIS (Netherlands)

    Ranga, Liana Marina; Miedema, Joost; Jorna, Rene

    2008-01-01

    This paper presents the results of a recent exploratory study aiming to enhance the innovative capacity of small firms in the Northern Netherlands, a region lagging behind the rest of the country in terms of economic growth and innovative capacity. The triple helix perspective is adopted to examine

  18. Do Treasure Islands Create Firm Value?

    DEFF Research Database (Denmark)

    Lai, Tat-kei; Ng, Travis

    They do! Otherwise, their use would not have been so prevalent among firms. How much firm value they create, however, is still an open question. Exploiting a political event in the U.K. that suddenly raised the cost of using tax havens, we find that there was a 0.87% reduction in cumulative...... abnormal return (CAR) among the sampled firms, corresponding to about £532 million in market capitalization. The firms of stronger corporate governance registered a stronger reduction in CAR. A simple linear extrapolation suggests that the firm value contributed by tax havens can be as much as £31 billion....

  19. Do Work-Life Balance Policies Increase a Firm's Total Factor Productivity?: Evidence from panel data of Japanese firms (Japanese)

    OpenAIRE

    YAMAMOTO Isamu; MATSUURA Toshiyuki

    2011-01-01

    This paper examines how firms' policies for workers' work-life balance (WLB) affect total factor productivity (TFP) in the long run, by using panel data of Japanese firms from the 1990s. Although we observed a positive correlation between firms' WLB policies and their TFP, once controlling for unobserved firm heterogeneity, we found no causal relationship where WLB policies increase a firm's TFP in the long run. Under the following conditions, however, WLB policies would likely improve a firm...

  20. Agility in a small software firm

    DEFF Research Database (Denmark)

    Schmidt, Thomas; Mathiassen, Lars

    2009-01-01

    Small software firms are vulnerable to environmental uncertainty. While agile methods and other technologies offer suggestions to this challenge, we know little about how these firms combine project and firm level capabilities to effectively respond to changes. On this backdrop, we examine a small...... Danish software firm, TeachTech Inc., through the lens of Haeckel's sense-and-respond approach. Our analysis suggests that: the firm has appropriate sense-and-respond cycles, but improving process modularity and human resource flexibility, could increase its ability to respond faster and more effectively......; the firm focuses on specific business goals, but these are not clearly explicated and expressed as empowering governing values enabling a quick and coordinated response; complex and demanding challenges are related to dynamically reassigning commitments and the supporting mechanisms are insufficient...

  1. The creation of special economic zones in China: Positive and negative impacts in its implementation

    Directory of Open Access Journals (Sweden)

    José Manuel Orozco Plascencia

    2011-08-01

    Full Text Available At the end of seventies, Deng Xioaping, President applied a modernization policy in China, that during more than 30 years allow to reach high economic growth rates above 8% average per year. This reform included the instauration of four Special Economic Zones (SEZ in the southeast of the country, three in Guangdong (Shenzhen, Zhuhai and Shantao and one in Xiamen, Fujian.The purpose of this paper is to analyze the backgrounds of SEZ, the reasons of Chinese Government to implement its and the positive impacts and barriers to become operational.The conclusion in this article is that sez arise like an experiment of the Chinese central government economic policy to apply capitalist measures in design previous regions, the most important benefit has been the strong attraction of Foreing Direct Investment, explained in a surplus trade balance, sustanaible economic growht and technological transference. However, the most significative operational barrier has been the legal rigidity in the imported overseas products, a change of nacional politicideology system and problem asociated with burocracy and corruption.

  2. Foreign Firms, Domestic Wages

    DEFF Research Database (Denmark)

    Malchow-Møller, Nikolaj; Markusen, James R.; Schjerning, Bertel

    Many papers have documented a wage premium in foreign-owned and large firms. However, there is very little formal theory in the literature and empirical analyses are typically not based on hypotheses which are rigorously derived from theory. This paper contributes to the theory-empirics gap...... by developing a model that allows for two "pure" explanations for the wage premium. The first is a heterogenous-worker explanation along the lines of Yeaple (2005), where firms that select more scaleintensive technologies select ex-ante more productive workers. In this case, the wage premium is a pure selection...... phenomenon. The second explanation builds on the heterogeneous-firm model of Melitz (2003) combined with on-the-job learning as in Markusen (2001). Productivity differences between firms are internalized by ex-ante homogeneous workers, so the wage premium is a pure learning phenomenon due to ex-post higher...

  3. The Trust Capital and the 4 E Supporting the Theory and Practice of the Firm

    Directory of Open Access Journals (Sweden)

    Trifu Alexandru

    2013-09-01

    Full Text Available Any entity in the market economy serves the needs expressed by customers and clients. Meeting their needs by providing quality products and services as well as reliability and by proving the possibility of coping with the permanently changing competitive conditions also ensures the development of certain components related to customer psychology, namely trust and loyalty. Economics, efficiency, efficacy and ethic (the 4 E represent the framework of the well-functioning of a firm, both in interior, and in relationships with the environment. The ethic gives the quality of this mechanism to differentiate the firm the other from the same market.

  4. Foreign Firms, Domestic Wages

    DEFF Research Database (Denmark)

    Malchow-Møller, Nikolaj; Schjerning, Bertel; R. Markusen, James

    2013-01-01

    Three types of theories have been used to explain the wage premium in foreign firms: the theories of heterogeneous workers, heterogeneous learning, and heterogeneous firms. We set up a model that explicitly encompasses two of these theories, and that can illustrate the third. This unifying...

  5. Location of New Firms

    DEFF Research Database (Denmark)

    Backman, Mikaela; Karlsson, Charlie

    2017-01-01

    characteristics, such as the commuting experience. Our results show that commuting influences the firm location choice. The probability of establishing a firm in the work municipality increases if the entrepreneur is a commuter, holding constant the type of region and unobservable and observable individual...

  6. Information Trading by Corporate Insiders Based on Accounting Accruals - Forecasting Economic Performance

    NARCIS (Netherlands)

    Hodgson, A.; van Praag, B.

    2006-01-01

    In this paper, we test whether directors’ (corporate insiders) trading in Australia, based on accounting accruals, provides incremental information in forecasting a firm's economic performance. We determine that directors’ trading on negative accruals in larger firms has greater forecasting content

  7. Innovative knowledge sharing, supply chain integration and firm performance of Australian manufacturing firms

    NARCIS (Netherlands)

    Singh, Prakash J.; Power, Damien

    2014-01-01

    A number of reports show that innovation in Australian manufacturing firms is declining. We propose that better knowledge sharing practices can assist these firms to become more innovative. In this paper, we examine this proposition by empirically testing the relationship between knowledge sharing

  8. Does Labor Diversity Affect Firm Performance?

    DEFF Research Database (Denmark)

    Pytlikova, Mariola; Pozzoli, Dario; Parrotta, Pierpaolo

    /education significantly enhances firm performance as measured by firm TFP. Conversely, diversity in demographics and ethnicity brings mixed results – both dimensions of workforce diversity have either no or negative effects on firm TFP. Hence, it seems as if the negative effects, coming from communication and integration...... costs connected to a more demographically and culturally diverse workforce, counteract the positive effects of diversity on firm TFP, coming from creativity and knowledge spillovers. However, we find that ethnic diversity is valuable for firms operating in industries characterized by above-average trade...... openness, giving support to the hypothesis that an ethnically diverse workforce provides information and access to global markets....

  9. A dynamic model for firm-response to non-credible incentive regulation regimes

    International Nuclear Information System (INIS)

    Agrell, Per J.; Grifell-Tatjé, Emili

    2016-01-01

    Economic network regulation increasingly use quantitative performance models (from econometrics and engineering) to set revenues. In theory, high-powered incentive regulation, such as revenue-caps, induces firms to cost-efficient behavior independent of underlying model. However, anecdotal evidence shows regulated firms occasionally maintaining cost-inefficiency under incentive regulation even under slumping profitability. We present a model for firm-level efficiency under a regime with a probability of failure explaining this phenomenon. The model is based on the hypothesis that the regulatory choice of method can be associated with intrinsic flaws leading to judicial repeal and replacement of it by a low-powered regime. The results show that the cost efficiency policy is proportional to the type of firm (cost of effort), value of time (discount factor) and the credibility of the method (risk of failure). A panel data set for 2000–2006 for 128 electricity distributors in Sweden is used to validate the model predictions (radical productivity slowdown, failing profitability and efficiency) at the launch and demise of a non-credible regulation method. The work highlights the fallacy of viewing incentive regulation as a method-independent instrument, a result applicable in any infrastructure regulation. - Highlights: • Incentive regulation relies on fixed revenue for operators. • In existing theory the efficiency-inducing effect is model-independent. • A dynamic game exposes the firm to a regulation that may fail. • One optimal policy is to pad cost and wait for the failure. • The Swedish DSOs show this policy 2003–2006, when the regime failed.

  10. Non-invasive estimation of firmness in apple fruit using VIS/NIR spectroscopy

    DEFF Research Database (Denmark)

    Martínez, M.; Wulfsohn, Dvora-Laio; Toldam-Andersen, Torben Bo

    2012-01-01

    Better and steady fruit quality evaluation at harvest is a major challenge for commercial growers of apples in Denmark. Those fruits not meeting the requirements for the fresh market traditionally go to the juice concentrate industry where low cost products are obtained. Special fruit qualities...... are needed to develop commodities that can obtain a premium added value on the market. Nowadays in the food industry, quality evaluation is commonly performed non-destructively by means of optical sensors such as spectrometers, hyperspectral and multispectral cameras, that allow rapid measurements of fruit...... as for eating apples. Invasive and non-invasive measurements of firmness, on the shaded and exposed side of the fruits were carried out for three Danish apple cultivars of known commercial usage. Resulting data determined wavelengths between 415 to 715 nm to be predictive for firmness. A PLS model for all three...

  11. From Knowledge to Firm Performance: An Empirical analysis of Intellectual Capital Impact in Polish and Dutch Listed Firms

    Directory of Open Access Journals (Sweden)

    Koen Verduijn

    2013-09-01

    Full Text Available Purpose: Empirical results about the direct relation of knowledge leading to financial performance at a firm is dispersed. This study aims to examine the impact intellectual capital (IC has on firm performance in Polish and Dutch listed firms.Methodology: Quantitative data is collected based on audited annual reports from the top 20 companies listed at the Warsaw Stock Exchange and Amsterdam Stock Exchange between 2007 and 2011. IC is measured using the VAIC methodology with its individual elements of HCE, SCE, and CEE. Direct relations between ICE, HCE, and SCE and five measures of firm performance are statistically analysed.Results: The results suggest that there is a direct positive relationship between ICE and firm performance of Polish and Dutch listed firms, particularly with ROA, ROE, EP, and to a lesser extent with ATO. Firms listed in Poland provide a stronger positive ICE relation to ROA and ROE where firms listed in the Netherlands provide a stronger positive ICE relation to EP. Regarding individual elements, HCE relates highly positive to ROA, ROE, and EP where SCE finds only partial negative relation with ATO.Implications: Nurturing IC and in particular HC confirms the importance of firm knowledge and employees with right training and other support. Additionally, further clarification regarding SC is required.Originality: This paper presents the first study of the IC relationship with firm performance in Poland as well in the Netherlands. Additionally, the comparison between firms of both countries establishes a novelty in IC research.

  12. An Aspirational Community Theory of the Firm

    DEFF Research Database (Denmark)

    Li, Xin

    propose an aspirational community theory of the firm (ACT) as a candidate theory by conceptualizing the firm as an aspirational community, the core of which is a group of like-minded people sharing similar or same aspiration/vision. To explain the existence of the firm, we make a distinction between......All of the three major theories of the firm, i.e., the transaction cost theory, knowledge-based theory and the entrepreneurship theory, offer some insightful analyses of the nature of the firm. However, they all have limitations and weaknesses in answering the fundamental question of the existence...... of the firm. In addition, they are all partial due to their particular focus on the multifaceted phenomenon of the firm. We argue that it is necessary and sufficient to develop a comprehensive yet integrative theory of the firm that combines the three competing yet complementary logics. Toward this end, we...

  13. Supervision in Firms

    OpenAIRE

    Vafaï , Kouroche

    2012-01-01

    URL des Documents de travail : http://centredeconomiesorbonne.univ-paris1.fr/bandeau-haut/documents-de-travail/; Documents de travail du Centre d'Economie de la Sorbonne 2012.84 - ISSN : 1955-611X; To control, evaluate, and motivate their agents, firms employ supervisors. As shown by empirical investigations, biased evaluation by supervisors linked to collusion is a persistent feature of firms. This paper studies how deceptive supervision affects agency relationships. We consider a three-leve...

  14. Pengukuran Kinerja Perusahaan Melalui Economic Value Added (Eva) Dan (Mva) Market Value

    OpenAIRE

    Andhaniwati, Erry

    2011-01-01

    Performance corporating to constitute one of prescriptive factor gets on descent of stock price because firm performance constitute to refuse fathom for investor deeping to determine stock bid price. Economic Value Added, and Market Value Added are umpteen corporate performance grader that can be utilized by investor in assesses how well firm performance. Therefore to the effect this research is subject to be analyse influence among Economic Value Added , and Market Value Added to stock pr...

  15. Merger incentives and the failing firm defense

    NARCIS (Netherlands)

    Bouckaert, J.M.C.; Kort, P.M.

    2014-01-01

    The merger incentives between profitable firms differ fundamentally from the incentives of a profitable firm to merge with a failing firm. We investigate these incentives under different modes of price competition and Cournot behavior. Our main finding is that firms strictly prefer exit of the

  16. R and D investment of electricity-generating firms following industry restructuring

    International Nuclear Information System (INIS)

    Kim, Jihwan; Kim, Yeonbae; Flacher, David

    2012-01-01

    Since electricity market restructuring, questions over adequate levels of R and D investments persisted. Using an unbalanced panel data of 70 electricity-generating firms across 15 Organisations of Economic Co-operation and Development countries from 1990 to 2008, this paper empirically examines the impacts of entry liberalization (allowing third party access, establishing a wholesale market, and deregulating a retail market), vertical unbundling, privatization, and firm size on R and D investments. Entry liberalization is associated with a decline in R and D investment. Establishing a wholesale market exhibits the greatest negative effects on R and D investment. Regulated TPA and retail market deregulation also decrease R and D. The effect of privatization is not independently salient but interacts with a wholesale pool to lower R and D investments. Large firms spend more on R and D investment than small firms. Results indicate that the restructuring of the electricity industry reduces R and D investment, which may be detrimental to the reliability and the efficiency of the electricity system as well as to the creation and maintenance of the innovation capabilities necessary to address demand and environmental concerns. - Highlights: ► Entry liberalization decreases R and D outlays of electricity generating utilities. ► Establishment of a wholesale market leads to a substantial decline in R and D spending. ► Private ownership interacts with entry liberalization to lower R and D investment.

  17. Cash flow vs. collateral-based credit: performance of micro, small and medium-sized firms in transition economies

    Czech Academy of Sciences Publication Activity Database

    Cassano, F.; Joeveer, K.; Švejnar, Jan

    2013-01-01

    Roč. 21, č. 2 (2013), s. 269-300 ISSN 0967-0750 Institutional support: RVO:67985998 Keywords : micro, small and medium-sized enterprises * bank credit * firm performance Subject RIV: AH - Economics Impact factor: 0.755, year: 2013

  18. Firm Based Trade Models and Turkish Economy

    Directory of Open Access Journals (Sweden)

    Nilüfer ARGIN

    2015-12-01

    Full Text Available Among all international trade models, only The Firm Based Trade Models explains firm’s action and behavior in the world trade. The Firm Based Trade Models focuses on the trade behavior of individual firms that actually make intra industry trade. Firm Based Trade Models can explain globalization process truly. These approaches include multinational cooperation, supply chain and outsourcing also. Our paper aims to explain and analyze Turkish export with Firm Based Trade Models’ context. We use UNCTAD data on exports by SITC Rev 3 categorization to explain total export and 255 products and calculate intensive-extensive margins of Turkish firms.

  19. Strategic Adjustment Capacity, Sustained Competitive Advantage, and Firm Performance: An Evolutionary Perspective on Bird Flocking and Firm Competition

    Directory of Open Access Journals (Sweden)

    Shou Chen

    2017-01-01

    Full Text Available Imitating the positioning rules in the bird flocking system, the strategic adjustment capacity is decomposed into three aspects, which are the organizational learning capacity from the top firms, the extent to which firms maintain or rely on the best operational capacity vector in history, and the ability to overcome the disadvantage while maintaining the advantage of the operational capacity vector from the previous years, respectively. Financial vectors are constructed to represent the results of corporate strategic adjustment and listed firms in the China A stock are chosen as the samples. As empirical analysis reveals, there is a positive correlation between the organizational learning capacity from the top firms and the firm performance and a U-shaped relation between the learning capability from the previous best operational capacity vector and the firm performance. However, no significant correlation between the inertia control ability of the current operational capacity vector of the firms and their performance improvement can be observed. This study verifies that the issue of corporate competitiveness and performance can be investigated by utilizing the principles of competition in nature. Moreover, a firm can obtain a sustainable competitive advantage by improving its ability to learn from top firms in the industry.

  20. Movements, Markets and Fields: The Effects of Anti-Sweatshop Campaigns on U.S. Firms, 1993-2000

    Science.gov (United States)

    Bartley, Tim; Child, Curtis

    2011-01-01

    How do social movements influence corporations? Recent work suggests that movements can inflict material damage on their targets and shape categories of evaluation in organizational fields. Extending these ideas, we examine the effects of anti-sweatshop campaigns on sales, stock performance, reputation and specialized ratings of U.S. firms, using…

  1. Strong Firms Lobby, Weak Firms Bribe

    DEFF Research Database (Denmark)

    Bennedsen, Morten; Feldmann, Sven E.; Lassen, David Dreyer

    that are larger, older, exporting, government-owned, are widely held and/or have fewer competitors, have more political influence, perceive corruption to be less of a problem and pay bribes less often; (c) influence increases sales and government subsidies and in general makes the firm have a more positive view...

  2. Men in Limbo: Former Students with Special Educational Needs Caught between Economic Independence and Social Security Dependence

    Science.gov (United States)

    Skjong, Gerd; Myklebust, Jon Olav

    2016-01-01

    Individuals in their mid-thirties are expected to be employed and economically independent. However, people with disabilities and health problems--for example, former students with special educational needs (SEN)--may have problems in this domain of adult life. In Norway, individuals with SEN frequently rely on social security and support measures…

  3. Stakeholder capitalism, corporate governance and firm value

    OpenAIRE

    Allen, Franklin; Carletti, Elena; Marquez, Robert

    2007-01-01

    In countries such as Germany, the legal system is such that firms are necessarily stakeholder oriented. In others like Japan social convention achieves a similar effect. We analyze the advantages and disadvantages of stakeholder-oriented firms that are concerned with employees and suppliers compared to pure shareholder-oriented firms. We show that in a context of imperfect competition stakeholder firms have higher prices and lower output than shareholder-oriented firms. Surprisingly, we also ...

  4. ECONOMIC THEORY OF LOBBYING: EVALUATION OF ECONOMIC EFFICIENCY

    Directory of Open Access Journals (Sweden)

    Павел Александрович Толстых

    2013-04-01

    Full Text Available In this article the author continues to analyze lobbying with regards to economic paradigm. [The author has started discussing lobbying in terms of economic theory in the article Politico-economic theory of lobbying / / Historical, philosophical, political and legal sciences, culture and art. Theory and practice. Tambov: Gramota, 2013. No 1. Part 2. p. 177-189.] Researcher evaluates the cost effectiveness of the lobbying function. Lobbying is understood as activity of specifically authorized employees of corporations and lobbying firms representing their interests, trade associations. This activity is aimed at improving the profitability of integrated and sustainable business development by representing  long-term, comfortable, predictable system of relationships with the relevant field-specific political stakeholders of the federal and regional levels. The article presents an in-depth analysis of economic concepts of lobbying function.DOI: http://dx.doi.org/10.12731/2218-7405-2013-1-3

  5. Do institutions, ownership, exporting and competition explain firm performance? Evidence from 26 transition countries

    Czech Academy of Sciences Publication Activity Database

    Commander, S.; Švejnar, Jan

    -, č. 344 (2007), s. 1-32 [Winds of Change: The Impact of Globalization on Europe and Asia. Kiev, 23.03.2007-24.03.2007] Institutional research plan: CEZ:AV0Z70850503 Keywords : firm performance * productivity * competition Subject RIV: AH - Economics http://www.case.com.pl/upload/publikacja_plik/15038980_sa344.pdf

  6. Firm dynamic analysis for urban land use and economic growth modelling

    NARCIS (Netherlands)

    Che'Man, N.; Sabri, S.; Hosni, N.; Timmermans, H.J.P.

    2013-01-01

    In urban growth processes, urbanisation is highly influenced by economic growth which triggers the dynamics of economic agents and land uses. This is consisted of complex subsystems which need sophisticated methods like agent-based modelling and simulation to understand the pattern, behaviour and

  7. Asset stripping and firm survival in mass privatization: testing the Hoff-Stiglitz and Campos-Giovannoni models in Montenegro

    Czech Academy of Sciences Publication Activity Database

    Koman, M.; Lakićević, M.; Prašnikar, J.; Švejnar, Jan

    2015-01-01

    Roč. 43, č. 2 (2015), s. 274-289 ISSN 0147-5967 Institutional support: PRVOUK-P23 Keywords : asset stripping * mass privatization * firm survival Subject RIV: AH - Economics Impact factor: 1.380, year: 2015

  8. Market-Oriented Product Innovation in Small Firms

    NARCIS (Netherlands)

    Verhees, F.J.H.M.

    2005-01-01

    Description: This thesis deals with product-innovation in small firms. It aims at a better understanding of the determinants of product innovation in small firms, particularly those determinants that are related to the market orientation of small firms. The focus of the study is on small firms that

  9. Re-Spatializing development: Reflections from South Africa’s recent re-engagement with planning for Special Economic Zones

    Directory of Open Access Journals (Sweden)

    Etienne L. Nel

    2014-07-01

    Full Text Available In 2014 the South African government formally sanctioned the establishment of Special Economic Zones (SEZs in that country. The importance attached to SEZs reflects a clear return to spatially-based economic interventions following the recognition of the persistence of deep-rooted structural and spatial inequalities in the country. This paper discusses South Africa’s past and present involvement in processes of spatial economic development and how the SEZ concept has emerged. The potential of SEZs is assessed relative to local experience with the lack-lustre performance of what were termed Industrial Development Zones (IDZs since 2001. While re-engagement with issues of how to address ‘uneven geographical development’ is clearly significant, it would be difficult to argue that SEZs will achieve guaranteed success.

  10. The International Location Decision: A Study of Manufacturing Firms

    DEFF Research Database (Denmark)

    Touray, Ebou; Schmidt, Andreas; Herbert-Hansen, Zaza Nadja Lee

    2018-01-01

    The aim of this paper is to build a broader understanding of the international location decision (ILD) of manufacturing by investigating and mapping Danish manufacturing firms’ related activities and underlying processes. Using an exploratory survey ap-proach on 17 Danish firms, the study shows...... there is less emphasis on cost than in past studies and a large unstructured human influence. A framework containing six catego-ries of ILD factors—cost, labor and social characteristics, infrastructure, politics and regulations, economics, and markets and resources—and an assessment of their respec-tive single...

  11. Corporate social responsibility motives and theories evidenced among oilwell drilling firms in Alberta

    Science.gov (United States)

    Altvater, Norbert

    This dissertation is a study in conceptual CSR motives and theories prompted by the knowledge that socially active NGOs have tried to influence the CSP of companies in Alberta's oil patch by using media pressure. The focus of the study was narrowed to changing CSP among Alberta's oilwell drilling firms. This permits intensive interviews with the firms' informants. The examination of changing CSP implies a consideration of the pressures that prompt and influence its change, and points this study to firm motives for behaving responsibly. The firms were firstly categorized according to their primary and secondary CSP using 5 dimensions of CSR previously used by The Conference Board of Canada. The study uses CSR motives conceptualized by Ruth Aguilera and her collaborators to assess the firms' CSP using self-assessed CSR motives and observed CSP. At the onset 3 working hypotheses were posited as starting points from which substantiated propositions were developed. Lance Moir's and Elisabet Garriga and Domènec Meld's classifications of CSR theories were used to organize and evaluate the data. A mapping of the motives and theories in respect of the firms' primary and secondary CSR dimensions appears to display correlations between the CSR theories and the conceptualized motives. Nevertheless, for some of the firms none of the motives conceptualized by Aguilera and her collaborators seem to apply. By re-visiting the motives, and examining them more closely, it seems possible refine the conceptualized motives relying more on perceived conceptions, which are at the basis of legitimacy theories, rather than on relational factors to better explain the normative expectations raised. A similar analysis also indicates that the firms' seem to seek economic benefits, social benefits, or a combination of both. The CSP that results is within the same continuum; the resulting CSP for the firms seems to mediate towards a blend of both, regardless of the original CSR motives. These

  12. Correlation between Sales of Foreign Affiliates and Productivity of Multinational Firms: Evidence from Korean Firm-Level Data

    Directory of Open Access Journals (Sweden)

    Jung Hur

    2013-09-01

    Full Text Available Using firm-level panel data for Korean multinational enterprises (MNEs, we make a distinction between being the only affiliate of a parent firm and being one of the multiple affiliates of a parent firm. In particular, we attempt to find a correlation between the sales of foreign affiliates and the productivity of multinational firms. Our main empirical results in this paper suggest that productive Korean MNEs would enlarge the number of affiliates in the host country.

  13. The effect of institutional development on the growth of Brazilian firms

    Directory of Open Access Journals (Sweden)

    Antonio Gledson de Carvalho

    2008-12-01

    Full Text Available This article focuses on the determinants of firm's growth in Brazil. In particular it investigates the individual characteristics of firm that determine its growth; how institutional development affects firm's performance, and how institutional development differently affects small and large firms. We find that, consistently with the learning models, growth is decreasing on age and negatively correlated to size. As expected, firms that belong to an economic group, export and maintain operations abroad grow faster. Growth is negatively correlated to profitability. Furthermore, we observe that shortcomings in institutional development, when measured in terms of corruption, inefficiency of the judicial system and lack of financial development, have a negative impact on firms' growth. This negative impact of corruption and inefficiency of the judicial system is stronger for smaller firms. Large firms benefit the most with financial development. Overall our results indicate that improvement in institutions can be an important mechanism to promote growth. Furthermore, institutional underdevelopment has the perverse effect of promoting concentration.Este artigo foca nos determinantes da taxa de crescimento das firmas no Brasil. Em particular, investigamos as características individuais das empresas que determinam o seu crescimento, como o desenvolvimento institucional afeta a performance da firma e como o desenvolvimento institucional afeta de maneira diversa pequenas e grandes empresas. Nossos resultados, consistentemente com os modelos de crescimento, indicam que taxas de crescimento decrescem com a idade e tamanho da empresa. Conforme o esperado, empresas que pertencem a um grupo econômico, exportam ou mantêm operações no exterior crescem mais rapidamente. Crescimento é negativamente correlacionado com lucratividade. Observamos também que fraco desenvolvimento institucional, mensurado em termos de corrupção e ineficiência do sistema judici

  14. Swedish Listed Family Firms and Entrepreneurial Spirit

    OpenAIRE

    Bjuggren, Per-Olof; Palmberg, Johanna

    2008-01-01

    This paper investigates the entrepreneurial spirit in Swedish listed family firms. We associate family firms with entrepreneurship in the sense that there is an identifiable person that takes the uninsurable risk in the sense of Knight. This paper analysis two questions: Do entrepreneurial family firms have a higher rate of growth and do they invest in a more profit maximizing fashion than other listed firms? The analysis shows that entrepreneurial family firms in general are smaller in terms...

  15. 7 CFR 51.1831 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.1831 Section 51.1831 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Florida Tangerines Definitions § 51.1831 Fairly firm. Fairly firm means that the...

  16. 24 CFR 200.47 - Firm commitments.

    Science.gov (United States)

    2010-04-01

    ... 24 Housing and Urban Development 2 2010-04-01 2010-04-01 false Firm commitments. 200.47 Section 200.47 Housing and Urban Development Regulations Relating to Housing and Urban Development (Continued... Eligibility Requirements for Existing Projects Commitment Applications § 200.47 Firm commitments. A valid firm...

  17. 7 CFR 51.774 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.774 Section 51.774 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Florida Grapefruit Definitions § 51.774 Fairly firm. Fairly firm means that the...

  18. 7 CFR 51.2843 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.2843 Section 51.2843 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Fairly firm. Fairly firm means that the onion may yield slightly to moderate pressure but is not...

  19. 7 CFR 51.3204 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.3204 Section 51.3204 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Bermuda-Granex-Grano Type Onions Definitions § 51.3204 Fairly firm. Fairly firm...

  20. 7 CFR 51.1167 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.1167 Section 51.1167 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Grades of Florida Oranges and Tangelos Definitions § 51.1167 Fairly firm. Fairly firm as...

  1. Selection of infectious medical waste disposal firms by using the analytic hierarchy process and sensitivity analysis

    International Nuclear Information System (INIS)

    Hsu, P.-F.; Wu, C.-R.; Li, Y.-T.

    2008-01-01

    While Taiwanese hospitals dispose of large amounts of medical waste to ensure sanitation and personal hygiene, doing so inefficiently creates potential environmental hazards and increases operational expenses. However, hospitals lack objective criteria to select the most appropriate waste disposal firm and evaluate its performance, instead relying on their own subjective judgment and previous experiences. Therefore, this work presents an analytic hierarchy process (AHP) method to objectively select medical waste disposal firms based on the results of interviews with experts in the field, thus reducing overhead costs and enhancing medical waste management. An appropriate weight criterion based on AHP is derived to assess the effectiveness of medical waste disposal firms. The proposed AHP-based method offers a more efficient and precise means of selecting medical waste firms than subjective assessment methods do, thus reducing the potential risks for hospitals. Analysis results indicate that the medical sector selects the most appropriate infectious medical waste disposal firm based on the following rank: matching degree, contractor's qualifications, contractor's service capability, contractor's equipment and economic factors. By providing hospitals with an effective means of evaluating medical waste disposal firms, the proposed AHP method can reduce overhead costs and enable medical waste management to understand the market demand in the health sector. Moreover, performed through use of Expert Choice software, sensitivity analysis can survey the criterion weight of the degree of influence with an alternative hierarchy

  2. Sustaining Competitiveness: Moving Towards Upstream Manufacturing in Specialized-Market-Based Clusters in the Chinese Toy Industry

    Directory of Open Access Journals (Sweden)

    Huasheng Zhu

    2016-02-01

    Full Text Available Western industrial cluster literature pays little attention to specialized markets (SMs and the geographical agglomeration of distributors or sale agencies (SAs. This paper takes Linyin, Shandong, a famous commodity city in Northeastern China, as an example, to discuss the determinants that make SAs in SMs of the toy industry move towards upstream manufacturing. A structured questionnaire survey and subsequent interviews were carried out during 2011 and 2012 to collect data, and a Binary Logistic Regression Model was used to process the data. This paper looks from the perspective of global production networks theory, establishes an analytical framework that combines individual motivations of intra-firm coordination, local inter-firm relationships and dynamic cross-regional level relationships. The findings indicate that the expansion of SAs towards manufacturing allows them to sustain competitiveness under changing circumstances. The local inter-firm relationships within SM-based clusters not only makes it easy to obtain material and human resources with lower manufacturing costs, but also facilitates the access to production knowledge and technologies for an expansion of production scale. Cross-regional relationships with suppliers provide an informal channel for SAs to obtain skills, which is fundamental for an expansion into manufacturing. In addition, it is a preference for strengthening competitiveness rather than the simple pursuit of economic profit that encourages SAs to invest in manufacturing.

  3. Spatial self-preference: On the limits of place marketing to attract new residents and firms

    NARCIS (Netherlands)

    Hospers, G-J.

    2010-01-01

    Worried about demographic and economic shrinkage, more and more cities and regions in Europe invest in place marketing. With campaigns, they try to seduce new residents and firms to settle in their community. In this article, we question the usefulness of such 'cold' place marketing by referring to

  4. The market for firms

    DEFF Research Database (Denmark)

    Davis, Jerome Dean; Keiding, Hans

    2010-01-01

    and as a consequence a higher sales value of the firm. Buyers take this signaling into consideration, but irrespective of their countermoves, the equilib- rium result may be a lowering of ex ante product prices, and an ex post market overvaluation of the firm. This model is utilized to suggest possible explanations...

  5. Demystifying the role of a state ownership in corporate governance and firm performance: Evidence from the manufacturing sector in Malaysia

    Directory of Open Access Journals (Sweden)

    Amran Rasli

    2013-12-01

    Full Text Available The aim of this research is to examine the role of state ownership in corporate governance and firm performance. We employed ordinary least squares and two-stage least squares regressions to analyze the effects of state ownership on firm performance. We go beyond existing research on state ownership by carefully disentangle investment objectives of state-controlled financial institutions. Such state ownership can be classified as profit-oriented and non-profit-oriented, in which the former consider return on investment to be the primary investment objective, whereas the latter prioritizes socio-economic development. We found that profit-oriented state ownership is an effective corporate governance mechanism and provides political patronage to the firm in the form of firm’s specific resources and credit financing. Although nonprofit-oriented state ownership firms also receive similar political patronage, they tend to be associated with inefficiencies such as the free-rider problems, bureaucracies and political intervention in firm management. We conclude that state ownership consists of heterogeneous entities with respect to corporate governance and firm performance.

  6. 7 CFR 51.705 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.705 Section 51.705 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... § 51.705 Fairly firm. Fairly firm as applied to common oranges, means that the fruit may be slightly...

  7. 7 CFR 51.1012 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.1012 Section 51.1012 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing... Standards for Persian (Tahiti) Limes Definitions § 51.1012 Fairly firm. Fairly firm means that the fruit is...

  8. The Dividend Policy of German Firms

    NARCIS (Netherlands)

    Andres, C.; Betzer, A.; Goergen, M.; Renneboog, L.D.R.

    2008-01-01

    Abstract: German firms pay out a lower proportion of their cash flows, but a higher proportion of their published profits than UK and US firms. We estimate partial adjustment models and report two major findings. First, German firms base their dividend decisions on cash flows rather than published

  9. The Dividend Policy of German Firms

    NARCIS (Netherlands)

    Andres, C.; Betzer, A.; Goergen, M.; Renneboog, L.D.R.

    2008-01-01

    German firms pay out a lower proportion of their cash flows, but a higher proportion of their published profits than UK and US firms. We estimate partial adjustment models and report two major findings. First, German firms base their dividend decisions on cash flows rather than published earnings as

  10. The financing of innovative firms

    OpenAIRE

    Hall, Bronwyn H.

    2009-01-01

    To what extent are new and/or innovative firms fundamentally different from established firms, and therefore require a different form of financing? The theoretical background for this proposition is presented, and the empirical evidence on its importance is reviewed. Owing to the intangible nature of their investment, asymmetric-information and moral-hazard, these firms are more likely to be financed by equity than debt and behave in some cases as though they are cash-constrained, especially ...

  11. The innovative behaviour of tourism firms

    DEFF Research Database (Denmark)

    Sundbo, Jon; Orfila-Sintes, Francina; Sørensen, Flemming

    2007-01-01

    Tourism firms operate in a competitive sector where innovating is often a condition for survival. This article presents a theoretical framework for understanding tourist firms’ innovative behaviour and innovation systems in tourism. The innovativeness of tourism firms and its determinants...... systems. The article suggests that large size, professionalism, but also entrepreneurship among small tourism firms are important determinants of innovation. Varied innovation networks are another determinant as are supportive innovation systems. These determinants favour Spanish firms, which are more...... are investigated by analysing quantitative as well as qualitative data comparing Spain and Denmark. A taxonomy of tourism firms is suggested and the firms’ characteristics which influence their innovativeness are presented. Additionally, the role of innovation networks is discussed, as is the role of innovation...

  12. Views of CEOs on Firm Performance

    Directory of Open Access Journals (Sweden)

    Dario Berginc

    2014-11-01

    Full Text Available Researching the managerial perspective of performance can contribute to a better understanding of firm performance, and offer a valuable contribution to research on objective performance measurement. The aim of this article is to examine how managers evaluate firm performance and which factors, in their opinion, have the biggest influence on performance. We particularly wanted to investigate the influence of top management and owners on firm performance. We conducted a qualitative study among the CEOs of some of the most successful Slovenian firms. The results show that CEOs connect positive performance with long-term growth and satisfying the needs of key stakeholders (employees, customers and owners, but short-term positive financial performance represents the basic foundation. The second most important factor is a united top management, capable of generating new ideas and acting as a role model to employees. This can lead to a higher degree of engagement by employees and a better understanding of the firm's goals. Owners can contribute to a positive firm performance with their active, strategic and long-term orientation, and with their ability to set clear goals and to trust top management in the long run. Another important factor that influences firm performance is the ownership structure. In the opinion of CEOs, dominant and private ownership has a more positive impact on firm performance than dispersed and state ownership. The present research findings provide several examples of good and bad practice, and highlight opportunities for further research, from an in-depth study of individual factors of firm performance to the search for a more comprehensive model of performance factors, based on a larger sample of CEOs and other managers.

  13. NEW TRENDS IN INTERNATIONAL ENTREPRENEURSHIP: INSIGHTS FROM CONTEMPORARY TURKISH FIRMS INCLUDING BORN GLOBALS

    Directory of Open Access Journals (Sweden)

    Sinan NARDALI

    2015-07-01

    Full Text Available Academic literature has examined phenomenon of entrepreneurship more thantwo decades and thisphenomenon associated with entrepreneurial activity. OECDdefines the entrepreneurial activity as the enterprising human action in pursuit ofthe generation of value, through the creation or expansion of economic activity,by identifying and exploiting new products, process or markets. Present studyanalyses international entrepreneurship in the lights of contemporary Turkishfirms including born globals.We used case studies and literature review to betterunderstand the early internalization phenomenon and provide useful informationabout international success of Turkish firms. Six of the considered firms are webbased technology companies and most of them have born global firms’ features.The findings indicatedthatmajority of thefirms are technology companies andtheyhad a strong international outlook and international entrepreneurialorientation and they possess a strong entrepreneurial mindset.

  14. 7 CFR 51.643 - Fairly firm.

    Science.gov (United States)

    2010-01-01

    ... 7 Agriculture 2 2010-01-01 2010-01-01 false Fairly firm. 51.643 Section 51.643 Agriculture Regulations of the Department of Agriculture AGRICULTURAL MARKETING SERVICE (Standards, Inspections, Marketing...) Definitions § 51.643 Fairly firm. Fairly firm means that the fruit may be slightly soft, but not bruised, and...

  15. Sectoral patterns versus firm-level heterogeneity - The dynamics of eco-innovation strategies in the automotive sector

    DEFF Research Database (Denmark)

    Faria, Lourenco; Andersen, Maj Munch

    2017-01-01

    analysis using patent data from 1965 to 2012. Our findings suggest a process of co-evolution of firms' strategies and indicate that strong sectoral-specific patterns of eco-innovation are present in this sector from the mid-2000s onwards. For fuel cells technologies, however, we observe the formation......This paper sheds light on some important but underestimated elements of green industrial dynamics: the evolution of firms' eco-innovation strategies and activities within a sector. While eco-innovation sectoral case studies have taken place before, our analysis is distinct in investigating the rate......, direction and extent of eco-innovation in the automotive sector, represented here by the main automakers, in order to identify possibly sectoral-specific patterns in firms' strategies, as opposed to divergent strategic behaviors, grounded on evolutionary economic theory. We conduct a two-step empirical...

  16. Does Labour Diversity affect Firm Productivity?

    DEFF Research Database (Denmark)

    Parrotta, Pierpaolo; Pozzoli, Dario; Pytlikova, Mariola

    Using a matched employer-employee dataset, we analyze how workforce diversity in cultural background, education and demographic characteristics affects productivity of firms in Denmark. Implementing a structural estimation of the firms' production function (Ackerberg et al., 2006) we find...... diverse workforce, seem to outweigh the positive effects coming from creativity and knowledge spillovers....... that labor diversity in education significantly enhances a firm's value added. Conversely, diversity in ethnicity and demographics induces negative effects on firm productivity. Hence, the negative effects, coming from communication and integration costs connected to a more culturally and demographically...

  17. Commercialization of Innovations and Firm Performance

    DEFF Research Database (Denmark)

    Madsen, Erik Strøjer; Smith, Valdemar

    The decision on investment in R&D is very important and highly risky for firms' performance and survival in their business. This paper focuses on the commercialization of firms' investment in innovation and how these decisions affect their performance. The study uses a large innovation survey...... of Danish firms holding information on their R&D investment as well as their expenses on marketing which gives knowledge of the commercialization of their innovations. The results suggest a highly significant commercialization of innovation, which means that firms' follows a strategy of investment both...

  18. Industrial environmental practices in Polish Firms

    DEFF Research Database (Denmark)

    Kræmer, Trine Pipi

    , and environment. The five case firms all had a Communist past. The firms represent three different industrial sectors; i.e. textile, energy, and publishing and printing industries. Furthermore, the firms are both private and state owned as well as in the process of privatisation.......The study investigates how discursive developments in Poland interact with industrial environmental practices in five production firms. The analysis of the discursive development covers the period from the end of World War I to the turn of the century. The areas in focus are identity, industry...

  19. To Invest or Not to Invest, That Is the Question: Analysis of Firm Behavior under Anticipated Shocks

    Science.gov (United States)

    Kovac, Dejan; Vukovic, Vuk; Kleut, Nikola; Podobnik, Boris

    2016-01-01

    When companies are faced with an upcoming and expected economic shock some of them tend to react better than others. They adapt by initiating investments thus successfully weathering the storm, while others, even though they possess the same information set, fail to adopt the same business strategy and eventually succumb to the crisis. We use a unique setting of the recent financial crisis in Croatia as an exogenous shock that hit the country with a time lag, allowing the domestic firms to adapt. We perform a survival analysis on the entire population of 144,000 firms in Croatia during the period from 2003 to 2015, and test whether investment prior to the anticipated shock makes firms more likely to survive the recession. We find that small and micro firms, which decided to invest, had between 60 and 70% higher survival rates than similar firms that chose not to invest. This claim is supported by both non-parametric and parametric tests in the survival analysis. From a normative perspective this finding could be important in mitigating the negative effects on aggregate demand during strong recessionary periods. PMID:27508896

  20. 21 CFR 7.46 - Firm-initiated recall.

    Science.gov (United States)

    2010-04-01

    ... 21 Food and Drugs 1 2010-04-01 2010-04-01 false Firm-initiated recall. 7.46 Section 7.46 Food and....46 Firm-initiated recall. (a) A firm may decide of its own volition and under any circumstances to remove or correct a distributed product. A firm that does so because it believes the product to be...

  1. [Coupling coordination evaluation method between eco-environment quality and economic development level in contiguous special poverty-stricken areas of China].

    Science.gov (United States)

    Wang, Yan-hui; Li, Jing-yi

    2015-05-01

    It is one of the important strategies in the new period of national poverty alleviation and development to maintain the basic balance between the ecological environment and economic development, and to promote the coordinated sustainable development of economy and ecological environment. Taking six contiguous special poverty-stricken areas as the study areas, a coupling coordination evaluation method between eco-environment quality and economic development level in contiguous special poverty-stricken areas was explored in this paper. The region' s ecological poverty index system was proposed based on the natural attribute of ecological environment, and the ecological environment quality evaluation method was built up by using AHP weighting method, followed by the design of the coupling coordination evaluation method between the ecological environment indices and the county economic poverty comprehensive indices. The coupling coordination degrees were calculated and their spatial representation differentiations were analyzed respectively at district, province, city, and county scales. Results showed that approximately half of the counties in the study areas achieved the harmoniously coordinated development. However, the ecological environmental quality and the economic development in most counties could not be synchronized, where mountains, rivers and other geographic features existed roughly as a dividing line of the coordinated development types. The phenomena of dislocation between the ecological environment and economic development in state-level poor counties were more serious than those of local poor counties.

  2. Co-location synergies : specialized versus diverse logistics concentration areas

    NARCIS (Netherlands)

    Heuvel, van den F.P.; Langen, de P.W.; Donselaar, van K.H.; Fransoo, J.C.

    2012-01-01

    Purpose: The purpose of this paper is to contribute to the understanding of spatial concentration of logistics firms by empirically analyzing synergies through co-location and investigating whether co-location of logistics establishments in specialized logistics concentration areas results in

  3. Web traffic and firm performance

    DEFF Research Database (Denmark)

    Farooq, Omar; Aguenaou, Samir

    2013-01-01

    Does the traffic generated by websites of firms signal anything to stock market participants? Does higher web-traffic translate into availability of more information and therefore lower agency problems? And if answers to above questions are in affirmative, does higher web-traffic traffic translate...... into better firm performance? This paper aims to answer these questions by documenting a positive relationship between the extent of web-traffic and firm performance in the MENA region during the 2010. We argue that higher web-traffic lowers the agency problems in firms by disseminating more information...... to stock market participants. Consequently, lower agency problems translate into better performance. Furthermore, we also show that agency reducing role of web-traffic is more pronounced in regimes where information environment is already bad. For example, our results show stronger impact of web...

  4. Commercialization of Innovations and Firm Performance

    DEFF Research Database (Denmark)

    Madsen, Erik Strøjer; Smith, Valdemar

    The decision on investment in R&D is very important and highly risky for firms' performance and survival in their business. This paper focuses on the commercialization of firms' investment in innovation and how these decisions affect their performance. The study uses a large innovation survey...... of Danish firms holding information on their R&D investment as well as their expenses on marketing which gives knowledge of the commercialization of their innovations. The results suggest a highly significant commercialization of innovation, which means that firms' follows a strategy of investment both...... in innovation and marketing making R&D and marketing complements in their investment decision. However, there is only week evidence for the hypothesis that commercialization of innovations also creates more value for the firms in the short run....

  5. Determinants of CEO Turnover in Publicand Private Firms in Denmark - CEO and Firm Characteristics

    DEFF Research Database (Denmark)

    Sponholtz, Carina

    In this study we are the first to draw on longitudinal matched employer-employee data to study CEO turnover. Using this data we contribute tothe existing literature by examining the e¤ect of previously unstudied in-dividual characteristics on CEO turnover. Additionally, we are able toexamine CEO...... turnover. Finally, the inverse relationshipbetween firm performance and CEO turnover only exists in LLL firms(larger limited liability firms, both publicly and privately held), whereagency costs are assumed and found to be highest.In this study we are the first to draw on longitudinal matched employer-employee...... turnover across a variety of firm types that di¤er with re-spect to the corporate governance issues they face. Our simple methodol-ogy to define CEO turnover results in turnover rates similar to those foundpreviously. Our results indicate that CEO characteristics are an important factor in explaining CEO...

  6. Performance of Patenting Firms in Danish Manufacturing

    DEFF Research Database (Denmark)

    Madsen, Erik Strøjer; Smith, Valdemar; Nielsen, Anders Østergaard

    2000-01-01

    Most countries focus on industries with high technology and the governments grant subsidies to innovating firms. However, there has been remarkable few studies of the performance of innovative firms or industries. This study examines the performance of patent active firms compared to the non-patenting...... firms within the manufacturing sector in Denmark. Performance is measured both by growth in employment as well as in the return on equity and profit share in turnover. The results suggest that differences in performance of patenting and non-patenting firms are very small, which questions the political...

  7. Oil prices remain firm, despite economic slump

    International Nuclear Information System (INIS)

    Brady, Aaron; Giesecke Linda

    2002-01-01

    Despite all the evidence of sluggish economic growth throughout the world this year, WTI crude oil prices have averaged about $24/bbl year-to-date. Although prices have been lower than year-ago levels, they're a far cry from the lows that occurred in 1998 and at the beginning of 1999. Mounting tensions in the Middle East have given crude prices support. While the market has taken these tensions into account since the beginning of the year, more recent concerns about a possible U.S military conflict with Iraq have added a larger war premium to crude prices. Note that the halt of Iraqi exports itself may not be as detrimental as perceived, since these exports could easily be replaced by OPEC's excess capacity. In part, we have already seen a reduction in Iraqi exports this year due to a pricing dispute

  8. Economies of scale and firm size optimum in rural water supply

    Science.gov (United States)

    Sauer, Johannes

    2005-11-01

    This article is focused on modeling and analyzing the cost structure of water-supplying companies. A cross-sectional data set was collected with respect to water firms in rural areas of former East and West Germany. The empirical data are analyzed by applying a symmetric generalized McFadden (SGM) functional form. This flexible functional form allows for testing the concavity required by microeconomic theory as well as the global imposition of such curvature restrictions without any loss of flexibility. The original specification of the SGM cost function is modified to incorporate fixed factors of water production and supply as, for example, groundwater intake or the number of connections supplied. The estimated flexible and global curvature correct cost function is then used to derive scale elasticities as well as the optimal firm size. The results show that no water supplier in the sample produces at constant returns to scale. The optimal firm size was found to be on average about three times larger than the existing one. These findings deliver evidence for the hypothesis that the legally set supplying areas, oriented at public administrative criteria as well as local characteristics of water resources, are economically inefficient. Hence structural inefficiency in the rural water sector is confirmed to be policy induced.

  9. Impact of absorptive capacity and dominant logic on ERP assimilation in Chinese firms

    Directory of Open Access Journals (Sweden)

    Farhan Khan

    2017-09-01

    Full Text Available Firms belong to social communities that are experts in creation of new knowledge from environment. Knowledge that is generated from past experience and from environment can affect firm’s process positively. Processing knowledge assimilation in a better way, strong leadership abilities are needed. That can recognize knowledge from environment in the sense of opportunities and threats. In this article, we discuss the effect of absorptive capacity (ACAP and dominant logic (DL on enterprise resource planning (ERP. Dynamic capabilities (DC of top managers to absorb the knowledge from the environment and assimilate it according to their needs that improve firm’s enterprise resource planning (ERP. Our main focus in this article is knowledge and how top-level managers routine that knowledge to get the future benefits for their respective firms. The model was adopted from past literature that shows the effect of absorptive capacity its subsets and dominant logic and its dimensions on ERP assimilation. For this study we examined the Chinese firms located in Hefei city (Anhui province China. Hefei is one of the fastest developing and emerging economic hub in China. Employees from top level are the target group in this study. The results prove our hypotheses that absorptive capacity and dominant logic have a positive influence on ERP in Chinese firms, that not only increases the productivity and performance of the firm, but also helps in the allocation of resources and decision making processes to stand in the dynamic market and oppose any kind of threats. Our results showed positive correlation between all the variables.

  10. Do Less Regulated Markets Attract Lower Quality Firms?

    DEFF Research Database (Denmark)

    Nielsson, Ulf

    2013-01-01

    The paper examines whether the moderately regulated London AIM market is at a disadvantage in attracting high quality firms. The results show that firms listed on AIM are of the same quality level as firms listed in the US and in Continental Europe, albeit smaller in size. Furthermore, the delist......The paper examines whether the moderately regulated London AIM market is at a disadvantage in attracting high quality firms. The results show that firms listed on AIM are of the same quality level as firms listed in the US and in Continental Europe, albeit smaller in size. Furthermore...... equivalent to firms listing in more regulated markets...

  11. Continental Drift in the Treatment of Dominant Firms: Article 102 TFEU in Contrast to § 2 Sherman Act

    NARCIS (Netherlands)

    Larouche, P.; Schinkel, M.P.

    2013-01-01

    In this paper we compare the concepts of monopolization and abuse of dominance as in §2 of the Sherman Act and Article 102 of the TFEU, respectively. After identifying a number of distinctive features in wording and interpretation - including the special responsibility of the dominant firm,

  12. Financial Sector Structure and Economic Growth

    DEFF Research Database (Denmark)

    Rapp, Marc Steffen

    Economists consider a well-functioning financial sector to be of first order importance for a modern (capitalist) economy. However, in the aftermath of the financial crisis a debate about the future role of the financial sector emerged and many commentators have called into question whether...... the financial sector actually creates value for the wider society. This research, which is part of a broad research project “Nordic Finance and the Good Society”, aims to contribute to this debate by studying the role of the financial sector structure for economic development of an economy. Therefore......, it proceeds in five steps. First, it provides some reflections on the financial sector and the existing literature studying financial sector structure and its association with economic development. Second, it presents stylized firm-level evidence on capital structure choice and firm behavior. It is argued...

  13. 78 FR 13856 - Notice of Petitions by Firms for Determination of Eligibility To Apply for Trade Adjustment...

    Science.gov (United States)

    2013-03-01

    ... & Welding, Inc.... 600 E. Commerce Road, 2/21/2013 Company's articles are made from Lexington, NE 68850... DEPARTMENT OF COMMERCE Economic Development Administration Notice of Petitions by Firms for... Administration, Department of Commerce. ACTION: Notice and Opportunity for Public Comment. Pursuant to Section...

  14. Toward an Integrative Theory of the Firm

    DEFF Research Database (Denmark)

    Li, Xin

    understand the nature and behaviors of the firm, we need a comprehensive yet integrative theory. Toward this end, this paper proposes a relationship-based theory of the firm (R’BT) which claims that it is the relationships between the entrepreneur and other individuals or firms that determine the existence......This paper argues that the existing four major theories of the firm, i.e., the transaction cost theory, resource-based view, the entrepreneurial theory, and the stakeholder theory, are all insightful yet partial because each of them has a particular focus on the phenomenon of the firm. To better...

  15. Women in Top Management and Firm Performance

    DEFF Research Database (Denmark)

    Smith, Nina; Smith, Valdemar; Verner, Mette

    -observations for all Danish firms with more than 50 employees over the period 1994-2003, the analysis suggests that the proportion of women in top management jobs has from none to positive influence on firm performance. However, the results show that the strength of the effects of women in top management depends...... on how top CEOs are defined and on the method of estimation of the model. Next, the results point towards a positive influence on firm performance of the staff representation in the supervisory board of the firm but more women representing the shareholders in the supervisory board of the firm seems...

  16. Human Capital and Wages in Exporting Firms

    DEFF Research Database (Denmark)

    Munch, Jakob Roland; Skaksen, Jan Rose

    2006-01-01

    This paper studies the link between a firms education level, export performance and wages of its workers. We argue that firms may escape intence competition in international markets by using high skilled workers to differentiate their products. This story is consistent with our empirical results....... Osing a very rich matched worker-firm longitudinal dataset we find that firms with high export intensities pay higher wages. However, an interaction term between export intensity and skill intensity has a positive impact on wages and it absorbs the direct effect of the export intensity. That is, we find...... an export wage premium, but it accrues to workers in firms with high skill intensities.Keywords: Exports, Wages, Human Capital, Rent Sharing, Matched Worker-Firm DataJEL Classification: J30, F10, I20...

  17. Valuing values: A history of wilderness economics

    Science.gov (United States)

    J. M. Bowker; H. K. Cordell; N. C. Poudyal

    2014-01-01

    Prior to the U.S. Wilderness Act of 1964, economics as a science was hardly considered applicable to the types of human values set forth in this pathbreaking legislation. Economics was largely confined to the purchasing and labor decisions of households and firms as well the functioning of markets and economies. However, around this time, John Krutilla (1967) in his...

  18. Taxes and free economic zones: Russian practice and China experience

    Directory of Open Access Journals (Sweden)

    V. E. Shibanov

    2016-01-01

    Full Text Available Special economic zone – the tool of regional policy of the state used in regions where increase of an economic and social level of development is required, and questions of application of tax benefits and preferences in the territory of a special economic zone acquire special relevance. The purpose of this article is research of the questions concerning the mode of the taxation of special economic zones. In Russia still there is no consensus about the sizes and the special economic zone types, the mechanism of their activity and approach to management. Development of uniform methodology is necessary for the Russian legislation for effective creation of activity of special economic zones taking into account features of a territorial arrangement. This methodology can be developed on the basis of positive experience of functioning of free economic zones of the different countries of the world. In the real work with the help of economic and statistical methods data on development and results of activity of a special economic zone in the territory of the Russian Federation and the China are collected and considered. As an example of successful functioning of the Russian special economic zone the special economic zone "Alabuga" is considered, as an example of functioning in the territory of the China special economic zone Shenzhen and joint industrial park of China and Singapore in the city of Suzhou are considered. The analysis of experience of the China has allowed to draw conclusions on efficiency of development of certain territories of the China through introduction of special economic zones. This fact substantially depends on efficiency of mechanisms of creation and development of economic educations, a possibility of self-government and financial independence in these territories, attraction of the foreign investment capital. There aren't enough these mechanisms in functioning of the Russian special economic zones where concept special

  19. EAST ASIAN CORPORATE GOVERNANCE: A TEST OF THE RELATION BETWEEN CAPITAL STRUCTURE AND FIRM PERFORMANCE

    Directory of Open Access Journals (Sweden)

    Ari Warokka

    2011-07-01

    Full Text Available Corporate governance theory predicts that leverage affects agency costs and thereby influences firm performance. Agency costs represent important problems in corporate governance in both financial and non-financial industries. Prior evidences have demonstrated an association between ownership structures, capital structure, and firm performance. This study extends the literature by proposing a further link between capital structure and firm performance in term of post Asian Financial Crisis that is rarely investigated. Using an agency framework, the research argues that the distribution of equity ownership among corporate managers and external block holders has a significant relationship with leverage and firm performance, and there is reverse causality effect between ownership structure, capital structure, and firm performance. The paper tests two hypotheses that explore various aspects of this relationship. This study uses 532 East Asian companies, which are located in INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCE STUDIES Vol 3, No 2, 2011 ISSN: 1309-8055 (Online 2 seven most affected countries when the crisis took place during period 1996-1997. The time frame of analysis is 2000-2001 period that is believed as a start of recovery period. Statistic methods used for testing the hypothesis are t-test and multivariate regression model. The empirical results indicate that the East Asian companies after the crisis apply the efficiency-risk argument. In analyzing the reverse causation of capital structure and corporate performance relation, the result confirms the incentive signaling approach, which debt can be used to signal the fact that firm has prospect and equity issues may be interpreted as a negative signal.

  20. Competitive Advantage of Interconnected Firms

    DEFF Research Database (Denmark)

    Nell, Phillip Christopher; Andersson, Ulf

    We model the complex interplay between firm-level variables, notably capabilities and performance, and relationship-level variables: relationship-specific assets and network context. We test how the network context of individual exchange relationships as well as firm-level capabilities jointly af...