scholarly journals THE DAVIDS AND THE GOLIATHS: INVESTMENT DYNAMICS AND PERFORMANCE DIFFERENTIALS OF SMALL FIRMS AND FAMILY-CONTROLLED LARGE FIRMS IN FOUR SECTORS OF THE INDIAN MARKET

2021 ◽  
Vol 10 ◽  
pp. 130-150
Author(s):  
Jaideep Ghosh
Keyword(s):  
Financial Performance ◽  
Emerging Economies ◽  
Small Firms ◽  
Asia Pacific ◽  
Indian Market ◽  
Publicly Traded ◽  
Considerable Fraction ◽  
Indian Industry ◽  
Investment Dynamics ◽  
And Performance

This study focuses on investment structures and performances of family-controlled and non-affiliated publicly traded firms on the Indian market. While many influential, family-controlled firms dominate a large part of the Indian industry today, this study finds that a considerable fraction of the non-affiliated firms are able to maintain stable financial performance by forging strategic ties with other non-affiliated firms in transactional supply-chains modes. This study contributes to the understanding of the question concerning how investment structures of firms might be governed through interfirm ties of coordinated and cooperative investments. The results have important implications for the markets of emerging economies in the Asia-Pacific and the Southeast Asian regions.

Effects of Formal Strategic Planning on Financial Performance in Small Firms: A Meta-Analysis

1993 ◽  
Vol 17 (3) ◽  
pp. 53-64 ◽  
Author(s):  
Charles R. Schwenk ◽  
Charles B. Shrader
Keyword(s):  
Firm Performance ◽  
Strategic Planning ◽  
Financial Performance ◽  
Small Firm ◽  
Small Firms ◽  
Sampling Error ◽  
Meta Analysis ◽  
Firm Financial Performance ◽  
And Performance ◽  
First Time

Researchers have been examining the effects of formal strategic planning on small firm financial performance for more than twenty years. Reviewers of prior studies have drawn differing conclusions as to whether formal planning improves small firm performance. We have applied meta-analysis for the first time to the results of previous studies on formal strategic planning and small firm performance. The results suggest that even though the size of the effects for planning for individual studies Is not large, the overall relationship between formal planning and performance across studies Is positive and significant. Much of the variance in the size of the effects, however, Is not explained by sampling error, Indicating the potential for other variables to moderate the effects of planning on the performance of small firms. It is concluded, in general, that strategic planning is a beneficial activity for small firms.

Dimensional Impact of Social Capital on Financial Performance of SMEs

2020 ◽  
Vol 29 (1) ◽  
pp. 38-52
Author(s):  
Ishaq Ahmad Dar ◽  
Mridula Mishra
Keyword(s):  
Social Capital ◽  
Financial Performance ◽  
Social Relations ◽  
Emerging Economies ◽  
Small Firms ◽  
Small And Medium Enterprises ◽  
Primary Data ◽  
Four Dimensions ◽  
Medium Enterprises ◽  
The Impact

In emerging economies, small and medium enterprises (SMEs) contribute a sizeable proportion of exports and manufacturing output, and millions of people are provided employment. Entrepreneurs and these small firms are influenced by many contextual factors in their operations. Social capital factors, both formal and informal social networks, are considered influential to their performance. This study uses regression analysis to study the impact of social capital dimensions on financial performance of SMEs. Primary data were collected through survey of SMEs of India. It was found that out of five social capital dimensions only four dimensions, such as complicity, status, social relations and personal relations, positively impact the financial performance of SMEs, whereas one dimension ‘Interlinking and family support’ had no significant impact on financial performance of SMEs. The implications of these findings are discussed.

scholarly journals Capital Structure and Performance due to Gender Diversity of CEOs in Indonesian Small & Medium-sized Business

2018 ◽  
Vol 7 (4.38) ◽  
pp. 920
Author(s):  
Farida Titik Kristanti ◽  
Sri Rahayu
Keyword(s):  
Capital Structure ◽  
Financial Performance ◽  
Small Firms ◽  
Stock Exchange ◽  
Gender Diversity ◽  
Statistical Test ◽  
Regression Result ◽  
Company Performance ◽  
And Performance ◽  
Test Result

Previous researches and results show that women-owned small firms have less debt than man-owned firms, and they have different performance. The objective of this study is to know whether the difference of capital structure is a factor correlated with gender differences resulting in different financial performance. This study utilizes sample data of all small and medium-sized businesses listed in Indonesia Stock Exchange to determine the differences of capital structure and performance between companies with male and female CEOs. The statistical test result using independent t-test shows that there is no difference in both of them. Regression result shows variables influencing capital structure of small and medium-sized businesses in Indonesia are age of company, company size and company liquidity. Meanwhile, for company performance, the statistical test result shows that it is only variables of age of company and leverage that have significant effect. Therefore, small and medium-sized businesses should maintain their capital structure at low rates to have a good financial performance. Companies that are able to survive in a long term will also increase the company performance.   

The Embeddedness of Productivity and Performance: Towards a Framework Based on Small Firms

2005 ◽  
Author(s):  
Paul K. Edwards ◽  
Chin-Ju Tsai ◽  
Sukanya Sen Gupta ◽  
Monder Ram
Keyword(s):  
Small Firms ◽  
And Performance

scholarly journals Investigation on firm efficiency: evidence from selected Asia-Pacific countries

2018 ◽  
Vol 25 (8) ◽  
pp. 3062-3080 ◽  
Author(s):  
Khar Mang Tan ◽  
Fakarudin Kamarudin ◽  
Amin Noordin Bany-Ariffin ◽  
Norhuda Abdul Rahim
Keyword(s):  
Technical Efficiency ◽  
Small Firms ◽  
Banking Sector ◽  
Profit Maximization ◽  
Asia Pacific ◽  
Scale Efficiency ◽  
Scale Level ◽  
Firm Efficiency ◽  
Content Type ◽  
Parametric Data

Purpose The purpose of this paper is to examine the firm efficiency or technical efficiency (TE), pure technical efficiency (PTE) and scale efficiency (SE) in the selected developed and developing Asia-Pacific countries. Design/methodology/approach The sample consists of a sum of 700 firms in selected developed and developing Asia-Pacific countries over the period from 2009 to 2015. The non-parametric data envelopment analysis under the production approach is used to investigate firm efficiency. Findings On average, this paper discovers that the firms in selected Asia-Pacific countries are moderately efficient. Scale inefficiency (SIE) is found to be the dominant source of firms’ technical inefficiency. The analysis of return to scale shows that the large firms tend to operate at decreasing return to scale level, while the small firms tend to operate at increasing return to scale level. Practical implications The findings from this paper provide significant insights to the policy makers and firm managers in promoting the efficient firms of Asia-Pacific countries. Originality/value The present paper conducts a critical analysis on return to scale in the firms sector of Asia-Pacific context, which is ignored by the past studies on firm efficiency since the analysis of return to scale is mostly emphasized on banking sector. The precise nature of SIE is important for a firm to be efficient in achieving the firm’s primary goals of profit maximization and sustaining market competitiveness.

Replicating Private Equity with Value Investing, Homemade Leverage, and Hold-to-Maturity Accounting

2021 ◽  
Author(s):  
Erik Stafford
Keyword(s):  
Private Equity ◽  
Small Firms ◽  
Publicly Traded ◽  
Investment Performance ◽  
Value Investing ◽  
Equity Funds ◽  
Private Equity Funds ◽  
Asset Selection ◽  
Investment Process ◽  
Stock Portfolio

Abstract The contributions of asset selection and incremental leverage to buyout investment performance are more important than typically assumed or estimated to be. Buyout funds select small firms with distinct value characteristics. Public equities with these characteristics have high risk-adjusted returns relative to common factors. Adding incremental leverage to a publicly traded stock portfolio increases both risks and mean returns in this sample. Direct investments in private equity funds earn lower mean returns than a replicating strategy designed to mimic these key economic features of their investment process with public equities and brokerage loans.

scholarly journals EXPRESS: Unbundling the Effects of Internationalization on Firm Performance in Emerging Economies: The Moderating Effects of Strategic Resource Decisions

2021 ◽  
pp. 1069031X2110306
Author(s):  
Nilay Bicakcioglu-Peynirci ◽  
Robert E. Morgan
Keyword(s):  
Firm Performance ◽  
Emerging Economies ◽  
Emerging Market ◽  
Strategic Marketing ◽  
Slack Resources ◽  
Moderation Effect ◽  
Strategic Resource ◽  
And Performance ◽  
Resource Decisions ◽  
The Relationship

We investigate how strategic resource decisions—concerning slack resources and strategic marketing ambidexterity—influence the relationship between internationalization and firm performance of emerging market firms. Based upon the resource-based view, we synthesize two dominant, yet divergent, perspectives that explain the respective resource slack advantages and liabilities in the internationalization literature: the flexible capacity and the efficient capacity perspectives. We also explore the moderating role of strategic marketing ambidexterity which comprises a bundle of marketing activities covering both exploitation-dominant actions and exploration-dominant actions. We empirically examine our hypothesized relationships with data from a sample of 1,683 firm-year observations for the period between 2005 and 2018 and find that distinct forms of resource slacks have contrasting effects on the relationship between internationalization and performance. Our results provide strong evidence for positive moderation effect of unabsorbed slack resources and a negative moderation effect of absorbed slack resources on the internationalization-performance relationship. We also indicate nonsignificant moderating effect of strategic marketing ambidexterity, demonstrating that internationalization attains higher firm performance regardless of its exploration-dominant or exploitation-dominant strategic emphasis in emerging economies.

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