• The Journal of Asian Finance, Economics and Business
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• v.7 no.11
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• pp.689-698
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• 2020

The aim of this article is to determine the influence of factors on the capital structure of construction companies listed on the Hanoi Stock Exchange. The data of the article were collected and calculated from the financial statements of 54 construction companies listed on Hanoi Stock Exchange from 2012 to 2019. With the application of E-view software in quantitative analysis to build panel data regression model (panel data), the article has built a regression model to determine the relationship of intrinsic factors affecting the capital structure of construction companies listed on Hanoi Stock Exchange. In the study, dependent variable is capital structure, determined by the debt-to-equity ratio. Profitability, coefficient of solvency, size, loan interest rate, structure of tangible assets, and growth are independent variables. The results showed that the two factors of growth and firm size positively affect the capital structure, the profitability factor has the opposite effect on capital structure. Factors of short-term debt solvency, average loan interest rate and tangible asset structure have no correlation with capital structure. The findings of this article are useful for business administrators, helping business managers make the right financial decisions to make capital structure decisions in their own conditions.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.11
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• pp.303-314
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• 2020

This paper investigates the relationships between bank credit and trade credit with profit of 130 agricultural firms listed on Vietnam's stock exchanges during the period 2008-2014. Using the GMM approach, the paper reveals inverted-U shaped (∩) relationships between bank credit and trade credit with profit. Specifically, the optimal threshold of bank credit and trade credit to total assets of the firms are 0.4173 and 0.2425, respectively. The findings mean that if the ratio of bank credit to total assets exceeds the benchmark of 0.4173, firms should consider restructuring debts to get them back to the benchmark. To do so, firms should withdraw from those business fields that are not of their profession, in addition to liquiditizing unused assets to repay debts and not using short-term credit to invest in long-term projects. Firms may use trade credit wisely when other sources of finance are lacking. In concrete terms, firms can increase trade credit use if the ratio of trade credit to total assets is below 0.2425. Yet, if this ratio goes beyond this benchmark, firms should get back to this benchmark, e.g., keeping a suitable amount of inventory. The implications of this study is to boost firm growth in the proposed way.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.14 no.6
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• pp.131-141
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• 2019

This paper investigates a relationship between a market position of a venture capitalist(i.e.,VC) and its subsequent performance. Although a VC firm may perform better if it occupies a narrow niche(e.g.,specialist), which allows the firm to attain deep insider knowledge and build an identity as an industry expert, a firm may perform better if it has a broader niche(e.g.,generalist), which gives the firm access to more diverse information and opportunities and to effectively spread out potential risks. Given that accesses to valuable information and chances are critical for success in venture capital industry, we hypothesize that venture capitalists with broad niche width are more likely to grow in the future and analyze 26-year data on US venture capital industry. We found that, in general, a firm can enjoy the advantage of having a broad niche. However, the return to having a broad niche varies depending on its status within the market: a return greater for low- status than high-status VC firms. Our finding suggests that explorative efforts may be more rewarding for low-status VC firms.

• Journal of Korea Technology Innovation Society
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• v.9 no.1
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• pp.1-25
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• 2006

Technological innovation is being recognized as a core capability of competitive advantage for sustainable growth of a company. In this regard, lots of research activities have been conducted on technological innovation and performance at firm level. Ihis study empirically investigates those relationship with cross-sectional and time-series data according to firm-specific characteristics along industry. Patent intensity, R&D intensity, and intangible asset intensity smoothing by firm size are used as proxy measures for explanation of performance with net income per employee. As a result with 162 high-tech firms for 11 years, it was found that high performances were positively related to patent and R&D intensity. Also, firms classified into 8 categories based on firm-specific technological innovation characteristics show difference upon performances. To sum up, firms that have high patent and R&D intensity demonstrate high performance compared to other firms.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.8 no.1
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• pp.29-36
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• 2013

So many researchers have been interested in key success factors of technological start-ups. However, previous studies have not focussed on Concreteness of technological capabilities at the growth stages and industry in technological start-ups. The purpose of this study is to investigate the Concreteness of technological capabilities that have influence on performance of technological start-ups. Empirical data was collected from 342 firms in BI in Korea. It used the questionnaire method for the CEO, It is executed the Regression analysis to test hypotheses of influencing effects. Results of the hypothesis testing are summarized as follows: First, It was found that technological capabilities had statistically significant influence on firm performance. But the property based resources had lower significant influence. Second, This research found that the knowledge based resources had higher significant influence on technological start-ups performance at IT industry. Third, The knowledge based resources had higher significant influence on performance at growth stages. In conclusion, technological capabilities were verified as important firm resources of technology-based start-ups for firm performance. But the Concreteness of technological capabilities was significant differences by growth-stage of firms.

• East Asian Economic Review
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• v.25 no.3
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• pp.273-309
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• 2021

The development of regulatory systems varies between transition and non-transition economies. This suggests that they provide different incentives for entrepreneurial development and could have varied effects on the economy because they have different methods to deal with market failure. However, limited empirical evidence exists to prove the assumption of dichotomy. Using comprehensive data for institutional quality, labor market and financial market development, this research sought to analyze their effect on employment growth at micro level. The results show that the quality of institutions in transition economies are poorer relative to those in non-transition economies, but their financial and labor markets are more developed than the latter. Further analysis for the transition sample shows that the three variables are individually positively related with employment growth. For the non-transition sample, institutional quality and labor market flexibility bear a positive and significant effect on employment. Financial market development enters the model with a negative coefficient when regressed alone, but a joint test of significance finds that all the variables have a positive effect on employment growth. This result could imply that there is interdependence between institutional quality, labor flexibility and financial market development in firm-employment-growth relationship, or complementarity between regulations and the quality of institutions. Alternatively, this finding suggests that a stringently regulated credit market in non-transition economies have a selection effect-allocating credit only to entrepreneurs who already demonstrate strong growth potential. In sum, despite differences in the evolution of regulatory environment between the two samples, both of them complement employment growth at firm level. The overall implication of these findings is that less rigid regulations and coherent policies that are enforced with impartiality provide incentives for firms to expand.

• Journal of the Korea Convergence Society
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• v.10 no.9
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• pp.209-219
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• 2019

This study analyzed the impacts and factors of the government's local industry upbringing policy on business growth. We analyzed the effect of product innovation and technological innovation on business competence, external cooperation level, R&D investment, and corporate growth using PLS(Partial Least Squares) structural equation. The results show that management competence and external cooperation level have a significant effect on firm growth and that there is a moderating effect between beneficiaries and non-beneficiaries. Management competence affects product innovation. Product innovation was analyzed to have mediating effects on firm growth. Finally, the policy direction of increasing managerial capacity is presented, and the limitations and future research directions are suggested.

• Journal of the Economic Geographical Society of Korea
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• v.7 no.2
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• pp.227-244
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• 2004

The purpose of this study is to analyze the spatial characteristics of inter-firm linkages and innovation networks of firms which are located in Gyeonggi border regions. Through this analysis, this study aims at understanding the spatial characteristics of economic activities of firms in Gyeonggi border regions. More importantly, this study focuses on revealing how the spatial characteristics of economic activities of firms affect future growth potentials of firms and regional economic growth. The main findings of this study are as follows. According to the analysis of spatial material linkages, the firms in both footloose location and industrial complex are all proven to be strongly dependent on the Capital Region. Owing to the weak level of the local material linkages, the effects on regional economic growth are limited. But firms in industrial complex contribute more to regional economic growth. The analysis of spatial employment linkages shows that the local linkages are comparatively strong. But the differentiation of residences weaken the positive effects on regional economy. As a concluding remark, the harmony with local linkages and non-local linkages is required to promote future growth potentials of firms and regional economic growth.

• Journal of Korea Port Economic Association
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• v.28 no.1
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• pp.123-142
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• 2012

The purpose of this paper is to suggest a plan on succeeding together-Busan New Port & BJFEZ(that is, port hinterland development). This study deals with the terms of three connection growth factors which are a firm's subjective factors, a industrial environment factors, and a governmental policy factors. According to analysis results of the factors, a firm's subjective factors(4.11 score) are scored the most ones of connection growth factors of Busan New Port & BJFEZ, to be compared with a governmental policy factors(4.01 score). with a industrial environment factors(3.92 score). Therefore, first of all, Busan New Port & BJFEZ have to promote connection growth through as follows, a firm's subjective factors : (1) to procure competitiveness through establishment of connection growth model, (2) to promote concentrated marketing strategy & market response ability, (3) speedy meeting to customer's needs, (4) to procure reliability of Busan New Port & BJFEZ. And, the next, Busan New Port & BJFEZ have to promote connection growth through considering a governmental policy factors, a industrial environment factors.

• Journal of the Korean Regional Science Association
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• v.39 no.3
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• pp.13-34
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• 2023

Jeju is making multifaceted efforts to foster and attract businesses in order to increase its GRDP, which is only at the level of 1% nationwide. A firm's choice of location selection is such a significant decision that it can affect the growth of the firm. The concentration of firm locations in one region means that the characteristics of the region conduce to corporate profit maximization. Therefore, the analysis of the characteristics of regions preferred by firms and the reflection of the results thereof in policies for attracting firms will be helpful in inducing regional innovation and development. This study investigates the distribution of firm locations in Jeju, and analyzes the effects of regional characteristics on the determination of firm location by using the conditional logit model. The analysis results indicate that Jeju has various kinds of firms concentrated, regardless of the industry type, and a large economically active population in thinly populated areas. Additionally, firms in the knowledge-based industry tend to locate in areas where more firms in the same field are located in Jeju. This study is significant in that it is the basic analysis of the determinants of firm location in Jeju, which has never carried out, for the purpose of establishing policies for firm and industry promotion and local development in Jeju.