CAN THE ENTERPRISE ACHIEVE BOTH SUSTAINED PROFITABILITY AND ECONOMIC GROWTH?

• Main Authors: Dorin Cosma, Anca-Ramona Botezat
• Format: Article
• Language: English
• Published: Vasile Goldis University Press 2011-01-01
• Series: Studia Universitatis Vasile Goldis Arad, Seria Stiinte Economice
• Subjects: profitability; economic growth; maximization; financing policy
• Online Access: http://www.uvvg.ro/studiaeconomia/images/2001/v1/32.%20CAN%20THE%20ENTERPRISE%20ACHIEVE%20BOTH%20SUSTAINED%20PROFITABILITY%20AND%20ECONOMIC%20GROWTH.pdf

This paper focuses on the presentation, at the enterprises level of two primary objectives:its profitability and economic growth, on the grounds that everyone can choose one or theother. Achieving a sustained profitability and growth is difficult, but possible forenterprises that take account of continuous renewal. Achieving one or more goals meansfor the enterprise implementation of financing decisions that require a financing plan. Inorder to emphasize the importance of establishing long term business objectives referringto profitability or growth, that would give financial autonomy; we built a regressionmodel using Pooled Least Squares method.