IMPORTANCE OF REGION AND OTHER SOCIO-ECONOMIC FACTORS IN THE MODEL OF BUSINESS EFFICIENCY

MÁRIA MICHŇOVÁ – SILVIA MEGYESIOVÁ

https://doi.org/10.53465/EDAMBA.2021.9788022549301.317-326

 

Abstract: The importance of analyzing and predicting business efficiency, both overall and economic, is proving necessary, especially in the current global situation, when the world has been hit by a pandemic, causing economic slowdown, closures and, in some cases, fatalities and of course negative effects on the overall economy of countries and the world. In this paper, we focused on the analysis of indicators as predictors of business efficiency. We used a sample of 150,000 companies accounting in the double-entry bookkeeping system in Slovakia. Using data on enterprises, we calculated a number of financial indicators to which we added socio-demographic indicators and focused on the indicator of return on assets, in which we determined the strength of the region as a predictor of other indicators of corporate efficiency. As part of the analysis, we used Kruskal-Wallis statistical tests to determine differences and machine learning techniques such as the XGBoost Tree model and the CHAID algorithm to determine the significance of the predictor.

Keywords: business, efficiency, machine learning

JEL classification: C01, C38, C44, C53, M21

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Online publication date: 12 May 2022

 

To cite this article (APA style):

Michňová, M. & Megyesiová, S. (2022). Importance of Region and Other Socio-Economic Factors in the Model of Business Efficiency. Proceedings from the EDAMBA 2021 conference, 317 – 326. https://doi.org/10.53465/EDAMBA.2021.9788022549301.317-326