Determinants of investment decisions in a crisis: perspective of Croatian small firms Cover Image

Determinants of investment decisions in a crisis: perspective of Croatian small firms
Determinants of investment decisions in a crisis: perspective of Croatian small firms

Author(s): Jelena Đurkin, Marko Perić
Subject(s): Business Economy / Management, Economic development, Present Times (2010 - today), ICT Information and Communications Technologies
Published by: Ekonomski fakultet Sveučilišta u Splitu
Keywords: investment; small enterprises; crisis; managers; Croatia;

Summary/Abstract: The aim of the paper is to determine the investment activity of small firms in Croatia during the crisis year 2012 and further analyse the effect of selected factors on capital investment decisions. For this purpose, an on-line survey of small businesses was conducted. The research sample consisted of small firms in Primorsko-Goranska County that earned the highest revenue in 2011, because it was assumed they would have greater investment potential in 2012. Research results show that almost half of the firms invested in new fixed assets in 2012. Their investment decisions were primarily motivated by mere "survival" purpose, since the investment activities were mostly oriented toward the replacement of worn-out assets.

  • Issue Year: 20/2015
  • Issue No: 2
  • Page Range: 115-133
  • Page Count: 19
  • Language: English