UCL logo

UCL Discovery

UCL home » Library Services » Electronic resources » UCL Discovery

Small- and Medium-Sized Businesses’’ Growth Expectations and Financial Performance in Latvia: Does Ethnicity Matter?

Aidis, R; Mickiewicz, T; Sauka, A; (2011) Small- and Medium-Sized Businesses’’ Growth Expectations and Financial Performance in Latvia: Does Ethnicity Matter? Journal of Baltic Studies , 42 (3) 359 - 378.

Full text not available from this repository.

Abstract

Applying regulatory focus theory, this paper investigates the impact of both ‘initial confidence’ and ‘exactness of growth expectations’ on the financial performance of small and medium-sized firms in Latvia. Drawing on a data set based on repeated survey design, we explore the complexity of this relationship empirically. Our overall findings suggest that when controlling for other relevant factors, such as actual growth, entrepreneurs having higher growth expectations perform significantly better in terms of profitability. In addition, education has a strong modifying effect. The impact of high growth expectations on subsequent profit performance is stronger for entrepreneurs with a lower level of education. Moreover, these effects are amplified by ethnicity. They are much stronger for ethnic Russian entrepreneurs compared with ethnic Latvian entrepreneurs.

Type:Article
Title:Small- and Medium-Sized Businesses’’ Growth Expectations and Financial Performance in Latvia: Does Ethnicity Matter?
Keywords:Latvia, minorities, entrepreneurship, optimism, regulatory focus theory
UCL classification:UCL > School of Arts and Social Sciences > SSEES (School of Slavonic and East European Studies)

Archive Staff Only: edit this record