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Size effect on survivability of SMEs based on the survival index value (SIV) model

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  • Adli Abouzeedan
  • Michael Busler

Abstract

Effect of firm size on survivability of Small and Medium-size Enterprises (SMEs) is of great importance. Researchers have dealt with this issue using diverse analysis methods. The tool we used for such analysis in this work is the Survival Index Value (SIV) model. To our knowledge, this method has never been used before to study the issue of firm size and small firm survivability. We found that higher firm size do not enhance survivability of SMEs with a positive slope of their Survival Progression Indicator (SPI) line, neither it does that for firms with negative slope of the SPI line. However, no evidence was found to support the common understanding that reducing firm size would enhance survivability of firms with negative SPI line. Increasing firm size was found to have positive effect on survival of firms with a slope of the SPI line close to zero. Keywords: Small and Medium-size Enterprise, SMEs, SIV model, Firm Size, Relative Size of Enterprise, Survival Progression Indicator, Survivability

Suggested Citation

  • Adli Abouzeedan & Michael Busler, 2003. "Size effect on survivability of SMEs based on the survival index value (SIV) model," ERSA conference papers ersa03p14, European Regional Science Association.
  • Handle: RePEc:wiw:wiwrsa:ersa03p14
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    File URL: https://www-sre.wu.ac.at/ersa/ersaconfs/ersa03/cdrom/papers/14.pdf
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    References listed on IDEAS

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    Cited by:

    1. Gamal Atallah, 2006. "Opportunity Costs, Competition, and Firm Selection," International Economic Journal, Taylor & Francis Journals, vol. 20(4), pages 409-430.
    2. Adli Abouzeedan & Michael Busler, 2004. "Analysis Of Swedish Fishery Company Using Siv®Model: A Case Study," Journal of Enterprising Culture (JEC), World Scientific Publishing Co. Pte. Ltd., vol. 12(04), pages 277-301.

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    More about this item

    Keywords

    small and medium-size enterprise; smes; siv model; firm size; relative size of enterprise; survival progression indicator; survivability;
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