• Title/Summary/Keyword: Small Firm

Search Result 623, Processing Time 0.023 seconds

Empirical Study of Dynamic Corporate Governance: New Evidence from Chinese-listed SMEs

  • Shao, Lin;Yu, Xiaohong
    • The Journal of Industrial Distribution & Business
    • /
    • v.6 no.4
    • /
    • pp.27-37
    • /
    • 2015
  • Purpose - This study first explores the possible dynamic relationship between ownership structure and firm performance using a panel of 4,900 Chinese-listed small- and medium-sized enterprises (SMEs) from 1999 to 2012. Research design, data, and methodology - We address this issue through a dynamic panel model using a method of moments (GMM) technique and dynamic simultaneous equations to alleviate the potential endogenous problem: unobserved heterogeneity, simultaneity, and dynamic endogeneity. Results - Under the framework of dynamic endogeneity, firm performance has a significantly positive influence on ownership, but not vice versa. Ownership and performance can be explained by their owned lagged values, respectively. Moreover, intertemporal endogeneity exists among ownership, investment, and performance through the application of system dynamic equations, which implies that the relationship among ownership structure, investment, and firm performance is dynamic by nature. Conclusions - This study also significantly contributes to a better understanding of dynamic corporate governance by providing further empirical evidence from the largest capital market in the Asian region.

A Multi-Agent Simulation for the Electricity Spot Market

  • Oh, Hyungna
    • Proceedings of the Korea Inteligent Information System Society Conference
    • /
    • 2003.05a
    • /
    • pp.255-263
    • /
    • 2003
  • A multi-agent system designed to represent newly deregulated electricity markets in the USA is aimed at testing the capability of the multi-agent model to replicate the observed price behavior in the wholesale market and developing a smart business intelligence which quickly searches the optimum offer strategy responding to the change in market environments. Simulation results show that the optimum offer strategy is to withhold expensive generating units and submit relatively low offers when demand is low, regardless of firm size; the optimum offer strategy during a period of high demand is either to withhold capacity or speculate for a large firm, while it is to be a price taker a small firm: all in all, the offer pattern observed in the market is close to the optimum strategy. From the firm's perspective, the demand-side participation as well as the intense competition dramatically reduces the chance of high excess profit.

  • PDF

The Effect of Government R&D Support on the Exploratative Activities of the Firm in Korea (정부의 기업 R&D 지원이 기업의 탐색적 활동에 미치는 영향의 실증 분석)

  • Yoon, Ji Woong;Yoon, Sungshik
    • Journal of Korea Technology Innovation Society
    • /
    • v.16 no.1
    • /
    • pp.279-302
    • /
    • 2013
  • This paper empirically examines the effect of government R&D support on the performance of the firm in Korea. In particular, we examine to what extent the government R&D support affected the firm's exploratative performance. Using a novel dataset combining patent information with national government R&D funding data and firm performance indicators from 2005-2008, we construct and run an empirical model where a firm's exploratative activity, measured by a firm patenting in a different field, is a function of the government R&D support a firm receives. The empirical results show that the government R&D support has a positive effect on the firm's exploratative activity. Especially, this effect is stronger for the small and medium size firms, while large firms are relatively relying on their own R&D funding for exploration. This result indicates that the government needs to focus more on R&D funding for small and medium size firms, if it wants more exploratative outcomes to enhance potential resources for economic development.

  • PDF

A Study on the Evaluation of Multi-dimensional ASP Service Quality and Its Effects on User Satisfaction and Perceived Firm Performance (다차원 ASP 서비스 품질 평가와 고객만족, 인식된 기업성과에 미치는 영향에 대한 연구)

  • Kim, Sung-Hong;Kim, Jin-Han;Kim, Kil-Sun
    • Journal of the Korean Operations Research and Management Science Society
    • /
    • v.33 no.2
    • /
    • pp.45-73
    • /
    • 2008
  • Quality has long been considered as an important factor in creating competitive advantage, and researches on quality have not been limited to off-line products but actively extended to e-services and information goods. However, given the nature of multi-dimensional aspect of quality, the systematic study on the quality of online service is still in its early stage. Especially, studies on the quality of ASP services have been rare in academic and professional journals despite the growth of ASP industry in its size and the rapid expansion in the range of application. In this paper we clarified the multi-dimensional quality aspects of the ASP service using a Garvin's framework (1984) which encompasses the service aspects of Products, and developed a measurement model for ASP service qualify. Then we empirically tested the effects of ASP service quality on user satisfaction and perceived firm performance using the data from 240 Korean small firms with less than 50 employees that had experienced the ASP service. Our results show that there are positive relationships among ASP service quality and personal performance, user satisfaction and perceived firm performance, and that product and service-related aspects of ASP service exert differential effects on performance measures so that the product-related aspects of the ASP service such as performance, features, reliability and conformance are considered to be more important in evaluating benefits from ASP services. Contrary to the approaches In literature where only the quality of online services is evaluated, our results emphasize the importance of differentiating Product and service-related aspects of ASP service and provide a basis for more comprehensive evaluation of ASP service quality.

The effects of Government R&D subsidies on Private R&D investment - The case of Korean industry after 2000 - (정부 연구개발 보조금의 기업자체 R&D투자에 대한 효과 분석 - 2000년 이후 국내기업 사례를 중심으로 -)

  • Choi, Seok-Joon;Kim, Sang-Shin
    • Journal of Korea Technology Innovation Society
    • /
    • v.10 no.4
    • /
    • pp.706-726
    • /
    • 2007
  • This study attempts to empirically investigate the effects of government R&D subsidies on private firm's R&D investment in Korean industry. The R&D subsidy effect is defined as the average percentage change in firm's R&D expenditures between what was actually observed among firms that received a subsidy and what these firms would have spent had the subsidy not been received. To measure the effect we use Difference-in-Differences (DID) model which sign as to whether the relationship between government subsidies and private R&D investments is on stimulating or displacing private R&D expenditures. The differences between this study and previous studies are that we tries to measure the effect of Government R&D across various sited firm groups such as large, small & medium, and venture firms and we add one lag of the subsidy indicator in order to capture the effect of the subsidies on private R&D during 2 consecutive period. Empirically, a firm with government R&D subsidy increases its own R&D investment by 13.9%. Also on average, 1% of government R&D subsidy leads to 0.031% of private R&D increase. The main results of this study are as follows : First, Government R&D subsidies stimulate private firm's R&D expenditures. Second, Government R&D subsidies greatly increase (statistically significant) company financed R&D expenditures only for large firms but had no effect on the R&D expenditures of small & medium sized firms and venture firms.

  • PDF

Productivity and Growth Performance Differentials by Firm Size in Korean Manufacturing (우리나라 제조업 부문의 사업체 규모별 성장성 및 생산성 분포의 변화 추이 분석)

  • Kim, Young-Joon
    • Journal of the Korea Academia-Industrial cooperation Society
    • /
    • v.16 no.9
    • /
    • pp.5897-5905
    • /
    • 2015
  • This paper investigates the differentials in productivity and growth performance between small and medium size and large size firms in Korean manufacturing industries. According to the empirical analysis based on the Mining and Manufacturing Survey of Statistics Korea, this paper finds the following facts. First, the level of contribution of capital deepening on the growth rate of output(value added) is relatively greater in the small and medium size firm group, while the level of contribution of total factor productivity on the growth rate is relatively greater in the large size firm group. Second, the productivity polarization among the firms has increased relatively greater in the large size firm group over the past decade.

A Study on the Locational Factors of Small Industry in Pusan, Korea (釜山市 小規模工業의 立地와 意思決定에 關한 硏究)

  • Lee, Hee-Yul
    • Journal of the Korean Geographical Society
    • /
    • v.28 no.1
    • /
    • pp.16-39
    • /
    • 1993
  • This study aims to analyze the locational factors which the small firm enterpreneurs in Pusan City mainly consider in deciding location choices for their plants, and then to grasp the differences of the factors in terms of nature of firms, managerial personal characteristics and zoning areas. In order to implement the purpose of the rescarch, data are collected from selected small firm enterpreneurs throughthe questionaire. The main results are summerized as follows. First, it is pointed out that small firm indu-strialists for the regional choice consider crucial rationale as non-economic factor of personal reson with additional consideration of transpor-tation, infrastructure, service, market and labor forces. But in selection of site, they are apt to have high regard on the such factors as infra-structure, service, land and transportation factor. These factors to select the site demonstrate differentiation in terms of character of enter-prises, managerial characteristics and zoning areas. For example, land in the light of indu-strial sector is regarded as an important factor with longer the time of the establishment of firms or more aged or experienced enterpreneurs, wheras infrastructure and service in the heavy and chemical industrial sector are taken up as an important one with shorter the time of establishment of firms or less aged or experienced or higher educational background of enterpren-eurs. In addition, the non-economic factors such as the residential livebility and personal reason are picked up as important factors with smaller the firm or more aged or experienced, lesser educational background of entrepreneurs. Taking into consideration zoning area, infra-structure and service in the industrial area such as the exclusive and semi-industrial areas, land in green belt area, and transportation in the commercial and residential areas are singled out as the most important factors respectively. In addition, the non-economic factors of the resi-dential livability and personal reason in the non-industrial areas are also highly regarded. Second, land is picked up as the most impor-tant one of pulling factors toward the present site while other factors such as infrastructure, service, personal reason are also regarded as the secondary reason for the move-in decision; the pulling factors for the present plant location show somewhat differences in terms of the charcter of the enterprises, managerial chara-cteristics and zoning areas. Policy measures including land, infrastructure under the environmental aspects, service and transportations are, in turn, pointed out as the important ones for pushing factors. Meanwhile, as the important staying factor in the present place, transportation, infrastructure and service under the aspect of the agglomeration benefit, market, personal reason are considered. The pushing and staying factors also shows somewhat distinctive differences in terms of the character of enterprises, managerial chracteristics and zoning area. In the case of zoning area, land is regarded as the most important factor to move out, especially in the non-industrial areas inclu-ding the commerical and residential areas policy measures, infrastructure and service are indicated as important factors to move out. In the mean-time, as the important staying factor, industria-lists in the exclusive and semi-industrial areas point out transportation, infrastructure and service. Whereas the counterparts in the com-mercial area regard transportation and market as important factor, those in the residential area consider the non-economic factors such as personal reason and residential livability. Taking into consideration the result of this analysis, it is identified that the locational chara-cteristics of the intraurban small firm industries are not only associated with the character of enterprises, but also with manager's personal character and the trait of zoning area. Therefore, it seems that the thorough review or examination of enterprises, industrialists' characteristics and zoning areas will have meanin-gful significance in attemption explanation of small firm industries at the intrauban scale in the future. Especially, it appears that the eco-nomic factors such as land, infrastructure, service, transportation, and the non-economic factors such as residential livability and personal reason play together important parts to determine the locational choice of small firm industries along with non-industrial benefit. Thus, such status reveals the obvious implication for the intraurban industrial policy in the future.

  • PDF