Main Article Content

Leonard Tchuta
Fuji Xie


Firm growth measures, endogenous growth factors, financials, operations, capabilities


Purpose: This study attempts to standardize firm endogenous growth measures by performing exploratory factor analysis on nine firm endogenous growth measures (equity book value, equity market value, working capital, stock R&D investments, stock advertisement investment, stock capital asset investment, operating expenses, sales revenue, and the number of employees).

Methodology: Data was generated by pooling a panel dataset of 116 firms and13 years timespan data.

Main Findings: The result of the analysis reveals three underlying firm growth factors (namely firm financials, operations, and capabilities) representing the initial nine growth measures.

Implications/Applications: The results of this research can be used as the bases for further research in firm endogenous growth model analysis.


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