What is it about?

Legal form is a key factor in affecting firm performance. We show that open shareholding, closed shareholding, partnership, and limited partnership companies demonstrate higher annual sales and annual productivity growth rates compared to sole proprietorship ones. We also show that foreign ownership, exporting activities, the usage of the web in communication with clients and suppliers, and the presence of full‐time workers have positively affected firm performance. Lastly, we argue that having females participating in ownership does no effect on firm performance

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Why is it important?

Our paper is the first to collectively examine the effect of multiple factors on firm performance in the MENA region It challenges the idea that top leading positions should only be filled by males Presents a group of suggestions for strategists targeting at improving the performance of firms

Perspectives

This article presents a "one-stop-shop" on the effect of legal form and multiple firm-related factors on firm performance! Moreover, working on this article was a pleasure as my coauthor has been my professor for several years and has a demonstrated history of working with micro datasets.

Issam Abdo Ahmad
Lebanese American University

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This page is a summary of: Does the legal form matter for firm performance in the MENA region?, Annals of Public and Cooperative Economics, April 2021, Wiley, DOI: 10.1111/apce.12324.
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