A proposal to estimate the valuation of small and medium size companies using geographically comparable information

  1. Mari Luz Maté Sánchez de Val 1
  2. Paolo Occhino 1
  1. 1 Universidad Politécnica de Cartagena
    info

    Universidad Politécnica de Cartagena

    Cartagena, España

    ROR https://ror.org/02k5kx966

Journal:
Small Business International Review

ISSN: 2531-0046

Year of publication: 2020

Volume: 4

Issue: 1

Pages: 34-51

Type: Article

DOI: 10.26784/SBIR.V4I1.229 DIALNET GOOGLE SCHOLAR lock_openOpen access editor

More publications in: Small Business International Review

Metrics

Cited by

  • Dimensions Cited by: 2 (17-03-2023)

Índice Dialnet de Revistas

  • Year 2020
  • Journal Impact: 0.120
  • Field: ECONOMÍA Quartile: C3 Rank in field: 87/170

CIRC

  • Social Sciences: C

Dimensions

(Data updated as of 17-03-2023)
  • Total citations: 2
  • Recent citations: 1
  • Field Citation Ratio (FCR): 1.35

Abstract

A common prerequisite in valuation analysis is the availability of temporal information on financial variables. Nevertheless, reduced size companies-representing more than 98% on current productive systems- fail to have available temporal information to estimate valuations. In this paper, we offer a procedure for estimating reduced size companies’ values under the hypothesis that spatial behaviour matters for valuations. With this aim, we present the theoretical background for this hypothesis and introduce a spatial proposal with a case study of industrial companies where the significant role of space on firms’ valuations is previously tested. This analysis shows the relevance of spatial information in firms’ valuation confirming the predictive capability of our approach applying the out of sample methodology

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