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The business cycle synchronization was widely discussed before the last economic crisis and now the interest in this topic revives. The majority of literature about business cycle synchronization evaluates the role of mutual trade and similarities among the economies, while the investment links, mainly foreign direct investment flows and stocks are very often completely ignored or at least marginalized. The paper aims to discuss and then estimate the importance of continually increasing stock of foreign direct investment in synchronization of business cycles. It focuses to selected Central European economies after economic transition and their business cycle co-movements with their most important trade partners - France, Germany and Italy. The extent of trade flows, industrial structure similarity and selected trade environment variables are used to extend the standardly employed regression formula. [ABSTRACT FROM AUTHOR]

After the Global Financial Crisis the frequency of reported losses of companies has increased significantly in countries of the European Union. Moreover, the fi nancial leverage of companies have increased and even exceeded 100% in several countries. The reason of this development is negative equity that companies find themselves to report. At first sight negative equities are caused by accumulated losses from prior periods. However, there are some other reasons that can result in increasing negative equities in companies. They remain adequate as long as a company is able to pay its bills. Nevertheless, a company with negative equity is exposed to risks. This paper investigates whether the corporate negative equity is a sign of the future failure of a company. We examine nonfi nancial manufactured companies from selected countries of the European Union within the period 2005-2012 from database Amadeus (Czech Republic, Slovakia, Hungary, Poland and Germany). By the means of comparison between negative and positive equities we applied descriptive statistics and Pearson correlation analysis. We find that in all surveyed countries the size positively influences the equity of companies. Other factors as profitability and growth opportunities do not influence the corporate equity. In addition the binary logistic regression analysis has been conducted based on the evidence from Czech companies. Our results indicate that negative equities are not a sign of bankruptcy or insolvency of a company. But the low profitability or low business activities (that are predictors of bankruptcy) might lead to negative equities in the balance sheet. [ABSTRACT FROM AUTHOR]

This paper analyzes the changes in the total factor productivity index of a Spanish hotel chain in the period from 2007 to 2010 with the purpose of id en tifying efficiency patterns for the chain in a period of financial crisis. The data envelopment analysis (DEA) Malmquist productivity index was used to estimate productivity change in 38 hotels of the AC chain. Results reveal AC hotels' efficiency trends and, therefore, their competitiveness in the recession period; they also show the changes experienced in these hotels' total productivity and its components: technological and efficiency changes. Positive efficiency changes were due to positive technical efficiency rather than technological efficiency. The recession period certainly influenced the performance of AC Hotels, which focused on organizational changes rather than investing in technology. [ABSTRACT FROM AUTHOR]

Purpose – The purpose of this study is to assess how the recent financial and economic crisis has affected European Union (EU) member states’ ability to attract intellectual capital. The issue was found to be relevant, as one of the key elements of competitiveness today is the ability to attract intellectual capital and the question how the recent financial and economic crisis has changed this ability of EU member states can be asked. The question is relevant in relation to the diversity of effects that the crisis had on EU member states, including, the different levels of real economy adjustment constraints. Design/methodology/approach – The concept of competitiveness applied by the World Economic Forum (WEF) in constructing the Global Competitiveness Index (GCI) was used. Based on selected WEF GCI sub-indicators and the WEF’s methodology, we a new index named “Ability to attract intellectual capital” was generated. EU member states’ performance was compared along this indicator for the 2007-2008 (pre-crisis) and the 2013-2014 (post-crisis) periods. In this way, EU member states can be ranked before and after the crisis; their performance can be compared in the two periods, relatively to each other, and in relation to their performance along other relevant indices. Findings – The findings show interesting results. First, many peripheral EU member states, deeply affected by the crisis, could considerably improve their relative positions between 2007 and 2013. Second, the Central and Eastern Europe (CEE) countries show a rather mixed picture, drawing up rather different individual development paths. Third, the advancements in some countries do not imply that overall convergence is proceeding in the EU. Nevertheless, some countries have not wasted the “good” crisis to take those steps of structural reform. Research limitations/implications – Because we only look at two time periods (pre-and post-crisis), the authors are not able to describe the processes that were going on in the EU member states during the years of the crisis; the results can only show the difference between the two periods. Furthermore, there may be other methodological approaches to countries’ abilities to attract intellectual capital that may bring results different from this study’s results. For the countries who, according to our investigations, could improve these abilities, enhanced competitiveness is likely to occur in a few years’ time. Practical implications – For those countries aiming at improving their abilities to attract intellectual capital, or for EU policy design, this research may provide useful results. Moreover, not only this study’s results but also the methodology can be used by others, for other purposes: to compare different years, different sets of countries included in the WEF GCI or even along different dimensions. Social implications – This study’s research findings, the authors believe, will help EU member states and the EU as a whole in getting to know their abilities to attract intellectual capital better. In the introductory part of this paper, the aim was also to collect arguments from the economic theory to explain why such abilities are crucial for future competitiveness of countries. Originality/value – The methodology that was used is the adoption of WEF methodology, and the data are from the WEF GCI dataset. However, to the authors’s knowledge, no other research work has applied this methodology on this set of WEF GCI sub-indicators, with such purposes as to compare EU member states’ abilities to attract intellectual capital before and after the crisis. [ABSTRACT FROM AUTHOR]