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The determinants of enterprise profi tability during reduced economic activity

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  • Izabella Steinerowska-Streb

Abstract

The aim of this study was to identify the characteristic features of small and medium enterprises (SMEs) which contribute to the decrease of profits of those SMEs during a period of reduced economic activity. The investigation was based on a sample of 1107 SMEs functioning in the Polish market. The empirical evidence found the type of manager, market range and legal form as determining factors of SME profits during a period of reduced economic activity. The received results led to the development of a model of firm-specific variables that resul in the decrease of SMEs profits through an economic slowdown.

Suggested Citation

  • Izabella Steinerowska-Streb, 2011. "The determinants of enterprise profi tability during reduced economic activity," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 13(4), pages 745-762, November.
    • Handle: RePEc:taf:jbemgt:v:13:y:2011:i:4:p:745-762
    DOI: 10.3846/16111699.2011.645864
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