IDEAS home Printed from https://ideas.repec.org/a/pfq/journl/v63y2018i2p235-253.html
   My bibliography  Save this article

Some Features of Hungarian Financial Literacy in the Light of the Economic Behaviour of Small and Medium-sized Enterprises

Author

Listed:
  • Győri, Ágnes
  • Czakó, Ágnes

Abstract

The study examines the financial management culture of the SME sector based on the results of a nationwide representative survey. The analysis focuses on the financial literacy and behaviour of entrepreneurs: the knowledge and use of different financial products, the planning of financial management, the late settlement of invoices and the substantiation of financial management decisions. The database of our research is based on the survey entitled “Financial Literacy in Hungary”, conducted by Corvinus University of Budapest in 2017. We examined the different financial literacy indicators by means of simple statistics including, in some cases, their changes over time. In the next step, by applying a multinomial logistic regression, we showed that the domestic SME sector can be segmented according to certain corporate demographic and other independent variables, as well as financial literacy indicators. Three groups can be distinguished: (1) traditional thrifty enterprises, (2) enterprises lacking resources and (3) smartly-financed enterprises.

Suggested Citation

  • Győri, Ágnes & Czakó, Ágnes, 2018. "Some Features of Hungarian Financial Literacy in the Light of the Economic Behaviour of Small and Medium-sized Enterprises," Public Finance Quarterly, Corvinus University of Budapest, vol. 63(2), pages 235-253.
    • Handle: RePEc:pfq:journl:v:63:y:2018:i:2:p:235-253
    as

    Download full text from publisher

    File URL: https://unipub.lib.uni-corvinus.hu/8742/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Miriam Bruhn & Bilal Zia, 2013. "Stimulating managerial capital in emerging markets: the impact of business training for young entrepreneurs," Journal of Development Effectiveness, Taylor & Francis Journals, vol. 5(2), pages 232-266, June.
    2. Béres, Dániel & Huzdik, Katalin, 2012. "Financial Literacy and Macro-economics," Public Finance Quarterly, Corvinus University of Budapest, vol. 57(3), pages 298-312.
    3. Adele Atkinson & Flore-Anne Messy, 2012. "Measuring Financial Literacy: Results of the OECD / International Network on Financial Education (INFE) Pilot Study," OECD Working Papers on Finance, Insurance and Private Pensions 15, OECD Publishing.
    4. Zoltan Acs & David Audretsch, 1990. "Innovation and Small Firms," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262011131, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Robert Toth & Richard Kasa & Csaba Lentner, 2023. "Validating the Financial Literacy Index of Hungarian SMEs during the COVID-19 Pandemic and the Russian–Ukrainian War," Risks, MDPI, vol. 11(4), pages 1-19, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zsótér, Boglárka, 2018. "Examining the Financial Literacy of Young Adults – The Correlations of Time Perspective, Financial Well-Being and Delay of Gratification," Public Finance Quarterly, Corvinus University of Budapest, vol. 63(1), pages 39-54.
    2. Lucia Dalla Pellegrina & Giorgio Di Maio & Paolo Landoni & Emanuele Rusinà, 2021. "Money management and entrepreneurial training in microfinance: impact on beneficiaries and institutions," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 38(3), pages 1049-1085, October.
    3. Michael Fritsch & Viktor Slavtchev, 2007. "What determines the efficiency of regional innovation systems?," Jena Economics Research Papers 2007-006, Friedrich-Schiller-University Jena.
    4. Talat Mahmood, 1997. "Survival of Newly Founded Businesses: A Log-Logistic Model Approach," CIG Working Papers FS IV 97-32, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
    5. Margaret Miller & Julia Reichelstein & Christian Salas & Bilal Zia, 2015. "Can You Help Someone Become Financially Capable? A Meta-Analysis of the Literature," The World Bank Research Observer, World Bank, vol. 30(2), pages 220-246.
    6. Werner, Arndt, 2008. "Do Credit Constraints Matter more for College Dropout Entrepreneurs?," MPRA Paper 11867, University Library of Munich, Germany.
    7. Lin, Chien-An & Bates, Timothy C., 2022. "Smart people know how the economy works: Cognitive ability, economic knowledge and financial literacy," Intelligence, Elsevier, vol. 93(C).
    8. Albert N. Link & John T. Scott, 2013. "Employment growth from public support of innovation in small firms," Chapters, in: Public Support of Innovation in Entrepreneurial Firms, chapter 3, pages 41-64, Edward Elgar Publishing.
    9. Andrea Vaona & Mario Pianta, 2008. "Firm Size and Innovation in European Manufacturing," Small Business Economics, Springer, vol. 30(3), pages 283-299, March.
    10. Sseruyange, J. & Bulte, E., 2018. "Do Incentives matter for Knowledge Diffusion? Experimental Evidence from Uganda," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 275896, International Association of Agricultural Economists.
    11. Andreas Koch & Harald Strotmann, 2006. "Determinants of Innovative Activity in Newly Founded Knowledge Intensive Business Service Firms," International Studies in Entrepreneurship, in: Michael Fritsch & Juergen Schmude (ed.), Entrepreneurship in the Region, chapter 10, pages 195-224, Springer.
    12. Zahra, Shaker A., 1996. "Technology strategy and new venture performance: A study of corporate-sponsored and independent biotechnology ventures," Journal of Business Venturing, Elsevier, vol. 11(4), pages 289-321, July.
    13. Roxana Hatos, 2021. "Graduates On Labour Market In Romania. Precarity Or Resilience?," Oradea Journal of Business and Economics, University of Oradea, Faculty of Economics, vol. 6(2), pages 21-28, September.
    14. Tether, B. S., 1998. "Small and large firms: sources of unequal innovations?," Research Policy, Elsevier, vol. 27(7), pages 725-745, November.
    15. Antonia Grohmann & Lukas Menkhoff & Helke Seitz, 2022. "The Effect of Personalized Feedback on Small Enterprises’ Finances in Uganda," Economic Development and Cultural Change, University of Chicago Press, vol. 70(3), pages 1197-1227.
    16. Enrico Guzzini & Donato Iacobucci, 2014. "Ownership as R&D incentive in business groups," Small Business Economics, Springer, vol. 43(1), pages 119-135, June.
    17. József Banyár & Petra Turi, 2019. "The Evolution of the Insurance Consumer Protection Approach in Hungary," Public Finance Quarterly, State Audit Office of Hungary, vol. 64(2), pages 189-207.
    18. Fontana, Roberto & Nuvolari, Alessandro & Shimizu, Hiroshi & Vezzulli, Andrea, 2013. "Reassessing patent propensity: Evidence from a dataset of R&D awards, 1977–2004," Research Policy, Elsevier, vol. 42(10), pages 1780-1792.
    19. Vanhaverbeke, Wim & Li, Ying & Van de Vrande, Vareska, 2009. "The dual role of external corporate venturing in technological exploration," MPRA Paper 26488, University Library of Munich, Germany, revised 2010.
    20. Daunfeldt, Sven-Olov & Elert, Niklas & Lang, Ã…sa, 2012. "Does Gibrat's law hold for retailing? Evidence from Sweden," Journal of Retailing and Consumer Services, Elsevier, vol. 19(5), pages 464-469.

    More about this item

    Keywords

    small and medium-sized enterprises; financial literacy; financial behaviour;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pfq:journl:v:63:y:2018:i:2:p:235-253. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Adam Hoffmann (email available below). General contact details of provider: https://edirc.repec.org/data/bkeeehu.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.