REGIONAL COOPERATION AND ECONOMIC INTEGRATION

PART IV:
3.2. Measurement and data analysis
A review of relevant literature was used to develop measures for variables applied in this
study, which was then adapted to the study context.
Variable name
Firms’
characteristics
Table 3: Variable definitions and measurements
Variable description
• Average company size category includes (1) small companies
(with less than 50 employees), (2) medium-sized companies
(from 50 to 250 employees) and (3) large companies (with
more than 250 employees).
• In determining technological intensity manufacturing
industries were classified according to their global
technological intensity in the following four groups: (1) low
technology, (2) medium-low-technology, (3) medium-hightechnology,
(4) high-technology (OECD, 2007).
• Company experience variable includes (1) companies
established before 1990, (2) companies established during
the period of 1990-1999, and (3) companies established after
1999.
Strategic behavior
variables
Performance/
Productivity
• Expenses per employee were measured in HRK.
• Average monthly wage was expressed as the ratio of net
month wages per employee in HRK.
• Capital intensity was measured as the amount of fixed assets
in relation to number of employees in HRK.
• Marketing intensity was measured as the ratio of marketing
expenses to total sales in %.
• New product development efforts are expressed as the ratio
of the expenses related to new product development to total
sales in HRK.
• Training expenses include all expenses that the firm is paying
for education and training of their employees. They are
expressed as the ratio of expenses for training to sales in %.
• Export intensity was measured as the ratio of exports to total
sales in %.
• Sales volume and profit before taxes were expressed in HRK
per employee.
• Performance was measured in HRK using value added per
employee. Value added was calculated by summing up wages,
depreciation and profits before taxes.
Data was analyzed using one-way analysis of variance (ANOVA) and cross tabulation
analysis (chi-square test).
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