Tag: Portugal

GROSS JOB – CREATION AND GROSS JOB – DESTRUCTION DETERMINANTS: EMPIRICAL ANALYSE AT MICRO FIRMS DATA LEVEL

Tadeu LEONARDO

Faculty of Economy – Univercity Jos´e Eduardo dos Santos UJES-Angola

tad.eufeca@hotmail.com

Francisco DINIZ

Centre for Transdisciplinary Development Studies (CETRAD); Quinta dos Prados, 5000-801 Vila Real, Portugal, http://www.cetrad.info/

fdiniz@utad.pt

Abstract

This study analyses gross job-creation and gross job-destruction determinants at the firm level for a panel of Portuguese micro firms across four industry sectors, using the Ordinary Leat Square and Fixed Effect econometrics model to analyse a database consisting on 15.686 micro firms, for time period going from 2010 to 2017. It was found that laggard gross job-creation, assets tangibility, financial leverage, profits and the fact firms belong to the construction sector determines gross job-creation. Regarding gross job-destruction,  its was found that this variable is determined by its laggard variable, firm’s size, worker’s tenure and the fact the firm belongs to the hotels and restaurants sector. Finally, findings suggest that a resource-based approach explains gross job-creation and gross job-creation for micro firms by using microdata. This study contributes to the state of the art on the determinants of employment and firing at micro firms’ level as it investigates the importance of the independent variables in explaining micro firm’s labour demand in Portugal.

Keywords: Gross job-creation, gross job-destruction, micro firms, Portugal

JEL classification: M10, O14, O18, O44

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THE INFLUENCE OF CULTURAL AFFINITY FOR THE BOOST OF BRAZILIAN INVESTMENT IN PORTUGAL

Cristiano Cechella

University of Azores

Abstract:

In response to a survey of Fortune 1000 companies enquiring in 2007 about “the biggest barrier in doing business in the world market”, cultural differences ranked at the top of the list. For a long time culture and economy have been treated as broadly independent areas of research The gap to recognize cultural differences was the most common cause of failure for cross-national enterprises. Members of different cultures express different values and priorities when they make and implement decisions. This article seeks to measure the influence of factors such as history, language and culture in foreign direct investment (FDI) of Brazilian companies in Portugal, two countries with deep cultural affinity. Brazil is an emerging country that is increasing your importance as international investor. Firstly, we will describe the increase importance of emerging countries in the world economy, Brazil as international investor and the luso-Brazilian economic relations, especially after 1990s. Secondly, it will take surveys and assesses approaches to explain a multidimensional analysis of the FDI, in particular those related to culture. After that, through a regression analysis based on interviews answered by Brazilian companies in Portugal, we measure by a regression model the influence of the Uppsala School, or Scandinavian, which postulates the importance of culture in corporate investment abroad. While geographic, political and economic approaches have own advantages of their own, the cultural area is particularly useful for a long-term comparative economic analysis.
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Keywords: cultural affinity – enterprises – Foreign Direct Investment –  Brazil – Portugal – emerging countries – Stepwise method – Eclectic theory – Scandinavian Theory