Composition of small and large firms’ business networks in transition economies

ARTIGOS

Composition of small and large firms’ business networks in transition economies

Manuel Portugal Ferreira^I; Dan Li^II; Fernando Ribeiro Serra^III; Sungu Armagan^IV

^IProf. Escola Superior de Tecnologia e Gestão/Instituto Politécnico de Leiria-Portugal

^IIProf. Kelley School of Business/Indiana University

^IIIProf. Unisul Business School

^IVProf.College of Business Administration/Florida International University

ABSTRACT

In this study, using firm level data from twenty six transition economies collected by the World Bank and the EBRD in 1999-2000, we conduct a set of logistic regression models to investigate the composition of small and large firms’ business networks. The results show that, in contrast to smaller firms, larger firms are more likely to have formal business relationships, and relationships with national and foreign financial institutions, government, and foreign firms. In addition, in a subgroup analysis of seven transition economies we show that the composition of the firms’ business networks varies substantially across countries but that the government is still a dominant client. Furthermore, we found a large variation on firms’ reliance on informal ties and the extent to which firms exchange with foreign firms.

RESUMO

Neste estudo, utilizando dados de firmas de vinte e seis economias em transição, coletados pelo World Bank e EBRD em 1999-2000, conduzimos um conjunto de modelos de regressão logísticos para investigar a composição das redes relacionais de pequenas e grandes empresas. Os resultados mostram que, em contraste com as pequenas empresas, as empresas maiores são mais propensas a ter relacionamentos formais de negócios, e relacionamentos com instituições financeiras nacionais e internacionais, governos e empresas internacionais. Adicionalmente, numa análise de subgrupos de sete economias de transição, mostramos que a composição das redes relacionais das firmas varia substancialmente de país para país e que o governo é, ainda, um cliente dominante. Também verificamos uma grande variação na dependência das firmas em ligações informais e na quantidade de relacionamentos especificamente com empresas estrangeiras.

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Publication Dates

• Publication in this collection
  22 Oct 2014
• Date of issue
  Sept 2008