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The impact of leverage and other key variables on firm’s performance: evidence from Greece

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Author Info
Panagiotis Liargovas
Konstantinos Skandalis

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Abstract

This paper uses firm level panel data to investigate empirically the effects of leverage and other key variables on the financial performance of firms in the Greek economy during the period 1997-2004; a period combining some years before and after the advent of the Economic Monetary Union (EMU). The study examines the effect of leverage in combination with other strategic determinants on firm financial performance in the case of industrial firms, which have to survive in the environment of eurozone and the market of 300 million consumers. Results show that leverage in parallel with export activity, location and investments significantly affect firm performance in a relatively small market which inevitably suffers from the sharpen competitive pressures taking place throughout Europe.

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Publisher Info
Paper provided by University of Peloponnese, Department of Economics in its series Working Papers with number 00040.

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Length: 20 pages
Date of creation: 2009
Date of revision:
Handle: RePEc:uop:wpaper:00040

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This page was last updated on 2009-12-1.


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