Identifying the factors affecting firm performance and growth: the case of Italian publicly listed companies

Abstract

The 2008 financial crisis affected almost all of the Eurozone's member states but not in the same way. Italy, the 3rd largest country member of the Eurozone, in terms of GDP, was hit heavily by the economic crisis. Italy's GDP fell, income per capita has had a zero increase and gross debt has reached previously unthinkable levels. In this research, economic data of a large number of publicly listed Italian companies are examined, between 2008 and 2018. The aim is to identify common characteristics that are associated with company performance and growth during the period examined. A panel data analysis has been performed with focus on how firms' financial performance and growth are being affected by their financial health, internationalisation, and size. Similar studies are presented, and their findings are compared to investigate the factors that are crucial for firm growth, especially during a recessionary period.