The effect of Firm Size on the Structure of Profitability - The Experience of Japanese Manufacturing Firms 1966-1976
(1979) , 21 pages
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- Abstract
- The effect of firm size on the economic performances of the firm has been of some interest to economists. Thus Baumol has stressed the role of firm size as the capital requirement barrier to entry and Hall & Weiss supplied supporting empirical results based on the 500 largest U.S. firms. Jacquemin & Saez (7) examined, "the bigger, the better" hypothesis or myth, as they put it, with regard to European and Japanese firms and suggested that firm size had negative, significant effects on performance especially for the European firms. So far the argument about the effect of firm size has not been settled and we need more empirical as well as theoretical investigations of this problem. The purpose of this paper is to inquire empirically on the role of firm size in the determination of profitability of Japanese industrial firms.
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Citations
Nambu, T. (1979). The effect of Firm Size on the Structure of Profitability - The Experience of Japanese Manufacturing Firms 1966-1976 (Working Papers Institut des sciences économiques 7906). https://hdl.handle.net/2078.5/278780