Models Predicting Financial Distress and their Accuracy in the Case of Construction Industry in the Czech Republic

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F68407700%3A21630%2F15%3A00238960" target="_blank" >RIV/68407700:21630/15:00238960 - isvavai.cz</a>

Výsledek na webu

<a href="http://www.ufu.utb.cz/konference/sbornik2015.pdf" target="_blank" >http://www.ufu.utb.cz/konference/sbornik2015.pdf</a>

DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

Models Predicting Financial Distress and their Accuracy in the Case of Construction Industry in the Czech Republic

Popis výsledku v původním jazyce

Corporate financial distress and risk of bankruptcy may not lead only to a market exit of an ailing company but it can seriously influence also business related entities or counterparties. This reason raises the need to have tools which can help predict future environment and ecision making process. Models predicting corporate financial distress as well as called bankruptcy models are an example of these tools and methods. Last global economic crisis has again renewed the scientific debate about appropriate accuracy of bankruptcy models. This paper is focused on an explanatory power of models predicting financial distress created in the past. Dozens of models are tested in the case of construction industry which has been highly affected by the last crisis. The paper should answer several questions. The question 1 is if the explanatory power of bankruptcy models created in the past is sufficient for decision making process. The question 2 is which models have the highest accuracy and which should be recommended for practical use. According to results connected with previous questions we can answer if there is a need of a new predicting tool. Statistically significant data sample is used for this research. Dozens of models predicting financial distress are verified by tools as Type I Error, Type II Error, ROC Curves and related AuROC coefficients.

Název v anglickém jazyce

Models Predicting Financial Distress and their Accuracy in the Case of Construction Industry in the Czech Republic

Popis výsledku anglicky

Corporate financial distress and risk of bankruptcy may not lead only to a market exit of an ailing company but it can seriously influence also business related entities or counterparties. This reason raises the need to have tools which can help predict future environment and ecision making process. Models predicting corporate financial distress as well as called bankruptcy models are an example of these tools and methods. Last global economic crisis has again renewed the scientific debate about appropriate accuracy of bankruptcy models. This paper is focused on an explanatory power of models predicting financial distress created in the past. Dozens of models are tested in the case of construction industry which has been highly affected by the last crisis. The paper should answer several questions. The question 1 is if the explanatory power of bankruptcy models created in the past is sufficient for decision making process. The question 2 is which models have the highest accuracy and which should be recommended for practical use. According to results connected with previous questions we can answer if there is a need of a new predicting tool. Statistically significant data sample is used for this research. Dozens of models predicting financial distress are verified by tools as Type I Error, Type II Error, ROC Curves and related AuROC coefficients.

Druh

D - Stať ve sborníku

CEP obor

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OECD FORD obor

50206 - Finance

Projekt

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Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2015

Kód důvěrnosti údajů

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

Název statě ve sborníku

Proceedings of the 7th International Scientific Conference: Finance and performance of firms in science, education and practice

ISBN

978-80-7454-482-8

ISSN

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e-ISSN

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Počet stran výsledku

13

Strana od-do

178-190

Název nakladatele

Univerzita Tomáše Bati ve Zlíně, Fakulta managementu a ekonomiky

Místo vydání

Zlín

Místo konání akce

Zlín

Datum konání akce

23. 4. 2015

Typ akce podle státní příslušnosti

WRD - Celosvětová akce

Kód UT WoS článku

000374107300013