Measuring SMEs Risk – Evidence from Malaysia

نویسندگان

چکیده

Abstract This research examines the risk of failure in small and medium enterprises (SMEs) Malaysia, using a dataset 303 individual companies from 2005 to 2014. The study aims provide robust framework for quantifying SME understanding relationship between operational characteristics risk. methods available calculate are pure-play beta, accounting beta probability survival methods. We then use Gaussian mixture model (GMM) regression examine firm characteristics. Our results show (1) having high amount debt does not necessarily make riskier than its counterparts; (2) profitability significantly affects risk; (3) size, age business ethnicity associated with SME’s Malaysia. also that PP works better measurement comparing other measures. is important range stakeholders, including government relation sustainable economic growth goals areas public policy, as well investors, customers, suppliers, employees, society, it avoiding avoidable churn. draws on information financial statements, owner ethnicity, gender, location, shareholding, items stored database, providing rich panel data businesses over time.

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ژورنال

عنوان ژورنال: SN Business & Economics

سال: 2023

ISSN: ['2662-9399']

DOI: https://doi.org/10.1007/s43546-023-00496-3