Are large firms more profitable than small and medium firms in the European Union?
Autor(a) principal: | |
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Data de Publicação: | 2018 |
Outros Autores: | |
Tipo de documento: | Artigo |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/10400.5/15382 |
Resumo: | This study comparatively analyses the profitability between large enterprises (LE) and small and medium enterprises (SME) in the European Union in order to understand which group of companies is more profitable. The analysis is also segmented by groups of countries and industries. Furthermore, we study the impact of the financial crisis on profitability. The sample includes 54,654 firms from 21 EU countries and from 17 industries during the period between 2004 and 2013. Two measures of profitability are used: (1) Return on Assets (computed both with earnings before interest and taxes and net profit), and; (2) Return on Equity. The results suggest that LE are, on average, more profitable than SME. This finding holds across all industries except one. However, there is additional evidence that SME in Eastern Europe are more profitable than LE and are also more profitable than SME in Western Europe. Finally, the results also suggest that the financial crisis negatively impacted firms’ profitability, particularly in SME. |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Are large firms more profitable than small and medium firms in the European Union?Profitabilitylarge enterprisessmall and medium enterprisescrisisThis study comparatively analyses the profitability between large enterprises (LE) and small and medium enterprises (SME) in the European Union in order to understand which group of companies is more profitable. The analysis is also segmented by groups of countries and industries. Furthermore, we study the impact of the financial crisis on profitability. The sample includes 54,654 firms from 21 EU countries and from 17 industries during the period between 2004 and 2013. Two measures of profitability are used: (1) Return on Assets (computed both with earnings before interest and taxes and net profit), and; (2) Return on Equity. The results suggest that LE are, on average, more profitable than SME. This finding holds across all industries except one. However, there is additional evidence that SME in Eastern Europe are more profitable than LE and are also more profitable than SME in Western Europe. Finally, the results also suggest that the financial crisis negatively impacted firms’ profitability, particularly in SME.ISEG - Departamento de GestãoRepositório da Universidade de LisboaGaio, CristinaHenriques, Rita2018-05-14T15:43:17Z20182018-01-01T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10400.5/15382engGaio, Cristina e Rita Henriques (2018). "Are large firms more profitable than small and medium firms in the European Union?". The European Journal of Management Studies, 23(1):25-482183-4172info:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-03-06T14:45:20Zoai:www.repository.utl.pt:10400.5/15382Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T17:01:03.626342Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
Are large firms more profitable than small and medium firms in the European Union? |
title |
Are large firms more profitable than small and medium firms in the European Union? |
spellingShingle |
Are large firms more profitable than small and medium firms in the European Union? Gaio, Cristina Profitability large enterprises small and medium enterprises crisis |
title_short |
Are large firms more profitable than small and medium firms in the European Union? |
title_full |
Are large firms more profitable than small and medium firms in the European Union? |
title_fullStr |
Are large firms more profitable than small and medium firms in the European Union? |
title_full_unstemmed |
Are large firms more profitable than small and medium firms in the European Union? |
title_sort |
Are large firms more profitable than small and medium firms in the European Union? |
author |
Gaio, Cristina |
author_facet |
Gaio, Cristina Henriques, Rita |
author_role |
author |
author2 |
Henriques, Rita |
author2_role |
author |
dc.contributor.none.fl_str_mv |
Repositório da Universidade de Lisboa |
dc.contributor.author.fl_str_mv |
Gaio, Cristina Henriques, Rita |
dc.subject.por.fl_str_mv |
Profitability large enterprises small and medium enterprises crisis |
topic |
Profitability large enterprises small and medium enterprises crisis |
description |
This study comparatively analyses the profitability between large enterprises (LE) and small and medium enterprises (SME) in the European Union in order to understand which group of companies is more profitable. The analysis is also segmented by groups of countries and industries. Furthermore, we study the impact of the financial crisis on profitability. The sample includes 54,654 firms from 21 EU countries and from 17 industries during the period between 2004 and 2013. Two measures of profitability are used: (1) Return on Assets (computed both with earnings before interest and taxes and net profit), and; (2) Return on Equity. The results suggest that LE are, on average, more profitable than SME. This finding holds across all industries except one. However, there is additional evidence that SME in Eastern Europe are more profitable than LE and are also more profitable than SME in Western Europe. Finally, the results also suggest that the financial crisis negatively impacted firms’ profitability, particularly in SME. |
publishDate |
2018 |
dc.date.none.fl_str_mv |
2018-05-14T15:43:17Z 2018 2018-01-01T00:00:00Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
dc.type.driver.fl_str_mv |
info:eu-repo/semantics/article |
format |
article |
status_str |
publishedVersion |
dc.identifier.uri.fl_str_mv |
http://hdl.handle.net/10400.5/15382 |
url |
http://hdl.handle.net/10400.5/15382 |
dc.language.iso.fl_str_mv |
eng |
language |
eng |
dc.relation.none.fl_str_mv |
Gaio, Cristina e Rita Henriques (2018). "Are large firms more profitable than small and medium firms in the European Union?". The European Journal of Management Studies, 23(1):25-48 2183-4172 |
dc.rights.driver.fl_str_mv |
info:eu-repo/semantics/openAccess |
eu_rights_str_mv |
openAccess |
dc.format.none.fl_str_mv |
application/pdf |
dc.publisher.none.fl_str_mv |
ISEG - Departamento de Gestão |
publisher.none.fl_str_mv |
ISEG - Departamento de Gestão |
dc.source.none.fl_str_mv |
reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
instname_str |
Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
instacron_str |
RCAAP |
institution |
RCAAP |
reponame_str |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
collection |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
repository.name.fl_str_mv |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
repository.mail.fl_str_mv |
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1799131099704590336 |