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Sticky Costs In Relation To Geographical, Sectoral And Pandemic Factors In Smes In Central European Countries

Author

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  • Jan Musil

    (Brno University of Technology, Czech Republic, Faculty of Business and Management)

  • Alena Kocmanova

    (Brno University of Technology, Czech Republic, Faculty of Business and Management)

Abstract

This study investigates the phenomenon of cost stickiness among SMEs in the Czech Republic, Poland, and Slovakia, analyzing the period 2018-2022, pre- and post-COVID-19 pandemic. It aims to assess the influence of geographical location, industry sector, and business size on cost stickiness. Data sourced from the Orbis Europe database is subjected to univariate statistical analysis to explore these relationships. Findings indicate significant effects of business size and industry sector on cost stickiness across the observed years. While enterprise size consistently impacts cost stickiness, industry sectors showed variation, with certain sectors demonstrating stable stickiness pre-pandemic and deviation during the pandemic. Post-pandemic, there was an overall increase in cost stickiness, with the pandemic factor proving statistically significant. Geographic location also exhibited a consistent impact on cost stickiness. These insights contribute to understanding cost behavior in SMEs across diverse contexts and offer practical implications for cost management strategies, potentially informing policy adjustments at governmental levels. This research enhances knowledge regarding cost dynamics in SMEs, particularly relevant amidst economic disruptions such as the COVID-19 pandemic.

Suggested Citation

  • Jan Musil & Alena Kocmanova, 2025. "Sticky Costs In Relation To Geographical, Sectoral And Pandemic Factors In Smes In Central European Countries," Economic Thought and Practice, Department of Economics and Business, University of Dubrovnik, vol. 34(1), pages 231-254, june.
    • Handle: RePEc:avo:emipdu:v:34:y:2025:i:1:p:231-254
    DOI: 10.17818/EMIP/2025/4
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    Keywords

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    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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