The Effect of Size of Manufacturing Corporation on the Distribution of the Rate of Return

Default Prediction Model for SME’s: Evidence from UK Market Using Financial Ratios

“…In terms of firm size of the matching firms, Beaver (1966) believe relationship between ratios and failure will change by different firm size. Also, Alexander (1949) showed that the statistical evidence of the time supports the idea that even if two firms have the same ratios, if one firm is larger than the other then that company will have less chance of failure than the smaller one. Thus, similar firm size is important when selecting samples.…”

The effects of market and firm structure on the performance of food processing firms

“…As a substitute for the pure competition norm Clark introduced the concept of workable competition. To summarize, Clark maintains the existence of workable competition under the following circumstances: (1) If there exists small numbers of firms in a given industry there must be sufficient product heterogeneity accompanied with sufficient potential for commodity substitution to cause competitive response uncertainties; (2) there should exist a demand curve with sufficient elasticity to allow the firm to cover long-run average costs;…”

“…Stigler states that an industry is workably competitive when ''... (1) there are a considerable number of firms selling closely related products in each important market area; (2) these firms are not in collusion; and (3) the long-run average cost curve for a new firm is not materially higher than for an established firm." (76, pp.…”

“…In an unconcentrated industry profits of firms of varying sizes should tend to be equalized if (1) there are close product substitutes and (2) low barriers to entry. In a monopolistic industry the profit rates of firms should be highly correlated with a measure of the firms' market power.…”

“…Thus advertising may take one of three forms: (1) a purveyor of price, quality, and physical appearance information; (2) a means of persuading consumers of product differentiation merely on the basis of its being produced by a certain enterprise; and (3) a barrier to entry.…”