FINANCIAL BEHAVIOUR OF FAMILY COMPANIES IN THE CZECH REPUBLIC

Kód výsledku v IS VaVaI

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Výsledek na webu

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DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

FINANCIAL BEHAVIOUR OF FAMILY COMPANIES IN THE CZECH REPUBLIC

Popis výsledku v původním jazyce

The article deals with an analysis of the financial behaviour of Czech family businesses registered by the Association of Small and Medium Enterprises of the Czech Republic. This association registers a group of entrepreneurs who meet the definition of family businesses and have voluntarily registered in this register. The Albertina database provided data from the financial statements of 475 family businesses for the year 2022. Drawing on an analysed sample, which represents almost 39% of the total number of records in the family business database, the study identifies typical features of financial behaviour in these units. The sample predominantly includes limited liability companies (94.1%), with joint-stock companies making up the remaining 5.9%.Cluster analysis, using the k-means method, allowed three groups of companies to be distinguished according to their similarity. We have identified three key financial indicators for cluster analysis: operational profitability, retained earnings, and total liability. The company&apos;s main activity is the basis for calculating operating profitability, defined as the ratio of operating profit to total assets. The retained earnings measure, defined as the ratio between retained earnings and total assets, allows for comparability across industries. Total liability, divided by total assets, indicates the proportion of a company’s assets financed through debt. We compared the three indicators of family firms using a cluster analysis. This comparison of selected financial indicators showed three different groups of family companies in the Czech Republic. We have found that Czech family companies have a conservative approach to financial behaviour. The findings of this study contribute to the understanding of financial behaviour in Czech family companies, providing valuable insights for academics and practitioners in the field.

Název v anglickém jazyce

FINANCIAL BEHAVIOUR OF FAMILY COMPANIES IN THE CZECH REPUBLIC

Popis výsledku anglicky

The article deals with an analysis of the financial behaviour of Czech family businesses registered by the Association of Small and Medium Enterprises of the Czech Republic. This association registers a group of entrepreneurs who meet the definition of family businesses and have voluntarily registered in this register. The Albertina database provided data from the financial statements of 475 family businesses for the year 2022. Drawing on an analysed sample, which represents almost 39% of the total number of records in the family business database, the study identifies typical features of financial behaviour in these units. The sample predominantly includes limited liability companies (94.1%), with joint-stock companies making up the remaining 5.9%.Cluster analysis, using the k-means method, allowed three groups of companies to be distinguished according to their similarity. We have identified three key financial indicators for cluster analysis: operational profitability, retained earnings, and total liability. The company&apos;s main activity is the basis for calculating operating profitability, defined as the ratio of operating profit to total assets. The retained earnings measure, defined as the ratio between retained earnings and total assets, allows for comparability across industries. Total liability, divided by total assets, indicates the proportion of a company’s assets financed through debt. We compared the three indicators of family firms using a cluster analysis. This comparison of selected financial indicators showed three different groups of family companies in the Czech Republic. We have found that Czech family companies have a conservative approach to financial behaviour. The findings of this study contribute to the understanding of financial behaviour in Czech family companies, providing valuable insights for academics and practitioners in the field.

Druh

D - Stať ve sborníku

CEP obor

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OECD FORD obor

50206 - Finance

Projekt

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Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2024

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název statě ve sborníku

Conference Proceedings Business Trends 2024

ISBN

978-80-261-1270-9

ISSN

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e-ISSN

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Počet stran výsledku

14

Strana od-do

186-199

Název nakladatele

Faculty of Economics University of West Bohemia

Místo vydání

Plzeň

Místo konání akce

Plzeň

Datum konání akce

21. 11. 2024

Typ akce podle státní příslušnosti

WRD - Celosvětová akce

Kód UT WoS článku

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