Central and East European Corporate Finance: Between Commonality and Heterogeneity
In order to reveal the corporate finance characteristics, we conduct a panel data study on companies located in five countries within the CEE area (the Czech Republic, Hungary, Poland, Romania and Slovakia). We identify common features in terms of capital structure and financial indicators interdependencies, but also country specific elements, which strengthen the assumptions of heterogeneity at the level of corporate finance. We reveal that both firm specific and common factors have an impact on CEE corporations; nevertheless, compared to similar papers, the degree of heterogeneity is lower, confirming the theories of CEE inter-country high correlation. In comparison with similar previous approaches, our research develops a more extended perspective on CEE corporate finance peculiarities. We emphasize the interactions across a wider range of financial indicators relating to profitability, asset management and capital structure ratios in the light of the country and firm-level characteristics. We point out that in the light of the macroeconomic stabilization process (encompassing the catching up period and subsequently the EU integration), heterogeneity degree lowers.
Volume (Year): (2011)
Issue (Month): 3 (September)
|Contact details of provider:|| Postal: |
Phone: 004 021 3188148
Fax: 004 021 3188148
Web page: http://www.ipe.ro/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Angelucci, Manuela & Estrin, Saul & Konings, Jozef & Zólkiewski, Zbigniew, 2001.
"The Effect of Ownership and Competitive Pressure on Firm Performance in Transition Countries: Micro Evidence from Bulgaria, Romania and Poland,"
CEPR Discussion Papers
2985, C.E.P.R. Discussion Papers.
- Saul Estrin & Jozef Konings & Zbigniew Zolkiewski & Manuela Angelucci, 2001. "The Effect of Ownership and Competitive Pressure on Firm Performance in Transition Countries. Micro Evidence from Bulgaria, Romania and Poland," LICOS Discussion Papers 10401, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
- Manuela Angelucci & Saul Estrin & Jozef Konings & Zbigniew Zolkiewski, 2002. "The Effect of Ownership and Competitive Pressure on Firm Performance in Transition Countries: Micro Evidence from Bulgaria, Romania and Poland," William Davidson Institute Working Papers Series 434, William Davidson Institute at the University of Michigan.
- Stewart C. Myers & Nicholas S. Majluf, 1984. "Corporate Financing and Investment Decisions When Firms Have InformationThat Investors Do Not Have," NBER Working Papers 1396, National Bureau of Economic Research, Inc.
- Cornelli, F. & Portes, R. & Schaffer, M., 1996.
"The Capital Structure of Firms in Central and Eastern Europe,"
DELTA Working Papers
96-05, DELTA (Ecole normale supérieure).
- Cornelli, Francesca & Portes, Richard & Schaffer, Mark E, 1996. "The Capital Structure of Firms in Central and Eastern Europe," CEPR Discussion Papers 1392, C.E.P.R. Discussion Papers.
- Banerjee, Saugata & Heshmati, Almas & Wihlborg, Clas, 1999. "The Dynamics of Capital Structure," SSE/EFI Working Paper Series in Economics and Finance 333, Stockholm School of Economics, revised 12 May 2000.
- Cole, Rebel, 2008. "What do we know about the capital structure of privately held firms? Evidence from the Surveys of Small Business Finance," MPRA Paper 8086, University Library of Munich, Germany.
- Andraz Grum, 2007. "Lessons from Nominal Convergence in Slovenia," Post-Communist Economies, Taylor & Francis Journals, vol. 19(2), pages 255-262.
- Delcoure, Natalya, 2007. "The determinants of capital structure in transitional economies," International Review of Economics & Finance, Elsevier, vol. 16(3), pages 400-415.
- Ralph de Haas & Marga Peeters, 2004.
"The dynamic adjustment towards target capital structures of firms in transition economies,"
87, European Bank for Reconstruction and Development, Office of the Chief Economist.
- Ralph Haas & Marga Peeters, 2006. "The dynamic adjustment towards target capital structures of firms in transition economies ," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 14(1), pages 133-169, 03.
- Booth, L. & Asli Demirgu-Kunt, V.A. & Maksimovic, V., 1999.
"Capital Structure in Developing Countries,"
Rotman School of Management - Finance
00-001, Rotman School of Management, University of Toronto.
- Matthieu Llorca & Srdjan Redzepagic, 2008. "Debt sustainability in the EU New Member States: empirical evidence from a panel of eight Central and East European countries," Post-Communist Economies, Taylor & Francis Journals, vol. 20(2), pages 159-172.
- Stewart C. Myers, 2000. "Outside Equity," Journal of Finance, American Finance Association, vol. 55(3), pages 1005-1037, 06.
- Philippe Gaud & Elion Jani & Martin Hoesli & André Bender, 2005.
"The Capital Structure of Swiss Companies: an Empirical Analysis Using Dynamic Panel Data,"
European Financial Management,
European Financial Management Association, vol. 11(1), pages 51-69.
- Philippe Gaud & Elion Jani & Martin Hoesli & André Bender, 2003. "The capital structure of Swiss companies: an empirical analysis using dynamic panel data," FAME Research Paper Series rp68, International Center for Financial Asset Management and Engineering.
- Eugene Nivorozhkin, 2003. "The dynamics of capital structure in transition economies," Macroeconomics 0303005, EconWPA.
- Nivorozhkin, Eugene, 2003. "The dynamics of capital structure in transition economies," BOFIT Discussion Papers 2/2003, Bank of Finland, Institute for Economies in Transition.
- Myers, Stewart C. & Majluf, Nicholas S., 1984. "Corporate financing and investment decisions when firms have information that investors do not have," Journal of Financial Economics, Elsevier, vol. 13(2), pages 187-221, June.
- Emilio Colombo, 2001. "Determinants of corporate capital structure: evidence from Hungarian firms," Applied Economics, Taylor & Francis Journals, vol. 33(13), pages 1689-1701.
- Myers, Stewart C. & Majluf, Nicolás S., 1945-, 1984. "Corporate financing and investment decisions when firms have information that investors do not have," Working papers 1523-84., Massachusetts Institute of Technology (MIT), Sloan School of Management.
- Cristina Maria TRIANDAFIL & Petre BREZEANU, 2010. "CEE corporate finance peculiarities: comparative approach in relation with developed countries," Management & Marketing, Economic Publishing House, vol. 5(3), Autumn.
- Eric Rugraff, 2010. "Strengths and weaknesses of the outward FDI paths of the Central European countries," Post-Communist Economies, Taylor & Francis Journals, vol. 22(1), pages 1-17.
- Helen Bollaert & Antoine Dile, 2009. "Changes in corporate governance quality in Estonia between 1999 and 2007," Post-Communist Economies, Taylor & Francis Journals, vol. 21(1), pages 65-84.
- de Miguel, Alberto & Pindado, Julio, 2001. "Determinants of capital structure: new evidence from Spanish panel data," Journal of Corporate Finance, Elsevier, vol. 7(1), pages 77-99, March.
- Graham, John R. & Harvey, Campbell R., 2001. "The theory and practice of corporate finance: evidence from the field," Journal of Financial Economics, Elsevier, vol. 60(2-3), pages 187-243, May.
- Jalilvand, Abolhassan & Harris, Robert S, 1984. " Corporate Behavior in Adjusting to Capital Structure and Dividend Targets: An Econometric Study," Journal of Finance, American Finance Association, vol. 39(1), pages 127-45, March.
When requesting a correction, please mention this item's handle: RePEc:rjr:romjef:v::y:2011:i:3:p:132-161. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Corina Saman)
If references are entirely missing, you can add them using this form.