Title: The performance of Italian and French listed companies during the financial crisis period 2008-2017

Authors: Panagiotis Charalampakis; Antonios Georgopoulos; Ilias Makris; George Mavridoglou; Stavros Stavroyiannis

Addresses: Department of Business Administration, University of Patras, Patras 26504, Greece ' Department of Business Administration, University of Patras, Patras 26504, Greece ' Department of Accounting and Finance, University of the Peloponnese, Antikalamos 24100, Kalamata, Greece ' Department of Accounting and Finance, University of the Peloponnese, Antikalamos 24100, Kalamata, Greece ' Department of Accounting and Finance, University of the Peloponnese, Antikalamos 24100, Kalamata, Greece

Abstract: The purpose of this research is to evaluate the French and Italian publicly listed companies' performance, analysing data from 322 and 68 companies respectively, during the recessionary period 2008-2017. The proposed methodology utilises variable-reduction principal component analysis (PCA) firstly and then panel data analysis. PCA aims to reduce a more extensive set of indicators, to a smaller set of principal components that account for most of the original variables' variance. The initial data refer to a time-series of 14 financial indicators, collected from world scope database. Four new components arose, and were analysed using a panel data model for the decade 2008-2017. The research contributes to the existing literature as it studies the effect of the combination of three specific components (market, debt, internationalisation) on the performance of companies and extends the study to France and Italy, two of the largest economies in Eurozone.

Keywords: financial performance; listed companies; France; Italy; principal component analysis; PCA; panel data analysis.

DOI: 10.1504/IJEBR.2024.138073

International Journal of Economics and Business Research, 2024 Vol.27 No.3, pp.472 - 488

Received: 05 Aug 2021
Accepted: 06 Oct 2021
Published online: 21 Apr 2024 *

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